<subtitle num="01" heading="Office of the Secretary"> <chapter num="01" heading="Implementation of the Maryland Environmental Policy Act"> <regulation prefix="Regulation" num=".01" heading="Applicability."> <text>These guidelines are applicable to the Maryland Department of Labor and to all boards, commissions, or agencies assigned to the Department.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Purpose."> <text>The purpose of these guidelines is to establish Departmental procedures for the preparation, review, and circulation of Environmental Effects forms and reports in compliance with the Maryland Environmental Policy Act. These guidelines specifically incorporate by reference the guidelines issued by the Department of Natural Resources on December 20, 1973.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Policy."> <text>All Boards, commissions, and agencies within the Maryland Department of Labor shall give appropriate consideration to possible environmental effects which may arise in conjunction with any Agency proposal or action. Environmental Assessment forms and Environmental Effects reports shall be used in the decision making process in compliance with standards established by the Department of Natural Resources.</text> </regulation> <annotations> <annotation type="Authority">Natural Resources Article, §§1-301—1-304, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 1, 1974 (1:1 Md. R. 70)</annotation> <annotation type="History" subtype="Administrative History">Amended effective November 10, 1976 (3:23 Md. R. 1302)</annotation> </annotations> </chapter> <chapter num="02" heading="Hearing Regulations"> <regulation prefix="Regulation" num=".01" heading="Scope."> <paragraph num="A."> <text>This chapter governs procedures for all contested case hearings of an administrative unit within the Department, with the exception of hearings conducted under the following:</text> <paragraph num="(1)"> <text>Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, and corresponding regulations;</text> </paragraph> <paragraph num="(2)"> <text>Business Regulation Article, §3-314, Annotated Code of Maryland, and corresponding regulations;</text> </paragraph> <paragraph num="(3)"> <text>Labor and Employment Article, Title 5, Subtitle 2 and Subtitle 5, Part III, Annotated Code of Maryland, and corresponding regulations;</text> </paragraph> <paragraph num="(4)"> <text>Labor and Employment Article, Title 8, Subtitle 5, Annotated Code of Maryland, and corresponding regulations; and</text> </paragraph> <paragraph num="(5)"> <text>State Finance and Procurement Article, Title 17, Subtitle 2, Annotated Code of Maryland, and corresponding regulations.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The procedures in this chapter are intended to supplement the procedures required by law, and may not be construed as creating additional or contrary substantive rights.</text> </paragraph> <paragraph num="C."> <text>An administrative unit may promulgate additional hearing regulations to supplement or modify this chapter under the administrative unit's enabling statute.</text> </paragraph> <paragraph num="D."> <text>If a conflict exists between this chapter and the statute or regulations governing an administrative unit, the statute or regulations of the individual administrative unit shall govern.</text> </paragraph> <paragraph num="E."> <text>If a conflict exists between this chapter and the Rules of Procedure of the Office of Administrative Hearings in COMAR 28.02.01, this chapter shall govern.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“ALJ” means an Administrative Law Judge appointed under State Government Article, §9-1604, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Administrative Procedure Act” means State Government Article, §§10-201—10-217, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(3)"> <text>“Administrative unit” means a board, commission, hearing panel, committee, division, or a unit within the Department which is authorized by law or regulation to hear and determine contested cases.</text> </paragraph> <paragraph num="(4)"> <text>“Applicant” means a person seeking a new or renewal license, certificate, registration, or permit from an administrative unit.</text> </paragraph> <paragraph num="(5)"> <text>“Charging document” means a document issued by an administrative unit which sets forth:</text> <paragraph num="(a)"> <text>One or more violations alleged to have been committed by a respondent; or</text> </paragraph> <paragraph num="(b)"> <text>A denial or an intent to deny a license, certificate, registration, or permit.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Claim” means a claim against a guaranty fund.</text> </paragraph> <paragraph num="(7)"> <text>“Claimant” means an individual who has filed a claim against a guaranty fund.</text> </paragraph> <paragraph num="(8)"> <text>“Complaint” means a written allegation that:</text> <paragraph num="(a)"> <text>A licensee, registrant, certificate holder, or permit holder has committed an act which is prohibited by the appropriate statute or regulation and for which an administrative unit may take disciplinary action; or</text> </paragraph> <paragraph num="(b)"> <text>A person has practiced a regulated profession or occupation, or engaged in a business, without the required license, certificate, registration, or permit.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>“Contested case” has the meaning stated in State Government Article, §10-202, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(10)"> <text>“Counsel” means the attorney assigned by the Office of the Attorney General to provide a particular administrative unit with legal advice.</text> </paragraph> <paragraph num="(11)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(12)"> <text>“Final order” means the final decision of an administrative unit which contains findings of fact, conclusions of law, and a disposition which:</text> <paragraph num="(a)"> <text>Grants or denies a license, certificate, registration, or permit;</text> </paragraph> <paragraph num="(b)"> <text>Sanctions by reprimand, fine, suspension, or revocation;</text> </paragraph> <paragraph num="(c)"> <text>Makes a monetary award to a party from a guaranty fund or any other source, or denies an award; or</text> </paragraph> <paragraph num="(d)"> <text>Dismisses disciplinary charges.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>“Guaranty fund” has the meaning stated in Business Occupations and Professions Article, Title 17, Subtitle 4, Annotated Code of Maryland, and Business Regulation Article, Title 8, Subtitle 4, Annotated Code of Maryland, as applicable.</text> </paragraph> <paragraph num="(14)"> <text>“Office of Administrative Hearings” has the meaning stated in State Government Article, §9-1602, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(15)"> <text>“Party” means a respondent, a claimant, an applicant, or an administrative unit, or all or some of them, as applicable.</text> </paragraph> <paragraph num="(16)"> <text>“Person” has the meaning stated in Business Regulation Article, §1-101(g), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(17)"> <text>“Presenter of evidence” means the attorney assigned by the Office of the Attorney General to:</text> <paragraph num="(a)"> <text>Present charges and evidence against a respondent or applicant; or</text> </paragraph> <paragraph num="(b)"> <text>Represent the interests of a guaranty fund.</text> </paragraph> </paragraph> <paragraph num="(18)"> <text>“Presiding officer” means the chairman of an administrative unit, or in the absence of a chairman, a member of the administrative unit designated by the applicable enabling statute or by the administrative unit itself to preside over the hearing of a contested case.</text> </paragraph> <paragraph num="(19)"> <text>“Proposed decision” has the meaning stated in COMAR 28.02.01.02.</text> </paragraph> <paragraph num="(20)"> <text>“Proposed order” means the order issued by an administrative unit, after a hearing conducted by an ALJ which:</text> <paragraph num="(a)"> <text>Grants or denies a license, certificate, registration, or permit;</text> </paragraph> <paragraph num="(b)"> <text>Sanctions by reprimand, fine, suspension, or revocation;</text> </paragraph> <paragraph num="(c)"> <text>Makes or denies a monetary award to a party from a guaranty fund or any other source; or</text> </paragraph> <paragraph num="(d)"> <text>Dismisses the charges.</text> </paragraph> </paragraph> <paragraph num="(21)"> <text>“Respondent” means a person who has been called upon to answer charges made under disciplinary provisions or against whom a guaranty fund claim has been filed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Complaints."> <paragraph num="A."> <text>A complaint to an administrative unit may be made by any person or administrative unit.</text> </paragraph> <paragraph num="B."> <text>The complaint shall be in writing, and shall state the facts on which the complaint is based.</text> </paragraph> <paragraph num="C."> <text>In response to a complaint, an administrative unit may take one or more of the following actions:</text> <paragraph num="(1)"> <text>Dismiss the complaint;</text> </paragraph> <paragraph num="(2)"> <text>Refer the complaint for investigation;</text> </paragraph> <paragraph num="(3)"> <text>Take appropriate informal action consistent with the facts and circumstances of the complaint;</text> </paragraph> <paragraph num="(4)"> <text>Charge the respondent with violation of the relevant statutory and regulatory sections and give the respondent an opportunity to appear at a hearing before the administrative unit; or</text> </paragraph> <paragraph num="(5)"> <text>Schedule a hearing before the administrative unit on a claim against a guaranty fund.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Applications."> <paragraph num="A."> <text>An applicant who has been notified that a new or renewal license, certificate, registration, or permit, has been, or may be, denied may request a hearing before an administrative unit.</text> </paragraph> <paragraph num="B."> <text>The administrative unit shall hold a hearing to provide the applicant an opportunity to present evidence in support of the application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Hearing Notice."> <paragraph num="A."> <text>An administrative unit shall provide reasonable written notice of a hearing to the parties.</text> </paragraph> <paragraph num="B."> <text>The hearing notice shall contain:</text> <paragraph num="(1)"> <text>The date, time, place, and nature of the hearing;</text> </paragraph> <paragraph num="(2)"> <text>A statement of the right to present witnesses, documents, and other forms of evidence, and the right to cross-examine witnesses of another party;</text> </paragraph> <paragraph num="(3)"> <text>A statement of the right to request subpoenas for witnesses and evidence, specifying the costs, if any, associated with the request;</text> </paragraph> <paragraph num="(4)"> <text>The availability on request of a copy of the hearing procedure, and the costs associated with the request;</text> </paragraph> <paragraph num="(5)"> <text>A statement of the right or restrictions pertaining to representation;</text> </paragraph> <paragraph num="(6)"> <text>A statement that failure to appear for the scheduled hearing may result in an adverse action against that party; and</text> </paragraph> <paragraph num="(7)"> <text>A statement that the parties may agree to the evidence and waive their right to appear at the hearing.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Charging Document."> <paragraph num="A."> <text>The charging document shall be attached to the notice of hearing or incorporated in it.</text> </paragraph> <paragraph num="B."> <text>The charging document shall contain at least:</text> <paragraph num="(1)"> <text>The facts asserted, or if the facts cannot be stated in detail, the issues involved;</text> </paragraph> <paragraph num="(2)"> <text>The pertinent statutory and regulatory sections under which an administrative unit is taking action;</text> </paragraph> <paragraph num="(3)"> <text>The potential penalties; and</text> </paragraph> <paragraph num="(4)"> <text>A statement that if a hearing is not automatically scheduled, an applicant may request a hearing, and the process by which a request is made, including any time restrictions.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Service of Notices, Orders, and Other Documents."> <paragraph num="A."> <text>Except as provided in §B of this regulation or by prior agreement of the parties, the administrative unit shall serve all notices, orders, and other documents in one of the following ways:</text> <paragraph num="(1)"> <text>By personal delivery;</text> </paragraph> <paragraph num="(2)"> <text>By mailing a copy of the document, first class, postage prepaid, to the person's last known business or home address; or</text> </paragraph> <paragraph num="(3)"> <text>If the person is represented by counsel, by delivering or mailing a copy of the document, first class, postage prepaid, to the person's attorney.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The administrative unit shall send the hearing notice to the person against whom the action is contemplated by certified mail to the person's last known address:</text> <paragraph num="(1)"> <text>At least 20 days before the hearing; or</text> </paragraph> <paragraph num="(2)"> <text>If the parties have agreed to a date for which 20 days notice cannot be given, at the earliest time possible.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If service of a hearing notice cannot be made under §B of this regulation, notice may be given under State Government Article, §10-209, Annotated Code of Maryland.</text> </paragraph> <paragraph num="D."> <text>Service under this regulation is effective on receipt.</text> </paragraph> <paragraph num="E."> <text>Unless the evidence shows otherwise, a document served by mail under this regulation is presumed to have been received by the addressee 3 days after the date the document was mailed.</text> </paragraph> <paragraph num="F."> <text>Service of a subpoena shall be made under Regulation .12 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Representation."> <paragraph num="A."> <text>A party to a proceeding may:</text> <paragraph num="(1)"> <text>Appear in person or, if appearance by a representative is permitted by law, through a representative; or</text> </paragraph> <paragraph num="(2)"> <text>Be represented by an attorney authorized to practice in Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Any notice, decision, or other matter required to be sent to a party may be sent instead to the party's attorney of record at the attorney's address, and the presumption of service in Regulation .07E of this chapter shall apply.</text> </paragraph> <paragraph num="C."> <text>If a party is represented by an attorney or appears through an authorized representative, all submission of evidence, examination and cross-examination of witnesses, and all objections and motions on the party's behalf shall be made solely by the attorney or the authorized representative.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Failure to Appear."> <text>A hearing may proceed as scheduled in the absence of a party if the party has:</text> <paragraph num="A."> <text>Been served in accordance with Regulation .07 of this chapter; and</text> </paragraph> <paragraph num="B."> <text>Failed to obtain a postponement of the hearing from the administrative unit under Regulation .10 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Postponement."> <paragraph num="A."> <text>An administrative unit may postpone a hearing for good cause only if a written request for postponement is filed with the administrative unit not later than 10 days before the date of the hearing.</text> </paragraph> <paragraph num="B."> <text>If a request for postponement is received later than 10 days before the date of the hearing, the administrative unit shall deny the request unless it determines that there were extenuating circumstances which justified the delay.</text> </paragraph> <paragraph num="C."> <text>The failure of a respondent, claimant, or applicant to retain counsel or to timely request a subpoena may not be considered good cause under this regulation.</text> </paragraph> <paragraph num="D."> <text>A request for postponement based on failure to obtain service on a witness may not be granted if the party has failed to comply with Regulation .12 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Discovery."> <text>There is no prehearing discovery.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Subpoenas."> <paragraph num="A."> <text>On request of a party to a proceeding, an administrative unit shall issue a subpoena requiring the attendance and testimony of a witness and, if requested, the production at the hearing of relevant documents and tangible items in the possession or under the control of the witness.</text> </paragraph> <paragraph num="B."> <text>A request for the issuance of a subpoena shall be made in writing to the administrative unit not later than 10 days before the scheduled hearing date.</text> </paragraph> <paragraph num="C."> <text>If a request for issuance of a subpoena is received by the administrative unit less than 15 days before the scheduled hearing date, the requesting party shall be responsible for service of the subpoena.</text> </paragraph> <paragraph num="D."> <text>A request for a subpoena shall specify:</text> <paragraph num="(1)"> <text>The full name and address of the person to be subpoenaed;</text> </paragraph> <paragraph num="(2)"> <text>The full name, address, and telephone number of the party requesting the subpoena;</text> </paragraph> <paragraph num="(3)"> <text>The caption of the action for which a subpoena is requested;</text> </paragraph> <paragraph num="(4)"> <text>The date, time, and place of the hearing for which the subpoenaed person is to appear; and</text> </paragraph> <paragraph num="(5)"> <text>For a subpoena for the production of documents, a description of tangible items, books, papers, or other documents.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A subpoena request need not be served on all parties.</text> </paragraph> <paragraph num="F."> <text>Subpoenas may be served by:</text> <paragraph num="(1)"> <text>Certified mail to the person at the address specified in the subpoena request; or</text> </paragraph> <paragraph num="(2)"> <text>Personal delivery by an individual who is:</text> <paragraph num="(a)"> <text>18 years old or older; and</text> </paragraph> <paragraph num="(b)"> <text>Not a party to the proceeding.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Return of service of subpoena shall be made by:</text> <paragraph num="(1)"> <text>Affidavit, if personally delivered; or</text> </paragraph> <paragraph num="(2)"> <text>Return receipt, if mailed.</text> </paragraph> </paragraph> <paragraph num="H."> <text>A person may object to a subpoena by filing with the administrative unit, before the time specified in the subpoena for compliance, a motion to quash or for other appropriate relief.</text> </paragraph> <paragraph num="I."> <text>If a person fails to comply with a properly served subpoena, the party requesting the subpoena may apply to the appropriate circuit court for relief.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Conduct of the Proceedings."> <paragraph num="A."> <text>A quorum of the administrative unit shall be present for the hearing.</text> </paragraph> <paragraph num="B."> <text>The presiding officer, in consultation with counsel, shall determine all procedural and evidentiary issues governed by this chapter and by the Administrative Procedure Act, and may impose reasonable time limitations.</text> </paragraph> <paragraph num="C."> <text>The Maryland Rules of Civil Procedure may be used as a guide in resolving procedural issues governing the conduct of the hearing that are not addressed in this chapter and the Administrative Procedure Act.</text> </paragraph> <paragraph num="D."> <text>The presiding officer may conduct all or any part of the hearing by telephone, television, or other electronic means, in accordance with State Government Article, §10-211, Annotated Code of Maryland.</text> </paragraph> <paragraph num="E."> <text>Order of Proceedings. Absent unusual circumstances, the order of proceedings in a case involving disciplinary charges against a respondent shall be as follows:</text> <paragraph num="(1)"> <text>Opening statements and preliminary matters may be heard;</text> </paragraph> <paragraph num="(2)"> <text>All individuals planning to testify shall be sworn before testifying;</text> </paragraph> <paragraph num="(3)"> <text>The presenter of evidence shall present the case against the respondent;</text> </paragraph> <paragraph num="(4)"> <text>The respondent or the respondent's attorney or representative may present the respondent's case;</text> </paragraph> <paragraph num="(5)"> <text>The presenter may present a rebuttal case; and</text> </paragraph> <paragraph num="(6)"> <text>The administrative unit may hear closing arguments in the same order as the presentation of evidence and may receive written memoranda of law.</text> </paragraph> </paragraph> <paragraph num="F."> <text>In a disciplinary action case which includes a claim against a guaranty fund:</text> <paragraph num="(1)"> <text>The claimant or the claimant's attorney shall present the claimant's case after the presenter of evidence has presented the case against the respondent;</text> </paragraph> <paragraph num="(2)"> <text>The respondent or the respondent's attorney or representative may then present the respondent's case and respond to the claim;</text> </paragraph> <paragraph num="(3)"> <text>The attorney for the guaranty fund may then present evidence on the claim; and</text> </paragraph> <paragraph num="(4)"> <text>All parties may give closing argument in the same order as the presentation of evidence.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The presenter of evidence, the respondent, and the claimant may cross-examine any witness called by any party during a combined regulatory and guaranty fund hearing.</text> </paragraph> <paragraph num="H."> <text>In an application case the order of proceedings shall be as follows:</text> <paragraph num="(1)"> <text>The applicant or the applicant's attorney shall present the case in support of the application;</text> </paragraph> <paragraph num="(2)"> <text>The presenter of evidence may then present the case in opposition to the application; and</text> </paragraph> <paragraph num="(3)"> <text>The applicant may then present rebuttal.</text> </paragraph> </paragraph> <paragraph num="I."> <text>After the parties have completed their questioning of a witness, the presiding officer, members of the administrative unit, and counsel to the unit may question the witness.</text> </paragraph> <paragraph num="J."> <text>Upon a showing of good cause that a hearing cannot be completed on the scheduled date, an administrative unit may grant a continuance of the proceeding.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Evidence."> <text>The rules of evidence under this chapter shall be under State Government Article, §10-213, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".15" heading="Interpreters."> <paragraph num="A."> <text>If a party or witness cannot readily hear, speak, or understand the spoken or written English language, and applies to the administrative unit in advance of the hearing for the appointment of a qualified interpreter to assist that party or witness, the administrative unit shall appoint a qualified interpreter to provide assistance during the hearing.</text> </paragraph> <paragraph num="B."> <text>With the approval of the administrative unit, a party who intends to offer the testimony of a witness who cannot readily hear, speak, or understand the spoken or written English language, may arrange for a qualified interpreter to assist the witness.</text> </paragraph> <paragraph num="C."> <text>An interpreter shall take an oath or affirm that the interpreter will accurately translate.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Burden of Proof."> <paragraph num="A."> <text>In the hearing of a contested case involving allegations that the respondent violated a law or regulation, the presenter of evidence for the administrative unit shall bear the burden of proving, by a preponderance of the evidence, that the respondent committed the violations set forth in the charging document.</text> </paragraph> <paragraph num="B."> <text>In the hearing of a contested case resulting from the denial, or proposed denial, of a license, certificate, registration, or permit, the applicant shall have the burden of establishing, by a preponderance of the evidence, the applicant's entitlement to the license, certificate, registration, or permit.</text> </paragraph> <paragraph num="C."> <text>In a proceeding involving a guaranty fund claim, the claimant shall have the burden of proving, by a preponderance of the evidence, that the claimant is entitled to be compensated from the appropriate guaranty fund.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Public Hearings."> <text>Unless otherwise provided by statute, all hearings conducted under this chapter are open to the public.</text> </regulation> <regulation prefix="Regulation" num=".18" heading="Recording."> <paragraph num="A."> <text>The administrative unit shall cause the proceedings to be recorded.</text> </paragraph> <paragraph num="B."> <text>The record need not be transcribed unless requested by a party or the administrative unit.</text> </paragraph> <paragraph num="C."> <text>The cost of a typewritten transcript of any proceeding or part of a proceeding shall be paid by the party requesting the transcript.</text> </paragraph> <paragraph num="D."> <text>Except as provided in §A of this regulation, cameras, tape recorders, and other electronic and photographic equipment of any type are not permitted at the hearing, unless the equipment is intended to be introduced into evidence or used to present evidence.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Recusal."> <text>A member of an administrative unit shall be recused from the review of a complaint and from participating in a hearing if the individual:</text> <paragraph num="A."> <text>Has personal knowledge of the facts which gave rise to the complaint;</text> </paragraph> <paragraph num="B."> <text>Has a personal or business relationship with any of the parties or witnesses; or</text> </paragraph> <paragraph num="C."> <text>For any other reason may be unable to act impartially in the matter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Decisions."> <paragraph num="A."> <text>After consideration of the testimony and other evidence, the administrative unit shall issue a written final order setting forth an appropriate disposition agreed to by a majority of the members of the unit who participated in the hearing.</text> </paragraph> <paragraph num="B."> <text>A member who was not present at all parts of the hearing may not vote on the disposition.</text> </paragraph> <paragraph num="C."> <text>The final order shall be issued within 90 days after the record of the proceeding is closed unless the administrative unit gives written notice to the parties that the time limit has been extended.</text> </paragraph> <paragraph num="D."> <text>The final order shall be signed by the presiding officer or a designee, and unless otherwise noted in the order, is final upon issuance.</text> </paragraph> <paragraph num="E."> <text>A copy of the decision shall be maintained in the files of the administrative unit.</text> </paragraph> <paragraph num="F."> <text>Decisions issued by an administrative unit in connection with a particular proceeding shall be mailed to the parties, or if represented by counsel to their attorney, by first-class mail within 3 business days from the date of the issuance of the order.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Judicial Review."> <text>A party aggrieved by the final decision in a contested case is entitled to judicial review of the decision under State Government Article, §10-222, Annotated Code of Maryland.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 29, 1982 (9:6 Md. R. 613)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 8, 1985 (12:7 Md. R. 701)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective February 23, 1987 (14:4 Md. R. 415)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 repealed and new Regulations .01—.21 adopted effective December 12, 2002 (29:24 Md. R. 1918)</annotation> </annotations> </chapter> <chapter num="03" heading="Hearings Delegated to the Office of Administrative Hearings"> <regulation prefix="Regulation" num=".01" heading="Scope."> <paragraph num="A."> <text>Except as provided in §B of this regulation, this chapter governs contested case hearings that an administrative unit has delegated to the Office of Administrative Hearings for a proposed decision under State Government Article, §10-205, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>This chapter does not apply to cases arising under:</text> <paragraph num="(1)"> <text>Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, and corresponding regulations;</text> </paragraph> <paragraph num="(2)"> <text>Business Regulation Article, §3-314, Annotated Code of Maryland, and corresponding regulations;</text> </paragraph> <paragraph num="(3)"> <text>Labor and Employment Article, Title 5, Subtitle 2 and Subtitle 5, Part III, Annotated Code of Maryland, and corresponding regulations;</text> </paragraph> <paragraph num="(4)"> <text>Labor and Employment Article, Title 8, Subtitle 5, Annotated Code of Maryland, and corresponding regulations; and</text> </paragraph> <paragraph num="(5)"> <text>State Finance and Procurement Article, Title 17, Subtitle 2, Annotated Code of Maryland, and corresponding regulations.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If a conflict exists between this chapter and the statute or regulations governing an administrative unit, the statute or regulations of the administrative unit shall govern.</text> </paragraph> <paragraph num="D."> <text>If a conflict exists between this chapter and the Rules of Procedure of the Office of Administrative Hearings in COMAR 28.02.01, this chapter shall govern.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <text>The definitions in COMAR 09.01.02.02 apply to this chapter.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Applicability."> <text>An administrative unit, after consultation with the Office of the Attorney General, may refer contested cases to the Office of Administrative Hearings. The administrative unit shall advise the Office of Administrative Hearings of the scope of authority delegated under State Government Article, §10-205, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Discovery."> <text>There is no prehearing discovery.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Proceedings."> <paragraph num="A."> <text>Except as provided in this regulation, the ALJ shall conduct an evidentiary hearing under the Administrative Procedure Act and COMAR 28.02.01.</text> </paragraph> <paragraph num="B."> <text>A motion to dismiss or any other dispositive motion may not be granted by the ALJ without the concurrence of all parties.</text> </paragraph> <paragraph num="C."> <text>The presenter of evidence, the respondent, and the claimant may cross-examine any witness called by any party during a combined regulatory and guaranty fund hearing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Revocation of the Delegation of Authority."> <paragraph num="A."> <text>For a reason specified in §B of this regulation, an administrative unit or the Department may revoke, in whole or in part, the delegation of authority to the Office of Administrative Hearings to hear a contested case at any time before the earlier of:</text> <paragraph num="(1)"> <text>The issuance of a ruling on a substantive issue; or</text> </paragraph> <paragraph num="(2)"> <text>The taking of oral testimony from the first witness.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The administrative unit or the Department may revoke the delegation of authority if, in the opinion of the administrative unit or the Department:</text> <paragraph num="(1)"> <text>A contested case involves:</text> <paragraph num="(a)"> <text>Unanticipated, novel, or unique legal or factual issues; or</text> </paragraph> <paragraph num="(b)"> <text>Significant social, fiscal, legal, or policy issues; or</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>It is in the best interests of the parties to the case.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The administrative unit or the Department shall provide written notice of a revocation of hearing authority to all parties and the Office of Administrative Hearings.</text> </paragraph> <paragraph num="D."> <text>The notice shall:</text> <paragraph num="(1)"> <text>State the reason for the revocation of the delegation of authority; and</text> </paragraph> <paragraph num="(2)"> <text>Specify if the revocation is in whole or in part.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If only a partial revocation of the delegation of authority is made, the administrative unit or the Department shall identify in the notice the portions of the contested case for which delegation of authority has been revoked.</text> </paragraph> <paragraph num="F."> <text>A final decision issued by the administrative unit shall reflect the fact of full or partial revocation of the delegation of authority, and a copy of the revocation notice shall be included as part of the record.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Withdrawal of a Case."> <paragraph num="A."> <text>At any stage of the proceedings, upon the agreement of the parties, the case may be withdrawn from the Office of Administrative Hearings docket for settlement purposes.</text> </paragraph> <paragraph num="B."> <text>Withdrawal of the case from the Office of Administrative Hearings docket may not be deemed a dismissal of the regulatory charges or the guaranty fund claim, and may not preclude a subsequent referral to the Office of Administrative Hearings, if settlement is not accomplished.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Proposed Decisions and Orders."> <paragraph num="A."> <text>Upon completion of the hearing, the ALJ shall submit a proposed decision to the administrative unit.</text> </paragraph> <paragraph num="B."> <text>The Office of Administrative Hearings may not distribute the proposed decision to the parties or to the public unless the delegation of authority specifically provides for that distribution.</text> </paragraph> <paragraph num="C."> <text>The proposed decision shall comply with the requirements of the Administrative Procedure Act and COMAR 28.02.01.22, and shall include:</text> <paragraph num="(1)"> <text>Written findings of fact;</text> </paragraph> <paragraph num="(2)"> <text>Proposed conclusions of law; and</text> </paragraph> <paragraph num="(3)"> <text>A recommended order.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Within 60 days of receipt of the ALJ's proposed decision, an administrative unit shall:</text> <paragraph num="(1)"> <text>Review the ALJ's proposed decision;</text> </paragraph> <paragraph num="(2)"> <text>Issue a proposed order, which may include the ALJ's proposed decision with or without modifications; and</text> </paragraph> <paragraph num="(3)"> <text>Send to the parties the proposed order and a copy of the ALJ's proposed decision in the manner set forth in §G of this regulation.</text> </paragraph> </paragraph> <paragraph num="E."> <text>An administrative unit may extend the 60-day period specified in §C of this regulation by a written notice to all parties.</text> </paragraph> <paragraph num="F."> <text>If the proposed order changes, modifies, or amends the ALJ's proposed decision, the proposed order shall set forth an explanation of the reasons for the changes, modifications, or amendments.</text> </paragraph> <paragraph num="G."> <text>A proposed order shall be mailed to the parties, or to their attorneys, by first-class mail within 3 business days from the date of the issuance of the order.</text> </paragraph> <paragraph num="H."> <text>The proposed order or an accompanying letter shall notify the parties that they may file written exceptions with, and present arguments to, the administrative unit.</text> </paragraph> <paragraph num="I."> <text>If no party files timely exceptions, the proposed order of the administrative unit shall become the final order.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Exceptions to the Proposed Order."> <paragraph num="A."> <text>Filing Exceptions.</text> <paragraph num="(1)"> <text>A party adversely affected by a proposed order shall have 20 days from the postmark date of the proposed order to file exceptions with the administrative unit.</text> </paragraph> <paragraph num="(2)"> <text>The date of filing exceptions with the administrative unit shall be the date of personal delivery to the unit or the postmark date on mailed exceptions.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The exceptions may include a request that the proposed order be modified or reversed, or that the case be remanded for the taking of additional testimony.</text> </paragraph> <paragraph num="C."> <text>Upon receipt of exceptions to the proposed order, the administrative unit shall:</text> <paragraph num="(1)"> <text>Schedule a date, time, and place for a hearing on the exceptions; and</text> </paragraph> <paragraph num="(2)"> <text>Notify each party at least 20 days before the scheduled date of the date, time, and place of the hearing.</text> </paragraph> </paragraph> <paragraph num="D."> <text>By written request to the administrative unit, a party may waive the right to a hearing on the written exceptions.</text> </paragraph> <paragraph num="E."> <text>Unless a specific statute or regulation permits the hearing to be held before a panel of members of the unit, a quorum of the administrative unit shall be present at the hearing.</text> </paragraph> <paragraph num="F."> <text>At the hearing on exceptions, the presiding officer shall rule on all procedural issues governed by this regulation, and may impose reasonable time limitations.</text> </paragraph> <paragraph num="G."> <text>The record before an administrative unit on exceptions shall consist of:</text> <paragraph num="(1)"> <text>The ALJ's proposed decision;</text> </paragraph> <paragraph num="(2)"> <text>The proposed order of the administrative unit;</text> </paragraph> <paragraph num="(3)"> <text>The exceptions filed by the parties and any responses to them;</text> </paragraph> <paragraph num="(4)"> <text>A copy of the notice to the parties of the hearing on exceptions;</text> </paragraph> <paragraph num="(5)"> <text>The transcript of the hearing before the ALJ, if filed with an administrative unit under §H of this regulation; and</text> </paragraph> <paragraph num="(6)"> <text>All documentary evidence admitted into evidence before the ALJ.</text> </paragraph> </paragraph> <paragraph num="H."> <text>A party wishing to have the transcript made part of the record, shall at its own expense order the transcript and file three copies of it with the administrative unit at least 10 days before the scheduled date for the hearing on exceptions. If a transcript has already been prepared, the administrative unit shall make the transcript part of the record in the case.</text> </paragraph> <paragraph num="I."> <text>If the transcript has not been filed or otherwise made part of the record in the case, the parties at the hearing on exceptions may not refer to any testimony before the ALJ which was not incorporated into the ALJ's findings of fact or conclusions of law.</text> </paragraph> <paragraph num="J."> <text>If all parties agree, a stipulation of facts based on the record before the ALJ may be submitted instead of a transcript.</text> </paragraph> <paragraph num="K."> <text>Additional evidence may not be introduced unless the party seeking to introduce it demonstrates to the satisfaction of the administrative unit that the new evidence:</text> <paragraph num="(1)"> <text>Is relevant and material;</text> </paragraph> <paragraph num="(2)"> <text>Was not discovered before the ALJ hearing; and</text> </paragraph> <paragraph num="(3)"> <text>Could not have been discovered before the ALJ hearing with the exercise of due diligence.</text> </paragraph> </paragraph> <paragraph num="L."> <text>A party wishing to introduce additional evidence before an administrative unit at a hearing on exceptions shall file a written request at least 15 days before the scheduled date of the hearing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Final Order."> <paragraph num="A."> <text>The administrative unit shall issue its final order within 90 days after the date of the hearing on exceptions.</text> </paragraph> <paragraph num="B."> <text>The administrative unit may affirm, reverse, or modify the proposed order, or may remand the matter with specific instructions to the Office of Administrative Hearings.</text> </paragraph> <paragraph num="C."> <text>The administrative unit shall send a copy of the final order to the parties, or if represented by counsel to their attorneys, by first-class mail within 3 business days from the date of the issuance of the final order.</text> </paragraph> <paragraph num="D."> <text>The final order or an accompanying letter shall advise the parties of their rights to judicial review of the decision.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 29, 1982 (9:6 Md. R. 614)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 8, 1985 (12:7 Md. R. 701)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.10, Hearing Officer Regulations, repealed and new Regulations .01—.10, Hearings Delegated to the Office of Administrative Hearings, adopted effective December 12, 2002 (29:24 Md. R. 1918)</annotation> </annotations> </chapter> <chapter num="04" heading="Public Information Act Requests"> <regulation prefix="Regulation" num=".01" heading="General."> <paragraph num="A."> <text>These regulations set out procedures for filing requests with the Maryland Department of Labor (the Department) for the inspection and copying of records under the Public Information Act, General Provisions Article, Title 4, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>It is the policy of the Department to facilitate public access to the records of the Department, when access is allowed by law, by minimizing costs and time delays to persons requesting information.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>Unless otherwise noted, the definitions set forth in General Provisions Article, Title 4, Annotated Code of Maryland, apply in this chapter.</text> </paragraph> <paragraph num="B."> <text>“Custodian” means the Secretary of the Department or the Secretary’s designee employed by the Department who has personal custody and control of public records of the Department.</text> </paragraph> <paragraph num="C."> <text>“PIA Coordinator” means the Department employee who is responsible for accepting, monitoring, and, with advice from the Department’s legal staff, processing of requests for public records.</text> </paragraph> <paragraph num="D."> <text>“Public Access Ombudsman” means the official appointed under General Provisions Article, Title 4, Subtitle 1B, to address disputes under the Public Information Act, General Provisions Article, Title 4, Annotated Code of Maryland.</text> </paragraph> <paragraph num="E."> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> <paragraph num="F."> <text>“Working day” means a day other than Saturday, Sunday, a State holiday, or a day of State emergency closure.</text> </paragraph> <paragraph num="G."> <text>“Written documents” means all books, papers, copies of electronic communications, maps, photographs, cards, tapes, computer disks, flash drives, recordings, computerized records, and other documentary materials, regardless of physical form or characteristics.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Who May Request."> <text>Any person may request to inspect or copy public records of the Department.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Request to Inspect a Public Record."> <paragraph num="A."> <text>Necessity for Written Request. Except as otherwise provided in General Provisions Article, Title 4, Annotated Code of Maryland, the custodian shall require a written request via regular or electronic means from a person or governmental unit that wishes to inspect a public record.</text> </paragraph> <paragraph num="B."> <text>Contents of Written Request. A written request shall contain the applicant's name and address, shall be signed by the applicant, and shall reasonably identify by brief description the record sought.</text> </paragraph> <paragraph num="C."> <text>Addressee. A written request shall be addressed to the custodian of the record. If the custodian is unknown to the applicant, the request may be addressed to the Secretary.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Response to Written Request."> <paragraph num="A."> <text>Decision to Grant a Request.</text> <paragraph num="(1)"> <text>If the custodian decides to grant a written request for inspection, the custodian shall be responsible for producing the public record for inspection immediately or within a reasonable period, not to exceed 30 days from the date the request was received.</text> </paragraph> <paragraph num="(2)"> <text>If the custodian reasonably believes that it will take more than 10 working days to produce the public record, the custodian shall indicate in writing via regular or electronic mail within 10 working days after receipt of the request:</text> <paragraph num="(a)"> <text>The amount of time the custodian anticipates it will take to produce the public record;</text> </paragraph> <paragraph num="(b)"> <text>An estimate of the range of fees that may be charged to comply with the request for public records; and</text> </paragraph> <paragraph num="(c)"> <text>The reason why it will take more than 10 working days to produce the public records.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Decision to Deny a Request.</text> <paragraph num="(1)"> <text>If the custodian decides to deny the written request, the custodian shall do so within 30 days after receipt of the written request and shall immediately notify the applicant of the denial.</text> </paragraph> <paragraph num="(2)"> <text>If a request is denied, the custodian shall provide the applicant, at the time of the denial or within 10 working days, a written statement that provides the following information:</text> <paragraph num="(a)"> <text>The reason for the denial, including, for records denied under General Provisions Article, §4-343, Annotated Code of Maryland, a brief explanation of:</text> <paragraph num="(i)"> <text>Why the denial is necessary; and</text> </paragraph> <paragraph num="(ii)"> <text>Why the harm from disclosure of the public record would be greater than the public interest in providing access to the information in the public record such that disclosure of the public record would be contrary to the public interest;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The legal authority for the denial;</text> </paragraph> <paragraph num="(c)"> <text>Without disclosing the protected information, a brief description of the undisclosed records that will enable the applicant to assess the applicability of the legal authority for the denial; and</text> </paragraph> <paragraph num="(d)"> <text>Notice of the remedies available for review of the denial.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Records Not in Custody or Control.</text> <paragraph num="(1)"> <text>If a requested public record is not in the custody or control of the person to whom written application is made, that person shall, within 10 working days of the receipt of the request, notify the applicant that the person does not have custody or control of the requested public record.</text> </paragraph> <paragraph num="(2)"> <text>If that person knows the name of the custodian of the public record or the location or possible location of the record, this information shall also be given to the applicant.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Extension of Time. Any time limit imposed under this regulation may be extended either with the consent of the applicant for an additional period not to exceed 30 days, or if the applicant seeks resolution of a dispute under General Provisions Article, §4-1B-04, Annotated Code of Maryland, before the Public Access Ombudsman.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Electronic Records."> <paragraph num="A."> <text>Except as provided in §§C and D of this regulation, the custodian shall provide an applicant with a copy of the public record in a searchable and analyzable electronic format if:</text> <paragraph num="(1)"> <text>The public record is in a searchable and analyzable electronic format;</text> </paragraph> <paragraph num="(2)"> <text>The applicant requests a copy of the public record in a searchable and analyzable electronic format; and</text> </paragraph> <paragraph num="(3)"> <text>The custodian is able to provide a copy of the public record, in whole or in part, in a searchable and analyzable electronic format that does not disclose information that may not be disclosed under the Act.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The custodian shall provide a portion of the public record in a searchable and analyzable electronic format if:</text> <paragraph num="(1)"> <text>Requested by the applicant; and</text> </paragraph> <paragraph num="(2)"> <text>The custodian is able to do so by using the existing functions of the database or software program that contains the searchable and analyzable data.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The custodian is not required to:</text> <paragraph num="(1)"> <text>Create or reconstruct a public record in an electronic format if the public record is not available in an electronic format; or</text> </paragraph> <paragraph num="(2)"> <text>Release an electronic record in a format that would jeopardize or compromise the security or integrity of the original record or of any proprietary software in which the record is maintained.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The custodian may remove metadata from an electronic document before providing the electronic record to an applicant by:</text> <paragraph num="(1)"> <text>Using a software program or function; and</text> </paragraph> <paragraph num="(2)"> <text>Converting the electronic record into a different searchable and analyzable format.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Public Records Destroyed or Lost."> <text>If the custodian is aware that a requested public record of the Department has been destroyed or lost, the custodian shall within a reasonable time notify the applicant that the public record is not available and explain the reasons why the public record cannot be produced.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Review of the Denial."> <paragraph num="A."> <text>If the custodian denies a request to inspect or copy a public record of the Department, the applicant may file an action for judicial enforcement under General Provisions Article, §4-362, Annotated Code of Maryland, without pursuing the remedies set forth in §§B and C of this regulation.</text> </paragraph> <paragraph num="B."> <text>If the custodian charges a fee of more than $350 under Regulation .12 of this chapter, the applicant may, within 90 days after the date the fee is imposed, file a written complaint with the Board under General Provisions Article, §4-1A-05(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>The applicant and the custodian may contact the Public Access Ombudsman to resolve, under General Provisions Article, Title 4, Subtitle 1B, Annotated Code of Maryland, a dispute relating to a request for public records.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Disclosure Against Public Interest."> <paragraph num="A."> <text>Denial Pending Court Order.</text> <paragraph num="(1)"> <text>If, in the opinion of the Secretary, disclosure of any public record that is otherwise required to be disclosed under the Act would do substantial injury to the public interest, the Secretary may temporarily deny the request and seek a court order allowing continued nondisclosure.</text> </paragraph> <paragraph num="(2)"> <text>A temporary denial shall be in writing.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Circuit Court Review.</text> <paragraph num="(1)"> <text>Within 10 working days after the denial, the Secretary shall apply to the appropriate circuit court for an order permitting continued denial or restriction of access.</text> </paragraph> <paragraph num="(2)"> <text>Notice of the Secretary’s complaint shall be served on the applicant in the manner provided for service of process by the Maryland Rules.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Time and Place of Inspection."> <paragraph num="A."> <text>An applicant may inspect any public record that the applicant is entitled to inspect during the normal working hours of the Department.</text> </paragraph> <paragraph num="B."> <text>The place of inspection shall be the place where the public record is located, unless the custodian, after taking into account the applicant’s expressed preferences, determines that another place of inspection is more suitable and convenient.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Inspection of Occupational and Professional Licensing Data for Compelling Public Purpose."> <paragraph num="A."> <text>A compelling public purpose shall be deemed to exist under General Provisions Article, §4-333, Annotated Code of Maryland, and the custodian of occupational and professional licensing records within the Department may permit the right of inspection of occupational and professional licensing data on individual persons other than that data specified under General Provisions Article, §4-333, Annotated Code of Maryland, as set forth in this regulation.</text> </paragraph> <paragraph num="B."> <text>The number, nature, and administrative status of complaints filed against the individual person who is the subject of the occupational and professional licensing record may be disclosed.</text> </paragraph> <paragraph num="C."> <text>Complaints, reports of investigation, and expert reports concerning the individual person who is the subject of the occupational and professional licensing record may be inspected if the person requesting the inspection:</text> <paragraph num="(1)"> <text>Has filed a complaint against the person who is the subject of the occupational and professional licensing record and the request is limited to only these documents relating to this complaint;</text> </paragraph> <paragraph num="(2)"> <text>Has filed a guaranty fund claim or a claim with a surety and the request is limited to only these documents relating to this guaranty fund or surety claim;</text> </paragraph> <paragraph num="(3)"> <text>Is affiliated with a federal, state, local or other law enforcement agency and has requested the inspection for law-enforcement or prosecutorial purposes; or</text> </paragraph> <paragraph num="(4)"> <text>Has requested the inspection on behalf of a surety investigating pending claims against the surety's bond for the particular licensee.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A federal, state, local or other law-enforcement agency may inspect the application record of an individual person who is the subject of the occupational and professional licensing record if the requested inspection is for law enforcement or prosecutorial purposes.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Fees."> <paragraph num="A."> <text>The fee schedule for copying and certifying copies of records is as follows:</text> <paragraph num="(1)"> <text>Copies.</text> <paragraph num="(a)"> <text>The fee for each copy made is 25 cents per page if reproduction is made by a standard printer or photocopying or scanning machine within the Department;</text> </paragraph> <paragraph num="(b)"> <text>The fee for each copy made otherwise shall be based on the actual cost of reproduction.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Certification of Copies. If a person requests that a copy of a public record be certified as a true copy, an additional fee of $1 per page (or, if appropriate, per item) shall be charged.</text> </paragraph> <paragraph num="(3)"> <text>Minimum Fee Charged. A charge will not be made if the total amount of the fee would be $5 or less.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Notwithstanding §A of this regulation, if the fees for copies, print-outs, photographs, or certified copies of any public record are specifically prescribed by a law other than the Act or this regulation, the prescribed fee shall be charged.</text> </paragraph> <paragraph num="C."> <text>If the custodian is unable to copy a public record within the Department, the custodian shall make arrangements for the prompt reproduction of the record at public or private facilities outside the Department. The custodian shall either collect from the applicant a fee to cover the actual cost of reproduction or direct the applicant to pay the cost of reproduction directly to the facility making the copy.</text> </paragraph> <paragraph num="D."> <text>Before copying a record, the custodian shall estimate the cost of reproduction, including any search and preparation fees, and either obtain the agreement of the applicant to pay the cost or require prepayment of any estimated fee before reproducing the record.</text> </paragraph> <paragraph num="E."> <text>Search and Preparation Fees.</text> <paragraph num="(1)"> <text>Except as provided in §E(2) of this regulation, the official custodian may charge reasonable fees for time expended fulfilling the following tasks:</text> <paragraph num="(a)"> <text>Searching for requested public records;</text> </paragraph> <paragraph num="(b)"> <text>Reviewing requested public records for potential disclosure; and</text> </paragraph> <paragraph num="(c)"> <text>Preparing public records for inspection and copying.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The official custodian may not charge any search or preparation fee for the first 2 hours of time that is needed to respond to a request to copy or inspect a public record.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Waiver or Reduction of Fee.</text> <paragraph num="(1)"> <text>The official custodian may waive or reduce any fee charged pursuant to this regulation if:</text> <paragraph num="(a)"> <text>The applicant requests a waiver; and</text> </paragraph> <paragraph num="(b)"> <text>The custodian determines that the waiver or reduction is in the public interest or if the applicant is indigent and files an affidavit verifying the facts support a claim of indigency.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In determining whether a fee is in the public interest, the custodian shall consider, among other relevant factors, the ability of the applicant to pay the fee.</text> </paragraph> </paragraph> <paragraph num="G."> <text>If the applicant requests that copies of a public record be mailed or delivered to the applicant or a third party, the custodian may charge the applicant for the cost of postage or delivery.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Sociological Information."> <paragraph num="A."> <text>Definition. For purposes of this regulation and as provided for under General Provisions Article, §4-330, Annotated Code of Maryland, “sociological information” means any of the following information requested from the Department:</text> <paragraph num="(1)"> <text>Social Security number;</text> </paragraph> <paragraph num="(2)"> <text>Personal address;</text> </paragraph> <paragraph num="(3)"> <text>Personal phone number;</text> </paragraph> <paragraph num="(4)"> <text>Information regarding marital status, dependents, or relatives; and</text> </paragraph> <paragraph num="(5)"> <text>Information regarding employment status, including employment application.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Nondisclosure. Unless otherwise prohibited from disclosure under applicable state or federal laws, the Department may not disclose sociological information to a requester, except that sociological information may be disclosed:</text> <paragraph num="(1)"> <text>To public employees in performance of their public duties;</text> </paragraph> <paragraph num="(2)"> <text>When required by a duly issued subpoena; or</text> </paragraph> <paragraph num="(3)"> <text>When required to be disclosed as part of a licensing record.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Fees."> <paragraph num="A."> <text>The fee schedule for copying and certifying copies of records is as follows:</text> <paragraph num="(1)"> <text>Copies. The fee for each copy is 25 cents per page if reproduction is made by a photocopying machine within the Department. If records are not susceptible to photocopying (for example, punch cards, magnetic tapes, blueprints, and microfilm), the fee for copies will be based on the actual cost of reproduction.</text> </paragraph> <paragraph num="(2)"> <text>Certification of Copies. If a person requests that a copy of a record be certified as a true copy, an additional fee of $1 shall be charged.</text> </paragraph> <paragraph num="(3)"> <text>Minimum Fee Charged. A charge will not be made if the total amount of the fee would be $1 or less.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Notwithstanding §A above, if the fees for copies, print-outs, photographs, or certified copies of any record are specifically prescribed by a law other than the Act or this regulation, the prescribed fee shall be charged.</text> </paragraph> <paragraph num="C."> <text>If the custodian is unable to copy a record within the Department, the custodian shall make arrangements for the prompt reproduction of the record at public or private facilities outside the Department. The custodian shall either collect from the applicant a fee to cover the actual cost of reproduction or direct the applicant to pay the cost of reproduction directly to the facility making the copy.</text> </paragraph> <paragraph num="D."> <text>Before copying a record, the custodian shall estimate the cost of reproduction and either obtain the agreement of the applicant to pay the cost or demand prepayment of any estimated fee before reproducing the record.</text> </paragraph> <paragraph num="E."> <text>Except as provided in §F, below, the official custodian may charge reasonable fees for official or employee time expended searching for requested records or for any time expended preparing records for inspection and copying.</text> </paragraph> <paragraph num="F."> <text>The official custodian may not charge any search or preparation fee for the first 2 hours of official or employee time that is needed to respond to a request for information.</text> </paragraph> <paragraph num="G."> <text>Upon request, the official custodian may waive or reduce any fee charged pursuant to this regulation if the custodian determines that the waiver or reduction is in the public interest. The official custodian shall consider, among other relevant factors, the ability of the applicant to pay the cost or fee.</text> </paragraph> <paragraph num="H."> <text>If the applicant requests that copies be mailed or delivered to the applicant, the custodian may charge the applicant for the cost of postage or delivery to the applicant.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Time of Inspection."> <text>An applicant may inspect any public record that he is entitled to inspect during the normal working hours of the Department.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="Place of Inspection."> <text>The place of inspection shall be the place where the document is located unless the custodian, after taking into account the applicant's expressed wish, determines that another place of inspection is more suitable and convenient.</text> </regulation> <regulation prefix="Regulation" num=".17" heading="Sociological Information."> <paragraph num="A."> <text>Definition. For purposes of this regulation, “sociological information” means any of the following information requested from the Department:</text> <paragraph num="(1)"> <text>Social Security number;</text> </paragraph> <paragraph num="(2)"> <text>Personal address;</text> </paragraph> <paragraph num="(3)"> <text>Personal phone number;</text> </paragraph> <paragraph num="(4)"> <text>Information regarding marital status, dependents, or relatives; and</text> </paragraph> <paragraph num="(5)"> <text>Information regarding employment status, including employment application.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Nondisclosure. The Department may not disclose sociological information to a requester, except that information may be disclosed:</text> <paragraph num="(1)"> <text>To public employees in performance of their public duties;</text> </paragraph> <paragraph num="(2)"> <text>To parties litigating claims for unemployment insurance to the extent the sociological information would be available to private parties in litigation;</text> </paragraph> <paragraph num="(3)"> <text>When required by a duly issued subpoena; or</text> </paragraph> <paragraph num="(4)"> <text>When required to be disclosed as part of a licensing record.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; General Provisions Article, Title 4; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.16 adopted as an emergency provision effective August 6, 1982 (9:18 Md. R. 1795); emergency status extended at 10:1 Md. R. 19; adopted permanently effective February 4, 1983 (10:2 Md. R. 109)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended effective January 14, 1985 (12:1 Md. R. 16)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13B amended effective July 28, 2008 (35:15 Md. R. 1348)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14A amended effective February 3, 1992 (19:2 Md. R. 154)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 adopted as an emergency provision effective June 8, 1995 (22:13 Md. R. 964); adopted permanently effective October 9, 1995 (22:20 Md. R. 1542)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 18, 2017 (44:25 Md. R. 1180)</annotation> </annotations> </chapter> <chapter num="05" heading="Petition for Adoption of Regulations"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of these regulations is to enable any interested person to request promulgation of regulations affecting matters under the authority of the Secretary or any constituent officer, commission, or agency, or to request amendment or repeal of any existing regulations.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Form of Petition."> <text>The petition shall be submitted in writing to the Secretary, 501 St. Paul Place, Baltimore, Maryland 21202 or to the principal office of the officer, commission, or agency to whom the petition is directed.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Content of Petition—Proposed Regulations."> <text>Any request for promulgation of new regulations submitted under these regulations shall include the proposed regulations and the reasons for and effect of the regulations, if adopted.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Content of Petition—Repeal or Amendment."> <text>Any request for amendment or repeal submitted under these regulations shall state what regulation the petitioner requests to be amended or repealed and the reasons for an effect of this request.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Review."> <text>The Secretary or the officer, commission, or agency to whom the petition is addressed, within 60 days after the petition is submitted, shall either deny the petition in writing, stating the reasons for the denial, or initiate rule-making proceedings. The petitioner shall be advised in writing of any action taken in response to the petition.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; State Government Article, §10-123; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 6, 1983 (9:26 Md. R. 2571)</annotation> </annotations> </chapter> <chapter num="06" heading="Correction or Amendment of Personal Records"> <regulation prefix="Regulation" num=".01" heading="General."> <text>These regulations set out procedures for persons in interest to request the correction or amendment of personal records under State Government Article, §10-625, Annotated Code of Maryland, in the Maryland Department of Labor.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Who May Request."> <text>A “person in interest” as defined in State Government Article, §10-611(e), Annotated Code of Maryland, may request the Department to correct or amend any personal records pursuant to State Government Article, §10-625, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Contents of Request."> <text>The person in interest shall request the correction or amendment in writing. Each request shall:</text> <paragraph num="A."> <text>Identify the personal records the person is seeking to correct or amend;</text> </paragraph> <paragraph num="B."> <text>State the precise correction or amendment requested;</text> </paragraph> <paragraph num="C."> <text>State the reason the correction or amendment is sought; and</text> </paragraph> <paragraph num="D."> <text>Include the statement that the personal records are to the person's belief currently inaccurate or incomplete.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Filing the Request."> <text>A request for correction or amendment of the records shall be filed with the Department by addressing it to the custodian of the record. If the custodian is unknown to the person in interest, the request may be addressed to the Secretary.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Return of Request."> <text>A request for correction or amendment will be considered filed with the Department when received only to the extent that it reasonably complies with Regulation .03. If a request does not reasonably comply with Regulation .03, it shall be returned to the person with an explanation of the reason for the return and a statement that, upon completion, it may be refiled with the Department.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Response to Request."> <text>Within 30 days after the completed request for correction or amendment that complies with Regulations .03 and .04 is received, the custodian of the record shall:</text> <paragraph num="A."> <text>Make the requested correction or amendment and inform the person of the action; or</text> </paragraph> <paragraph num="B."> <text>Inform the person in writing of the:</text> <paragraph num="(1)"> <text>Department's refusal to make the requested correction or amendment, and</text> </paragraph> <paragraph num="(2)"> <text>Reason for the refusal; or</text> </paragraph> </paragraph> <paragraph num="C."> <text>Inform the person in writing that the request will not be acted on because:</text> <paragraph num="(1)"> <text>The person is not a person in interest;</text> </paragraph> <paragraph num="(2)"> <text>The records sought to be corrected or amended are not personal records;</text> </paragraph> <paragraph num="(3)"> <text>The person requesting the correction or amendment is not entitled to inspect the records under State Government Article, §§10-615—10-619, Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(4)"> <text>Of any other reason authorized by law.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Refusal of Request."> <text>If the Department's final determination under Regulation .06 is to refuse the requested correction or amendment, as authorized by Regulation .06B, the person in interest may file with the Department a concise statement of the reasons for:</text> <paragraph num="A."> <text>The requested correction or amendment; and</text> </paragraph> <paragraph num="B."> <text>Disagreement with the Department's refusal to make the correction or amendment.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Requirements for Statement of Disagreement."> <text>The statement specified in Regulation .07 shall be filed on pages not exceeding 8 x 11 inches in size. Only one side of the page shall contain the statement. More than five pages may not be accepted by the Department in connection with a single request for correction and amendment.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Information Provided to Third Parties."> <text>When the Department discloses to a third party information from personal records about which a statement in compliance with Regulations .07 and .08 has been filed, the Department shall furnish a copy of the statement to the third party.</text> </regulation> <regulation prefix="Regulation" num=".10" heading="Administrative Review."> <paragraph num="A."> <text>A person may request an administrative review within the Department, by filing a request for review with the Secretary, if the person has been denied:</text> <paragraph num="(1)"> <text>An amendment or correction of a record;</text> </paragraph> <paragraph num="(2)"> <text>The right to file a statement; or</text> </paragraph> <paragraph num="(3)"> <text>The right to have a statement to a third party forwarded pursuant to Regulation .09.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A request for review shall be filed within 30 days of the date the person is advised of the Department's action.</text> </paragraph> <paragraph num="C."> <text>The review proceedings shall be conducted in accordance with State Government Article, §§10-204—10-214, Annotated Code of Maryland, and the administrative hearing regulations of the Department.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; State Government Article, §10-613; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 16, 1984 (11:1 Md. R. 42)</annotation> </annotations> </chapter> <chapter num="07" heading="Licensing of Sports Agents"> <regulation prefix="Regulation" num=".01" heading="Schedule of Fees."> <paragraph num="A."> <text>Original License—Individual--------------------- $1,000</text> </paragraph> <paragraph num="B."> <text>Original License—Corporation/Partnership---- $1,000</text> </paragraph> <paragraph num="C."> <text>Renewal License—Individual--------------------- $1,000</text> </paragraph> <paragraph num="D."> <text>Renewal License—Corporation/Partnership-----$1,000</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §4-405, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 15, 1989 (16:9 Md. R. 994)</annotation> </annotations> </chapter> <chapter num="08" heading="Currency Transactions"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>Currency.</text> <paragraph num="(a)"> <text>“Currency” means currency and coin of the United States or any other country including United States silver certificates, United States notes, and Federal Reserve notes.</text> </paragraph> <paragraph num="(b)"> <text>“Currency” does not include bank checks, traveler's checks, bank drafts, wire transfers, money orders, or other negotiable or monetary instruments not customarily accepted as money.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(3)"> <text>“Person engaged in a trade or business” means an individual, partnership, firm, trust, estate, association, corporation, or other entity:</text> <paragraph num="(a)"> <text>Engaged in vehicle sales, including motor vehicle, airplane, and boat sales;</text> </paragraph> <paragraph num="(b)"> <text>That conducts real estate closings and settlements; or</text> </paragraph> <paragraph num="(c)"> <text>Engaged in the sale or pledging of jewelry.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Receives” means acquires, takes possession of, or transfers.</text> </paragraph> <paragraph num="(5)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Reporting by Persons Engaging in a Trade or Business."> <paragraph num="A."> <text>Each person engaged in a trade or business who receives more than $10,000 in currency in one transaction, which takes place in this State, shall keep a record of each transaction. Individuals shall keep a record of only those transactions occurring during the course of the individual's trade or business.</text> </paragraph> <paragraph num="B."> <text>A single transaction may not be divided into multiple transactions in order to avoid reporting under this regulation.</text> </paragraph> <paragraph num="C."> <text>Each single transaction in excess of $10,000 shall be recorded on Form 8300, as required by 26 U.S.C. §6050-I.</text> </paragraph> <paragraph num="D."> <text>A copy in triplicate of the Form 8300 shall be filed with the Secretary of Labor, Operations and Management Unit, 501 St. Paul Place, Baltimore, Maryland 21202, within 15 days of the date of the transaction.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Availability of Reports."> <paragraph num="A."> <text>The Secretary shall make available to the Office of the Attorney General and the Department of Public Safety and Correctional Services a copy of each Form 8300 filed with the Secretary, on at least a monthly basis.</text> </paragraph> <paragraph num="B."> <text>The Secretary shall make available to any other criminal justice agency of federal, State, or municipal government, upon request, a copy of any Form 8300 filed with the Secretary.</text> </paragraph> <paragraph num="C."> <text>The copies of Form 8300 are not public records for the purpose of State Government Article, Title 10, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Failure to Report."> <paragraph num="A."> <text>After notice and opportunity for a hearing, as provided in State Government Article, Title 10, the Secretary may assess a civil penalty not to exceed $50 for each day that the Form 8300 is in arrears.</text> </paragraph> <paragraph num="B."> <text>For the purpose of determining the civil penalty, the Secretary shall assess a separate penalty for each store, division, branch, department, headquarters, or office, regardless of physical location.</text> </paragraph> <paragraph num="C."> <text>The total civil penalty may not exceed $1,000 per violation.</text> </paragraph> <paragraph num="D."> <text>In determining the amount of the civil penalty for a violation, the Secretary shall consider the amount of currency and number of transactions involved, and any pattern of compliance or noncompliance by the person engaged in the trade or business.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Corporations and Associations Article, §1-503, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 adopted as an emergency provision effective August 1, 1990 (17:17 Md. R. 2074); emergency status expired January 1, 1991</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 adopted effective October 28, 1991 (18:21 Md. R. 2307)</annotation> </annotations> </chapter> <chapter num="09" heading="New Home Warranty Security Plans"> <regulation prefix="Regulation" num=".01" heading="Disclosure by Builders Not Participating in New Home Warranty Security Plan."> <paragraph num="A."> <text>The disclosure shall be printed in at least 12-point type.</text> </paragraph> <paragraph num="B."> <text>The disclosure shall read as follows:</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Disclosure Required by Builders Participating in New Home Warranty Security Plan."> <paragraph num="A."> <text>The disclosure shall be printed in at least 12-point type.</text> </paragraph> <paragraph num="B."> <text>The disclosure shall read as follows:</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Disclosure Required by Builder Leaving Decision to Participate in New Home Warranty Security Plan to the Buyer."> <paragraph num="A."> <text>The disclosure shall be printed in at least 12-point type.</text> </paragraph> <paragraph num="B."> <text>The disclosure shall read as follows:</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Notification Required to be Given to Buyer on Warranty Date."> <paragraph num="A."> <text>On the warranty date, if a builder participates in a New Home Warranty Security Plan or if a buyer has elected to have the builder participate in a plan, the builder shall provide the owner with evidence that the new home is covered by a new home warranty that meets the requirements of Maryland law.</text> </paragraph> <paragraph num="B."> <text>Evidence of participation is a letter from the New Home Warranty Security Plan certifying that the new home is covered by the minimum warranty required under Maryland law and specifically setting forth any additional express warranties or any exclusions to the warranty coverage.</text> </paragraph> <paragraph num="C."> <text>The letter in §B of this regulation shall include the address and telephone number of the New Home Warranty Security Plan. The letter shall contain the following statement in bold type:</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Notice to Buyer Required by Builders Participating in New Home Warranty Security Plan or Electing to Allow Buyer the Option of Participating in New Home Warranty Security Plan."> <paragraph num="A."> <text>The notice shall be printed in at least 12-point type.</text> </paragraph> <paragraph num="B."> <text>The notice shall be incorporated into the contract in a conspicuous manner and shall read as follows:</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Financial Security Requirements for New Home Warranty Security Plan."> <paragraph num="A."> <text>Approval of a new home warranty security plan shall continue only if the operator of the plan remains financially able to pay all valid claims.</text> </paragraph> <paragraph num="B."> <text>The operator shall demonstrate financial responsibility from time to time to the Secretary in the following manner:</text> <paragraph num="(1)"> <text>The operator shall maintain and file with the Secretary a surety bond from an authorized insurer or an irrevocable letter of credit from a federally insured financial institution to ensure that the operator is able to meet its contractual obligations under the plan to the buyers. The amount of the bond or letter of credit is $100,000 unless a greater amount is required by the Secretary. The bond or letter of credit is in addition to any insurance or risk retention plan coverage the operator maintains to meet liability claims.</text> </paragraph> <paragraph num="(2)"> <text>At such time as it appears to the Secretary that a bond or letter of credit in the amount of $100,000 is not adequate to meet potential new home warranty security plan claims, the Secretary shall require:</text> <paragraph num="(a)"> <text>A bond or letter of credit in a higher amount;</text> </paragraph> <paragraph num="(b)"> <text>The establishment by the operator of a reserve fund; or</text> </paragraph> <paragraph num="(c)"> <text>Other measures to ensure financial responsibility.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The operator shall furnish such information and reports, and grant such access to its records, as the Secretary from time to time requires.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Registration and Effective Date of New Home Warranty Security Plan."> <paragraph num="A."> <text>If a contract for sale or construction of a new home between a buyer and a builder who participates in a new home warranty security plan provides, either by its terms or by virtue of an option exercised by the buyer, that the home will be registered in the plan, the operator of the plan shall register the home and shall do so at the cost agreed upon between the operator and the builder and disclosed to the buyer at the time the contract for sale or construction of the new home is entered into, unless the buyer is not charged directly or indirectly for the cost of the warranty.</text> </paragraph> <paragraph num="B."> <text>Protection under the new home warranty security plan begins on the warranty date.</text> </paragraph> <paragraph num="C."> <text>The provisions of Real Property Article, Subtitle 6, Annotated Code of Maryland, concerning new home warranties apply to each newly constructed private dwelling unit, the contract for sale or construction of which is entered into on or after January 1, 1991. The provisions of Real Property Article, Subtitle 6, Annotated Code of Maryland, do not apply in Montgomery County, except as provided in Real Property Article, §10-610, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Other Warranties."> <text>The warranties provided under a new home warranty security plan are in addition to warranties otherwise provided by law, including those set forth in Real Property Article, §§10-202, 10-203, and 11-131, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Notice Requirements for Denial of Coverage."> <paragraph num="A."> <text>Notice of Denial.</text> <paragraph num="(1)"> <text>The operator of a plan shall notify the buyer in writing of a decision to deny warranty coverage for all or part of a claim not later than 90 days after the claim is received by the operator.</text> </paragraph> <paragraph num="(2)"> <text>The notice of denial shall include:</text> <paragraph num="(a)"> <text>Reference to the specific terms of the plan on which the denial is based; and</text> </paragraph> <paragraph num="(b)"> <text>The procedures which the buyer must follow to appeal the denial, including all time limitations.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>If the operator is unable to reach a decision on the claim within 90 days, the operator shall:</text> <paragraph num="(1)"> <text>Before the end of the 90-day period, notify the buyer in writing of the:</text> <paragraph num="(a)"> <text>Reasons for the inability to meet the deadline, and</text> </paragraph> <paragraph num="(b)"> <text>Date by which the decision will be reached; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>When a decision on the claim is reached, notify the buyer of a decision to deny warrant coverage in accordance with §A of this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The operator shall send copies of all notifications of denial of coverage to the Secretary at the same time that the notice is sent to the buyer.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Real Property Article, Title 10, Subtitle 6, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 amended as an emergency provision effective January 1, 2000 (26:27 Md. R. 2013); amended permanently effective May 1, 2000 (27:8 Md. R. 798)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 amended as an emergency provision effective January 1, 2001 (28:2 Md. R. 97); emergency status expired June 1, 2001; amended permanently effective June 25, 2001 (28:12 Md. R. 1105)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.08 adopted as an emergency provision effective January 1, 1991 (18:2 Md. R. 142); emergency status expired July 31, 1991</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.08 adopted as an emergency provision effective October 29, 1991 (18:23 Md. R. 2481); emergency status expired April 30, 1992; adopted permanently effective June 8, 1992 (19:11 Md. R. 1013)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 adopted effective January 24, 2000 (27:1 Md. R. 74)</annotation> </annotations> </chapter> <chapter num="10" heading="Criminal Record—Effect on Licensure"> <regulation prefix="Regulation" num=".01" heading="Applicability."> <text>The following standards shall be applied by an officer, commissioner, commission, and board within the Maryland Department of Labor to the extent the officer, commissioner, commission, or board has authority to consider the effect of a criminal conviction on the grant, denial, renewal, or revocation of a license.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Standards."> <text>The following standards shall be considered in the grant, denial, renewal, or revocation of a license, when an applicant or licensee has been convicted of a crime:</text> <paragraph num="A."> <text>The nature of the crime;</text> </paragraph> <paragraph num="B."> <text>The relationship of the crime to the activities authorized by the license;</text> </paragraph> <paragraph num="C."> <text>The relevance of the conviction to the fitness and qualification of the applicant or licensee to perform the occupation authorized by the license;</text> </paragraph> <paragraph num="D."> <text>Other crimes of which the applicant or licensee has been convicted;</text> </paragraph> <paragraph num="E."> <text>The length of time since the conviction;</text> </paragraph> <paragraph num="F."> <text>The behavior and activities of the applicant or licensee before, and subsequent to, the conviction.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105, Annotated Code of Maryland;57 Attorney General Opinion 355 (1972)</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 12, 1996 (23:16 Md. R. 1175)</annotation> </annotations> </chapter> <chapter num="11" heading="Open Meetings Act"> <regulation prefix="Regulation" num=".01" heading="General."> <text>This chapter contains procedures regarding:</text> <paragraph num="A."> <text>The attendance by members of general public of open sessions of the units in the Maryland Department of Labor; and</text> </paragraph> <paragraph num="B."> <text>The recording and broadcasting of open sessions of the units within the Maryland Department of Labor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(2)"> <text>“Open meeting” means a public meeting of the unit within the Department required to be open to the public pursuant to the Open Meetings Act, General Provisions Article, Title 3, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(3)"> <text>“Unit” means an entity defined in Business Regulation Article, §2-108, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Public Attendance."> <paragraph num="A."> <text>The public is invited to attend and observe any open session of the unit within the Department.</text> </paragraph> <paragraph num="B."> <text>Except in instances when the unit expressly invites public testimony, questions, comments, or other forms of public participation, or when public participation is otherwise authorized by law, a member of the public attending an open session may not actively participate in the session.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Prohibited Conduct or Activity."> <paragraph num="A."> <text>An individual attending an open session of the unit may not engage in conduct that disrupts the session or interferes with the right or opportunity of members of the public to attend and observe the session.</text> </paragraph> <paragraph num="B."> <text>The presiding officer may:</text> <paragraph num="(1)"> <text>Order an individual who engages in conduct prohibited in §A of this regulation or who violates any other regulation concerning the conduct of the open session to be removed from the session;</text> </paragraph> <paragraph num="(2)"> <text>Request police or other assistance to restore order; or</text> </paragraph> <paragraph num="(3)"> <text>Recess the session while order is restored.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Recording, Photographing, and Broadcasting of Open Sessions."> <paragraph num="A."> <text>During a public session, a member of the public, including a representative of the news media, may record discussions of the unit using a recording device, if the device:</text> <paragraph num="(1)"> <text>Does not create an excessive noise that disturbs members of the unit or any other individuals attending the session;</text> </paragraph> <paragraph num="(2)"> <text>Does not otherwise interfere with an individual's observation of or participation in the session; and</text> </paragraph> <paragraph num="(3)"> <text>Is operated openly so that it is obvious to those in attendance that the session is being recorded.</text> </paragraph> </paragraph> <paragraph num="B."> <text>During a public session, a member of the public, including a representative of the news media, may photograph or video record the proceedings of the unit by means of any type of camera or other recording device, if the device:</text> <paragraph num="(1)"> <text>Is operated without excessively bright artificial light that disturbs members of the unit or other individuals attending the open session;</text> </paragraph> <paragraph num="(2)"> <text>Does not create an excessive noise that disturbs members of the unit or any individuals attending the session;</text> </paragraph> <paragraph num="(3)"> <text>Does not otherwise interfere with an individual's observation of or participation in the session; and</text> </paragraph> <paragraph num="(4)"> <text>Is operated openly so that it is obvious to those in attendance that the session is being recorded.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A representative of the news media may broadcast or televise the proceedings of the open session of the unit if the equipment used:</text> <paragraph num="(1)"> <text>Is operated without excessively bright artificial light that disturbs members of the unit or other individuals attending the open session;</text> </paragraph> <paragraph num="(2)"> <text>Does not create an excessive noise that disturbs members of the unit or any individuals attending the session;</text> </paragraph> <paragraph num="(3)"> <text>Does not otherwise interfere with an individual's observation of or participation in the session; and</text> </paragraph> <paragraph num="(4)"> <text>Is operated openly so that it is obvious to those in attendance that the session is being recorded.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The presiding officer may announce the recording of the proceedings.</text> </paragraph> <paragraph num="E."> <text>The presiding officer may restrict movement of a person who is using a recording device, camera, or broadcasting or television equipment if such restriction is necessary to maintain the orderly conduct of the open session.</text> </paragraph> <paragraph num="F."> <text>The presiding officer of the unit may require that an individual who intends to record, photograph, broadcast, televise, or otherwise transmit an open session let the unit know in advance of the beginning of the session.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Recordings Not Part of Record."> <text>A recording of an open session made by a member of the public, or any transcript derived from such a recording, may not be deemed a part of the record or any proceeding of the unit.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§2-105 and 2-108; General Provisions Article, Title 3; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 24, 2018 (45:19 Md. R. 865)</annotation> </annotations> </chapter> <chapter num="12" heading="Apprenticeship Maryland"> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; Labor and Employment Article, §11-603(k); Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 14, 2016 (43:5 Md. R. 384)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01— .08 repealed effective May 15, 2023 (50:9 Md. R.. 378)</annotation> </annotations> </chapter> <chapter num="13" heading="Regulation of Units to Prevent Anticompetitive Actions"> <regulation prefix="Regulation" num=".01" heading="Procedures."> <paragraph num="A."> <text>The procedures described in this regulation shall apply to a proposed decision or action of a board or commission within the Maryland Department of Labor composed in whole or in part of individuals participating in the occupation or profession regulated by the board or commission if the proposed decision or action:</text> <paragraph num="(1)"> <text>May result in an unreasonable anti-competitive action; and</text> </paragraph> <paragraph num="(2)"> <text>Does not further a clearly articulated State policy to displace competition in a regulated market in order to protect the health, safety, and welfare of the citizens of the State.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Before the board or commission makes a decision or takes an action which may result in the outcomes described in this regulation, the board or commission shall notify the Secretary or the Secretary’s designee of the board’s or commission’s proposed action or decision.</text> </paragraph> <paragraph num="C."> <text>The Secretary or the Secretary’s designee shall review the proposed action or decision expeditiously and shall notify the board or commission in writing of the decision to approve, disapprove, modify, or remand the proposed decision or action back to the board or commission for further review.</text> </paragraph> <paragraph num="D."> <text>A decision or an action of a board or commission may not constitute a final decision or action of the board or commission until after the Secretary or the Secretary’s designee has conducted a review of the substance of the proposed decision or action by the board or commission to ensure its compliance with an articulated State policy as described in State Government Article, §8-205.1(b), Annotated Code of Maryland.</text> </paragraph> <paragraph num="E."> <text>A final decision or action of the board or commission shall comply with the written decision made by the Secretary or the Secretary’s designee in accordance with the requirements set forth in this regulation.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">State Government Article, §8-205.1, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 31, 2018 (45:26 Md. R. 1240)</annotation> </annotations> </chapter> </subtitle> <subtitle num="02" heading="" /> <subtitle num="03" heading="Commissioner of Financial Regulation"> <chapter num="01" heading="Credit Unions"> <regulation prefix="Regulation" num=".01—.07" heading="Repealed." /> <regulation prefix="Regulation" num=".08" heading="Real Estate Lending."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>“Appraisal” means an objective estimate of value established using a real estate appraisal policy approved by the board of directors in accordance with all applicable federal and State laws and regulations and in conformity with secondary market guidelines including but not limited to the Federal National Mortgage Association (FNMA) and/or Federal Home Loan Mortgage Corporation (FHLMC).</text> </paragraph> <paragraph num="(2)"> <text>“Appraiser” means an individual who performs appraisals under the authority of real estate appraisal policies and procedures approved by the Commissioner of Financial Regulation under Financial Institutions Article, §2-110, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(3)"> <text>“Construction mortgage” means an interim loan covering residential construction and development costs in which funds are advanced at specific stages of construction with a portion held back until completion of the project.</text> </paragraph> <paragraph num="(4)"> <text>“Escrow account” means either a special limited-withdrawal share account or an accounts payable account used for the accumulation of funds to pay for not more than 1 year's taxes, ground rent, assessments, insurance premiums, or other charges that could affect the credit union's lien position.</text> </paragraph> <paragraph num="(5)"> <text>“Flood insurance” means insurance affording protection against loss or damage from flood and other hazards covered by a standard mortgage clause in favor of the credit union and subsequent purchasers of the mortgage.</text> </paragraph> <paragraph num="(6)"> <text>“Hazard insurance” means property insurance affording protection against loss or damage from fire and other hazards covered by a standard extended coverage endorsement with a standard mortgage clause in favor of the credit union and subsequent purchasers of the mortgage.</text> </paragraph> <paragraph num="(7)"> <text>“Insured or guaranteed loan” means a loan that is fully or partially insured or guaranteed by the federal government, State government, local government, or any agency of these governments.</text> </paragraph> <paragraph num="(8)"> <text>“Lender's title insurance” means insurance that protects:</text> <paragraph num="(a)"> <text>The credit union against loss due to clouds or defects in title to real property in an amount equal to the current principal balance of the loan; and</text> </paragraph> <paragraph num="(b)"> <text>Subsequent purchasers of the mortgage or deed of trust.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>“Market value” means the highest price that real property will bring in a competitive and open market under all conditions requisite to a fair sale, with the buyer and seller acting in a prudent and knowledgeable manner, and assuming the price is not affected by undue stimulus.</text> </paragraph> <paragraph num="(10)"> <text>“Net worth” means retained earnings as defined under generally accepted accounting principles. Retained earnings include, but are not limited to, undivided earnings, regular reserves, and any other appropriations designated by management or the Commissioner.</text> </paragraph> <paragraph num="(11)"> <text>“Permanent financing” means a longer-term mortgage loan greater than 10 years in maturity and covering development costs, construction costs, legal expenses, and other related costs. Permanent financing is also known as a take-out loan for a construction loan.</text> </paragraph> <paragraph num="(12)"> <text>“Principal residence” means a structure where the owner will be domiciled or will reside permanently within the time period established by the applicable federal loan programs or within 60 days after initial disbursement of the loan.</text> </paragraph> <paragraph num="(13)"> <text>“Private mortgage insurance” means mortgage insurance that is purchased for conventional loans on that amount of the loan that is in excess of 80 percent loan to value.</text> </paragraph> <paragraph num="(14)"> <text>Purchase Money Mortgage.</text> <paragraph num="(a)"> <text>“Purchase money mortgage” means the acquisition of property through the use of a first mortgage or first deed of trust.</text> </paragraph> <paragraph num="(b)"> <text>“Purchase money mortgage” does not include refinances or seasoned loans.</text> </paragraph> </paragraph> <paragraph num="(15)"> <text>“Refinance—cash out” means the repayment of an existing mortgage debt from the proceeds of a new mortgage that has the same borrower and the same security property, which:</text> <paragraph num="(a)"> <text>Is settled in accordance with existing underwriting guidelines; and</text> </paragraph> <paragraph num="(b)"> <text>May include:</text> <paragraph num="(i)"> <text>The unpaid principal balance of the existing first mortgage,</text> </paragraph> <paragraph num="(ii)"> <text>Closing costs,</text> </paragraph> <paragraph num="(iii)"> <text>Points,</text> </paragraph> <paragraph num="(iv)"> <text>The amount required to satisfy any outstanding subordinate mortgage liens, and</text> </paragraph> <paragraph num="(v)"> <text>Additional cash that the borrower may use for any purpose.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(16)"> <text>“Refinance—no cash out” means the repayment of an existing mortgage debt from the proceeds of a new mortgage that has the same borrower and the same security property, which:</text> <paragraph num="(a)"> <text>Is settled in accordance with existing underwriting guidelines; and</text> </paragraph> <paragraph num="(b)"> <text>May include:</text> <paragraph num="(i)"> <text>The unpaid principal balance of the existing first mortgage,</text> </paragraph> <paragraph num="(ii)"> <text>Closing cost,</text> </paragraph> <paragraph num="(iii)"> <text>Points, and</text> </paragraph> <paragraph num="(iv)"> <text>The amount required to satisfy any outstanding subordinate mortgage liens.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(17)"> <text>Residential Real Property.</text> <paragraph num="(a)"> <text>“Residential real property” means a structure designed for residential use by not more than four families, at least one unit of which shall be occupied by the owner of the structure.</text> </paragraph> <paragraph num="(b)"> <text>“Residential real property” includes a one- to four-family unit in a planned unit development or condominium project where certain portions of the secured property are owned in common with others.</text> </paragraph> <paragraph num="(c)"> <text>“Residential real property” does not include a unit in a cooperative project.</text> </paragraph> </paragraph> <paragraph num="(18)"> <text>“Secondary mortgage loan market” means a nationally recognized market, the most common of which has been created by the Federal National Mortgage Association (FNMA) and the Federal Home Loan Mortgage Corporation (FHLMC), where first mortgages are securitized or sold, or both, separately to investors.</text> </paragraph> <paragraph num="(19)"> <text>“Secondary residence” means one structure in addition to a principal residence:</text> <paragraph num="(a)"> <text>Where the owner resides for at least 2 weeks every calendar year; or</text> </paragraph> <paragraph num="(b)"> <text>Which the owner will not rent to others for at least 2 weeks every calendar year.</text> </paragraph> </paragraph> <paragraph num="(20)"> <text>“Security instrument” means either a deed of trust or a mortgage that constitutes a lien.</text> </paragraph> <paragraph num="(21)"> <text>“Value” means the lower of the appraised market value or the purchase price.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Requirements. A credit union may make loans secured by residential real property only in accordance with a written loan policy adopted by the board of directors. The policy shall have four sections, if applicable, as follows:</text> <paragraph num="(1)"> <text>General real estate lending policy;</text> </paragraph> <paragraph num="(2)"> <text>Purchase money mortgages, refinances;</text> </paragraph> <paragraph num="(3)"> <text>Construction ,mortgage—permanent financing;</text> </paragraph> <paragraph num="(4)"> <text>Second mortgages, home equity loans/lines of credit; and</text> </paragraph> <paragraph num="(5)"> <text>Nonconforming real estate loans.</text> </paragraph> </paragraph> <paragraph num="C."> <text>General Real Estate Lending Policy Section.</text> <paragraph num="(1)"> <text>The general real estate lending policy section shall, at a minimum, address the following:</text> <paragraph num="(a)"> <text>Types of real estate loans to be offered, for example:</text> <paragraph num="(i)"> <text>Purchase money mortgages, refinances—cash out, or refinances—no cash out with fixed or adjustable rates;</text> </paragraph> <paragraph num="(ii)"> <text>Second mortgages, home equity loans/lines of credit, open-end, closed-end with fixed or adjustable rates;</text> </paragraph> <paragraph num="(iii)"> <text>Nonconforming real estate loans; and</text> </paragraph> <paragraph num="(iv)"> <text>Construction mortgages;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The Maryland lending statute under which each type of loan is written;</text> </paragraph> <paragraph num="(c)"> <text>Total real estate lending limits determined by the board of directors, which:</text> <paragraph num="(i)"> <text>Do not exceed the lesser of 30 percent of total credit union assets that can be invested in real estate loans, or four times total credit union capital that can be invested in real estate loans, and</text> </paragraph> <paragraph num="(ii)"> <text>May not be exceeded unless approved in writing by the Commissioner;</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>The credit union's market area for real estate loans;</text> </paragraph> <paragraph num="(e)"> <text>The terms and pricing of real estate loans;</text> </paragraph> <paragraph num="(f)"> <text>The qualifications and experience needed by personnel involved in making real estate loans;</text> </paragraph> <paragraph num="(g)"> <text>Monitoring and quality control standards and procedures that address the loan portfolio, collateral, and interest rate risk;</text> </paragraph> <paragraph num="(h)"> <text>Any requirement that a borrower contribute funds to an escrow account maintained in the credit union for accumulation of funds to pay real estate taxes, hazard insurance, ground rents, flood insurance, PMI, and any other similar expense items;</text> </paragraph> <paragraph num="(i)"> <text>Any requirement that a borrower have hazard insurance, as permitted by the Commercial Law Article, Annotated Code of Maryland, and with the following provisions:</text> <paragraph num="(i)"> <text>The hazard insurance company may be chosen by the borrower, and</text> </paragraph> <paragraph num="(ii)"> <text>The credit union should be listed as the loss payee on the insurance policy;</text> </paragraph> </paragraph> <paragraph num="(j)"> <text>Any requirement that a borrower provide a termite inspection on the improvements of the real property;</text> </paragraph> <paragraph num="(k)"> <text>Any requirement that a borrower provide a perc test if the real property has a septic tank system;</text> </paragraph> <paragraph num="(l)"> <text>Any requirement that a borrower provide a chemical/bacteriological and yield test if the property has a well water system;</text> </paragraph> <paragraph num="(m)"> <text>Any requirement that a borrower provide a survey of the real property; and</text> </paragraph> <paragraph num="(n)"> <text>Provisions that notify loan officers of the requirements of §C(2)—(6) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The loan application, security instrument, and note, if a deed of trust is used, shall be executed on the most current version of the Federal Housing Administration (FHA), Veterans' Administration (VA), Federal Home Loan Mortgage Corporation (FHLMC), or Federal National Mortgage Association (FNMA) standard forms or uniform instruments for the jurisdiction in which the property is located. If FHA, VA, FHLMC, or FNMA uniform instruments do not exist, the credit union shall have on file a current attorney's opinion stating that the forms in use meet the requirements of applicable federal, State, and local law.</text> </paragraph> <paragraph num="(3)"> <text>The loan shall be:</text> <paragraph num="(a)"> <text>Secured by a properly executed and recorded mortgage or deed of trust on real property naming the credit union as the secured party or beneficiary; and</text> </paragraph> <paragraph num="(b)"> <text>If a deed of trust is used, supported by a properly executed promissory note.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A credit union shall comply with all requirements of the Flood Disaster Protection Act.</text> </paragraph> <paragraph num="(5)"> <text>A credit union shall require that real estate loans in excess of $100,000 have an appraisal prepared and signed by the appraiser before the date of the approval of the loan. In the case of an insured or guaranteed loan, the appraisal form shall comply with the requirements of the insuring or guaranteeing agency. All negative comments by the appraiser shall be explained or reflect financial adjustments, or both.</text> </paragraph> <paragraph num="(6)"> <text>Appraisal Guidelines.</text> <paragraph num="(a)"> <text>In accordance with Financial Institutions Article, §2-110, Annotated Code of Maryland, the credit union shall have on file with the Commissioner an approved real estate appraisal policy and procedure which includes the following appraisal guidelines:</text> <paragraph num="(i)"> <text>The appraiser may not have a financial interest in the real estate being appraised;</text> </paragraph> <paragraph num="(ii)"> <text>The appraiser shall be independent of influence from the credit union, the borrower, the seller, or any other related third party; and</text> </paragraph> <paragraph num="(iii)"> <text>The appraiser shall have demonstrated experience in appraising property similar in type and value to the real property that is being considered for the loan.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The credit union shall maintain evidence of the appraiser's professional certification, license, or any other recognized measure of competence in their field.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Purchase Money Mortgages, Refinances Policy.</text> <paragraph num="(1)"> <text>The purchase money mortgages, refinances policy section shall, at a minimum, address the following:</text> <paragraph num="(a)"> <text>A policy statement adopted by the board of directors that all purchase money mortgages will be underwritten to be sold on the secondary market if liquidity conditions or the interest rate risk exposure to the credit union makes the sale necessary;</text> </paragraph> <paragraph num="(b)"> <text>A description of the loan products offered, for example, purchase money mortgages, refinances—cash out, and refinances—no cash out;</text> </paragraph> <paragraph num="(c)"> <text>A statement that any loan made under this section of the written loan policy shall be a loan to finance the purchase of a principal residence or secondary residence by a borrower or to refinance an existing mortgage or deed of trust by a borrower;</text> </paragraph> <paragraph num="(d)"> <text>A requirement that loan maturities may not exceed 30 years;</text> </paragraph> <paragraph num="(e)"> <text>The requirements for and the release of private mortgage insurance;</text> </paragraph> <paragraph num="(f)"> <text>Underwriting guidelines that are consistent with nationally recognized secondary mortgage market standards such as the Federal National Mortgage Association (FNMA) or the Federal Home Loan Mortgage Corporation (FHLMC); and</text> </paragraph> <paragraph num="(g)"> <text>Provisions notifying loan officers of the requirements of §D(2)—(5) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A loan, including an adjustable rate loan, shall be amortized by substantially equal installments sufficient to retire the loan at maturity except when allowed by law. Installments shall be payable at least monthly.</text> </paragraph> <paragraph num="(3)"> <text>A loan made under this section of the real estate policy may not exceed 80 percent of the appraised value of the property securing the loan at the time of disbursement, except that:</text> <paragraph num="(a)"> <text>An insured or guaranteed loan may equal the maximum amount acceptable to the insuring or guaranteeing agency;</text> </paragraph> <paragraph num="(b)"> <text>The loan amount may equal up to 95 percent of the value of the property if private mortgage insurance is obtained for the amount of the loan in excess of 80 percent of the value;</text> </paragraph> <paragraph num="(c)"> <text>A loan made in accordance with any Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage Association (FNMA), federal, State, county, or municipal program may equal the maximum loan-to-value amount acceptable under the program and shall be originated to be sold in the secondary market without recourse or with recourse if the program permits.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A credit union shall require that a borrower provide an opinion or certificate of title signed by an attorney licensed to practice in the jurisdiction in which the property is located, or a lender's title insurance policy affirming the quality and position of the lien.</text> </paragraph> <paragraph num="(5)"> <text>Loan Documentation. A loan file shall be maintained for each loan, and, at a minimum, contain all of the following:</text> <paragraph num="(a)"> <text>A loan application supported by an executed sales contract, or other applicable documents and any modifications, bearing the signature or signatures of principal parties to the transaction;</text> </paragraph> <paragraph num="(b)"> <text>A written appraisal, if required, prepared and signed by the appraiser before the date of the approval of the loan;</text> </paragraph> <paragraph num="(c)"> <text>In the case of an insured or guaranteed loan, an appraisal form which complies with the requirements of the insuring or guaranteeing agency;</text> </paragraph> <paragraph num="(d)"> <text>When applicable, a private mortgage insurance certificate or documentation that the loan is insured or guaranteed;</text> </paragraph> <paragraph num="(e)"> <text>When applicable, a complete settlement statement (Form HUD-1 or HUD-1A) detailing all charges and fees and distribution of the loan proceeds;</text> </paragraph> <paragraph num="(f)"> <text>An opinion or certificate of title signed by an attorney licensed to practice in the jurisdiction in which the property is located, or a lender's title insurance policy affirming the quality and position of the lien;</text> </paragraph> <paragraph num="(g)"> <text>A current hazard insurance policy;</text> </paragraph> <paragraph num="(h)"> <text>A current flood insurance policy, if required;</text> </paragraph> <paragraph num="(i)"> <text>A properly executed security instrument and note, if a deed of trust is used, and a document indicating the date or dates and place or places of recording of the instruments;</text> </paragraph> <paragraph num="(j)"> <text>When applicable, evidence of compliance with the Federal Truth in Lending Act, 15 U.S.C. §1601 et seq., which is incorporated by reference;</text> </paragraph> <paragraph num="(k)"> <text>When applicable, disclosure required by the Real Estate Settlement Procedures Act, 12 U.S.C. §2601 et seq., which is incorporated by reference;</text> </paragraph> <paragraph num="(l)"> <text>Any and all other required loan documents including but not limited to credit documentation, verifications, surveys, and appraisals.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Construction Mortgage—Permanent Financing. The construction mortgage—permanent financing loan policy section shall, at a minimum, address the following:</text> <paragraph num="(1)"> <text>The maturity of the construction loan may not exceed 2 years unless a time extension is granted in writing by the credit union for unusual circumstances;</text> </paragraph> <paragraph num="(2)"> <text>The credit union may collect interest-only payments during the term of the construction loan;</text> </paragraph> <paragraph num="(3)"> <text>The loan-to-value ratio for construction mortgages may not exceed 95 percent;</text> </paragraph> <paragraph num="(4)"> <text>The appraisal requirements for construction loans are the same as those in §C(5) and (6) of this regulation;</text> </paragraph> <paragraph num="(5)"> <text>The construction mortgage agreement with the borrower shall contain, at a minimum, the following provisions:</text> <paragraph num="(a)"> <text>A detailed description of the various stages at which funds will be disbursed and the inspection requirements for each stage;</text> </paragraph> <paragraph num="(b)"> <text>A requirement that the final draw for the construction loan may not be made until the final use and occupancy permit from the appropriate local jurisdiction is obtained; and</text> </paragraph> <paragraph num="(c)"> <text>A requirement that before the construction loan is granted, all required building permits, perc tests, wetland determinations, surveys, and other required documents shall be completed;</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>If the construction loan amount is greater than $150,000, the borrower shall purchase a performance bond to ensure the contractor fulfills the contractor's obligations;</text> </paragraph> <paragraph num="(7)"> <text>If applicable, when the permanent financing pays off the construction mortgage, all applicable provisions of §D of this regulation shall apply to the purchase money mortgage; and</text> </paragraph> <paragraph num="(8)"> <text>If applicable, provisions for permanent financing shall be addressed.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Second Mortgage, Home Equity Loan/Line of Credit Policy.</text> <paragraph num="(1)"> <text>The second mortgage, home equity loan/line of credit policy section shall, at a minimum, address the following:</text> <paragraph num="(a)"> <text>A description of the various loan products offered, for example, second mortgages, and home equity lines of credit;</text> </paragraph> <paragraph num="(b)"> <text>Underwriting guidelines that are consistent with prudent loan underwriting standards for second mortgages and home equity lines of credit or secondary market conditions as they may exist; and</text> </paragraph> <paragraph num="(c)"> <text>Provisions that notify loan officers of the requirements of §F(2)—(6) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Any loan made under this section shall be secured by the borrower's principal residence or secondary residence.</text> </paragraph> <paragraph num="(3)"> <text>Loan maturities may not exceed 30 years in the case of home equity loan/lines of credit with a draw period. The payback period may not exceed 20 years.</text> </paragraph> <paragraph num="(4)"> <text>A loan, including an adjustable rate loan shall be amortized by substantially equal installments sufficient to retire the loan at maturity except when allowed by law. Installments shall be payable at least monthly.</text> </paragraph> <paragraph num="(5)"> <text>A loan made under this section of the real estate policy may not exceed 105 percent of the appraised value of the property securing the loan at the time of disbursement.</text> </paragraph> <paragraph num="(6)"> <text>A credit union shall require a written bring-to-date title opinion or certificate of title signed by an attorney licensed to practice in the jurisdiction in which the property is located, or a lender's title insurance policy affirming the quality and position of the lien.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Nonconforming Real Estate Loan Policy.</text> <paragraph num="(1)"> <text>The nonconforming real estate loan policy section shall, at a minimum, address the following:</text> <paragraph num="(a)"> <text>A description of what constitutes the various loan products offered, for example, first mortgages, second mortgages, and home equity loans/lines of credit, which may be any of the following:</text> <paragraph num="(i)"> <text>Purchase money mortgages that do not conform to secondary mortgage market standards,</text> </paragraph> <paragraph num="(ii)"> <text>Purchase money mortgages that exceed secondary mortgage market requirements for debt ratios, property requirements, etc.,</text> </paragraph> <paragraph num="(iii)"> <text>Second mortgages to borrowers who are rolling over unsecured debt into secured debt under a board of directors/credit committee approved work-out situation;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A methodology to segregate this category of real estate loans from the regular mortgage loan portfolio so that effective monitoring can be achieved that recognizes the higher risks associated with this type of loan;</text> </paragraph> <paragraph num="(c)"> <text>Underwriting guidelines that are consistent prudent loan underwriting standards; and</text> </paragraph> <paragraph num="(d)"> <text>Provisions that notify loan officers of the requirements of §G(2)—(7) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The nonconforming loan policy shall limit nonconforming loans to not more than 10 percent of the total real estate loan limit as described in §C(1)(c) of this regulation.</text> </paragraph> <paragraph num="(3)"> <text>A loan made under this section of the approved written loan policy shall be a loan secured by the borrower's principal residence or secondary residence.</text> </paragraph> <paragraph num="(4)"> <text>Loan maturities may not exceed 30 years.</text> </paragraph> <paragraph num="(5)"> <text>A loan, including an adjustable rate loan, shall be amortized by substantially equal installments sufficient to retire the loan at maturity except when allowed by law. Installments shall be payable monthly or more frequently.</text> </paragraph> <paragraph num="(6)"> <text>A loan made under this section of the real estate loan policy may not exceed 100 percent of the appraised value of the property securing the loan at the time of disbursement unless the purpose of the loan is to secure existing unsecured debt with the credit union and no cash out is given in the transaction.</text> </paragraph> <paragraph num="(7)"> <text>A credit union shall require a bring-to-date title opinion or certificate of title signed by an attorney licensed to practice in the jurisdiction in which the property is located, or a lender's title insurance policy affirming the quality and position of the lien.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Any violation of this regulation, or any lending practices that may be considered unsafe or unsound at the discretion of the Commissioner, may result in the termination or restriction of the credit union's real estate lending policy.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Repealed." /> <regulation prefix="Regulation" num=".10" heading="Investments."> <paragraph num="A."> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Adjusted trading” means any method or transaction used to defer a loss whereby a credit union sells a security to a vendor at a price above its current market price, and simultaneously purchases or commits to purchase from the vendor another security at a price above its current market price.</text> </paragraph> <paragraph num="(2)"> <text>Options or Futures Contracts.</text> <paragraph num="(a)"> <text>“Option or futures contracts” means commitment to either buy or sell a security, on or before a future date, at a predetermined price.</text> </paragraph> <paragraph num="(b)"> <text>“Option or future contract” does not include the subscription for the purchase of initial offering of an investment permitted by Financial Institutions Article §6-705, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Short sale” means the sale of a security not owned by the seller.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A credit union may not engage in adjusted trading.</text> </paragraph> <paragraph num="D."> <text>A credit union may not invest in options or futures contracts or engage in short sales.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Accounting Procedures and Records Retention."> <paragraph num="A."> <text>A credit union shall maintain books and financial records that:</text> <paragraph num="(1)"> <text>Accurately and fully reflect the fiscal affairs of the credit union; and</text> </paragraph> <paragraph num="(2)"> <text>Are sufficient to enable an independent certified public accountant to perform a complete audit of the credit union.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A credit union shall maintain at least the following types of financial records:</text> <paragraph num="(1)"> <text>Cash receipts journal;</text> </paragraph> <paragraph num="(2)"> <text>Cash disbursements journal;</text> </paragraph> <paragraph num="(3)"> <text>General ledger;</text> </paragraph> <paragraph num="(4)"> <text>Manual or automated ledger or card system for all share or deposit accounts, or both;</text> </paragraph> <paragraph num="(5)"> <text>Manual or automated loan ledger or card system;</text> </paragraph> <paragraph num="(6)"> <text>Income account ledger;</text> </paragraph> <paragraph num="(7)"> <text>Expense account ledger;</text> </paragraph> <paragraph num="(8)"> <text>Checkbook, cancelled checks, deposit receipts, bank statements, and bank reconciliations, or micro-reduced copies of them; and</text> </paragraph> <paragraph num="(9)"> <text>Any other records required to be kept by the corporation under Corporations and Associations Article, §2-111, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A credit union shall use the double entry accounting system.</text> </paragraph> <paragraph num="D."> <text>A credit union shall ensure that its books and records are protected against destruction by fire or other calamity.</text> </paragraph> <paragraph num="E."> <text>A credit union may use computer-stored financial data to keep its books and records, if it maintains an adequate off-premises back-up data file for use in the event of system failure resulting in destruction of the primary data file.</text> </paragraph> <paragraph num="F."> <text>A credit union:</text> <paragraph num="(1)"> <text>Shall promptly post entries in its books and records;</text> </paragraph> <paragraph num="(2)"> <text>Shall balance its books and records at least quarterly;</text> </paragraph> <paragraph num="(3)"> <text>May use machine posting of its books and records, if settlement or summary sheets are supported with machine tapes and all other necessary information; and</text> </paragraph> <paragraph num="(4)"> <text>May use a journal voucher system if the vouchers are numbered sequentially and retained as required by §G of this regulation.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A credit union shall retain all of its accounting records, tapes, trial balances, books, ledgers, audits, share and deposit account records, and supporting documentation for a minimum of 5 years.</text> </paragraph> <paragraph num="H."> <text>Credit unions shall use the accounting procedures contained in the “Standardized Accounting Manual for State Chartered Credit Unions”, which is incorporated by reference. This manual is published by the National Association of Credit Union Supervisors.</text> </paragraph> <paragraph num="I."> <text>Failure To Comply with this Regulation.</text> <paragraph num="(1)"> <text>Upon a determination that a credit union has failed to comply with the requirements of this regulation, the Commissioner of Financial Regulation may take any of the following actions:</text> <paragraph num="(a)"> <text>Order the officers of the credit union to take steps to bring the credit union into compliance;</text> </paragraph> <paragraph num="(b)"> <text>Order immediate turnover of all existing books and records;</text> </paragraph> <paragraph num="(c)"> <text>Suspend the treasurer, chief executive officer, comptroller, or any other person responsible for maintaining the books and records, from continuing in that capacity; and</text> </paragraph> <paragraph num="(d)"> <text>Cause an immediate audit, examination, or investigation to be conducted at the cost of the credit union.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Before the order or suspension becomes effective, the Commissioner of Financial Regulation shall give the credit union an opportunity for a hearing.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="and .13 Repealed." /> <regulation prefix="Regulation" num=".14" heading="Member Business Loans."> <paragraph num="A."> <text>In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Associated member” means a member with shared ownership, investment, or other pecuniary interest in a business or commercial endeavor with the borrower.</text> </paragraph> <paragraph num="(2)"> <text>“Development or construction loan” or both means a financing arrangement for acquiring property or rights to property, including land or structures, with the intent to convert it to income-producing property such as residential housing for rental, sale, commercial use, industrial use, or a similar use.</text> </paragraph> <paragraph num="(2-1)"> <text>“Family member” means a spouse or other family member living in the same household.</text> </paragraph> <paragraph num="(3)"> <text>“Loan-to-value ratio or LTV” means the aggregate amount of all sums borrowed including outstanding balances plus any unfunded commitment or line of credit from all sources on an item of collateral divided by the market value of the collateral used to secure the loan.</text> </paragraph> <paragraph num="(4)"> <text>“Member business loan” means a loan, line of credit, or letter of credit (including an unfunded commitment), the proceeds of which will be used for a commercial, corporate, other business investment property or venture, or agricultural purpose.</text> </paragraph> <paragraph num="(5)"> <text>“Member business loan” does not include a loan or loans:</text> <paragraph num="(a)"> <text>That is fully secured by a lien on a one-to-four-family dwelling that is the member's primary residence;</text> </paragraph> <paragraph num="(b)"> <text>That is fully secured by shares or deposits in credit unions, or savings and deposits in other financial institutions;</text> </paragraph> <paragraph num="(c)"> <text>For which a federal, state, or local political subdivision fully insures repayment, guarantees repayment, or provides an advance commitment to purchase in full;</text> </paragraph> <paragraph num="(d)"> <text>To a member or associated member which is equal to or less than $50,000; or</text> </paragraph> <paragraph num="(e)"> <text>Granted to a credit union by a corporate credit union.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Net worth” means retained earnings as defined under Generally accepted accounting principles. Retained earnings include, but are not limited to, undivided earnings, regular reserves, and any other appropriations designated by management or the Commissioner.</text> </paragraph> <paragraph num="(7)"> <text>“Senior management employee” means the chief executive officer (typically the president or treasurer/manager), the assistant chief executive officer (typically the assistant president, vice president, or assistant treasurer/manager), or the chief financial officer (typically the comptroller).</text> </paragraph> </paragraph> <paragraph num="B."> <text>Requirements. A credit union may make member business loans only in accordance with the following requirements:</text> <paragraph num="(1)"> <text>Written Business Loan Policy.</text> <paragraph num="(a)"> <text>The board shall adopt a written business loan policy, which may be included in the credit union's overall lending policy required by Financial Institutions Article §6-605, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>The board shall review the policy at least annually.</text> </paragraph> <paragraph num="(c)"> <text>At a minimum, the policy shall address the following:</text> <paragraph num="(i)"> <text>The types of business loans that will be made;</text> </paragraph> <paragraph num="(ii)"> <text>The credit union's trade area for business loans;</text> </paragraph> <paragraph num="(iii)"> <text>The maximum amount of credit union assets, in relation to net worth, that will be invested in business loans;</text> </paragraph> <paragraph num="(iv)"> <text>The maximum amount of credit union assets, in relation to net worth, that will be invested in a given category or type of business loan;</text> </paragraph> <paragraph num="(v)"> <text>The maximum amount of credit union assets, in relation to net worth, that will be loaned to any one member or group of associated members, subject to §B(4) of this regulation;</text> </paragraph> <paragraph num="(vi)"> <text>The qualifications and experience of personnel involved in making and administering business loans, which must include at least 2 years experience in the applicable type of lending;</text> </paragraph> <paragraph num="(vii)"> <text>The methodology used in determining the ability of the borrower to repay the loan, which shall include analysis of the balance sheet, cash flow analysis, income and expense, tax data, analysis of leveraging, and comparison with industry averages, excluding any document not generally available for a particular type of business loan if stated in the business loan policy;</text> </paragraph> <paragraph num="(viii)"> <text>The receipt and periodic updating of financial statements, tax returns, or other documentation;</text> </paragraph> <paragraph num="(ix)"> <text>Collateral requirements, including loan-to-value ratios, appraisal, title search and insurance requirements, steps to be taken to secure various types of collateral, and how often the value and marketability of collateral is reevaluated;</text> </paragraph> <paragraph num="(x)"> <text>Appropriate interest rates and maturities of business loans;</text> </paragraph> <paragraph num="(xi)"> <text>Loan monitoring, servicing, and follow-up procedures, including collection procedures;</text> </paragraph> <paragraph num="(xii)"> <text>Guidelines for purchase and sale of member business loans and loan participations, if the credit union intends to engage in that activity; and</text> </paragraph> <paragraph num="(xiii)"> <text>Restrictions on member business loans to officials, senior management employees, and their family members as stated in §D of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Under §B(1)(b)(iii) of this regulation, the aggregate amount of member business loans shall be limited to the lesser of 12.25 percent of total assets or 1.75 times the credit union's net worth.</text> </paragraph> <paragraph num="(3)"> <text>Collateral and Security Requirements.</text> <paragraph num="(a)"> <text>A member business loan secured by collateral on which the credit union will have a first lien may have an LTV greater than 80 percent only if:</text> <paragraph num="(i)"> <text>The value in excess of 80 percent is covered through private mortgage insurance or equivalent insurance acceptable to the credit union; or</text> </paragraph> <paragraph num="(ii)"> <text>The loan is insured or guaranteed or subject to advance commitment to purchase by an agency of the federal government, State, or any of its political subdivisions.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A member business loan secured by collateral on which the credit union will have a second or lesser priority lien may not exceed an 80 percent LTV ratio.</text> </paragraph> <paragraph num="(c)"> <text>A member business loan secured by collateral on which the credit union will have a first lien as well as a second or lesser priority lien may have an LTV greater than 80 percent and not greater than 95 percent, only if:</text> <paragraph num="(i)"> <text>The value in excess of 80 percent is covered through private mortgage insurance or equivalent insurance acceptable to the credit union; or</text> </paragraph> <paragraph num="(ii)"> <text>The loan is insured or guaranteed or subject to advance commitment to purchase by an agency of the federal government, State, or any of its political subdivisions.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Member business loans secured by collateral on which the credit union will have a first, second, or lesser lien may not exceed a 95 percent LTV ratio.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Loans to One Borrower.</text> <paragraph num="(a)"> <text>The aggregate amount of outstanding member business loans, including any unfunded commitments, to any one member or group of associated members may not exceed the greater of:</text> <paragraph num="(i)"> <text>15 percent of the credit union's net worth; or</text> </paragraph> <paragraph num="(ii)"> <text>$100,000.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>If a portion of a member business loan is fully secured by a one-to-four-family dwelling that is the member's primary residence, by shares in the credit union, by savings or deposits in another financial institution, or is subject to an advance commitment to purchase by an agency of the federal government or of a state or any of its political subdivisions, that portion may not be taken into account in determining the 15 percent limit.</text> </paragraph> <paragraph num="(c)"> <text>The Commissioner may grant a higher limit upon written request by the credit union as described in §F(2) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Development and Construction Loans.</text> <paragraph num="(a)"> <text>Loans made for the purpose of development or construction or both are subject to the following additional requirements:</text> <paragraph num="(i)"> <text>The aggregate amount of all development or construction loans or both may not exceed 15 percent of net worth;</text> </paragraph> <paragraph num="(ii)"> <text>The borrower shall have a minimum of 30 percent equity interest in the project being financed if the loan is for land development;</text> </paragraph> <paragraph num="(iii)"> <text>The borrower must have a minimum of 25 percent equity interest in the project being financed if the loan is for construction or for a combination of development and construction; and</text> </paragraph> <paragraph num="(iv)"> <text>The funds for the project may be released only after on-site, written inspections by qualified personnel and according to a preapproved draw schedule and any other conditions as set forth in the loan documents.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The Commissioner may grant a higher limit upon written request by the credit union as described in §F(2) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Prohibition of Member Business Lending. A credit union may not make a member business loan if its net worth is less than 7 percent or its CAMEL composite rating is 4 or 5.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Classification of Problem Business Loans.</text> <paragraph num="(1)"> <text>Business Loan Categories.</text> <paragraph num="(a)"> <text>A business loan may be classified by credit union management or the Commissioner into one or more of the categories described in this subsection upon a regular review.</text> </paragraph> <paragraph num="(b)"> <text>Substandard. A loan classified as substandard is inadequately protected by the current sound worth and paying capacity of the obligor or the value of any collateral pledged. Loans classified as substandard have well-defined weaknesses that jeopardize the liquidation of the debt and are characterized by the distinct possibility that the credit union will sustain some loss if the weaknesses are not corrected. Loss potential, while existing in the aggregate amount of substandard loans, does not have to exist in individual loans classified substandard.</text> </paragraph> <paragraph num="(c)"> <text>Doubtful. A loan classified as doubtful has all the weaknesses inherent in a substandard loan, with the added characteristic that the weaknesses make collection or liquidation in full highly improbable, on the basis of currently existing facts, conditions, and values. The possibility of loss is extremely high, but because of certain important and reasonably specific pending factors, which may strengthen the loan, its classification as an estimated loss may be deferred or limited until its more exact status may be determined. Pending factors include proposed merger, acquisition, or liquidation actions, capital injection, perfecting liens on additional collateral, and refinancing plans.</text> </paragraph> <paragraph num="(d)"> <text>Loss. A loan classified as loss is considered uncollectable and of such little value that its continuance as a loan on the books of a credit union is not warranted. This classification does not necessarily mean that the loan has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this asset even though partial recovery may occur in the future.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Allowance for Loan Losses.</text> <paragraph num="(a)"> <text>The determination whether a member business loan will be classified as substandard, doubtful, or loss for purposes of the valuation allowance for loan losses, will be based on factors not limited to the delinquency of the loan, including, but not limited to, the adequacy of analysis and documentation.</text> </paragraph> <paragraph num="(b)"> <text>An allowance for loan losses shall be maintained for the specified classified loans as follows:</text> <paragraph num="(i)"> <text>Loss loans at 100 percent of outstanding balance;</text> </paragraph> <paragraph num="(ii)"> <text>Doubtful loans at 50 percent of outstanding balance; and</text> </paragraph> <paragraph num="(iii)"> <text>Substandard loans at 10 percent of outstanding balance unless other factors (for example, history of these loans at the credit union) indicate a greater or lesser amount is appropriate.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Restrictions on Member Business Loans to Officials, Senior Management Employees, and Their Family Members.</text> <paragraph num="(1)"> <text>A credit union may make member business loans to officials, senior management employees, and their family members subject to the following restrictions:</text> <paragraph num="(a)"> <text>The official, senior management employee, or their family member who will receive the proceeds of a member business loan may take no part in the decision-making process for approval of the loan;</text> </paragraph> <paragraph num="(b)"> <text>All member business loans to officials, senior management employees, or their family members that, when added to the aggregate of all other credit union loans for which the official, senior management employee, or their family member is a debtor, guarantor, endorser, or cosigner, are in excess of $25,000 shall be approved by the board; and</text> </paragraph> <paragraph num="(c)"> <text>The rates, terms, and conditions for any member business loan for which an official, senior management employee, or their family member is a debtor, guarantor, endorser, or cosigner may not be more favorable than the rates, terms, and conditions for a comparable loan to another member of the credit union.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Equity Agreements/Joint Ventures. A credit union may not grant a member business loan if a portion of the amount of income to be received by the credit union, officials, senior management employees, or their family members is tied to the profit or sale of the business or commercial endeavor for which the loan is made.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Records Requirements. Aggregate member business loans shall be identified on the credit union's financial statements and each category of member business loan shall be separately identified in the credit union's records.</text> </paragraph> <paragraph num="F."> <text>Waiver of Limits.</text> <paragraph num="(1)"> <text>A credit union may request a waiver of certain limits as listed in this regulation as follows:</text> <paragraph num="(a)"> <text>Loan-to-value ratios and requirements for collateral and security under §B(3) of this regulation;</text> </paragraph> <paragraph num="(b)"> <text>Maximum loan amount to one borrower or associated group of borrowers under §B(4) of this regulation; and</text> </paragraph> <paragraph num="(c)"> <text>Development or construction loan limits, or both, under §B(5) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Upon written request by a credit union, the Commissioner may waive the limitations listed in §F(1) of this regulation. Federally insured credit unions need the approval of the Commissioner and the Regional Director of the National Credit Union Administration. The Commissioner shall approve or deny the request within 45 calendar days of the date the complete request was received by the Commissioner. The request for waiver shall contain the following:</text> <paragraph num="(a)"> <text>A copy of the business loan policy;</text> </paragraph> <paragraph num="(b)"> <text>A statement of the higher limit sought;</text> </paragraph> <paragraph num="(c)"> <text>An explanation of the need to raise the limit;</text> </paragraph> <paragraph num="(d)"> <text>Documentation to support the credit union's ability to manage the activity;</text> </paragraph> <paragraph num="(e)"> <text>An analysis of the credit union's prior experience making member business loans, including at a minimum:</text> <paragraph num="(i)"> <text>The history of loan losses and loan delinquency;</text> </paragraph> <paragraph num="(ii)"> <text>Volume and cyclical or seasonal patterns;</text> </paragraph> <paragraph num="(iii)"> <text>Diversification;</text> </paragraph> <paragraph num="(iv)"> <text>Concentrations of credit to one borrower or group of associated borrowers in excess of 15 percent of the credit union's net worth;</text> </paragraph> <paragraph num="(v)"> <text>Underwriting standards and practices;</text> </paragraph> <paragraph num="(vi)"> <text>Types of loans grouped by purpose and collateral; and</text> </paragraph> <paragraph num="(vii)"> <text>The qualifications of personnel responsible for underwriting and administering member business loans.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the credit union's policies or practices violate safe and sound lending principles, the Commissioner may restrict all limits as listed in this chapter or revoke the credit union's approval to make member business loans.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Maximum Loans to a Single Member."> <text>The term “indirectly to any one member”, as used in Financial Institutions Article, §6-604, Annotated Code of Maryland, includes a loan or extension of credit made to any member who, acting directly or indirectly, individually or in concert with one or more other persons or entities, or through one or more subsidiaries:</text> <paragraph num="A."> <text>Acts in a common enterprise;</text> </paragraph> <paragraph num="B."> <text>Owns or controls any entity, or holds proxies for, or otherwise has power to vote, 10 percent or more of the voting shares, rights, or interests of any association or corporation; or</text> </paragraph> <paragraph num="C."> <text>Controls in any manner the election or appointment of a majority of the directors of that association or corporation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Reports to the Commissioner of Financial Regulation."> <paragraph num="A."> <text>The Commissioner of Financial Regulation shall require, as additional reports pursuant to Financial Institutions Article, §6-404(b), Annotated Code of Maryland, that a Report of Condition be received by the Commissioner on or before:</text> <paragraph num="(1)"> <text>July 30th of each year, reporting the financial condition of the credit union as of June 30th of that year; and</text> </paragraph> <paragraph num="(2)"> <text>February 1st of each year, reporting the financial condition of the credit union as of December 31st of that year.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A copy of the Report of Condition due on or before February 1st may be submitted as the annual report required to be filed on or before March 31st under Financial Institutions Article, §6-404(a), Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Boards of Directors — Electronically Conducted Elections."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Electronically” means the use of one or more electronic devices.</text> </paragraph> <paragraph num="(2)"> <text>“Electronic device” means a device having electrical, digital, magnetic, wireless, optical, electromagnetic or similar capabilities and may include, but is not limited to, telephones, voice response units, computer systems, and electronic mail systems.</text> </paragraph> <paragraph num="(3)"> <text>“Electronic notice members” means members of the credit union who have opted to receive notices or statements electronically.</text> </paragraph> <paragraph num="(4)"> <text>“Electronic voting instruction sheet” means the specific instructions for the electronically conducted election procedure, including, but not limited to:</text> <paragraph num="(a)"> <text>How to access and use the electronic voting system;</text> </paragraph> <paragraph num="(b)"> <text>The period of time in which votes will be taken; and</text> </paragraph> <paragraph num="(c)"> <text>A description of the opt-out method.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Envelope” means a postage prepaid and preaddressed envelope conforming to Financial Institutions Article, §6-329(d)(2)(ii), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Identification form” means an identification form conforming to Financial Institutions Article, §6-329(d)(2)(iii), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(7)"> <text>“Notice of ballot” means a notice that includes all information that is on the printed ballot.</text> </paragraph> <paragraph num="(8)"> <text>“Printed ballot” means a printed ballot conforming to Financial Institutions Article, §6-329(d)(2)(i), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(9)"> <text>“Secretary” means the secretary of the credit union.</text> </paragraph> <paragraph num="(10)"> <text>“Tellers” means the tellers of election appointed by the board of directors pursuant to Financial Institutions Article, §6-329(e), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Provided that the board of directors has duly authorized electronically conducted elections, a credit union may elect its directors electronically using the following procedure.</text> <paragraph num="(1)"> <text>All Members. Except as provided in §C(2) of this regulation, the secretary shall mail to each member in good standing, at least 20 days before the annual meeting:</text> <paragraph num="(a)"> <text>Either a printed ballot and an identification form or one printed form that represents a combined printed ballot and identification form;</text> </paragraph> <paragraph num="(b)"> <text>An envelope; and</text> </paragraph> <paragraph num="(c)"> <text>An electronic voting instruction sheet.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Electronic Notice Members. The secretary may electronically transmit only the notice of ballot and electronic voting instruction sheet to electronic notice members at least 20 days before the annual meeting.</text> </paragraph> <paragraph num="(3)"> <text>Optional Electronically Conducted Voting Methods. In addition to the procedures in §C(1) and (2) of this regulation, the board of directors may allow members to vote electronically in person at one or more locations of the credit union. If such voting is available, the electronic voting instruction sheet shall include the relevant details concerning this process and make clear that voting at such location or locations is optional.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Verification of Identity.</text> <paragraph num="(1)"> <text>The tellers shall verify, or cause to be verified, the identity of each voter opting to vote electronically by name, address, credit union account number and an additional verification method.</text> </paragraph> <paragraph num="(2)"> <text>The additional verification method may include:</text> <paragraph num="(a)"> <text>The use of a verification control number on a printed ballot, notice of ballot, or identification form;</text> </paragraph> <paragraph num="(b)"> <text>The use of an unique identifier, such as date of birth or last four digits of a Social Security Number; or</text> </paragraph> <paragraph num="(c)"> <text>Any other method that insures the integrity of the electronic voting process.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The electronic voting instruction sheet shall include a description of the verification method and explain how a member uses any verifiers when voting electronically.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Opt-Out Methods. The electronic voting instruction sheet shall notify the members of their right to opt-out of electronic voting.</text> <paragraph num="(1)"> <text>Any member mailed a printed ballot may opt-out of electronic voting by returning the printed ballot in the envelope by the date specified on the electronic voting instruction sheet.</text> </paragraph> <paragraph num="(2)"> <text>Any electronic notice member may opt-out of electronic voting by requesting a printed ballot from the secretary as indicated on the electronic voting instruction sheet. Promptly upon the receipt of any such request, the secretary shall mail an envelope, printed ballot and identification form, or one printed form that represents a combined printed ballot and identification form, to the member.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The tellers shall test the integrity of the balloting systems at regular intervals during the election period.</text> </paragraph> <paragraph num="G."> <text>In the event of malfunction of the electronic voting system, the board of directors may in its discretion order elections to be held by printed ballot only. The printed ballots shall be mailed to all eligible members 20 days before the annual meeting. The board of directors may make reasonable adjustments to the voting time frames or postpone the annual meeting when necessary, to complete the elections before the annual meeting.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; Financial Institutions Article, §2-105.1 and Title 6; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 24, 1976 (3:24 Md. R. 1392)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.07 repealed effective October 1, 2001 (28:19 Md. R. 1683)</annotation> <annotation type="History" subtype="Administrative History">Regulations .08—.13 adopted as an emergency provision effective July 19, 1988 (15:18 Md. R. 2143); emergency status extended at 15:27 Md. R. 3123</annotation> <annotation type="History" subtype="Administrative History">Regulations .08—.18 adopted effective August 6, 1990 (17:15 Md. R. 1855)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective October 6, 1997 (24:20 Md. R. 1403)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 repealed and new Regulation .08 adopted effective November 2, 1998 (25:22 Md. R. 1652)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective October 1, 2001 (28:19 Md. R. 1683)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 repealed effective October 1, 2001 (28:19 Md. R. 1683)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 repealed and new Regulation .10 adopted effective October 1, 2001 (28:19 Md. R. 1683)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 repealed effective October 1, 2001 (28:19 Md. R. 1683)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 repealed effective October 1, 2001 (28:19 Md. R. 1683)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 repealed and new Regulation .14 adopted effective October 1, 2001 (28:19 Md. R. 1683)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective April 29, 2002 (29:8 Md. R. 697)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 repealed effective June 16, 1997 (24:12 Md. R. 863)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 adopted effective December 26, 2011 (38:26 Md. R. 1696)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 repealed effective October 1, 2001 (28:19 Md. R. 1683)</annotation> </annotations> </chapter> <chapter num="02" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Assessment” means the annual assessment authorized under Financial Institutions Article, §2-120, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Commissioner” has the meaning stated in Financial Institutions Article, §1-101(g), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(3)"> <text>“Licensed location” means any location listed by the licensee in NMLS.</text> </paragraph> <paragraph num="(4)"> <text>“Licensed person” has the meaning stated in Financial Institutions Article, §2-120, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>“Mobile unit” has the meaning stated in Financial Institutions Article, §12-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“NMLS” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(7)"> <text>“Regulated person” has the meaning stated in Financial Institutions Article, §2-120, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Repealed." /> <regulation prefix="Regulation" num=".03" heading="Repealed." /> <regulation prefix="Regulation" num=".04" heading="Books and Records of Certain Regulated Persons."> <paragraph num="A."> <text>Definition.</text> <paragraph num="(1)"> <text>In this regulation the following term has the meaning indicated.</text> </paragraph> <paragraph num="(2)"> <text>Term Defined. “Loan” means:</text> <paragraph num="(a)"> <text>A loan as defined in Financial Institutions Article, §11-201, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(b)"> <text>An installment loan as defined in Financial Institutions Article, §11-301, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(c)"> <text>An installment sale agreement as defined in Financial Institutions Article, §11-401, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(d)"> <text>A retail credit account transaction as defined in Commercial Law Article, §12-501, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(e)"> <text>A transaction that deals with home improvement, as defined in Business Regulation Article, §8-101, Annotated Code of Maryland, made between other parties, if collateral security is required by and given to the contractor as a condition to the transaction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Each regulated person required to hold a license issued under Financial Institutions Article, Subtitles 2, 3, and 4, Annotated Code of Maryland, shall maintain the following records:</text> <paragraph num="(1)"> <text>Loan Register. All loans shall be listed in a register in numerical order showing, in addition to the loan number, the date of loan, name of principal borrower, and amount of loan.</text> </paragraph> <paragraph num="(2)"> <text>Individual Ledger Record. A separate ledger record shall be maintained for each borrower, showing the loan number, borrower's name and address, names of endorsers, comakers, guarantors or sureties, the amount of loan, the schedule of payments, and the type of security. In addition, the record shall show the date and amount of all payments of interest and principal as well as the principal balance due.</text> </paragraph> <paragraph num="(3)"> <text>File of Original Papers. For each borrower or loan account, a separate file shall be maintained containing all papers relating to the borrower or the loan, except that promissory notes and security instruments may be kept in a separate legal paper file bearing the same account number. If notes have been hypothecated, the file shall reveal where and to whom these notes are hypothecated.</text> </paragraph> <paragraph num="(4)"> <text>Receipts and Disbursement Record. All receipts from or for the account of borrowers and all disbursements to or for the account of borrowers shall be clearly recorded in a manner that makes the transactions readily identifiable.</text> </paragraph> <paragraph num="(5)"> <text>Index of Obligors. An alphabetical index of all borrowers, endorsers, guarantors, or comakers shall be maintained, showing the related loan numbers.</text> </paragraph> <paragraph num="(6)"> <text>Litigation and Repossession Records. The records of the licensee (individual ledger record or similar record) shall show all essential details with respect to litigation or repossession, or both. This detail with respect to litigation shall include the amount and date of judgments and any costs charged to the borrowers. With respect to repossession, the record shall include the date, amount then due, type of security repossessed, and the amount realized from sale of the security.</text> </paragraph> <paragraph num="(7)"> <text>Acceptance of Equivalent Records. Records and accounting systems maintained in whole or in part by mechanical or electronic data processing methods may be used instead of the books and records required by this regulation if they contain equivalent information.</text> </paragraph> <paragraph num="(8)"> <text>Credit Life Claim Register. Each licensee shall maintain a register of death claims showing the following minimum information:</text> <paragraph num="(a)"> <text>Loan or account number;</text> </paragraph> <paragraph num="(b)"> <text>Name of insured borrower;</text> </paragraph> <paragraph num="(c)"> <text>Date of death of insured;</text> </paragraph> <paragraph num="(d)"> <text>Date of official notification to licensee;</text> </paragraph> <paragraph num="(e)"> <text>Date claim submitted to insurer;</text> </paragraph> <paragraph num="(f)"> <text>Date settlement received from insurer;</text> </paragraph> <paragraph num="(g)"> <text>Amount of settlement received by principal beneficiary;</text> </paragraph> <paragraph num="(h)"> <text>Amount of settlement, if any, received by second beneficiary;</text> </paragraph> <paragraph num="(i)"> <text>Amount of refund of unearned accident and health premium, if any.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>Accident and Health Claim Register. Each license shall maintain a register of claims involving accident and health insurance showing the following minimum information:</text> <paragraph num="(a)"> <text>Loan or account number;</text> </paragraph> <paragraph num="(b)"> <text>Name of insured borrower;</text> </paragraph> <paragraph num="(c)"> <text>Waiting period, if any, in order to qualify for payment;</text> </paragraph> <paragraph num="(d)"> <text>Date disability began;</text> </paragraph> <paragraph num="(e)"> <text>Date disability ended;</text> </paragraph> <paragraph num="(f)"> <text>Date of doctor's certificate certifying disability and date certificate received by licensee;</text> </paragraph> <paragraph num="(g)"> <text>Date claim submitted to insurer by licensee;</text> </paragraph> <paragraph num="(h)"> <text>Dates and amount of payments received from insurer by licensee.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>Purchased Loan Account Register. Within 30 days after the purchase of loan accounts from another licensee, the purchasing licensee shall maintain a list of these purchased accounts. The licensee shall also keep a list of “double loan” accounts resulting from the purchase, including the borrower's name, address, account number, and the amount of loan outstanding. The licensee shall maintain this register in compliance with Financial Institutions Article, §11-213, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Unfair and Deceptive Trade Practices."> <paragraph num="A."> <text>Advertising.</text> <paragraph num="(1)"> <text>Each consumer loan licensee shall comply with all provisions of Regulation Z, promulgated under the Federal Consumer Credit Protection Act, Truth-in-Lending, that relate to the advertising of credit terms.</text> </paragraph> <paragraph num="(2)"> <text>A consumer loan licensee may not use blind advertisements, such as giving only telephone numbers or box number addresses. A licensee may not advertise that any loan business will be conducted at any place other than the licensed address.</text> </paragraph> <paragraph num="(3)"> <text>A consumer loan licensee may not advertise or otherwise communicate to any borrower that payments will be waived for any contingency without also advising the borrower that daily interest charges will continue during the waiver period, if this is the fact.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Filing of Suits and Legal Process. In connection with any debt arising out of a consumer loan, a licensee may not file suit against a debtor in a foreign jurisdiction when the debtor is domiciled and regularly employed in the State. This prohibition extends to any proceedings in attachment against the debtor.</text> </paragraph> <paragraph num="C."> <text>Merchant Referral Loans.</text> <paragraph num="(1)"> <text>Loans may not be contracted for by a licensee who knows that the borrower is purchasing the merchandise under duress or misrepresentation connected with the financing of the merchandise.</text> </paragraph> <paragraph num="(2)"> <text>A licensee may not compel the borrower to use the proceeds of the loan for the prospective purchase. A check will not be made payable to the merchant, or endorsed payable to the merchant at the direction of the licensee.</text> </paragraph> <paragraph num="(3)"> <text>A licensee may not pay to or accept from a merchant anything of value for making a loan to a borrower referred to the licensee by a merchant.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Contested Case Hearings Before the Commissioner."> <paragraph num="A."> <text>Except as otherwise provided in §§C, D, and E of this regulation, all contested case hearings before the Commissioner are governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>For a hearing under Financial Institutions Article, §11-415, Annotated Code of Maryland, the Commissioner shall send the hearing notice described in COMAR 09.01.02.07B:</text> <paragraph num="(1)"> <text>At least 10 days before the hearing; or</text> </paragraph> <paragraph num="(2)"> <text>If the parties have agreed to a date for which 10 days notice cannot be given, at the earliest time possible.</text> </paragraph> </paragraph> <paragraph num="C."> <text>For a hearing under Financial Institutions Article, §11-518, Annotated Code of Maryland, the Commissioner shall send the hearing notice described in COMAR 09.01.02.07B:</text> <paragraph num="(1)"> <text>At least 30 days before the hearing; or</text> </paragraph> <paragraph num="(2)"> <text>If the parties have agreed to a date for which 30 days notice cannot be given, at the earliest time possible.</text> </paragraph> </paragraph> <paragraph num="D."> <text>For a hearing under Financial Institutions Article, §12-428, Annotated Code of Maryland, the Commissioner shall send the hearing notice described in COMAR 09.01.02.07B:</text> <paragraph num="(1)"> <text>At least 15 days before the hearing; or</text> </paragraph> <paragraph num="(2)"> <text>If the parties have agreed to a date for which 15 days notice cannot be given, at the earliest time possible.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Contested Case Hearings Delegated to the Office of Administrative Hearings."> <text>All contested case hearings delegated to the Office of Administrative Hearings are governed by COMAR 09.01.03.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Remote Work for Employees of Licensees."> <paragraph num="A."> <text>Scope.</text> <paragraph num="(1)"> <text>This regulation governs the conduct of any employee operating from a location other than that which appears on the employer’s license or licenses.</text> </paragraph> <paragraph num="(2)"> <text>Notwithstanding §A(1) of this regulation, this regulation does not apply to the conduct of an employee if:</text> <paragraph num="(a)"> <text>The employer is licensed under Financial Institutions Article, Title 11, Subtitle 5, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(b)"> <text>The employee is licensed under Financial Institutions Article, Title 11, Subtitle 6, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(c)"> <text>The employee is taking a loan application or offering or negotiating the terms of a loan in compliance with COMAR 09.03.09.07.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Nothing contained in this regulation shall be deemed to prohibit an employee of a licensee from conducting any business for which a license is required at a location other than the locations set forth on the employer’s license or licenses if applicable law or regulation does not limit that conduct to the location shown on the license.</text> </paragraph> <paragraph num="(4)"> <text>A licensee may not use this regulation to evade the requirements of any applicable law or regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Definitions.</text> <paragraph num="(1)"> <text>Terms Defined.</text> </paragraph> <paragraph num="(2)"> <text>In this regulation, the following terms have the meanings indicated.</text> <paragraph num="(a)"> <text>“Affiliate” means a person that directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with another person.</text> </paragraph> <paragraph num="(b)"> <text>“Authorized delegate” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(c)"> <text>“Board” has the meaning stated in Business Regulation Article, §7-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(d)"> <text>“Breach of the security of a system” has the meaning stated in Commercial Law Article, §14-3504, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(e)"> <text>“Consumer” means an individual who resides in Maryland.</text> </paragraph> <paragraph num="(f)"> <text>“Employee” means an employee of a licensee who is not an independent contractor or an authorized delegate.</text> </paragraph> <paragraph num="(g)"> <text>“Independent contractor” has the meaning stated in Financial Institutions Article, §11-601, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(h)"> <text>“License” means any of the following:</text> <paragraph num="(i)"> <text>A license issued by the Board under Business Regulation Article, Title 7, Annotated Code of Maryland, to do business as a collection agency;</text> </paragraph> <paragraph num="(ii)"> <text>A license issued by the Commissioner under Commercial Law Article, Title 14, Subtitle 19, Annotated Code of Maryland, to engage in the business of a credit services business;</text> </paragraph> <paragraph num="(iii)"> <text>A license issued by the Commissioner under Financial Institutions Article, Title 11, Subtitle 2, Annotated Code of Maryland, to make loans under the Maryland Consumer Loan Law;</text> </paragraph> <paragraph num="(iv)"> <text>A license issued by the Commissioner under Financial Institutions Article, Title 11, Subtitle 3, Annotated Code of Maryland, to make installment loans;</text> </paragraph> <paragraph num="(v)"> <text>A license issued by the Commissioner under Financial Institutions Article, Title 11, Subtitle 4, Annotated Code of Maryland, to engage in business as a sales finance company;</text> </paragraph> <paragraph num="(vi)"> <text>A license issued by the Commissioner under Financial Institutions Article, Title 11, Subtitle 5, Annotated Code of Maryland, to engage in business as a mortgage lender;</text> </paragraph> <paragraph num="(vii)"> <text>A license issued by the Commissioner under Financial Institutions Article, Title 12, Subtitle 1, Annotated Code of Maryland, to provide check cashing services;</text> </paragraph> <paragraph num="(viii)"> <text>A license issued by the Commissioner under Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland, to engage in the business of money transmission; or</text> </paragraph> <paragraph num="(ix)"> <text>A license issued by the Commissioner under Financial Institutions Article, Title 12, Subtitle 9, Annotated Code of Maryland, to provide debt management services.</text> </paragraph> </paragraph> <paragraph num="(i)"> <text>“Licensee” means a person issued a license or licenses for the purpose of conducting the business for which the license or licenses are issued.</text> </paragraph> <paragraph num="(j)"> <text>“Personal information” has the meaning stated in Commercial Law Article, §14-3501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(k)"> <text>“Records” has the meaning stated in Commercial Law Article, §14-3501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(l)"> <text>“Security program” means a written program created by or on behalf of a licensee for the purpose of allowing the licensee’s employees to safely and securely access the licensee’s information technology systems, other systems, and data from a location authorized by this section.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Certain Remote Work Permitted. An employee of a licensee may work remotely and is not considered conducting business for which a license is required at a location other than the address that appears on the license or licenses of that licensee if the conditions set forth in this regulation are met.</text> </paragraph> <paragraph num="D."> <text>Locations. The location from which the employee is working:</text> <paragraph num="(1)"> <text>May not be owned or leased by the licensee or an affiliate of a licensee, or for the benefit of the licensee or an affiliate of the licensee;</text> </paragraph> <paragraph num="(2)"> <text>May not be a location that offers temporary office space unless the employee is using the location on a temporary basis due to the unavailability of the employee’s regular work location;</text> </paragraph> <paragraph num="(3)"> <text>May not be held out to the public by use of signage, advertisement, or other means, as a location at which the licensee conducts business for which a license is required;</text> </paragraph> <paragraph num="(4)"> <text>May not provide work space, telephone service, or internet service maintained in the name of the licensee or an affiliate and that is not intended primarily for the purpose of conducting business for which a license is required;</text> </paragraph> <paragraph num="(5)"> <text>May not be a location where the employee will meet in person with nonemployees in connection with the business for which a license is required;</text> </paragraph> <paragraph num="(6)"> <text>May not be a location that will receive or dispense cash, negotiable instruments, or other monetary value in connection with the business for which a license is required, other than compensation paid to the employee by the licensee;</text> </paragraph> <paragraph num="(7)"> <text>May not be used for the receipt of mail relating to business for which a license is required;</text> </paragraph> <paragraph num="(8)"> <text>May not be used for storage of books or records, in any form, relating to business for which a license is required unless:</text> <paragraph num="(a)"> <text>The records were produced or used in the normal course of employment by the employee working at that location and the licensee maintains and administers procedures for the employee to promptly and securely transmit those records to its location for the storage of books and records; or</text> </paragraph> <paragraph num="(b)"> <text>The licensee is permitted by applicable law or regulation to store the books or records of the licensee at that location;</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>Shall provide a workspace that is secure, provide for appropriate protection of personal information as required under applicable law, and have the appropriate technological security measures and physical safeguards in place to protect personal information;</text> </paragraph> <paragraph num="(10)"> <text>Shall be a location used only by a single employee unless:</text> <paragraph num="(a)"> <text>Other employees using the location maintain a common household with each other; or</text> </paragraph> <paragraph num="(b)"> <text>The location is used for a period not exceeding 2 weeks every calendar quarter to facilitate business or nonbusiness travel;</text> </paragraph> </paragraph> <paragraph num="(11)"> <text>May not be used to conduct a specific act that applicable law or regulation requires be conducted only at specified locations; and</text> </paragraph> <paragraph num="(12)"> <text>Shall be authorized by the licensee as a location from which the employee may work.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Security Standards.</text> <paragraph num="(1)"> <text>A licensee that allows any employee to work at a location authorized by this section shall develop, implement, and maintain a security program that is consistent with all applicable laws and regulations, meets or exceed standards of the industry in which the licensee conducts its business, addresses known vulnerabilities, and is commensurate with the licensee’s size and complexity.</text> </paragraph> <paragraph num="(2)"> <text>The licensee’s security program may be part of the licensee’s comprehensive data and cyber security program.</text> </paragraph> <paragraph num="(3)"> <text>A licensee’s security program shall consider the following objectives:</text> <paragraph num="(a)"> <text>Allowing employees working at locations authorized by this section to access the licensee’s information technology system, other systems, and data needed to perform the employee’s job functions in a safe and secure manner;</text> </paragraph> <paragraph num="(b)"> <text>Ensuring the security and confidentiality of the licensee’s data containing personal information and other sensitive information;</text> </paragraph> <paragraph num="(c)"> <text>Protecting the licensee’s information technology systems, other systems, and data against security breaches and unauthorized access, including unauthorized access by employees;</text> </paragraph> <paragraph num="(d)"> <text>Identifying the types of devices an employee may use to access the licensee’s information technology systems, other systems, and data, and protecting those devices from security breaches and unauthorized access; and</text> </paragraph> <paragraph num="(e)"> <text>Providing training and support of the licensee’s employees necessary to ensure compliance with the security program and establishing appropriate sanctions for failures to comply.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A licensee shall have an established governance process in place to control and monitor the security program which shall include, as appropriate for the size and complexity of the licensee and its information technology systems, other systems, and data:</text> <paragraph num="(a)"> <text>The approval of the security program by the board of directors, ownership, or most senior level of management; and</text> </paragraph> <paragraph num="(b)"> <text>A management structure that encompasses:</text> <paragraph num="(i)"> <text>Assigning responsibilities and authorities for ensuring adherence to the security program;</text> </paragraph> <paragraph num="(ii)"> <text>Documenting accountability for functions to ensure compliance with the security program; and</text> </paragraph> <paragraph num="(iii)"> <text>Reporting to the board of directors, ownership, or most senior level of management, no less than annually, regarding the effectiveness of the security program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>In connection with the security program, a licensee shall complete a comprehensive remote access and data security risk assessment, including:</text> <paragraph num="(a)"> <text>Identification and assessment of risks and vulnerabilities created by allowing employees to work at locations authorized by this section and to access the licensee’s information technology systems, other systems, and data from such locations; and</text> </paragraph> <paragraph num="(b)"> <text>Identification of the devices, data, information technology system, and other systems that need to be protected.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>A licensee shall perform periodic testing and monitoring of the security program as appropriate for the size and complexity of the licensee’s information technology and other systems, including:</text> <paragraph num="(a)"> <text>Evaluating the effectiveness of the security program;</text> </paragraph> <paragraph num="(b)"> <text>Evaluating employee compliance with the security program;</text> </paragraph> <paragraph num="(c)"> <text>Taking corrective action to address any significant deficiencies identified during the course of licensee’s evaluation of the effectiveness of the security program;</text> </paragraph> <paragraph num="(d)"> <text>Monitoring of external sources for new vulnerabilities;</text> </paragraph> <paragraph num="(e)"> <text>Updating, as appropriate, its remote access and data security risk assessment; and</text> </paragraph> <paragraph num="(f)"> <text>Developing and implementing additional control frame works for any new or changed threats or risks identified by the licensee.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>A licensee shall review the security program at least annually and make changes necessary to achieve the objectives of the security program.</text> </paragraph> <paragraph num="(8)"> <text>A licensee that adequately demonstrates compliance with standards issued by the National Institute of Standards and Technology, United States Department of Commerce, relating to remote workers and remote access, as such may be revised from time to time, shall be deemed to be in compliance with this section.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Supervision of Employees.</text> <paragraph num="(1)"> <text>A licensee shall at all times reasonably and adequately supervise the work-related activities of each employee working at a location authorized by this section.</text> </paragraph> <paragraph num="(2)"> <text>If the Commissioner determines that the licensee does not provide reasonable and adequate supervision of the employee, after written notice from the Commissioner, and within 5 business days of receiving such notice, the licensee will terminate the employee’s eligibility to work at a location provided for under this regulation.</text> </paragraph> <paragraph num="(3)"> <text>A licensee shall maintain and update, as appropriate, written records with respect to an employee working from locations provided for in this section, including the initial authorization to work from any such location, any updated authorization, and information regarding the location and any due diligence the license has undertaken to ensure compliance with this regulation.</text> </paragraph> <paragraph num="(4)"> <text>The licensee shall retain the records required by §F(3) of this regulation for the greater of 2 years from the date the employee ceases using such location in connection with the business for which a license is required or any retention period required by applicable law or regulation.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Identification of Licensee. The employee may not, in connection with the business for which a license is required, conceal, misrepresent or otherwise mislead any person with respect to the identity of the licensee.</text> </paragraph> <paragraph num="H."> <text>Principal Executive Office. The licensee shall, at a minimum, maintain a principal executive office.</text> </paragraph> <paragraph num="I."> <text>Security Breach. If a breach of the security of a system occurs at a location provided for in this regulation, the following steps shall be taken:</text> <paragraph num="(1)"> <text>Upon learning of the breach of the security of a system, the employee shall immediately notify the licensee;</text> </paragraph> <paragraph num="(2)"> <text>Upon learning of the breach of the security of a system, the licensee shall within 72 hours notify the Commissioner and make any other notifications that may be required under applicable law or regulation;</text> </paragraph> <paragraph num="(3)"> <text>The licensee shall investigate the breach of the security of a system and document its findings, including the remedial steps, if any, that have been undertaken by the licensee to remediate any harm to consumers and to update policies, procedures, and processes as a result of the findings; and</text> </paragraph> <paragraph num="(4)"> <text>If requested by the Commissioner, the licensee shall provide a copy of the documentation of the investigation required in this section.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Approval for Addition, Deletion, or Change of Location or Trade Name."> <paragraph num="A."> <text>Approval to Add, Delete, or Change a Licensed Location.</text> <paragraph num="(1)"> <text>A regulated person who wishes to add, delete, or change the address of a licensed location shall provide the Commissioner notice of the addition, deletion, or change of address through NMLS.</text> </paragraph> <paragraph num="(2)"> <text>Any addition, deletion, or change of address of a licensed location will be deemed approved by the Commissioner no less than 30 days after it is provided through NMLS unless the Commissioner has either requested additional information or denied the addition, deletion, or change of address.</text> </paragraph> <paragraph num="(3)"> <text>A regulated person may not delete or change the address of its principal executive office as designated within the person’s NMLS Form MU1 except by amending the address within the person’s NMLS Form MU1, or such form as NMLS may prescribe to replace Form MU1 for this purpose, in the manner prescribed by NMLS.</text> </paragraph> <paragraph num="(4)"> <text>The licensee has 15 days after the Commissioner requests any additional information to provide that information or the regulated person’s application to add, delete, or change an address may be deemed withdrawn.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Approval to Add, Delete, or Change a Trade Name.</text> <paragraph num="(1)"> <text>A regulated person who wishes to add, delete, or change a trade name shall provide the Commissioner with notice of the addition, deletion, or change through NMLS and comply with the provisions of Financial Institutions Article, §2-121, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>No later than 30 days after the information is provided through NMLS, the Commissioner shall respond to the regulated person with an approval, denial, or request for additional information.</text> </paragraph> <paragraph num="(3)"> <text>The licensee has 15 days after the Commissioner requests any additional information to provide that information or the regulated person’s application to add, delete or change a trade name may be deemed withdrawn.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Non-Depository Licensee Assessment."> <paragraph num="A."> <text>Timing of Assessment.</text> <paragraph num="(1)"> <text>The Commissioner shall notify licensed persons of an assessment no earlier than May 1 or later than June 1 of each year regardless of whether any sum is due.</text> </paragraph> <paragraph num="(2)"> <text>The assessment shall be based on information available to the Commissioner at the time of the assessment.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Information Included in the Assessment Notice. The Commissioner shall include the following information in each notice of Assessment:</text> <paragraph num="(1)"> <text>The amount of the assessment, if any, due that year;</text> </paragraph> <paragraph num="(2)"> <text>The means the Commissioner used in calculating the licensed person’s assessment; and</text> </paragraph> <paragraph num="(3)"> <text>How the licensee can dispute the amount of assessment if they believe it was calculated incorrectly.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Impact of License Surrender Prior to Assessment.</text> <paragraph num="(1)"> <text>A licensee incurs an obligation to pay an assessment on January 1 of the year in which the assessment is imposed or on the date in which the licensee becomes licensed, if not licensed on January 1.</text> </paragraph> <paragraph num="(2)"> <text>Surrender of a license does not relieve a licensee of their obligation to pay an assessment.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Information on Assessment. In conjunction with the assessment, the Commissioner shall provide licensees with information regarding the manner in which the assessment was calculated.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Licensees Providing Check Cashing Services."> <paragraph num="A."> <text>Definition.</text> <paragraph num="(1)"> <text>In this regulation, the following term has the meaning indicated.</text> </paragraph> <paragraph num="(2)"> <text>Term Defined. “Licensee” has the meaning stated in Financial Institutions Article, §12-101, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Any licensee listing a mobile unit as a licensed location shall provide information identifying the geographic area the mobile unit will serve.</text> </paragraph> <paragraph num="C."> <text>The Commissioner shall deem a licensee compliant with §B of this regulation if the person makes a reasonable and good faith effort to identify the Maryland counties or cities the mobile unit will serve.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Licensees Providing Money Transmission Services."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Licensee” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Self-service financial kiosk” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland .</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Any licensee listing a self-service financial kiosk as a licensed location shall provide information identifying the geographic area the self-service financial kiosk will serve.</text> </paragraph> <paragraph num="C."> <text>The Commissioner shall deem a licensee compliant with §B of this regulation if the person makes a reasonable and good faith effort to identify the Maryland counties or cities the self-service financial kiosk will serve.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Availability of List of Licensed Locations."> <text>Upon written request by any person the Commissioner shall provide the list of Licensed Locations that any Licensed Person has provided.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article §2-105; Financial Institutions Article, §§2-105.1, 11-203, 11-503, 12-104, and 12-403; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective dates:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.11 effective July 1, 1970</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 effective May 19, 1971</annotation> <annotation type="History" subtype="Administrative History">Regulations .13—.15 effective July 1, 1970</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 effective December 22, 1971</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 effective November 16, 1970</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 effective May 19, 1971</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 effective December 25, 1974 (1:6 Md. R. 298)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 25, 1978 (5:17 Md. R. 1327)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 repealed effective June 16, 1997 (24:12 Md. R. 863)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 09.04.01 to COMAR 09.03.02, April, 1998</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted effective August 18, 2003 (30:16 Md. R. 1704)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective August 18, 2003 (30:16 Md. R. 1704)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective August 18, 2003 (30:16 Md. R. 1704)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 adopted as an emergency provision effective January 5, 2021 (48:03 Md. R. 92); adopted permanently effective April 19, 2021 (48:8 Md. R. 308)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 adopted effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 adopted effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 adopted effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 adopted effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 adopted effective February 3, 2025 (52:2 Md. R. 67)</annotation> </annotations> </chapter> <chapter num="03" heading="Procedure for Handling Applications"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>Regulations under this chapter contain procedures by which the Commissioner of Financial Regulation of the State of Maryland may reach informed decisions with respect to:</text> <paragraph num="A."> <text>Applications to charter state banking institutions and credit unions pursuant to Financial Institutions Article, Title 3, Subtitle 2, and Title 6, Subtitle 2, Annotated Code of Maryland;</text> </paragraph> <paragraph num="B."> <text>Applications by banks for merger or consolidation pursuant to Financial Institutions Article, Title 3, Subtitle 7, Annotated Code of Maryland;</text> </paragraph> <paragraph num="C."> <text>All other applications where the Presiding Officer deems it desirable to employ the procedures established here in determining legislative-type facts.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Hearing panel” means the Presiding Officer and other individuals designated by him to hear the case; however, the decision shall be made by the Presiding Officer.</text> </paragraph> <paragraph num="(2)"> <text>“Presiding Officer” means the Commissioner of Financial Regulation or the Deputy Commissioner when acting pursuant to Financial Institutions Article, §2-103(e), Annotated Code of Maryland (Deputy Commissioner to act in case of vacancy).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Publication."> <text>Within 30 calendar days after an application is filed with the Commissioner of Financial Regulation, he shall publish in the Maryland Register a notice containing the name of the applicant, its proposed location, the subject matter of the application, and the date upon which the application was filed.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Solicitation of Comments."> <text>In addition to publication under Regulation .03 of this chapter, the Commissioner of Financial Regulation may solicit comments from each person or organization he believes has information concerning the application.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Comments and Request for a Hearing."> <text>Any interested person or organization may submit to the Commissioner of Financial Regulation written comments concerning the application. These comments and all requests for a hearing should be received by the Commissioner of Financial Regulation within 20 calendar days from the date of publication under Regulation .03 of this chapter.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Public Information."> <text>The Commissioner's file on the application shall include all information received from any person or organization in regard to that application. The information available for public inspection consists of that portion of the file which may be disclosed under State Government Article, Title 10, Subtitle 6 (Access to Public Records) and Financial Institutions Article, §5-209 (Confidentiality of Information), Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Scheduling of a Hearing."> <text>The Commissioner of Financial Regulation may schedule a hearing on the application in the following instances:</text> <paragraph num="A."> <text>Upon a request made within the time limit set forth in Regulation .05 of this chapter by a person or organization other than the applicant, unless the Commissioner of Financial Regulation finds that the objections raised to the application are frivolous and insubstantial;</text> </paragraph> <paragraph num="B."> <text>Upon specific request of the applicant in the application; or</text> </paragraph> <paragraph num="C."> <text>If he deems a hearing helpful in obtaining additional information.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Notice of Hearings."> <text>If a hearing is scheduled, at least 20 calendar days before the scheduled date of the hearing, notice shall be mailed to:</text> <paragraph num="A."> <text>The applicant;</text> </paragraph> <paragraph num="B."> <text>Those who made a timely request for a hearing under Regulation .05 of this chapter; and</text> </paragraph> <paragraph num="C."> <text>Other persons designated by the Presiding Officer.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Hearing Rules."> <paragraph num="A."> <text>Only the persons or organizations receiving notice under Regulation .08 of this chapter are parties to the hearing.</text> </paragraph> <paragraph num="B."> <text>All hearings shall be open to the public.</text> </paragraph> <paragraph num="C."> <text>Each party to the hearing shall be permitted to make a short opening statement outlining his position.</text> </paragraph> <paragraph num="D."> <text>Following the opening statements, the applicant and then each of the other parties to the hearing shall present its data and materials, oral and documentary.</text> </paragraph> <paragraph num="E."> <text>Each party is responsible for obtaining the party's witnesses for the hearing. All witnesses shall be sworn.</text> </paragraph> <paragraph num="F."> <text>The Presiding Officer may admit and give probative effect to evidence which possesses probative value commonly accepted by reasonable and prudent men in the conduct of their affairs. The Presiding Officer shall give effect to the rules of privilege recognized by law. He may exclude incompetent, irrelevant, immaterial, and unduly repetitious evidence.</text> </paragraph> <paragraph num="G."> <text>Each party may cross-examine the witnesses who testify and may submit rebuttal evidence.</text> </paragraph> <paragraph num="H."> <text>At appropriate points during a hearing, the Presiding Officer may recognize anyone for the purpose of asking questions of a witness. The hearing panel may call witnesses of its own or recall witnesses of a party for the purpose of eliciting facts or opinions. The hearing panel may call for the production of documents relevant to the proceedings and may file them in the case.</text> </paragraph> <paragraph num="I."> <text>The Presiding Officer shall arrange to have all hearings recorded. Parties requesting copies of the transcript shall bear the expense of the copies.</text> </paragraph> <paragraph num="J."> <text>The record shall consist of all the information submitted to the Presiding Officer and the testimony and exhibits presented at the hearing that information which is protected from disclosure in accordance with Regulation .06 of this chapter does not lose that status by virtue of its having been considered by the hearing panel.</text> </paragraph> <paragraph num="K."> <text>Judicial Notice and Expertise. The Presiding Officer may take notice of judicially cognizable facts and, in addition, may take notice of general, technical, or scientific facts within his specialized knowledge. The parties shall be notified either before or during the hearing, or by reference in preliminary reports or otherwise, of the material so noticed, and shall be afforded an opportunity to contest the facts so noticed. The Presiding Officer may utilize his experience, technical competence, and specialized knowledge, and that of the other members of the hearing panel, in the evaluation of the evidence presented to the hearing panel.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Decision."> <text>If a hearing is held, the Presiding Officer shall state his decision and reasons for it in writing. A copy of the decision and reasons shall be mailed to all parties.</text> </regulation> <regulation prefix="Regulation" num=".11" heading="Retained Authority."> <text>If the Presiding Officer in his sole discretion determines that the operation of any of the aforegoing rules in a particular case would not aid him in fulfilling his statutory duties, and if he shall also determine that the suspension or modification of the rule in question would not prevent him from handling the application in an efficient and orderly manner, he may suspend or modify the rule accordingly and shall so notify the parties.</text> </regulation> <annotations> <annotation type="Authority">Financial Institutions Article, §2-105.1; Title 3, Subtitles 2 and 7; Title 5, Subtitle 10; and Title 6, Subtitle 2, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 14, 1976 (3:3 Md. R. 146)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective July 9, 2012 (39:13 Md. R. 785)</annotation> <annotation type="History" subtype="Administrative History">Regulations .07 and .11 amended effective March 9, 1977 (4:5 Md. R. 372)</annotation> </annotations> </chapter> <chapter num="04" heading="Retail Installment Sellers"> <regulation prefix="Regulation" num=".01" heading="Repossession."> <text>In every case where written notice is delivered or sent to the obligor as required by Commercial Law Article, §12-624(d), Annotated Code of Maryland, this notice will state, as part of the buyer's right to redeem and the amount payable for it, the following:</text> <paragraph num="A."> <text>If written notice of intention to repossess was served on the buyer pursuant to Commercial Law Article, §12-624(c), Annotated Code of Maryland, the actual cost of towing or retaking, the exact daily rate of storage, and any other costs relating to retaking and storing which the buyer may be required to pay shall be stated in the notice.</text> </paragraph> <paragraph num="B."> <text>If written notice of intention to repossess was not served on the buyer pursuant to Commercial Law Article, §12-624(c), Annotated Code of Maryland, the notice shall state that:</text> <paragraph num="(1)"> <text>The buyer is not required to pay any of the expenses of retaking or storing and</text> </paragraph> <paragraph num="(2)"> <text>If there is an attempt by any person to require the buyer to pay any amount for retaking or storing, the charge is illegal.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In addition to the above, all payments by the buyer to redeem any goods repossessed shall be made at a single address of the holder or his designated agent. The exact address, as required by Commercial Law Article, §12-624(d), Annotated Code of Maryland, shall be stated in the written notice. If there is more than one obligor, the required notice shall be sent to all obligors on the contract if the obligors have different addresses.</text> </paragraph> <paragraph num="D."> <text>The Commissioner may hold hearings in accordance with applicable statutory authority in order to determine whether any notice after repossession is in compliance with the law and this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Application of Proceeds of Resale by Holder of Repossessed Goods."> <paragraph num="A."> <text>In all cases of private sale of repossessed goods, a full accounting shall be made to the buyer in writing. The seller shall retain a copy of this accounting for at least 24 months.</text> </paragraph> <paragraph num="B."> <text>The accounting shall contain the following information:</text> <paragraph num="(1)"> <text>The unpaid balance at the time the goods were repossessed;</text> </paragraph> <paragraph num="(2)"> <text>The refund credit of unearned finance charges and insurance premiums, if any;</text> </paragraph> <paragraph num="(3)"> <text>The remaining net balance;</text> </paragraph> <paragraph num="(4)"> <text>The proceeds of the sale of the goods;</text> </paragraph> <paragraph num="(5)"> <text>The remaining deficiency balance, if any, or the amount due the buyer;</text> </paragraph> <paragraph num="(6)"> <text>All expenses incurred as a result of the sale;</text> </paragraph> <paragraph num="(7)"> <text>The purchaser's name, address, and business;</text> </paragraph> <paragraph num="(8)"> <text>The number of bids sought and received; and</text> </paragraph> <paragraph num="(9)"> <text>Any statement as to the condition of the goods at the time of repossession which would cause their value to be increased or decreased above or below the market value for goods of like kind and quality.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Upon compliance with Commercial Law Article, §12-631, Annotated Code of Maryland, if the Commissioner finds that any sale of repossessed goods was not a bona fide sale, the Commissioner may require the seller to show cause why a determination should not be made that he has not complied with Commercial Law Article, §12-626, Annotated Code of Maryland. If the seller contends that the sale was a bona fide sale in compliance with the statute, he shall have an opportunity to be heard pursuant to the Rules of Procedure of the Commissioner of Financial Regulation. Upon a determination after hearing that the sale was not bona fide, an order disallowing any claim of deficiency liability may be entered.</text> </paragraph> <paragraph num="D."> <text>The Commissioner from time to time may issue reasonable regulations to determine whether the public or private sale is bona fide.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Insurance."> <paragraph num="A."> <text>Except as provided elsewhere in this regulation, if an insurance premium is financed as part of an installment sale agreement, whether for dual interest physical damage insurance or third-party liability insurance, or both, and the insurance is terminated for any reason by the insurer and the unearned premium returned to the holder of the installment sale agreement, the holder immediately shall remit the unearned premium to the buyer less only those amounts then due and payable under the contract.</text> </paragraph> <paragraph num="B."> <text>Upon receipt by the holder of the installment sale contract of notice of cancellation of the dual interest coverage, if the holder orders single interest physical damage insurance, the premium for this coverage shall be considered due and payable on the date the coverage is effective. The cost of this single interest coverage may be deducted by the holder from the return premium received by the holder from the insurance company which terminated the dual interest coverage, but only if proper notice is given to the buyer that the unearned premium refund will be so applied and the buyer is given a reasonable opportunity to secure physical damage dual interest coverage from an insurance agent, broker, or company of his choice.</text> </paragraph> <paragraph num="C."> <text>If single interest coverage is procured by the holder, and the buyer later independently procures dual interest coverage, the single interest coverage promptly shall be cancelled by the holder upon proper notice that dual interest coverage is effective. Except as provided below, the return premium refund resulting from cancellation shall be remitted promptly to the buyer less only those amounts then due and payable under the contract.</text> </paragraph> <paragraph num="D."> <text>While the buyer in all cases shall have an absolute right to receive, and the holder to remit, net funds in cash, in which event the buyer shall remain obligated to the holder to repay the same as part of the indebtedness under the contract, the holder may make available to the buyer the following options:</text> <paragraph num="(1)"> <text>To receive these net funds, in whole or in part, in cash, in which event the buyer's indebtedness under the contract will not be reduced;</text> </paragraph> <paragraph num="(2)"> <text>To have these net funds, in whole or in part, applied to reduce pro rata the monthly installment payments due for the remaining term of the contract;</text> </paragraph> <paragraph num="(3)"> <text>To have these net funds, in whole or in part, applied to the last installment payable, but not yet due, in which event, if this application results in prepayment in full of the buyer's remaining indebtedness under the contract, the buyer shall be entitled to a rebate of the finance charge to the extent required by Commercial Law Article, §12-620, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(4)"> <text>To have these net funds, in whole or in part, applied to the next installment payable, but not yet due, in which event, if this application results in prepayment in full of the buyer's remaining indebtedness under the contract, the buyer shall be entitled to a rebate of the finance charge to the extent required by Commercial Law Article, §12-620, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(5)"> <text>To make another disposition of the funds as the parties may mutually agree upon in writing.</text> </paragraph> </paragraph> <paragraph num="E."> <text>In any case, the holder may elect to remit the unearned premium to the buyer, less any amounts then due and payable, if remittance is made not later than 10 days after the holder's receipt of the unearned premium by check delivered by first class mail to the last known address of the buyer. If the holder makes this election, the holder is not required to offer the buyer any option as described in §D of this regulation, and the full amount of the buyer's indebtedness under the contract, including the amount so remitted, shall remain intact.</text> </paragraph> <paragraph num="F."> <text>Notwithstanding contract conditions to the contrary, notification explaining the above options shall be presented to the buyer in writing not later than 10 days after the holder's receipt of the notice of cancellation, delivered to the buyer's last known address by certified mail, return receipt requested. If the buyer fails to respond to this notice within 15 days from the date of mailing or within 15 days from the date of the holder's receipt of the unearned premium, whichever is later, the holder promptly shall send to the buyer a check for the net amount due and the buyer's indebtedness under the contract, including the amount so remitted, will remain intact. If delivery of this notification or of the check cannot be accomplished by the postal authorities, the holder shall hold the funds for the benefit of the buyer and when the debt is reduced to the point at which the funds held for the benefit of the buyer offset the remaining indebtedness due, the buyer will be notified that the contract has been paid in full.</text> </paragraph> <paragraph num="G."> <text>If, at any time, the buyer defaults in the performance of any requirement under the contract, nothing contained in this regulation shall prohibit the holder from electing to accelerate the entire indebtedness and repossess the collateral, pursuant to the rights granted to the holder by Commercial Law Article, §12-624, Annotated Code of Maryland, and, in this event, the holder has the right to credit against the unpaid balance due under the contract, the return premium funds held for the benefit of the buyer.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Financial Institutions Article, §2-105.1 and Title 11, Subtitle 4; Commercial Law Article, Title 12, Subtitle 6; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: June 12, 1981 (8:12 Md. R. 1061)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 09.04.03 to COMAR 09.03.04, April, 1998</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective September 7, 1998 (25:18 Md. R. 1434)</annotation> </annotations> </chapter> <chapter num="05" heading="Code of Conduct—Mortgage Brokers and Mortgage Bankers" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: November 14, 1980 (7:23 Md. R. 2165)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02B and .10 amended effective August 16, 1982 (9:16 Md. R. 1604)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 adopted effective August 16, 1982 (9:16 Md. R. 1604)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective March 13, 2006 (33:5 Md. R. 519)</annotation> </annotations> </chapter> <chapter num="06" heading="Mortgage Lenders"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the conduct of any person engaged in mortgage lending, mortgage brokering, or mortgage servicing of loans secured by residential real estate located in this State, unless specifically exempt from licensure under Financial Institutions Article, §11-502, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Advertisement” means a statement in any medium used or intended to induce any person to apply for a mortgage loan.</text> </paragraph> <paragraph num="(2)"> <text>“Annual percentage rate (APR)” has the meaning stated in 12 CFR Part 1026, as it may be amended from time to time.</text> </paragraph> <paragraph num="(3)"> <text>Applicant.</text> <paragraph num="(a)"> <text>“Applicant” means a borrower who has not received a commitment from a licensee to make the loan requested.</text> </paragraph> <paragraph num="(b)"> <text>“Applicant” does not include a person whose request for a mortgage loan has been denied.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Average prime offer rate” has the meaning stated in 12 CFR Part 1026, as it may be amended from time to time.</text> </paragraph> <paragraph num="(5)"> <text>“Borrower” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Breach of the security of a system” has the meaning stated in Commercial Law Article, §14-3504, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(7)"> <text>Broker.</text> <paragraph num="(a)"> <text>This section defines whether a person is acting as a broker or a lender in a particular transaction.</text> </paragraph> <paragraph num="(b)"> <text>For purposes of all Maryland laws and regulation applicable to mortgage lenders, a person is acting as a broker if:</text> <paragraph num="(i)"> <text>The person aids or assists a borrower in obtaining a mortgage loan for a fee or other valuable consideration; and</text> </paragraph> <paragraph num="(ii)"> <text>The creditor identified in the loan documents is a different person than the person described in §B(7)(b)(i) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>There is no broker in a transaction solely because the lender contracts with a third party for processing or underwriting services if:</text> <paragraph num="(i)"> <text>The person contracting to perform the processing or underwriting did not generate the loan application; and</text> </paragraph> <paragraph num="(ii)"> <text>The loan is closed in the name of the lender which did generate the loan application.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Commissioner” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(9)"> <text>“Commitment” has the meaning stated in Commercial Law Article, §12-125(a)(3), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(10)"> <text>“Corporate governance” means the management structure of the licensee and the processes by which the business is managed, including the corporate controls, rules, policies, processes, and practices used to oversee and manage the institution.</text> </paragraph> <paragraph num="(11)"> <text>“Customer information” has the meaning stated in 16 CFR Part 314, as it may be amended from time to time.</text> </paragraph> <paragraph num="(12)"> <text>“Dwelling” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(13)"> <text>“Electronic record” has the meaning stated in Commercial Law Article, §21-101(h), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(14)"> <text>“Escrow account” has the meaning stated in Commercial Law Article, §12-109(a)(3), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(15)"> <text>“External audit” means the formal report prepared by an independent certified public accountant expressing an opinion on whether the financial statements are presented fairly, in all material aspects, in accordance with the applicable financial reporting framework, and is inclusive of an evaluation of the adequacy of a company’s internal control structure.</text> </paragraph> <paragraph num="(16)"> <text>“Financing agreement” has the meaning stated in Commercial Law Article, §12-125(a)(4), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(17)"> <text>“Fully indexed rate” has the meaning stated in 12 CFR Part 1026, as it may be amended from time to time.</text> </paragraph> <paragraph num="(18)"> <text>“Higher-priced mortgage loan” has the meaning stated in 12 CFR Part 1026, as it may amended from time to time.</text> </paragraph> <paragraph num="(19)"> <text>“Information security program” has the meaning stated in 16 CFR §314.2, as it may be amended from time to time.</text> </paragraph> <paragraph num="(20)"> <text>“Initial application” means the submission of a borrower’s financial information in anticipation of a credit decision relating to a mortgage loan, which shall include the borrower’s name, the borrower’s monthly income, the borrower’s social security number to obtain a credit report, the property address, an estimate of the value of the property, and the mortgage loan amount sought.</text> </paragraph> <paragraph num="(21)"> <text>“Internal audit” means the internal independent and objective assurance and consulting activity performed to evaluate and improve the effectiveness of a licensee’s operations, risk management, internal controls, and governance processes.</text> </paragraph> <paragraph num="(22)"> <text>Lender.</text> <paragraph num="(a)"> <text>“Lender” means a person who makes a mortgage loan.</text> </paragraph> <paragraph num="(b)"> <text>“Lender”, as used in these regulations, does not include a person acting as a:</text> <paragraph num="(i)"> <text>Mortgage broker; or</text> </paragraph> <paragraph num="(ii)"> <text>Mortgage servicer.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(23)"> <text>“License” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(24)"> <text>“Licensed location” means any location listed by the licensee in NMLS.</text> </paragraph> <paragraph num="(25)"> <text>“Licensee” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(26)"> <text>“Loan” as used in these regulations, unless the context indicates otherwise, means a mortgage loan.</text> </paragraph> <paragraph num="(27)"> <text>“Loan application” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(28)"> <text>“Loss mitigation option” has the meaning stated in 12 C.F.R. Part 1024, as it may be amended from time to time.</text> </paragraph> <paragraph num="(29)"> <text>“Mortgage lender” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(30)"> <text>“Mortgage loan” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(31)"> <text>“Mortgage loan originator” has the meaning stated in Financial Institutions Article, §11-601, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(32)"> <text>Mortgage Servicer.</text> <paragraph num="(a)"> <text>“Mortgage servicer” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Mortgage servicer” includes a person that engages in one or more of the following actions for the benefit of other persons in connection with mortgage loans:</text> <paragraph num="(i)"> <text>Performs the routine administration of mortgage loans as agent of a servicer or MSR investor under the terms of a subservicing contract;</text> </paragraph> <paragraph num="(ii)"> <text>Invests in and owns mortgage servicing rights and relies on subservicers to administer the mortgage loans on its behalf;</text> </paragraph> <paragraph num="(iii)"> <text>Collects or receives payments directly from borrowers for distribution to the owner of the mortgage loan or another third party, including a master servicer;</text> </paragraph> <paragraph num="(iv)"> <text>Evaluates borrower eligibility for loss mitigation options;</text> </paragraph> <paragraph num="(v)"> <text>Communicates with the borrower regarding loss mitigation options;</text> </paragraph> <paragraph num="(vi)"> <text>Is responsible for supervision of third parties that take action to protect a secured party’s interest in the property under the applicable security instrument, such as maintenance of hazard and mortgage insurance coverage and preservation of the property; or</text> </paragraph> <paragraph num="(vii)"> <text>Conducts or supervises the foreclosure process, except if the person is an attorney representing a mortgagee or its successors and assigns, or is acting as a substitute trustee in a foreclosure action under a deed of trust.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(33)"> <text>“Mortgage servicing rights” or “MSR” means the contractual right to service a mortgage loan on behalf of the owner of the associated mortgage in exchange for specified compensation in accordance with the servicing contract.</text> </paragraph> <paragraph num="(34)"> <text>“MSR Investor” means a person who invests in and owns mortgage servicing rights and relies upon subservicers to administer the mortgage loans on the person’s behalf, and who may be referred to as a master servicer.</text> </paragraph> <paragraph num="(35)"> <text>“NMLS” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(36)"> <text>“Person” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(37)"> <text>“Processing”, when used in the context of processing a loan application, means the:</text> <paragraph num="(a)"> <text>Collection of data, documents, and other materials which a lender or broker requires in order to evaluate whether a loan will be granted or denied;</text> </paragraph> <paragraph num="(b)"> <text>Preparation of all materials necessary for closing a loan; and</text> </paragraph> <paragraph num="(c)"> <text>Scheduling of the closing of a loan.</text> </paragraph> </paragraph> <paragraph num="(38)"> <text>“Residential real estate” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(39)"> <text>“Risk management program” means the policies, procedures, and internal controls designed to identify, measure, monitor and mitigate risk.</text> </paragraph> <paragraph num="(40)"> <text>“Service provider” has the meaning stated in 16 CFR Part 314, as it may be amended from time to time.</text> </paragraph> <paragraph num="(41)"> <text>Social Media.</text> <paragraph num="(a)"> <text>“Social media” means an Internet website or application software that:</text> <paragraph num="(i)"> <text>Requires a person to register or create an account to become a member; and</text> </paragraph> <paragraph num="(ii)"> <text>Allows two or more members to communicate directly with one another.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Social media” includes an Internet website or application software that allows members to communicate by means of one or more of the following:</text> <paragraph num="(i)"> <text>Text;</text> </paragraph> <paragraph num="(ii)"> <text>Video;</text> </paragraph> <paragraph num="(iii)"> <text>Still photograph; or</text> </paragraph> <paragraph num="(iv)"> <text>Audio.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>“Social media” does not include an electronic mail account.</text> </paragraph> </paragraph> <paragraph num="(42)"> <text>“Subservicer” means a person performing the routine administration of mortgage loans as an agent of a servicer or MSR investor under the terms of a subservicing contract.</text> </paragraph> <paragraph num="(43)"> <text>“Trade name” means any word or group of words used to identify a business to the public.</text> </paragraph> <paragraph num="(44)"> <text>“Underwriting” means the evaluation of information and materials about the loan, the applicant, and the property which will secure the loan, to determine whether the loan will be made or denied.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Delivery and Receipt of Mortgage Disclosures."> <paragraph num="A."> <text>A licensee shall be deemed to have complied with a requirement under Commercial Law Article, Title 12, Subtitles 1, 3, 4, 8, 9, or 10, Annotated Code of Maryland, to provide a written disclosure or agreement within a specified time period after the date the loan application is completed if the mortgage disclosure or agreement is provided to an applicant in person, or placed in the mail, before the end of the time period specified in the applicable statute.</text> </paragraph> <paragraph num="B."> <text>Electronic Disclosures.</text> <paragraph num="(1)"> <text>Mortgage disclosures required by Commercial Law Article, Title 12, Subtitles 1, 3, 4, 8, 9, 10, 12, or 13, Annotated Code of Maryland, may be provided to an applicant in electronic form, subject to compliance with the consumer consent and other applicable provisions of the Electronic Signatures in Global and National Commerce Act (15 U.S.C. §7001 et seq.) and the Maryland Uniform Electronic Transactions Act (Commercial Law Article, Title 21, Annotated Code of Maryland).</text> </paragraph> <paragraph num="(2)"> <text>For the purpose described in §A of this regulation, unless otherwise agreed between the licensee and an applicant, the time of sending and receipt of a mortgage disclosure sent as an electronic record shall be governed by Commercial Law Article, §21-114, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Licensing and Application Requirements."> <paragraph num="A."> <text>Scope.</text> <paragraph num="(1)"> <text>If otherwise required to be licensed under Financial Institutions Article, §11-502, Annotated Code of Maryland, a person is not exempt because the person:</text> <paragraph num="(a)"> <text>Is an out-of-State deposit-taking financial institution;</text> </paragraph> <paragraph num="(b)"> <text>Does not have offices in Maryland;</text> </paragraph> <paragraph num="(c)"> <text>Does not have tax situs in Maryland; or</text> </paragraph> <paragraph num="(d)"> <text>Is not required to register as a foreign corporation doing business in Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Repealed.</text> </paragraph> <paragraph num="(3)"> <text>For purposes of Financial Institutions Article, §11-506, Annotated Code of Maryland, an individual is considered to have at least 3 years of experience in the mortgage lending business if:</text> <paragraph num="(a)"> <text>The individual has received compensation in connection with a minimum of 12 closed mortgage loans per year for each of the 3 years; or</text> </paragraph> <paragraph num="(b)"> <text>The individual has worked in the mortgage lending business at least an average of 20 hours per week for each of the 3 years.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The Commissioner may consider the totality of an individual's particular duties and activities while engaged in the mortgage lending business to determine whether the individual has at least 3 years of experience.</text> </paragraph> <paragraph num="(5)"> <text>For purposes of Financial Institutions Article, §11-506, Annotated Code of Maryland, a “principal officer” includes:</text> <paragraph num="(a)"> <text>An individual who owns, directly or indirectly, 10 percent or more of the business entity;</text> </paragraph> <paragraph num="(b)"> <text>An individual who serves on the board of directors or board of managers;</text> </paragraph> <paragraph num="(c)"> <text>An elected or appointed senior officer, including President, Executive Vice President, Senior Vice President, Treasurer, Secretary, Chief Executive Officer, Chief Operating Officer, Chief Legal Officer, Chief Credit Officer, and Chief Compliance Officer; or</text> </paragraph> <paragraph num="(d)"> <text>An individual, regardless of title, who has the power to direct the management or policies of the mortgage lending business.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Unlicensed Mortgage Lender. A licensee may not broker a loan to, or accept a loan referral from, a person the licensee knows is not licensed by the Commissioner, unless the licensee reasonably and in good faith believes that the person is properly licensed or exempt from the licensing requirement.</text> </paragraph> <paragraph num="C."> <text>Renewals.</text> <paragraph num="(1)"> <text>A licensee may renew a license by filing a completed renewal application before the expiration of its current license.</text> </paragraph> <paragraph num="(2)"> <text>A person who fails to comply with §C(1) of this regulation shall file an application for a new license with all application and investigation fees, unless the renewal application is filed with the Commissioner within 30 days after the date on which the current license expired.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Bond Termination.</text> <paragraph num="(1)"> <text>If a licensee's bond, letter of credit, or trust account is cancelled, expired, or closed and no substitute bond or authorized security is in place:</text> <paragraph num="(a)"> <text>Upon notice of the termination from the bond surety, or issuer of the letter of credit or trust account, the licensee shall immediately cease doing any business as a mortgage lender; and</text> </paragraph> <paragraph num="(b)"> <text>The mortgage lender's license is suspended.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the termination remains in effect for more than 30 days, an application for a new license shall be filed with all application and investigation fees.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Loan Processing Under Expired License.</text> <paragraph num="(1)"> <text>If a licensee files an application for license renewal with the Commissioner at least 2 calendar weeks before the license expires and the Commissioner has not approved the application before the license expires, the licensee may continue to process and close loans until the Commissioner takes final action on the application in accordance with State Government Article, §10-226(b), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>If a licensee files an application for license renewal with the Commissioner less than 2 calendar weeks before the license expires and the Commissioner has not approved the application before the license expires, the licensee shall cease processing and closing loans when the license expires.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Complaint Resolution.</text> <paragraph num="(1)"> <text>A licensee shall designate a person as being responsible for, and authorized to make, decisions regarding the resolution of complaints received from the Commissioner.</text> </paragraph> <paragraph num="(2)"> <text>A licensee shall provide to the Commissioner the name of the person designated under §G(1) of this regulation as part of an application for:</text> <paragraph num="(a)"> <text>A new license; and</text> </paragraph> <paragraph num="(b)"> <text>A license renewal.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A person designated under §G(1) of this regulation shall have:</text> <paragraph num="(a)"> <text>The necessary skills and knowledge of the mortgage industry to be able to adequately respond to consumer complaints; and</text> </paragraph> <paragraph num="(b)"> <text>Authority to resolve the complaint, or shall report directly to an individual with such authority.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A licensee shall notify the Commissioner through NMLS of any change in the person designated under §G(1) of this regulation within 10 business days of the change.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Designation of Mortgage-Related Activity.</text> <paragraph num="(1)"> <text>A licensee shall designate on its original license application and on any license renewal application whether it will act, under its license, as one or more of the following:</text> <paragraph num="(a)"> <text>A lender;</text> </paragraph> <paragraph num="(b)"> <text>A mortgage broker; or</text> </paragraph> <paragraph num="(c)"> <text>A mortgage servicer.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Notification.</text> <paragraph num="(a)"> <text>A licensee shall notify the Commissioner in writing through NMLS if, after the issuance or the renewal of its license, the licensee begins conducting a new activity that the licensee did not designate under §H(1) of this regulation.</text> </paragraph> <paragraph num="(b)"> <text>A licensee shall deliver the notification through NMLS to the Commissioner within 10 business days after beginning the new activity.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>NMLS.</text> </paragraph> <paragraph num="I."> <text>Applications.</text> <paragraph num="(1)"> <text>The Commissioner shall approve or deny an application for an initial license, a renewal license, or a license amendment within 60 days after the Commissioner receives a completed application, including, if applicable, a surety bond and all required fees.</text> </paragraph> <paragraph num="(2)"> <text>If the Commissioner notifies an applicant that an application for an initial license, a renewal license, or a license amendment is incomplete, the Commissioner shall itemize the steps that the applicant must take to complete the application.</text> </paragraph> <paragraph num="(3)"> <text>The application for an initial license, a renewal license, or a license amendment may not be approved until after the applicant completes all steps identified in the Commissioner’s notice.</text> </paragraph> <paragraph num="(4)"> <text>If an application for an initial license, a renewal license, or license amendment is incomplete when submitted and remains incomplete, the Commissioner may cease processing and deem the incomplete application withdrawn, provided that the Commissioner has previously notified the applicant of the basis for incompleteness in accordance with §J(2) of this regulation, and given the applicant not less than 15 days to correct the incompleteness.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Records."> <paragraph num="A."> <text>Preservation of Records.</text> <paragraph num="(1)"> <text>A licensee shall preserve the records of a mortgage loan in one or more of the following ways:</text> <paragraph num="(a)"> <text>Original books, accounts, and files;</text> </paragraph> <paragraph num="(b)"> <text>An approved electronic equivalent; or</text> </paragraph> <paragraph num="(c)"> <text>An approved microphotographic copy.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A licensee’s use of electronic or microphotographic preservation of records, or storage of books and records at a location other than the licensee’s place of business, shall be considered approved by the Commissioner if the licensee:</text> <paragraph num="(a)"> <text>Completes an attestation in the format prescribed by the Commissioner; and</text> </paragraph> <paragraph num="(b)"> <text>Uploads an electronic copy of the attestation to NMLS in accordance with directions provided by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A licensee who stores records in the form of electronic copies shall:</text> <paragraph num="(a)"> <text>Store the records in a format that shall allow the Commissioner to read the records using common, readily available software;</text> </paragraph> <paragraph num="(b)"> <text>Maintain electronic copies of the original documents that are:</text> <paragraph num="(i)"> <text>Complete;</text> </paragraph> <paragraph num="(ii)"> <text>Accurate;</text> </paragraph> <paragraph num="(iii)"> <text>Unaltered; and</text> </paragraph> <paragraph num="(iv)"> <text>Unabridged;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Ensure that, when printed, the records will be legible;</text> </paragraph> <paragraph num="(d)"> <text>Protect the records from:</text> <paragraph num="(i)"> <text>Deletion;</text> </paragraph> <paragraph num="(ii)"> <text>Damage to or failure of electronic storage media; and</text> </paragraph> <paragraph num="(iii)"> <text>Unauthorized access, use, modification, or disclosure; and</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Be permitted to alter electronic documents in any manner that does not affect the content of the records.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A licensee who stores records at a location other than its licensed address shall:</text> <paragraph num="(a)"> <text>Ensure that all records are:</text> <paragraph num="(i)"> <text>Complete;</text> </paragraph> <paragraph num="(ii)"> <text>Accurate;</text> </paragraph> <paragraph num="(iii)"> <text>Unaltered; and</text> </paragraph> <paragraph num="(iv)"> <text>Unabridged;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Protect the records from:</text> <paragraph num="(i)"> <text>Deletion;</text> </paragraph> <paragraph num="(ii)"> <text>Damage to, or failure of, electronic storage media; and</text> </paragraph> <paragraph num="(iii)"> <text>Unauthorized access, use, modification, or disclosure; and</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Immediately notify the Commissioner when a licensee discovers or is notified of a potential loss of records, completes a reasonable and prompt investigation, and then determines that records have been lost or are reasonably likely to be lost.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Time Period.</text> <paragraph num="(a)"> <text>A lender shall retain records for 61 months after a loan is denied, repayment of the loan is made in full, or the loan is sold, whichever occurs first.</text> </paragraph> <paragraph num="(b)"> <text>A mortgage servicer shall retain records for 61 months after final payment is made or the right to service the loan under either a servicing or subservicing agreement is terminated or transferred, whichever occurs first.</text> </paragraph> <paragraph num="(c)"> <text>If a licensee acts as a broker in a mortgage loan, records of the mortgage loan shall be retained for 61 months after the mortgage loan is made or denied.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Records required to be retained shall be maintained separately from the records of any other business of the licensee or its employees.</text> </paragraph> <paragraph num="(7)"> <text>Notwithstanding §A(3) of this regulation, a licensee may commingle records of mortgage loans with records of other types of loans made, brokered, or held by the licensee, if the mortgage loans can be readily retrieved for an examination.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Content of Records.</text> <paragraph num="(1)"> <text>For each mortgage loan made or serviced by a licensee, a file shall be maintained which contains, at a minimum, the following:</text> <paragraph num="(a)"> <text>The date of the loan closing;</text> </paragraph> <paragraph num="(b)"> <text>The annual percentage rate of interest payable on the loan;</text> </paragraph> <paragraph num="(c)"> <text>Documentation of all charges and fees disbursed from the proceeds of the loan or collected directly from the borrower;</text> </paragraph> <paragraph num="(d)"> <text>Documentation of disbursements of loan proceeds to creditors of the borrower;</text> </paragraph> <paragraph num="(e)"> <text>Documentation of any broker's agreement signed by the borrower if a broker fee is paid from the loan proceeds at closing;</text> </paragraph> <paragraph num="(f)"> <text>The amount of any origination or discount fee;</text> </paragraph> <paragraph num="(g)"> <text>A notation of any applicable governmental loan program for each loan;</text> </paragraph> <paragraph num="(h)"> <text>An accurate history or audit trail, since the date of loan closing, of the application of all:</text> <paragraph num="(i)"> <text>Payments;</text> </paragraph> <paragraph num="(ii)"> <text>Charges; and</text> </paragraph> <paragraph num="(iii)"> <text>Credits;</text> </paragraph> </paragraph> <paragraph num="(i)"> <text>The objective index used to determine the interest rate from time to time if the loan has an adjustable rate;</text> </paragraph> <paragraph num="(j)"> <text>If the loan was assigned by the licensee, the name of the assignee, and the date of the assignment;</text> </paragraph> <paragraph num="(k)"> <text>Any document which indicates whether the security interest is in first or second lien position at the time the loan is made;</text> </paragraph> <paragraph num="(l)"> <text>All required State and federal disclosure documents;</text> </paragraph> <paragraph num="(m)"> <text>Records of all monies received from a borrower for fees to be paid to third parties for services in connection with the loan;</text> </paragraph> <paragraph num="(n)"> <text>Records indicating that the services were provided and the fees paid by the licensee to the third party;</text> </paragraph> <paragraph num="(o)"> <text>A record of dates on which a credit report, appraisal, and other services or items were ordered by the licensee;</text> </paragraph> <paragraph num="(p)"> <text>Any other document on which the licensee relied in underwriting the loan;</text> </paragraph> <paragraph num="(q)"> <text>Optional insurance:</text> <paragraph num="(i)"> <text>Insurance information regarding optional insurance coverage purchased by the borrower in connection with the loan, including the premium charged, the types of coverages, and written authorization from the borrower for each type of coverage;</text> </paragraph> <paragraph num="(ii)"> <text>This paragraph does not apply to hazard insurance and flood insurance on the property securing the mortgage loan;</text> </paragraph> </paragraph> <paragraph num="(r)"> <text>Records of any foreclosure action begun by the licensee by filing an order to docket or a complaint to foreclose including, if applicable:</text> <paragraph num="(i)"> <text>The name and license number or NMLS unique identifier of the mortgage originator that originated the loan if that information is contained in the security instrument underlying the foreclosure or is otherwise known to the licensee;</text> </paragraph> <paragraph num="(ii)"> <text>The name and license number or NMLS unique identifier of the mortgage lender that originated the loan; and</text> </paragraph> <paragraph num="(iii)"> <text>Copies of all documents provided to the borrower or filed with a court in conjunction with the foreclosure action;</text> </paragraph> </paragraph> <paragraph num="(s)"> <text>Copies of all documents filed by or on behalf of the licensee in a borrower’s bankruptcy proceeding involving the mortgage loan;</text> </paragraph> <paragraph num="(t)"> <text>If the licensee is a mortgage servicer:</text> <paragraph num="(i)"> <text>Copies of all written correspondence between the licensee or its vendors and the borrower;</text> </paragraph> <paragraph num="(ii)"> <text>Written records of verbal communications between the mortgage servicer or its vendors and the borrower; and</text> </paragraph> <paragraph num="(iii)"> <text>Copies of any audio recordings of communication with the borrower; and</text> </paragraph> </paragraph> <paragraph num="(u)"> <text>Other documents necessary to prove compliance with any State or federal statute or regulation applicable to the mortgage loan.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Notwithstanding §B(1) of this regulation, a licensee acting as a broker in connection with a particular mortgage loan:</text> <paragraph num="(a)"> <text>Shall retain copies of all records listed in §B(1) of this regulation which the licensee obtains in the course of processing or underwriting a loan;</text> </paragraph> <paragraph num="(b)"> <text>Shall retain a copy of the broker agreement between the licensee and the borrower;</text> </paragraph> <paragraph num="(c)"> <text>Shall retain a record of the lender to whom the loan was brokered;</text> </paragraph> <paragraph num="(d)"> <text>Shall retain a record of the amount of any finder’s fee received;</text> </paragraph> <paragraph num="(e)"> <text>Shall retain a record of any compensation, as required by federal law; and</text> </paragraph> <paragraph num="(f)"> <text>Is not responsible for retaining any record unless the licensee at some time is in physical possession of a copy of that record.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A licensee shall maintain all records that demonstrate that the licensee meets the general qualifications for a license as described in Financial Institutions Article, §11-506, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>Records retained for longer than the minimum time period shall be made available to the Commissioner upon the Commissioner's reasonable request.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Provision of Records to the Commissioner.</text> <paragraph num="(1)"> <text>A licensee who keeps books and records at a licensed location shall, at the request of the Commissioner, immediately make those books and records available to the Commissioner at the licensed location.</text> </paragraph> <paragraph num="(2)"> <text>A licensee who keeps books and records at a location other than the licensed location with prior permission by the Commissioner shall, within 5 business days of a request by the Commissioner, make those books and records available to the Commissioner at the licensed location.</text> </paragraph> <paragraph num="(3)"> <text>A licensee shall ensure that the Commissioner receives any records requested in writing by the Commissioner within 10 business days from the date of the request.</text> </paragraph> <paragraph num="(4)"> <text>When delivered to the Commissioner, records shall be:</text> <paragraph num="(a)"> <text>In an electronic format agreed to by the Commissioner;</text> </paragraph> <paragraph num="(b)"> <text>In paper form, if the licensee does not maintain its records in an electronic format; and</text> </paragraph> <paragraph num="(c)"> <text>Organized in any manner requested by the Commissioner.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Loss of Records. A licensee shall immediately notify the Commissioner of any actual or potential loss of records required to be kept by this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Advertising and Solicitation."> <paragraph num="A."> <text>A person may not publish, or cause to be published, any advertisement, or make or cause to be made any representation, that:</text> <paragraph num="(1)"> <text>Contains any false, misleading, or deceptive statements regarding the making, brokering, or servicing of mortgage loans; or</text> </paragraph> <paragraph num="(2)"> <text>Misrepresents terms, availability, rates, or charges incident to a mortgage loan.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Licensee Name and Address.</text> <paragraph num="(1)"> <text>A licensee may not advertise under any name or address other than a name or address that:</text> <paragraph num="(a)"> <text>Is listed as a licensed location in NMLS; or</text> </paragraph> <paragraph num="(b)"> <text>Has been approved by the Commissioner pursuant to COMAR 09.03.02.09A.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Notwithstanding §B(1) of this regulation, an advertisement:</text> <paragraph num="(a)"> <text>Need not disclose any address of the advertiser; and</text> </paragraph> <paragraph num="(b)"> <text>May use the trade name of a parent corporation.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Notwithstanding §B(1) of this regulation, a licensee may use an e-mail address or website address that is different from the name or website address that appears on the licensee's license, provided that the content of any e-mail correspondence, or of the website itself, uses only a name that appears on the licensee's license or has been approved by the Commissioner pursuant to [Regulation .04L of this chapter] COMAR 09.03.02.09B and is listed as a trade name on the licensee's NMLS record.</text> </paragraph> <paragraph num="(4)"> <text>A licensee shall disclose its NMLS unique identifier in every advertisement.</text> </paragraph> <paragraph num="(5)"> <text>Notwithstanding §B(4) of this regulation, a licensee who utilizes social media for advertising purposes need not disclose the licensee's NMLS unique identifier in each statement published through a social media platform, provided that the NMLS unique identifier is displayed prominently on the licensee's profile page within the social media platform.</text> </paragraph> <paragraph num="(6)"> <text>A licensee is responsible for a violation of §A of this regulation even if a parent corporation's trade name is used as permitted in §B(2)(b) of this regulation.</text> </paragraph> <paragraph num="(7)"> <text>A licensee is responsible for any advertisement disseminated by an employee of the licensee if such advertisement relates to activities performed by the licensee or by the employee in the employee's capacity as an employee of the licensee.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Financing Agreements."> <paragraph num="A."> <text>For purposes of Commercial Law Article, §§12-125, 12-922, and 12-1022, Annotated Code of Maryland:</text> <paragraph num="(1)"> <text>An application is completed at the time of initial application;</text> </paragraph> <paragraph num="(2)"> <text>Settlement occurs when the loan proceeds are disbursed by the person conducting settlement to the borrower or to third parties as required by the lender's instructions;</text> </paragraph> <paragraph num="(3)"> <text>Settlement has not occurred when the loan proceeds are disbursed from the lender to the custody of an escrow agent pending expiration of a time period during which the borrower is entitled by statute to rescind the loan.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In a loan transaction where there is a separate broker and lender, only one financing agreement need be provided to the applicant.</text> </paragraph> <paragraph num="C."> <text>A financing agreement need not be provided under Commercial Law Article, §12-125, 12-922, or 12-1022, Annotated Code of Maryland, if within 10 business days after initial application the:</text> <paragraph num="(1)"> <text>Loan is closed; or</text> </paragraph> <paragraph num="(2)"> <text>Applicant receives a written commitment.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Agreements with the Borrower."> <paragraph num="A."> <text>Written Agreements.</text> <paragraph num="(1)"> <text>Agreements between a borrower and a licensee shall be:</text> <paragraph num="(a)"> <text>In writing; and</text> </paragraph> <paragraph num="(b)"> <text>Provided promptly to the borrower following execution by all parties.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Exact copies of original documents may be provided to the borrower to satisfy this section.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Agreements in Blank.</text> <paragraph num="(1)"> <text>A person may not obtain a borrower's or guarantor's signature on any of the following documents if blanks remain to be filled in after execution by the borrower:</text> <paragraph num="(a)"> <text>A note;</text> </paragraph> <paragraph num="(b)"> <text>A deed of trust;</text> </paragraph> <paragraph num="(c)"> <text>A mortgage;</text> </paragraph> <paragraph num="(d)"> <text>An affidavit by the borrower;</text> </paragraph> <paragraph num="(e)"> <text>Any written certification or statement by the borrower as to use of loan proceeds;</text> </paragraph> <paragraph num="(f)"> <text>Any other instrument granting a security interest in property;</text> </paragraph> <paragraph num="(g)"> <text>Any other document which constitutes a debt obligation of the borrower; and</text> </paragraph> <paragraph num="(h)"> <text>A finder's fee agreement required under Commercial Law Article, §12-805, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The prohibitions of §B(1) of this regulation do not apply to blanks for the signatures of a:</text> <paragraph num="(a)"> <text>Notary public;</text> </paragraph> <paragraph num="(b)"> <text>Witness who is not a borrower, guarantor, or obligor on the loan; or</text> </paragraph> <paragraph num="(c)"> <text>Person required to sign a certification or affidavit required by law for recordation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Undisclosed Fees.</text> <paragraph num="(1)"> <text>Unless disclosed in written agreements signed by the borrower, a licensee may not, directly or indirectly, impose any fee or charge payable by or on behalf of the borrower.</text> </paragraph> <paragraph num="(2)"> <text>In this section “written agreements” includes all closing documents signed by the borrower.</text> </paragraph> <paragraph num="(3)"> <text>Compliance with applicable disclosures under 12 CFR §§1026.37 and 1026.38 shall be deemed compliance with §C(1) and (2) of this regulation.</text> </paragraph> <paragraph num="(4)"> <text>This section does not apply to changes in amounts collected to be placed in an escrow account maintained after the loan is made.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Security Instruments. Licensees shall comply with the requirements relating to security instruments to be recorded in connection with the inclusion of the name and licensee number of the mortgage lender and mortgage originator, or an affidavit in lieu thereof, as set forth in Real Property Article, §3-104.1, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Loan Processing."> <paragraph num="A."> <text>A mortgage lender:</text> <paragraph num="(1)"> <text>May not cause or permit any loan to be characterized as a commercial loan if there are circumstances known to the licensee which indicate that any portion of the loan proceeds will not be used for commercial purposes;</text> </paragraph> <paragraph num="(2)"> <text>Which cannot guarantee acceptance of a borrower's application into a particular loan program, shall disclose that fact to the applicant in writing;</text> </paragraph> <paragraph num="(3)"> <text>Shall keep an applicant generally informed of the progress of the processing of a loan application in the event that problems arise in the processing or underwriting of a loan which may delay closing; and</text> </paragraph> <paragraph num="(4)"> <text>Shall comply with all State and federal laws and regulations applicable to a particular loan.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If a mortgage lender elects to make a loan under Commercial Law Article, Title 12, Subtitle 9 or Subtitle 10, Annotated Code of Maryland, the lender shall make that election in writing in the:</text> <paragraph num="(1)"> <text>Agreement, note, or other evidence of an extension of closed end credit; or</text> </paragraph> <paragraph num="(2)"> <text>Agreement governing a revolving credit plan.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Fees."> <paragraph num="A."> <text>A licensee may not retain a fee, or any portion of a fee, collected from the borrower if the fee is represented as a charge to be paid to a third party for services in connection with the loan.</text> </paragraph> <paragraph num="B."> <text>Timing of Collection.</text> <paragraph num="(1)"> <text>If a financing agreement is required under Commercial Law Article, §12-125, 12-922, or 12-1022, Annotated Code of Maryland, and these regulations, a licensee may not collect any fee from the applicant before providing the financing agreement executed by the lender.</text> </paragraph> <paragraph num="(2)"> <text>Notwithstanding §B(1) of this regulation, a licensee may collect fees which are to be fully paid to third parties for services in connection with the loan, before providing a financing agreement.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A licensee may condition the making of a loan on the real estate seller's paying certain fees only if:</text> <paragraph num="(1)"> <text>The seller has agreed in writing to pay those fees; or</text> </paragraph> <paragraph num="(2)"> <text>At the time the borrower elects the type of loan applied for, the licensee discloses in writing:</text> <paragraph num="(a)"> <text>Fees which the seller may be required to pay,</text> </paragraph> <paragraph num="(b)"> <text>The fact that the borrower has the responsibility for informing the seller about the fees, and</text> </paragraph> <paragraph num="(c)"> <text>The fact that the loan will not be made unless the seller, or someone other than the borrower, pays those fees.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>If a licensee fails to comply with §C of this regulation, the licensee may not:</text> <paragraph num="(1)"> <text>Fail to close the loan solely because the seller refuses at closing to pay certain fees; or</text> </paragraph> <paragraph num="(2)"> <text>Threaten at closing to refuse to make the loan unless the seller pays certain fees.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Closing."> <paragraph num="A."> <text>Disbursement of Loan Proceeds.</text> <paragraph num="(1)"> <text>A licensee shall disburse all loan proceeds in a timely manner as provided in the loan documents.</text> </paragraph> <paragraph num="(2)"> <text>Disbursement of all loan proceeds to a third-party closing agent is deemed compliance with this section.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A licensee may not collect a separate settlement fee in a loan when closing is conducted by:</text> <paragraph num="(1)"> <text>The lender;</text> </paragraph> <paragraph num="(2)"> <text>A subsidiary of the lender;</text> </paragraph> <paragraph num="(3)"> <text>A sister corporation of the lender;</text> </paragraph> <paragraph num="(4)"> <text>An owner or part owner of the lender;</text> </paragraph> <paragraph num="(5)"> <text>A partner of the lender; or</text> </paragraph> <paragraph num="(6)"> <text>A director, officer, or employee of the lender.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Duties on Failure to Close.</text> <paragraph num="(1)"> <text>If a loan transaction is not closed, the licensee shall, upon written request by the applicant, return to the applicant:</text> <paragraph num="(a)"> <text>All original documents and other materials which were supplied to the licensee by the borrower; and</text> </paragraph> <paragraph num="(b)"> <text>If paid for by the borrower, a copy of the appraisal report.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Section C(1)(b) of this regulation does not apply to any portion of an appraisal report which any federal law or regulation prohibits the licensee from releasing to the applicant.</text> </paragraph> <paragraph num="(3)"> <text>The licensee may retain copies of all documents returned to the borrower.</text> </paragraph> <paragraph num="(4)"> <text>This section does not apply to a written application for a loan.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Brokers."> <paragraph num="A."> <text>A person acting as a mortgage broker in a loan transaction may not obtain an exclusive dealing or exclusive agency agreement from any borrower.</text> </paragraph> <paragraph num="B."> <text>Notwithstanding §A of this regulation, a person acting as a mortgage broker may obtain an agreement from a borrower that, in the event the loan is not made, restricts the borrower from obtaining a loan within 180 days after the borrower's initial application to the broker, from any lender identified to the borrower by the broker.</text> </paragraph> <paragraph num="C."> <text>Fees.</text> <paragraph num="(1)"> <text>Except for a fee to be paid to a third party for services in connection with the loan, a person acting as a broker in a loan transaction may not collect a fee from an applicant before the loan is closed.</text> </paragraph> <paragraph num="(2)"> <text>Section C(1) does not authorize any fee not permitted under applicable sections of Commercial Law Article, Title 12, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Cure of Unintentional Violation.</text> <paragraph num="(1)"> <text>This section applies only to a licensee that engages in both brokering and lending in the regular course of its business.</text> </paragraph> <paragraph num="(2)"> <text>At the time a loan application is received, a licensee that collects a fee which would be prohibited under §C(1) of this regulation may cure a violation by tendering a refund of the impermissible fee collected if:</text> <paragraph num="(a)"> <text>At the time the loan application was received the licensee believed in good faith that the licensee was acting as a lender not a broker in the transaction; and</text> </paragraph> <paragraph num="(b)"> <text>Within 5 business days after determination by the licensee that the loan will be closed in the name of a third-party lender, the licensee:</text> <paragraph num="(i)"> <text>Tenders to the applicant a refund of all impermissible fees, and</text> </paragraph> <paragraph num="(ii)"> <text>Provides the applicant with a written broker agreement as required under Commercial Law Article, §12-805(d), Annotated Code of Maryland.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Expedition."> <paragraph num="A."> <text>A licensee shall act expeditiously in processing and underwriting loan applications.</text> </paragraph> <paragraph num="B."> <text>A licensee may not:</text> <paragraph num="(1)"> <text>Issue any agreement that locks in or sets an interest rate and points on the loan applied for, if the licensee knows that the time period established in the agreement after which the rate may change is not sufficient for the loan to be closed;</text> </paragraph> <paragraph num="(2)"> <text>Accept more applications than the licensee can reasonably expect to be processed and closed within established lock-in periods; or</text> </paragraph> <paragraph num="(3)"> <text>Delay the settlement of a loan with the specific intent to, and for the purpose of:</text> <paragraph num="(a)"> <text>Increasing any cost to the borrower; or</text> </paragraph> <paragraph num="(b)"> <text>Avoiding any legal obligation to the borrower.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Ordering Underwriting Documents — Timing.</text> <paragraph num="(1)"> <text>This section applies only to:</text> <paragraph num="(a)"> <text>Purchase money mortgage loan applications; and</text> </paragraph> <paragraph num="(b)"> <text>Loan applications in which the licensee establishes a deadline for closing, after which the loan terms offered to the applicant may change.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a licensee fails to close a loan by the expiration date of a contract of sale supplied by the borrower, or by a deadline for closing established by the licensee, there is a rebuttable presumption that the licensee failed to process the loan expeditiously if the licensee fails to order:</text> <paragraph num="(a)"> <text>A credit report and property appraisal within 5 business days after initial application; or</text> </paragraph> <paragraph num="(b)"> <text>Within 5 business days, other reports from third parties needed for underwriting after discovery that the reports will be needed.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>This section does not apply to:</text> <paragraph num="(a)"> <text>Verification of employment; and</text> </paragraph> <paragraph num="(b)"> <text>Verification of deposits.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Payoff and Accounting Statements — Releases."> <paragraph num="A."> <text>Within 5 business days after written request by the borrower, a licensee shall provide the borrower or the borrower's designee with a written statement of the dollar figure which will repay a loan in full.</text> </paragraph> <paragraph num="B."> <text>Upon written request by the borrower, a licensee shall provide, within a reasonable time, but not in excess of 45 days, an accounting statement to the borrower, setting forth:</text> <paragraph num="(1)"> <text>All payments made on the loan;</text> </paragraph> <paragraph num="(2)"> <text>All amounts credited to principal and interest; and</text> </paragraph> <paragraph num="(3)"> <text>Any other charges.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If a loan is being serviced by a different entity than the licensee, this regulation applies when the servicer of the loan is in receipt of a written request from the borrower for a payoff or accounting statement.</text> </paragraph> <paragraph num="D."> <text>Within 30 days from the date a loan is repaid in full, a licensee shall:</text> <paragraph num="(1)"> <text>Prepare and forward to the borrower documents sufficient for the borrower to obtain a release of the lien securing the loan; or</text> </paragraph> <paragraph num="(2)"> <text>Prepare and deliver to the appropriate city or county land records office documents which are sufficient to release the lien securing the loan.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Waivers."> <paragraph num="A."> <text>An act, agreement, or statement of an applicant may not constitute a valid waiver of any benefit or protection provided to an applicant under these regulations or applicable law.</text> </paragraph> <paragraph num="B."> <text>Nothing in this regulation affects the validity of any waiver specifically permitted under the Commercial Law Article, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Bonds, Letters of Credit, and Trust Accounts."> <paragraph num="A."> <text>The required amount of a bond, letter of credit, or trust account established to meet the requirements of Financial Institutions Article, §11-508, Annotated Code of Maryland, shall be subject to recalculation at the time a license is renewed.</text> </paragraph> <paragraph num="B."> <text>Restitution awarded and to be paid from a letter of credit or trust account shall be paid as follows:</text> <paragraph num="(1)"> <text>Awards resulting from individual complaints shall be paid in the order in which they are received by the Commissioner;</text> </paragraph> <paragraph num="(2)"> <text>Awards resulting from an examination by the Commissioner that will exceed the total available under the letter of credit or trust account shall be paid on a pro rata basis;</text> </paragraph> <paragraph num="(3)"> <text>Claims against a letter of credit or trust account shall be filed by a claimant with the Commissioner within 3 years after the occurrence from which the claim arises; and</text> </paragraph> <paragraph num="(4)"> <text>Notwithstanding §C(1) of this regulation, if the aggregate amount of all pending claims exceeds the amount of the letter of credit or trust account, the Commissioner may require a prorated distribution.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Commissioner may require part or all of the funds in a letter of credit or trust account to remain on deposit if:</text> <paragraph num="(1)"> <text>There are unresolved pending claims against the account or letter of credit, which were timely filed; and</text> </paragraph> <paragraph num="(2)"> <text>The amount required by the Commissioner to be maintained is reasonably calculated to cover the payment of those claims.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Claims against a bond, letter of credit, or trust account may not include:</text> <paragraph num="(1)"> <text>Attorneys' fees;</text> </paragraph> <paragraph num="(2)"> <text>Damages for personal injury; or</text> </paragraph> <paragraph num="(3)"> <text>Punitive damages.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A surety under a bond issued under Financial Institutions Article, §11-508, Annotated Code of Maryland, shall:</text> <paragraph num="(1)"> <text>Pay directly to a claimant any meritorious claim; and</text> </paragraph> <paragraph num="(2)"> <text>Immediately notify the Commissioner when it pays a claim to a claimant.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Enforcement."> <text>A person who violates these regulations is subject to the enforcement provisions of Financial Institutions Article, §11-517, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".18" heading="Continuing Education."> <paragraph num="A."> <text>Purpose and Applicability.</text> <paragraph num="(1)"> <text>The State legislature has determined that it is in the public interest to require licensees to comply with a continuing education requirement as a prerequisite to the renewal of a mortgage lender license.</text> </paragraph> <paragraph num="(2)"> <text>The continuing education requirement does not apply to the original application for a license.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Definitions. In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Continuing education course” or “course” means an educational program related to mortgage lending or brokering which contributes directly to the enhancement of professional competence of a covered employee to engage in the mortgage lending business, as defined in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>Covered Employees.</text> <paragraph num="(a)"> <text>“Covered employees” means the person with the required experience under Financial Institutions Article, §11-506(b)(2), (3), and (4), Annotated Code of Maryland, and the manager of each branch office licensed, or required to be licensed, by the Commissioner.</text> </paragraph> <paragraph num="(b)"> <text>“Covered employees” does not include an employee who:</text> <paragraph num="(i)"> <text>Has been employed by the licensee for less than 6 months before the expiration date of the licensee's current license; and</text> </paragraph> <paragraph num="(ii)"> <text>Had no prior experience as a covered employee with any other licensee.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Requirements.</text> <paragraph num="(1)"> <text>Except as provided in §A(2) of this regulation, in order to renew a license, each covered employee of a licensee shall successfully complete in the licensing period immediately preceding the current renewal period at least 8 hours of continuing education in approved courses.</text> </paragraph> <paragraph num="(2)"> <text>The required 8 hours of continuing education shall be the same as the continuing education requirements for mortgage loan originators set forth in Financial Institutions Article, §11-612, Annotated Code of Maryland, and COMAR 09.03.09.03, and include at least the following subjects in the number of hours indicated:</text> <paragraph num="(a)"> <text>Federal law and regulations relating to mortgage origination — 3 hours;</text> </paragraph> <paragraph num="(b)"> <text>Ethics, including instruction on fraud, consumer protection, and fair lending issues — 2 hours;</text> </paragraph> <paragraph num="(c)"> <text>Lending standards and loan terms for the nontraditional mortgage product market — 2 hours; and</text> </paragraph> <paragraph num="(d)"> <text>Maryland law and regulations relating to mortgage lending and origination — 1 hour.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Hours in excess of the minimum requirement during any licensing period may not be carried over to a successive period.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Reporting, Verification, and Record Keeping.</text> <paragraph num="(1)"> <text>A licensee, when applying for a license renewal, shall:</text> <paragraph num="(a)"> <text>Provide to the Commissioner any information or certification as the Commissioner may require as proof of satisfactory completion of each covered employee's education requirements; and</text> </paragraph> <paragraph num="(b)"> <text>Submit to the Commissioner, in the manner the Commissioner requires, a list of all covered employees.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Commissioner may require verification, on a random or other basis, of satisfactory completion of the requirements of this regulation.</text> </paragraph> <paragraph num="(3)"> <text>A licensee shall retain the evidence reasonably acceptable to the Commissioner to verify satisfactory completion of the requirements of this regulation for a period of at least 3 years after issuance of the renewal license to which it applies.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Nonrenewal, Suspension, or Revocation of License.</text> <paragraph num="(1)"> <text>Subject to the notice and hearing requirements of Financial Institutions Article, §11-518, Annotated Code of Maryland, failure to comply with the requirements of this regulation is grounds for:</text> <paragraph num="(a)"> <text>Denial of a license renewal under Financial Institutions Article, §11-511(b), Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(b)"> <text>Suspension or revocation of a license or other sanctions pursuant to Financial Institutions Article, §11-517, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Commissioner may issue to a licensee a cease and desist order under Financial Institutions Article, §11-517, Annotated Code of Maryland, which:</text> <paragraph num="(a)"> <text>Prohibits a covered employee who has failed to comply with this regulation from qualifying as the person with the required experience under Financial Institutions Article, §11-506(b)(2), (3), and (4), Annotated Code of Maryland, or acting as a manager of a branch office; and</text> </paragraph> <paragraph num="(b)"> <text>Continues in effect until the licensee demonstrates to the Commissioner completion by the covered employee of all educational requirements of this regulation.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Ability to Repay."> <paragraph num="A."> <text>Purpose and Scope.</text> <paragraph num="(1)"> <text>The General Assembly has determined that it is in the public interest to require lenders to comply with special rules with respect to certain mortgage loans.</text> </paragraph> <paragraph num="(2)"> <text>This regulation applies to loans subject to Commercial Law Article, §§12-127, 12-311, 12-409.1, and 12-1029, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Subject to §C of this regulation, a lender shall give due regard to the borrower’s ability to repay the mortgage loan, as follows:</text> <paragraph num="(1)"> <text>A borrower’s monthly gross income shall be compared to the nonmetropolitan median family income for the county in which the property is located, as reported in the most recent estimates made available by the United States Department of Housing and Urban Development as of the date of initial application for a loan if the residential real estate securing the loan of a borrower is not located in a metropolitan statistical area;</text> </paragraph> <paragraph num="(2)"> <text>A borrower’s total scheduled monthly payment obligations are the amounts required to be paid to satisfy the borrower’s legally enforceable minimum monthly financial obligations as of the date of initial application for a loan;</text> </paragraph> <paragraph num="(3)"> <text>A borrower’s total scheduled monthly payment obligations include secured and unsecured debt, alimony, child support, and other similar legally enforceable financial obligations payable in two or more installments;</text> </paragraph> <paragraph num="(4)"> <text>A borrower’s total scheduled monthly payment obligations do not include any debts that are consolidated with, or paid off by, a mortgage loan; and</text> </paragraph> <paragraph num="(5)"> <text>A lender’s consideration of a borrower’s scheduled monthly payment obligations may be limited to information provided directly by the borrower and verified by a consumer report from a consumer reporting agency, unless information provided by the borrower or the consumer reporting agency reasonably leads to further investigation by the lender.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Compliance with applicable provisions in 12 CFR Part 1026.43, as it may be amended from time to time, may be substituted for the obligations required by, and shall be sufficient to meet the requirements of, §B of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Duty of Care."> <paragraph num="A."> <text>Good Faith and Fair Dealing. A licensee has a duty of good faith and fair dealing in communications, transactions, and course of dealings with a borrower in connection with the advertisement, solicitation, making, servicing, purchase, or sale of any mortgage loan, including, but not limited to:</text> <paragraph num="(1)"> <text>The duty to recommend to a borrower or induce a borrower to enter into only a mortgage loan refinancing that has a net tangible benefit to a borrower, considering all of the circumstances, including the terms of a loan, the cost of a loan, and the borrower's circumstances;</text> </paragraph> <paragraph num="(2)"> <text>The duty to provide to a borrower who is offered a higher-priced mortgage loan information about the non-higher-priced mortgage loans that the licensee can make available and for which the borrower may qualify; and</text> </paragraph> <paragraph num="(3)"> <text>The duty when servicing mortgage loans to:</text> <paragraph num="(a)"> <text>Promptly provide borrowers with an accurate accounting of the debt owed when borrowers request an accounting;</text> </paragraph> <paragraph num="(b)"> <text>Make borrowers in default aware of loss mitigation options and services offered by the licensee;</text> </paragraph> <paragraph num="(c)"> <text>Provide trained personnel and telephone facilities sufficient to promptly answer and respond to borrower inquiries regarding their mortgage loans; and</text> </paragraph> <paragraph num="(d)"> <text>Pursue loss mitigation when possible.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Method to Determine Net Tangible Benefit.</text> <paragraph num="(1)"> <text>When determining whether a refinance of a mortgage loan will provide a net tangible benefit to the borrower, a licensee shall make a reasonable inquiry of the borrower to determine what net tangible benefit, if any, the borrower will receive from a mortgage loan. Net tangible benefits may include, but are not limited to:</text> <paragraph num="(a)"> <text>Obtaining a lower interest rate;</text> </paragraph> <paragraph num="(b)"> <text>Obtaining a lower monthly payment, including principal, interest, taxes, and insurance;</text> </paragraph> <paragraph num="(c)"> <text>Obtaining a shorter amortization schedule;</text> </paragraph> <paragraph num="(d)"> <text>Changing from an adjustable rate to a fixed rate;</text> </paragraph> <paragraph num="(e)"> <text>Eliminating a negative amortization feature;</text> </paragraph> <paragraph num="(f)"> <text>Eliminating a balloon payment feature;</text> </paragraph> <paragraph num="(g)"> <text>Receiving cash-out from the new loan in an amount greater than all closing costs incurred in connection with the loan;</text> </paragraph> <paragraph num="(h)"> <text>Avoiding foreclosure;</text> </paragraph> <paragraph num="(i)"> <text>Eliminating private mortgage insurance; and</text> </paragraph> <paragraph num="(j)"> <text>Consolidating other existing loans into a new mortgage loan.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A licensee is considered to have conducted a reasonable inquiry of whether a refinance of a mortgage loan provides a net tangible benefit to a borrower if the mortgage lender has the borrower complete and sign a net tangible benefit worksheet on the form prescribed by the Commissioner, or a form that is substantially similar to the form prescribed by the Commissioner.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Nontraditional and Higher-Priced Mortgage Loans."> <paragraph num="A."> <text>In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Interest-only mortgage loan” means a mortgage loan on which, for a specified period of time, the borrower is required to:</text> <paragraph num="(a)"> <text>Pay only the interest due on the mortgage loan; and</text> </paragraph> <paragraph num="(b)"> <text>After the interest-only period ends, make payments that include both principal and interest.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Nontraditional mortgage loan” means any mortgage loan that allows the borrower to defer repayment of principal, interest, or both, including, but not limited to, all interest-only mortgage loans and payment-option ARMs.</text> </paragraph> <paragraph num="(3)"> <text>“Payment-option ARM” means an adjustable rate mortgage loan:</text> <paragraph num="(a)"> <text>That allows the borrower to choose from a number of different payment options, which may include, but are not limited to:</text> <paragraph num="(i)"> <text>A minimum payment option based on an introductory interest rate; or</text> </paragraph> <paragraph num="(ii)"> <text>A fully amortizing principal and interest payment based on a 15-year or 30-year loan term, plus any required escrow payments; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>For which, at a certain point in the mortgage loan term, the monthly payment amount is required to be set at an amount that will fully amortize the outstanding balance of the loan over the remaining loan term.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Reduced documentation mortgage loan” means a mortgage loan for which the lender sets reduced or minimum documentation standards to substantiate the borrower's income and assets.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Marketing and Promotion.</text> <paragraph num="(1)"> <text>Licensee marketing and promotional communications and materials for nontraditional and higher-priced mortgage loans shall include information about the costs, terms, features, and risks of nontraditional and higher-priced loans that can assist consumers in their product selection, including, as applicable, information on the following:</text> <paragraph num="(a)"> <text>Payment shock resulting from potential interest rate increases, including how the new payment will be calculated when the introductory fixed-rate period expires;</text> </paragraph> <paragraph num="(b)"> <text>Negative amortization, including:</text> <paragraph num="(i)"> <text>That the effect of negative amortization is the increase in the principal mortgage loan amount and the decrease of home equity; and</text> </paragraph> <paragraph num="(ii)"> <text>Any other negative consequences, such as the possibility that a negatively amortizing mortgage loan could make it more difficult to refinance or to obtain cash upon a sale;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Prepayment penalties that may be imposed if the mortgage, or any part of it, is paid off before maturity, including how any prepayment penalty may be calculated and when it may be imposed;</text> </paragraph> <paragraph num="(d)"> <text>Balloon payments, including:</text> <paragraph num="(i)"> <text>That a balloon payment is a scheduled lump sum usually due at the end of the mortgage loan term that is significantly larger than the other regularly scheduled periodic payments; and</text> </paragraph> <paragraph num="(ii)"> <text>That the inability to make a balloon payment could result in a foreclosure;</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Responsibility for taxes and insurance when:</text> <paragraph num="(i)"> <text>The borrower is required to make payments for real estate taxes and property insurance, in addition to the loan payment; and</text> </paragraph> <paragraph num="(ii)"> <text>The lender does not establish an escrow account for the collection and disbursement of these payments, including the fact that the cost of taxes and insurance may be substantial; and</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>Cost of reduced documentation loans when there is a pricing premium attached to a reduced documentation or stated income mortgage loan.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Illustrations.</text> <paragraph num="(a)"> <text>In complying with this regulation, a licensee may utilize the sample illustrations included in:</text> <paragraph num="(i)"> <text>The Illustrations of Consumer Information for Nontraditional Mortgage Borrowers issued by the Office of the Comptroller of the Currency, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Office of Thrift Supervision, and the National Credit Union Administration as final guidance on June 8, 2007; and</text> </paragraph> <paragraph num="(ii)"> <text>Any consumer information for higher-priced or subprime mortgage lending that may be issued by the foregoing federal regulators or a similar interagency group as final guidance.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A licensee may revise and adapt the illustrations described in §B(2)(a) of this regulation to make them applicable to the specific mortgage loan products offered by the licensee.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Risk Management Policies, Procedures, and Control Systems.</text> <paragraph num="(1)"> <text>A licensee acting as a lender offering nontraditional or higher-priced mortgage loans shall adopt risk management policies, procedures, and controls for these products.</text> </paragraph> <paragraph num="(2)"> <text>Policies and Procedures.</text> <paragraph num="(a)"> <text>A licensee acting as a lender that offers or originates nontraditional or higher-priced mortgage loan products shall train its lending personnel to convey information to consumers about the product terms and risks in a timely, accurate, and complete manner. If the lender offers new or additional nontraditional or higher-priced mortgage loan products, the lender shall provide lending personnel with additional training as necessary to enable the lending personnel to convey information to consumers in a timely, accurate, and complete manner. The lender shall monitor lending personnel to determine whether the personnel are conveying information in the manner required.</text> </paragraph> <paragraph num="(b)"> <text>A licensee acting as a lender shall review consumer complaints to identify potential noncompliance and other risks. The review shall include:</text> <paragraph num="(i)"> <text>A legal review as appropriate; and</text> </paragraph> <paragraph num="(ii)"> <text>A review to ensure that compensation programs do not improperly encourage lending personnel to direct consumers to particular products.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>A licensee acting as a lender that originates, invests in, or services nontraditional or higher-priced mortgage loan products using a mortgage broker, correspondent, or other third party shall take appropriate steps to ensure third-party practices are consistent with the policies of the lender, including, but not limited to:</text> <paragraph num="(i)"> <text>Conducting due diligence and establishing other criteria for entering into and maintaining relationships with a third party;</text> </paragraph> <paragraph num="(ii)"> <text>Designing third-party compensation incentives to avoid nontraditional or higher-priced mortgage loan product originations that are not consistent with the policies of the lender;</text> </paragraph> <paragraph num="(iii)"> <text>Setting requirements for agreements with a third party;</text> </paragraph> <paragraph num="(iv)"> <text>Establishing procedures and systems to monitor third-party compliance with applicable agreements, polices, and laws; and</text> </paragraph> <paragraph num="(v)"> <text>Implementing appropriate corrective actions if a third party fails to comply with applicable agreements, policies, or laws.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>A licensee acting as a lender shall establish written policies and procedures to implement the requirements set forth in this subsection.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Control Systems.</text> <paragraph num="(a)"> <text>A licensee acting as a lender shall design and implement control systems, including quality control, compliance, and audit procedures to focus on mortgage lending activities that pose high risk.</text> </paragraph> <paragraph num="(b)"> <text>The procedures shall include controls to monitor compliance with underwriting standards and monitor exceptions to those standards.</text> </paragraph> <paragraph num="(c)"> <text>A licensee acting as a lender shall have systems and controls in place for establishing and maintaining relationships with third-party originators, including procedures for performing due diligence.</text> </paragraph> <paragraph num="(d)"> <text>Lender oversight of third parties shall involve monitoring the quality of originated nontraditional and higher-priced mortgage loans to ensure that the products:</text> <paragraph num="(i)"> <text>Reflect the lending standards of the lender; and</text> </paragraph> <paragraph num="(ii)"> <text>Comply with applicable laws and regulations.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>A licensee acting as a lender shall develop and use control systems to monitor whether the lender's actual practices are consistent with the policies and procedures of the lender relating to nontraditional and higher-priced mortgage loans.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Fees."> <paragraph num="A."> <text>Application Investigation Fee. The nonrefundable investigation fee required by Financial Institutions Article, §11-507(b)(1), Annotated Code of Maryland, is $1.</text> </paragraph> <paragraph num="B."> <text>Initial License Fee.</text> <paragraph num="(1)"> <text>The license fee required by Financial Institutions Article, §11-507(b)(2), Annotated Code of Maryland, is $1,000 for a 1-year license term.</text> </paragraph> <paragraph num="(2)"> <text>In addition to the initial license fee set forth in §B(1) of this regulation, an applicant for a license shall pay to NMLS the license application processing fee and any other fees that NMLS imposes in connection with the application.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Renewal Fee.</text> <paragraph num="(1)"> <text>The renewal fee required by Financial Institutions Article, §11-511(b)(2), Annotated Code of Maryland, is $1,000 for a 1-year renewal term.</text> </paragraph> <paragraph num="(2)"> <text>In addition to the renewal fee set forth in §C(1) of this regulation, an applicant for a renewal shall pay to NMLS the renewal application processing fee and any other fees that NMLS imposes in connection with the application.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Examination and Investigation Fee. A licensee shall pay all reasonable costs, including the actual cost per day for each of the Commissioner’s employees engaged in examinations or investigations performed by the Commissioner as authorized by Financial Institutions Article, §11-515(c), Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Supervision of Mortgage Loan Originators."> <paragraph num="A."> <text>A licensee who is the employer of a mortgage loan originator shall at all times reasonably and adequately supervise those activities of the mortgage loan originator that are conducted within the scope of the mortgage loan originator’s employment.</text> </paragraph> <paragraph num="B."> <text>In order to determine whether supervision by the licensee is reasonable and adequate, the Commissioner may consider factors that include the following:</text> <paragraph num="(1)"> <text>The availability of:</text> <paragraph num="(a)"> <text>Experienced supervisory personnel to review and discuss:</text> <paragraph num="(i)"> <text>Mortgage loan terms;</text> </paragraph> <paragraph num="(ii)"> <text>Disclosure requirements; and</text> </paragraph> <paragraph num="(iii)"> <text>Advertising; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Regularly updated policies and procedures that provide adequate guidance to mortgage loan originators in the following areas:</text> <paragraph num="(i)"> <text>Licensing and education requirements;</text> </paragraph> <paragraph num="(ii)"> <text>State and federal mortgage lending laws and regulations, including any new requirements or changes to existing requirements;</text> </paragraph> <paragraph num="(iii)"> <text>The preparation, execution, and review of disclosures, agreements, and other documents; and</text> </paragraph> <paragraph num="(iv)"> <text>Advertising; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Evidence of:</text> <paragraph num="(a)"> <text>Review of disclosures, agreements, and other documents prepared or executed by mortgage loan originators;</text> </paragraph> <paragraph num="(b)"> <text>Compliance with the policies and procedures specified in §B(1)(b) of this regulation; and</text> </paragraph> <paragraph num="(c)"> <text>Dissemination of the policies and procedures specified in §B(1)(b) of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>If the Commissioner determines that the licensee does not provide reasonable and adequate supervision in the areas specified under §B of this regulation, the burden of proof shall be on the licensee to show that the supervision the licensee provides is reasonable and adequate.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".24" heading="Data Protection."> <paragraph num="A."> <text>A licensee that adequately demonstrates compliance with the federal Interagency Guidelines Establishing Information Security Standards, 12 CFR Part 30, Appendix B, as it may be amended from time to time, shall be deemed to be in compliance with §§B—G of this regulation.</text> </paragraph> <paragraph num="B."> <text>A licensee shall develop, implement, and maintain a comprehensive information security program that is commensurate with the licensee’s size and complexity, the nature and scope of the licensee’s activities, and the sensitivity of any customer information at issue.</text> </paragraph> <paragraph num="C."> <text>A licensee’s information security program shall consider the following objectives:</text> <paragraph num="(1)"> <text>Ensuring the security and confidentiality of customer information;</text> </paragraph> <paragraph num="(2)"> <text>Protecting against any anticipated threats or hazards to the security or integrity of such information; and</text> </paragraph> <paragraph num="(3)"> <text>Protecting against unauthorized access to or use of such information that could result in substantial harm or inconvenience to any customer.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Governance over Information Technology.</text> <paragraph num="(1)"> <text>A licensee shall have an established governance process in place to control and monitor information security.</text> </paragraph> <paragraph num="(2)"> <text>The governance process shall include, as appropriate for the size and complexity of the licensee and its information technology systems:</text> <paragraph num="(a)"> <text>The establishment of policies and procedures related to information technology approved by the board of directors, ownership, or most senior level of management; and</text> </paragraph> <paragraph num="(b)"> <text>A management structure that encompasses:</text> <paragraph num="(i)"> <text>Assigning responsibilities and authorities for ensuring adherence to information technology policies and procedures;</text> </paragraph> <paragraph num="(ii)"> <text>Documenting accountability for functions to ensure compliance with information technology policies and procedures; and</text> </paragraph> <paragraph num="(iii)"> <text>Reporting to the board of directors, ownership, or most senior level of management, no less than annually, regarding the effectiveness of the information technology policies and procedures.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Information Technology Security Risk Assessment.</text> <paragraph num="(1)"> <text>A licensee shall complete an information technology security risk assessment on a periodic basis, but not less than once every 3 years.</text> </paragraph> <paragraph num="(2)"> <text>A licensee’s security risk assessment shall include:</text> <paragraph num="(a)"> <text>Identification of the data and information systems that need to be protected;</text> </paragraph> <paragraph num="(b)"> <text>Classification and ranking of sensitive data, systems, and applications; and</text> </paragraph> <paragraph num="(c)"> <text>Identification and assessment of threats and vulnerabilities.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Information Technology Security Testing and Monitoring.</text> <paragraph num="(1)"> <text>A licensee shall perform periodic testing and monitoring of information technology security controls as appropriate for the size and complexity of the licensee’s information technology systems.</text> </paragraph> <paragraph num="(2)"> <text>A licensee’s periodic testing and monitoring of information technology security controls shall include:</text> <paragraph num="(a)"> <text>Evaluating the effectiveness of existing internal controls;</text> </paragraph> <paragraph num="(b)"> <text>Taking corrective action to address any significant deficiencies identified during the course of licensee’s evaluation of the effectiveness of existing internal controls;</text> </paragraph> <paragraph num="(c)"> <text>Monitoring of external sources for new vulnerabilities; and</text> </paragraph> <paragraph num="(d)"> <text>Developing and implementing additional control frame works for any new or changed threats or risks identified by the licensee.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Third Party Provider Oversight. A licensee shall oversee third party service providers by:</text> <paragraph num="(1)"> <text>Taking reasonable steps to select and retain service providers that are capable of maintaining appropriate safeguards for the customer information at issue; and</text> </paragraph> <paragraph num="(2)"> <text>Requiring service providers by contract to implement and maintain such safeguards.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Reporting Obligations. A licensee shall provide notice of a breach of the security of a system to the Commissioner prior to giving the notice required by Commercial Law Article, §14-3504(b), Annotated Code of Maryland.</text> </paragraph> <paragraph num="I."> <text>Record Retention. A licensee shall provide copies of risk assessments under §E of this regulation and results of periodic testing under §F of this regulation to the Commissioner upon request.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".25" heading="Significant Event Reporting."> <paragraph num="A."> <text>A licensee shall comply with the duty to report set forth in COMAR 09.03.10.02.</text> </paragraph> <paragraph num="B."> <text>A licensee shall notify the Commissioner in writing through NMLS, and, if applicable, amend the licensee’s information and disclosures in NMLS, within 2 business days of the occurrence of any of the following events:</text> <paragraph num="(1)"> <text>Insolvency, filing for bankruptcy or reorganization of the licensee, the placement into receivership by any court, or an assignment for the benefit of creditors;</text> </paragraph> <paragraph num="(2)"> <text>Receiving notification of any initiation of a settlement agreement or other form of consensual resolution, or entry of judgment in any administrative, civil, or criminal action against the licensee by any governmental entity;</text> </paragraph> <paragraph num="(3)"> <text>Expiration or nonrenewal of, or monetary or nonmonetary default under, a line of credit agreement or warehouse credit agreement;</text> </paragraph> <paragraph num="(4)"> <text>Suspension or termination of the licensee’s status as an approved seller or seller/servicer by the Federal National Mortgage Association, Federal Home Loan Mortgage Corporation, Government National Mortgage Association, or a direct endorsement mortgagee by the Federal Housing Administration;</text> </paragraph> <paragraph num="(5)"> <text>A change to net worth resulting from market valuation or future loss liability or another change that causes the net worth of the licensee to fall below the requirements of Financial Institutions Article, §11-508.1, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(6)"> <text>Cancellation or modification by the licensee, or termination by a surety of the licensee’s surety bond required by Financial Institutions Article, §11-508, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(7)"> <text>Becoming aware of systemic violations of any provision of Financial Institutions Article, Title 11, Subtitle 5, Annotated Code of Maryland, any regulation adopted thereunder, or any other law regulating mortgage loan lending in the State.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The notice required by §B(2) of this regulation shall include, as applicable, a copy of the complaint, settlement agreement, or judgment that is the subject of the notice.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".26" heading="Corporate Governance."> <paragraph num="A."> <text>Corporate Governance — Generally.</text> <paragraph num="(1)"> <text>A licensee shall establish, document, and maintain sufficient corporate governance.</text> </paragraph> <paragraph num="(2)"> <text>Each element of a licensee’s corporate governance shall be commensurate with the size, operational complexity, and overall risk profile of the licensee.</text> </paragraph> <paragraph num="(3)"> <text>For purposes of this regulation, the operational complexity and risk profile of a licensee shall, in part, be defined by the results of regulatory examinations, any external audits, and internal audits.</text> </paragraph> <paragraph num="(4)"> <text>A licensee bears the burden of demonstrating to the Commissioner that its corporate governance is sufficient and commensurate with its size, operational complexity, and overall risk profile.</text> </paragraph> <paragraph num="(5)"> <text>A licensee’s corporate governance shall, at a minimum, include:</text> <paragraph num="(a)"> <text>Clearly defined responsibilities and accountability;</text> </paragraph> <paragraph num="(b)"> <text>Internal controls, policies, processes, and practices for monitoring, testing, and ensuring compliance with the corporate governance framework;</text> </paragraph> <paragraph num="(c)"> <text>Internal controls, policies, processes, and practices for training of employees on corporate governance requirements; and</text> </paragraph> <paragraph num="(d)"> <text>Internal controls, policies, processes, and practices addressing internal audits, external audits, and risk management as set forth in §§B, C and D of this regulation.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Each licensee shall, not less than annually, conduct a review of its corporate governance to determine its overall effectiveness, address emerging risks, and otherwise assure that the corporate governance remains commensurate with the size, operational complexity, and overall risk profile of the licensee.</text> </paragraph> <paragraph num="(7)"> <text>Any documentation, controls, policies, procedures, requirements, audits, reports, or other materials included in this regulation shall be made available to the Commissioner upon the Commissioner’s request.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Internal Audit.</text> <paragraph num="(1)"> <text>A licensee shall establish internal audit requirements that are appropriate for the size, complexity, and risk profile of the licensee.</text> </paragraph> <paragraph num="(2)"> <text>Unless impracticable given the size of the licensee, internal audit functions shall be performed by employees of the licensee who report to the licensee’s owners or board of directors and who are not otherwise supervised by the persons who directly manage the activities being reviewed.</text> </paragraph> <paragraph num="(3)"> <text>Employees performing internal audit functions shall have sufficient knowledge, training, and resources to provide a reliable evaluation of the licensee’s operations, risk management, internal controls, and governance processes.</text> </paragraph> </paragraph> <paragraph num="C."> <text>External Audit.</text> <paragraph num="(1)"> <text>If the Commissioner determines based on the size, operational complexity, and overall risk profile of the licensee that an external audit is appropriate, the Commissioner may direct a licensee to receive an external audit.</text> </paragraph> <paragraph num="(2)"> <text>If the Commissioner directs a licensee to receive an external audit, that external audit shall include:</text> <paragraph num="(a)"> <text>Annual financial statements, including a balance sheet, statement of operations (income statement), and cash flows, including notes and supplemental schedules prepared in accordance with generally accepted accounting principles;</text> </paragraph> <paragraph num="(b)"> <text>Assessment of the internal control structure;</text> </paragraph> <paragraph num="(c)"> <text>Computation of tangible net worth;</text> </paragraph> <paragraph num="(d)"> <text>Validation of MSR valuation and reserve methodology, if applicable;</text> </paragraph> <paragraph num="(e)"> <text>Verification of adequate fidelity and errors and omissions (E&O) insurance;</text> </paragraph> <paragraph num="(f)"> <text>Testing of controls related to risk management activities, including compliance and stress testing, if applicable; and</text> </paragraph> <paragraph num="(g)"> <text>Any other element the Commissioner deems appropriate.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Nothing in this section is intended to abrogate a requirement of a licensee to receive an external audit under any other law, rule, regulation, or bylaw, policy, or procedure of the licensee.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Risk Management.</text> <paragraph num="(1)"> <text>A licensee shall at all times maintain a risk management program that identifies, measures, monitors, and controls risk sufficient for the size, operational complexity, and overall risk profile of the licensee.</text> </paragraph> <paragraph num="(2)"> <text>The risk management program shall have appropriate processes and models in place to measure, monitor and mitigate financial risks and changes to the risk profile of the licensee.</text> </paragraph> <paragraph num="(3)"> <text>Evidence of risk management activities throughout the year shall be maintained, including findings of issues and the response to address those findings.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Authority to Address Risk as Necessary. If risk is determined by a formal review of a licensee to be extremely high, the Commissioner may order or direct the licensee to satisfy additional conditions necessary to ensure that the licensee will continue to operate in a safe and sound manner and be able to continue to engage in business as a mortgage lender in compliance with State and federal law and/or regulation.</text> </paragraph> <paragraph num="F."> <text>A covered institution as defined in Regulation .27 of this chapter is not subject to this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".27" heading="Enhanced Prudential Standards for Certain Mortgage Servicers."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Agency” means Fannie Mae, Freddie Mac, and Ginnie Mae.</text> </paragraph> <paragraph num="(b)"> <text>“Allowable assets for liquidity means” those assets that may be used to satisfy the liquidity requirements herein, including unrestricted cash and cash equivalents and unencumbered investment grade assets held for sale or trade (for example, agency MBS, obligations of Fannie Mae or Freddie Mac, or U.S. Treasury obligations).</text> </paragraph> <paragraph num="(c)"> <text>“Board of directors” means the formal body established by a covered institution that is responsible for corporate governance and compliance with this regulation.</text> </paragraph> <paragraph num="(d)"> <text>“Covered institution” means a licensee who is a mortgage servicer with servicing portfolios of 2,000 or more one-unit to four-unit residential mortgage loans serviced or subserviced for others, excluding whole loans owned, and loans being interim serviced prior to sale as of the most recent calendar year end, reported in the NMLS Mortgage Call Report, and who operates in two or more states, districts, or territories of the United States, either currently or as of the prior calendar year end.</text> </paragraph> <paragraph num="(e)"> <text>“Fannie Mae” means Federal National Mortgage Association.</text> </paragraph> <paragraph num="(f)"> <text>“FHFA” means the Federal Housing Finance Agency.</text> </paragraph> <paragraph num="(g)"> <text>“Freddie Mac” means Federal Home Loan Mortgage Corporation.</text> </paragraph> <paragraph num="(h)"> <text>“Ginnie Mae” means Government National Mortgage Association.</text> </paragraph> <paragraph num="(i)"> <text>“Interim serviced prior to sale” means the activity of collecting a limited number of contractual mortgage payments immediately after origination on loans held for sale but prior to the loans being sold into the secondary market.</text> </paragraph> <paragraph num="(j)"> <text>“Mortgage Call Report” means the quarterly or annual report of residential real estate loan origination, servicing, and financial information completed by companies licensed in NMLS.</text> </paragraph> <paragraph num="(k)"> <text>“Mortgage-backed security” or “MBS” means a financial instrument, often a debt security, collateralized by residential mortgages.</text> </paragraph> <paragraph num="(l)"> <text>“Operating liquidity” means the funds necessary to perform normal business operations, such as payment of rent, salaries, interest expenses, and other typical expenses associated with operating the entity.</text> </paragraph> <paragraph num="(m)"> <text>“Residential mortgage loans serviced” means the specific portfolio or portfolios of residential mortgage loans for which a licensee is contractually responsible to the owner or owners of the mortgage loans for the defined servicing activities.</text> </paragraph> <paragraph num="(n)"> <text>“Reverse mortgage loan” has the meaning stated in Commercial Law Article, §12-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(o)"> <text>“Risk management assessment” means a functional evaluation performed under the risk management program and any report thereof provided to the board of directors under the relevant governance protocol.</text> </paragraph> <paragraph num="(p)"> <text>“Servicing liquidity” or “liquidity” means the financial resources available to the licensee to meet such financial obligations as may arise from the servicing of mortgage loans, including, but not limited to, acquiring and financing MSRs, hedging costs associated with the MSR asset and financing facilities, including margin calls, and advancing or financing the advance of principal, interest, taxes, insurance, and any other servicing related advances.</text> </paragraph> <paragraph num="(q)"> <text>“Subserviced for others” means the contractual activities performed by subservicers on behalf of a servicer or MSR investor.</text> </paragraph> <paragraph num="(r)"> <text>“Tangible net worth” means total equity less receivables due from related entities, less goodwill, and other intangibles, less pledged assets.</text> </paragraph> <paragraph num="(s)"> <text>“Whole loans” means those loans for which a mortgage and the underlying credit risk is owned and held on the balance sheet of the entity with all ownership rights.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Applicability — Exclusions.</text> <paragraph num="(1)"> <text>This regulation shall be applicable to covered institutions as defined. For entities within a holding company or affiliated group of companies, applicability shall be at the covered institution level.</text> </paragraph> <paragraph num="(2)"> <text>The following exclusions apply:</text> <paragraph num="(a)"> <text>This regulation does not apply to a not-for-profit mortgage servicer or a housing finance agency.</text> </paragraph> <paragraph num="(b)"> <text>Section C of this regulation does not apply to a mortgage servicer solely owning and/or conducting reverse mortgage loan servicing, or the reverse mortgage loan portfolio administered by a covered institution or the whole loan portion of portfolios.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Financial Condition.</text> <paragraph num="(1)"> <text>A covered institution shall maintain capital and liquidity in compliance with this section.</text> </paragraph> <paragraph num="(2)"> <text>For the purposes of complying with the capital and liquidity requirements of this section, all financial data shall be determined in accordance with generally accepted accounting principles.</text> </paragraph> <paragraph num="(3)"> <text>A covered institution that meets the FHFA Eligibility Requirements for Enterprise Single-Family Seller/Servicers for capital, net worth ratio, and liquidity, regardless of whether the covered institution is approved for Fannie Mae or Freddie Mac servicing, meets the requirements of §C(1) and (2) of this regulation.</text> </paragraph> <paragraph num="(4)"> <text>A covered institution shall maintain written policies and procedures implementing the capital and servicing liquidity requirements of this section. Such policies and procedures shall include a sustainable written methodology for satisfying the requirements of §C(3) of this regulation and be available to the Commissioner upon request.</text> </paragraph> <paragraph num="(5)"> <text>Operating Liquidity.</text> <paragraph num="(a)"> <text>A covered institution shall maintain sufficient allowable assets for operating liquidity in addition to the amounts required for servicing liquidity, to cover normal business operations.</text> </paragraph> <paragraph num="(b)"> <text>A covered institution shall have in place sound cash management and business operating plans that match the size, operational complexity, and overall risk profile of the covered institution to ensure normal business operations.</text> </paragraph> <paragraph num="(c)"> <text>A covered institution’s management shall develop, establish, and implement plans, policies, and procedures for maintaining operating liquidity sufficient for the ongoing needs of the covered institution. Such plans, policies, and procedures shall contain sustainable, written methodologies for maintaining sufficient operating liquidity and be available to the Commissioner upon request.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Corporate Governance.</text> <paragraph num="(1)"> <text>Each element of a covered institution’s corporate governance shall be commensurate with the size, operational complexity, and overall risk profile of the covered institution.</text> </paragraph> <paragraph num="(2)"> <text>Any documentation, controls, policies, procedures, requirements, audits, reports, or other materials included in this regulation shall be made available to the Commissioner upon the Commissioner’s request.</text> </paragraph> <paragraph num="(3)"> <text>For purposes of this regulation, the operational complexity and risk profile of a covered institution shall, in part, be defined by the results of regulatory examinations, external audits, and internal audits.</text> </paragraph> <paragraph num="(4)"> <text>A covered Institution shall establish and maintain a board of directors responsible for oversight of the covered institution.</text> </paragraph> <paragraph num="(5)"> <text>For a covered institution that is not approved to service loans by Fannie Mae, Freddie Mac, or Ginnie Mae, or if these agencies have granted approval for a board alternative, an institution may establish a similar body constituted to exercise oversight and fulfill all board of directors’ responsibilities in this section.</text> </paragraph> <paragraph num="(6)"> <text>In addition to any other responsibilities required of the board of directors under State or federal law, or these regulations, the board of directors shall be responsible for:</text> <paragraph num="(a)"> <text>Establishing a written corporate governance framework, including appropriate internal controls designed to monitor corporate governance and assess compliance with the corporate governance framework;</text> </paragraph> <paragraph num="(b)"> <text>Monitoring and ensuring institution compliance with the corporate governance framework and these regulations; and</text> </paragraph> <paragraph num="(c)"> <text>Accurate and timely regulatory reporting, including the requirements for filing the Mortgage Call Report.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Internal Audit.</text> <paragraph num="(a)"> <text>The board of directors shall establish internal audit requirements that are appropriate for the size, complexity, and risk profile of the covered institution.</text> </paragraph> <paragraph num="(b)"> <text>Internal audit functions shall be performed by employees of the covered institution who report to the board of directors or its authorized equivalent under this section and who are not otherwise supervised by the persons who directly manage the activities being reviewed.</text> </paragraph> <paragraph num="(c)"> <text>Employees performing internal audit functions shall have sufficient knowledge, training, and resources to provide a reliable evaluation of the covered institution’s operations, risk management, internal controls, and governance processes.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>External Audit.</text> <paragraph num="(a)"> <text>A covered institution shall receive an external audit, which shall include audited financial statements and audit reports, conducted by an independent public accountant annually.</text> </paragraph> <paragraph num="(b)"> <text>The external audit shall include at a minimum:</text> <paragraph num="(i)"> <text>Annual financial statements including a balance sheet, statement of operations (income statement), and cash flows, including notes and supplemental schedules prepared in accordance with generally accepted accounting principles;</text> </paragraph> <paragraph num="(ii)"> <text>Assessment of the internal control structure;</text> </paragraph> <paragraph num="(iii)"> <text>Computation of tangible net worth;</text> </paragraph> <paragraph num="(iv)"> <text>Validation of MSR valuation and reserve methodology, if applicable;</text> </paragraph> <paragraph num="(v)"> <text>Verification of adequate fidelity and errors and omissions (E&O) insurance; and</text> </paragraph> <paragraph num="(vi)"> <text>Testing of controls related to risk management activities, including compliance and stress testing, if applicable.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(9)"> <text>Risk Management.</text> <paragraph num="(a)"> <text>A covered institution shall establish a documented risk management program under the oversight of the board of directors that identifies, measures, monitors, and controls risk sufficient for the size, operational complexity, and overall risk profile of the covered institution.</text> </paragraph> <paragraph num="(b)"> <text>The risk management program shall have appropriate processes and models in place to measure, monitor, and mitigate financial risks and changes to the risk profile of the covered institution and assets being serviced.</text> </paragraph> <paragraph num="(c)"> <text>The risk management program shall be scaled to the complexity of the covered institution, but shall be sufficiently robust to manage risks in several areas, including, but not limited to:</text> <paragraph num="(i)"> <text>Credit risk — the potential that a borrower or counterparty will fail to perform on an obligation;</text> </paragraph> <paragraph num="(ii)"> <text>Liquidity risk — the potential that the covered institution will be unable to meet its obligations as they come due because of an inability to liquidate assets or obtain adequate funding or that it cannot easily unwind or offset specific exposures;</text> </paragraph> <paragraph num="(iii)"> <text>Operational risk — the risk resulting from inadequate or failed internal processes, people, and systems or from external events;</text> </paragraph> <paragraph num="(iv)"> <text>Market risk — the risk to the covered institution’s condition resulting from adverse movements in market rates or prices;</text> </paragraph> <paragraph num="(v)"> <text>Compliance risk — the risk of regulatory sanctions, fines, penalties, or losses resulting from failure to comply with laws, rules, regulations or other supervisory requirements applicable to the covered institution;</text> </paragraph> <paragraph num="(vi)"> <text>Legal risk — the potential that actions against the covered institution that result in unenforceable contracts, lawsuits, legal sanctions or adverse judgments can disrupt or otherwise negatively affect the operations or condition of the covered institution; and</text> </paragraph> <paragraph num="(vii)"> <text>Reputation risk — the risk to earnings and capital arising from negative publicity regarding the covered institution’s business practices.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Risk Management Assessment. A covered institution shall conduct a risk management assessment on an annual basis, concluding with a formal report to the board of directors. Evidence of risk management activities throughout the year shall be maintained and made part of the report, including findings of issues and the response to address those findings.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Authority to Address Risk as Necessary.</text> <paragraph num="(1)"> <text>If risk is determined by a formal review of a specific covered institution to be extremely high, the Commissioner may order or direct the covered institution to satisfy additional conditions necessary to ensure that the covered institution will continue to operate in a safe and sound manner and be able to continue to service loans in compliance with State and federal law and/or regulation.</text> </paragraph> <paragraph num="(2)"> <text>If risk is determined by a formal review of any covered institution to be extremely low, the Commissioner may provide notice that all or part of this regulation is not applicable to that covered institution.</text> </paragraph> <paragraph num="(3)"> <text>If economic, environmental, or societal events are determined to be of such severity to warrant a temporary suspension of all or certain sections of this regulation, the Commissioner may provide public notice of such temporary suspension.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".28" heading="Examination of Licensees."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Examination” means the Commissioner’s examination of a licensee pursuant to Financial Institutions Article, §11-515(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Report of examination” means a report issued by the Commissioner or a responsible supervisory agency following the examination of a mortgage lender.</text> </paragraph> <paragraph num="(c)"> <text>“Responsible supervisory agency” means the supervisory agency of any state primarily responsible for the supervision and examination of mortgage lenders operating in its state.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Examinations.</text> <paragraph num="(1)"> <text>When exercising the Commissioner’s authority to examine a licensee, the Commissioner may consider the report of examination for that licensee issued by a responsible supervisory agency, and accept the information contained therein, if:</text> <paragraph num="(a)"> <text>The responsible supervisory agency issued its report of examination on a date which satisfies the Commissioner’s examination schedule for that licensee under Financial Institutions Article, §11-515(a)(2), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(b)"> <text>The Commissioner reasonably determines the responsible supervisory agency possesses supervision and examination authority over mortgage lenders operating in that agency's state substantially similar to the supervision and examination authority the Commissioner has over a licensee operating in Maryland;</text> </paragraph> <paragraph num="(c)"> <text>The Commissioner reasonably determines the responsible supervisory agency has standards for the purposes of examining mortgage lenders that are reasonably equivalent to the requirements of Financial Institutions Article, §11-501 et seq., Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(d)"> <text>The Commissioner reviews the report of examination prepared by the responsible supervisory agency and determines the report of examination is in form and scope substantially similar to a report of examination the Commissioner would issue following its examination of the licensee.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Commissioner’s consideration of the report of examination of a responsible supervisory agency pursuant to §B(1) of this regulation does not limit the Commissioner’s ability to:</text> <paragraph num="(a)"> <text>Examine an aspect of the licensee’s business not addressed in that report of examination;</text> </paragraph> <paragraph num="(b)"> <text>Further examine an aspect of the licensee’s business addressed in that report of examination;</text> </paragraph> <paragraph num="(c)"> <text>Request documents or other information from the licensee or otherwise require the licensee to make its books and records available to the Commissioner;</text> </paragraph> <paragraph num="(d)"> <text>Interview or examine officers, directors, employees, or agents of the licensee;</text> </paragraph> <paragraph num="(e)"> <text>Take other actions consistent with the examination of a licensee; or</text> </paragraph> <paragraph num="(f)"> <text>Require the licensee to pay to the Commissioner examination related fees as set forth in Financial Institutions Article, §11-515(c), Annotated Code of Maryland.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Commissioner's Report of Examination.</text> <paragraph num="(1)"> <text>The Commissioner may adopt, in whole or in part, the report of examination of a responsible supervisory agency the Commissioner considered under §B of this regulation as the Commissioner’s report of examination.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner may supplement a report of examination of a responsible supervisory agency adopted as the Commissioner’s report of examination under §C(1) of this regulation with information the Commissioner considers relevant.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Treatment of Report of Examination.</text> <paragraph num="(1)"> <text>The Commissioner shall treat the report of examination of a responsible supervisory agency the Commissioner considers under §B of this regulation in its examination of a licensee as information obtained in the course of examining that licensee, as set forth in Financial Institutions Article, §2-117 Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>A report of examination of a responsible supervisory agency adopted by the Commissioner pursuant to §C of this regulation, together with any information added to that report of examination by the Commissioner, is the Commissioner’s report of examination and property of the Commissioner.</text> </paragraph> <paragraph num="(3)"> <text>Any report of examination of a responsible supervisory agency considered or adopted by the Commissioner pursuant to §B or C of this regulation shall remain subject to the terms and conditions of the agreement under which the responsible supervisory agency shared such report of examination with the Commissioner.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; Financial Institutions Article, §§2-105.1, 11-503,11-503.1, 11-505, 11-506(a) and (c)(1), 11-507, 11-508(g), 11-511, 11-511.1, 11-513(a), and 11-515(c);Real Property Article, §3-104.1; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.15, Code of Conduct—Mortgage Lenders, adopted as an emergency provision effective July 1, 1989 (16:14 Md. R. 1564); emergency status extended at 16:26 Md. R. 2782 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.16, Mortgage Lenders, adopted effective February 19, 1990 (17:3 Md. R. 297)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A amended effective July 31, 1995 (22:15 Md. R. 1119)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective June 16, 1997 (24:12 Md. R. 864)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 09.04.06 to COMAR 09.03.06, April, 1998</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective November 3, 2008 (35:22 Md. R. 1956); January 1, 2009 (35:26 Md. R. 2247); March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended as an emergency provision effective July 1, 2009 (36:15 Md. R. 1158); emergency status extended at 37:3 Md. R. 170; emergency status expired March 15, 2010</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective November 3, 2008 (35:22 Md. R. 1956)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03I adopted effective November 3, 2008 (35:22 Md. R. 1956)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03J adopted effective January 1, 2009 (35:26 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended as an emergency provision effective February 19, 2008 (35:6 Md. R. 695); emergency status extended at 35:18 Md. R. 1599; emergency action expired August 24, 2008</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective August 25, 2008 (35:17: Md. R. 1485); November 3, 2008 (35:22 Md. R. 1956); March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07B amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07D adopted effective November 3, 2008 (35:22 Md. R. 1956)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15G adopted effective June 15, 1998 (25:12 Md. R. 946)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15G repealed effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 adopted effective June 26, 2000 (27:12 Md. R. 1138)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17B, G amended effective September 2, 2013 (40:17 Md. R. 1419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17C amended effective April 29, 2002 (29:8 Md. R. 697)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 adopted effective February 17, 2003 (30:3 Md. R. 178)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18B, C amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 adopted effective October 1, 2004 (31:19 Md. R. 1431)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 repealed effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20 adopted effective November 3, 2008 (35:22 Md. R. 1956)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21 adopted effective November 3, 2008 (35:22 Md. R. 1956)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 adopted effective January 1, 2009 (35:26 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23A amended effective July 1, 2016 (43:11 Md. R. 633)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective October 4, 2019 (46:19 Md. R. 813)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective June 27, 2022 (49:13 Md. R. 688); February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended as an emergency effective December 18, 2024 (52:1 Md. R. 17); emergency action expired June 16, 2025</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective October 4, 2021 (48:20 Md. R. 851); February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended as an emergency effective December 18, 2024 (52:1 Md. R. 17); emergency action expired June 16, 2025</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 amended effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 adopted effective June 27, 2022 (49:16 Md. R. 688)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27 adopted effective June 27, 2022 (49:16 Md. R. 688)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28 adopted effective December 11, 2023 (50:24 Md. R. 1041)</annotation> </annotations> </chapter> <chapter num="07" heading="Credit Reporting Agencies"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs certain registration requirements and business operations of consumer reporting agencies who collect credit information and furnish consumer reports on residents of this State. The provisions of this chapter are to promote accuracy in consumer reports.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Breach of the security of a system” has the meaning stated in Commercial Law Article, §14-3504, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Business customer” means a person who supplies to a consumer reporting agency information for inclusion in a consumer report.</text> </paragraph> <paragraph num="(3)"> <text>“Collection agency” has the meaning stated in Business Regulation Article, §7-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>“Commissioner” has the meaning stated in Commercial Law Article, §14-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>“Consumer” means an individual who resides in Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Consumer report” has the meaning stated in Commercial Law Article, §14-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(7)"> <text>Consumer Reporting Agency.</text> <paragraph num="(a)"> <text>“Consumer reporting agency” has the meaning stated in Commercial Law Article, §14-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Consumer reporting agency” does not include a person who regularly extends credit to consumers and is:</text> <paragraph num="(i)"> <text>Licensed to extend credit by the Commissioner; or</text> </paragraph> <paragraph num="(ii)"> <text>A financial institution chartered under the laws of this State or the laws of the United States, the lending operators of which are subject to supervision, examination, and regulation by a State or federal agency.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Control person” means a person who has the power, directly or indirectly, to direct the management or policies of a consumer reporting agency, whether through ownership of securities, by contract, or otherwise.</text> </paragraph> <paragraph num="(9)"> <text>“File” has the meaning stated in Commercial Law Article, §14-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(10)"> <text>“Nationwide Mortgage Licensing System and Registry” or “NMLS” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(11)"> <text>“Person” has the meaning stated in Commercial Law Article, §14-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(12)"> <text>“Personal information” has the meaning stated in Commercial Law Article, §14-3501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(13)"> <text>“Simple and easy to understand” has the meaning stated in 16 CFR §642.2.</text> </paragraph> <paragraph num="(14)"> <text>“Specialty consumer reporting agency” means a consumer reporting agency that prepares and retains files for one or more of the following:</text> <paragraph num="(a)"> <text>Residential history;</text> </paragraph> <paragraph num="(b)"> <text>Tenant history; or</text> </paragraph> <paragraph num="(c)"> <text>Employment history.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Annual Registration."> <paragraph num="A."> <text>During the time period established by the Commissioner under §B of this regulation, each consumer reporting agency shall:</text> <paragraph num="(1)"> <text>Obtain and maintain a valid unique identifier issued by NMLS when an account is created with NMLS; and</text> </paragraph> <paragraph num="(2)"> <text>Transfer registration information to NMLS.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Commissioner shall establish a time period that is not less than 2 months after the effective date of these regulations within which a registrant must transfer registration information to NMLS.</text> </paragraph> <paragraph num="C."> <text>At least 30 days before the transfer period begins, the Commissioner shall:</text> <paragraph num="(1)"> <text>Notify all registrants of the transfer period; and</text> </paragraph> <paragraph num="(2)"> <text>Provide instructions for the transfer of registration information to NMLS.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Subject to §A of this regulation, a consumer credit reporting agency submitting an initial registration or a registration renewal shall apply for the initial registration or registration renewal through NMLS on or after November 1 of the year in which these regulations are effective and annually thereafter.</text> </paragraph> <paragraph num="E."> <text>To register, the consumer reporting agency shall provide all information required by the Commissioner through NMLS, including:</text> <paragraph num="(1)"> <text>The address of the principal executive office;</text> </paragraph> <paragraph num="(2)"> <text>The name of a responsible official of the consumer reporting agency who is available to respond expeditiously to inquiries or complaints referred by the Commissioner or the Commissioner's designee;</text> </paragraph> <paragraph num="(3)"> <text>A toll-free telephone number for use by the Commissioner or the Commissioner's designee, at which the responsible official required to be identified in this section may be reached;</text> </paragraph> <paragraph num="(4)"> <text>A toll-free telephone number or numbers maintained by the consumer reporting agency which is available to all Maryland residents for making inquiries;</text> </paragraph> <paragraph num="(5)"> <text>A certification by a control person that the consumer reporting agency has trained personnel sufficient to promptly and properly investigate and respond to consumer complaints and inquiries available;</text> </paragraph> <paragraph num="(6)"> <text>The mailing address or addresses to which a consumer may correspond with the consumer reporting agency in order to:</text> <paragraph num="(a)"> <text>Obtain a copy of their consumer report, and</text> </paragraph> <paragraph num="(b)"> <text>File written complaints or disputes about the accuracy of information contained in their consumer report;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>A certification by a control person who has primary oversight responsibility for the consumer reporting agency’s technology system that the consumer reporting agency is in compliance with all applicable data security requirements, including the requirements of the Fair Credit Reporting Act (15 U.S.C. §1681 et seq.) and, if applicable, the Gramm-Leach-Bliley Act (15 U.S.C. §6801 et seq.) and their respective implementing regulations;</text> </paragraph> <paragraph num="(8)"> <text>A copy of the declaration page, certificate of liability, or similarly summarized coverage page of the consumer reporting agency’s cyber risk insurance policy, if applicable;</text> </paragraph> <paragraph num="(9)"> <text>A list of all websites and web applications where there is consumer access to a service offered by the consumer reporting agency;</text> </paragraph> <paragraph num="(10)"> <text>The total number of consumer reports the consumer reporting agency assembled or evaluated over the previous 12 months; and</text> </paragraph> <paragraph num="(11)"> <text>The name of any third-party technology vendor that the consumer reporting agency utilizes to assemble, evaluate, or store consumer reports prepared by the consumer reporting agency.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If, except for the information required in §E(10) and (11) of this regulation, the information supplied in a consumer reporting agency's registration becomes inaccurate at any time during the calendar year, the consumer reporting agency shall immediately submit the changes to the Commissioner through NMLS.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Bond."> <paragraph num="A."> <text>The amount of a consumer reporting agency surety bond shall be determined as follows based on the number of consumer reports that the consumer reporting agency assembled, evaluated, or sold during the prior calendar year:</text> <paragraph num="(1)"> <text>Less than or equal to 10 percent of the total population of Maryland as published by the United States Census Bureau and listed on the Commissioner’s website shall file through NMLS a $100,000 bond;</text> </paragraph> <paragraph num="(2)"> <text>More than 10 percent but less than or equal to 25 percent of the total population of Maryland as published by the United States Census Bureau and listed on the Commissioner’s website shall file through NMLS a $250,000 bond;</text> </paragraph> <paragraph num="(3)"> <text>More than 25 percent but less than or equal to 50 percent of the total population of Maryland as published by the United States Census Bureau and listed on the Commissioner’s website shall file through NMLS a $500,000 bond;</text> </paragraph> <paragraph num="(4)"> <text>More than 50 percent but less than or equal to 75 percent of the total population of Maryland as published by the United States Census Bureau and listed on the Commissioner’s website shall file through NMLS a $750,000 bond; or</text> </paragraph> <paragraph num="(5)"> <text>More than 75 percent of the total population of Maryland as published by the United States Census Bureau and listed on the Commissioner’s website shall file through NMLS a $1,000,000 bond.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In considering a request to grant an exemption to the requirement for a consumer reporting agency to file a surety bond with the Commissioner at the time of registration or registration renewal, the Commissioner may grant to a consumer reporting agency an exemption from the surety bond required under §A of this regulation if the Commissioner determines that the following conditions are met:</text> <paragraph num="(1)"> <text>The granting of an exemption is not detrimental to the public interest;</text> </paragraph> <paragraph num="(2)"> <text>The consumer reporting agency has conducted its business in a lawful manner;</text> </paragraph> <paragraph num="(3)"> <text>The consumer reporting agency has complied, and has the capability and systems in place to continue to comply, with the provisions of the Maryland Personal Information Protection Act, Commercial Law Article, §14-3501, et seq., Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(4)"> <text>The consumer reporting agency demonstrates the financial ability to pay potential claims by establishing any of the following:</text> <paragraph num="(a)"> <text>The tangible net worth of the consumer reporting agency, as reported on an unconsolidated basis and certified by a control person, is equal to or greater than twice the amount of the surety bond required under §A of this regulation or this section;</text> </paragraph> <paragraph num="(b)"> <text>The consumer reporting agency’s short-term credit rating by a nationally recognized rating agency is at least equal to P2, A2, or F2 or an equivalent rating;</text> </paragraph> <paragraph num="(c)"> <text>The consumer reporting agency has regularly maintained and, during the registration period shall maintain, liquid assets, in form acceptable to the Commissioner, and in an amount that is at least equal to or greater than twice the amount of the surety bond required under §A of this regulation or this section; or</text> </paragraph> <paragraph num="(d)"> <text>In the case of a specialty consumer reporting agency, the consumer reporting agency maintains a current accreditation by the Professional Background Screening Association or any similar accreditation program approved by the Commissioner.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Operational Procedures."> <paragraph num="A."> <text>A consumer reporting agency shall devise procedures to identify inaccurate information in consumer credit information submitted to it by a person who furnishes information to a consumer reporting agency.</text> </paragraph> <paragraph num="B."> <text>As a part of the procedures required in §A of this regulation, a consumer reporting agency:</text> <paragraph num="(1)"> <text>Shall comply with 15 U.S.C. §1681i;</text> </paragraph> <paragraph num="(2)"> <text>May not include in a consumer’s file any loan, regardless of the date of the loan, that has been determined to be usurious or otherwise void or unenforceable under Maryland law pursuant to a court order or final order issued by the Commissioner and for which the credit reporting agency received said order from a court, the Commissioner, a consumer or consumer’s representative to which the information relates, or identified through any other process instituted by the credit reporting agency that would notify them of such a determination; and</text> </paragraph> <paragraph num="(3)"> <text>Shall use personal information and publicly available information to match tax liens and judgments to the appropriate consumer report, except that this requirement does not apply to a consumer reporting agency that is acting as a “reseller” as defined under 15 U.S.C. §1681a(u) with respect to that consumer report.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Complaints — General.</text> <paragraph num="(1)"> <text>This section does not apply to a report of information made to a consumer reporting agency before the effective date of this chapter.</text> </paragraph> <paragraph num="(2)"> <text>A consumer reporting agency may not list information which was received from a collection agency in a consumer's file unless there is also included in the consumer's file information sufficient to enable the consumer to identify the creditor who referred the debt to the collection agency.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Complaints — Specific Types.</text> <paragraph num="(1)"> <text>This section does not apply:</text> <paragraph num="(a)"> <text>If the consumer reporting agency has reason to believe that the consumer complaint:</text> <paragraph num="(i)"> <text>Is fraudulent; or</text> </paragraph> <paragraph num="(ii)"> <text>Has been previously investigated by the consumer reporting agency and found to be without merit;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Unless the consumer complaint contains the consumer's:</text> <paragraph num="(i)"> <text>Full name;</text> </paragraph> <paragraph num="(ii)"> <text>Date of birth;</text> </paragraph> <paragraph num="(iii)"> <text>Social Security number;</text> </paragraph> <paragraph num="(iv)"> <text>Home addresses for the preceding 3 years; and</text> </paragraph> <paragraph num="(v)"> <text>Signature;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>If the complaint is filed by or with the assistance of a credit repair agency that is required to be licensed, but is not licensed, by the Commissioner under Commercial Law Article, Title 14, Subtitle 19, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Except as provided in §D(1) of this regulation, this section applies to a written complaint submitted to a consumer reporting agency in which the consumer alleges that there is false information contained in the consumer report attributable to the:</text> <paragraph num="(a)"> <text>Consumer having been the victim of credit fraud; or</text> </paragraph> <paragraph num="(b)"> <text>Mixing of the information in the consumer's file with that of another person.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>There is a rebuttable presumption that a consumer complaint to which this section is applicable, and which is submitted to a consumer reporting agency, is:</text> <paragraph num="(a)"> <text>Legitimate; and</text> </paragraph> <paragraph num="(b)"> <text>Not frivolous.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The presumption established by this section is rebutted if the consumer reporting agency receives verification from the source of the disputed information in the consumer report that the information pertains to the consumer.</text> </paragraph> <paragraph num="(5)"> <text>Complaints subject to the presumption established by this section shall receive expedited handling by the consumer reporting agency.</text> </paragraph> <paragraph num="(6)"> <text>The consumer reporting agency shall include in its investigation of a consumer complaint to which this section is applicable, an attempt to verify the disputed information using the consumer's Social Security number.</text> </paragraph> <paragraph num="(7)"> <text>If the presumption established by this section is:</text> <paragraph num="(a)"> <text>Rebutted, the consumer reporting agency shall mail a written notice to the consumer stating:</text> <paragraph num="(i)"> <text>That the information was verified; and</text> </paragraph> <paragraph num="(ii)"> <text>The rights of the consumer under Commercial Law Article, Title 14, Subtitle 12, Annotated Code of Maryland;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Not rebutted, the consumer reporting agency shall delete the information from the consumer's file and mail:</text> <paragraph num="(i)"> <text>Written notice of the correction to the consumer and to each person designated by the consumer to receive a copy of the correction in accordance with Commercial Law Article, §14-1208, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(ii)"> <text>A statement of the rights of the consumer under Commercial Law Article, Title 14, Subtitle 12, Annotated Code of Maryland.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Costs. A consumer reporting agency shall pay the actual cost per day for each investigator engaged in an investigation by the Commissioner.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Permissible Purposes of Consumer Reports."> <paragraph num="A."> <text>If the Commissioner finds that a person is in the business of making loans that are usurious or otherwise void or unenforceable under Maryland law or can use information in credit reports in connection with the making of loans that are usurious or otherwise void or unenforceable under Maryland law, and issues a written order to a consumer reporting agency not to furnish credit reports to that person, the consumer reporting agency shall comply with the order within 30 days of receipt of the written order.</text> </paragraph> <paragraph num="B."> <text>If the Commissioner finds that a loan is usurious or otherwise void or unenforceable under Maryland law or that a person is in the business of making loans that are usurious or otherwise void under Maryland law, and issues a written order to a consumer reporting agency prohibiting the consumer reporting agency from including the loan in a consumer’s file, the consumer reporting agency shall comply with the written order within 30 days of receipt of the written order.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Current Listing of Consumer Reporting Agencies."> <text>The Commissioner shall make available to the public a current listing of the names, addresses, and telephone numbers of registered consumer reporting agencies through the NMLS Consumer Access portal.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; Commercial Law Article, §§14-1216(b) and (e), 14-1217(b)(9) and (10) and (d), 14-1218(e), and 14-1226(f) and (g); Financial Institutions Article, §2-105.1(b) and (c); Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: June 6, 1994 (21:11 Md. R. 950)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 09.04.07 to COMAR 09.03.07, April, 1998</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective October 19, 2020 (47:21 Md. R. 903)</annotation> </annotations> </chapter> <chapter num="08" heading="Debt Management Services" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: September 29, 2003 (30:19 Md. R. 1330)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed effective October 1, 2005 (32:18 Md. R. 1518)</annotation> </annotations> </chapter> <chapter num="09" heading="Mortgage Loan Originators"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the conduct of any individual employed as a mortgage loan originator with respect to residential real estate located in this State.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Applicant” means an individual applying for a license.</text> </paragraph> <paragraph num="(2)"> <text>“Average prime offer rate” has the meaning stated in 12 CFR Part 1026, as may be amended from time to time.</text> </paragraph> <paragraph num="(3)"> <text>“Commissioner” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>“Continuing education” or “course” means an educational program related to mortgage lending or brokering which contributes directly to the enhancement of professional competence of a mortgage loan originator to engage in the mortgage lending business, as defined in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>“Dwelling” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Higher-priced mortgage loan” has the meaning stated in 12 CFR Part 1026 as may be amended from time to time.</text> </paragraph> <paragraph num="(7)"> <text>“License” has the meaning stated in Financial Institutions Article, §11-601, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(8)"> <text>“Licensed location” means any location listed by the licensee in NMLS.</text> </paragraph> <paragraph num="(9)"> <text>“Licensee” has the meaning stated in Financial Institutions Article, §11-601, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(10)"> <text>“Mortgage lending business” has the meaning state in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(11)"> <text>“Mortgage loan” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(12)"> <text>“Mortgage loan originator” has the meaning stated in Financial Institutions Article, §11-601, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(13)"> <text>“NMLSR” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(14)"> <text>“Residential real estate” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Education and Testing Requirements."> <paragraph num="A."> <text>Prelicensing Education. To qualify for a license, a mortgage loan originator shall have:</text> <paragraph num="(1)"> <text>Successfully completed at least 20 hours of prelicensing education as required by Financial Institutions Article, §11-606, Annotated Code of Maryland, which shall include at least the following subjects in the number of hours indicated:</text> <paragraph num="(a)"> <text>Federal law and regulations relating to mortgage origination — 3 hours;</text> </paragraph> <paragraph num="(b)"> <text>Ethics, including instruction on fraud, consumer protection, and fair lending issues — 3 hours;</text> </paragraph> <paragraph num="(c)"> <text>Lending standards and loan terms for the nontraditional mortgage product market — 2 hours;</text> </paragraph> <paragraph num="(d)"> <text>Maryland law and regulations relating to mortgage lending and origination — 3 hours;</text> </paragraph> <paragraph num="(e)"> <text>Maryland finder's fee law as stated in Commercial Law Article, §12-801 et seq., Annotated Code of Maryland — 2 hours; and</text> </paragraph> <paragraph num="(f)"> <text>Undefined or elective instruction on mortgage origination — 7 hours; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Achieved a passing grade on a written examination as required by Financial Institutions Article, §11-606.1, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Continuing Education. To renew a license, a mortgage loan originator shall have successfully completed in the 12 months immediately preceding the current renewal period at least 8 hours of continuing education in approved courses, as required by Financial Institutions Article, §11-612, Annotated Code of Maryland, which shall include at least the following subjects in the number of hours indicated:</text> <paragraph num="(1)"> <text>Federal law and regulations relating to mortgage origination — 3 hours;</text> </paragraph> <paragraph num="(2)"> <text>Ethics, including instruction on fraud, consumer protection, and fair lending issues — 2 hours;</text> </paragraph> <paragraph num="(3)"> <text>Lending standards and loan terms for the nontraditional mortgage product market — 2 hours; and</text> </paragraph> <paragraph num="(4)"> <text>Maryland law and regulations relating to mortgage lending and origination — 1 hour.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Reporting, Verification, and Record Keeping.</text> <paragraph num="(1)"> <text>A mortgage loan originator, when applying for an initial license or for a renewal license, shall provide to the NMLSR and to the Commissioner such information or certification as they may respectively require as proof of satisfactory completion of the education and testing requirements of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner may require verification, on a random or other basis, of satisfactory completion of the requirements of this regulation.</text> </paragraph> <paragraph num="(3)"> <text>A licensee shall retain evidence acceptable to the Commissioner to verify satisfactory completion of the requirements of this regulation for at least 3 years after issuance of the license to which it applies.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Denial, Nonrenewal, Suspension, or Revocation of License. Subject to the notice and hearing requirements of Financial Institutions Article, §11-616, Annotated Code of Maryland, failure to comply with the requirements of this regulation is grounds for:</text> <paragraph num="(1)"> <text>Denial of a license under Financial Institutions Article, §11-607(e), Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(2)"> <text>Suspension or revocation of a license or other sanctions pursuant to Financial Institutions Article, §11-615, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Duty of Care."> <paragraph num="A."> <text>Good Faith and Fair Dealing. A mortgage loan originator has a duty of good faith and fair dealing in communications and transactions with a borrower, including, but not limited to:</text> <paragraph num="(1)"> <text>The duty to recommend to a borrower or induce a borrower to enter into only a mortgage loan refinancing that has a net tangible benefit to a borrower, considering all of the circumstances, including the terms of a loan, the cost of a loan, and the borrower's circumstances; and</text> </paragraph> <paragraph num="(2)"> <text>The duty to provide to a borrower who is offered a higher-priced mortgage loan information about the non-higher-priced mortgage loans that the licensee can make available and for which the borrower may qualify.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Method to Determine Net Tangible Benefit.</text> <paragraph num="(1)"> <text>When determining whether a refinance of a mortgage loan will provide a net tangible benefit to the borrower, a mortgage loan originator shall make a reasonable inquiry of a borrower to determine what net tangible benefit, if any, the borrower will receive from a mortgage loan. Net tangible benefits may include, but are not limited to:</text> <paragraph num="(a)"> <text>Obtaining a lower interest rate;</text> </paragraph> <paragraph num="(b)"> <text>Obtaining a lower monthly payment, including principal, interest, taxes, and insurance;</text> </paragraph> <paragraph num="(c)"> <text>Obtaining a shorter amortization schedule;</text> </paragraph> <paragraph num="(d)"> <text>Changing from an adjustable rate to a fixed rate;</text> </paragraph> <paragraph num="(e)"> <text>Eliminating a negative amortization feature;</text> </paragraph> <paragraph num="(f)"> <text>Eliminating a balloon payment feature;</text> </paragraph> <paragraph num="(g)"> <text>Receiving cash-out from the new loan in an amount greater than all closing costs incurred in connection with the loan;</text> </paragraph> <paragraph num="(h)"> <text>Avoiding foreclosure;</text> </paragraph> <paragraph num="(i)"> <text>Eliminating private mortgage insurance; and</text> </paragraph> <paragraph num="(j)"> <text>Consolidating other existing loans into a new mortgage loan.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A mortgage loan originator is considered to have conducted a reasonable inquiry of whether a refinance of a mortgage loan provides a net tangible benefit to a borrower if the mortgage loan originator has the borrower complete and sign a net tangible benefit worksheet on the form prescribed by the Commissioner for that purpose, or a form that is substantially similar to the form prescribed by the Commissioner.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Applications."> <paragraph num="A."> <text>The Commissioner shall approve or deny an application for an initial license, a renewal license, or a license amendment within 60 days after the Commissioner receives a completed application, including a surety bond and all required fees.</text> </paragraph> <paragraph num="B."> <text>If the Commissioner notifies an applicant that an application for an initial license, a renewal license, or a license amendment is incomplete, the Commissioner shall itemize the steps which the applicant must take to complete the application.</text> </paragraph> <paragraph num="C."> <text>The application for an initial license, a renewal license, or a license amendment may not be approved until after the applicant completes all steps identified in the Commissioner’s notice.</text> </paragraph> <paragraph num="D."> <text>If an application for an initial license, a renewal license, or a license amendment is incomplete when submitted and remains incomplete, the Commissioner may cease processing and deem the incomplete application withdrawn, provided that the Commissioner has previously notified the applicant of the basis for incompleteness in accordance with §B of this regulation, and gives the applicant not less than 15 days to correct the incompleteness.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Fees."> <paragraph num="A."> <text>Application Investigation Fee. The nonrefundable investigation fee required by Financial Institutions Article, §11-604(c)(1), Annotated Code of Maryland, is $1.</text> </paragraph> <paragraph num="B."> <text>Initial License Fee.</text> <paragraph num="(1)"> <text>The license fee required by Financial Institutions Article, §11-606(b)(2), Annotated Code of Maryland, is $225 for a 1-year license term.</text> </paragraph> <paragraph num="(2)"> <text>In addition to the initial license fee set forth in §B(1) of this regulation, an applicant for a license shall pay to NMLSR the license application processing fee and any other fees that NMLSR imposes in connection with the application.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Renewal Fee.</text> <paragraph num="(1)"> <text>The renewal fee required by Financial Institutions Article, §11-609(b)(2), Annotated Code of Maryland, is $225 for a 1-year renewal term.</text> </paragraph> <paragraph num="(2)"> <text>In addition to the renewal fee set forth in §C(1) of this regulation, an applicant for a renewal shall pay to NMLSR the renewal application processing fee and any other fees that NMLSR imposes in connection with the application.</text> </paragraph> </paragraph> <paragraph num="C-1."> <text>Licensing Fees for Affiliated Insurance Producer-Mortgage Loan Originator Subject to Financial Institutions Article, §11-603.1, Annotated Code of Maryland.</text> <paragraph num="(1)"> <text>Application Investigation Fee. The nonrefundable investigation fee required by Financial Institutions Article, §11-604(c)(1), Annotated Code of Maryland, is $1.</text> </paragraph> <paragraph num="(2)"> <text>Initial License Fee.</text> <paragraph num="(a)"> <text>The license fee required by Financial Institutions Article, §11-604(b)(2), Annotated Code of Maryland, is $700 for a 1-year Affiliated Insurance Producer-Mortgage Loan Originator license term.</text> </paragraph> <paragraph num="(b)"> <text>In addition to the initial license fee set forth in §B(2)(a) of this regulation, an applicant for a license shall pay to NMLSR the license application processing fee and any other fees that NMLSR imposes in connection with the application.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Renewal Fee.</text> <paragraph num="(a)"> <text>The renewal fee required by Financial Institutions Article, §11-609(b)(2), Annotated Code of Maryland, is $700 for a 1-year renewal term.</text> </paragraph> <paragraph num="(b)"> <text>In addition to the renewal fee set forth in §B(3)(a) of this regulation, an applicant for a renewal shall pay to NMLSR the renewal application processing fee and any other fees that NMLSR imposes in connection with the application.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Investigation Fee. The fee for each of the Commissioner's employees engaged in investigations performed by the Commissioner as authorized by Financial Institutions Article, §11-613(b), Annotated Code of Maryland, is $250 per day.</text> </paragraph> <paragraph num="E."> <text>License Amendment Fee. The license amendment fee required by Financial Institutions Article, §11-603(c)(2), Annotated Code of Maryland, is $20.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Locations."> <paragraph num="A."> <text>A mortgage loan originator may not conduct mortgage lending business at any location different from a licensed location that is listed for the mortgage loan originator or the mortgage loan originator's employer on NMLS.</text> </paragraph> <paragraph num="B."> <text>Notwithstanding §A of this regulation, a mortgage loan originator may take a loan application or offer or negotiate terms of a mortgage loan at a location other than the licensed location of the mortgage loan originator or the mortgage loan originator's employer if neither the mortgage loan originator nor the mortgage loan originator's employer:</text> <paragraph num="(1)"> <text>Owns or leases the location for the purpose of conducting mortgage lending business;</text> </paragraph> <paragraph num="(2)"> <text>Indicates or suggests by use of signage that the mortgage loan originator or the mortgage loan originator's employer utilizes the location for taking mortgage loan applications or offering or negotiating terms of mortgage loans;</text> </paragraph> <paragraph num="(3)"> <text>Advertises that the mortgage loan originator or the mortgage loan originator's employer takes mortgage loan applications or offers or negotiates terms of mortgage loans at the location;</text> </paragraph> <paragraph num="(4)"> <text>Maintains work space, telephone service, or internet service at the location in the name of the mortgage loan originator or the mortgage loan originator's employer for the purpose of conducting mortgage lending business;</text> </paragraph> <paragraph num="(5)"> <text>Receives mail relating to the mortgage lending business at the location; or</text> </paragraph> <paragraph num="(6)"> <text>Stores books or records relating to the mortgage lending business at the location.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Loan Origination Under Expired License."> <paragraph num="A."> <text>A person may not take or receive a mortgage loan application or offer or negotiate the terms of a mortgage loan without a license.</text> </paragraph> <paragraph num="B."> <text>Notwithstanding §A of this regulation, a mortgage loan originator operating under an expired license resulting from a failure to timely renew may offer or negotiate the terms of a mortgage loan if:</text> <paragraph num="(1)"> <text>The application for the mortgage loan was taken or received before the deadline for renewal of the license; and</text> </paragraph> <paragraph num="(2)"> <text>The licensee’s employer does not employ any other mortgage loan originator licensed by the Commissioner.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Advertising and Solicitation."> <paragraph num="A."> <text>A mortgage loan originator may not publish, or cause to be published, any advertisement, or make or cause to be made any representation, that:</text> <paragraph num="(1)"> <text>Contains any false, misleading, or deceptive statements regarding the making, brokering, or servicing of mortgage loans; or</text> </paragraph> <paragraph num="(2)"> <text>Misrepresents terms, availability, rates, or charges incident to a mortgage loan.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Licensee Name and Address.</text> <paragraph num="(1)"> <text>A mortgage loan originator may not advertise under any name or address other than the name and address which appear on its license.</text> </paragraph> <paragraph num="(2)"> <text>Notwithstanding §B(1) of this regulation:</text> <paragraph num="(a)"> <text>An advertisement need not disclose any address of the advertiser; and</text> </paragraph> <paragraph num="(b)"> <text>A mortgage loan originator may advertise under any name:</text> <paragraph num="(i)"> <text>By which the mortgage loan originator is commonly known; and</text> </paragraph> <paragraph num="(ii)"> <text>Which is shown in the mortgage loan originator’s NMLSR record.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>In any advertisement, a mortgage loan originator must disclose:</text> <paragraph num="(a)"> <text>The name or approved trade name of the mortgage loan originator’s employer; and</text> </paragraph> <paragraph num="(b)"> <text>The mortgage loan originator’s NMLSR Unique Identifier.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Notwithstanding §B(3) of this regulation, a mortgage loan originator who utilizes social media for advertising purposes need not disclose the name of the mortgage loan originator’s employer or the NMLSR Unique Identifier of the mortgage loan originator in each statement published through a social media platform, provided that such information is disclosed prominently on the mortgage loan originator’s home page within that social media platform.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; Financial Institutions Article, §§ 2-105. 1, 11-602, 11-603. 1, 11-605, 11-606, 11-609, 11-612, 11-612.1, and 11-613(b); Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 13, 2006 (33:5 Md. R. 519)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective November 3, 2008 (35:22 Md. R. 1957); January 1, 2009 (35:26 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended as an emergency provision effective July 1, 2009 (36:15 Md. R. 1159); emergency status extended at 37:3 Md. R. 170; emergency status expired effective March 15, 2010</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective November 3, 2008 (35:22 Md. R. 1957)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended as an emergency provision effective July 1, 2009 (36:15 Md. R. 1159); emergency status extended at 37:3 Md. R. 170; emergency status expired effective March 15, 2010</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective November 3, 2008 (35:22 Md. R. 1957)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective November 3, 2008 (35:22 Md. R. 1957)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 repealed and new Regulation .05 adopted as an emergency provision effective July 1, 2009 (36:15 Md. R. 1159); emergency status extended at 37:3 Md. R. 170; emergency status expired effective March 15, 2010</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 repealed and new Regulation .05 adopted effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective January 1, 2009 (35:26 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 repealed and new Regulation .06 adopted as an emergency provision effective July 1, 2009 (36:15 Md. R. 1159); emergency status extended at 37:3 Md. R. 170; emergency status expired effective March 15, 2010</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 repealed and new Regulation .06 adopted effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06C adopted as an emergency provision effective September 30, 2010 (37:18 Md. R. 1211); emergency status expired March 28, 2011</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective January 1, 2009 (35:26 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended as an emergency provision effective July 1, 2009 (36:15 Md. R. 1159); emergency status extended at 37:3 Md. R. 170; emergency status expired effective March 15, 2010</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective July 1, 2016 (43:11 Md. R. 633)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07C-1 adopted effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective July 31, 2017 (44:15 Md. R. 759)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective February 3, 2025 (52:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective February 3, 2025 (52:2 Md. R. 67)</annotation> </annotations> </chapter> <chapter num="10" heading="Credit and Other Regulation"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>Balloon Payment.</text> <paragraph num="(a)"> <text>“Balloon payment” means any scheduled payment on a mortgage loan that is more than two times the average of all other payments scheduled to repay the mortgage loan.</text> </paragraph> <paragraph num="(b)"> <text>“Balloon payment” does not include a down payment.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Commissioner” means the Commissioner of Financial Regulation in the Maryland Department of Labor.</text> </paragraph> <paragraph num="(3)"> <text>“Fraud” means any act that:</text> <paragraph num="(a)"> <text>Constitutes a criminal violation of any article of the Annotated Code of Maryland and is part of an attempt or scheme to defraud any person; or</text> </paragraph> <paragraph num="(b)"> <text>Whether or not a criminal offense, is an intentional misrepresentation of any material fact or is conduct that is intended to prevent the discovery of a material fact, and is part of an attempt or scheme to defraud any person.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Initial application” has the meaning stated in COMAR 09.03.06.02B(14).</text> </paragraph> <paragraph num="(5)"> <text>“Mortgage loan” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Regulated person” means an individual, corporation, business trust, financial institution, estate, trust, partnership, association, two or more persons having a joint or common interest, or any other legal or commercial entity that is subject to the regulatory authority of the Commissioner pursuant to Financial Institutions Article, or Commercial Law Article, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(7)"> <text>“Residential real estate” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(8)"> <text>“Settlement” means the disbursement of the proceeds of a mortgage loan by the person conducting the settlement to the borrower or to third parties as required by the lender's instructions.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Reporting Fraud, Other Violations of Law, and Convictions."> <paragraph num="A."> <text>Duty to Report.</text> <paragraph num="(1)"> <text>Except as provided in §E of this regulation, a regulated person shall submit a report to the Commissioner within 30 business days after the person discovers that an act, or has reason to believe that an act, of fraud, theft, or forgery has been committed by a regulated person, including the person, or any owner, director, officer, member, partner, employee, or agent of a regulated person.</text> </paragraph> <paragraph num="(2)"> <text>Except as provided in §E of this regulation, a regulated person that is, or that has an owner, director, officer, member, partner, employee, or agent that is, convicted of any felony, or of a misdemeanor involving fraud, theft, or forgery, shall submit a report to the Commissioner informing the Commissioner of the conviction within 5 business days from the date on which the regulated person receives knowledge of the conviction.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Contents of Report.</text> <paragraph num="(1)"> <text>A regulated person submitting a report pursuant to this regulation shall utilize the reporting form prescribed by the Commissioner.</text> </paragraph> <paragraph num="(2)"> <text>If it is determined after the submission of a report that information contained in the report is false or otherwise inaccurate, the regulated person that submitted the report shall be considered to be in compliance with the reporting requirements of this regulation if the regulated person reasonably believed that the information was true and accurate at the time the report was submitted and the regulated person took reasonable steps to verify its truth and accuracy.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Nondisclosure of Report. A regulated person submitting a report to the Commissioner pursuant to this regulation may not disclose to any person that is a subject of the report the existence of the report or that the report has been submitted to the Commissioner.</text> </paragraph> <paragraph num="D."> <text>Reports to Law Enforcement Authorities. Except as provided in §E of this regulation, a regulated person that discovers that an act, or suspected act, of fraud, theft, or forgery required to be reported pursuant to this regulation has been committed, the regulated person shall report the details of the incident to the appropriate law enforcement authorities.</text> </paragraph> <paragraph num="E."> <text>Exceptions. The provisions of this regulation do not apply to a bank, savings bank, trust company, or credit union having a branch that accepts deposits in this State.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Disclosures for Certain Mortgage Loans."> <paragraph num="A."> <text>Mortgage Loan Provisions Requiring Disclosure. A regulated person that offers to make or procure a mortgage loan secured by residential real estate shall provide to the borrower the disclosures set forth in §B of this regulation if the terms of the mortgage loan:</text> <paragraph num="(1)"> <text>Include a balloon payment;</text> </paragraph> <paragraph num="(2)"> <text>Do not provide for the establishment of an escrow account for the payment of taxes and insurance; or</text> </paragraph> <paragraph num="(3)"> <text>Include mandatory binding arbitration.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Content and Form of Disclosures.</text> <paragraph num="(1)"> <text>If the terms of a mortgage loan of the type described in §A of this regulation contain a balloon payment feature, a disclosure containing the following information, as applicable, and in substantially similar form, shall be provided to the borrower:</text> </paragraph> <paragraph num="(2)"> <text>If the terms of a mortgage loan of the type described in §A of this regulation, which is secured by a first-position lien on residential real estate, do not provide for the establishment of an escrow account from which property tax and homeowner's insurance payments are made, a disclosure containing the following information, as applicable, and in substantially similar form shall be provided to the borrower:</text> </paragraph> <paragraph num="(3)"> <text>If the terms of a mortgage loan of the type described in §A of this regulation contain a provision requiring the borrower to engage in binding arbitration to resolve disputes, a disclosure containing the following information, as applicable, and in substantially similar form shall be provided to the borrower:</text> </paragraph> <paragraph num="(4)"> <text>The disclosures required by this regulation shall be written clearly and conspicuously and shall appear in at least a 10-point type font. The applicable disclosures shall appear together on a sheet or sheets of paper that contain no information other than the disclosures. All of the disclosures may be printed on a sheet or sheets of paper that include check boxes that may be marked to indicate which disclosures apply.</text> </paragraph> <aftertext>BALLOON PAYMENT: This mortgage loan contains a balloon payment provision. A balloon payment is a scheduled lump sum usually due at the end of the mortgage loan term that is significantly larger than the other regularly scheduled periodic payments. If you cannot pay the balloon payment when due, you may have to obtain a new loan to make the balloon payment or you may lose your property through foreclosure. Before deciding to take this loan, consider your ability to pay the balloon payment when it comes due. The balloon payment on the mortgage loan you have applied for is due (insert number of months) from the date your mortgage loan begins.</aftertext> </paragraph> <paragraph num="C."> <text>Timing.</text> <paragraph num="(1)"> <text>A regulated person shall deliver to a borrower the disclosures required by this regulation within 10 business days after the application for the mortgage loan is completed, and not less than 72 hours before the time of settlement agreed to by the parties.</text> </paragraph> <paragraph num="(2)"> <text>An application for a mortgage loan is completed at the time of initial application.</text> </paragraph> <paragraph num="(3)"> <text>If any change to the terms of a mortgage loan requires additional or modified disclosures pursuant to this regulation, the regulated person shall deliver to the borrower a final set of disclosures at least 72 hours before the time of settlement agreed to by the parties.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Consumer Loans."> <text>The term loan account in Financial Institutions Article, §11-219, Annotated Code of Maryland:</text> <paragraph num="A."> <text>Means any loan or advance of money or credit subject to Commercial Law Article, Title 12, Subtitle 3, Annotated Code of Maryland, the Maryland Consumer Loan Law — Credit Provisions, regardless of whether the loan or advance of money or credit is or purports to be made under Commercial Law Article, Title 12, Subtitle 3, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="B."> <text>Does not include an installment loan as defined in Financial Institutions Article, §11-302, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Mobile Home Retail Sales Financing Information Disclosure Statement."> <text>The written statement required in Commercial Law Article, §14–4202(b)(3), Annotated Code of Maryland, shall be in a form substantially similar to the following:</text> <text>Form on following page.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; Financial Institutions Article, §§2-105.1, 5-909(1), 11-203, 11-503, 11-602, 12-104, 12-403(1), and 12-903(1); Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 3, 2008 (35:22 Md. R. 1957)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A, B amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective July 16, 2020 (47:14 Md. R. 675)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted as an emergency provision effective October 5, 2020 (47:20 Md. R. 872); adopted permanently effective February 22, 2021 (48:4 Md. R. 176)</annotation> </annotations> </chapter> <chapter num="11" heading="Recordation of Security Instruments for Residential Property"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Mortgage lender licensee” means a person licensed under Financial Institutions Article, §§11-501—11-524, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Mortgage loan” means any loan or extension of credit secured by residential property.</text> </paragraph> <paragraph num="(3)"> <text>“Mortgage loan originator licensee” means an individual licensed under Financial Institutions Article, §§11-601—11-618, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>“Nationwide Mortgage Licensing System and Registry (NMLSR)” has the meaning stated in Financial Institutions Article, §11-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>“Residential property” has the meaning stated in Real Property Article, §3-104.1, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Security instrument” means a mortgage, deed of trust, or any other instrument securing a mortgage loan.</text> </paragraph> <paragraph num="(7)"> <text>Single Family Dwelling Unit.</text> <paragraph num="(a)"> <text>“Single family dwelling unit” means a structure principally designed for the residential habitation of one family.</text> </paragraph> <paragraph num="(b)"> <text>“Single family dwelling unit” includes an individual residential condominium unit within a larger structure or complex, regardless of the total number of individual units in that structure or complex.</text> </paragraph> <paragraph num="(c)"> <text>“Single family dwelling unit” does not include a structure that:</text> <paragraph num="(i)"> <text>Is not intended, and has never been used, for human habitation; or</text> </paragraph> <paragraph num="(ii)"> <text>Is intended for human habitation, has never been occupied, but for which a use and occupancy permit, if required, has never been issued.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Unique identifier” has the meaning stated in Financial Institutions Article, §11-601, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Information in Recorded Security Instrument."> <paragraph num="A."> <text>Licensee Information or Affidavit in Lieu of Licensee Information.</text> <paragraph num="(1)"> <text>If a mortgage lender licensee is named in the promissory note or agreement evidencing a mortgage loan on a residential property that is secured by a security instrument to be recorded under Real Property Article, §3-104.1, Annotated Code of Maryland, the following information shall be filed with the security instrument:</text> <paragraph num="(a)"> <text>The name of the mortgage lender licensee; and</text> </paragraph> <paragraph num="(b)"> <text>The Maryland mortgage lender license number of the mortgage lender licensee or the NMLSR unique identifier of the mortgage lender licensee.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a mortgage loan originator licensee originated the mortgage loan on residential property that is secured by a security instrument to be recorded under Real Property Article, §3-104.1, Annotated Code of Maryland, the following information shall be filed with the security instrument:</text> <paragraph num="(a)"> <text>The name of the mortgage loan originator licensee; and</text> </paragraph> <paragraph num="(b)"> <text>The Maryland mortgage loan originator license number of the mortgage loan originator licensee or the NMLSR unique identifier of the mortgage loan originator licensee.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A person exempt or excepted from the requirement to be licensed as a Maryland mortgage lender shall file an affidavit with the security instrument to be recorded in lieu of mortgage lender licensee information.</text> </paragraph> <paragraph num="(4)"> <text>A person exempt or excepted from the requirement to be licensed as a Maryland mortgage loan originator, or that person's employer, shall file an affidavit with the security instrument to be recorded in lieu of mortgage loan originator licensee information.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Information/Affidavit Form.</text> <paragraph num="(1)"> <text>Persons filing licensee information or an affidavit in lieu of licensee information under this regulation shall use a form that is substantially the same as the following:</text> </paragraph> <paragraph num="(2)"> <text>The affidavit recorded with a security instrument may be a duplicate of the original affidavit.</text> </paragraph> <paragraph num="(3)"> <text>The person who employs the individual who originated a mortgage loan to be secured by the security instrument to be recorded may provide the affidavit recorded with the security instrument under this regulation on behalf of that employee.</text> </paragraph> <aftertext>Licensee Information or Affidavit Filed in Accordance with Real Property Article, §3-104.1, Annotated Code of Maryland</aftertext> </paragraph> <paragraph num="C."> <text>Location and Subsequent Filings.</text> <paragraph num="(1)"> <text>Location. Except as provided in §C(2) of this regulation, the licensee information or affidavit shall be contained in a separate sheet to be attached to and recorded after the last page of the security instrument and immediately preceding the intake sheet.</text> </paragraph> <paragraph num="(2)"> <text>Subsequent Filing.</text> <paragraph num="(a)"> <text>If the licensee information or affidavit required by this regulation is not attached to the security instrument at the time the security instrument is recorded, the licensee information or affidavit may be recorded separately as a supplemental instrument, after the date the security instrument is recorded, by the deed of trust note holder, mortgagee, mortgage assignee, deed of trust beneficiary, or agent of any of the foregoing.</text> </paragraph> <paragraph num="(b)"> <text>An amendment adding or correcting any information contained in the document filing required by this regulation may be recorded separately as a supplemental instrument, after the date the security instrument is recorded, by the deed of trust note holder, mortgagee, mortgage assignee, deed of trust beneficiary, or agent of any of the foregoing.</text> </paragraph> <paragraph num="(c)"> <text>A subsequently filed document recorded under this subsection shall contain:</text> <paragraph num="(i)"> <text>The date of the security instrument securing the mortgage loan;</text> </paragraph> <paragraph num="(ii)"> <text>The address of the property subject to the security instrument securing the mortgage loan;</text> </paragraph> <paragraph num="(iii)"> <text>The name of the parties to the security instrument securing the mortgage loan;</text> </paragraph> <paragraph num="(iv)"> <text>The liber/book and folio/page number for the security instrument securing the mortgage loan; and</text> </paragraph> <paragraph num="(v)"> <text>The original principal amount of the mortgage loan secured by the security instrument.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>A subsequently filed document recorded under this subsection shall be acknowledged before a notary public.</text> </paragraph> <paragraph num="(e)"> <text>The subsequent filing shall be indexed in the Grantor Index in the land records as to the grantor or mortgagor.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Real Property Article, §3-104.1, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective April 10, 2008 (35:10 Md. R. 970); emergency status extended at 35:23 Md. R. 2012</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted as an emergency provision effective May 23, 2008 (35:13 Md. R. 1177); emergency status extended at 35:23 Md. R. 2012</annotation> <annotation type="History" subtype="Administrative History">Regulations .01 and .02 adopted effective December 29, 2008 (35:26 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective March 15, 2010 (37:5 Md. R. 427); July 3, 2017 (44:13 Md. R. 621)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective March 15, 2010 (37:5 Md. R. 427)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective July 3, 2017 (44:13 Md. R. 621)</annotation> </annotations> </chapter> <chapter num="12" heading="Foreclosure Procedures for Residential Property"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Addressed envelope” means:</text> <paragraph num="(a)"> <text>An envelope that is preprinted with the address where it should be delivered;</text> </paragraph> <paragraph num="(b)"> <text>An envelope that contains a label with a preprinted address where it should be delivered; or</text> </paragraph> <paragraph num="(c)"> <text>An envelope with a window that will accommodate a visible preprinted cover page that contains an address where the envelope should be delivered with instructions on how to use the cover page to display the address.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Administrative law judge” has the meaning stated in COMAR 28.02.01.02(B)(1).</text> </paragraph> <paragraph num="(3)"> <text>“Borrower” means:</text> <paragraph num="(a)"> <text>A mortgagor; or</text> </paragraph> <paragraph num="(b)"> <text>A grantor of a deed of trust.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Commissioner” means the Commissioner of Financial Regulation in the Maryland Department of Labor.</text> </paragraph> <paragraph num="(5)"> <text>“Date of default” means the first calendar day after the borrower has failed to meet the borrower's obligations under the terms of the debt instrument where the debt instrument characterizes that failure as a default.</text> </paragraph> <paragraph num="(6)"> <text>“Debt instrument” means an agreement, promissory note, or other evidence of a mortgage loan.</text> </paragraph> <paragraph num="(7)"> <text>“Federally related mortgage loan” has the meaning stated at 12 C.F.R. 1024.2.</text> </paragraph> <paragraph num="(8)"> <text>“Final loss mitigation affidavit” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(9)"> <text>“Foreclosure mediation” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(10)"> <text>“Housing counseling services” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(11)"> <text>Inspection.</text> <paragraph num="(a)"> <text>“Inspection” means a limited nonintrusive examination to determine occupancy status of a property.</text> </paragraph> <paragraph num="(b)"> <text>“Inspection” may include, but is not limited to:</text> <paragraph num="(i)"> <text>Physical survey of the property; or</text> </paragraph> <paragraph num="(ii)"> <text>Review of loan documents, recorded instruments, court orders, public records, photos taken upon physical survey of the property, or other documents identifying loan type or ownership.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Loss mitigation analysis” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(13)"> <text>“Loss mitigation program” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(14)"> <text>“Mediator” means the administrative law judge within the Office of Administrative Hearings who will serve as the neutral third party in a foreclosure mediation.</text> </paragraph> <paragraph num="(15)"> <text>“Mortgage lender licensee” means a person licensed under Financial Institutions Article, §§11-501—11-524, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(16)"> <text>“Mortgage loan” means any loan or extension of credit secured by residential property.</text> </paragraph> <paragraph num="(17)"> <text>“Mortgage loan originator licensee” means an individual licensed under Financial Institutions Article, §§11-601—11-618, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(18)"> <text>“Nationwide Mortgage Licensing System and Registry (NMLS)” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(19)"> <text>Owner-Occupied Residential Property.</text> <paragraph num="(a)"> <text>“Owner-occupied residential property” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Owner-occupied residential property” does not include property secured by mortgage loans or other debt instruments if the borrower is:</text> <paragraph num="(i)"> <text>One or more persons who have made a written statement in connection with the original loan application that the loan is for business or investment purposes;</text> </paragraph> <paragraph num="(ii)"> <text>A corporation;</text> </paragraph> <paragraph num="(iii)"> <text>A limited liability company;</text> </paragraph> <paragraph num="(iv)"> <text>A joint venture; or</text> </paragraph> <paragraph num="(v)"> <text>A partnership or a limited partnership.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(20)"> <text>“Person” has the meaning stated in Financial Institutions Article, §11-501(p), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(21)"> <text>“Postfile mediation” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(22)"> <text>“Prefile mediation” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(23)"> <text>“Preliminary loss mitigation affidavit” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(24)"> <text>“Record owner” has the meaning stated in Maryland Rule 14-202(n).</text> </paragraph> <paragraph num="(25)"> <text>Representative of the Secured Party.</text> <paragraph num="(a)"> <text>“Representative of the secured party” means a person who has representative authority to perform the duties and responsibilities of the secured party.</text> </paragraph> <paragraph num="(b)"> <text>“Representative of the secured party” does not include an attorney acting solely as legal counsel on behalf of the secured party or on behalf of the representative of the secured party, unless specifically authorized to perform the duties and responsibilities of the secured party.</text> </paragraph> <paragraph num="(c)"> <text>“Representative of the secured party” includes an attorney acting as trustee under a deed of trust.</text> </paragraph> </paragraph> <paragraph num="(26)"> <text>“Residential property” has the meaning stated in Real Property Article, §7-105.1(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(27)"> <text>“Secured party” has the meaning stated in Maryland Rule 14-202(q).</text> </paragraph> <paragraph num="(28)"> <text>Single Family Dwelling Unit.</text> <paragraph num="(a)"> <text>“Single family dwelling unit” means a structure principally designed for the residential habitation of one family.</text> </paragraph> <paragraph num="(b)"> <text>“Single family dwelling unit” includes an individual residential condominium unit within a larger structure or complex, regardless of the total number of individual units in that structure or complex.</text> </paragraph> <paragraph num="(c)"> <text>“Single family dwelling unit” does not include a structure that:</text> <paragraph num="(i)"> <text>Is not intended, and has never been used, for human habitation; or</text> </paragraph> <paragraph num="(ii)"> <text>Is intended for human habitation and has never been occupied and for which a use and occupancy permit, if required, has never been issued.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(29)"> <text>“Unique identifier” has the meaning stated in Financial Institutions Article, §11-601, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(30)"> <text>“Vacant and abandoned” means a finding by the appropriate circuit court that a residential property is vacant and abandoned pursuant to Real Property Article, §7-105.18(c), Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Notice of Intent to Foreclose."> <paragraph num="A."> <text>Subject to §§F, G, and H of this regulation, a person required to send a notice of intent to foreclose under Real Property Article, §7-105.1, Annotated Code of Maryland, shall send a notice of intent to foreclose, which shall fully conform with §B, C, or D of this regulation.</text> </paragraph> <paragraph num="B."> <text>Owner-Occupied Residential Property.</text> <paragraph num="(1)"> <text>Subject to §C of this regulation, a notice of intent to foreclose on owner-occupied residential property shall be in a form substantially similar to that in:</text> <paragraph num="(a)"> <text>Appendix A of this regulation if the loan is not a federally related mortgage loan;</text> </paragraph> <paragraph num="(b)"> <text>Appendix A-f of this regulation if the loan is a federally related mortgage loan; or</text> </paragraph> <paragraph num="(c)"> <text>With respect to a notice of intent to foreclose from a secured party offering prefile mediation for a loan that is not a federally related mortgage loan, Appendix A-1 of this regulation, as follows:</text> <paragraph num="(i)"> <text>Appendix A-1 shall be accompanied in the same envelope or package by the packets of documents and forms substantially similar to Schedule 1 (Prefile Mediation Packet) and Schedule 2 (Loss Mitigation Packet) of Appendix A-1 of this regulation.</text> </paragraph> <paragraph num="(ii)"> <text>Each of the documents and forms constituting Appendix A-1, Schedule 1, and Schedule 2 as required under subparagraph (i) of this paragraph shall be in the sequence of documents and forms presented in Appendix A-1, Schedule 1, and Schedule 2, respectively of this regulation. Appendix A-1 shall be the first in the sequence. Schedule 1 shall be the second in the sequence and shall be directly behind Appendix A-1. Schedule 2 shall be the third in the sequence and shall be directly behind Schedule 1. Appendix A-1, Schedule 1, and Schedule 2 shall be separated from each other by any reasonable method that ensures that the borrower can identify the forms and documents constituting each of Appendix A-1, Schedule 1, and Schedule 2.</text> </paragraph> <paragraph num="(iii)"> <text>The Loss Mitigation Application and Instruction required in Schedule 2 of Appendix A-1 may be in the form authorized under Regulation .03 of this chapter.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>With respect to a notice of intent to foreclose from a secured party offering prefile mediation for a loan that is a federally related mortgage loan, Appendix A-1(f) of this regulation, as follows:</text> <paragraph num="(i)"> <text>Appendix A-1(f) shall be accompanied in the same envelope or package by the packets of documents and forms substantially similar to Schedule 1 (Prefile Mediation Packet) and Schedule 2 (Loss Mitigation Packet) of Appendix A-1(f) of this regulation.</text> </paragraph> <paragraph num="(ii)"> <text>Each of the documents and forms constituting Appendix A-1(f), Schedule 1, and Schedule 2 as required under subparagraph (i) of this paragraph shall be in the sequence of documents and forms presented in Appendix A-1(f), Schedule 1, and Schedule 2, respectively. Appendix A-1(f) shall be the first in the sequence. Schedule 1 shall be the second in the sequence and shall be directly behind Appendix A-1(f), Schedule 2 shall be the third in the sequence and shall be directly behind Schedule 1. Appendix A-1(f), Schedule 1, and Schedule 2 shall be separated from each other by any reasonable method that ensures that the borrower can identify the forms and documents constituting each of Appendix A-1(f), Schedule 1, and Schedule 2.</text> </paragraph> <paragraph num="(iii)"> <text>The Loss Mitigation Application and Instruction required in Schedule 2(f) of Appendix A-1(f) may be in the form authorized under Regulation .03 of this chapter.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>For purposes of the notice set forth in §B(1) of this regulation, the names and license numbers of mortgage lender licensees and mortgage loan originator licensees are required to be included in the notice only if this information is included on or recorded with the security instrument securing the mortgage loan related to the notice, or is otherwise known to the person sending the notice. The person sending the notice set forth in §B(1) of this regulation may satisfy the requirement to include the license number of the mortgage lender licensee and mortgage loan originator licensee by including the NMLS unique identifier. If the mortgage lender was exempt from licensure under Financial Institutions Article, §11-501 et seq., Annotated Code of Maryland, at the time the mortgage loan was made, then a mortgage lender license number is not required under this section. If the mortgage loan originator was exempt from licensure under Financial Institutions Article, §11-601 et seq., Annotated Code of Maryland, at the time the mortgage loan was originated, then a mortgage lender license number is not required under this section.</text> </paragraph> <paragraph num="(3)"> <text>The notice of intent to foreclose shall be accompanied in the same envelope or package by:</text> <paragraph num="(a)"> <text>A loss mitigation application for loss mitigation programs that are applicable to the loan secured by the mortgage or deed of trust that is the subject of the notice. If the secured party does not have its own loss mitigation application, the secured party shall use the form of loss mitigation application set forth in Regulation .03 of this chapter;</text> </paragraph> <paragraph num="(b)"> <text>Instructions for completing the loss mitigation application with a telephone number to call to confirm receipt by the secured party, or representative of the secured party, of the completed application;</text> </paragraph> <paragraph num="(c)"> <text>A description of the eligibility requirements for the loss mitigation programs offered by the secured party that may be applicable to the loan secured by the mortgage or deed of trust that is the subject of the notice. If the mortgage loan is owned, securitized, insured, or guaranteed by the Federal National Mortgage Association, Federal Home Loan Mortgage Corporation, or Federal Housing Administration, providing documentation to the borrower as required by those programs satisfies the requirement to provide a description of the eligibility requirement for the applicable loss mitigation program; and</text> </paragraph> <paragraph num="(d)"> <text>An addressed envelope in conformity with Regulation .10 of this chapter addressed to the person (an individual, a group of individuals, or a department such a “loss mitigation department”) responsible for conducting the loss mitigation analysis on behalf of the secured party for the mortgage loan.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>If the basis for the authority to foreclose on the owner-occupied residential property is a homeowners’ association lien, condominium association lien, mechanic’s lien, a similar statutory or contractual lien, or a basis other than a mortgage loan default, a notice of intent to foreclose shall be in a form substantially similar to that in Appendix B of this regulation.</text> </paragraph> <paragraph num="D."> <text>Not an Owner-Occupied Residential Property.</text> <paragraph num="(1)"> <text>A notice of intent to foreclose on residential property that is not an owner-occupied residential property shall be in a form substantially similar to that in Appendix C of this chapter if the loan is not a federally related mortgage loan.</text> </paragraph> <paragraph num="(2)"> <text>A notice of intent to foreclose on residential property that is not an owner-occupied residential property shall be in a form substantially similar to that in Appendix C(f) of this chapter if the loan is a federally related mortgage loan.</text> </paragraph> <paragraph num="(3)"> <text>A notice of intent to foreclose under §D(1) or (2) of this regulation shall be sent to the borrower and record owner only if the secured party, or representative of the secured party, has a reasonable belief that the residential property is not owner-occupied residential property.</text> </paragraph> <paragraph num="(4)"> <text>If the borrower or record owner contests the determination that the residential property is not owner-occupied residential property, and it is determined that the residential property is owner-occupied residential property, the secured party shall send the appropriate notice of intent to foreclose in compliance with Real Property Article, §7-105.1, Annotated Code of Maryland, and this regulation.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Any notice of intent to foreclose under this regulation may include a separate addendum, sequenced at the end of the notice of intent to foreclose, with any additional information, notice, or advice required as a prerequisite to commencing foreclosure by the terms of the deed of trust or mortgage that is the subject of the notice, government regulatory guidelines applicable to such deed of trust or mortgage or by the servicer, investor, or insurer of such deed of trust or mortgage, provided the additional information, notice, or advice does not contradict any information required to be contained in the notice of intent to foreclose.</text> </paragraph> <paragraph num="F."> <text>Filing Electronically. A person required to send the Commissioner a copy of a notice of intent to foreclose under Real Property Article, §7-105.1, Annotated Code of Maryland, shall meet that requirement by making an electronic submission within 5 business days of mailing a notice of intent to foreclose through the Maryland Foreclosure Registration System (the “System”). A link to the System is available on the Commissioner’s website at http://www.labor.maryland.gov/finance.</text> </paragraph> <paragraph num="G."> <text>The secured party, or representative of the secured party, shall include all information required in a form provided for under §B, C, or D of this regulation in the spaces indicated by brackets and blank lines.</text> </paragraph> <paragraph num="H."> <text>A notice of intent to foreclose that is sent in compliance with Real Property Article, §7-105.1, Annotated Code of Maryland, and is otherwise valid under the law, shall expire and will not be effective:</text> <paragraph num="(1)"> <text>If, after 1 year from the date on which it is sent to the borrower, an action to foreclose the mortgage or deed of trust pursuant to such notice of intent to foreclose has not been filed;</text> </paragraph> <paragraph num="(2)"> <text>If an action to foreclose the mortgage or deed of trust filed pursuant to such notice of intent to foreclose is dismissed by the appropriate adjudicative body;</text> </paragraph> <paragraph num="(3)"> <text>If the borrower cures the default described in the notice of intent to foreclose and becomes current on payment, whether pursuant to the terms of the mortgage or deed of trust or a loss mitigation agreement entered into by the parties;</text> </paragraph> <paragraph num="(4)"> <text>As provided for in Real Property Article, §7-105.1(d)(18), Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(5)"> <text>As provided for in §D(4) of this regulation.</text> </paragraph> </paragraph> <paragraph num="I."> <text>If a notice of intent to foreclosure expires and becomes ineffective as provided for in §H(1) of this regulation, the secured party shall send a new notice of intent to foreclose in compliance with Real Property Article, §7-105.1, Annotated Code of Maryland, and this regulation prior to filing an action to foreclose a mortgage or deed of trust on residential property.</text> </paragraph> <paragraph num="J."> <text>The Commissioner shall retain an electronic copy of all submissions made on the System for at least 6 months.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Loss Mitigation Application and Instructions."> <text>A secured party, or representative of the secured party, that does not have its own loss mitigation application shall use a loss mitigation application in a form substantially similar to that in Appendix G of this chapter.</text> <text>APPENDIX G IS AT THE END OF CHAPTER.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Prefile Mediation Process."> <paragraph num="A."> <text>A borrower who elects to accept a secured party's offer to participate in prefile mediation in accordance with Real Property Article §7-105.1, Annotated Code of Maryland, shall send to the secured party or the identified representative of the secured party the completed and signed application for prefile mediation included in Schedule 1 to Appendix A-1 within 25 days after the date on which the notice of intent to foreclose was mailed by the secured party. The instructions for the prefile mediation application shall include a telephone number to confirm receipt by the secured party or the secured party's representative of the application.</text> </paragraph> <paragraph num="B."> <text>Within 5 business days after the date on which the secured party or the identified representative of the secured party receives an application for prefile mediation from a borrower, the secured party or the representative of the secured party shall notify the Office of Administrative Hearings that the borrower has submitted an application for prefile mediation. The notification shall be in a form substantially similar to that in Appendix I of this regulation.</text> </paragraph> <paragraph num="C."> <text>The obligation of the Office of Administrative Hearings to schedule a mediation session arises upon the receipt of notice from the secured party required under §B of this regulation.</text> </paragraph> <paragraph num="D."> <text>The Office of Administrative Hearings shall conduct the mediation session within 60 days after the receipt of the notice required under §B of this regulation from the secured party unless a postponement, requested in accordance with Appendix OAH-2 of this chapter, is granted.</text> </paragraph> <paragraph num="E."> <text>The total fee for prefile mediation is $1. In accordance with instructions from the Department of Housing and Community Development, the secured party shall pay the full amount of the prefile mediation fee to the Housing Counseling and Foreclosure Mediation Fund established under Housing and Community Development Article, §4-507, Annotated Code of Maryland. The secured party may elect to pay the prefile mediation fee on behalf of the homeowner or collect all or any portion of the fee as part of the resolution of the mortgage loan through prefile mediation or foreclosure, as applicable.</text> </paragraph> <paragraph num="F."> <text>Good Faith and Fair Dealing. The secured party, or any representative of the secured party, has a duty of good faith and fair dealing in its participation at a prefile foreclosure mediation, including, but not limited to:</text> <paragraph num="(1)"> <text>Providing the borrower with an accurate accounting of the debt owed;</text> </paragraph> <paragraph num="(2)"> <text>Making the borrower aware of all loss mitigation options and services offered by the secured party; and</text> </paragraph> <paragraph num="(3)"> <text>Pursuing loss mitigation when reasonably possible.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Preliminary Loss Mitigation Affidavit."> <paragraph num="A."> <text>Subject to §B of this regulation, a preliminary loss mitigation affidavit required by Real Property Article, §7-105.1(h)(3), Annotated Code of Maryland, and this chapter shall be in a form substantially similar to that in Appendix D of this regulation.</text> </paragraph> <paragraph num="B."> <text>The secured party, or representative of the secured party, shall include all information required in the form provided for under §A of this regulation in the spaces indicated by blank lines.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Final Loss Mitigation Affidavit."> <paragraph num="A."> <text>Subject to §B of this regulation, a final loss mitigation affidavit required by Real Property Article, §7-105.1(h)(4), Annotated Code of Maryland, and this chapter shall be in a form substantially similar to that in Appendix E of this regulation.</text> </paragraph> <paragraph num="B."> <text>The secured party, or representative of the secured party, shall include all information required in the form provided for under §A of this regulation in the spaces indicated by blank lines.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Notice of Foreclosure Action."> <paragraph num="A."> <text>Notice of Foreclosure Action to Accompany a Preliminary Loss Mitigation Affidavit.</text> <paragraph num="(1)"> <text>A form substantially similar to that in Appendix H-1 of this regulation shall be used to comply with the notice of filing requirement when accompanying a preliminary loss mitigation affidavit, as well as an order to docket or complaint to foreclose, as required by Real Property Article, §7-105.1, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>The form used under this regulation to comply with the notice of filing requirement to accompany a preliminary loss mitigation affidavit shall be the first in the sequence of papers and documents in the packet sent to the borrower.</text> </paragraph> <paragraph num="(3)"> <text>The preliminary loss mitigation affidavit shall be the second in the sequence of papers and documents in the packet sent to the borrower and shall be directly behind the form used under this section.</text> </paragraph> <paragraph num="(4)"> <text>The remainder of the papers and documents in the packet sent to the borrower may be in any other sequence.</text> </paragraph> <paragraph num="(5)"> <text>The sequence requirements of §A(2) and (3) of this regulation apply only to the papers and documents sent to the borrower.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Notice of Foreclosure Action to Accompany a Final Loss Mitigation Affidavit.</text> <paragraph num="(1)"> <text>A form substantially similar to that in Appendix H-2 of this regulation shall be used to comply with the notice of filing requirement when accompanying a final loss mitigation affidavit and the form used under this chapter to request postfile mediation, as well as an order to docket or complaint to foreclose, as required by Real Property Article, §7-105.1, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>The form used under this section to comply with the notice of filing requirement to accompany a final loss mitigation affidavit shall be the first in the sequence of papers and documents in the packet sent to the borrower, and shall be on yellow paper.</text> </paragraph> <paragraph num="(3)"> <text>The form used under this chapter to request postfile mediation shall be the second in the sequence of papers and documents in the packet sent to the borrower and shall be directly behind the form used under this section.</text> </paragraph> <paragraph num="(4)"> <text>The final loss mitigation affidavit shall be the third in the sequence of papers and documents in the packet sent to the borrower and shall be directly behind the form used under this chapter to request postfile mediation.</text> </paragraph> <paragraph num="(5)"> <text>The remainder of the papers and documents in the packet sent to the borrower may be in any other sequence.</text> </paragraph> <paragraph num="(6)"> <text>The sequence requirements of §B(2), (3), and (4) of this regulation apply only to the papers and documents sent to the borrower.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Notice of Foreclosure Action with Respect to Borrowers Who Have Participated in Prefile Mediation.</text> <paragraph num="(1)"> <text>A form substantially similar to that in Appendix H-3 of this regulation shall be used to comply with the notice of filing requirement when accompanying an order to docket or complaint to foreclose for owner-occupied residential property with respect to which the borrower has participated in prefile mediation that has not resulted in a prefile mediation agreement, as required by Real Property Article, §7-105.1, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>A form substantially similar to that in Appendix H-4 of this regulation shall be used to comply with the notice of filing requirement when accompanying an order to docket or complaint to foreclose for owner-occupied residential property with respect to which the borrower has participated in prefile mediation that has resulted in a prefile mediation agreement, as required by Real Property Article, §7-105.1, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Notice of Foreclosure Action for Non Owner-Occupied Properties. A form substantially similar to that in Appendix H-5 of this regulation shall be used to comply with the notice of foreclosure action requirement when accompanying an order to docket or complaint to foreclose with respect to a property that is not an owner-occupied residential property, as required by Real Property Article, §7-105.1, Annotated Code of Maryland.</text> </paragraph> <paragraph num="E."> <text>Notice of Foreclosure Action Based on a Certificate of Vacancy or a Certificate of Property Unfit for Human Habitation.</text> <paragraph num="(1)"> <text>A form substantially similar to that in Appendix H-6 of this regulation shall be used to comply with the notice of filing requirement when accompanying an order to docket or complaint to foreclose based on a certificate of vacancy or a certificate of property unfit for human habitation pursuant to Real Property Article, §7-105.13, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>The form used under this section to comply with the notice of filing requirement based on a certificate of vacancy or a certificate of property unfit for human habitation shall be the first in the sequence of papers and documents in the packet sent to the borrower, and shall be on yellow paper.</text> </paragraph> <paragraph num="(3)"> <text>The form used under this chapter to describe the procedure to challenge a certificate of vacancy or certificate of property unfit for human habitation shall be the second in the sequence of papers and documents in the packet sent to the borrower and shall be directly behind the form used under this section.</text> </paragraph> <paragraph num="(4)"> <text>The form used under this chapter to make a challenge to a certificate of vacancy or certificate of property unfit for human habitation shall be the third in the sequence of papers and documents in the packet sent to the borrower and shall be directly behind the form used to describe the procedure to challenge a certificate of vacancy or certificate of property unfit for human habitation.</text> </paragraph> <paragraph num="(5)"> <text>The remainder of the papers and documents in the packet sent to the borrower may be in any other sequence.</text> </paragraph> <paragraph num="(6)"> <text>The sequence requirements of §E(2), (3), and (4) of this regulation apply only to the papers and documents sent to the borrower.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Notice of Foreclosure Action with Respect to Properties Found to Be Vacant and Abandoned. A form substantially similar to that in Appendix H-7 of this regulation shall be used to comply with the notice of filing requirement when accompanying an order to docket or complaint to foreclose with respect to a property that is vacant and abandoned.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Postfile Foreclosure Mediation."> <paragraph num="A."> <text>Subject to §B of this regulation, a request for postfile mediation required by Real Property Article, §7-105.1(h)(4), Annotated Code of Maryland, and this chapter shall be in a form substantially similar to that in Appendix F of this regulation.</text> </paragraph> <paragraph num="B."> <text>The secured party, or representative of the secured party, shall include all information required in the form provided for under §A of this regulation in the spaces indicated by blank lines.</text> </paragraph> <paragraph num="C."> <text>Good Faith and Fair Dealing. The secured party, or any representative of the secured party, has a duty of good faith and fair dealing in its participation at a postfile foreclosure mediation, including, but not limited to:</text> <paragraph num="(1)"> <text>Providing the borrower with an accurate accounting of the debt owed;</text> </paragraph> <paragraph num="(2)"> <text>Making the borrower aware of all loss mitigation options and services offered by the secured party; and</text> </paragraph> <paragraph num="(3)"> <text>Pursuing loss mitigation when reasonably possible.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Office of Administrative Hearings."> <paragraph num="A."> <text>Borrower Information Worksheet and Instructions.</text> <paragraph num="(1)"> <text>With respect to a scheduled prefile mediation session, the Office of Administrative Hearings shall provide the Borrower(s) Information Worksheet and the instructions regarding the documents and information that must be provided by each party to the other and to the Office of Administrative Hearings in a form substantially similar to that in Appendix OAH-1 of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>With respect to a scheduled postfile mediation session, the Office of Administrative Hearings shall provide the Borrower(s) Information Worksheet and the instructions regarding the documents and information that must be provided by each party to the other and to the Office of Administrative Hearings in a form substantially similar to that in Appendix OAH-2 of this regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Housing Counseling.</text> <paragraph num="(1)"> <text>The certification of housing counseling shall be in the form, and shall be delivered to the Office of Administrative Hearings at the time, required by COMAR 05.19.02.02.</text> </paragraph> <paragraph num="(2)"> <text>At the option of the secured party, a borrower who fails to deliver the housing counseling certification may sign a borrower certification of housing counseling in a form substantially similar to that in Appendix OAH-5 of this regulation.</text> </paragraph> <paragraph num="(3)"> <text>At the option of the secured party, the secured party may waive the housing counseling certification at the prefile mediation session by signing the waiver of housing counseling in a form substantially similar to that in Appendix OAH-6 of this regulation.</text> </paragraph> <paragraph num="(4)"> <text>Housing counseling services provided in accordance with Real Property Article, §7-105.1(d)(10), Annotated Code of Maryland, shall comply with the National Industry Standards for Foreclosure Counseling created by the Advisory Council for the National Industry Standards for Homeownership Education and Counseling.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Mediation Checklist.</text> <paragraph num="(1)"> <text>The mediation checklist required by Real Property Article, §7-105.1(d)(10), Annotated Code of Maryland, to be used in a prefile mediation shall be in a form substantially similar to that in Appendix OAH-3 of this regulation and may, as applicable, include Appendix OAH-5 or Appendix OAH-6 of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The mediation checklist required by Real Property Article, §7-105.1(l), Annotated Code of Maryland, to be used in a postfile mediation shall be in a form substantially similar to that in Appendix OAH-4 of this regulation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Designee Language. Each mediation agreement resulting from prefile mediation shall include the following statements in 14 point, bold type:</text> </paragraph> <paragraph num="E."> <text>Appearance.</text> <paragraph num="(1)"> <text>At a scheduled foreclosure mediation, the secured party, or a representative of the secured party, shall be present in person or by telephonic means for the entirety of the foreclosure mediation in accordance with COMAR 28.02.01.20B.</text> </paragraph> <paragraph num="(2)"> <text>If the secured party, or a representative of the secured party, fails to appear for the entirety of the foreclosure mediation, then the secured party shall be deemed to have failed to appear pursuant to COMAR 28.02.01.23.</text> </paragraph> <paragraph num="(3)"> <text>In the case of postfile mediation, if the mediator determines that a party fails to appear at a scheduled foreclosure mediation, then the mediator shall file a notice with the appropriate circuit court stating such a finding.</text> </paragraph> <paragraph num="(4)"> <text>If the secured party, itself or through a representative of the secured party, is found by the mediator to have failed to appear at a scheduled foreclosure mediation, then the secured party may not schedule a foreclosure sale until:</text> <paragraph num="(a)"> <text>The secured party, or a representative of the secured party, appears and participates in a foreclosure mediation;</text> </paragraph> <paragraph num="(b)"> <text>The borrower withdraws the borrowers’ request to participate in the foreclosure mediation; or</text> </paragraph> <paragraph num="(c)"> <text>The foreclosure action has been dismissed and a new foreclosure action is filed in full compliance with State law and this chapter.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Mediation Documents and Information.</text> <paragraph num="(1)"> <text>The Commissioner may allow the submission of information and documents required for the foreclosure mediation under this regulation by an electronic method.</text> </paragraph> <paragraph num="(2)"> <text>Documents and information provided by one party to another and to the Office of Administrative Hearing as provided for in this regulation, shall be furnished timely and in an accessible and legible format.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Postfile Mediation Agreement Terms. If the postfile mediation results in an agreement, including a conditional agreement, the Office of Administrative Hearings shall draft the postfile mediation agreement term sheet during the mediation session, and, at the conclusion of a postfile mediation session, the mediator and each party shall sign the term sheet.</text> </paragraph> <paragraph num="H."> <text>Mediation Outcome.</text> <paragraph num="(1)"> <text>Pursuant to the time frame provided for in Real Property Article, §7-105.1(l)(4), Annotated Code of Maryland, the Office of Administrative Hearings shall file a report with the court that states the outcome of the request for foreclosure mediation that will include:</text> <paragraph num="(a)"> <text>A statement as to whether the postfile mediation was held and, if not, the reasons why it was not held;</text> </paragraph> <paragraph num="(b)"> <text>If applicable, a copy of the mediation checklist as provided for in this regulation; and</text> </paragraph> <paragraph num="(c)"> <text>If applicable, the documented postfile mediation agreement term sheet provided for in §G of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Office of Administrative Hearings shall furnish a copy of the report provided for in Real Property Article, §7-105.1(l)(4), Annotated Code of Maryland, as described in this section, to each party that appears at the mediation.</text> </paragraph> <paragraph num="(3)"> <text>The contents of the report filed by the Office of Administrative Hearings pursuant to Real Property Article, §7-105.1(l)(4), Annotated Code of Maryland, shall be privileged.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Addressed Envelope."> <paragraph num="A."> <text>The following addressed envelopes are required by this chapter and shall be in the form and include the information set forth in this regulation.</text> </paragraph> <paragraph num="B."> <text>Required Addressed Envelopes.</text> <paragraph num="(1)"> <text>An addressed envelope accompanying the Notice of Intent to Foreclose shall be directed to the person responsible for conducting loss mitigation analysis on behalf of the secured party (the person may be an individual, a group of individuals, or a department such as a “loss mitigation department”).</text> </paragraph> <paragraph num="(2)"> <text>An addressed envelope accompanying the Preliminary Loss Mitigation Affidavit (if applicable) shall be directed to the foreclosure attorney handling the foreclosure on behalf of the secured party.</text> </paragraph> <paragraph num="(3)"> <text>The two addressed envelopes accompanying the Final Loss Mitigation Affidavit shall include:</text> <paragraph num="(a)"> <text>In the case of the addressed envelope to be mailed to the clerk of the court with a request for postfile mediation:</text> <paragraph num="(i)"> <text>The address of the Clerk of the Court; and</text> </paragraph> <paragraph num="(ii)"> <text>The words “Request for Foreclosure Mediation” on the face of the addressed envelope in at least 14-point bold type; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>For the addressed envelope to be mailed to the foreclosure attorney in connection with a request for postfile mediation, the address of the foreclosure attorney handling the foreclosure on behalf of the secured party.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>A copy of any addressed envelope described in this regulation need not be filed with the Clerk of the Court.</text> </paragraph> <paragraph num="D."> <text>A secured party or representative of a secured party may include with Appendix A-1 addressed envelopes for any necessary notices or mailings by the borrower.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Time."> <text>In computing any period of time prescribed by this chapter, Maryland Rule 1-203 shall apply.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Filing of Duplicate Forms."> <text>Any affidavit, application, or other form submitted to a circuit court as required by this chapter may be a duplicate of the original affidavit, application, or other form.</text> </regulation> <regulation prefix="Regulation" num=".13" heading="Challenges to Certificates of Vacancy or Certificates of Unfitness for Human Habitation."> <paragraph num="A."> <text>A form substantially similar to that in Appendix J of this regulation shall be used to comply with the requirement to provide a description of the procedure to challenge a certificate of vacancy or certificate of property unfit for human habitation when accompanying an order to docket or complaint to foreclose based on a certificate of vacancy or a certificate of property unfit for human habitation pursuant to Real Property Article, §7-105.13, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>A form substantially similar to that in Appendix K of this regulation shall be used to comply with the requirement to provide the form to be used to make a challenge to a certificate of vacancy or certificate of property unfit for human habitation when accompanying an order to docket or complaint to foreclose based on a certificate of vacancy or a certificate of property unfit for human habitation pursuant to Real Property Article, §7-105.13, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Enforcement."> <text>The Commissioner may enforce the provisions of this chapter by exercising any of the powers provided under Financial Institutions Article, §§2-114—2-116, Annotated Code of Maryland.</text> </regulation> <annotations> <annotation type="Authority">Financial Institutions Article, §2-105.1; Real Property Article, §§7-105.1, 7-105.13, 7-105.14, and 7-105.18, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 29, 2008 (35:26 Md. R. 2248)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective March 15, 2010 (37:5 Md. R. 428)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective March 15, 2010 (37:5 Md. R. 428)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised as an emergency provision effective July 1, 2010 (37:15 Md. R. 986); emergency provision extended to 6/24/2011 (38:2 Md. R. 79); emergency provision extended to 11/24/2011 (38:14 Md. R. 787)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C amended as an emergency provision effective November 26, 2010 (37:26 Md. R. 1784); emergency provision extended to 10/24/2011 (38:9 Md. R. 551); emergency provision expired</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 repealed and new Regulations .01—.12 adopted as an emergency provision effective October 25, 2011 (38:23 Md. R. 1416); emergency provision extended to July 30, 2012 (39:3 Md. R. 256); emergency provision extended to January 15, 2013 (39:15 Md. R. 961); emergency provision expired October 1, 2012 (39:21 Md. R. 1376)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 repealed and new Regulations .01—.12 adopted as an emergency provision effective October 1, 2012 (39:21 Md. R. 1376); adopted permanently effective January 7, 2013 (39:26 Md. R. 1663)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective February 1, 2015 (41:25 Md. R. 1552); July 3, 2017 (44:13 Md. R. 621); November 6, 2017 (44:22 Md. R. 633)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective July 3, 2017 (44:13 Md. R. 621)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B, D amended effective February 1, 2015 (41:25 Md. R. 1552)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08E adopted effective November 6, 2017 (44:22 Md. R. 1037)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09E amended effective July 1, 2016 (43:11 Md. R. 633)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective March 1, 2023 (49:26 Md. R. 1078)</annotation> </annotations> </chapter> <chapter num="13" heading="State Collection Agency Licensing Board — Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§7-302 and 7-302.1, Annotated Code of Maryland. In particular, it is intended to set license-related fees to cover the actual documented direct and indirect costs of regulating collection agencies in accordance with the provisions of Business Regulation Article, Title 7, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Fees."> <paragraph num="A."> <text>Initial License Fee. The initial license fee required by Business Regulation Article, §§7-302(a) and 7-302.1, Annotated Code of Maryland, is $350 for a 1-year license term.</text> </paragraph> <paragraph num="B."> <text>Renewal Fee. The renewal fee required by Business Regulation Article, §7-306(b)(2), Annotated Code of Maryland, is $350 for a 1-year renewal term.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, Title 7, Subtitle 1 and §§7-302, 7-302.1, and 7-306, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 3, 2011 (38:19 Md. R. 1147)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective July 2, 2018 (45:13 Md. R. 664)</annotation> </annotations> </chapter> <chapter num="14" heading="Money Transmitters"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Acting in concert” means persons knowingly acting together with a common goal of jointly acquiring control of a licensee whether or not pursuant to an express agreement.</text> </paragraph> <paragraph num="(2)"> <text>“Authorized delegate” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(3)"> <text>“Bank Secrecy Act” means the Bank Secrecy Act, 31 U.S.C. §5311, et seq. and its implementing regulations, as amended and recodified from time to time.</text> </paragraph> <paragraph num="(4)"> <text>“Closed loop stored value” means stored value that is redeemable by the issuer only for goods or services provided by the issuer or its affiliate or franchisees of the issuer or its affiliate, except to the extent required by applicable law to be redeemable in cash for its cash value.</text> </paragraph> <paragraph num="(5)"> <text>“Control” means:</text> <paragraph num="(a)"> <text>The power to vote, directly or indirectly, at least 25 percent of the outstanding voting shares or voting interests of a licensee or person in control of a licensee;</text> </paragraph> <paragraph num="(b)"> <text>The power to elect or appoint a majority of key individuals or executive officers, managers, directors, trustees, or other persons exercising managerial authority of a person in control of a licensee; or</text> </paragraph> <paragraph num="(c)"> <text>The power to exercise, directly or indirectly, a controlling influence over the management or policies of a licensee or person in control of a licensee.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Corporate governance” means the management structure of the licensee and the processes by which the business is managed, including the corporate controls, rules, policies, processes, and practices used to oversee and manage the institution.</text> </paragraph> <paragraph num="(7)"> <text>“Eligible rating” means a credit rating of any of the three highest rating categories provided by an eligible rating service, whereby each category may include rating category modifiers such as “plus” or “minus” for S&P, or the equivalent for any other eligible rating service.</text> </paragraph> <paragraph num="(8)"> <text>“Eligible rating service” means any Nationally Recognized Statistical Rating Organization (NRSRO) as defined by the U.S. Securities and Exchange Commission, and any other organization designated by the Commissioner.</text> </paragraph> <paragraph num="(9)"> <text>“External audit” means the formal report prepared by an independent certified public accountant expressing an opinion on whether the financial statements are presented fairly, in all material aspects, in accordance with the applicable financial reporting framework, and is inclusive of an evaluation of the adequacy of a company’s internal control structure.</text> </paragraph> <paragraph num="(10)"> <text>“Federally insured depository financial institution” means a bank, credit union, savings and loan association, trust company, savings association, savings bank, industrial bank, or industrial loan company organized under the laws of the United States or any state of the United States, if that bank, credit union, savings and loan association, trust company, savings association, savings bank, industrial bank, or industrial loan company has federally insured deposits.</text> </paragraph> <paragraph num="(11)"> <text>“In this State” means:</text> <paragraph num="(a)"> <text>For a transaction requested in person, at a physical location within Maryland; and</text> </paragraph> <paragraph num="(b)"> <text>For a transaction requested electronically or by phone, the provider of money transmission may determine if the person requesting the transaction is “in this State” by relying on other information provided by the person regarding the location of the individual’s residential address or a business entity’s principal place of business or other physical address location, and any records associated with the person that the provider of money transmission may have that indicate that location, including but not limited to an address associated with an account.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Individual” means a natural person.</text> </paragraph> <paragraph num="(13)"> <text>“Internal audit” means the internal independent and objective assurance and consulting activity performed to evaluate and improve the effectiveness of a licensee’s operations, risk management, internal controls, and governance processes.</text> </paragraph> <paragraph num="(14)"> <text>“Key individual” means any individual ultimately responsible for establishing or directing policies and procedures of the licensee, such as an executive officer, manager, director, or trustee.</text> </paragraph> <paragraph num="(15)"> <text>“Licensee” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(16)"> <text>“Maryland Money Transmission Act” means Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(17)"> <text>“Material litigation” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(18)"> <text>“Monetary value” means a medium of exchange, whether or not redeemable in money.</text> </paragraph> <paragraph num="(19)"> <text>Money Transmission.</text> <paragraph num="(a)"> <text>“Money transmission” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Money transmission” includes a payroll processing service.</text> </paragraph> </paragraph> <paragraph num="(20)"> <text>“MSB accredited state” means a state agency that is accredited by the Conference of State Bank Supervisors and Money Transmitter Regulators Association for money transmission licensing and supervision.</text> </paragraph> <paragraph num="(21)"> <text>“Multistate licensing process” means any agreement entered into by and among state regulators relating to coordinated processing of applications for money transmission licenses, applications for the acquisition of control of a licensee, control determinations, or notice and information requirements for a change of key individuals.</text> </paragraph> <paragraph num="(22)"> <text>“NMLS” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(23)"> <text>“Outstanding money transmission obligations” has the meaning assigned to the term “outstanding money transmission” in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(24)"> <text>“Passive investor” means a person that:</text> <paragraph num="(a)"> <text>Does not have the power to elect a majority of key individuals or executive officers, managers, directors, trustees, or other persons exercising managerial authority of a person in control of a licensee;</text> </paragraph> <paragraph num="(b)"> <text>Is not employed by and does not have any managerial duties of the licensee or person in control of a licensee;</text> </paragraph> <paragraph num="(c)"> <text>Does not have the power to exercise, directly or indirectly, a controlling influence over the management or policies of a licensee or person in control of a licensee; and</text> </paragraph> <paragraph num="(d)"> <text>Either:</text> <paragraph num="(i)"> <text>Attests to §B(24)(a)—(c) of this regulation, in a form and in a medium prescribed by the Commissioner; or</text> </paragraph> <paragraph num="(ii)"> <text>Commits to the passivity characteristics of §B(24)(a)—(c) of this regulation in a written document.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(25)"> <text>Payment Instrument.</text> <paragraph num="(a)"> <text>“Payment instrument” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Payment instrument” does not include prepaid access or any instrument that is:</text> <paragraph num="(i)"> <text>Redeemable by the issuer only for goods or services provided by the issuer or its affiliate or franchisees of the issuer or its affiliate, except to the extent required by applicable law to be redeemable in cash for its cash value; or</text> </paragraph> <paragraph num="(ii)"> <text>Not sold to the public but issued and distributed as part of a loyalty, rewards, or promotional program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(26)"> <text>Payroll Processing Services.</text> <paragraph num="(a)"> <text>“Payroll processing services” means receiving money for transmission pursuant to a contract with a person to deliver wages or salaries, make payment of payroll taxes to state and federal agencies, make payments relating to employee benefit plans, or make distributions of other authorized deductions from wages or salaries.</text> </paragraph> <paragraph num="(b)"> <text>“Payroll processing services” does not include an employer performing payroll processing services on its own behalf or on behalf of its affiliate.</text> </paragraph> </paragraph> <paragraph num="(27)"> <text>“Person” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(28)"> <text>Prepaid Access.</text> <paragraph num="(a)"> <text>“Prepaid access” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Prepaid access” includes, but is not limited to, “prepaid access” as defined by 31 CFR §1010.100, as amended or recodified from time to time.</text> </paragraph> <paragraph num="(c)"> <text>Prepaid access does not include a payment instrument or closed loop stored value, or stored value not sold to the public but issued and distributed as part of a loyalty, rewards, or promotional program.</text> </paragraph> </paragraph> <paragraph num="(29)"> <text>“Receiving money for transmission” or “money received for transmission” means receiving money or monetary value in the United States for transmission within or outside the United States by electronic or other means.</text> </paragraph> <paragraph num="(30)"> <text>“Risk management program” means the policies, procedures, and internal controls designed to identify, measure, monitor and mitigate risk.</text> </paragraph> <paragraph num="(31)"> <text>“Tangible net worth” means the aggregate assets of a licensee, excluding all intangible assets, less liabilities, as determined in accordance with United States generally accepted accounting principles.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Examination Fees."> <paragraph num="A."> <text>This chapter is intended to set fees to cover the reasonably incurred costs of examinations of a licensee or its authorized delegate pursuant to Financial Institutions Article, §12-424(c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>The Commissioner of Financial Regulation sets the following daily fees for each of the Commissioner's employees engaged in the examination of a licensee or its authorized delegate:</text> <paragraph num="(1)"> <text>$300 per day for an employee serving in a position of Financial Regulation Non-Depository Examiner in the Office of the Commissioner; and</text> </paragraph> <paragraph num="(2)"> <text>$375 per day for an employee serving in a position of Financial Regulation Non-Depository Examiner Supervisor in the Office of the Commissioner.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A licensee or its authorized delegate shall reimburse each of the Commissioner's employees engaged in on-site examination for travel, meal, lodging, and other related travel expenses using the criteria and at the rates set forth in the Standard State Travel Regulations.</text> </paragraph> <paragraph num="D."> <text>The revenues collected from the fees set pursuant to these regulations shall be deposited in the Money Transmission Fund pursuant to Financial Institutions Article, §12-404, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Persons Not Engaging in Money Transmission."> <paragraph num="A."> <text>In accordance with the Maryland Money Transmission Act, the following persons are not engaging in money transmission when engaging in the activities described:</text> <paragraph num="(1)"> <text>An operator of a payment system when providing processing, clearing, or settlement services, between or among persons exempted under the Maryland Money Transmission Act or licensees, in connection with wire transfers, credit card transactions, debit card transactions, stored-value transactions, automated clearing house transfers, or similar funds transfers.</text> </paragraph> <paragraph num="(2)"> <text>A person appointed as an agent of a payee when collecting and processing a payment from a payor to the payee for goods or services, other than money transmission itself, provided to the payor by the payee, if:</text> <paragraph num="(a)"> <text>There exists a written agreement between the payee and the agent directing the agent to collect and process payments from payors on the payee’s behalf;</text> </paragraph> <paragraph num="(b)"> <text>The terms of the written agreement required by §A(2)(a) of this regulation are consistent with a principal’s appointment of an agent under Maryland law;</text> </paragraph> <paragraph num="(c)"> <text>The payee holds the agent out to the public as accepting payments for goods or services on the payee’s behalf;</text> </paragraph> <paragraph num="(d)"> <text>Payment for the goods and services is treated as received by the payee upon receipt by the agent so that the payor’s obligation is extinguished and there is no risk of loss to the payor if the agent fails to remit the funds to the payee;</text> </paragraph> <paragraph num="(e)"> <text>The agent is not serving in an escrow capacity in connection with the transaction;</text> </paragraph> <paragraph num="(f)"> <text>The agent is not acting as agent to more than one party in the transaction; and</text> </paragraph> <paragraph num="(g)"> <text>Payment by the agent to the payee occurs promptly and is not conditioned on the occurrence of any future event or performance by any party to the transaction.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A person that acts as an intermediary by processing payments between an entity that has directly incurred an outstanding money transmission obligation to a sender, and the sender’s designated recipient, if that the entity:</text> <paragraph num="(a)"> <text>Is properly licensed or exempt from licensing requirements under the Maryland Money Transmission Act;</text> </paragraph> <paragraph num="(b)"> <text>Provides a receipt, electronic record, or other written confirmation to the sender identifying the entity as the provider of money transmission in the transaction; and</text> </paragraph> <paragraph num="(c)"> <text>Bears sole responsibility to satisfy the outstanding money transmission obligation to the sender, including the obligation to make the sender whole in connection with any failure to transmit the funds to the sender’s designated recipient.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A person expressly appointed as a third-party service provider to or agent of an entity exempt under the Maryland Money Transmission Act solely to the extent that:</text> <paragraph num="(a)"> <text>That service provider or agent is acting on behalf of and pursuant to a written agreement with the exempt entity sets forth the specific functions that the service provider or agent is to perform; and</text> </paragraph> <paragraph num="(b)"> <text>The exempt entity assumes all risk of loss and all legal responsibility for satisfying the outstanding money transmission obligations owed to purchasers and holders of the outstanding money transmission obligations upon receipt of the purchaser’s or holder’s money or monetary value by the service provider or agent.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>The Commissioner may require that any person claiming to be either exempt from licensing pursuant to the Maryland Money Transmission Act or engaging in one or more activities not constituting money transmission pursuant to §A of this regulation provide information and documentation to the Commissioner demonstrating that it qualifies for any claimed exemption or is not engaged in activities constituting money transmission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Relationship to Federal Law."> <paragraph num="A."> <text>If State money transmission jurisdiction is conditioned on a federal law, any inconsistencies between a provision of the Maryland Money Transmission Act and the federal law governing money transmission shall be governed by the applicable federal law to the extent of the inconsistency.</text> </paragraph> <paragraph num="B."> <text>If any inconsistencies exist between the Maryland Money Transmission Act and a federal law that governs pursuant to this regulation, the Commissioner may provide interpretive guidance that:</text> <paragraph num="(1)"> <text>Identifies the inconsistency; and</text> </paragraph> <paragraph num="(2)"> <text>Identifies the appropriate means of compliance with federal law.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Application for License."> <paragraph num="A."> <text>In addition to the requirements set forth in Financial Institutions Article, §12-407, Annotated Code of Maryland, applications for a license shall contain at a minimum and as applicable:</text> <paragraph num="(1)"> <text>The legal name and residential and business addresses of the applicant and any fictitious or trade name used by the applicant in conducting its business;</text> </paragraph> <paragraph num="(2)"> <text>A list of any criminal convictions of the applicant and any material litigation in which the applicant has been involved in the 10-year period next preceding the submission of the application;</text> </paragraph> <paragraph num="(3)"> <text>A description of any money transmission previously provided by the applicant and the money transmission that the applicant seeks to provide in this State;</text> </paragraph> <paragraph num="(4)"> <text>A list of the applicant’s proposed authorized delegates and the locations in this State where the applicant and its authorized delegates propose to engage in money transmission;</text> </paragraph> <paragraph num="(5)"> <text>A list of other states in which the applicant is licensed to engage in money transmission and any license revocations, suspensions, or other disciplinary action taken against the applicant in another state;</text> </paragraph> <paragraph num="(6)"> <text>Information concerning any bankruptcy or receivership proceedings affecting the licensee or a person in control of a licensee;</text> </paragraph> <paragraph num="(7)"> <text>A sample form of contract for authorized delegates, if applicable;</text> </paragraph> <paragraph num="(8)"> <text>A sample form of payment instrument or stored value, as applicable;</text> </paragraph> <paragraph num="(9)"> <text>The name and address of any federally insured depository financial institution through which the applicant plans to conduct money transmission; and</text> </paragraph> <paragraph num="(10)"> <text>Any other information the Commissioner reasonably requires with respect to the applicant.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In addition to the requirements set forth in Financial Institutions Article, §12-407, Annotated Code of Maryland, if an applicant is a corporation, limited liability company, partnership, or other legal entity, the applicant shall also provide:</text> <paragraph num="(1)"> <text>The date of the applicant’s incorporation or formation and state or country of incorporation or formation;</text> </paragraph> <paragraph num="(2)"> <text>If applicable, a certificate of good standing from the state or country in which the applicant is incorporated or formed;</text> </paragraph> <paragraph num="(3)"> <text>A brief description of the structure or organization of the applicant, including any parents or subsidiaries of the applicant, and whether any parents or subsidiaries are publicly traded;</text> </paragraph> <paragraph num="(4)"> <text>The legal name, any fictitious or trade name, all business and residential addresses, and the employment, as applicable, in the 3-year period next preceding the submission of the application of each key individual and person in control of the applicant;</text> </paragraph> <paragraph num="(5)"> <text>A list of any criminal convictions and material litigation in which a person in control of the applicant that is not an individual has been involved in the 3-year period preceding the submission of the application;</text> </paragraph> <paragraph num="(6)"> <text>A copy of audited financial statements of the applicant for the most recent fiscal year and for the 2-year period next preceding the submission of the application or, if the audited statements are not available for good cause and the Commissioner determines the Commissioner can make findings necessary to grant or deny the license, certified unaudited financial statements for the most recent fiscal year or other period acceptable to the Commissioner;</text> </paragraph> <paragraph num="(7)"> <text>A certified copy of unaudited financial statements of the applicant for the most recent fiscal quarter;</text> </paragraph> <paragraph num="(8)"> <text>If the applicant is a publicly traded corporation, a copy of the most recent report filed with the United States Securities and Exchange Commission under §13 of the federal Securities Exchange Act of 1934, 15 U.S.C. §78m, as amended or recodified from time to time;</text> </paragraph> <paragraph num="(9)"> <text>If the applicant is a wholly owned subsidiary of:</text> <paragraph num="(a)"> <text>A corporation publicly traded in the United States, a copy of audited financial statements for the parent corporation for the most recent fiscal year or a copy of the parent corporation’s most recent report filed under §13 of the U.S. Securities Exchange Act of 1934, 15 U.S.C. §78m, as amended or recodified from time to time; or</text> </paragraph> <paragraph num="(b)"> <text>A corporation publicly traded outside the United States, a copy of similar documentation filed with the regulator of the parent corporation’s domicile outside the United States;</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>The name and address of the applicant’s registered agent in this State; and</text> </paragraph> <paragraph num="(11)"> <text>Any other information the Commissioner reasonably requires with respect to the applicant.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Commissioner may waive or modify the requirement to produce audited financial statements in Financial Institutions Article, §12-407, Annotated Code of Maryland, if:</text> <paragraph num="(1)"> <text>The applicant cannot produce audited financial statements required by Financial Institutions Article, §12-407, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner determines good cause exists for the applicant’s inability to produce audited financial statements required by Financial Institutions Article, §12-407, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>The applicant produces certified unaudited financial statements for the most recent fiscal year or other period required by the Commissioner; and</text> </paragraph> <paragraph num="(4)"> <text>The Commissioner determines the Commissioner can make findings necessary to grant or deny the license based on all information presented.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Commissioner may waive one or more requirements of this regulation or permit an applicant to submit other information in lieu of the required information.</text> </paragraph> <paragraph num="E."> <text>Applications.</text> <paragraph num="(1)"> <text>The Commissioner shall approve or deny an application for an initial license, a renewal license, or a license amendment within 60 days after the Commissioner receives a completed application, including, if applicable, a surety bond and all required fees.</text> </paragraph> <paragraph num="(2)"> <text>If the Commissioner notifies an applicant that an application for an initial license, a renewal license, or a license amendment is incomplete, the Commissioner shall itemize the steps that the applicant must take to complete the application.</text> </paragraph> <paragraph num="(3)"> <text>The application for an initial license, a renewal license, or a license amendment may not be approved until after the applicant completes all steps identified in the Commissioner’s notice.</text> </paragraph> <paragraph num="(4)"> <text>If an application for an initial license, a renewal license, or license amendment is incomplete when submitted and remains incomplete, the Commissioner may stop processing and consider the incomplete application withdrawn, if the Commissioner has previously notified the applicant of the basis for incompleteness in accordance with §E(2) of this regulation, and given the applicant not less than 15 days to correct the incompleteness.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Trade Names.</text> <paragraph num="(1)"> <text>Prior to a licensee’s use of a trade name to engage in the business of money transmission in Maryland, the licensee shall:</text> <paragraph num="(a)"> <text>Register the trade name with the Maryland Department of Assessments and Taxation; and</text> </paragraph> <paragraph num="(b)"> <text>Obtain the approval of the Commissioner for the use of the trade name by:</text> <paragraph num="(i)"> <text>Designating on an original license application, a license renewal application, or an amendment to an existing license, through NMLS, any trade name under which the licensee will engage in the business of money transmission in this State; and</text> </paragraph> <paragraph num="(ii)"> <text>Specifying on an original license application, a license renewal application, or an amendment to an existing license, through NMLS, which licensed locations will utilize the trade name.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>At all times after obtaining the approval of the Commissioner for the use of the trade name, a licensee shall maintain registration of the trade name in accordance with the requirements of Corporations and Associations Article, §1-406, Annotated Code of Maryland, and accompanying regulations.</text> </paragraph> <paragraph num="(3)"> <text>A licensee shall immediately notify the Commissioner if the licensee amends, cancels, or otherwise fails to renew the registration of a trade name which the Commissioner has approved previously.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Information Requirements for Certain Individuals."> <paragraph num="A."> <text>Any individual in control of a licensee or applicant, any individual that seeks to acquire control of a licensee, and each key individual shall furnish to the Commissioner through NMLS the following items:</text> <paragraph num="(1)"> <text>The individual’s fingerprints for submission to the Federal Bureau of Investigation and the Commissioner for purposes of a national criminal history background check unless the person currently resides outside of the United States and has resided outside of the United States for the last 10 years; and</text> </paragraph> <paragraph num="(2)"> <text>Personal history and experience in a form and in a medium prescribed by the Commissioner, to obtain the following:</text> <paragraph num="(a)"> <text>An independent credit report from a consumer reporting agency unless the individual does not have a Social Security number, in which case, this requirement shall be waived;</text> </paragraph> <paragraph num="(b)"> <text>Information related to any criminal convictions or pending charges; and</text> </paragraph> <paragraph num="(c)"> <text>Information related to any regulatory or administrative action and any civil litigation involving claims of fraud, misrepresentation, conversion, mismanagement of funds, breach of fiduciary duty, or breach of contract.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>If the individual has resided outside of the United States at any time in the last 10 years, the individual shall also provide an investigative background report prepared by an independent search firm that meets the following requirements:</text> <paragraph num="(1)"> <text>At a minimum, the search firm:</text> <paragraph num="(a)"> <text>Shall demonstrate that it has sufficient knowledge, resources, and employs accepted and reasonable methodologies to conduct the research of the background report; and</text> </paragraph> <paragraph num="(b)"> <text>May not be affiliated with or have an interest with the individual it is researching.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>At a minimum, the investigative background report shall be written in the English language and shall contain the following:</text> <paragraph num="(a)"> <text>If available in the individual’s current jurisdiction of residency, a comprehensive credit report, or any equivalent information obtained or generated by the independent search firm to accomplish that report, including a search of the court data in the countries, provinces, states, cities, towns, and contiguous areas where the individual resided and worked;</text> </paragraph> <paragraph num="(b)"> <text>Criminal records information for the past 10 years, including, but not limited to, felonies, misdemeanors, or similar convictions for violations of law in the countries, provinces, states, cities, towns, and contiguous areas where the individual resided and worked;</text> </paragraph> <paragraph num="(c)"> <text>Employment history;</text> </paragraph> <paragraph num="(d)"> <text>Media history, including an electronic search of national and local publications, wire services, and business applications; and</text> </paragraph> <paragraph num="(e)"> <text>Financial services-related regulatory history, including but not limited to money transmission, securities, banking, insurance, and mortgage-related industries.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Multistate Licensing Process."> <paragraph num="A."> <text>If an applicant for licensure under the Maryland Money Transmission Act avails itself or is otherwise subject to a multistate licensing process:</text> <paragraph num="(1)"> <text>Subject to §B of this regulation, the Commissioner’s investigation of the applicant under Financial Institutions Article, §12-409, Annotated Code of Maryland, may include the investigation results of a lead investigative state; or</text> </paragraph> <paragraph num="(2)"> <text>If Maryland is a lead investigative state, the Commissioner may investigate the applicant pursuant to Financial Institutions Article, §12-409, Annotated Code of Maryland, and the timeframes established by agreement through the multistate licensing process, except that, in no case shall the timeframe be noncompliant with the application period in Financial Institutions Article, §12-409, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Commissioner’s investigation of the applicant under Financial Institutions Article, §12-409, Annotated Code of Maryland, may include the investigation results of a lead investigative state if:</text> <paragraph num="(1)"> <text>The Commissioner reasonably determines that the lead investigative state possesses licensing and supervision authority over money transmission in its state substantially similar to the licensing and supervision authority of the Commissioner over money transmission in Maryland;</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner reasonably determines that the investigation of the lead investigative state adequately addresses the applicant’s financial condition and responsibility, financial and business experience, character, and general fitness;</text> </paragraph> <paragraph num="(3)"> <text>The Commissioner reasonably determines the lead investigative state has sufficient staffing, expertise, and minimum standards for the purposes of investigating an applicant for a license permitting money transmission; and</text> </paragraph> <paragraph num="(4)"> <text>The Commissioner supplements the investigation of the lead investigative state with any information the Commissioner considers relevant.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Corporate Governance."> <paragraph num="A."> <text>A licensee shall establish, document, and maintain sufficient corporate governance, as follows:</text> <paragraph num="(1)"> <text>Each element of a licensee’s corporate governance shall be commensurate with the size, operational complexity, and overall risk profile of the licensee.</text> </paragraph> <paragraph num="(2)"> <text>For purposes of this regulation, the operational complexity and risk profile of a licensee shall, in part, be defined by the results of regulatory examinations, any external audits, and internal audits.</text> </paragraph> <paragraph num="(3)"> <text>A licensee bears the burden of demonstrating to the Commissioner that its corporate governance is sufficient and commensurate with its size, operational complexity, and overall risk profile.</text> </paragraph> <paragraph num="(4)"> <text>A licensee’s corporate governance shall, at a minimum, include:</text> <paragraph num="(a)"> <text>Clearly defined responsibilities and accountability;</text> </paragraph> <paragraph num="(b)"> <text>Internal controls, policies, processes, and practices for monitoring, testing, and ensuring compliance with the corporate governance framework;</text> </paragraph> <paragraph num="(c)"> <text>Internal controls, policies, processes, and practices for training of employees on corporate governance requirements; and</text> </paragraph> <paragraph num="(d)"> <text>Internal controls, policies, processes, and practices addressing internal audits, external audits, and risk management as set forth in §§B—D of this regulation.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Each licensee shall, not less than annually, conduct a review of its corporate governance to determine its overall effectiveness, address emerging risks and otherwise assure that the corporate governance remains commensurate with the size, operational complexity, and overall risk profile of the licensee.</text> </paragraph> <paragraph num="(6)"> <text>Any documentation, controls, policies, procedures, requirements, audits, reports, or other materials included in this regulation shall be made available to the Commissioner upon the Commissioner’s request.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Internal Audit.</text> <paragraph num="(1)"> <text>A licensee shall establish internal audit requirements that are appropriate for the size, complexity, and risk profile of the licensee.</text> </paragraph> <paragraph num="(2)"> <text>Unless impracticable given the size of the licensee, internal audit functions shall be performed by employees of the licensee who report to the licensee’s owners or board of directors and who are not otherwise supervised by the persons who directly manage the activities being reviewed.</text> </paragraph> <paragraph num="(3)"> <text>Employees performing internal audit functions shall have sufficient knowledge, training, and resources to provide a reliable evaluation of the licensee’s operations, risk management, internal controls, and governance processes.</text> </paragraph> </paragraph> <paragraph num="C."> <text>External Audit.</text> <paragraph num="(1)"> <text>If the Commissioner determines, based on the size, operational complexity, and overall risk profile of the licensee, that an external audit is appropriate, the Commissioner may direct a licensee to receive an external audit.</text> </paragraph> <paragraph num="(2)"> <text>If the Commissioner directs a licensee to receive an external audit, that external audit shall include:</text> <paragraph num="(a)"> <text>Annual financial statements including a balance sheet, statement of operations (income statement), and cash flows, including notes and supplemental schedules prepared in accordance with generally accepted accounting principles;</text> </paragraph> <paragraph num="(b)"> <text>Assessment of the internal control structure;</text> </paragraph> <paragraph num="(c)"> <text>Computation of tangible net worth;</text> </paragraph> <paragraph num="(d)"> <text>Validation of permissible investments;</text> </paragraph> <paragraph num="(e)"> <text>Verification of adequate fidelity and errors and omissions (E&O) insurance;</text> </paragraph> <paragraph num="(f)"> <text>Testing of controls related to risk management activities, including compliance and stress testing, if applicable; and</text> </paragraph> <paragraph num="(g)"> <text>Any other element the Commissioner considers appropriate.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Nothing in this regulation is intended to abrogate a requirement of a licensee to receive an external audit under any other law, rule, regulation, or by-law, policy, or procedure of the licensee.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Risk Management.</text> <paragraph num="(1)"> <text>A licensee shall at all times maintain a risk management program that identifies, measures, monitors, and controls risk sufficient for the size, operational complexity, and overall risk profile of the licensee.</text> </paragraph> <paragraph num="(2)"> <text>The risk management program shall have appropriate processes and models in place to measure, monitor, and mitigate financial risks and changes to the risk profile of the licensee.</text> </paragraph> <paragraph num="(3)"> <text>Evidence of risk management activities throughout the year shall be maintained, including findings of issues and the response to address those findings.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Authority to Address Risk as Necessary. If risk is determined by a formal review of a licensee to be extremely high, the Commissioner may order or direct the licensee to satisfy additional conditions necessary to ensure that the licensee will continue to operate in a safe and sound manner and be able to continue to engage in the business of money transmission in compliance with state and federal law and regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Maintenance of License."> <paragraph num="A."> <text>If a licensee does not continue to meet the qualifications or satisfy the requirements that apply to an applicant for a new license, the Commissioner may suspend or revoke the licensee’s license in accordance with the procedures established under the Maryland Money Transmission Act.</text> </paragraph> <paragraph num="B."> <text>An applicant for a license shall demonstrate that it meets or will meet, and a money transmission licensee shall at all times meet, the requirements in Regulation .18 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Acquisition of Control and Change of Key Individual."> <paragraph num="A."> <text>Any person, or group of persons acting in concert, seeking to acquire control of a licensee shall comply with Financial Institutions Article, §12-415, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Any person, or group of persons acting in concert, seeking the Commissioner’s approval under Financial Institutions Article, §12-415, Annotated Code of Maryland, to acquire control of a licensee shall, in cooperation with the licensee, submit an application in a form and in a medium prescribed by the Commissioner, together with any information the Commissioner requires or requests.</text> </paragraph> <paragraph num="C."> <text>The application required by this regulation shall include information required by Regulation .06 of this chapter for any new key individuals that have not previously completed the requirements of Regulation .06 of this chapter for a licensee.</text> </paragraph> <paragraph num="D."> <text>When an application for acquisition of control under this regulation appears to include all the items and address all matters that are required, the application shall be considered complete, and the Commissioner shall promptly notify the applicant in a record of the date on which the application was determined to be complete and:</text> <paragraph num="(1)"> <text>Except as provided in Financial Institutions Article, §12-415(b)(2) or (3)(ii), Annotated Code of Maryland:</text> <paragraph num="(a)"> <text>The Commissioner shall approve or deny the application within 60 days after the completion date; or</text> </paragraph> <paragraph num="(b)"> <text>If the application is not approved or denied within 60 days after the completion date:</text> <paragraph num="(i)"> <text>The application is approved; and</text> </paragraph> <paragraph num="(ii)"> <text>The person, or group of persons acting in concert, are not prohibited from acquiring control.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Commissioner may for good cause extend the application period.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A determination by the Commissioner that an application is complete and is accepted for processing means only that the application, on its face, appears to include all the items and address all the matters that are required, and is not an assessment of the substance of the application or of the sufficiency of the information provided.</text> </paragraph> <paragraph num="F."> <text>When an application is filed and considered complete under this regulation, the Commissioner shall investigate the financial condition and responsibility, financial and business experience, character, and general fitness of the person, or group of persons acting in concert, seeking to acquire control. The Commissioner shall approve an acquisition of control pursuant to this regulation if the Commissioner finds that all of the following conditions have been fulfilled:</text> <paragraph num="(1)"> <text>The requirements of §§B and C of this regulation have been met, as applicable;</text> </paragraph> <paragraph num="(2)"> <text>Following the change in control, the financial condition and responsibility, financial and business experience, competence, character, and general fitness of the licensee will remain consistent with State licensure requirements; and</text> </paragraph> <paragraph num="(3)"> <text>That it is in the interest of the public to permit the person, or group of persons acting in concert, to control the licensee.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Under the following circumstances, the Commissioner may consider the investigation of an applicant by another State:</text> <paragraph num="(1)"> <text>If an applicant avails itself or is otherwise subject to a multistate licensing process:</text> <paragraph num="(a)"> <text>Subject to §G(2) of this regulation, the Commissioner’s investigation of the applicant under §F of this regulation may include the investigation results of a lead investigative state; or</text> </paragraph> <paragraph num="(b)"> <text>If Maryland is a lead investigative state, the Commissioner may investigate the applicant pursuant to §F of this regulation and the timeframes established by agreement through the multistate licensing process, except that, in no case shall the timeframe be noncompliant with the application period in Financial Institutions Article, §12-415, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Commissioner’s investigation of the applicant under §F of this regulation may include the investigation results of the lead investigative state under §G(1)(a) of this regulation if:</text> <paragraph num="(a)"> <text>The Commissioner reasonably determines that the lead investigative state possesses licensing and supervision authority over money transmission in its state substantially similar to the licensing and supervision authority of the Commissioner over money transmission Maryland;</text> </paragraph> <paragraph num="(b)"> <text>The Commissioner reasonably determines that the lead investigative state adequately addresses the applicant’s anticipated financial condition and responsibility, financial and business experience, character, and general fitness following the proposed change of control;</text> </paragraph> <paragraph num="(c)"> <text>The Commissioner reasonably determines the lead investigative state has sufficient staffing, expertise, and minimum standards for the purposes of investigating a change of control application; and</text> </paragraph> <paragraph num="(d)"> <text>The Commissioner supplements the investigation of the lead investigative state with any information the Commissioner considers relevant.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>The Commissioner shall issue a formal written notice of the denial of an application to acquire control within 30 days of the decision to deny the application. The Commissioner shall set forth in the notice of denial the specific reasons for the denial of the application. A licensee whose application is denied by the Commissioner under this regulation may request a hearing within 30 days after receipt of the written notice of the denial pursuant to State Government Article, §10-207, Annotated Code of Maryland.</text> </paragraph> <paragraph num="I."> <text>The requirements of Financial Institutions Article, §12-415, Annotated Code of Maryland, as applied to a change of control of a licensee and as provided for in §§A and B of this regulation do not apply to any of the following:</text> <paragraph num="(1)"> <text>A person that acts as a proxy for the sole purpose of voting at a designated meeting of the shareholders or holders of voting shares or voting interests of a licensee or a person in control of a licensee;</text> </paragraph> <paragraph num="(2)"> <text>A person that acquires control of a licensee as a personal representative, custodian, guardian, conservator, or trustee, or as an officer appointed by a court of competent jurisdiction or by operation of law;</text> </paragraph> <paragraph num="(3)"> <text>A public offering of securities of a licensee or a person in control of a licensee, except that, if a single person or group of persons acting in concert acquire control of the licensee as a result of the public offering, the licensee shall obtain the Commissioner’s approval under Financial Institutions Article, §12-415, Annotated Code of Maryland, and this regulation; or</text> </paragraph> <paragraph num="(4)"> <text>An internal reorganization of a person in control of the licensee if the ultimate person in control of the licensee remains the same.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Persons in §I(2)—(4) of this regulation in cooperation with the licensee shall notify the Commissioner within 15 days after the acquisition of control.</text> </paragraph> <paragraph num="K."> <text>Streamlined Acquisition of Control.</text> <paragraph num="(1)"> <text>The requirements of Financial Institutions Article, §12-415, Annotated Code of Maryland, as applied to a change of control of a licensee shall be considered satisfied and no application under §B of this regulation will be required of a person that has complied with and received approval to engage in money transmission under the Maryland Money Transmission Act or was identified as a person in control in a prior application filed with and approved by the Commissioner or by an MSB accredited state pursuant to a multistate licensing process, if:</text> <paragraph num="(a)"> <text>The person has not had a license revoked or suspended or controlled a licensee that has had a license revoked or suspended while the person was in control of the licensee in the previous 5 years;</text> </paragraph> <paragraph num="(b)"> <text>If the person is a licensee, the person is well managed and has received at least a satisfactory rating for compliance at its most recent examination by an MSB accredited state if that rating was given;</text> </paragraph> <paragraph num="(c)"> <text>The licensee to be acquired is projected to meet the qualifications for licensure under the Maryland Money Transmission Act, including the requirements of Regulation .18 of this chapter, after the acquisition of control is completed, and if the person acquiring control is a licensee, that licensee is also projected to meet the qualifications for licensure under the Maryland Money Transmission Act, including the requirements of Regulation .18 of this chapter, after the acquisition of control is completed;</text> </paragraph> <paragraph num="(d)"> <text>The licensee to be acquired will not implement any material changes to its business plan as a result of the acquisition of control, and if the person acquiring control is a licensee, that licensee also will not implement any material changes to its business plan as a result of the acquisition of control;</text> </paragraph> <paragraph num="(e)"> <text>The person provides notice of the acquisition in cooperation with the licensee and attests to §K(1)(a)—(d) of this regulation in a form and in a medium prescribed by the Commissioner; and</text> </paragraph> <paragraph num="(f)"> <text>The person provides the Commissioner with any additional information the Commissioner requests in connection with the notice.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the Commissioner requests additional information in connection with a notice, the notice may not be considered complete until that information is provided to the Commissioner.</text> </paragraph> <paragraph num="(3)"> <text>If the notice is not disapproved within 30 days after the date on which the notice was determined to be complete, the notice is considered approved.</text> </paragraph> <paragraph num="(4)"> <text>A licensee whose notice is disapproved by the Commissioner under this regulation may request a hearing within 30 days after receipt of the written notice of the disapproval pursuant to State Government Article, §10-207, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Before filing an application or notice under §B or K of this regulation, a person or group of persons acting in concert may request in writing a determination from the Commissioner as to whether the person or group of persons acting in concert would be considered a person in control of a licensee upon consummation of a proposed transaction. If the Commissioner determines that the person or group of persons acting in concert would not be a person in control of a licensee, the proposed person or group of persons acting in concert is not subject to the requirements of Financial Institutions Article, §12-415(b), Annotated Code of Maryland, as applied to a change of control of a licensee.</text> </paragraph> <paragraph num="M."> <text>Rebuttable Presumption of Control.</text> <paragraph num="(1)"> <text>A person is presumed to exercise a controlling influence if the person holds the power to vote, directly or indirectly, at least 10 percent of the outstanding voting shares or voting interests of a licensee or person in control of a licensee.</text> </paragraph> <paragraph num="(2)"> <text>A person presumed to exercise a controlling influence can rebut the presumption of control if the person is a passive investor.</text> </paragraph> <paragraph num="(3)"> <text>For purposes of determining the percentage of a person controlled by any other person, the person’s interest shall be aggregated with the interest of any other immediate family member, including the person’s spouse, parents, children, siblings, mothers- and fathers-in law, sons- and daughters-in-law, brothers- and sisters-in-law, and any other person who shares that person’s home.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Notice and Information Requirements for a Change of Key Individuals."> <paragraph num="A."> <text>A licensee adding or replacing any key individual shall:</text> <paragraph num="(1)"> <text>Provide notice in a manner prescribed by the Commissioner as soon as reasonably practicable, but in no event later than 15 days after the effective date of the key individual’s appointment; and</text> </paragraph> <paragraph num="(2)"> <text>Provide information as required by Regulation .06 of this chapter within 30 days of the date on which the notice was provided pursuant to this regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Within 90 days of the date on which the notice provided pursuant to this regulation was determined to be complete, the Commissioner may issue a notice of disapproval of a key individual if the competence, experience, character, or integrity of the individual would not be in the best interests of the public or the customers of the licensee to permit the individual to be a key individual of that licensee.</text> </paragraph> <paragraph num="C."> <text>A notice of disapproval shall contain a statement of the basis for disapproval and shall be sent to the licensee and the disapproved individual. A licensee receiving a notice of disapproval under this regulation may request a hearing within 30 days after receipt of the written notice of the disapproval pursuant to State Government Article, §10-207, Annotated Code of Maryland.</text> </paragraph> <paragraph num="D."> <text>If the notice provided pursuant to this regulation is not disapproved within 90 days after the date on which the notice was determined to be complete, the key individual is considered approved.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Bank Secrecy Act Reports."> <text>A licensee and an authorized delegate shall file all reports required by federal currency reporting, record keeping, and suspicious activity reporting requirements as set forth in the Bank Secrecy Act and other federal and state laws pertaining to money laundering. The timely filing of a complete and accurate report required under this regulation with the appropriate federal agency is considered compliant with the requirements of this regulation.</text> </regulation> <regulation prefix="Regulation" num=".13" heading="Authorized Delegates."> <paragraph num="A."> <text>For purposes of this regulation, “remit” means to make direct payments of money to a licensee or its representative authorized to receive money or to deposit money in a bank in an account specified by the licensee.</text> </paragraph> <paragraph num="B."> <text>Before a licensee may conduct business through an authorized delegate or allows a person to act as the licensee’s authorized delegate, the licensee shall:</text> <paragraph num="(1)"> <text>Adopt, and update as necessary, written policies and procedures reasonably designed to ensure that the licensee’s authorized delegates comply with applicable state and federal law;</text> </paragraph> <paragraph num="(2)"> <text>Enter into a written contract pursuant to Financial Institutions Article, §12-413(b), Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(3)"> <text>Conduct a reasonable risk-based background investigation sufficient for the licensee to determine whether the authorized delegate has complied and will likely comply with applicable state and federal law.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An authorized delegate shall operate in full compliance with the Maryland Money Transmission Act and any regulations implementing the Maryland Money Transmission Act.</text> </paragraph> <paragraph num="D."> <text>The written contract required by Financial Institutions Article, §12-413(b), Annotated Code of Maryland, shall be signed by the licensee and the authorized delegate and, at a minimum, shall:</text> <paragraph num="(1)"> <text>Appoint the person signing the contract as the licensee’s authorized delegate with the authority to conduct money transmission on behalf of the licensee;</text> </paragraph> <paragraph num="(2)"> <text>Set forth the nature and scope of the relationship between the licensee and the authorized delegate and the respective rights and responsibilities of the parties;</text> </paragraph> <paragraph num="(3)"> <text>Require the authorized delegate to agree to fully comply with all applicable state and federal laws, rules, and regulations pertaining to money transmission, including the Maryland Money Transmission Act and any regulations implementing the Maryland Money Transmission Act, relevant provisions of the Bank Secrecy Act, and the USA PATRIOT ACT;</text> </paragraph> <paragraph num="(4)"> <text>Require the authorized delegate to remit and handle money and monetary value in compliance with Financial Institutions Article, §12-418, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(5)"> <text>Impose a trust on money and monetary value net of fees received for money transmission for the benefit of the licensee;</text> </paragraph> <paragraph num="(6)"> <text>Require the authorized delegate to prepare and maintain records as required by the Maryland Money Transmission Act and any regulations implementing the Maryland Money Transmission Act, or as reasonably requested by the Commissioner;</text> </paragraph> <paragraph num="(7)"> <text>Acknowledge that the authorized delegate consents to examination or investigation by the Commissioner;</text> </paragraph> <paragraph num="(8)"> <text>State that the licensee is subject to regulation by the Commissioner and that, as part of that regulation, the Commissioner may suspend or revoke an authorized delegate designation or require the licensee to terminate an authorized delegate designation; and</text> </paragraph> <paragraph num="(9)"> <text>Acknowledge receipt of the written policies and procedures required under Financial Institutions Article, §12-413(c), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If the licensee’s license is suspended, revoked, surrendered, or expired, the licensee shall, within 5 business days, provide documentation to the Commissioner that the licensee has notified all applicable authorized delegates of the licensee whose names are in a record filed with the Commissioner of the suspension, revocation, surrender, or expiration of a license. Upon suspension, revocation, surrender, or expiration of a license, applicable authorized delegates shall immediately stop providing money transmission as an authorized delegate of the licensee.</text> </paragraph> <paragraph num="F."> <text>An authorized delegate of a licensee holds in trust for the benefit of the licensee all money net of fees received from money transmission. If any authorized delegate commingles any funds received from money transmission with any other funds or property owned or controlled by the authorized delegate, all commingled funds and other property shall be considered held in trust in favor of the licensee in an amount equal to the amount of money net of fees received from money transmission.</text> </paragraph> <paragraph num="G."> <text>An authorized delegate may not use a subdelegate to conduct money transmission on behalf of a licensee without the written consent of the Commissioner.</text> </paragraph> <paragraph num="H."> <text>A person may engage in the business of money transmission as an authorized delegate only on behalf of a person licensed under the Maryland Money Transmission Act.</text> </paragraph> <paragraph num="I."> <text>A person that engages in the business of money transmission on behalf of an unlicensed person shall be considered to be providing money transmission services in violation of the Maryland Money Transmission Act and shall be jointly and severally liable with the unlicensed or nonexempt person.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Timely Transmission."> <paragraph num="A."> <text>Every licensee shall forward all money received for transmission in accordance with the terms of the agreement between the licensee and the sender unless the licensee has a reasonable belief or a reasonable basis to believe that the sender may be a victim of fraud or that a crime or violation of law, rule, or regulation has occurred, is occurring, or may occur.</text> </paragraph> <paragraph num="B."> <text>If a licensee fails to forward money received for transmission in accordance with this regulation, the licensee shall respond to inquiries by the sender with the reason for the failure unless providing a response would violate a state or federal law, rule, or regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Refunds."> <paragraph num="A."> <text>This regulation does not apply to:</text> <paragraph num="(1)"> <text>Money received for transmission subject to the federal Remittance Rule (12 CFR Part 1005, Subpart B), as amended or recodified from time to time; or</text> </paragraph> <paragraph num="(2)"> <text>Money received for transmission pursuant to a written agreement between the licensee and payee to process payments for goods or services provided by the payee.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Every licensee shall refund to the sender within 10 days of receipt of the sender’s written request for a refund of any money received for transmission unless any of the following occurs:</text> <paragraph num="(1)"> <text>The money has been forwarded within 10 days of the date on which the money was received for transmission and prior to receipt of the request for a refund;</text> </paragraph> <paragraph num="(2)"> <text>Instructions have been given committing an equivalent amount of money to the person designated by the sender within 10 days of the date on which the money was received for transmission and prior to receipt of the request for a refund;</text> </paragraph> <paragraph num="(3)"> <text>The agreement between the licensee and the sender instructs the licensee to forward the money at a time that is beyond 10 days of the date on which the money was received for transmission. If funds have not yet been forwarded in accordance with the terms of the agreement between the licensee and the sender, the licensee shall issue a refund in accordance with the other provisions of this regulation;</text> </paragraph> <paragraph num="(4)"> <text>The refund request does not enable the licensee to:</text> <paragraph num="(a)"> <text>Identify the sender’s name and address or telephone number; or</text> </paragraph> <paragraph num="(b)"> <text>Identify the particular transaction to be refunded if the sender has multiple transactions outstanding;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The refund is requested for a transaction that the licensee has not completed based on a reasonable belief or a reasonable basis to believe that a crime or violation of law, rule, or regulation has occurred, is occurring, or may occur; or</text> </paragraph> <paragraph num="(6)"> <text>The licensee attempted in good faith to forward the money within 10 days of receipt from the sender and forwarded the money prior to the receipt of the request for a refund.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Receipts."> <paragraph num="A."> <text>This regulation does not apply to:</text> <paragraph num="(1)"> <text>Money received for transmission subject to the federal Remittance Rule (12 CFR Part 1005, Subpart B), as amended or recodified from time to time;</text> </paragraph> <paragraph num="(2)"> <text>Money received for transmission pursuant to a written agreement between the licensee and payee to process payments for goods or services provided by the payee; or</text> </paragraph> <paragraph num="(3)"> <text>Payroll processing services.</text> </paragraph> </paragraph> <paragraph num="B."> <text>For purposes of this regulation “receipt” means a paper receipt, electronic record, or other written confirmation. For a transaction conducted in person, the receipt may be provided electronically if the sender requests or agrees to receive an electronic receipt. For a transaction conducted electronically or by phone, a receipt may be provided electronically. All electronic receipts shall be provided in a retainable form.</text> </paragraph> <paragraph num="C."> <text>Contents of Receipt.</text> <paragraph num="(1)"> <text>Every licensee or its authorized delegate shall provide the sender a receipt for money received for transmission.</text> </paragraph> <paragraph num="(2)"> <text>The receipt shall contain the following information, as applicable:</text> <paragraph num="(a)"> <text>The name of the sender;</text> </paragraph> <paragraph num="(b)"> <text>The name of the designated recipient;</text> </paragraph> <paragraph num="(c)"> <text>The date of the transaction;</text> </paragraph> <paragraph num="(d)"> <text>The unique transaction or identification number;</text> </paragraph> <paragraph num="(e)"> <text>The name of the licensee, NMLS Unique ID, the licensee’s business address, and the licensee’s customer service telephone number;</text> </paragraph> <paragraph num="(f)"> <text>The amount of the transaction in United States dollars;</text> </paragraph> <paragraph num="(g)"> <text>Any fee charged by the licensee to the sender for the transaction; and</text> </paragraph> <paragraph num="(h)"> <text>Any taxes collected by the licensee from the sender for the transaction.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The receipt required by this regulation shall be in English and in the language principally used by the licensee or authorized delegate to advertise, solicit, or negotiate, either orally or in writing, for a transaction conducted in person, electronically, or by phone, if other than English.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Disclosures for Payroll Processing Services."> <paragraph num="A."> <text>A licensee that provides payroll processing services shall:</text> <paragraph num="(1)"> <text>Issue reports to clients detailing client payroll obligations in advance of the payroll funds being deducted from an account; and</text> </paragraph> <paragraph num="(2)"> <text>Make available worker paystubs or an equivalent statement to workers.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If the licensee’s client designates the intended recipients to the licensee and is responsible for providing the disclosures required by §A(2) of this regulation, §A of this regulation does not apply to a licensee providing payroll processing services.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Prudential Standards."> <paragraph num="A."> <text>Financial Responsibility. In considering the financial responsibility of a licensee, the Commissioner may consider the amount of tangible net worth a licensee maintains in excess of the statutory requirement under Financial Institutions Article, §12-406, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Surety Bonds. A licensee may exceed the maximum required bond amount in Financial Institutions Article, §12-412(d), Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>Maintenance of Permissible Investments.</text> <paragraph num="(1)"> <text>A licensee shall maintain at all times permissible investments in accordance with Financial Institutions Article, §12-418(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>Except for permissible investments enumerated in §D(1) of this regulation, the Commissioner, with respect to any licensee, may by order limit the extent to which a specific investment maintained by a licensee within a class of permissible investments may be considered a permissible investment, if the specific investment represents undue risk to customers, not reflected in the market value of investments.</text> </paragraph> <paragraph num="(3)"> <text>Permissible investments, even if commingled with other assets of the licensee, are held in trust for the benefit of the purchasers and holders of the licensee’s outstanding money transmission obligations. Permissible investments held in trust for the benefit of the purchasers and holders of the licensee’s outstanding money transmission obligations are considered held in trust for the benefit of those purchasers and holders on a pro rata and equitable basis in accordance with statutes pursuant to which permissible investments are required to be held in Maryland, and other states, as applicable.</text> </paragraph> <paragraph num="(4)"> <text>Any trust established under §C(3) of this regulation shall be terminated upon extinguishment of all of the licensee’s outstanding money transmission obligations.</text> </paragraph> <paragraph num="(5)"> <text>The Commissioner may allow other types of investments that the Commissioner determines are of sufficient liquidity and quality to be a permissible investment. The Commissioner may participate in efforts with other state regulators to determine that other types of investments are of sufficient liquidity and quality to be a permissible investment.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Types of Permissible Investments.</text> <paragraph num="(1)"> <text>The following investments meet the definition of permissible investments pursuant to Financial Institutions Article, §12-401(r), Annotated Code of Maryland:</text> <paragraph num="(a)"> <text>Cash (including demand deposits, savings deposits, and funds in those accounts held for the benefit of the licensee’s customers in a federally insured depository financial institution) and cash equivalents including ACH items in transit to the licensee and ACH items or international wires in transit to a payee, cash in transit via armored car, cash in smart safes, cash in licensee-owned locations, debit card or credit card-funded transmission receivables owed by any bank, or money market mutual funds rated “AAA” by S&P, or the equivalent from any eligible rating service;</text> </paragraph> <paragraph num="(b)"> <text>Certificates of deposit or senior debt obligations other than a capital note of an insured depository institution, as defined in §3 of the Federal Deposit Insurance Act, 12 U.S.C. §1813, as amended or recodified from time to time, or as defined under the federal Credit Union Act, 12 U.S.C. §1781, as amended or recodified from time to time;</text> </paragraph> <paragraph num="(c)"> <text>An obligation of the United States or a commission, agency, or instrumentality of the United States, an obligation that is guaranteed fully as to principal and interest by the United States, or an obligation of a state or a governmental subdivision, agency, or instrumentality of the United States;</text> </paragraph> <paragraph num="(d)"> <text>The full drawable amount of an irrevocable standby letter of credit for which the stated beneficiary is the Commissioner that stipulates that the beneficiary need only draw a sight draft under the letter of credit and present it to obtain funds up to the letter of credit amount within 7 days of presentation of the items required by §D(4) of this regulation; and</text> </paragraph> <paragraph num="(e)"> <text>One hundred percent of the surety bond or deposit that exceeds the amount required under Financial Institutions Article, §12-412, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A letter of credit under §D(1) of this regulation:</text> <paragraph num="(a)"> <text>Shall be issued by a federally insured depository financial institution, a foreign bank that is authorized under federal law to maintain a federal agency or federal branch office in a state or states, or a foreign bank that is authorized under state law to maintain a branch in a state that:</text> <paragraph num="(i)"> <text>Bears an eligible rating or whose parent company bears an eligible rating; and</text> </paragraph> <paragraph num="(ii)"> <text>Is regulated, supervised, and examined by United States federal or state authorities having regulatory authority over banks, credit unions, and trust companies;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Shall be irrevocable, unconditional and indicate that it is not subject to any condition or qualification outside of the letter of credit;</text> </paragraph> <paragraph num="(c)"> <text>May not contain reference to any other agreements, documents, or entities, or otherwise provide for any security interest in the licensee; and</text> </paragraph> <paragraph num="(d)"> <text>Shall contain an issue date and expiration date, and expressly provide for automatic extension, without a written amendment, for an additional period of 1 year from the present or each future expiration date, unless the issuer of the letter of credit notifies the Commissioner in writing by certified or registered mail or courier mail or other receipted means, at least 60 days prior to any expiration date, that the irrevocable letter of credit will not be extended.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the issuer of a letter of credit under §D(2) of this regulation issues any notice of expiration or nonextension of that letter of credit, the licensee shall be required to demonstrate to the satisfaction of the Commissioner, 15 days prior to expiration, that the licensee maintains and will maintain permissible investments in accordance with Financial Institutions Article, §12-418(a), Annotated Code of Maryland, upon the expiration of the letter of credit. If the licensee is not able to do so, the Commissioner may draw on the letter of credit in an amount up to the amount necessary to meet the licensee’s requirements to maintain permissible investments in accordance with Financial Institutions Article, §12-418(a), Annotated Code of Maryland. Any draw shall be offset against the licensee’s outstanding money transmission obligations. The drawn funds shall be held in trust by the Commissioner or the Commissioner’s designated agent, to the extent authorized by law, as agent for the benefit of the purchasers and holders of the licensee’s outstanding money transmission obligations.</text> </paragraph> <paragraph num="(4)"> <text>A letter of credit under §D(1) of this regulation shall provide that the issuer of the letter of credit will honor, at sight, a presentation made by the beneficiary to the issuer of the following documents on or prior to the expiration date of the letter of credit:</text> <paragraph num="(a)"> <text>The original letter of credit (including any amendments); and</text> </paragraph> <paragraph num="(b)"> <text>A written statement from the beneficiary stating that any of the following events have occurred:</text> <paragraph num="(i)"> <text>The filing of a petition by or against the licensee under the United States Bankruptcy Code, 11 U.S.C. §101-110, as amended or recodified from time to time, for bankruptcy or reorganization;</text> </paragraph> <paragraph num="(ii)"> <text>The filing of a petition by or against the licensee for receivership, or the commencement of any other judicial or administrative proceeding for its dissolution or reorganization;</text> </paragraph> <paragraph num="(iii)"> <text>The Commissioner has issued an order of restitution pursuant to an enforcement action against the licensee;</text> </paragraph> <paragraph num="(iv)"> <text>The Commissioner sought the seizure of assets of a licensee pursuant to a judicial or administrative order; or</text> </paragraph> <paragraph num="(v)"> <text>The beneficiary has received notice of expiration or nonextension of a letter of credit and the licensee failed to demonstrate to the satisfaction of the beneficiary that the licensee will maintain permissible investments in accordance with Financial Institutions Article, §12-418(a), Annotated Code of Maryland, upon the expiration or nonextension of the letter of credit.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>The Commissioner may designate an agent to serve on the Commissioner’s behalf as beneficiary to a letter of credit under §D(1) of this regulation if the agent and letter of credit meet requirements established by the Commissioner. The Commissioner’s agent may serve as agent for multiple licensing authorities for a single irrevocable letter of credit if the proceeds of the drawable amount satisfy the purposes of the letter of credit under §D(1) of this regulation and are assigned to the Commissioner.</text> </paragraph> <paragraph num="(6)"> <text>The Commissioner may participate in multistate processes designed to facilitate the issuance and administration of letters of credit, including but not limited to services provided by the NMLS and State Regulatory Registry, LLC.</text> </paragraph> <paragraph num="(7)"> <text>Unless permitted by the Commissioner by rule or by order to exceed the limit as set forth in this regulation, the following investments are permissible pursuant to Financial Institutions Article, §12-401(r), Annotated Code of Maryland, to the extent specified:</text> <paragraph num="(a)"> <text>Receivables that are payable to a licensee from its authorized delegates in the ordinary course of business that have not been held by an authorized delegate in excess of the time permitted under Financial Institutions Article, §12-418(b), Annotated Code of Maryland, up to 50 percent of the aggregate value of the licensee’s total permissible investments.</text> </paragraph> <paragraph num="(b)"> <text>Of the receivables permissible under §D(7)(a) of this regulation, receivables that are payable to a licensee from a single authorized delegate in the ordinary course of business may not exceed 10 percent of the aggregate value of the licensee’s total permissible investments.</text> </paragraph> <paragraph num="(c)"> <text>The following investments are permissible up to 20 percent per category and combined up to 50 percent of the aggregate value of the licensee’s total permissible investments:</text> <paragraph num="(i)"> <text>A short-term (up to 6 months) investment bearing an eligible rating;</text> </paragraph> <paragraph num="(ii)"> <text>Commercial paper bearing an eligible rating;</text> </paragraph> <paragraph num="(iii)"> <text>A bill, note, bond, or debenture bearing an eligible rating;</text> </paragraph> <paragraph num="(iv)"> <text>U.S. tri-party repurchase agreements collateralized at 100 percent or more with U.S. government or agency securities, municipal bonds, or other securities bearing an eligible rating;</text> </paragraph> <paragraph num="(v)"> <text>Money market mutual funds rated less than “AAA” and equal to or higher than “A-” by S&P, or the equivalent from any other eligible rating service; and</text> </paragraph> <paragraph num="(vi)"> <text>A mutual fund or other investment fund composed solely and exclusively of one or more permissible investments listed in §D(7)(a)—(c) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Cash (including demand deposits, savings deposits, and funds in those accounts held for the benefit of the licensee’s customers) at foreign depository institutions are permissible up to 10 percent of the aggregate value of the licensee’s total permissible investments if the licensee has received a satisfactory rating in its most recent examination and the foreign depository institution:</text> <paragraph num="(i)"> <text>Has an eligible rating;</text> </paragraph> <paragraph num="(ii)"> <text>Is registered under the Foreign Account Tax Compliance Act;</text> </paragraph> <paragraph num="(iii)"> <text>Is not located in any country subject to sanctions from the Office of Foreign Asset Control; and</text> </paragraph> <paragraph num="(iv)"> <text>Is not located in a high-risk or noncooperative jurisdiction as designated by the Financial Action Task Force.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Eligibility Ratings.</text> <paragraph num="(1)"> <text>Long-term credit ratings are considered eligible if the rating is equal to A- or higher by S&P, or the equivalent from any other eligible rating service.</text> </paragraph> <paragraph num="(2)"> <text>Short-term credit ratings are considered eligible if the rating is equal to or higher than A-2 or SP-2 by S&P, or the equivalent from any other eligible rating service.</text> </paragraph> <paragraph num="(3)"> <text>If the ratings differ among eligible rating services, the highest rating shall apply when determining whether a security bears an eligible rating.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §2-105; Financial Institutions Article, §§2-105.1, 12-401, and 12-403, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 27, 2013 (40:10 Md. R. 916)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 11, 2023 (50:24 Md. R. 1041)</annotation> </annotations> </chapter> <chapter num="15" heading="Shared Appreciation Agreements"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Actual change in value” means, with respect to each scenario included on the disclosure form found in Appendix A of this chapter, the average annual change in value for homes in the State of Maryland over the most recent number of years used in that scenario.</text> </paragraph> <paragraph num="(2)"> <text>“Annual percentage rate” has the meaning stated in 12 CFR §1026.22(a), as amended from time to time.</text> </paragraph> <paragraph num="(3)"> <text>“Annualized cost” means a measure of the cost of credit, expressed as a yearly rate, provided to allow a borrower to compare the cost of a shared appreciation agreement with the cost of other forms of credit.</text> </paragraph> <paragraph num="(4)"> <text>“Arms-length sale” means a transaction for the sale of property between two unrelated and unaffiliated parties of equal bargaining power acting independently and in their respective self-interests.</text> </paragraph> <paragraph num="(5)"> <text>“Automated valuation model” or “AVM” means a statistically based estimate of a property’s value based on publicly available information such as comparable sales, property characteristics, and price trends.</text> </paragraph> <paragraph num="(6)"> <text>“Borrower” means a person who receives funds under a shared appreciation agreement.</text> </paragraph> <paragraph num="(7)"> <text>“Broker price opinion” or “BPO” means an estimate, provided by a real estate broker licensed by the State or another qualified professional, of the price for which a property is likely to sell.</text> </paragraph> <paragraph num="(8)"> <text>“Commitment” has the meaning stated in Commercial Law Article, §12-922, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(9)"> <text>“Estimated fair market value” means:</text> <paragraph num="(a)"> <text>An estimate of value determined through either the use of an appraisal from an appraiser licensed by the State or the use of an automated valuation model or broker price opinion; or</text> </paragraph> <paragraph num="(b)"> <text>An estimate of value provided by the borrower, if a disclosure is provided before the lender obtains an appraisal, automated valuation model, or broker price opinion.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Final payment amount” means the amount a borrower will be required to pay the lender at the termination of the shared appreciation agreement.</text> </paragraph> <paragraph num="(11)"> <text>“Final value” means the value of the property at the termination of the shared appreciation agreement as calculated using the estimated fair market value of the property, or, in an arms-length sale, the sale price of the property.</text> </paragraph> <paragraph num="(12)"> <text>“Financing agreement” has the meaning stated in Commercial Law Article, §12-922, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(13)"> <text>“Lender” means a person who makes a mortgage loan under a shared appreciation agreement.</text> </paragraph> <paragraph num="(14)"> <text>“Share based repayment amount” means the lender’s share of the property’s appreciation or value at the termination of the shared appreciation agreement as calculated without regard to any contractual limit on the repayment amount.</text> </paragraph> <paragraph num="(15)"> <text>“Shared appreciation agreement” has the meaning stated in Financial Institutions Article, §11-501(r), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(16)"> <text>“Starting value” means the estimated fair market value of a property minus any discount applied by the lender.</text> </paragraph> <paragraph num="(17)"> <text>“Truth in Lending Act” refers to 15 U.S.C. 1601, et seq., and its implementing regulations under 12 CFR 1026.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Required Disclosures."> <paragraph num="A."> <text>Financing Agreements and Commitments.</text> <paragraph num="(1)"> <text>In addition to providing any other disclosures required by Commercial Law Article, Title 12, Subtitles 9 and 10, Annotated Code of Maryland, a lender receiving an application for a shared appreciation agreement shall, regardless of lien position, provide a borrower with a financing agreement.</text> </paragraph> <paragraph num="(2)"> <text>The lender shall satisfy the requirement to provide a financing agreement for a mortgage loan made under a shared appreciation agreement in the following manner:</text> <paragraph num="(a)"> <text>By providing the disclosure form found in Appendix A of this chapter, or a substantially similar form, within 10 business days after the date an application for a shared appreciation agreement is completed; and</text> </paragraph> <paragraph num="(b)"> <text>By calculating the annualized cost based on the term in each scenario within the form in Appendix A of this chapter using the method prescribed in 12 CFR Part 1026 Appendix J for calculating an annual percentage rate.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the terms of the disclosure provided by the lender under §A(2) of this regulation are subject to change, a lender offering a shared appreciation agreement, regardless of lien position, shall provide a borrower with a commitment.</text> </paragraph> <paragraph num="(4)"> <text>The lender shall satisfy the requirement to provide a commitment for a mortgage loan made under a shared appreciation agreement in the following manner:</text> <paragraph num="(a)"> <text>By providing the disclosure form found in Appendix A of this chapter, or a substantially similar form, with a statement that the terms therein are not subject to change, at least 72 hours before the settlement time agreed to by both parties; and</text> </paragraph> <paragraph num="(b)"> <text>By calculating the annualized cost based on the term in each scenario within the form in Appendix A of this chapter using the method prescribed in 12 CFR Part 1026 Appendix J for calculating an annual percentage rate.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Compliance with Disclosures in Appendix A of this Chapter.</text> <paragraph num="(1)"> <text>A form will be considered substantially similar to the one in Appendix A of this chapter if it includes all information provided in Appendix A of this chapter.</text> </paragraph> <paragraph num="(2)"> <text>A lender shall disclose the following information regarding the estimated fair market value of the property:</text> <paragraph num="(a)"> <text>The method used to calculate the estimated fair market value;</text> </paragraph> <paragraph num="(b)"> <text>The amount, if any, by which the lender is discounting the estimated fair market value in establishing the property’s initial value;</text> </paragraph> <paragraph num="(c)"> <text>The estimated fair market value of the property and any discount applied to that value in determining the starting value; and</text> </paragraph> <paragraph num="(d)"> <text>The potential impact of that discount on their repayment amount.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Compliance with Applicable Law. Compliance with this regulation shall constitute compliance with any requirements under Commercial Law Article, §12-922 or 12-1022, Annotated Code of Maryland, to provide a financing agreement or a commitment.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Calculation of Property Value."> <paragraph num="A."> <text>Means of Calculating the Property Value.</text> <paragraph num="(1)"> <text>The lender shall use the estimated fair market value to determine the starting value of the property.</text> </paragraph> <paragraph num="(2)"> <text>The starting value may represent a discount of the estimated fair market value at the time the shared appreciation agreement is executed.</text> </paragraph> <paragraph num="(3)"> <text>Except as provided in §B of this regulation, the lender shall use the same method for calculating the estimated fair market value in connection with determining the starting value and the final value.</text> </paragraph> <paragraph num="(4)"> <text>An appraisal, AVM, or BPO used to determine fair market value shall be obtained by the lender from an unaffiliated third-party.</text> </paragraph> <paragraph num="(5)"> <text>In complying with the requirements of Regulation .02A(2) of this chapter, a lender may use a value stipulated by the borrower as the estimated fair market value if the lender has not yet obtained an appraisal, BPO, or AVM and the terms of the disclosure provided under Regulation .02 of this chapter are subject to change.</text> </paragraph> <paragraph num="(6)"> <text>In complying with the requirements of Regulation .02A(4) of this chapter, a lender shall use an appraisal, BPO, or AVM.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Sale of Property. If a shared appreciation agreement terminates with the sale of the property, the final value may not exceed the sale price if:</text> <paragraph num="(1)"> <text>The sale was an arms-length sale;</text> </paragraph> <paragraph num="(2)"> <text>The property was not sold as part of a foreclosure; and</text> </paragraph> <paragraph num="(3)"> <text>The borrower did not retain an interest in the property, including an interest as a life estate.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Calculating Values in Appendix A of this Chapter."> <paragraph num="A."> <text>Actual Appreciation. Actual change in value shall be calculated using the All-Transactions House Price Index as published by the Federal Reserve Bank of St. Louis unless this index becomes unavailable, in which case the Commissioner may designate an alternate index.</text> </paragraph> <paragraph num="B."> <text>Final Payment Amount. The final payment amount shall be the lender’s share of appreciation or equity, plus, if applicable under the terms of the agreement, any other amounts payable by the borrower at termination, minus any amount over any repayment limit to which the lender and the borrower have agreed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Ability to Repay."> <text>A lender offering a shared appreciation agreement is deemed to have given due regard to a borrower’s ability to repay if disclosures are provided by the lender to the borrower in compliance with Regulation .02 of this chapter, provided that:</text> <paragraph num="A."> <text>The shared appreciation agreement does not require periodic payments prior to termination of the agreement; and</text> </paragraph> <paragraph num="B."> <text>The term of the shared appreciation agreement is no less than 5 years.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Financial Institutions Article, §§2-105.1, 12-926, and 12-1030, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 25, 2024 (51:23 Md. R. 1036)</annotation> </annotations> </chapter> <chapter num="16" heading="Virtual Currency Kiosks"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>Scope. This chapter governs Kiosks, as such term is defined herein, and the conduct of any person operating a Kiosk in the State.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined</text> <paragraph num="(1)"> <text>“Commissioner” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Electronic Notice of Fraud” means any</text> <paragraph num="(a)"> <text>Any electronic communication from a User to an Operator expressing a concern that a transaction the User conducted using a Virtual Currency Service provided through the Operator’s Kiosk was a Fraudulent Transaction; and</text> </paragraph> <paragraph num="(b)"> <text>Sent to an Operator using either:</text> <paragraph num="(i)"> <text>A process established on the Operator’s website for submitting a Notice of Fraud through the website; or</text> </paragraph> <paragraph num="(ii)"> <text>An email address the Operator uses for receiving Notices of Fraud.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Fee” means any cost, charge, fee, or other expenses, however defined, collected by or on behalf of an Operator and collected from or charged to any User in connection with obtaining:</text> <paragraph num="(a)"> <text>A Virtual Currency Service from a Kiosk; or</text> </paragraph> <paragraph num="(b)"> <text>Any money transmission involving virtual currency facilitated through a Kiosk.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Fixed Location Kiosk” means a Kiosk the Operator intends to operate at a single location for the calendar year in which the Kiosk is registered hereunder.</text> </paragraph> <paragraph num="(5)"> <text>“Fraud” means:</text> <paragraph num="(a)"> <text>Any common law fraud;</text> </paragraph> <paragraph num="(b)"> <text>An intentional act or attempt to obtain something of value from a person through threats, willful misrepresentation, or representations made with a reckless disregard for the truth; or</text> </paragraph> <paragraph num="(c)"> <text>Any willful false or reckless representation of a material fact, whether by words or by conduct, by false, reckless, or misleading allegations, or by concealment of that which should have been disclosed, which causes a person to act, or fail to act, to the detriment of the person’s interest.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Fraudulent Transaction” means any transaction involving a User who obtains a Virtual Currency Service from a Kiosk in connection with the transaction if the User engaged in the transaction because of Fraud perpetrated by another person.</text> </paragraph> <paragraph num="(7)"> <text>Kiosk.</text> <paragraph num="(a)"> <text>“Kiosk” means a virtual currency kiosk</text> </paragraph> <paragraph num="(b)"> <text>“Kiosk” includes any Fixed Location Kiosk and Mobile Kiosk.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Mail” means first class United States mail, postage prepaid.</text> </paragraph> <paragraph num="(9)"> <text>“Mobile Kiosk” means a Kiosk the Operator intends to operate at more than one location for the calendar year in which the Kiosk is registered.</text> </paragraph> <paragraph num="(10)"> <text>“Money Transmission” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(11)"> <text>“NMLS” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(12)"> <text>“Non-Electronic Notice of Fraud” means:</text> <paragraph num="(a)"> <text>Any verbal or written communication from a User to an Operator which expresses a concern that the transaction the User conducted with a Virtual Currency Service provided through the Operator’s Kiosk was a Fraudulent Transaction; and</text> </paragraph> <paragraph num="(b)"> <text>Sent to an Operator in any manner that does not constitute an Electronic Notice of Fraud.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>“Notice of Fraud” means any:</text> <paragraph num="(a)"> <text>Electronic Notice of Fraud; and</text> </paragraph> <paragraph num="(b)"> <text>Non-electronic Notice of Fraud.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>“Operator” means a Virtual Currency Kiosk Operator.</text> </paragraph> <paragraph num="(15)"> <text>User.</text> <paragraph num="(a)"> <text>“User” means any person using a Kiosk located in the State to obtain a Virtual Currency Service.</text> </paragraph> <paragraph num="(b)"> <text>“User” includes a person who authorizes a third party to obtain a Virtual Currency Service using a Kiosk on behalf of the User.</text> </paragraph> </paragraph> <paragraph num="(16)"> <text>“Receipt” means the receipt an Operator must dispense or display to a User under Financial Institutions Article §12-1204, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(17)"> <text>“Registration Fee” means any fee imposed by the Commissioner to:</text> <paragraph num="(a)"> <text>Register as an Operator; or</text> </paragraph> <paragraph num="(b)"> <text>Register a Kiosk.</text> </paragraph> </paragraph> <paragraph num="(18)"> <text>“State” means the state of Maryland.</text> </paragraph> <paragraph num="(19)"> <text>“Virtual Currency” has the meaning stated in Financial Institutions Article, §12-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(20)"> <text>“Virtual Currency Address” means an alphanumeric identifier representing a destination for a virtual currency transfer that is associated with a virtual currency wallet.</text> </paragraph> <paragraph num="(21)"> <text>“Virtual Currency Kiosk” has the meaning stated in Financial Institutions Article, §12-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(22)"> <text>“Virtual Currency Kiosk Operator” has the meaning stated in Financial Institutions Article, §12-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(23)"> <text>“Virtual Currency Service” has the meaning stated in Financial Institutions Article, §12-1201, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(24)"> <text>“Virtual Currency Wallet” means a software application or other mechanism providing a means for holding, storing and transferring virtual currency.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Registration."> <paragraph num="A."> <text>Registration of Operator.</text> <paragraph num="(1)"> <text>A person may not operate a Kiosk in the State after January 1, 2026, unless registered as an Operator with the Commissioner.</text> </paragraph> <paragraph num="(2)"> <text>A person shall register through NMLS with the Commissioner as an Operator:</text> <paragraph num="(a)"> <text>On or before January 1, 2026, if operating a Kiosk in the State on or before that date; or</text> </paragraph> <paragraph num="(b)"> <text>Prior to operating a Kiosk in the State after January 1, 2026.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A person registering as an Operator shall pay:</text> <paragraph num="(a)"> <text>The Commissioner a non-refundable Registration Fee of $2,000; and</text> </paragraph> <paragraph num="(b)"> <text>Any cost or fee required by NMLS.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A person registering as an Operator shall provide through NMLS:</text> <paragraph num="(a)"> <text>The legal name of the Operator and any trade name used by the Operator in accordance with Financial Institutions Article §2-121, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(b)"> <text>The address of the operator’s principal executive office;</text> </paragraph> <paragraph num="(c)"> <text>The names of any persons directly or indirectly holding an ownership share of 10 percent or more of the operator;</text> </paragraph> <paragraph num="(d)"> <text>A flow of funds for all Virtual Currency Services the Operator will offer through its Kiosks; and</text> </paragraph> <paragraph num="(e)"> <text>Any other information the Commissioner requests.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Registration of Kiosks.</text> <paragraph num="(1)"> <text>An Operator may not operate a Kiosk in the State on or after January 1, 2026, unless the Operator has registered that Kiosk with the Commissioner.</text> </paragraph> <paragraph num="(2)"> <text>A person shall register each Kiosk operated in the State through NMLS with the Commissioner:</text> <paragraph num="(a)"> <text>On or before January 1, 2026, if operating that Kiosk in the State on or before that date; or</text> </paragraph> <paragraph num="(b)"> <text>Prior to operating that Kiosk in the State after January 1, 2026.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An Operator registering a Kiosk shall pay:</text> <paragraph num="(a)"> <text>The Commissioner a non-refundable Registration Fee of $200 for each registered Kiosk; and</text> </paragraph> <paragraph num="(b)"> <text>Any fee required by NMLS.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>An Operator registering a Kiosk shall provide through NMLS:</text> <paragraph num="(a)"> <text>Unique identifying information for the Kiosk, such as the manufacturer name, model number, serial number, or asset tag;</text> </paragraph> <paragraph num="(b)"> <text>If the Kiosk is a Fixed Location Kiosk, the address at which the Kiosk will be operated;</text> </paragraph> <paragraph num="(c)"> <text>If the Kiosk is a Mobile Kiosk:</text> <paragraph num="(i)"> <text>The address of each location at which the Operator expects to operate the Kiosk for more than 30 calendar days; and</text> </paragraph> <paragraph num="(ii)"> <text>The geographic area encompassing the locations at which the Operator expects to operate the Kiosk for 30 calendar days or less;</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>A description of all services to be provided by the Kiosk; and</text> </paragraph> <paragraph num="(e)"> <text>Any other information the Commissioner requests.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>An Operator shall designate a Kiosk intended for use as a Fixed Location Kiosk as a Fixed Location Kiosk through NMLS in accordance with the process the Commissioner requires.</text> </paragraph> <paragraph num="(6)"> <text>An Operator shall designate a Kiosk intended for use as a Mobile Kiosk as a Mobile Kiosk through NMLS in accordance with the process the Commissioner requires.</text> </paragraph> <paragraph num="(7)"> <text>An Operator may only operate a Kiosk at the address or, if a Mobile Kiosk, in the geographic area listed for that Kiosk in NMLS.</text> </paragraph> <paragraph num="(8)"> <text>An Operator may change the designation of a Kiosk as either a Mobile Kiosk or a Fixed Location Kiosk through NMLS by:</text> <paragraph num="(a)"> <text>Changing the designation through the process the Commissioner requires;</text> </paragraph> <paragraph num="(b)"> <text>Paying any required fee; and</text> </paragraph> <paragraph num="(c)"> <text>Updating the Kiosk’s location information.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>Contemporaneously with changing a Kiosk’s location, an Operator must update information in NMLS to accurately reflect the new location.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Term of Registrations and Renewals.</text> <paragraph num="(1)"> <text>The term of any registration under this regulation shall:</text> <paragraph num="(a)"> <text>Begin the day the Operator completes the registration in NMLS; and</text> </paragraph> <paragraph num="(b)"> <text>Expire on December 31 of the year:</text> <paragraph num="(i)"> <text>The Operator completes the registration, if completed before November 1; or</text> </paragraph> <paragraph num="(ii)"> <text>Succeeding the year the Operator completes the registration, if completed between November 1 and December 31.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>On or after November 1 of each year, registration as an Operator and for each individual Kiosk under this regulation may be renewed for a 1-year term if the Operator:</text> <paragraph num="(a)"> <text>Is otherwise entitled to be registered;</text> </paragraph> <paragraph num="(b)"> <text>Completes the renewal process established through NMLS;</text> </paragraph> <paragraph num="(c)"> <text>Provides through NMLS any information the Commissioner requests as part of the renewal;</text> </paragraph> <paragraph num="(d)"> <text>Submits through NMLS the annual report required by Regulation .08 of this chapter;</text> </paragraph> <paragraph num="(e)"> <text>Pays any fees imposed by NMLS;</text> </paragraph> <paragraph num="(f)"> <text>Pays the Commissioner a non-refundable Registration Fee of $2,000 to register as an Operator; and</text> </paragraph> <paragraph num="(g)"> <text>Pays the Commissioner a non-refundable Registration Fee of $200 for each Kiosk the Operator intends to operate in the State.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>A person may not renew registration for a Kiosk unless the person has renewed its registration as an Operator.</text> </paragraph> <paragraph num="E."> <text>All Registration Fees shall be paid to the Commissioner through NMLS.</text> </paragraph> <paragraph num="F."> <text>Money Transmission.</text> <paragraph num="(1)"> <text>Registration as an Operator does not exempt a person from licensure under Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland, if one or more Kiosks operated by the Operator facilitate money transmission.</text> </paragraph> <paragraph num="(2)"> <text>Possession of a license, or exemption from licensure, under Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland, does not exempt a person from registration under Financial Institutions Article, Title 12, Subtitle 12, Annotated Code of Maryland, if that person operates a Kiosk offering virtual currency services.</text> </paragraph> <paragraph num="(3)"> <text>A Kiosk shall be deemed to facilitate money transmission if it is capable of facilitating money transmission, regardless of whether the Operator purports to offer money transmission services through that kiosk, unless the Operator disables this function and prevents such facilitation.</text> </paragraph> <paragraph num="(4)"> <text>An Operator offering both Virtual Currency Services and money transmission through a Kiosk shall fully comply with all applicable provisions of:</text> <paragraph num="(a)"> <text>Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland, and all regulations issued thereunder; and</text> </paragraph> <paragraph num="(b)"> <text>Financial Institutions Article, Title 12, Subtitle 12, Annotated Code of Maryland, and all regulations issued thereunder.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Other Services.</text> <paragraph num="(1)"> <text>An Operator may only offer the following services through a Kiosk:</text> <paragraph num="(a)"> <text>Virtual Currency Services;</text> </paragraph> <paragraph num="(b)"> <text>Money transmission, provided the Operator complies with the licensing provisions of Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(c)"> <text>Any other service State law expressly authorizes an operator to offer through a Kiosk.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Any service offered through a Kiosk must comply with all State law relating to that service, including all applicable licensing or registration requirements.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Fee Refunds for Fraudulent Transactions."> <paragraph num="A."> <text>Scope.</text> <paragraph num="(1)"> <text>This regulation governs the procedure by which a User may request a Fee Refund on a transaction the User alleges is a Fraudulent Transaction.</text> </paragraph> <paragraph num="(2)"> <text>A User’s rights under this regulation are in addition to any rights a User may have under any applicable law.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Fee Refund” means a refund under this regulation of the Fee charged to that User.</text> </paragraph> <paragraph num="(b)"> <text>“Refund Claim” means a User’s claim for a Fee Refund.</text> </paragraph> <paragraph num="(c)"> <text>“Refund Denial” means an Operator’s denial of a Refund Claim.</text> </paragraph> <paragraph num="(d)"> <text>“Written Confirmation” means a written confirmation of a verbally given Notice of Fraud.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Notice of Fraud by User.</text> <paragraph num="(1)"> <text>An Operator shall treat any Notice of Fraud as a Refund Claim.</text> </paragraph> <paragraph num="(2)"> <text>A User must provide a Notice of Fraud to an Operator no more than 90 calendar days after the alleged Fraudulent Transaction.</text> </paragraph> <paragraph num="(3)"> <text>A Notice of Fraud is sufficient for this regulation if it:</text> <paragraph num="(a)"> <text>Includes the User’s name;</text> </paragraph> <paragraph num="(b)"> <text>Provides a copy of the Receipt or otherwise provides information sufficient to identify the Virtual Currency Services the User obtained through the Operator’s Kiosk; and</text> </paragraph> <paragraph num="(c)"> <text>Contains a brief description of why the User believes the transaction was a Fraudulent Transaction.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>An Operator may not engage in any act or subterfuge to make it difficult for a User to provide a Notice of Fraud.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Place of Notice.</text> <paragraph num="(1)"> <text>An Operator must offer a User:</text> <paragraph num="(a)"> <text>At least one method to submit an Electronic Notice of Fraud; and</text> </paragraph> <paragraph num="(b)"> <text>At least one method to submit a Non-electronic Notice of Fraud.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Operator shall conspicuously include information on its website and in any promotional materials explaining how a User may submit:</text> <paragraph num="(a)"> <text>An Electronic Notice of Fraud; and</text> </paragraph> <paragraph num="(b)"> <text>A Non-electronic Notice of Fraud.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An Operator may require the User to submit a Non-electronic Notice of Fraud only to a telephone number or address disclosed on the Receipt, provided that the Operator:</text> <paragraph num="(a)"> <text>Has reasonable procedures to redirect a User to the specified telephone number or address if the User attempts to provide a Non-electronic Notice of Fraud by other means;</text> </paragraph> <paragraph num="(b)"> <text>Has reasonable procedures to route any written Non-electronic Notice of Fraud the Operator receives at any other address to the department or personnel responsible for investigating and resolving a Refund Claim; and</text> </paragraph> <paragraph num="(c)"> <text>Conspicuously displays the designated telephone number or address for a User to provide a Non-electronic Notice of Fraud on any website the Operator maintains.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>If a User provides a written Notice of Fraud to an address other than the address designated by the Operator and the Operator receives such Notice of Fraud:</text> <paragraph num="(a)"> <text>The Operator must process the Notice of Fraud as a Refund Claim in accordance with this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>The time frame for investigating and resolving the Refund Claim shall begin 5 business days after the Operator’s receipt of the Notice of Fraud at the incorrect address.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Written Confirmation.</text> <paragraph num="(1)"> <text>An Operator may require a User to provide Written Confirmation of a verbal Non-electronic Notice of Fraud within 30 calendar days of the verbal Non-electronic Notice of Fraud.</text> </paragraph> <paragraph num="(2)"> <text>An Operator requiring a Written Confirmation under this Section shall:</text> <paragraph num="(a)"> <text>At the time of the verbal Non-electronic Notice of Fraud:</text> <paragraph num="(i)"> <text>Inform the User that the Operator must receive a Written Confirmation; and</text> </paragraph> <paragraph num="(ii)"> <text>Inform the User that the Operator will mail the User a notice concerning the Written Confirmation; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Within 3 business days of the verbal Non-electronic Notice of Fraud, mail the User written notice stating:</text> <paragraph num="(i)"> <text>The Operator requires a Written Confirmation;</text> </paragraph> <paragraph num="(ii)"> <text>A specific date at least 30 calendar days after the date of the notice by which the User must submit the Written Confirmation;</text> </paragraph> <paragraph num="(iii)"> <text>The address to send the Written Confirmation; and</text> </paragraph> <paragraph num="(iv)"> <text>The User’s failure to timely provide a Written Confirmation may result in a Refund Denial.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>An Operator may not require the Written Confirmation to include information inconsistent with the definition of a Non-electronic Notice of Fraud.</text> </paragraph> <paragraph num="(4)"> <text>A User who verbally provides a Non-electronic Notice of Fraud within the time frame established by §E(2) of this regulation has timely submitted a Notice of Fraud.</text> </paragraph> <paragraph num="(5)"> <text>If a User fails to provide the Written Confirmation within 30 calendar days of the Operator’s full compliance with §E(2) of this regulation:</text> <paragraph num="(a)"> <text>The Operator may mail written notice to the User:</text> <paragraph num="(i)"> <text>Informing the User that the Operator has not received the Written Confirmation;</text> </paragraph> <paragraph num="(ii)"> <text>Requiring the User to provide the Written Confirmation within 30 calendar days of the notice; and</text> </paragraph> <paragraph num="(iii)"> <text>Informing the User the Operator may deny the Refund Claim if the User fails to provide the Written Confirmation within 30 calendar days of the notice.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A User’s failure to provide a timely Written Confirmation following the Operator’s compliance with §E(5)(a) of this regulation constitutes grounds to issue a Refund Denial.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Investigation and Resolution.</text> <paragraph num="(1)"> <text>Except as otherwise expressly set forth in this regulation, an Operator shall have 30 calendar days from receipt of a Notice of Fraud to investigate and resolve the Refund Claim.</text> </paragraph> <paragraph num="(2)"> <text>If the Operator requested a Written Confirmation in compliance with §E of this regulation, the Operator shall have 30 calendar days from receipt of the Written Confirmation to investigate and resolve the Refund Claim.</text> </paragraph> <paragraph num="(3)"> <text>In connection with its investigation of a Refund Claim, an Operator may:</text> <paragraph num="(a)"> <text>Inquire if the User filed a police report;</text> </paragraph> <paragraph num="(b)"> <text>Inquire if the User possesses any documents or communications relating to the alleged Fraudulent Transaction; and</text> </paragraph> <paragraph num="(c)"> <text>Request copies of any police report filed or documents possessed by the User and relating to the alleged Fraudulent Transaction.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>In connection with its investigation of a Refund Claim, an Operator may not:</text> <paragraph num="(a)"> <text>Require the filing of a police report;</text> </paragraph> <paragraph num="(b)"> <text>Require the User to provide copies of a filed police report or documents relating to the alleged Fraudulent Transaction;</text> </paragraph> <paragraph num="(c)"> <text>Imply that a failure to file a police report, provide copies of a filed police report, or provide copies of documents relating to the alleged Fraudulent Transaction will impact the Refund Claim;</text> </paragraph> <paragraph num="(d)"> <text>Issue a Refund Denial based on a failure to file a police report, failure to provide copies of a filed police report, or failure to provide copies of documents relating to the to the alleged Fraudulent Transaction; or</text> </paragraph> <paragraph num="(e)"> <text>Charge any cost, fee, or other amount to investigate and resolve a Refund Claim.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>A User shall reasonably cooperate with the Operator’s investigation of a Refund Claim by answering questions concerning the Fraudulent Transaction.</text> </paragraph> <paragraph num="(6)"> <text>Within 3 business days of completing its investigation, an Operator shall resolve a Refund Claim by mailing the User either:</text> <paragraph num="(a)"> <text>A Refund Denial; or</text> </paragraph> <paragraph num="(b)"> <text>A statement granting the Refund Claim.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>A Refund Denial must:</text> <paragraph num="(a)"> <text>Generally describe the Operator’s investigative process;</text> </paragraph> <paragraph num="(b)"> <text>List any facts the Operator relied on for the Refund Denial;</text> </paragraph> <paragraph num="(c)"> <text>Describe any other factors the Operator relied on for the Refund Denial;</text> </paragraph> <paragraph num="(d)"> <text>Inform the User of the right to file a complaint regarding the Refund Denial with the Commissioner; and</text> </paragraph> <paragraph num="(e)"> <text>Provide the User with a link or other information needed to reach the Commissioner.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>An Operator may not issue a Refund Denial based on any of the following:</text> <paragraph num="(a)"> <text>User’s negligence;</text> </paragraph> <paragraph num="(b)"> <text>User’s failure to consider or act upon warnings and disclosures provided by the Operator;</text> </paragraph> <paragraph num="(c)"> <text>User’s responses to questions posed by the Operator when the User obtained the Virtual Currency Services; or</text> </paragraph> <paragraph num="(d)"> <text>User submission of a Notice of Fraud for a prior transaction.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>A Fee Refund shall be issued promptly in United States currency.</text> </paragraph> <paragraph num="(10)"> <text>A User receiving a Refund Denial may file a complaint with the Commissioner.</text> </paragraph> <paragraph num="(11)"> <text>A complaint concerning a Refund Denial must be filed with the Commissioner within 3 years of the User’s receipt of the Refund Denial.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Fraud Prevention."> <paragraph num="A."> <text>An Operator shall maintain restrictions that prevent more than one User of the Operator from using the same virtual currency wallet.</text> </paragraph> <paragraph num="B."> <text>An Operator shall have the ability to prevent designated virtual currency wallets from being used at any Kiosk of the Operator.</text> </paragraph> <paragraph num="C."> <text>An Operator shall use an established third party that specializes in performing blockchain analyses to preemptively perform such analyses to identify and prevent high risk or sanctioned virtual currency wallets from being used by Users at Kiosks of the Operator.</text> </paragraph> <paragraph num="D."> <text>An Operator shall establish, in the Operator’s policies and procedures, a risk-based method of monitoring Users on a post-transaction basis.</text> </paragraph> <paragraph num="E."> <text>An Operator shall designate and employ a chief compliance officer.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Communications and Notices."> <paragraph num="A."> <text>An Operator shall provide all required notices and communications to a User under this chapter using information the Operator collects from the User under Financial Institutions Article, §12-1204 (c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>This regulation does not apply to:</text> <paragraph num="(1)"> <text>The Receipt; and</text> </paragraph> <paragraph num="(2)"> <text>Any notices or communications this chapter requires the Operator to:</text> <paragraph num="(a)"> <text>Physically place on the Kiosk; or</text> </paragraph> <paragraph num="(b)"> <text>Display on a Kiosk screen.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>An Operator shall provide reasonable procedures for a User to securely change contact information the User previously supplied to the Operator.</text> </paragraph> <paragraph num="D."> <text>An Operator shall provide reasonable procedures for a User to select the User’s preferred method of communication.</text> </paragraph> <paragraph num="E."> <text>The User’s selection of a preferred method of communication shall not relieve an Operator of any duty to provide information in a manner expressly required by this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Lighting, Safety, and Signage."> <paragraph num="A."> <text>Each Kiosk operated in the State by an Operator shall comply with Financial Institutions Article, §§1-402 (b), (c) and 1-402.1, Annotated Code of Maryland for each Kiosk it operates.</text> </paragraph> <paragraph num="B."> <text>For the purposes of this regulation only, the Operator shall treat the Kiosk as an automated teller machine.</text> </paragraph> <paragraph num="C."> <text>The exceptions contained in Financial Institutions Article, §§1-402 (a), Annotated Code of Maryland do not apply to a Kiosk.</text> </paragraph> <paragraph num="D."> <text>An Operator shall evaluate the safety of each Kiosk, regardless of location.</text> </paragraph> <paragraph num="E."> <text>The required safety evaluation need not consider the factors identified in Financial Institutions Article, §§1-402(b)(2), Annotated Code of Maryland, for a Kiosk located in a building meeting the requirements of Financial Institutions Article, §§1-402 (a)(2)(i), Annotated Code of Maryland.</text> </paragraph> <paragraph num="F."> <text>Each Kiosk operated in the State shall conspicuously display signage stating: “This Kiosk offers services relating to virtual currencies. The Maryland Commissioner of Financial Regulation will accept all questions or complaints regarding this Kiosk, operated by (name of Operator and NMLS unique identifier) at (address of Commissioner), phone (toll-free phone number of the Commissioner), or https://labor.maryland.gov/finance/ . You may confirm registration of this Kiosk with the Maryland Commissioner of Financial Regulation at (NMLS consumer access website).”</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Screen Disclosures."> <paragraph num="A."> <text>All required on-screen notices and disclosures under Financial Institutions Article §12-1201 et. seq., Annotated Code of Maryland, and this chapter shall:</text> <paragraph num="(1)"> <text>Remain on the Kiosk screen for a minimum of:</text> <paragraph num="(a)"> <text>Four seconds if the notice or disclosure contains 12 or less words; or</text> </paragraph> <paragraph num="(b)"> <text>One second for every 3 words, or fractions thereof, contained in the notice or disclosure; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Require User action to advance to another screen.</text> </paragraph> </paragraph> <paragraph num="B."> <text>For the purposes of calculating the time period a notice or disclosure must remain on a screen pursuant to Part A of this regulation, the words contained in a notice or disclosure include words that require scrolling to view.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Receipts."> <paragraph num="A."> <text>In addition to information required by Financial Institutions Article, §12-1204, Annotated Code of Maryland, a Receipt shall include:</text> <paragraph num="(1)"> <text>The name of, and contact information for, the Operator, including, but not limited to, the Operator's business address and a customer service telephone number established by the Operator to answer questions and register complaints;</text> </paragraph> <paragraph num="(2)"> <text>The Operator’s NMLS unique identifier;</text> </paragraph> <paragraph num="(3)"> <text>The User’s name;</text> </paragraph> <paragraph num="(4)"> <text>The date of the transaction reflected in the Receipt;</text> </paragraph> <paragraph num="(5)"> <text>The amount of such virtual currency transaction expressed in United States currency;</text> </paragraph> <paragraph num="(6)"> <text>The exchange rate for the transaction, if applicable;</text> </paragraph> <paragraph num="(7)"> <text>The virtual currency address for that virtual currency transaction;</text> </paragraph> <paragraph num="(8)"> <text>The full unique transaction hash or identification number associated with the transaction;</text> </paragraph> <paragraph num="(9)"> <text>The public virtual currency address of the User;</text> </paragraph> <paragraph num="(10)"> <text>Any fee charged by the Operator;</text> </paragraph> <paragraph num="(11)"> <text>Any tax collected by the Operator for such virtual currency transaction;</text> </paragraph> <paragraph num="(12)"> <text>If the transaction reflected in the Receipt involves money transmission, the recipient’s name and virtual currency address;</text> </paragraph> <paragraph num="(13)"> <text>A statement that the User may request a Fee Refund of any Fee charged in connection with a Fraudulent Transaction by submitting a Notice of Fraud;</text> </paragraph> <paragraph num="(14)"> <text>A statement explaining how a User may submit a Notice of Fraud, including any address or phone number the Operator has designated pursuant to Regulation .03 of this chapter for submitting a Notice of Fraud; and</text> </paragraph> <paragraph num="(15)"> <text>A statement the Maryland Commissioner of Financial Regulation will accept all questions or complaints regarding the Kiosk, at (address of Commissioner), phone (toll-free phone number of the Commissioner), or https://labor.maryland.gov/finance/.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Receipt shall be provided in English and in the any other language principally used by the Operator to advertise its services or transact business on the Kiosk.</text> </paragraph> <paragraph num="C."> <text>The Kiosk shall offer the User the ability to elect to receive the Receipt electronically at the time of the transaction;</text> </paragraph> <paragraph num="D."> <text>If the User does not elect electronic delivery of the Receipt, the Receipt shall be delivered to the User in retainable form at the time of the transaction.</text> </paragraph> <paragraph num="E."> <text>An Operator shall maintain all transactional data required for a Receipt for a period of 7 years from the date of the transaction.</text> </paragraph> <paragraph num="F."> <text>A Receipt that satisfies the requirements of this Regulation shall be deemed to satisfy the requirements contained in COMAR 09.03.14.16C for a virtual currency transaction conducted on a Kiosk that involves money transmission.</text> </paragraph> <paragraph num="G."> <text>Compliance with COMAR 09.03.14.16C does not relieve an Operator of any additional requirements imposed by this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Annual Report."> <paragraph num="A."> <text>An Operator shall prepare an annual report listing the following information for each Kiosk it maintains:</text> <paragraph num="(1)"> <text>Information sufficient to identify that Kiosk;</text> </paragraph> <paragraph num="(2)"> <text>The total number of transactions and the total dollar amount of transactions processed by that Kiosk;</text> </paragraph> <paragraph num="(3)"> <text>If the Kiosk was not operating for the full 12 months covered by the annual report, information sufficient to determine the timeframe in which the Operator operated that Kiosk in the State;</text> </paragraph> <paragraph num="(4)"> <text>The number of Notices of Fraud received for that Kiosk;</text> </paragraph> <paragraph num="(5)"> <text>If the Kiosk is a Mobile Kiosk, the location of the Mobile Kiosk at the time of the transaction described in each Notice of Fraud;</text> </paragraph> <paragraph num="(6)"> <text>The number and dollar amount of Refund Denials issued for that Kiosk;</text> </paragraph> <paragraph num="(7)"> <text>The number and dollar amount of Fee Refunds issued for that Kiosk; and</text> </paragraph> <paragraph num="(8)"> <text>The dollar amount of Fees subject to Notices of Fraud for that Kiosk.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Annual Report required by this regulation:</text> <paragraph num="(1)"> <text>Should include information with respect to each Kiosk for the lesser of:</text> <paragraph num="(a)"> <text>The preceding 12 months; or</text> </paragraph> <paragraph num="(b)"> <text>The timeframe in which that Kiosk offered Virtual Currency Services in the State; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>May run for any 12 consecutive monthly period ending no earlier than September 1 of the current calendar year.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Operator shall submit this annual report to the Commissioner through NMLS:</text> <paragraph num="(1)"> <text>At the time the Operator renews its Operator registration in accordance with Regulation .03 of this chapter; or</text> </paragraph> <paragraph num="(2)"> <text>On or before December 31st of the current calendar year if the Operator does not intend to renew its Operator registration in accordance with Regulation .03 of this chapter.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Financial Institutions Article, §§2-105.1, and 12-1209, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.10 adopted as an emergency provision effective December 5, 2025 (52:26 Md. R. 1306); adopted permanently effective March 30, 2026 (53:6 Md. R. 286)</annotation> </annotations> </chapter> </subtitle> <subtitle num="04" heading="Commissioner of Consumer Credit"> <chapter num="01" heading="General Regulations" reason="Chapter recodified from COMAR 09.04.01 to COMAR 09.03.02, April, 1998" /> <chapter num="02" heading="Consumer Loan Licenses" reason="Chapter repealed effective June 16, 1997 (24:12 Md. R. 864)" /> <chapter num="03" heading="Retail Installment Sellers" reason="Chapter recodified from COMAR 09.04.03 to COMAR 09.03.04, April, 1998" /> <chapter num="04" heading="Collection Agency Licensing Board" reason="Chapter repealed effective June 16, 1997 (24:12 Md. R. 864)" /> <chapter num="05" heading="Secondary Mortgage Loan Law" reason="Chapter repealed effective June 16, 1997 (24:12 Md. R. 864)" /> <chapter num="06" heading="Mortgage Lenders" reason="Chapter recodified from COMAR 09.04.06 to COMAR 09.03.06, April, 1998" /> <chapter num="07" heading="Credit Reporting Agencies" reason="Chapter recodified from COMAR 09.04.07 to COMAR 09.03.07, April, 1998" /> </subtitle> <subtitle num="05" heading="Division of Savings and Loan Associations" /> <subtitle num="06" heading="Maryland Deposit Insurance Fund Corporation" /> <subtitle num="07" heading="" /> <subtitle num="08" heading="Home Improvement Commission"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <text>The definitions contained in Business Regulation Article, §8-101, Annotated Code of Maryland, are incorporated into these regulations, by reference, as Regulation .01.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definition of Canvasser, Solicitor."> <text>The definitions of canvasser, solicitor, or similar term will be considered the same as the definition for a salesman; those persons using these terms will be subject to licensing and the requirements of the Maryland Home Improvement Law.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Licenses for Contractors and Salesmen."> <text>All contractors and salesmen required to be licensed shall have licenses on and after October 1, 1962.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Corporate or Partnership Licensure."> <paragraph num="A."> <text>A corporation or partnership may not act as a home improvement contractor unless it obtains a corporate or partnership home improvement contractor's license.</text> </paragraph> <paragraph num="B."> <text>To obtain and maintain a corporate or partnership home improvement license, the corporation or partnership shall employ one individual licensed contractor who shall be in responsible charge of the corporation's or partnership's home improvement work.</text> </paragraph> <paragraph num="C."> <text>The corporation or partnership and the individual in responsible charge of the corporation's or partnership's home improvement work shall be jointly and severally responsible for:</text> <paragraph num="(1)"> <text>Payment of any fees required by Business Regulation Article, §§8-302, 8-303, 8-308, and 8-404, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>Filing of a bond or other evidence of financial responsibility required by Business Regulation Article, §8-303(c), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>Repayment to the Home Improvement Commission Guaranty Fund pursuant to Business Regulation Article, §8-410, Annotated Code of Maryland, for any payments made to claimants from the Fund on account of violations by the corporation or partnership or the individual in responsible charge.</text> </paragraph> </paragraph> <paragraph num="D."> <text>For purposes of applying the limitation in Business Regulation Article, §8-405(e)(2), Annotated Code of Maryland, on Fund awards on account of the conduct of any one licensed contractor, the combined liability of a licensed corporation or partnership and the individual in responsible charge of the corporation's or partnership's work may not exceed the limitation in the aggregate.</text> </paragraph> <paragraph num="E."> <text>The Commissions may, pursuant to Business Regulation Article, §8-311, Annotated Code of Maryland, sanction a corporation or partnership for conduct which is in violation of Business Regulation Article, Title 8, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Issue of Salesman's License under Legal Name."> <text>A salesman's license will be issued only in the legal name of the applicant for the license.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="License Numbers on Vehicles."> <paragraph num="A."> <text>Licensed contractors and subcontractors shall conspicuously display their home improvement license number preceded by the designation "MHIC #' on both sides of all vehicles primarily used either by the licensee or under the licensee's direction and control for the performance of home improvement work.</text> </paragraph> <paragraph num="B."> <text>For purposes of this regulation, performance of home improvement work:</text> <paragraph num="(1)"> <text>Shall include, but not be limited to, transporting materials to and from the jobsite;</text> </paragraph> <paragraph num="(2)"> <text>May not include sales work.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Contractors or subcontractors are required to display only their own license numbers while they are performing work as a subcontractor.</text> </paragraph> <paragraph num="D."> <text>Displays required by this regulation shall be at least 3 inches in height.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Salesman's Representation of Contractors."> <paragraph num="A."> <text>A salesman may not represent any contractor unless the salesman complies with the provisions of this regulation.</text> </paragraph> <paragraph num="B."> <text>A salesman seeking to represent any contractor shall make application on forms provided by the Commission.</text> </paragraph> <paragraph num="C."> <text>A salesman may not represent more than two contractors at any one time.</text> </paragraph> <paragraph num="D."> <text>Before the Commission may authorize a salesman to represent two contractors at the same time, the salesman shall provide to the Commission the following:</text> <paragraph num="(1)"> <text>Written notice of appointment or employment signed by both the contractor duly licensed with the Commission and the salesman; and</text> </paragraph> <paragraph num="(2)"> <text>A copy of notification by certified mail, and evidence of its receipt, to each contractor represented by the salesman stating the names and addresses of each contractor represented by the salesman.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A contractor shall promptly notify the Commission when his association with any salesman is terminated, and a salesman shall promptly return to the Commission any authorization issued by the Commission to represent the contractor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Duty of Prime Contractor on Home Improvement Contract."> <text>In the performance of any Home Improvement Contract it shall be the non-delegable duty and obligation of the prime contractor to secure, or see to the securing of, every permit, license, or special exception necessary to the proper completion of the contract according to applicable state or local building laws.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Advertising."> <paragraph num="A."> <text>General Requirements.</text> <paragraph num="(1)"> <text>A licensed home improvement contractor may not solicit home improvement business by way of advertisement in a newspaper, magazine, circular, or printed document, or by way of television or radio announcement, unless the name and license number of the contractor are stated in the advertisement.</text> </paragraph> <paragraph num="(2)"> <text>A licensee may not directly or indirectly publish any advertisement relating to home improvements, including finance or credit terms, that contains an assertion, representation, or statement of fact that is false, deceptive, or misleading.</text> </paragraph> <paragraph num="(3)"> <text>General statements, such as “Factory to You”, “Direct to You”, “Buy from the Manufacturer”, “Save the Middleman's Profit”, or phrases of similar meaning may not be used unless the advertiser is actually the maker or producer of the merchandise advertised or offered for sale.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Discount Coupons. An advertisement which offers a discount coupon may not contain a requirement that the coupon be presented before the contractor provides an estimate or proposal.</text> </paragraph> <paragraph num="C."> <text>Guaranties or Warranties.</text> <paragraph num="(1)"> <text>If reference is made to a guaranty or warranty, or the word “guarantied” or “warranted” is used, the terms, conditions, limitations, and period of time covered shall be clearly and conspicuously disclosed. The terms shall indicate whether items such as “labor and material only”, “repair”, “replacement”, or “full refund” are offered. Basic limitations shall be disclosed in the advertisement.</text> </paragraph> <paragraph num="(2)"> <text>With respect to any guaranty offered by a licensee, compliance with the Maryland Consumer Products Guaranty Act, Commercial Law Article, §14-401—14-409, Annotated Code of Maryland, shall constitute prima facie evidence that a licensee has complied with §A(2) of this regulation. The Maryland Home Improvement Commission shall provide a copy of the Consumer Products Guaranty Act to any licensee within 5 days after receipt of a written request.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Special Disclosure Requirements.</text> <paragraph num="(1)"> <text>Credit Terms and Charges.</text> <paragraph num="(a)"> <text>Statements and claims regarding installment buying plans, finance, credit service, and carrying or service charges, including references to down payments, amounts, and frequency of payments, shall be accurate and clearly understandable, made in good faith, and in compliance with all other statutes or regulations regulating installment contracts.</text> </paragraph> <paragraph num="(b)"> <text>If a repayment price is offered, it shall be stated in specific amounts. The number of payments shall be stated, and the combination of amounts and number of payments advertised shall be readily available.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Prices.</text> <paragraph num="(a)"> <text>If a price is stated in an advertisement which does not include all costs of items necessary for the proper function and appearance of the installed product, this shall be clearly and conspicuously qualified in conjunction with the stated price by an explanatory statement.</text> </paragraph> <paragraph num="(b)"> <text>When the price or specific credit terms are stated in an advertisement, the advertisement shall accurately describe what is being offered at that price or on those terms. Any limitations to, or conditions on, what will be supplied at the stated price or credit terms shall be clearly and conspicuously stated in immediate conjunction with the featured statement.</text> </paragraph> <paragraph num="(c)"> <text>If the price advertised does not include all of the accessories which either appear in the advertisement, or which are necessary to affect proper installation and proper use of the item, the advertisement shall state that fact clearly and prominently in immediate conjunction with the advertised price. Extra charges may not be used as a device to disguise the actual selling price of merchandise.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Delivery Charges. If an extra charge is required to make delivery of an advertised home improvement item, it shall be clearly and conspicuously stated in the advertisement.</text> </paragraph> <paragraph num="(4)"> <text>Installation Charge. If installation is extra, the advertising shall disclose the fact clearly and conspicuously in immediate conjunction with the advertisement. For example:</text> <paragraph num="(a)"> <text>Installation Extra;</text> </paragraph> <paragraph num="(b)"> <text>Plus Installation;</text> </paragraph> <paragraph num="(c)"> <text>Installation at Extra Cost.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Offer Not Valid in Maryland. A statement that an offer in an advertisement is not valid in Maryland shall be conspicuously displayed in the advertisement.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Model Home Offers and Referral Offers."> <text>A licensee may not promise to any owner that the owner's building will be used as a “model home,” “advertising job,” or for other similar purposes, when the licensee also will:</text> <paragraph num="A."> <text>Pay a commission or other compensation to the owner for any sale made within any specified distance from the owner's building; or</text> </paragraph> <paragraph num="B."> <text>Consequently reduce the cost for the owner of any home improvement work.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Notice of Change of Licensing Information."> <text>Licensees shall notify the Commission, in writing, within 10 days, of any change of control in ownership or management, or a change of address or trade name of the licensee. This notice shall be sent to the Executive Director of the Commission by certified mail, return receipt requested.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Duty of Prime Contractor to Pay Subcontractors and Workmen."> <text>In the performance of any home improvement contract, it shall be the nondelegable duty and obligation of the prime contractor to pay the subcontractors and workmen and materialmen so as to avoid the subjection of the property of the owner to mechanics' liens and materialmen's liens.</text> </regulation> <regulation prefix="Regulation" num=".13" heading="Time Limitations for Filing Complaints."> <text>The Commission may summarily dismiss any complaint brought against a licensee after 3 years from the date of the home improvement contract for the work from which the complaint arises, unless the Commission finds that the complainant's delay in bringing the complaint was justified and that the delay does not result in an undue burden for the licensee.</text> </regulation> <regulation prefix="Regulation" num=".14" heading="Application for Licensure as Home Improvement Contractor."> <text>An application for licensure as a home improvement contractor, whether it is in the name of an individual, partnership, proprietorship, or corporation, may not be accepted, if the name under which the licensee will be trading is the same as the name being used by an existing licensee, or is so similar to the name being used by an existing licensee that it will cause confusion on the part of the public at large. This regulation shall apply prospectively only to new applications received as of July 1, 1974.</text> </regulation> <regulation prefix="Regulation" num=".15" heading="Contracts Subject to Approval of Licensee."> <paragraph num="A."> <text>Every home improvement contract which contains a stipulation or condition or which is represented to be that the contract is subject to the approval of the contractor before it becomes binding or any other language requiring prior approval before acceptance shall state that approval or disapproval of the contract shall be made within 10 working days from the date of the contract. The owner shall be duly informed, in writing, by the contractor of the decision approving or disapproving the contract within that time.</text> </paragraph> <paragraph num="B."> <text>If the home improvement contract described in §A of this regulation is not approved, money or other collateral tendered as a deposit or down payment to a contractor, salesman, or any other person shall be returned to the owner within 3 working days of the date of disapproval, and not later than 13 working days from the date of the contract.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Examination."> <paragraph num="A."> <text>The examination shall be held as often as necessary at a test site determined by the Commission. This examination may be offered at various political subdivisions throughout the State. The examination shall include the law relating to the practice of home improvement contracting and the applicant's competence to perform home improvement work. The examination for competence may be oral or written.</text> </paragraph> <paragraph num="B."> <text>Each applicant shall file with the Commission a written application on forms which will be furnished on request. The application must be filed not later than 1 week before the date on which the examination is held, and must be accompanied by the required fee, and a full face photograph, taken within the year preceding the initial application.</text> </paragraph> <paragraph num="C."> <text>The passing mark shall be 70 in the subject matter. If the applicant has failed to pass the examination, he will not be eligible to reapply until 21 days have elapsed. A request for a second reconsideration received after the second failure will not be accepted until 60 days have elapsed.</text> </paragraph> <paragraph num="D."> <text>If an applicant fails to sit for the examination as scheduled, the applicant shall, in order to be rescheduled for the examination, file a written application, on forms provided by the Commission, accompanied by the fee as determined in Business Regulation Article, §8-302(c), Annotated Code of Maryland. The Commission may, for good cause and upon written request of the applicant, waive the requirement for a subsequent fee.</text> </paragraph> <paragraph num="E."> <text>The time limitation within which an applicant is required to pass is as stated in §C of this regulation. If an applicant has been denied registration of a license, because of failure to pass the examination, the applicant may submit to the Commission a request for reconsideration.</text> </paragraph> <paragraph num="F."> <text>As soon as practicable after grading of the examination papers has been completed, every applicant will be notified in writing what his grades are. Within a period of 30 days after the notice, the applicant may request the Executive Director of the Commission for permission to review his examination papers.</text> </paragraph> <paragraph num="G."> <text>The fee for the written examination shall be authorized as determined in Business Regulation Article, §8-302(c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="H."> <text>An applicant for a new license shall pass the examination within the 2-year period immediately preceding receipt of the license application by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Repealed." /> <regulation prefix="Regulation" num=".18" heading="License Renewals."> <paragraph num="A."> <text>Applications Within 2 Years of License Expiration.</text> <paragraph num="(1)"> <text>An application for a license previously issued which is received within 2 years from the date of the previously issued license's expiration shall be presumed to be an application for a renewal of that license.</text> </paragraph> <paragraph num="(2)"> <text>Upon a showing of good cause by the applicant, an application described in §A(1) of this regulation may be considered an application for a new license.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Applications After 2 Years of License Expiration.</text> <paragraph num="(1)"> <text>An application for a license previously issued which is received more than 2 years from the date of the previously issued license's expiration shall be presumed to be an application for a new license.</text> </paragraph> <paragraph num="(2)"> <text>Upon a showing of good cause by the applicant, an application described in §B(1), above, may be considered an application for a renewal of the previously issued license.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Effective Date of Renewals. A license renewed pursuant to this regulation may not be retroactive to the date that the previously issued license expired, but shall take effect on the date that the applicant fulfills the Commission's requirements for a renewal. The license shall expire 2 years from the date on which the previously issued license expired.</text> </paragraph> <paragraph num="D."> <text>Guaranty Fund Assessment. Before the Commission renews a contractor license, the contractor shall pay a fee of $175 to be credited to the Fund.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Financial Solvency."> <paragraph num="A."> <text>An applicant for an original contractor's license shall submit to the Commission with the application a credit report from an approved credit reporting agency and a statement of all outstanding judgments and pending civil actions against the applicant.</text> </paragraph> <paragraph num="B."> <text>The Commission shall consider this credit report and statement in determining whether the applicant has demonstrated financial solvency as required by Business Regulation Article, § 8-311(a)(9), Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>An applicant that does not demonstrate a net worth equal to the maximum Fund award available to one claimant for acts of omissions of one contractor under Business Regulation Article, §8-405(e)(1), Annotated Code of Maryland, must obtain a 2-year surety bond for that amount.</text> </paragraph> <paragraph num="D."> <text>A licensee that obtains a surety bond to satisfy the financial solvency requirement must maintain a surety bond for an amount equal to the maximum Fund award available to one claimant for acts of omissions of one contractor at all times unless the licensee demonstrates a sufficient net worth and the Commission authorizes the licensee to cancel the bond.</text> </paragraph> <paragraph num="E."> <text>At any time, the Commission may require a licensee to demonstrate financial solvency and may revoke a license if the licensee fails to do so.</text> </paragraph> <paragraph num="F."> <text>The fact that an applicant or licensee holds a surety bond does not preclude the Commission from denying an application or revoking or suspending a license under Business Regulation Article, §8-311(a)(9, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Interest on Guaranty Fund Repayments."> <text>A contractor required to repay the Guaranty Fund pursuant to Business Regulation Article, §8-410(c), Annotated Code of Maryland, shall repay the amount paid from the Fund on the contractor's account plus interest at the rate of 10 percent per annum simple interest.</text> </regulation> <regulation prefix="Regulation" num=".21" heading="Television Antenna Installation."> <paragraph num="A."> <text>As used in this regulation, “television antenna” means a device used to receive television signals from terrestrial over-the-air-broadcasts or satellites for use in a building used or designed to be used as a residence or dwelling place of one, two, or three single family units.</text> </paragraph> <paragraph num="B."> <text>The installation of a television antenna may not be subject to the Maryland Home Improvement Law if all of the following criteria are met:</text> <paragraph num="(1)"> <text>The party requesting the installation does not intend for the television antenna to be fabricated into and become a permanent fixed part of the building or adjacent land;</text> </paragraph> <paragraph num="(2)"> <text>The installation does not require any substantial modification or alteration of the building to mount the television antenna or to install the wiring from the television antenna;</text> </paragraph> <paragraph num="(3)"> <text>The attachment of the television antenna is accomplished by means of screws or other similar devices that may be removed and after removal the building does not require any repair other than repairing the screw holes and normal finishing work;</text> </paragraph> <paragraph num="(4)"> <text>The television antenna and its attaching mount may be removed without damage to the building, the land, or the television antenna and its attaching mount; and</text> </paragraph> <paragraph num="(5)"> <text>The installation does not require the permanent affixation of a pole or similar device to the building or adjacent land.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An installation of a television antenna not meeting the criteria of §B of this regulation shall be subject to the Maryland Home Improvement Law unless otherwise determined by the Commission on a case-by-case basis.</text> </paragraph> <paragraph num="D."> <text>A party under §C of this regulation shall have the burden of persuasion that the television antenna installation is not subject to the Maryland Home Improvement Law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Outstanding Obligations."> <text>Under Business Regulation Article, §8-306(d)(1), Annotated Code of Maryland, an applicant's outstanding obligation is considered a financial obligation arising out of the applicant's conviction for violation of Business Regulation Article, §8-601, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".23" heading="Experience or Education Requirement."> <paragraph num="A."> <text>Trade Experience.</text> <paragraph num="(1)"> <text>An applicant for a home improvement contractor's license shall have at least 2 years of trade experience.</text> </paragraph> <paragraph num="(2)"> <text>“Trade experience” includes one or more of the following:</text> <paragraph num="(a)"> <text>Participation in a registered apprenticeship program;</text> </paragraph> <paragraph num="(b)"> <text>Employment in performing home improvements;</text> </paragraph> <paragraph num="(c)"> <text>Employment in performing commercial or residential construction, repairs, or renovations;</text> </paragraph> <paragraph num="(d)"> <text>Participation in a community service or charitable building or renovation program; or</text> </paragraph> <paragraph num="(e)"> <text>Performing repairs and improvements which require a building permit on one's home or the home of family members.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Experience as a licensed home improvement salesperson for at least 2 years may be credited as trade experience, if the Home Improvement Commission determines that the applicant has gained substantial knowledge of the operation of a home improvement business.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Business Experience in Other Areas. Experience in the capacity of supervisor, manager, or owner of a business may be substituted for 1 year of the required trade experience, based on a review by the Home Improvement Commission, or an applicant for a home improvement contractor's license may substitute for the required trade experience educational training in:</text> <paragraph num="(1)"> <text>Vocational school training in a building trade; or</text> </paragraph> <paragraph num="(2)"> <text>Participation in a building trade work-study program.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Experience or educational qualifications of applicants for a home improvement contractor's license who have documented handicaps shall be considered by the Commission on an individual basis.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".24" heading="Street Address Required."> <paragraph num="A."> <text>This regulation applies to all applications, both original and renewal, received after April 30, 1994.</text> </paragraph> <paragraph num="B."> <text>An applicant for a contractor license shall provide to the Commission the actual street address of the contractor's principal business office. An applicant may not provide a post office box or private mail drop as the applicant's business address of record.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".25" heading="Arbitration Clause."> <paragraph num="A."> <text>A mandatory arbitration clause in a home improvement contract shall include the following information:</text> <paragraph num="(1)"> <text>The name of the person or organization that will conduct the arbitration;</text> </paragraph> <paragraph num="(2)"> <text>Whether any mandatory fees will be charged to the parties for participation in the arbitration and include the fee schedule;</text> </paragraph> <paragraph num="(3)"> <text>Whether the arbitrator's findings are binding; and</text> </paragraph> <paragraph num="(4)"> <text>A disclosure that, under Business Regulation Article, §8-405(c), Annotated Code of Maryland, a claim against the Home Improvement Guaranty Fund by an owner shall be stayed until completion of any mandatory arbitration proceeding.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The parties shall affix their initials and date immediately adjacent to any mandatory arbitration clause in a home improvement contract, at the time of execution of the contract.</text> </paragraph> <paragraph num="C."> <text>This regulation shall apply to all home improvement contracts executed after October 31, 1994.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".26" heading="Required Notice in Contracts."> <paragraph num="A."> <text>A home improvement contract shall contain a notice stating that:</text> <paragraph num="(1)"> <text>Formal mediation of disputes between homeowners and contractors is available through the Maryland Home Improvement Commission;</text> </paragraph> <paragraph num="(2)"> <text>The Maryland Home Improvement Commission administers the Guaranty Fund, which may compensate homeowners for certain actual losses caused by acts or omissions of licensed contractors; and</text> </paragraph> <paragraph num="(3)"> <text>A homeowner may request that a contractor purchase a performance bond for additional protection against losses not covered by the Guaranty Fund.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The notice required by this regulation shall be included within the contract or, until July 1, 2013, may be included in an addendum attached to the contract, provided that the addendum is signed by the homeowner and contractor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".27" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Commission a written communication requesting a response, the applicant or licensee shall respond within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Commission shall send a written communication by first-class mail to the last business address furnished to the Commission by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Commission in writing if there has been a change in the applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Commission to be a violation of Business Regulation Article, §§8-311(a)(11)—(13) and 8-616, Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§8-207(a), 8-212(a)(1) and (2), 8-309, 8-311(a)(11)—(13), 8-501(c)(1)(ix), and 8-616, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 repealed and new Regulation adopted effective May 19, 1986 (13:10 Md. R. 1154)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 repealed effective December 1, 1986 (13:24 Md. R. 2557)</annotation> <annotation type="History" subtype="Administrative History">Regulations .07 and .20 amended effective January 16, 1984 (11:1 Md. R. 42)</annotation> <annotation type="History" subtype="Administrative History">Regulations .23 and .24 amended effective November 19, 1984 (11:23 Md. R. 1991)</annotation> <annotation type="History" subtype="Administrative History">Regulation .31 amended effective August 25, 1978 (5:17 Md. R. 1328)</annotation> <annotation type="History" subtype="Administrative History">Regulation .32 amended effective August 3, 1977 (4:16 Md. R. 1211)</annotation> <annotation type="History" subtype="Administrative History">Regulations .33—.34 effective June 19, 1974</annotation> <annotation type="History" subtype="Administrative History">Regulation .33 repealed and new Regulation .33 adopted effective November 19, 1984 (11:23 Md. R. 1991)</annotation> <annotation type="History" subtype="Administrative History">Regulation .35 adopted effective June 1, 1979 (6:11 Md. R. 978)</annotation> <annotation type="History" subtype="Administrative History">Regulation .36 adopted effective May 16, 1980 (7:10 Md. R. 952)</annotation> <annotation type="History" subtype="Administrative History">Regulation .36D amended effective December 2, 1985 (12:24 Md. R. 2347)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37 adopted effective November 19, 1984 (11:23 Md. R. 1991)</annotation> <annotation type="History" subtype="Administrative History">Regulation .38 adopted effective March 25, 1985 (12:6 Md. R. 594)</annotation> <annotation type="History" subtype="Administrative History">Regulation .39 adopted effective March 25, 1985 (12:6 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .40 adopted effective May 19, 1986 (13:10 Md. R. 1154)</annotation> <annotation type="History" subtype="Administrative History">Regulation .41 adopted effective April 20, 1987 (14:8 Md. R. 938)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 14, 1987 (14:25 Md. R. 2658)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B, D amended effective June 23, 2025 (52:12 Md. R. 599)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective July 10, 2000 (27:13 Md. R. 1211)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective February 22, 1988 (15:4 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective February 19, 2001 (28:3 Md. R. 205)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective June 1, 1995 (22:10 Md. R. 705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16C amended effective August 6, 1990 (17:15 Md. R. 1857)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 repealed effective March 20, 2000 (27:5 Md. R. 583)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16H adopted effective June 1, 1995 (22:10 Md. R. 705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 D adopted effective May 27, 2024 (51:10 Md. R. 524)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 amended effective June 23, 2025 (52:12 Md. R. 599)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22 adopted effective October 26, 1992 (19:21 Md. R. 1890)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 adopted effective April 12, 1993 (20:7 Md. R. 641)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23A amended effective April 30, 1994 (21:7 Md. R. 529)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24 adopted effective April 30, 1994 (21:7 Md. R. 529)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25 adopted effective October 31, 1994 (21:20 Md. R. 1732)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 adopted effective August 20, 2012 (39:16 Md. R. 1080)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27 adopted effective April 8, 2019 (46:7 Md. R. 370)</annotation> </annotations> </chapter> <chapter num="02" heading="Procedural Regulations"> <regulation prefix="Regulation" num=".01" heading="Contested Case Hearings."> <paragraph num="A."> <text>All contested case hearings before the Commission shall be governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>All contested case hearings delegated to the Office of Administrative Hearings shall be governed by COMAR 09.01.03.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §8-207, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 7, 1976 (3:14 Md. R. 746)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective August 26, 1985 (12:17 Md. R. 1703</annotation> <annotation type="History" subtype="Administrative History">Regulations .14 and .15 adopted effective August 26, 1985 (12:17 Md. R. 1703)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.15 repealed and new Regulation .01 adopted effective August 18, 2003 (30:16 Md. R. 1075)</annotation> </annotations> </chapter> <chapter num="03" heading="Claims Against the Home Improvement Guaranty Fund"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter shall apply to all claims arising from transactions or events occurring on or after July 1, 1988.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Processing of Claims."> <paragraph num="A."> <text>Filing of Claims. A claimant who seeks compensation from the Home Improvement Guaranty Fund (“Fund”) shall file a claim with the Commission on a claim form prepared by the Commission. This claim form shall contain at a minimum:</text> <paragraph num="(1)"> <text>The amount claimed based on actual loss;</text> </paragraph> <paragraph num="(2)"> <text>The facts and circumstances giving rise to the claim;</text> </paragraph> <paragraph num="(3)"> <text>The address of the home where the claimant resides;</text> </paragraph> <paragraph num="(4)"> <text>The address of each residential property, whether located within or outside of Maryland, owned by the claimant at any time from the date of the contract giving rise to the claim through the date of filing the claim, and the number of dwelling units at each property; and</text> </paragraph> <paragraph num="(5)"> <text>An affirmation by the claimant that all statements in the claim are true.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Contractor's Response.</text> <paragraph num="(1)"> <text>The Commission shall, upon receipt of a claim, forward a copy of the claim to the contractor alleged to be responsible for the claimant's loss.</text> </paragraph> <paragraph num="(2)"> <text>A contractor to whom the Commission has forwarded a copy of a claim shall submit a written response to the allegations in the claim within 10 days of receipt of the claim.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Amending of Claims. Once a verified claim has been filed with the Commission, the claimant may not amend the claim unless the claimant can establish to the satisfaction of the Commission that either the:</text> <paragraph num="(1)"> <text>Claimant did not know and could not have reasonably ascertained the facts on which the proposed amendment is based at the time the claim was filed; or</text> </paragraph> <paragraph num="(2)"> <text>Claimant's proposed amendment would not prejudice the contractor whose conduct gave rise to the claim.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Review by Hearing Board.</text> <paragraph num="(1)"> <text>The claim, along with any written response received from a contractor, shall be referred to a hearing board of the Commission for investigation and review.</text> </paragraph> <paragraph num="(2)"> <text>Setting Claim Hearings.</text> <paragraph num="(a)"> <text>Unless the hearing board determines that the claim is made in bad faith, is frivolous, or is legally insufficient, the hearing board shall set the claim for a hearing before either a hearing officer, a hearing board comprised of commissioners other than the commissioners on the hearing board which reviewed the claim, or the full Commission.</text> </paragraph> <paragraph num="(b)"> <text>The hearing board may set the claim for a hearing:</text> <paragraph num="(i)"> <text>Solely on the claim;</text> </paragraph> <paragraph num="(ii)"> <text>On both the claim and any regulatory charges arising from the same events or transactions on which the claim was based; or</text> </paragraph> <paragraph num="(iii)"> <text>On the claim and any other outstanding claims and regulatory charges against the contractor alleged to be responsible for the claimant's loss.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>Dismissal of Claims by Hearing Board.</text> <paragraph num="(a)"> <text>Claimant's Response.</text> <paragraph num="(i)"> <text>If, upon initial review, the hearing board finds that the claim is frivolous, made in bad faith, or legally insufficient, the hearing board shall forward its finding, including the basis for its finding, to the claimant.</text> </paragraph> <paragraph num="(ii)"> <text>The claimant shall have 30 days from the date of the hearing board's letter forwarding its finding to respond in writing to the hearing board.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Final Decision to Dismiss.</text> <paragraph num="(i)"> <text>If the hearing board, after a review of any written response from the claimant, determines that the claim is frivolous, made in bad faith, or legally insufficient, the hearing board shall issue an Order dismissing the claim.</text> </paragraph> <paragraph num="(ii)"> <text>Unless the Commission or any of its members determines within 15 days of the issuance by a hearing board of its Order that a full hearing by the Commission is required, the Order of the hearing board shall be a Final Order which may be appealed by the claimant directly to the circuit court where any party resides or has a principal place of business.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The hearing board may dismiss a claim as legally insufficient if the claimant has unreasonably rejected good faith efforts by the contractor to resolve the claim.</text> </paragraph> <paragraph num="(d)"> <text>The hearing board may dismiss a claim as legally insufficient if the contractor was unlicensed when the contract was entered into but licensed during the performance of the contract unless:</text> <paragraph num="(i)"> <text>The claimant establishes by a preponderance of the evidence that the claimant did not know that the contractor was unlicensed at the time the contract was entered into; and</text> </paragraph> <paragraph num="(ii)"> <text>A substantial portion of the contractor's alleged misconduct occurred after the contractor became licensed.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Compulsory Binding Arbitration. When a contract between a claimant and a contractor requires that all contract disputes be submitted to binding arbitration, the claimant shall either:</text> <paragraph num="(1)"> <text>Submit their dispute to binding arbitration as required by the contract; or</text> </paragraph> <paragraph num="(2)"> <text>Provide evidence to the Commission that the claimant has made good faith efforts to bring the dispute to binding arbitration which the contractor has either rejected or not responded to. The Commission shall then give the contractor written notice that, if the contractor does not demonstrate to the Commission within 10 days of the date of the letter that it has engaged in the arbitration process and has paid its share of any fees necessary to commence the arbitration process, the Commission will deem the contractor to have waived the right to enforce the compulsory arbitration clause and process the claimant's claim pursuant to this chapter.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Final Decisions by Court or Arbitrator. If a claimant provides the Commission with a final unappealable and non-default decision by a court or arbitrator awarding the claimant money damages against a licensed contractor when the conditions precedent to recovery set forth in Business Regulation Article, §8-405(a) and (c), Annotated Code of Maryland, are met, the Commission shall:</text> <paragraph num="(1)"> <text>Send a copy of the decision to the contractor and give the contractor 21 days to comment on the decision; and</text> </paragraph> <paragraph num="(2)"> <text>Issue a Final Order to compensate the claimant from the Fund for any actual losses awarded to the claimant by the decision and not paid by the contractor, subject to the limitations set out in Regulation .03B(1) and D(2) of this chapter.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Time Limitation. A claim may not be brought against the Fund after 3 years from the date that the claimant discovered, or by exercise of ordinary diligence should have discovered, the loss or damage.</text> </paragraph> <paragraph num="H."> <text>An owner is ineligible to make a claim against the Fund under Business Regulation Article, §8-405(f)(2)(ii), Annotated Code of Maryland, if they do not reside in the home as to which the claim is made and they simultaneously owned more than three residences or dwelling places, whether located within or outside of Maryland, at any time from the date of the contract underlying their claim through the date the claim was filed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Adjudication of Claims."> <paragraph num="A."> <text>Claim Hearings.</text> <paragraph num="(1)"> <text>Parties.</text> <paragraph num="(a)"> <text>The claimant who brought the claim, and the contractor alleged to be responsible for the monetary loss of the claimant, shall be parties in all claim hearings.</text> </paragraph> <paragraph num="(b)"> <text>Assistant Attorneys General. Assistant attorneys general assigned to either represent the Fund on a claim, or present regulatory charges, shall participate as a party in the hearing and receive all appropriate notices.</text> </paragraph> <paragraph num="(c)"> <text>The same assistant attorney general assigned to present the regulatory case may be assigned to represent the Fund.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Notice.</text> <paragraph num="(a)"> <text>The Commission shall notify all parties to a claim hearing of the date, time, and place of the hearing.</text> </paragraph> <paragraph num="(b)"> <text>This notice shall contain a statement of any regulatory charges brought against the contractor which will be heard at the claim hearing.</text> </paragraph> <paragraph num="(c)"> <text>The notice shall be mailed so as to give at least 10 days notice of the claim hearing.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The burden of proof shall be on the claimant to establish the validity of the claim.</text> </paragraph> <paragraph num="(4)"> <text>Conduct of the Hearing.</text> <paragraph num="(a)"> <text>If a hearing does not involve regulatory charges, the order of presentation shall be as follows:</text> <paragraph num="(i)"> <text>The claimant shall present the case for the claim;</text> </paragraph> <paragraph num="(ii)"> <text>The contractor may submit any evidence against the claim;</text> </paragraph> <paragraph num="(iii)"> <text>An assistant attorney general representing the Fund may submit evidence concerning the claim; and</text> </paragraph> <paragraph num="(iv)"> <text>Any party in the hearing may cross-examine any witnesses and submit rebuttal evidence and closing arguments.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>If a hearing involves regulatory charges and a claim arising from the same event or transaction, the order of presentation shall be as follows:</text> <paragraph num="(i)"> <text>The assistant attorney general representing the State shall present the case for the regulatory charges against the contractor;</text> </paragraph> <paragraph num="(ii)"> <text>The claimant shall present the case for the claim;</text> </paragraph> <paragraph num="(iii)"> <text>The contractor may submit evidence against the charges and the claim;</text> </paragraph> <paragraph num="(iv)"> <text>An assistant attorney general representing the Fund may submit evidence concerning the claim; and</text> </paragraph> <paragraph num="(v)"> <text>Any party in the hearing may cross-examine any witnesses and submit rebuttal evidence and closing arguments.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>When a hearing involves regulatory charges and a claim arising from the same event or transaction, all evidence submitted at the hearing concerning that event or transaction shall be considered in determining the validity of the charges and the claim.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Measure of Awards from Guaranty Fund.</text> <paragraph num="(1)"> <text>The Commission may not award from the Fund any amount for:</text> <paragraph num="(a)"> <text>Consequential or punitive damages;</text> </paragraph> <paragraph num="(b)"> <text>Personal injury;</text> </paragraph> <paragraph num="(c)"> <text>Attorney's fees;</text> </paragraph> <paragraph num="(d)"> <text>Court costs;</text> </paragraph> <paragraph num="(e)"> <text>Interest;</text> </paragraph> <paragraph num="(f)"> <text>Payments made to a person who does not hold a contractor license to correct or complete a deficient home improvement unless the work performed by the unlicensed person did not require a contractor license or was performed by a person who was not required to hold a contractor license under Business Regulation Article, §8-301(c)(4)-(6), Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(g)"> <text>Estimated costs to correct or complete a deficient home improvement based on the estimates of a person who does not hold a contractor license unless the estimated work did not require a contractor license or the unlicensed person was not required to hold a contractor license under Business Regulation Article, §8-301(c)(4)-(6), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Fund may only compensate claimants for actual losses they incurred as a result of misconduct by a licensed contractor.</text> </paragraph> <paragraph num="(3)"> <text>Unless it determines that a particular claim requires a unique measurement, the Commission shall measure actual loss as follows:</text> <paragraph num="(a)"> <text>If the contractor abandoned the contract without doing any work, the claimant's actual loss shall be the amount which the claimant paid to the contractor under the contract.</text> </paragraph> <paragraph num="(b)"> <text>If the contractor did work according to the contract and the claimant is not soliciting another contractor to complete the contract, the claimant's actual loss shall be the amount which the claimant paid to the original contractor less the value of any materials and services provided by the contractor.</text> </paragraph> <paragraph num="(c)"> <text>If the contractor did work according to the contract and the claimant has solicited or is soliciting another contractor to complete the contract or correct the contractor’s poor work, the claimant's actual loss shall be the amounts the claimant has paid to or on behalf of the contractor under the original contract, added to any reasonable amounts the claimant has paid or will be required to pay another contractor to repair poor work done by the original contractor under the original contract and complete the original contract, less the original contract price. If the Commission determines that the original contract price is too unrealistically low or high to provide a proper basis for measuring actual loss, the Commission may adjust its measurement accordingly.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The Commission may not award from the Fund an amount in excess of the amount paid by or on behalf of the claimant to or on behalf of the contractor against whom the claim is filed.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Determinations.</text> <paragraph num="(1)"> <text>Hearing Officers.</text> <paragraph num="(a)"> <text>If the claim hearing is held before a hearing officer, the provisions of COMAR 09.01.03 shall be applicable.</text> </paragraph> <paragraph num="(b)"> <text>A hearing board comprised of commissioners other than commissioners who initially reviewed the claim shall adopt, reject, or modify the hearing officer's recommendations pursuant to COMAR 09.01.03.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Unless the Commission or any of its members determines within 15 days of its issuance that a full hearing by the Commission is required, a hearing board's decision on a claim shall be a Final Order of the Commission which may be appealable by any aggrieved party to the circuit court where any party resides or has a principal place of business.</text> </paragraph> <paragraph num="(3)"> <text>If the claim hearing is held before the full Commission, the Commission shall issue a decision on the claim which shall be a Final Order which may be appealed by an aggrieved party to the circuit court where any party resides or has a principal place of business.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Payments.</text> <paragraph num="(1)"> <text>Upon the issuance of a Final Order that a claim is valid, with all appeals to court exhausted, the Commission shall pay the claim from the Fund subject to the limitations in §§B(1) and D(2) of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The Commission may not award from the Fund:</text> <paragraph num="(a)"> <text>To any one claimant more than the amount authorized in Business Regulation Article, §8-405(e)(1), Annotated Code of Maryland, for acts or omissions of one contractor; or</text> </paragraph> <paragraph num="(b)"> <text>More than the amount authorized in Business Regulation Article, §8-405(e)(2), Annotated Code of Maryland) to claimants on account of the conduct of any one licensee, unless, after the Commission has paid out that amount on account of the conduct of one licensed contractor, that contractor has repaid the full amount.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the aggregate amount of the approved claims to be paid from the Fund involving one contractor exceeds the maximum payout amount authorized in Business Regulation Article, §8-405(e)(2), Annotated Code of Maryland, the Commission may either:</text> <paragraph num="(a)"> <text>Pay the approved claims in the order filed until the maximum payout is reached; or</text> </paragraph> <paragraph num="(b)"> <text>Prorate the approved claims by awarding each claimant the same percent of their approved claim which the maximum payout amount is of the total amount of the approved claims.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>For purposes of this regulation, the term “approved claim” means the amount which the Commission has approved to be paid from the Fund which cannot exceed the amount authorized in Business Regulation Article, §8-405(e)(1), Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§8-207 and 8-405, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.05, Bonding, adopted as an emergency provision effective June 1, 1979 (6:14 Md. R. 1200); adopted permanently effective November 16, 1979 (6:23 Md. R. 1839)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective July 5, 1982 (9:13 Md. R. 1350); repealed effective August 26, 1985 (12:17 Md. R. 1704)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 adopted effective August 26, 1985 (12:17 Md. R. 1704)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03, Financial Responsibility, repealed effective September 5, 1988 (15:18 Md. R. 2145)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03, Claims Against the Home Improvement Guaranty Fund, adopted effective September 5, 1988 (15:18 Md. R. 2145)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, E amended effective June 23, 2025 (52:12 Md. R. 599)</annotation> <annotation type="History" subtype="Administrative History">Regulation 02H adopted effective June 23, 2025 (52:12 Md. R. 599)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective July 7, 1993 (20:13 Md. R. 1046)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B, D amended effective January 19, 2015 (42:1 Md. R. 17); June 23, 2025 (52:12 Md. R. 599)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D amended effective April 3, 2000 (27:6 Md. R. 641); September 7, 2001 (28:17 Md. R. 1555)</annotation> </annotations> </chapter> <chapter num="04" heading="Claims Arising Before June 1, 1985" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: August 26, 1985 (12:17 Md. R. 1703)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective April 1, 1996 (23:5 Md. R. 378)</annotation> </annotations> </chapter> <chapter num="05" heading="Claims Arising After June 1, 1985" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: August 26, 1985 (12:17 Md. R. 1703)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective September 5, 1988 (15:18 Md. R. 2145)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04C, H amended effective June 29, 1987 (14:13 Md. R. 1472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D amended effective June 7, 1993 (20:11 Md. R. 912)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective April 1, 1996 (23:5 Md. R. 378)</annotation> </annotations> </chapter> <chapter num="06" heading="Civil Citations"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>Unless otherwise indicated, the fines under Regulation .02 of this chapter apply for civil citations issued by the Commission under Business Regulation Article, §8-620(c)(1), Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Violation."> <paragraph num="A."> <text>Failure to include the name or license number in an advertisement:</text> <paragraph num="(1)"> <text>First violation — $100; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $300.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Publishing a false, misleading, or deceptive advertisement:</text> <paragraph num="(1)"> <text>First violation — $300; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,000.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Failure to display the license number on vehicle:</text> <paragraph num="(1)"> <text>First violation — $100; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $300.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Perform or sell a home improvement with or through an unlicensed person:</text> <paragraph num="(1)"> <text>First violation — $1,500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $5,000.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Failure of a salesperson to account for, or remit, a payment received:</text> <paragraph num="(1)"> <text>First violation — $1,000; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $3,000.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Failure of a contractor to notify Commission of the hiring or termination of a salesperson:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,000.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Failure of a contractor to notify the Commission within 10 days of a change of ownership, management, address, or trade name:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,000.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Violation of a building law of the State or a political subdivision, a safety or labor law of the State, the Maryland Workers’ Compensation Act, or the lead paint accreditation requirement under Environment Article, §6-1002, Annotated Code of Maryland:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Acting as a contractor or selling a home improvement under a name other than that under which the person is licensed:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Failure to have a written and legible contract:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Failure to have on a contract, the name, address, telephone number, and license number of the contractor:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Failure to have on a contract a clear description of each document that it incorporates:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Failure to have a contract signed by each party:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="N."> <text>Failure to have on a contract the approximate start and completion dates:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="O."> <text>Failure to have on a contract notice about the Commission and telephone number of the Commission:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="P."> <text>Failure to have on a contract a written notice as required whenever payment is secured by an interest in real estate:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="Q."> <text>Failure to have the notice required under Business Regulation Article, §8-501(c)(2), Annotated Code of Maryland, initialed by owner:</text> <paragraph num="(1)"> <text>First violation — $1,000; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $2,000.</text> </paragraph> </paragraph> <paragraph num="R."> <text>Failure to provide a copy of a contract to an owner:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,000.</text> </paragraph> </paragraph> <paragraph num="S."> <text>Failure to have on a contract including a mandatory arbitration clause the notice required under COMAR 09.08.01.25A:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,000.</text> </paragraph> </paragraph> <paragraph num="T."> <text>Failure to obtain owner’s initials on a mandatory arbitration clause in a contract:</text> <paragraph num="(1)"> <text>First violation — $1,000; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $2,000.</text> </paragraph> </paragraph> <paragraph num="U."> <text>Demand or receive any payment before contract is signed:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="V."> <text>Receipt of more than 1/3 deposit at the time of contract signing:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="W."> <text>Failure to comply with an order or requirement of Commission:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="X."> <text>Offering to act as a contractor without a license from the Commission:</text> <paragraph num="(1)"> <text>First violation — $1,000; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $3,000.</text> </paragraph> </paragraph> <paragraph num="Y."> <text>Acting as a contractor without a license from the Commission:</text> <paragraph num="(1)"> <text>First violation — $1,500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $5,000.</text> </paragraph> </paragraph> <paragraph num="Z."> <text>. Reserved.</text> </paragraph> <paragraph num="AA."> <text>Offering to sell a home improvement without a license from the Commission:</text> <paragraph num="(1)"> <text>First violation — $500; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $1,500.</text> </paragraph> </paragraph> <paragraph num="BB."> <text>Selling a home improvement without a license from the Commission:</text> <paragraph num="(1)"> <text>First violation — $1,000; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $3,000.</text> </paragraph> </paragraph> <paragraph num="CC."> <text>Accepting a completion certificate with knowledge that the document is false:</text> <paragraph num="(1)"> <text>First violation — $2,000; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation — $5,000.</text> </paragraph> </paragraph> <paragraph num="DD."> <text>Failure to maintain a surety bond that a licensee is required to hold to satisfy financial solvency requirements under Business Regulation Article, §8-305, Annotated Code of Maryland:</text> <paragraph num="(1)"> <text>First violation—$2,000; and</text> </paragraph> <paragraph num="(2)"> <text>Second or subsequent violation—$5,000.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§8-207(a) and 8-620(c)(1), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 14, 2012 (39:9 Md. R. 611)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02I, T, Z amended effective June 23, 2025 (52:12 Md. R. 599)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02DD adopted effective June 23, 2025 (52:12 Md. R. 599)</annotation> </annotations> </chapter> <chapter num="07" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §2-106.11, 2-106.12, 8-207, 8-209, 8-210, 8-213, 8-302, 8-303, 8-308, and 8-308.1, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the Home Improvement Commission.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Schedule of Fees."> <paragraph num="A."> <text>Pursuant to Business Regulation Article, §8-213, Annotated Code of Maryland, the Commission shall set fees to produce funds to approximate the cost of maintaining the Commission. Fees charged by the Commission are as follows:</text> <paragraph num="(1)"> <text>License application fees:</text> <paragraph num="(a)"> <text>Contractor — $281.25 for each place of business of the contractor;</text> </paragraph> <paragraph num="(b)"> <text>Salesperson — $112.50; and</text> </paragraph> <paragraph num="(c)"> <text>Application processing fee — $22.50;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>License renewal fees:</text> <paragraph num="(a)"> <text>Contractor — $281.25 for each place of business of the contractor; and</text> </paragraph> <paragraph num="(b)"> <text>Salesperson — $112.50;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Inactive status fees:</text> <paragraph num="(a)"> <text>Inactive status application fee — $56.25;</text> </paragraph> <paragraph num="(b)"> <text>Renewal fees while license is in inactive status:</text> <paragraph num="(i)"> <text>Contractor — $126.75; and</text> </paragraph> <paragraph num="(ii)"> <text>Salesperson — $42.25; and</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Reactivation of inactive license reissuance fee — $11.25;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Certification of license status fee —$1.25; and</text> </paragraph> <paragraph num="(5)"> <text>Document copy fee — $1.25 per page.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Examination Fee. An applicant for an examination or reexamination shall pay an examination or reexamination fee directly to the testing service chosen by the Commission to develop or administer the examination, as such fees are established by the testing service selected by the Commission.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§2-106.11, 2-106.12, 8-207, 8-209, 8-210, 8-213, 8-302, 8-303, 8-308, and 8-308.1, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 11, 2019 (46:3 Md. R. 106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective May 27, 2024 (51:10 Md. R. 524)</annotation> </annotations> </chapter> </subtitle> <subtitle num="09" heading="Maryland Board of Electricians"> <chapter num="01" heading="Fees and Deadlines"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§2-106.9 and 2-106.10, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 12, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Electricians, the State Board of Stationary Engineers, the State Board of Plumbing, and the State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board of Electricians.</text> </paragraph> <paragraph num="(2)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a limited license and a reciprocal license.</text> </paragraph> <paragraph num="(3)"> <text>“Mechanical boards” means collectively the:</text> <paragraph num="(a)"> <text>State Board of Electricians;</text> </paragraph> <paragraph num="(b)"> <text>State Board of Stationary Engineers;</text> </paragraph> <paragraph num="(c)"> <text>State Board of Plumbing; and</text> </paragraph> <paragraph num="(d)"> <text>State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the mechanical boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the mechanical boards. Based on these calculations, the Board sets the following nonrefundable fees as of January 24, 2024:</text> <paragraph num="(1)"> <text>Original License:</text> <paragraph num="(a)"> <text>Master — $22.50;</text> </paragraph> <paragraph num="(b)"> <text>Journeyperson — $16.50; and</text> </paragraph> <paragraph num="(c)"> <text>Apprentice — $11.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>License renewal:</text> <paragraph num="(a)"> <text>Master — $28;</text> </paragraph> <paragraph num="(b)"> <text>Journeyperson — $16.50; and</text> </paragraph> <paragraph num="(c)"> <text>Apprentice — $11.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Uninsured status certificate:</text> <paragraph num="(a)"> <text>Initial uninsured status — $56; and</text> </paragraph> <paragraph num="(b)"> <text>Uninsured status renewal — $56.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Reapplication after expiration of uninsured status — $112.50.</text> </paragraph> <paragraph num="(5)"> <text>Reactivation — $56.</text> </paragraph> <paragraph num="(6)"> <text>Reinstatement of license:</text> <paragraph num="(a)"> <text>Up to and including 30 days after license expiration — $28;</text> </paragraph> <paragraph num="(b)"> <text>31 days through 60 days after license expiration — $56; and</text> </paragraph> <paragraph num="(c)"> <text>61 or more days after license expiration — $112.50.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Local registration assignment identification — $56.</text> </paragraph> <paragraph num="(8)"> <text>Status change — $56.</text> </paragraph> <paragraph num="(9)"> <text>Letter of Good Standing — $50.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Secretary and the mechanical boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the mechanical boards. Based on these calculations, the Board sets the following nonrefundable fees as of January 24, 2025:</text> <paragraph num="(1)"> <text>Original License:</text> <paragraph num="(a)"> <text>Master — $25;</text> </paragraph> <paragraph num="(b)"> <text>Journeyperson — $18.50; and</text> </paragraph> <paragraph num="(c)"> <text>Apprentice — $12.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>License renewal:</text> <paragraph num="(a)"> <text>Master — $31.50;</text> </paragraph> <paragraph num="(b)"> <text>Journeyperson — $18.50; and</text> </paragraph> <paragraph num="(c)"> <text>Apprentice — $12.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Uninsured status certificate:</text> <paragraph num="(a)"> <text>Initial uninsured status — $63; and</text> </paragraph> <paragraph num="(b)"> <text>Uninsured status renewal — $63.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Reapplication after expiration of uninsured status — $126;</text> </paragraph> <paragraph num="(5)"> <text>Reactivation — $63.</text> </paragraph> <paragraph num="(6)"> <text>Reinstatement of License:</text> <paragraph num="(a)"> <text>Up to and including 30 days after license expiration — $31.50;</text> </paragraph> <paragraph num="(b)"> <text>31 days through 60 days after license expiration — $63; and</text> </paragraph> <paragraph num="(c)"> <text>61 or more days after license expiration — $126.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Local registration assignment identification — $63.</text> </paragraph> <paragraph num="(8)"> <text>Status change — $63.</text> </paragraph> <paragraph num="(9)"> <text>Letter of Good Standing — $50.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An applicant for an examination or reexamination shall pay an examination or reexamination fee directly to the testing service chosen by the Board to develop or administer the examination, as such fees are established by the testing service selected by the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Deadlines."> <text>If an individual fails to pass a required license examination, the individual shall wait a period of at least 30 days before retaking the examination.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§6-205, 6-207, 6-305, 6-306, 6-306.1, 6-309—6-313, 6-401, 6-402, and 6-606; Business Regulation Article, §§2-106.9 and 2-610.10; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01 and .02 adopted as an emergency provision effective April 10, 1995 (22:9 Md. R. 641); emergency status expired September 10, 1995</annotation> <annotation type="History" subtype="Administrative History">Regulations .01 and .02 adopted effective November 20, 1995 (22:23 Md. R. 1801)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective December 1, 2005 (32:26 Md. R. 1993); emergency status expired April 28, 2006</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective July 3, 2006 (33:13 Md. R. 1063); May 22, 2017 (44:10 Md. R. 470)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 27, 2018 (45:17 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective July 15, 2021 (48:17 Md. R. 665); emergency provision expired December 1, 2021</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective December 27, 2021 (48:26 Md. R. 1110)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended as an emergency provision effective July 15, 2021 (48:17 Md. R. 665); emergency provision expired December 1, 2021</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 18, 2024 (51:5 Md. R. 229)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective December 27, 2021 (48:26 Md. R. 1110)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended as an emergency provision effective July 15, 2021 (48:17 Md. R. 665); emergency provision expired December 1, 2021</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective December 27, 2021 (48:26 Md. R. 1110)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended as an emergency provision effective August 31, 2023 (50:19 Md. R. 853); amended permanently effective November 27, 2023 (50:23 Md. R. 1004)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended as an emergency provision effective July 15, 2021 (48:17 Md. R. 665); emergency provision expired December 1, 2021</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective December 27, 2021 (48:26 Md. R. 1110)</annotation> </annotations> </chapter> <chapter num="02" heading="Continuing Education"> <regulation prefix="Regulation" num=".01" heading="Required Hours of Continuing Education."> <paragraph num="A."> <text>To be eligible for renewal of a license, as required by Business Occupations and Professions Article, §6-310(c)(3), Annotated Code of Maryland, an applicant shall have completed during the prior license term:</text> <paragraph num="(1)"> <text>10 hours of qualifying continuing education for renewal of a master license or uninsured status except as provided in §B(2) of this regulation; and</text> </paragraph> <paragraph num="(2)"> <text>5 hours of qualifying continuing education for renewal of a journeyperson license or uninsured status except as provided in paragraph §B(2) of this regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A State licensed electrician on uninsured status who:</text> <paragraph num="(1)"> <text>Has completed the continuing education required by §A of this regulation will be issued a license with the designation “authorized to work” in accordance with Business Occupations and Professions Article, §§6-311(d)(3)(iv) and 6-604(i), Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(2)"> <text>Has not completed the continuing education required by §A of this regulation will be issued a license with the designation “not authorized to work” in accordance with Business Occupations and Professions Article, §§6-311(d)(3)(iv) and 6-604(i), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Acquisition of Qualifying Continuing Education.</text> <paragraph num="(1)"> <text>The continuing education required by §A of this regulation must have been obtained during the 24 months immediately preceding license renewal.</text> </paragraph> <paragraph num="(2)"> <text>Continuing education hours required by §A of this regulation obtained prior to the immediately preceding license term shall not be considered toward an applicant's eligibility for license renewal.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The following standards will be used to measure the hours of credit to be given for acceptable continuing education programs completed by individual applicants.</text> <paragraph num="(1)"> <text>Only participation hours or the equivalent, and not hours devoted to preparation, shall be counted.</text> </paragraph> <paragraph num="(2)"> <text>Services as teacher, lecturer, or instructor of subject matter related to the provision of electrical services qualifying for continuing education credit shall be included to the extent that such services contribute to the licensee's occupational competence. Repetitious presentation, that is, those that are substantially the same subject material, may be included only once in each reporting cycle. Hours allowable in the capacity of teacher, lecturer, or instructor may not exceed 5 hours of the minimum requirements with no carry-over provision for excess hours.</text> </paragraph> <paragraph num="(3)"> <text>A teacher, lecturer, or instructor of a qualifying continuing education program shall receive 1 hour of continuing education credit for every hour of presentation or instruction.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Subject Matter for Continuing Education."> <text>Continuing educational hours from a course or training satisfy the requirement of Regulation .01A of this chapter if the course or training is:</text> <paragraph num="A."> <text>Based on any article of or update to the National Electrical Code (NEC) or any local variants adopted by a local board in accordance with Business Occupations and Professions Article, §6-205(b)(1), Annotated Code of Maryland, as it may be amended, modified, or updated from time to time; and which has been incorporated by reference in COMAR 09.12.50.02-1B(3);</text> </paragraph> <paragraph num="B."> <text>Based on any code or standard of the National Fire Protection Association (NFPA) that relates to the provision of electrical services as defined in Business Occupations and Professions Article, §6-101(k), Annotated Code of Maryland, as it may be amended, modified, or updated from time to time; and which has been incorporated by reference in COMAR 09.12.50.02-1B(3); or</text> </paragraph> <paragraph num="C."> <text>Compliant with the requirements set forth in Business Occupations and Professions Article, §6-205(b), Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Approved Methods for Completion of Required Continuing Education."> <text>At least 5 of the 10 hours of continuing education required by Regulation .01A(1) of this chapter for master license renewal shall be obtained in a classroom setting.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§6-205(2)(ii), 6-310(c)(3) and (4), and 6-311(b)(3), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 22, 2013 (40:14 Md. R. 1173)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective July 15, 2021 (48:17 Md. R. 665); emergency provision expired December 1, 2021</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective December 27, 2021 (48:26 Md. R. 1110)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective August 31, 2023 (50:19 Md. R. 853); adopted permanently effective November 27, 2023 (50:23 Md. R. 1004)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective September 2, 2024 (51:17 Md. R. 777)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended as an emergency provision effective July 15, 2021 (48:17 Md. R. 665); emergency provision expired December 1, 2021</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective December 27, 2021 (48:26 Md. R. 1110)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, B amended effective July 21, 2025 (52:14 Md. R. 712)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended as an emergency provision effective July 15, 2021 (48:17 Md. R. 665); emergency provision expired December 1, 2021</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective December 27, 2021 (48:26 Md. R. 1110)</annotation> </annotations> </chapter> <chapter num="03" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Board in writing if there has been a change in an applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §6-316(a)(9), Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Apprentice License Required for Journeyperson License Eligibility."> <text>On or after July 1, 2024, to be eligible for a journeyperson license, an applicant shall have held, for a period of 4 years, a current apprentice license issued by the Board or a local board, and during that period shall have completed the 4-year work experience requirement pursuant to Business Occupations and Professions Article, §6-304(c), Annotated Code of Maryland, to receive credit toward eligibility for a journeyperson license.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Time for Submitting a License Application."> <text>An applicant for a license filed pursuant to Business Occupations and Professions Article, §6-307.1(2), Annotated Code of Maryland, authorizing the Board to issue a journeyperson license to an applicant who has successfully completed an applicable electrician apprentice program approved by the Maryland Apprenticeship and Training Council or federal Office of Apprenticeship, shall have completed the apprentice program within 2 years of the date the journeyperson license application is filed.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§6-205, 6-307.1, 6-314(2), 6-316(a)(9), and 6-604(c), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 31, 2018 (45:26 Md. R. 1240)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted as an emergency provision effective July 15, 2021 (48:17 Md. R. 665); emergency provision expired December 1, 2021</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective December 27, 2021 (48:26 Md. R. 1110)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 adopted effective April 17, 2023 (50:7 Md. R. 302)</annotation> </annotations> </chapter> </subtitle> <subtitle num="10" heading="Racing Commission"> <chapter num="01" heading="Thoroughbred Rules"> <regulation prefix="Regulation" num=".01" heading="Scope."> <paragraph num="A."> <text>This chapter applies to:</text> <paragraph num="(1)"> <text>An entity licensed by the Maryland Racing Commission to hold or conduct a race meeting at which thoroughbred horse racing is permitted for any stake, purse, or reward;</text> </paragraph> <paragraph num="(2)"> <text>All owners, trainers, jockeys, jockey's agents, grooms, or other persons licensed by the Maryland Racing Commission to participate in racing at any of these meetings; and</text> </paragraph> <paragraph num="(3)"> <text>All thoroughbred and nonthoroughbred horse races except as provided by §B of this regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If a regulation, or a section of a regulation, is germane to a specific breed of horse, it applies only to that breed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Added money” means the amount contributed to a purse in a race, other than the fees paid by those who nominated, entered, or started in the race.</text> </paragraph> <paragraph num="(1-1)"> <text>“Age” of a horse is calculated from the first of January in the year in which it is foaled.</text> </paragraph> <paragraph num="(2)"> <text>“Arrears” includes money due for entrance forfeits, fees (including jockey's fees), fines, subscriptions stake, purchase money in claiming or selling races, and any default in money incident to these rules.</text> </paragraph> <paragraph num="(3)"> <text>“Association” means a person or persons, partnership, corporate body, or any other entity licensed by the Commission to conduct a meeting where horse racing is permitted for any stake, purse, or reward.</text> </paragraph> <paragraph num="(4)"> <text>“Authorized agent” means an individual appointed by a person licensed as an owner to act as the owner's representative.</text> </paragraph> <paragraph num="(5)"> <text>A horse is “bred” at the place of his birth.</text> </paragraph> <paragraph num="(6)"> <text>The “breeder” of a horse is the owner of the horse's dam at the time of foaling.</text> </paragraph> <paragraph num="(7)"> <text>A “claiming race” is one in which, according to the conditions, any of the horses engaged may be claimed.</text> </paragraph> <paragraph num="(8)"> <text>“Commission” means the Maryland Racing Commission.</text> </paragraph> <paragraph num="(9)"> <text>A “free handicap” is one in which no liability is incurred for entrance money, stake, or forfeit, until acceptance of the weight, either directly or through omission to declare out.</text> </paragraph> <paragraph num="(10)"> <text>A “handicap” is a race in which the weights to be carried by the horses are adjusted by the handicapper for the purpose of equalizing their chances of winning.</text> </paragraph> <paragraph num="(11)"> <text>A “highweight handicap” is one in which the top weight may not be less than 140 pounds.</text> </paragraph> <paragraph num="(12)"> <text>“Horse” includes mare, gelding, colt, and filly. For racing purposes and programming, horses shall be designated as follows:</text> <paragraph num="(a)"> <text>Male—horse, colt, or gelding;</text> </paragraph> <paragraph num="(b)"> <text>Female—filly or mare.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>“Maiden” means a horse that has never won a race on the flat in a state or country where racing is supervised by a legalized racing commission or board, or where the races are covered by The Daily Racing Form or other similar authorized publications.</text> </paragraph> <paragraph num="(14)"> <text>A “match” is a race between two horses which are the property of two different owners, on terms agreed upon by them, and to which no money is added; the agreement shall be void if either owner dies.</text> </paragraph> <paragraph num="(15)"> <text>“Recognized meeting” means a meeting held with the sanction of the Commission upon a race course in the State operated by a duly licensed association at the place where the meeting is licensed to be held.</text> </paragraph> <paragraph num="(16)"> <text>The “nominator” is the person in whose name a horse is originally nominated for a race.</text> </paragraph> <paragraph num="(17)"> <text>An “optional claiming race” is one in which only those horses may be claimed which are entered for a claiming price.</text> </paragraph> <paragraph num="(18)"> <text>“Overnight race” means a race, for the purpose of applying the provisions of Business Regulation Article, §11-518(d), Annotated Code of Maryland, which is not a stakes race or a sweepstakes.</text> </paragraph> <paragraph num="(19)"> <text>“Owner” includes sole owner, part owner, and lessee of a horse.</text> </paragraph> <paragraph num="(20)"> <text>“Post time” means the time set for the arrival of the horses in a race at the starting point. The post time shall be shown a reasonable time before the race on a clock device provided for that purpose and shall be prominently displayed and clearly readable from the grandstand.</text> </paragraph> <paragraph num="(21)"> <text>A “private sweepstakes” is one to which no money or other prize is added and which, prior to closing, has not been advertised, either by publication, by circular, by entry blank, or in any other way.</text> </paragraph> <paragraph num="(22)"> <text>A “produce race” is one to be run for by the produce of horses named or described at the time of entry.</text> </paragraph> <paragraph num="(23)"> <text>A “purse race” is a race for money or other prize to which the owners of the horses engaged do not contribute.</text> </paragraph> <paragraph num="(24)"> <text>A “race” includes a stake, a purse, a sweepstakes, a private sweepstakes, a match, or an overnight event, but does not include a steeplechase or hurdle race.</text> </paragraph> <paragraph num="(25)"> <text>“Stakes race” means:</text> <paragraph num="(a)"> <text>For the purpose of applying the provisions of Business Regulation Article, §11-518(d), Annotated Code of Maryland, a race in which the purse consists of not less than $50,000 of added money; and</text> </paragraph> <paragraph num="(b)"> <text>For all other purposes, a race for which:</text> <paragraph num="(i)"> <text>Nominations close not later than 72 hours in advance of its running and for which a fee is assessed on the ownership of a horse that is either nominated to, or entered or started in, the race, or</text> </paragraph> <paragraph num="(ii)"> <text>Horses are invited by an association to run for a guaranteed purse of $50,000 or more without the payment of fees.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(26)"> <text>A horse is a “starter” when the stall doors of the starting gate open in front of the horse at the time the starter dispatches the field.</text> </paragraph> <paragraph num="(27)"> <text>“Sweepstakes” means a race:</text> <paragraph num="(a)"> <text>For which fees or other contributions by three or more separate ownerships are distributed according to the conditions of the race; and</text> </paragraph> <paragraph num="(b)"> <text>To which money or other prize may be added.</text> </paragraph> </paragraph> <paragraph num="(28)"> <text>A “walkover” is a race in which only one horse starts, or in which all the starters are owned by the same interest.</text> </paragraph> <paragraph num="(29)"> <text>“Weight for age” means standard weight according to the scale of weights contained in these rules. A weight for age race is one in which all horses carry weight according to the scale, without penalties or allowances.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Commission Sovereignty."> <paragraph num="A."> <text>A decision or ruling required by these regulations to be made by an entity that is not subject to the authority of the State is subject to review by the Commission.</text> </paragraph> <paragraph num="B."> <text>If the Commission does not concur with a decision of an entity under §A of this regulation, the decision of the Commission controls.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Reserved." /> <regulation prefix="Regulation" num=".05" heading="Repealed." /> <regulation prefix="Regulation" num=".06" heading="Repealed." /> <regulation prefix="Regulation" num=".07" heading="Claiming."> <paragraph num="A."> <text>Except as provided in §A-1 of this regulation, in claiming races a horse is subject to claim for its entered price by:</text> <paragraph num="(1)"> <text>A licensed owner;</text> </paragraph> <paragraph num="(2)"> <text>An individual authorized to claim in behalf of a registered stable or other multiple ownership entity; or</text> </paragraph> <paragraph num="(3)"> <text>A registered authorized agent in behalf of a person listed in §A(1) or (2) of this regulation.</text> </paragraph> </paragraph> <paragraph num="A-1."> <text>In claiming races a horse is not subject to claim if:</text> <paragraph num="(1)"> <text>The horse has not started for a minimum of 120 days;</text> </paragraph> <paragraph num="(2)"> <text>The last start of the horse was a claiming race;</text> </paragraph> <paragraph num="(3)"> <text>The horse is entered for a claiming price not less than the claiming price of its last start;</text> </paragraph> <paragraph num="(4)"> <text>For the first race following the period specified in §A-1(1) of this regulation, the horse is declared ineligible to be claimed at the time of entry; and</text> </paragraph> <paragraph num="(5)"> <text>The program clearly designates that the horse is ineligible to be claimed.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Eligibility to Claim.</text> <paragraph num="(1)"> <text>Except as provided in §B(2) and (3) of this regulation, to be eligible to claim, a licensed owner, registered stable, or other multiple ownership entity shall designate, as the person who will assume control and responsibility of a claimed horse, a licensed trainer who has been assigned stabling on grounds under the jurisdiction of the Commission.</text> </paragraph> <paragraph num="(2)"> <text>A licensed owner, registered stable, or other multiple ownership entity that does not have a licensed trainer with assigned stabling on grounds under the jurisdiction of the Commission is eligible to claim only to replace a horse lost to a claim at a track under the jurisdiction of the Commission.</text> </paragraph> <paragraph num="(3)"> <text>A trainer who is also licensed as an owner, and whose trainer's license is suspended, is not eligible to claim a horse as an owner during the term of the suspension.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A person shall not be eligible to claim more than one horse in a race, either directly or through another.</text> </paragraph> <paragraph num="D."> <text>A valid claim shall:</text> <paragraph num="(1)"> <text>Be in writing on a form provided by the association;</text> </paragraph> <paragraph num="(2)"> <text>Be in the name of a person qualified to claim a horse;</text> </paragraph> <paragraph num="(3)"> <text>Be signed by the person, or the agent of the person, in whose name the claim is made;</text> </paragraph> <paragraph num="(4)"> <text>Contain the name of the horse to be claimed in a manner sufficient to avoid confusion with the name of another horse in the race;</text> </paragraph> <paragraph num="(5)"> <text>Name the trainer who will assume control and responsibility of the horse to be claimed;</text> </paragraph> <paragraph num="(6)"> <text>Be for the amount printed in the program as the claiming price of the horse;</text> </paragraph> <paragraph num="(7)"> <text>Be enclosed in a sealed envelope, provided by the association, which shall contain no identifying marks on its outside other than the number of the race in which the claimed horse is to participate;</text> </paragraph> <paragraph num="(8)"> <text>Be deposited in a lock box of the claims clerk at least 10 minutes before the post time for the race in which the claimed horse is to participate; and</text> </paragraph> <paragraph num="(9)"> <text>Be supported by funds on deposit at the association in the name of the claimant in an amount sufficient to cover the cost of the claim, any taxes to which the claim may be subject, and 1.5 percent of the claiming price, which shall be paid to the horse retirement program approved by the organization representing the majority of horsemen.</text> </paragraph> </paragraph> <paragraph num="E."> <text>After the deadline for entering a claim has passed, the stewards or their designee shall:</text> <paragraph num="(1)"> <text>Open the claim envelopes for the race;</text> </paragraph> <paragraph num="(2)"> <text>If the same trainer is named on more than one claim form, conduct a drawing of those forms, which results in the trainer being named on only one claim form;</text> </paragraph> <paragraph num="(3)"> <text>After ascertaining compliance with §§D and E of this regulation, if there is more than one valid claim for a horse, conduct a drawing to determine the successful claimant; and</text> </paragraph> <paragraph num="(4)"> <text>Notify the Racing Secretary of the identity of the successful claimant and the horse claimed.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The stewards may require a person who submits a claim for a horse in a claiming race to make an affidavit declaring that the person is claiming the horse for the person's own account or for the account of another as the registered authorized agent for that person.</text> </paragraph> <paragraph num="G."> <text>If the stewards determine that a horse was improperly entered in a claiming race, they may:</text> <paragraph num="(1)"> <text>Void a claim of the horse;</text> </paragraph> <paragraph num="(2)"> <text>Order the claiming monies, including all taxes, refunded to the claimant through the Clerk of the Course, the horsemen's bookkeeper, or otherwise; and</text> </paragraph> <paragraph num="(3)"> <text>Order the return of the horse to the original owner.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Except as provided in §H-1 or H-2 of this regulation, unless there is a violation of this regulation by the claimant, or the stewards determine that a horse was improperly entered:</text> <paragraph num="(1)"> <text>The claim is irrevocable and the claimed horse becomes the property of the successful claimant from the time the horse is a starter; and</text> </paragraph> <paragraph num="(2)"> <text>A purse earned in the race from which a horse is claimed is the property of the owner from whom the horse is claimed.</text> </paragraph> </paragraph> <paragraph num="H-1."> <text>A claim shall be voided if a horse is a starter and the horse:</text> <paragraph num="(1)"> <text>Dies on the racetrack; or</text> </paragraph> <paragraph num="(2)"> <text>Suffers an injury which requires the euthanasia of the horse, as determined by a State veterinarian, while the horse is on the racetrack.</text> </paragraph> </paragraph> <paragraph num="H-2."> <text>A claim is voidable at the sole discretion of the new owner, for a period of 1 hour after the race is made official, for any horse that:</text> <paragraph num="(1)"> <text>Is vanned off the track after the race at the discretion of the State Veterinarian; or</text> </paragraph> <paragraph num="(2)"> <text>Is sent to the detention barn and observed to be lame by the State Veterinarian.</text> </paragraph> </paragraph> <paragraph num="I."> <text>After the race has been run, the successful claimant shall present verification of the claim by the Racing Secretary to the person accompanying the claimed horse.</text> </paragraph> <paragraph num="J."> <text>A properly claimed horse shall be delivered to the successful claimant in the:</text> <paragraph num="(1)"> <text>Paddock, immediately after the running of the race, if the horse is not subject to post-race testing; or</text> </paragraph> <paragraph num="(2)"> <text>Detention area, after the horse has undergone post-race testing, if the horse is subject to that testing.</text> </paragraph> </paragraph> <paragraph num="K."> <text>If a trainer refuses to deliver a horse that has been claimed to the successful claimant when verification of the claim is presented in accordance with §I of this regulation, the:</text> <paragraph num="(1)"> <text>Trainer is subject to sanctions; and</text> </paragraph> <paragraph num="(2)"> <text>Claimed horse shall be disqualified from participating in further racing until delivery is made.</text> </paragraph> </paragraph> <paragraph num="L."> <text>In claiming races, the following acts, or an attempt to commit the following acts, are prohibited:</text> <paragraph num="(1)"> <text>An agreement to claim, or not to claim, a horse belonging to another owner;</text> </paragraph> <paragraph num="(2)"> <text>Preventing an owner from:</text> <paragraph num="(a)"> <text>Claiming a horse, or</text> </paragraph> <paragraph num="(b)"> <text>Legitimately running a horse in a race;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The claiming of a horse by:</text> <paragraph num="(a)"> <text>The owner of the horse,</text> </paragraph> <paragraph num="(b)"> <text>Another person for the account of the owner of the horse, or</text> </paragraph> <paragraph num="(c)"> <text>One owner from another if the trainer of the horse to be claimed trains a horse owned by the entity making the claim; and</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The entry of a horse if there is:</text> <paragraph num="(a)"> <text>A lien or other encumbrance affecting the transfer of title to the horse unless there is written permission from the holder of the lien or other encumbrance, attached to the horse's foal certificate, allowing the horse to be entered in a claiming race,</text> </paragraph> <paragraph num="(b)"> <text>An ownership dispute, or</text> </paragraph> <paragraph num="(c)"> <text>One owner from another if the trainer of the horse to be claimed trains a horse owned by the entity making the claim; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="M."> <text>If a horse is claimed:</text> <paragraph num="(1)"> <text>The horse shall not be eligible to start in a claiming race for less than 25 percent more than the claiming price for a period of 20 days from the date of the claim;</text> <paragraph num="(a)"> <text>For the period of the 21st through the 30th day after the horse is claimed, the horse may only start in a claiming race at a price equal to or greater than the amount for which it was claimed; and</text> </paragraph> <paragraph num="(b)"> <text>For the period after the 30th day after the horse is claimed, the horse may start in a claiming race at any claiming price.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The horse may not be sold or transferred to anyone, wholly or in part, for a period of 30 days from the day of the claim, except:</text> <paragraph num="(a)"> <text>In a claiming race, or</text> </paragraph> <paragraph num="(b)"> <text>When the horse is entered and starts for a claiming price which would cause the horse to become ineligible to be entered at Laurel or Pimlico;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Unless reclaimed, the horse may not remain in the same stable or under the control or management of its former owner or trainer for a period of 30 days from the day of the claim;</text> </paragraph> <paragraph num="(4)"> <text>It may not race outside of Maryland for a period of 60 days from the day of the claim except:</text> <paragraph num="(a)"> <text>To participate in a stakes race;</text> </paragraph> <paragraph num="(b)"> <text>To participate in a claiming race for a price which would cause the horse to become ineligible to be entered at Laurel or Pimlico; or</text> </paragraph> <paragraph num="(c)"> <text>During the scheduled absence of a live thoroughbred race meet in Maryland for at least 15 days.</text> </paragraph> </paragraph> </paragraph> <paragraph num="N."> <text>For the purposes of §M of this regulation, the day of the claim does not count in computing the time restrictions.</text> </paragraph> <paragraph num="O."> <text>The stewards shall report action taken by them, in reference to a violation of this regulation, to the Commission which may, in its discretion, take any further action it considers appropriate.</text> </paragraph> <paragraph num="P."> <text>A horse which was claimed in another state and entered to race in this State remains subject to the conditions of the claiming regulation in the state where the claim was made until those conditions expire.</text> </paragraph> <paragraph num="Q."> <text>Notwithstanding information printed in the program or other racing publications, the claimant is solely responsible for determining the horse's:</text> <paragraph num="(1)"> <text>Age;</text> </paragraph> <paragraph num="(2)"> <text>Breeding;</text> </paragraph> <paragraph num="(3)"> <text>Physical condition;</text> </paragraph> <paragraph num="(4)"> <text>Racing record; and</text> </paragraph> <paragraph num="(5)"> <text>Sex.</text> </paragraph> </paragraph> <paragraph num="R."> <text>National Steeplechase and Hunt Association.</text> <paragraph num="(1)"> <text>At race meetings conducted by the Cecil County Breeders' Fair, Inc., claiming races shall be run under the conditions of the Rules of the National Steeplechase and Hunt Association, Part XXIII, Rule 203, N.B., as amended 1972.</text> </paragraph> <paragraph num="(2)"> <text>For the purpose of defining a “meeting” as it applies to the eligibility of an owner to make a claim, all meetings sanctioned by the Hunts Committee of the N. S. & H. A. conducted between January 1st and June 30th of any one calendar year shall be deemed to be “one meeting”, and all meetings conducted between July 1st and December 31st of any one calendar year shall be deemed to be “one meeting”.</text> </paragraph> <paragraph num="(3)"> <text>Each person desiring to make a claim, unless he has the amount to his credit with the National Steeplechase and Hunt Association, shall first deposit at the office of the National Steeplechase and Hunt Association the whole amount of the claim in cash, for which a receipt will be given; but any owner who is eligible to make a claim may do so without having the necessary funds on deposit as outlined above, provided that he delivers to an authorized representative of the National Steeplechase and Hunt Association at the race course not later than 30 minutes before post time of the 1st race of the meeting at which the claim is to be made, funds which are sufficient to cover the whole amount of the claim. These funds shall be in the form of a cashier's, treasurer's, or certified check only.</text> </paragraph> <paragraph num="(4)"> <text>A horse which has been claimed may not race, other than at race meetings sanctioned by the Hunts Committee of the National Steeplechase and Hunt Association, until after the close of the meeting at which it was claimed, or for a period of 30 days, whichever comes first.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Repealed." /> <regulation prefix="Regulation" num=".09" heading="Colors — Registration."> <paragraph num="A."> <text>All racing colors carried in races shall be registered annually with the Commission on the application for owner's license. It shall be the sole responsibility of the trainer to see that his or her owner's colors are in the jockey's quarters to be used for his or her respective entries. For failure to do so, the trainer will be subject to fine.</text> </paragraph> <paragraph num="B."> <text>Any temporary change from the recorded colors of the owner shall be approved by the stewards and noted on the scale sheet.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Repealed." /> <regulation prefix="Regulation" num=".11" heading="Repealed." /> <regulation prefix="Regulation" num=".12" heading="Dead Heats."> <paragraph num="A."> <text>When two horses run a dead heat for first place, all prizes to which first and second horses would have been entitled shall be divided equally between them; this applies in dividing prizes, whatever the number of horses running a dead heat and whatever places for which the dead heat is run. Each horse shall be deemed a winner and liable to penalty for the amount he shall receive.</text> </paragraph> <paragraph num="B."> <text>When a dead heat is run for second place, and an objection is made to the winner of the race, and sustained, the horses which ran the dead heat shall be deemed to have run a dead heat for first place.</text> </paragraph> <paragraph num="C."> <text>If the dividing owners cannot agree as to which of them is to have a cup or other prize which cannot be divided, the question shall be determined by lot by the stewards.</text> </paragraph> <paragraph num="D."> <text>On a dead heat for a match, the match is off.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Repealed." /> <regulation prefix="Regulation" num=".14" heading="Purse Money."> <paragraph num="A."> <text>Purse money may not be distributed or used for claiming purposes within 72 hours of the running of the event in which it was earned.</text> </paragraph> <paragraph num="B."> <text>Any purse money in dispute as the result of an appeal shall be held by the association in an interest-bearing escrow account until a final determination has been made as to the proper distribution of the purse money.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Repealed." /> <regulation prefix="Regulation" num=".15-1" heading="Eligibility of a Horse."> <text>A horse which is eligible for a race at the time of its entry may not have its eligibility affected by a ruling on itself or another horse regarding a disqualification in a prior race that is issued on or after the day of the race for which the horse is entered.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="Engagements and Transfers."> <paragraph num="A."> <text>Transfer of Engagements.</text> <paragraph num="(1)"> <text>If a horse is sold by private treaty, at public auction, or claimed out of a claiming race (unless the conditions of the claiming race stated otherwise), the horse is considered to be transferred with its engagements.</text> </paragraph> <paragraph num="(2)"> <text>The written acknowledgment of both the buyer and seller is required to negate the provisions of §A(1) of this regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Registrations and Transfers of Horses.</text> <paragraph num="(1)"> <text>After a horse has been registered with the Racing Secretary, listing its owner, unless claimed at the meeting, the entry of the horse on behalf of a person other than the registered owner is not permitted until the stewards receive proof of a change in ownership.</text> </paragraph> <paragraph num="(2)"> <text>As proof of a change in ownership, the stewards shall require:</text> <paragraph num="(a)"> <text>A notarized bill of sale from the registered owner; or</text> </paragraph> <paragraph num="(b)"> <text>Other evidence that is satisfactory to the stewards that the registered owner has transferred ownership.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The change of a trainer of a horse may not be approved by the stewards until a written or verbal authorization is received from the owner of the horse.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Entries, Declarations and Scratches."> <paragraph num="A."> <text>Except as provided in Regulations .28 and .57 of this chapter, a horse is not qualified to start in any race unless its owner, trainer, and jockey have been duly licensed by the Commission.</text> </paragraph> <paragraph num="B."> <text>For all races, the racing secretary is to receive entries and declarations.</text> </paragraph> <paragraph num="C."> <text>Entries and declarations shall be made in a manner designated by the racing secretary and signed by the owner of the horse, by the owner's authorized agent, or by some person deputized by the owner.</text> </paragraph> <paragraph num="D."> <text>Entries and scratches may be made by any manner designated by the racing secretary.</text> </paragraph> <paragraph num="E."> <text>Joint subscriptions and entries may be made by any one or more of the owners. However, each partner shall be jointly and severally liable for all fees and forfeits.</text> </paragraph> <paragraph num="F."> <text>Registry of a Horse.</text> <paragraph num="(1)"> <text>A thoroughbred horse may not be allowed to start in any flat race unless duly registered and named at the Registry Office of The Jockey Club (New York).</text> </paragraph> <paragraph num="(2)"> <text>A nonthoroughbred horse shall be registered and named in the files of the national office of the breed concerned.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Name of Horse.</text> <paragraph num="(1)"> <text>Name Changes.</text> <paragraph num="(a)"> <text>If a horse's name is changed, its new name shall be registered with the national office of the breed concerned, and its old, as well as its new name, shall be given in every entry list until it has run three races, and both names shall be printed on the official program for these races.</text> </paragraph> <paragraph num="(b)"> <text>For the purpose of these rules, the national office of the:</text> <paragraph num="(i)"> <text>Thoroughbred breed of horse shall be The Jockey Club (New York).</text> </paragraph> <paragraph num="(ii)"> <text>Arabian breed of horse shall be the Arabian Horse Registry of America. The identification certificate of the horse, as issued by the Arabian Jockey Club, shall be on file with the Racing Secretary before the horse is allowed to start.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>A horse may not be allowed to enter or start if the highest official regulatory racing body having jurisdiction of the offense previously has determined that the horse was knowingly entered or raced under a name other than its own by a person having lawful custody or control of the animal at the time it was so entered or raced.</text> </paragraph> <paragraph num="(3)"> <text>A horse may not be allowed to enter or start if it has been previously determined by the highest official regulatory racing body having jurisdiction of the offense that a person having lawful custody or control of the animal participated in or assisted in the entry of racing of some other horse under the name of the horse in question.</text> </paragraph> <paragraph num="(4)"> <text>For the purposes of §H(2) and (3) of this regulation, the “name” of a horse means the name reflected in the registration certificate or racing permit issued with respect to the horse in question by the national office of the breed concerned.</text> </paragraph> </paragraph> <paragraph num="H."> <text>A horse may not be permitted to start if it has shoes on the front hooves that:</text> <paragraph num="(1)"> <text>Have toe grabs that are greater than 4 millimeters in height; or</text> </paragraph> <paragraph num="(2)"> <text>Contain bends, jar calks, or any other traction device.</text> </paragraph> </paragraph> <paragraph num="H-1."> <text>A horse participating in a turf race at Laurel Park or Pimlico Race Course may only use the following types of shoes:</text> <paragraph num="(1)"> <text>Flat;</text> </paragraph> <paragraph num="(2)"> <text>Queen's Plate;</text> </paragraph> <paragraph num="(3)"> <text>Queen's Plate XT;</text> </paragraph> <paragraph num="(4)"> <text>Silver Queen; or</text> </paragraph> <paragraph num="(5)"> <text>Factory Wedge.</text> </paragraph> </paragraph> <paragraph num="I."> <text>A horse may not be permitted to enter or to start unless it is in the care of, and is saddled by, a licensed trainer or a licensed assistant trainer.</text> </paragraph> <paragraph num="J."> <text>A horse that has not been fully identified may not be permitted to start.</text> </paragraph> <paragraph num="K."> <text>A horse may not be permitted to start unless its name and true ownership are registered with the racing secretary.</text> </paragraph> <paragraph num="L."> <text>All interests in a horse, except a trainer's percentage of his winnings, shall be filed with the racing secretary before the horse shall start. Every change in interest thereafter during the meeting also shall be filed with the racing secretary.</text> </paragraph> <paragraph num="M."> <text>In all races, except handicaps and races where the conditions expressly state to the contrary, the scale of weights is less by the following: for fillies two years old, 3 pounds; for mares three years old and upwards, 5 pounds before September 1 and 3 pounds thereafter when running against colts, geldings or horses.</text> </paragraph> <paragraph num="N."> <text>To compete in a race, a horse shall be eligible at the time of starting for that race.</text> </paragraph> <paragraph num="O."> <text>A horse involved in a partnership may not be permitted to start until the rules for the registration of partnerships have been complied with.</text> </paragraph> <paragraph num="P."> <text>An entry may not be admitted after the racing secretary has declared them closed, except that, in case of an emergency, the racing secretary, with the consent of a steward, may re-open the entries.</text> </paragraph> <paragraph num="Q."> <text>The list of entries for all other races shall be closed at the advertised time. An entry may not be admitted after that time, unless the nominator can prove to the stewards that the entry was mailed before the advertised time of closing. Starters shall be named through the entry box by the usual time of closing.</text> </paragraph> <paragraph num="R."> <text>Except in a match race, an entry, subscription or right of entry under it, does not become void on the death of the nominator or subscriber. These rights shall follow the horse.</text> </paragraph> <paragraph num="S."> <text>In the absence of notice to the contrary, entrance and declarations for sweepstakes, which close during or on the eve of a race meeting, close at the office of the racing secretary, who shall make provision therefor. Closing at all other times for sweepstakes shall be at the office of the association.</text> </paragraph> <paragraph num="T."> <text>Except in overnight races, if the hour for closing of entries or for declarations is not stated, it is understood to be midnight at the close of the day specified.</text> </paragraph> <paragraph num="U."> <text>Nominations for stake races shall be valid if:</text> <paragraph num="(1)"> <text>Received before midnight of the day of closing; or</text> </paragraph> <paragraph num="(2)"> <text>Postmarked before midnight of the day of closing and received not later than:</text> <paragraph num="(a)"> <text>If a handicap, 24 hours before the publication of weights, or</text> </paragraph> <paragraph num="(b)"> <text>If a type of stakes race other than a handicap, 24 hours before the closing of overnight entries scheduled for the day of the stakes race.</text> </paragraph> </paragraph> </paragraph> <paragraph num="V."> <text>If a miscarriage of any nomination or declaration in a stake race is claimed, satisfactory proof that it was mailed or telegraphed shall be presented within a reasonable time to the stewards or the evidence will not be considered.</text> </paragraph> <paragraph num="W."> <text>Entries which have closed shall be complied without delay by the racing secretary and posted in a conspicuous place.</text> </paragraph> <paragraph num="X."> <text>An alteration may not be made in any entry after the closing of entries, but a bona fide error may be corrected.</text> </paragraph> <paragraph num="Y."> <text>In the case of an imported horse, the official racing record of the horse shall be filed with the racing secretary before the time entry is made in order to qualify for eligibility.</text> </paragraph> <paragraph num="Z."> <text>Declaration in Purse Races and Overnight Handicaps.</text> <paragraph num="(1)"> <text>The stewards may, for cause, allow a horse to be declared out of a race.</text> </paragraph> <paragraph num="(2)"> <text>If a horse is declared out of a race under the provisions of §Z(1) of this regulation, the stewards shall prohibit the horse from running out-of-State for a period up to 10 days starting with the day of the race from which the horse was declared out.</text> </paragraph> <paragraph num="(3)"> <text>If there is a request to declare a horse out and this request is not allowed by the stewards, the Association shall make this information known to the public by posting it on the information boards of the Association which are normally used to disseminate other race-related information to the public.</text> </paragraph> </paragraph> <paragraph num="AA."> <text>Each horse is entitled to 5 feet of the width of the track.</text> </paragraph> <paragraph num="BB."> <text>A horse may not be qualified to be entered, or to start in any race, if owned in whole or in part, or is under the management, directly or indirectly, of a disqualified person.</text> </paragraph> <paragraph num="CC."> <text>If an entry from a disqualified person, or of a disqualified horse is received, that entry shall be void and any money paid for the entry shall be returned if the disqualification is disclosed 45 minutes before post time for the race. Otherwise, any money shall be paid to the winner.</text> </paragraph> <paragraph num="DD."> <text>An entry may not be accepted from husband or wife while either is disqualified.</text> </paragraph> <paragraph num="EE."> <text>A horse on any barred list may not be qualified to be entered, or to start, without permission of the stewards.</text> </paragraph> <paragraph num="FF."> <text>If a horse is sold to a disqualified person, the horse's racing engagements shall be void as of the date of sale.</text> </paragraph> <paragraph num="GG."> <text>A horse may not enter or start in any race if the owner of that horse is in arrears, except with the approval of the racing secretary.</text> </paragraph> <paragraph num="HH."> <text>A horse that has been administered any intra-articular injections may not start for 14 days. In counting the number of days, the day the horse is injected shall be the first day.</text> </paragraph> <paragraph num="II."> <text>In divided races, the starters in the separate divisions shall be determined by lot.</text> </paragraph> <paragraph num="JJ."> <text>If a race is declared off because of insufficient entries, the association may:</text> <paragraph num="(1)"> <text>Split any overnight race which may have closed, and cause a new drawing for post positions; or</text> </paragraph> <paragraph num="(2)"> <text>Substitute a new race.</text> </paragraph> </paragraph> <paragraph num="KK."> <text>An entry in a sweepstakes is a subscription and cannot be withdrawn.</text> </paragraph> <paragraph num="LL."> <text>A person, who subscribes to a sweepstakes before the time fixed for naming, can transfer the right of entry under one or more of the person's subscriptions to any other person or persons in good standing.</text> </paragraph> <paragraph num="MM."> <text>The nominator is liable for the entrance money or stake, and the death of an entered horse, or a mistake in his entry (if eligible) does not release the nominator or transferee from this liability. The entrance money or stake of an eligible horse to any race which is run off may not be returnable for the entry's failure to start for any cause.</text> </paragraph> <paragraph num="NN."> <text>A horse may not be entered on a single day for two races, except that a horse may be entered for two or more Stakes races on the same day if the horse is declared by the normal scratch time for the day on which the horse is entered for two or more Stakes races.</text> </paragraph> <paragraph num="OO."> <text>A horse may not be entered at more than one track, other than in a sweepstakes, on any one racing day.</text> </paragraph> <paragraph num="PP."> <text>If entered for the first time at a meeting, a horse shall be identified by stating the horse's name, color, sex, age, and the name of the horse's sire and dam, as registered. This description shall be repeated at each entry until the horse's name and description have been published in the official program or the list of entries of an association. In every entry after that, the name, age, and sex of a horse shall be sufficient.</text> </paragraph> <paragraph num="QQ."> <text>Any alteration in the sex of a horse shall be reported and noted by the trainer to the office of the racing secretary or the Horse Identification Office immediately, and that office shall note the same on the foal certificate.</text> </paragraph> <paragraph num="RR."> <text>The racing secretary may call upon an owner or trainer for proof of the eligibility of any entered horse or of any horse offered for entry. In default of this proof, the racing secretary may decline to accept the entry.</text> </paragraph> <paragraph num="SS."> <text>Correction of Entry.</text> <paragraph num="(1)"> <text>Provided the identity of the horse is satisfactorily established, an incorrect or imperfect description in the entry of a horse, or failure to register a partnership, may be corrected at any time:</text> <paragraph num="(a)"> <text>Before the horse is announced as a starter and the horse's number exhibited for the race in which it is entered; or</text> </paragraph> <paragraph num="(b)"> <text>In a handicap, before the weighs are announced.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>This rule may not be construed to allow any horse to start in any race for which it is not otherwise completely qualified under the rules of racing.</text> </paragraph> </paragraph> <paragraph num="TT."> <text>A horse may not be considered scratched or declared out of an engagement until the owner or the owner's authorized agent or some person deputized by the owner has given due notice to the stewards, and the stewards permit the scratch.</text> </paragraph> <paragraph num="UU."> <text>For stake races, if a horse is not named through the entry box the day before the race at the usual time of closing, the horse is automatically out.</text> </paragraph> <paragraph num="VV."> <text>The declaration or scratch of a horse out of an engagement is irrevocable.</text> </paragraph> <paragraph num="WW."> <text>Horses may be declared from stake races up to 45 minutes before post time for that race.</text> </paragraph> <paragraph num="XX."> <text>The following rules apply to purse races and overnight events, but do not apply to stake races or sweepstakes:</text> <paragraph num="(1)"> <text>A trainer may enter up to three horses in an overnight race if that race has a least six entries with separate owners and or trainers. In no case may more than two horses start in the same ownership and/or trainer to the exclusion of a single entry.</text> </paragraph> <paragraph num="(2)"> <text>If the race is to be divided into two or more races, an entry under the same or separate ownership shall be separated and one horse of the entry shall receive a draw in each division of the original race.</text> </paragraph> <paragraph num="(3)"> <text>If possible, the name of the jockey engaged to ride each horse shall be furnished at the time of entry. However, if the jockey has not been named by the normal scratch time for that day's races, the stewards shall select, in their judgment, the best jockey available to ride any horse on which a jockey has not been named.</text> </paragraph> </paragraph> <paragraph num="YY."> <text>Published Workouts.</text> <paragraph num="(1)"> <text>A horse which has never raced or has not started for a period of 60 days or more may not be permitted to start unless it has a published workout at a distance acceptable to the stewards within 45 days of starting. If a horse worked, but through no fault of the trainer the workout does not appear in the past performances, the horse shall be permitted to race and the correct workout and date announced on the public address system.</text> </paragraph> <paragraph num="(2)"> <text>When a horse is stabled at an approved stable area or training center and the trainer works the horse, the trainer shall make a notarized statement to the stewards as to when, where, and the time for the distance the horse worked, and the work shall be announced on the public address system. If it is not the practice of the trainer to work a particular horse he shall make a notarized statement to the stewards as to how the horse is brought up to a race, and this information will be made public by notation on the official program of the racing association or by public address announcement if this information is received after the program is printed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Equipment Changes."> <paragraph num="A."> <text>Permission to add or discontinue the use of blinkers or any other device that would restrict the vision of a horse from behind shall be approved by the starter before being granted by the stewards.</text> </paragraph> <paragraph num="B."> <text>Permission for a rider to discontinue carrying a whip on his mount shall be obtained from the stewards, and permission shall be obtained from the stewards before adding the whip back as part of the rider's equipment.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Fines and Suspensions."> <paragraph num="A."> <text>No racing official other than the stewards has the right to impose a fine or suspension after a hearing before the stewards.</text> </paragraph> <paragraph num="B."> <text>A racing official imposing a fine or suspension shall report it promptly to the racing secretary in writing.</text> </paragraph> <paragraph num="C."> <text>An unpaid fine may not be rescinded except with the approval of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Identification of Horses."> <paragraph num="A."> <text>All horses shall be identified to the satisfaction of the stewards except:</text> <paragraph num="(1)"> <text>Under the provisions of §A(2) of this regulation, the original certificate, or a duplicate, issued by the Jockey Club (New York) for thoroughbreds, or issued by the national office, or other office as specified, for the breeds concerned for nonthoroughbreds, shall show original markings and shall be filed with the racing secretary before an entry will be allowed to start;</text> </paragraph> <paragraph num="(2)"> <text>When a horse has previously started and there is sufficient documentation to properly identify the horse, the stewards may allow the horse to start, however, the trainer is subject to a fine for failure to comply with the provisions of §A(1) of this regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A horse may not be allowed to race unless it has been lip tattooed or digitally tattooed by the Thoroughbred Racing Protective Bureau (TRPB). For good cause, the stewards may waive this requirement if the horse is otherwise properly identified. However, the horse shall be tattooed thereafter within a time set by the stewards.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".20-1" heading="Exercise Rider."> <paragraph num="A."> <text>Exercise Rider License.</text> <paragraph num="(1)"> <text>An exercise rider shall:</text> <paragraph num="(a)"> <text>Be licensed by the Commission; and</text> </paragraph> <paragraph num="(b)"> <text>Except as provided in §A(2) of this regulation, be 16 years old or older.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An individual who is 15 years old may apply for an exercise rider license, if the parent or legal guardian of the applicant files with the Commission an affidavit which states that:</text> <paragraph num="(a)"> <text>The applicant shall only exercise horses trained by the parent or legal guardian;</text> </paragraph> <paragraph num="(b)"> <text>The parent or legal guardian shall directly supervise the applicant when the applicant is performing the duties associated with the exercising of a horse; and</text> </paragraph> <paragraph num="(c)"> <text>The applicant shall otherwise comply with the requirements of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>An applicant for an original exercise rider's license shall:</text> <paragraph num="(1)"> <text>Be sponsored by a trainer licensed by the Commission; and</text> </paragraph> <paragraph num="(2)"> <text>Demonstrate to the satisfaction of the stewards that the applicant has sufficient riding experience to justify the issuance of a temporary license.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Upon satisfying the requirements of §B of this regulation, the Commission shall issue to the applicant a 10-day temporary exercise rider's license.</text> </paragraph> <paragraph num="D."> <text>During the period of temporary licensure, the applicant shall be observed as to the applicant's ability to exercise horses by:</text> <paragraph num="(1)"> <text>A licensed trainer other than the trainer who sponsored the applicant;</text> </paragraph> <paragraph num="(2)"> <text>An outrider employed by a racing association licensed under Business Regulation Article, §11-508, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(3)"> <text>A licensed jockey selected by the stewards.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Upon the completion of the temporary licensure period, the applicant shall submit to the stewards the evaluations of the individuals designated under §D of this regulation regarding the ability of the applicant to exercise horses.</text> </paragraph> <paragraph num="F."> <text>After reviewing the evaluations in §E of this regulation, the stewards shall take the following action:</text> <paragraph num="(1)"> <text>Remove the temporary status from the applicant's license, making it permanent for the remainder of the calendar year; or</text> </paragraph> <paragraph num="(2)"> <text>Disapprove the issuance of the permanent exercise rider's license.</text> </paragraph> </paragraph> <paragraph num="G."> <text>If the applicant is disapproved by the stewards, the applicant may appeal this decision to the Commission in accordance with Regulation .45V(3) of this chapter.</text> </paragraph> <paragraph num="H."> <text>While performing the duties of an exercise rider, an individual shall wear the following equipment which is designed to reduce the risk of injury on the racetrack:</text> <paragraph num="(1)"> <text>A safety helmet;</text> </paragraph> <paragraph num="(2)"> <text>A safety vest which is equal to or exceeds the requirements set forth in Regulation .21-1 of this chapter; and</text> </paragraph> <paragraph num="(3)"> <text>Other equipment that the stewards consider appropriate.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Jockeys."> <paragraph num="A."> <text>In order to be eligible to participate in a race, a jockey shall be licensed by the Commission.</text> </paragraph> <paragraph num="A-1."> <text>Except as provided in §A-2 of this regulation, to qualify for a jockey license, an individual shall continue to meet the physical requirements set forth under Regulation .23A of this chapter and shall:</text> <paragraph num="(1)"> <text>Have successfully completed an apprenticeship program as sanctioned by a jurisdiction which regulates racing; or</text> </paragraph> <paragraph num="(2)"> <text>Display, to the satisfaction of the stewards, that the individual meets all of the other requirements under Regulation .23A of this chapter, except §A(1)(b) of that regulation.</text> </paragraph> </paragraph> <paragraph num="A-2."> <text>Restricted Jockey License. Based on the degree of competency demonstrated, an individual who does not wish to be licensed as a jockey under the provisions of §A-1 of this regulation may be granted a jockey license by the Commission, and this license shall restrict the individual to riding in:</text> <paragraph num="(1)"> <text>Races for amateur jockeys;</text> </paragraph> <paragraph num="(2)"> <text>Steeplechase races; or</text> </paragraph> <paragraph num="(3)"> <text>Other races designated by the Commission.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An individual younger than 16 years old may not be licensed as a jockey.</text> </paragraph> <paragraph num="C."> <text>A jockey shall ride under the jockey's legal name.</text> </paragraph> <paragraph num="D."> <text>The stewards may permit a jockey to ride pending action on the jockey's application for a license.</text> </paragraph> <paragraph num="E."> <text>A jockey under suspension in any state or foreign country may not ride during the period of the jockey's suspension except as provided under Regulation .45AA of this chapter.</text> </paragraph> <paragraph num="F."> <text>A jockey may not smoke in public while wearing racing colors.</text> </paragraph> <paragraph num="G."> <text>While riding in a race, a jockey shall wear a number on the jockey's right arm which shall correspond to the:</text> <paragraph num="(1)"> <text>Saddle cloth number of the horse the jockey is riding in the race; and</text> </paragraph> <paragraph num="(2)"> <text>Number of the horse the jockey is riding in the race as printed in the official program.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Weight.</text> <paragraph num="(1)"> <text>A jockey who is engaged to ride in a race shall:</text> <paragraph num="(a)"> <text>Report to the scale room on the day of the race not later than the time specified by the clerk of the scales;</text> </paragraph> <paragraph num="(b)"> <text>Report the jockey's engagements and over weights, if any, not later than the time specified by the clerk of the scales;</text> </paragraph> <paragraph num="(c)"> <text>Remain in the jockey room, except to view the races from a point approved by the stewards, or to ride in a race, until all of the jockey's engagements for the day have been fulfilled; and</text> </paragraph> <paragraph num="(d)"> <text>Weigh out at the appointed time unless excused by the stewards.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A jockey who has an engagement to ride in a stake race shall report to the clerk of the scales not later than 1 hour before the post time of that race.</text> </paragraph> </paragraph> <paragraph num="I."> <text>A fine shall be paid by the jockey upon whom the fine was levied, and any other person paying this fine shall be subject to appropriate action by the Commission.</text> </paragraph> <paragraph num="J."> <text>A jockey may not have more than one agent.</text> </paragraph> <paragraph num="J-1."> <text>All engagements to ride, other than those for the contract employer of the jockey, shall be made by the:</text> <paragraph num="(1)"> <text>Jockey;</text> </paragraph> <paragraph num="(2)"> <text>Jockey's agent;</text> </paragraph> <paragraph num="(3)"> <text>Jockey's employer; or</text> </paragraph> <paragraph num="(4)"> <text>Clerk of the scales.</text> </paragraph> </paragraph> <paragraph num="K."> <text>On a day that a jockey is scheduled to ride, the jockey may not bet on any race except:</text> <paragraph num="(1)"> <text>To win on a horse which the jockey is scheduled to ride; and</text> </paragraph> <paragraph num="(2)"> <text>Through the owner or trainer of that horse.</text> </paragraph> </paragraph> <paragraph num="L."> <text>A jockey may not receive a gift from a person other than the owner or trainer of the horse for whom the jockey is riding.</text> </paragraph> <paragraph num="M."> <text>A person may not:</text> <paragraph num="(1)"> <text>Knowingly act in the capacity of part owner, or trainer, of any horse in which a jockey possesses an interest;</text> </paragraph> <paragraph num="(2)"> <text>Make any bet with, or in behalf of, any jockey, except as provided in §K of this rule; or</text> </paragraph> <paragraph num="(3)"> <text>Aid or abet in any breach of these rules.</text> </paragraph> </paragraph> <paragraph num="N."> <text>Ownership of Horses.</text> <paragraph num="(1)"> <text>Unless a jockey is licensed under the provisions of §A-2 of this regulation, the jockey may not be the owner of a thoroughbred race horse.</text> </paragraph> <paragraph num="(2)"> <text>If a jockey licensed under the provisions of §A-2 of this regulation owns a horse and that horse is in a race in which the jockey is riding, the jockey shall ride that horse.</text> </paragraph> </paragraph> <paragraph num="O."> <text>Equipment. In addition to the equipment a jockey is otherwise required to use to ride a horse in a race, a jockey shall wear the following equipment which is designed to reduce the risk of injury on the racetrack:</text> <paragraph num="(1)"> <text>A safety helmet; and</text> </paragraph> <paragraph num="(2)"> <text>A safety vest:</text> <paragraph num="(a)"> <text>Weighing not more than 2 pounds, and</text> </paragraph> <paragraph num="(b)"> <text>Equaling or exceeding the requirements under Regulation .21-1 of this chapter.</text> </paragraph> </paragraph> </paragraph> <paragraph num="P."> <text>A jockey who makes a frivolous complaint may be fined or suspended by the stewards or the Commission.</text> </paragraph> <paragraph num="Q."> <text>The stewards shall penalize a jockey according to the gravity of the offense, if, without adequate cause, the jockey does not:</text> <paragraph num="(1)"> <text>Put forth every reasonable effort and exercise the greatest diligence in riding a race; or</text> </paragraph> <paragraph num="(2)"> <text>Ride out a horse in a race.</text> </paragraph> </paragraph> <paragraph num="R."> <text>Use of the Whip.</text> <paragraph num="(1)"> <text>Except to control a horse, a jockey or any other individual may not strike a horse with a whip:</text> <paragraph num="(a)"> <text>On or about the horse's head; or</text> </paragraph> <paragraph num="(b)"> <text>Under the horse's flank.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>During the running of a race, a jockey:</text> <paragraph num="(a)"> <text>Shall use the whip in a manner that is consistent with the jockey's best effort to obtain the maximum placing of the horse in the race; and</text> </paragraph> <paragraph num="(b)"> <text>May not use the whip in a brutal manner when it is apparent that the horse the jockey is riding has obtained its maximum placing in the race.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If a trainer does not want the jockey who is riding the trainer's horse in a race to carry a whip, the trainer shall:</text> <paragraph num="(a)"> <text>Obtain permission from the stewards; and</text> </paragraph> <paragraph num="(b)"> <text>Notify the jockey who is riding the horse.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".21-1" heading="Jockey Safety Vest."> <text>A jockey safety vest shall:</text> <paragraph num="A."> <text>Cover the torso, front and back, from the collar bone to the hip bone;</text> </paragraph> <paragraph num="B."> <text>Be of uniform material and thickness over the whole of the vest, except for localized:</text> <paragraph num="(1)"> <text>Variation due to pattern, for example, quilting,</text> </paragraph> <paragraph num="(2)"> <text>Thinner areas to aid fit, for example, under the arms, at fastenings and at edges, and</text> </paragraph> <paragraph num="(3)"> <text>Thicker areas in regard to particularly sensitive areas of the body, for example, the spine; and</text> </paragraph> </paragraph> <paragraph num="C."> <text>Equal or exceed a minimum shock absorbence rating of 5 according to the specifications established by the British Equestrian Trade Association (BETA) which are as follows:</text> <paragraph num="(1)"> <text>Use a critical height apparatus to measure the maximum deceleration on impact of a striker consisting of a spherical indenter weighing 5.9 (+/- 0.05) kilograms with a diameter of 215 (+/- 2) millimeters,</text> </paragraph> <paragraph num="(2)"> <text>Condition the vest and the striker for a minimum of 3 hours at 23° (+/- 2°) Centigrade,</text> </paragraph> <paragraph num="(3)"> <text>With the vest lying on a smooth, flat, massive concrete base with the inside of the vest facing the striker and positioned so that the striker will impact on an area of typical thickness, not reinforced by additional material, raise and release the striker starting at a height of 0.2 meter and increasing the height by increments of 0.2 meter to a height which will result in a deceleration of over 300 gravity units (1G=9.81 ms-1) as measured by recording the signal from an accelerometer throughout the impact from the time before the striker impacts the vest until the accelerometer returns to the same level as before the impact,</text> </paragraph> <paragraph num="(4)"> <text>Record the gravity units measured at each height increment on a line graph which has the gravity units in ascending order as the vertical axis and the release height in meters in ascending increments as the horizontal axis,</text> </paragraph> <paragraph num="(5)"> <text>Plot the height in meters at which the deceleration reached 300 gravity units, and</text> </paragraph> <paragraph num="(6)"> <text>Multiply the height obtained in §C(5) of this regulation by 10 to calculate the shock absorbence rating.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Jockey Agents."> <paragraph num="A."> <text>Each jockey agent shall obtain a license from the Commission. Before issuance of a license, a jockey agent may be required to satisfy the Commission of the jockey agent's financial responsibility which the jockey agent shall maintain so long as the jockey agent is licensed by the Commission.</text> </paragraph> <paragraph num="B."> <text>Number of Jockeys an Agent May Be Permitted to Represent.</text> <paragraph num="(1)"> <text>A jockey agent may represent up to:</text> <paragraph num="(a)"> <text>Two journeymen jockeys; and</text> </paragraph> <paragraph num="(b)"> <text>One apprentice jockey.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a stable employs more than two contract jockeys, a jockey agent may represent all the jockeys under contract to that stable.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A jockey agent may not make or assist in the making of any engagement for any rider other than those the jockey agent is licensed to represent.</text> </paragraph> <paragraph num="D."> <text>Conflicting claims for the services of a jockey shall be decided by the stewards and first call shall have priority.</text> </paragraph> <paragraph num="E."> <text>No person other than an owner, trainer, jockey agent, or authorized agent of an owner in good standing shall make engagements for an apprentice jockey or jockey. However, a jockey not represented by an agent may make the jockey's own engagements.</text> </paragraph> <paragraph num="F."> <text>Jockey agents shall explain rival claims for any mount or for any rider. Inability to satisfy the stewards that the rival claims arose through bona fide error shall create a presumption of fraud, and constitute cause for an agent's license to be revoked.</text> </paragraph> <paragraph num="G."> <text>Examination for Jockey Agent's License. An applicant for an original jockey agent's license shall be given a written or oral examination by the stewards. An unsuccessful applicant shall be permitted by the stewards to reapply after a waiting period of not more than 2 months.</text> </paragraph> <paragraph num="H."> <text>Naming of Jockeys.</text> <paragraph num="(1)"> <text>Jockey agents shall declare to the clerk of scales of the Association their first and second calls on a race not later than the scratch time for the race.</text> </paragraph> <paragraph num="(2)"> <text>A jockey may not accept more than two calls in any one race.</text> </paragraph> <paragraph num="(3)"> <text>An entry may be considered one call for the purpose of this section.</text> </paragraph> <paragraph num="(4)"> <text>An owner/trainer or authorized agent, or both, may not name a rider on a horse unless that person has a first or second call on that rider.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Apprentice Jockey."> <paragraph num="A."> <text>Licensure.</text> <paragraph num="(1)"> <text>An individual may be granted an original apprentice jockey license and an apprentice certificate by the stewards if the individual:</text> <paragraph num="(a)"> <text>Is 16 years old or older;</text> </paragraph> <paragraph num="(b)"> <text>Has never been licensed and has never ridden in a race as a thoroughbred jockey, except under the conditions as provided in §A(2) of this regulation;</text> </paragraph> <paragraph num="(c)"> <text>When under age, has written parental consent;</text> </paragraph> <paragraph num="(d)"> <text>Has the certification of two or more licensed trainers that the individual has at least 1 year's experience as an exercise rider;</text> </paragraph> <paragraph num="(e)"> <text>Passed, within the previous 12 months, a physical examination given by a licensed physician affirming fitness to participate as a jockey, including a baseline concussion test using the most current Sport Concussion Assessment Tool (SCAT) testing protocol;</text> </paragraph> <paragraph num="(f)"> <text>Demonstrates, to the satisfaction of the starter and an accompanying journeyman jockey, the ability to start from the gate and maintain a consistent path around the racetrack; and</text> </paragraph> <paragraph num="(g)"> <text>After having received an orientation from the stewards, satisfies the stewards that the individual has a sufficient knowledge of:</text> <paragraph num="(i)"> <text>The rules of racing;</text> </paragraph> <paragraph num="(ii)"> <text>The procedures in the jockeys' room, paddock, and post parade; and</text> </paragraph> <paragraph num="(iii)"> <text>The physical problems that may befall a horse during the running of a race.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>The results of the physical examination and the baseline test shall be provided by the jockey to the stewards or their designee.</text> </paragraph> <paragraph num="(3)"> <text>The stewards or their designee may require that any jockey be reexamined.</text> </paragraph> <paragraph num="(4)"> <text>The stewards may refuse to allow a jockey to ride pending completion of such examination.</text> </paragraph> <paragraph num="(5)"> <text>After the individual rides in a reasonable number of races as an apprentice jockey, upon proper notice and hearing, the stewards may withdraw a license issued under this regulation based upon the performance of the individual in these races.</text> </paragraph> </paragraph> <paragraph num="A-1."> <text>Weight Allowances.</text> <paragraph num="(1)"> <text>An apprentice jockey, created by contract or certificate, may claim the following weight allowances in all overnight races except handicaps:</text> <paragraph num="(a)"> <text>10 pounds beginning with the first mount and continuing until the apprentice has ridden five winners;</text> </paragraph> <paragraph num="(b)"> <text>7 pounds after the 5th winner until the 40th winner; and</text> </paragraph> <paragraph num="(c)"> <text>5 pounds after the 40th winner until 1 year from the date of the 5th winning mount.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If, after 1 year from the date of the 5th winning mount, the apprentice jockey has not ridden 40 winners, the applicable weight allowance shall continue for 1 more year or until the 40th winner, whichever comes first, but, in no event may the applicable weight allowances be claimed for more than 2 years from the date of the 5th winning mount unless an extension is granted under §A-1(4) of this regulation.</text> </paragraph> <paragraph num="(3)"> <text>After the completion of conditions under §A-1(1) and (2) of this regulation, for 1 additional year, an apprentice who is under contract to an owner or trainer may claim a 3-pound weight allowance when riding horses owned or trained by the individual who held the contract at the time the apprentice rode the first winner if the contract has not been transferred or sold since the apprentice rode the first winner.</text> </paragraph> <paragraph num="(4)"> <text>Extension of Apprentice Weight Allowances.</text> <paragraph num="(a)"> <text>The Commission may extend the weight allowances of an apprentice jockey when, in the discretion of the Commission, this action would be justified because of time lost due to:</text> <paragraph num="(i)"> <text>A physical disablement;</text> </paragraph> <paragraph num="(ii)"> <text>Military service;</text> </paragraph> <paragraph num="(iii)"> <text>Attendance at an institution of secondary or higher learning as a full-time student; or</text> </paragraph> <paragraph num="(iv)"> <text>Restrictions on horse racing.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>In order to qualify for an extension of the apprentice weight allowances, an apprentice jockey shall have been rendered unable to ride for a period of not less than 7 days during the period in which the apprentice was entitled to an apprentice weight allowance.</text> </paragraph> <paragraph num="(c)"> <text>An apprentice may petition one of the jurisdictions in which the apprentice is licensed and riding for an extension of the time for claiming apprentice weight allowances, and the apprentice shall be bound by the decision of the jurisdiction petitioned.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>When an individual is no longer eligible for the weight allowances of an apprentice jockey, the individual ceases to be an apprentice jockey and is considered a journeyman jockey.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Fees. An apprentice jockey shall be entitled to the regular jockey fees, except when riding a horse owned in part or solely by the contract holder.</text> </paragraph> <paragraph num="C."> <text>Applicability of Jockey Regulations. An apprentice jockey is subject to all applicable provisions of this chapter regarding jockeys.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".24" heading="Jockey Room Custodian."> <paragraph num="A."> <text>It is the duty of the jockey room custodian to see to it that order, decorum, and cleanliness are maintained in the jockey and scale rooms.</text> </paragraph> <paragraph num="B."> <text>The custodian shall assist the clerk of the scales as he may require.</text> </paragraph> <paragraph num="C."> <text>The custodian shall see to it that no persons, other than members of the Commission and its authorized representatives, racing officials, and the necessary jockey room attendants are admitted to the jockey room after 10 a.m. on a day of racing without consent of the stewards.</text> </paragraph> <paragraph num="D."> <text>The custodian shall oversee the care and storage of all racing colors, giving written receipts for them when deposited.</text> </paragraph> <paragraph num="E."> <text>The custodian shall oversee the jockey attendants and arrange their rotation among jockeys in the matter of weighing out.</text> </paragraph> <paragraph num="F."> <text>The custodian shall report to the stewards any irregularities that occur in his province.</text> </paragraph> <paragraph num="G."> <text>The custodian shall see to it that jockeys are neat in appearance and attired in keeping with these rules when they leave the room to ride in a race.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".25" heading="Licenses and Registrations."> <paragraph num="A."> <text>The following persons are required to take out a license from, or register with, the Commission:</text> <paragraph num="(1)"> <text>Licenses:</text> <paragraph num="(a)"> <text>Owner;</text> </paragraph> <paragraph num="(b)"> <text>Trainer;</text> </paragraph> <paragraph num="(c)"> <text>Assistant trainer;</text> </paragraph> <paragraph num="(d)"> <text>Jockey;</text> </paragraph> <paragraph num="(e)"> <text>Apprentice jockey;</text> </paragraph> <paragraph num="(f)"> <text>Jockey agent;</text> </paragraph> <paragraph num="(g)"> <text>Pari-mutuel employee;</text> </paragraph> <paragraph num="(h)"> <text>Stable employee;</text> </paragraph> <paragraph num="(i)"> <text>Track employee;</text> </paragraph> <paragraph num="(j)"> <text>Vendor;</text> </paragraph> <paragraph num="(k)"> <text>Veterinarian;</text> </paragraph> <paragraph num="(l)"> <text>Farrier;</text> </paragraph> <paragraph num="(m)"> <text>Exercise rider.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Registrations:</text> <paragraph num="(a)"> <text>Authorized agent;</text> </paragraph> <paragraph num="(b)"> <text>Stable name.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>License and Registration Expiration.</text> <paragraph num="(1)"> <text>A license or registration issued under §A(1)(a)—(f) or §A(2) of this regulation shall expire on December 31 of the year for which it was issued.</text> </paragraph> <paragraph num="(2)"> <text>A license issued under §A(1)(g)—(m) of this regulation shall expire on June 30 of each year.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".26" heading="Repealed." /> <regulation prefix="Regulation" num=".27" heading="Outriders."> <text>There shall be three outriders on duty at all tracks while racing is being conducted. At least one outrider shall be on duty during training hours at all tracks under the jurisdiction of the Commission. However, at any track of less than 1 mile in circumference, there may be two outriders on duty while racing is being conducted.</text> </regulation> <regulation prefix="Regulation" num=".28" heading="Owners."> <paragraph num="A."> <text>Except as provided by this section, an owner may not be allowed to start a horse under the jurisdiction of the Commission until the owner has obtained from the Commission a current owner's license. The license may be revoked, for cause, by the Commission or, in the discretion of the Commission, may be suspended, for cause, for any period of time. Before issuance of a license, an owner may be required to satisfy the Commission of his financial responsibility. An owner shall maintain his financial responsibility so long as he is licensed by the Commission. The stewards, in their discretion, may allow an owner to race a horse one time while awaiting action on the owner's application for licensure. An owner who so races but does not complete his application for a license and pay the appropriate fee within a reasonable period of time, shall be precluded from racing until his application is filed, and license fee paid.</text> </paragraph> <paragraph num="B."> <text>Disqualification of a husband or wife from having a license may apply equally to both.</text> </paragraph> <paragraph num="C."> <text>The application for a license shall be made upon a form of application prepared by the Commission.</text> </paragraph> <paragraph num="D."> <text>A licensed owner shall order the production and transfer of all health and medical records, as defined under COMAR 09.10.03, held by the individual or veterinarian providing services to the horse owned by them within 7 days if:</text> <paragraph num="(1)"> <text>The horse is sold to, claimed by, or transferred to a new owner; or</text> </paragraph> <paragraph num="(2)"> <text>The Racing Commission Equine Medical Director makes a request for such records.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Multiple Ownership.</text> <paragraph num="(1)"> <text>Forms of multiple ownership shall be duly licensed by the Commission before being allowed to start a horse.</text> </paragraph> <paragraph num="(2)"> <text>The license application of the multiple ownership entity (“entity”) shall be accompanied by the relevant documents governing the formation of the entity which shall contain, among other things, the following:</text> <paragraph num="(a)"> <text>The name, address, social security number, and date of birth of each person having an interest in the entity;</text> </paragraph> <paragraph num="(b)"> <text>The relative proportions of the interests in §F(2)(a);</text> </paragraph> <paragraph num="(c)"> <text>To whom the winnings are payable;</text> </paragraph> <paragraph num="(d)"> <text>In whose name the horse or horses owned by the entity shall run;</text> </paragraph> <paragraph num="(e)"> <text>The name of the person designated to act as agent for the entity in all racing matters;</text> </paragraph> <paragraph num="(f)"> <text>The names of the horse or horses owned by the entity;</text> </paragraph> <paragraph num="(g)"> <text>The terms of any contingency, lease, or other arrangement. A copy of the documents shall be attached to the registration certificate of any horses owned by the entity.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A person holding an interest of 5 percent or more in an entity shall be deemed to hold a beneficial interest and shall obtain an owner's license. Beneficial interest includes all direct and indirect forms of ownership or control, or both, voting power, or investment power, held through any contract, lien, lease, partnership, stockholding, syndication, joint venture, understanding, relationship (including family relationship), present or reversionary right, title or interest, or otherwise.</text> </paragraph> <paragraph num="(4)"> <text>A person holding a beneficial interest in an entity shall disclose any beneficial interests which that person holds in any horses to the Commission, at the time of licensing and at the track not later than the time of entry.</text> </paragraph> <paragraph num="(5)"> <text>Officers, directors, general partners, managers, and authorized agents of an entity shall obtain an owner's license.</text> </paragraph> <paragraph num="(6)"> <text>Each entity shall designate in writing the person authorized to act as agent for the entity in all racing matters. This person shall obtain an owner's license and represent more than 50 percent of the financial interests in the entity, and shall be subject to the rules governing the authorized agent. The Commission shall be notified in writing by the entity of any change in the person designated as its agent. An agent for an entity may not assume the responsibilities of the trainer unless that person is the trainer.</text> </paragraph> <paragraph num="(7)"> <text>The Commission may deny, suspend, or revoke the license of an entity in which a beneficial interest is held by a person who is or would be ineligible to be licensed as an owner in any respect.</text> </paragraph> <paragraph num="(8)"> <text>Changes either in the structure of the entity or in the persons holding any interest in the entity shall be immediately disclosed to the Commission in writing.</text> </paragraph> <paragraph num="(9)"> <text>Horses owned by the entity shall race in the name of the entity, the stable name of the entity, or the name of the agent designated to act for the entity with the designation “et al” following the agent's name.</text> </paragraph> <paragraph num="(10)"> <text>The Commission, through the racing secretary's office, shall review the ownership of each horse entered to race and ensure that each registration or eligibility certificate is properly endorsed by the transfer or to the entity. The Commission may determine, for racing purposes, the validity of all liens, transfers, and agreements pertaining to ownership of a horse and may call for adequate evidence of ownership at any time. The Commission may declare ineligible to race any horse whose ownership is in question.</text> </paragraph> <paragraph num="(11)"> <text>Coupled Horses.</text> <paragraph num="(a)"> <text>In §F(11) of this regulation, “commonality of ownership” means that the same person, persons, entity, or entities own at least 25 percent of a horse entered in a race and also own at least 25 percent of another horse entered in the same race.</text> </paragraph> <paragraph num="(b)"> <text>Except as provided in this subsection, horses may be uncoupled at the time of entry for betting purposes if the horses have commonality of ownership.</text> </paragraph> <paragraph num="(c)"> <text>If horses have commonality of ownership in a stakes race, the horses shall be uncoupled for betting purposes.</text> </paragraph> <paragraph num="(d)"> <text>If a race is split into two or more divisions, horses subject to the provisions of §F(11)(b) of this regulation shall be seeded in separate divisions, if possible, but the divisions in which they compete and the post positions shall be determined by lot.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>A person involved in a multiple ownership entity may lease, subject to the provisions of COMAR 09.10.04.22, the person's interest in the entity to another person in the multiple ownership entity.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If an owner engages two or more jockeys for the same race, he shall pay the losing fee for each engaged jockey not riding in the race, as well as the proper fee to the jockey who does ride.</text> </paragraph> <paragraph num="G."> <text>An owner who makes a frivolous complaint or frivolously places a hold upon the results of a race being made official may be fined or suspended by the stewards.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".29" heading="Paddock to Post."> <paragraph num="A."> <text>Permission shall be obtained from a steward to exercise a horse between races unless the horse is being warmed up on the way to and just before entering the paddock for the next race to be run.</text> </paragraph> <paragraph num="B."> <text>When a horse is being so warmed up before entering the paddock, its official program number shall be displayed by the rider.</text> </paragraph> <paragraph num="C."> <text>In a race, each horse shall carry a conspicuous saddlecloth number corresponding to his number on the official program. In the case of an entry, each horse making up the entry shall carry the same number (saddlecloth) with a distinguishing letter. For example, 1, 1a, 1X. In the case of a field, the horses comprising the field shall carry an individual number, i.e., 12, 13, 14, 15, and so on.</text> </paragraph> <paragraph num="D."> <text>Every horse shall be saddled in the paddock unless given permission otherwise by the stewards.</text> </paragraph> <paragraph num="E."> <text>All horses shall parade such a distance as is reasonable and proper in the opinion of the stewards, unless excused by the paddock judge. If a horse is so excused from parading and is led to the post, he shall pass over the same route as that followed by the parade.</text> </paragraph> <paragraph num="F."> <text>All horses shall carry their respective weights from paddock to post.</text> </paragraph> <paragraph num="G."> <text>Parading horses shall pass the stewards' stand in the numerical order of their exhibited number. Only a horse being led by the parade leader, or excused from parading, may parade out of numerical order.</text> </paragraph> <paragraph num="H."> <text>In the discretion of the stewards, parading horses may be allowed to break out of numerical order after passing in front of the stands.</text> </paragraph> <paragraph num="I."> <text>After the horses enter the track, a jockey may not dismount and a horse is not entitled to the care of an attendant without consent of the stewards or the starter.</text> </paragraph> <paragraph num="J."> <text>In case of accident to a jockey, or to his mount or equipment, the stewards or the starter may permit the jockey to dismount and the horse to be cared for during the delay, and may permit all jockeys to dismount and all horses to be attended during the delay.</text> </paragraph> <paragraph num="K."> <text>If a jockey is thrown on the way from the paddock to the post, the horse shall be remounted, return to the point where the jockey was thrown, and then proceed over the route of the parade to the post.</text> </paragraph> <paragraph num="L."> <text>If the jockey is so injured on the way to the post as to require replacement by another jockey, the horse shall be taken to the paddock, another jockey obtained, and then ridden over any uncompleted portion of the exact route of the parade to the starting point.</text> </paragraph> <paragraph num="M."> <text>If a horse leaves the course while moving from paddock to post, he shall return to the course at the nearest practical point to that at which he left the course, and shall complete his parade to the post from the point at which he left the course.</text> </paragraph> <paragraph num="N."> <text>A person may not willfully delay the arrival of a horse at the post.</text> </paragraph> <paragraph num="O."> <text>A bugle may be sounded to indicate the time to go to the post.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".30" heading="Purses."> <paragraph num="A."> <text>Purse money earned on thoroughbred races under the provisions of Business Regulation Article, Title 11, Annotated Code of Maryland, shall be credited to the thoroughbred purse account.</text> </paragraph> <paragraph num="B."> <text>Purse money earned on nonthoroughbred races under the provisions of Business Regulation Article, Title 11, shall be credited to each nonthoroughbred breed purse account.</text> </paragraph> <paragraph num="C."> <text>If the total amount paid for purses to nonthoroughbred horses in any race meeting does not equal the amount earned as described in §B of this regulation, any over or underpayment for each nonthoroughbred breed shall be carried forward to the next race meeting of the same association, unless the association agrees to allow the over or underpayment to be transferred to the next association to race and the next association to race agrees to accept the transfer.</text> </paragraph> <paragraph num="D."> <text>If there is no racing for a nonthoroughbred breed that raced at the previous meeting of the association, at the next race meeting of the same association the association shall resolve the disposition of any over or underpayment with the representative of the nonthoroughbred breed as recognized by the association. The thoroughbred purse account may not be charged with any overpayment to nonthoroughbreds, and if there is no distribution of any underpayment to nonthoroughbreds, the underpayment shall revert to the thoroughbred purse account.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".31" heading="Penalties and Allowances."> <paragraph num="A."> <text>Weight penalties are obligatory.</text> </paragraph> <paragraph num="B."> <text>Weight allowance is obligatory except by permission of a steward. This permission shall be obtained at the time of entry.</text> </paragraph> <paragraph num="C."> <text>Weight allowance shall be claimed at the time of overnight entry and shall be the responsibility of the trainer.</text> </paragraph> <paragraph num="D."> <text>An apprentice allowance may be claimed at scratch time if the named rider is unable to fulfill their engagement.</text> </paragraph> <paragraph num="E."> <text>An apprentice allowance may not be claimed at scratch time if no rider was named at the time of overnight entry.</text> </paragraph> <paragraph num="F."> <text>Weight allowance may not be abandoned after the posting of entries except by consent of the stewards.</text> </paragraph> <paragraph num="G."> <text>Penalties and allowance of weight are not cumulative, unless so declared by the conditions of a race.</text> </paragraph> <paragraph num="H."> <text>A horse shall start with only the allowance of weight to which he is entitled at the time of starting.</text> </paragraph> <paragraph num="I."> <text>Horses incurring weight penalties for a race are not entitled to any of the weight allowances for that race.</text> </paragraph> <paragraph num="J."> <text>Horses not entitled to the first weight allowance in a race are not entitled to the second, and so on.</text> </paragraph> <paragraph num="K."> <text>Omitting to claim a weight allowance is not cause for disqualification.</text> </paragraph> <paragraph num="L."> <text>A horse may not incur a weight penalty or be barred from any race for having been placed second or lower in any race.</text> </paragraph> <paragraph num="M."> <text>A horse may not be given a weight allowance for failure to finish second or in any lower place in any race.</text> </paragraph> <paragraph num="N."> <text>Penalties incurred in steeplechase or hurdle races do not apply to races on the flat or vice versa.</text> </paragraph> <paragraph num="O."> <text>Allowance due in steeplechase or hurdle races do not apply to races on the flat or vice versa.</text> </paragraph> <paragraph num="P."> <text>Penalties may not be invoked, or allowances made, in arriving at the weight to be carried in matches, or in private sweepstakes.</text> </paragraph> <paragraph num="Q."> <text>A horse may not receive allowance of weight, or be relieved of extra weight, for having been beaten in one or more races. However, this rule does not prohibit maiden allowance or allowances to horses which have not won within a specified period, or which have not won a race of specified value.</text> </paragraph> <paragraph num="R."> <text>A horse may not incur a weight penalty for a placement from which he is disqualified, but a horse placed through the disqualification of another horse shall incur the weight penalties of that placement.</text> </paragraph> <paragraph num="S."> <text>A horse involved in a dead heat for first place shall be liable to weight penalty for the amount received.</text> </paragraph> <paragraph num="T."> <text>In reckoning weight penalties or allowances, any race whose conditions preclude the claim of any of the starters may not be considered a claiming race, even if won by a horse liable to claim under those conditions.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".32" heading="Post Position."> <paragraph num="A."> <text>Post positions shall be determined publicly by lot in the presence of the racing secretary or his deputy, or one or more stewards.</text> </paragraph> <paragraph num="B."> <text>Beginning from the inside rail, the horses shall take their positions at the post in keeping with the numerical order resulting from the public drawing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".33" heading="Repealed." /> <regulation prefix="Regulation" num=".34" heading="Produce Races."> <paragraph num="A."> <text>In making an entry for a produce race, the produce is entered by specifying the dam and the sire or sires.</text> </paragraph> <paragraph num="B."> <text>The entry of the mare is void if:</text> <paragraph num="(1)"> <text>The produce of a mare is dropped before the 1st of January;</text> </paragraph> <paragraph num="(2)"> <text>There is no produce;</text> </paragraph> <paragraph num="(3)"> <text>The produce is dead when dropped; or</text> </paragraph> <paragraph num="(4)"> <text>Twins are dropped.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In produce races, allowances for the produce of untried horses shall be claimed before the time of closing, and are not lost by subsequent winnings.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".35" heading="Objections, When and Where Made, and Appeals."> <paragraph num="A."> <text>All objections shall be made to the stewards by the objector. Objections that are not claims of interference shall be in writing and signed by the objector.</text> </paragraph> <paragraph num="B."> <text>Permission of the stewards is necessary before an objection can be withdrawn.</text> </paragraph> <paragraph num="C."> <text>The person or persons lodging the objection shall pay all the costs and expenses incurred in resolving the objection in such proportions as the stewards shall decide, unless relieved from this expense by the Commission. These costs and expenses shall be paid within 7 days of the notice of them as posted by the stewards.</text> </paragraph> <paragraph num="D."> <text>Objections to a horse engaged in a race may be made to one of the stewards by:</text> <paragraph num="(1)"> <text>The owner, trainer, or jockey of some other horse engaged in the same race; or</text> </paragraph> <paragraph num="(2)"> <text>The officials of the race meeting.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Objections to any decisions of the clerk of the scales shall be made not later than 15 minutes before the start of the race.</text> </paragraph> <paragraph num="F."> <text>Objections based on an occurrence in a race shall be made before the numbers of the horses placed in the race have been officially confirmed.</text> </paragraph> <paragraph num="G."> <text>If, by reason of an objection, a race or place is awarded to another horse, the money for that race shall be distributed in accordance with the final placing, and the owner of a horse to which the race or place is finally awarded can recover the money from those who wrongfully received it.</text> </paragraph> <paragraph num="H."> <text>Pending a decision based on an objection, any prize won by the horse against which the objection is lodged or any money held by the clerk of the course as the price of a horse claimed in a race (if involved in the determination of the case), shall be held in an interest-bearing escrow account until the objection is determined.</text> </paragraph> <paragraph num="I."> <text>Grounds for Objections.</text> <paragraph num="(1)"> <text>Objections shall be received by the stewards within 48 hours, exclusive of Sundays, after the close of a race meeting, based on these grounds:</text> <paragraph num="(a)"> <text>Misstatement, omission, or error in the entry under which a horse has run;</text> </paragraph> <paragraph num="(b)"> <text>That the horse which ran was not the horse he was represented to be at the time of entry, or that his age was erroneously given;</text> </paragraph> <paragraph num="(c)"> <text>That he was not qualified under the conditions of the race;</text> </paragraph> <paragraph num="(d)"> <text>That he was run without regard to the rules of partnership or registration.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In all other cases, objections shall be received by the stewards within 48 hours, exclusive of scheduled dark days, of the incident in question.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Every objection shall be decided by the stewards, but their decision is subject to appeal in writing to the Commission.</text> </paragraph> <paragraph num="K."> <text>In all cases of fraud or willful deception, the time limitations do not apply, provided the stewards are satisfied that the allegations are bona fide and are susceptible of verification.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".36" heading="Racing Officials."> <paragraph num="A."> <text>For each day of live racing during a race meeting, the racing officials on duty shall include:</text> <paragraph num="(1)"> <text>Three stewards;</text> </paragraph> <paragraph num="(2)"> <text>Three placing judges;</text> </paragraph> <paragraph num="(3)"> <text>A clerk of the scales;</text> </paragraph> <paragraph num="(4)"> <text>One or more patrol judges;</text> </paragraph> <paragraph num="(5)"> <text>A horse identifier;</text> </paragraph> <paragraph num="(6)"> <text>A starter;</text> </paragraph> <paragraph num="(7)"> <text>A paddock judge;</text> </paragraph> <paragraph num="(8)"> <text>A racing secretary, who may also be the handicapper;</text> </paragraph> <paragraph num="(9)"> <text>A timer; and</text> </paragraph> <paragraph num="(10)"> <text>One or more Commission veterinarians.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Except for the stewards and Commission veterinarians, the officials specified in §A of this regulation shall be appointed by the association holding the race meeting.</text> </paragraph> <paragraph num="C."> <text>The Commission may require, for cause, the removal of an official appointed by an association.</text> </paragraph> <paragraph num="D."> <text>A racing official may not officiate in a race if the official, or the spouse of the official, has an interest in a horse which is running in the race.</text> </paragraph> <paragraph num="E."> <text>An official at a race meeting shall:</text> <paragraph num="(1)"> <text>Act with integrity and without bias; and</text> </paragraph> <paragraph num="(2)"> <text>Receive no remuneration for the proper performance of the official's duties, other than compensation from the official's employer.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".37" heading="Reserved." /> <regulation prefix="Regulation" num=".38" heading="Clerk of the Scales."> <text>The clerk of the scales shall:</text> <paragraph num="A."> <text>Exhibit the number of each horse for which a jockey has been weighed out and forthwith furnish the starter with a list of these numbers;</text> </paragraph> <paragraph num="B."> <text>Weigh all jockeys out and in;</text> </paragraph> <paragraph num="C."> <text>Accurately record and publish on the notice board any overweight or any change of jockey, weight, or racing colors, as compared with those stated on the official program and shall promptly supply all proper racing officials with all pertinent changes;</text> </paragraph> <paragraph num="D."> <text>Report to the racing secretary after each race the weights carried by each horse in each race, together with the name of each horse's jockey and the overweight carried by any jockey, as well as the post time and running time in each race and other data which may, from time to time, be required;</text> </paragraph> <paragraph num="E."> <text>Make riding engagements for jockeys and apprentice jockeys who may desire him to do so;</text> </paragraph> <paragraph num="F."> <text>Have in his possession the apprentice jockey copy of the apprentice certificate or contract before he allows the apprentice jockey to ride;</text> </paragraph> <paragraph num="G."> <text>If the apprentice jockey wins a race and the apprentice jockey previously had not ridden more than 35 winners, post the date and the race won by the apprentice jockey to the apprentice certificate or contract immediately after the race is made official.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".39" heading="Handicapper."> <paragraph num="A."> <text>The handicapper, who may be the racing secretary, shall assign the weights to be carried by each horse in a handicap.</text> </paragraph> <paragraph num="B."> <text>The handicapper shall append to the weights for every handicap the day and hour from which winners will be liable to weight penalty.</text> </paragraph> <paragraph num="C."> <text>If there are no penalties, that fact shall be appended to the weights. An alteration of weights may not be made after publication.</text> </paragraph> <paragraph num="D."> <text>In case of omission, through error, of the name or weight of a horse duly entered, the omission shall be rectified by the handicapper.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".40" heading="Paddock Judge."> <paragraph num="A."> <text>The paddock judge shall keep a record of all equipment carried by all horses in all races under his jurisdiction, permitting no change in equipment not authorized by the stewards.</text> </paragraph> <paragraph num="B."> <text>The paddock judge, in each race, shall require the farrier in attendance in the paddock to see to it that all horses are properly shod. The paddock judge shall report immediately to the stewards the findings of the farrier.</text> </paragraph> <paragraph num="C."> <text>The paddock judge shall report any irregularities to the stewards.</text> </paragraph> <paragraph num="D."> <text>The paddock judge may permit a horse to be excused from parading and be led to the post.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".41" heading="Patrol Judges."> <text>A patrol judge, for each race, shall:</text> <paragraph num="A."> <text>Take a station at a place designated by the stewards;</text> </paragraph> <paragraph num="B."> <text>Be subject to the orders of the stewards;</text> </paragraph> <paragraph num="C."> <text>Report to the stewards all pertinent observations; and</text> </paragraph> <paragraph num="D."> <text>File a written report regarding a pertinent observation if requested by the stewards.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".42" heading="Placing Judges."> <paragraph num="A."> <text>At the finish of each race, the placing judges shall be in the stand provided by the association for the observation of the finish of the race.</text> </paragraph> <paragraph num="B."> <text>The nose of a horse at the finish line is the determining factor as to the placing of the horse in relation to the other horses in the race.</text> </paragraph> <paragraph num="C."> <text>The placing judges may examine a photograph, or other electronic recording, of the finish of the race before making a determination as to the official order of finish.</text> </paragraph> <paragraph num="D."> <text>By majority rule, the placing judges shall:</text> <paragraph num="(1)"> <text>Place not less than five horses, if five or more horses compete;</text> </paragraph> <paragraph num="(2)"> <text>Place all the horses, if five or fewer horses compete; and</text> </paragraph> <paragraph num="(3)"> <text>File the official order of finish of each race with the clerk of the course.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The official order of finish as determined by the placing judges may be changed by the:</text> <paragraph num="(1)"> <text>Stewards in the event of the disqualification of one or more horses in the race; and</text> </paragraph> <paragraph num="(2)"> <text>Placing judges:</text> <paragraph num="(a)"> <text>If a majority of the placing judges determine that a mistake was made in the original official order of finish;</text> </paragraph> <paragraph num="(b)"> <text>If the determination is made within 48 hours of the finish of the race exclusive of scheduled dark days; and</text> </paragraph> <paragraph num="(c)"> <text>If the stewards concur.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".43" heading="Racing Secretary."> <paragraph num="A."> <text>The racing secretary shall discharge all duties of his office, expressed or implied, as required by these rules.</text> </paragraph> <paragraph num="B."> <text>The racing secretary shall compile an official program for each racing day, which shall state the time fixed for the first race and give the names of the horses which are to run in each of the races of the day.</text> </paragraph> <paragraph num="C."> <text>Program.</text> <paragraph num="(1)"> <text>The program shall indicate:</text> <paragraph num="(a)"> <text>The order in which each race is to be run;</text> </paragraph> <paragraph num="(b)"> <text>The purse, conditions, and distance of each race;</text> </paragraph> <paragraph num="(c)"> <text>The owner, trainer, and jockey of each horse;</text> </paragraph> <paragraph num="(d)"> <text>Each owner's racing colors;</text> </paragraph> <paragraph num="(e)"> <text>The weight assigned to each horse;</text> </paragraph> <paragraph num="(f)"> <text>His number, post position, color, sex, age, and breeding.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The program may show other pertinent data.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The racing secretary shall keep a complete record of all races.</text> </paragraph> <paragraph num="E."> <text>The racing secretary may receive all entries and declarations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".44" heading="Starter."> <paragraph num="A."> <text>The field of horses in a race shall be in the hands of the starter from the time the field begins to line up for the start until the field is released by the starter.</text> </paragraph> <paragraph num="A-1."> <text>When the field is in the hands of the starter, the horses are entitled to no further care from their attendants, except, if circumstances so indicate, the starter may permit the jockeys to dismount and the horses to be cared for until corrective measures have been taken.</text> </paragraph> <paragraph num="B."> <text>All orders necessary to secure a fair start shall be given by the starter, including an order to place a vicious or unruly horse in an outside post position, unless the stewards determine that those orders do not permit a fair start.</text> </paragraph> <paragraph num="C."> <text>The starter shall report a cause of delay to the stewards.</text> </paragraph> <paragraph num="D."> <text>If a starting gate is used, the starter shall load the:</text> <paragraph num="(1)"> <text>Horses beginning with the horse which has the post position nearest to the inside rail; and</text> </paragraph> <paragraph num="(2)"> <text>Remaining horses in their assigned post positions in a manner which would result in a fair start.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If the number of horses starting in a race does not exceed the capacity of the track, but does exceed the number of stalls in the gate, and an auxiliary gate is not used, the surplus may be started from outside the gate.</text> </paragraph> <paragraph num="F."> <text>Except in cases of emergency (recognized as such by the stewards), a starting device, other than the usual stall gate, may not be used in starting a race on the flat. Any substitute shall have the approval of the Commission.</text> </paragraph> <paragraph num="G."> <text>Schooling of Horses to the Starting Gate. In order to race, a horse shall:</text> <paragraph num="(1)"> <text>Be schooled to the starting gate by the starter;</text> </paragraph> <paragraph num="(2)"> <text>Have the written approval of the starter; and</text> </paragraph> <paragraph num="(3)"> <text>Be on the starter's list of horses eligible to start.</text> </paragraph> </paragraph> <paragraph num="H."> <text>The stewards may fine a jockey for disobedience of orders at the starting post, foul or abusive language to the starter or any assistant, or for attempting any unfair advantage.</text> </paragraph> <paragraph num="I."> <text>If an owner or a trainer does not want a horse under the trainer's care to be “tailed” or “tonged” at the starting gate, the owner or trainer shall deliver a written request to that effect to the starter, who shall comply with the request.</text> </paragraph> <paragraph num="J."> <text>An individual in the employ of a racing association and assigned to a position involving the starting of horses in a race may not:</text> <paragraph num="(1)"> <text>Accept money, anything of value, or other compensation from anyone for the services rendered in connection with the individual's assigned duties, except the salary paid by the association;</text> </paragraph> <paragraph num="(2)"> <text>Bet, either directly or indirectly, on any race; or</text> </paragraph> <paragraph num="(3)"> <text>Have an interest in any racehorse.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".45" heading="Stewards."> <paragraph num="A."> <text>When a vacancy occurs among the racing officials before post time of the first race of the day, or when a vacancy occurs after the racing of the day has started, the stewards immediately shall fill the vacancy. The appointment shall be effective only for the day, unless the association fails to fill the vacancy on the following day and notifies the stewards of its action not less than 1 hour before the post time of the first race of the day.</text> </paragraph> <paragraph num="B."> <text>These appointments shall be reported immediately to the Racing Commission.</text> </paragraph> <paragraph num="C."> <text>The stewards shall take notice of any questionable conduct with or without complaint thereof.</text> </paragraph> <paragraph num="D."> <text>It is the duty of the stewards to see to it that horses arrive at the starting post as near to the advertised post time as practical.</text> </paragraph> <paragraph num="E."> <text>In case of accident or casualty to a horse before off-time, the stewards may excuse that horse.</text> </paragraph> <paragraph num="F."> <text>The stewards shall investigate promptly, and render a decision in every protest and in every complaint properly made to them.</text> </paragraph> <paragraph num="G."> <text>The stewards shall report all protests and complaints to the Commission as soon as received by them, and shall make prompt report to the Commission of their decision.</text> </paragraph> <paragraph num="H."> <text>The stewards have the power to interpret these rules and to decide all questions not specifically covered by them.</text> </paragraph> <paragraph num="I."> <text>In matters pertaining to racing, the orders of the stewards supersede the orders of the officers and directors of the association.</text> </paragraph> <paragraph num="J."> <text>The stewards have the power and the duty to regulate and govern the conduct of all racing officials and of all owners, trainers, jockeys, grooms, and other persons attendant on horses during, before, and after races.</text> </paragraph> <paragraph num="K."> <text>In the performance of duty, the stewards have control over, and unrestricted access to, all stands, weighing rooms, and jockey rooms, enclosures and other places in use for the meeting.</text> </paragraph> <paragraph num="L."> <text>All entries and declarations are under the supervision of the stewards.</text> </paragraph> <paragraph num="M."> <text>The stewards have the power to determine all questions arising with reference to entries and racing.</text> </paragraph> <paragraph num="N."> <text>All questions within the stewards' authority shall be determined by a majority vote of the stewards.</text> </paragraph> <paragraph num="O."> <text>The stewards have the power to punish for violation of these rules any person subject to their control and, in their discretion, to impose fines or suspensions, or both, for infractions.</text> </paragraph> <paragraph num="P."> <text>The stewards may demand proof that a horse is neither disqualified in any way nor trained, entered, or owned, in whole or in part, by a disqualified person. In default of proof satisfactory to them, the stewards may declare the horse disqualified.</text> </paragraph> <paragraph num="Q."> <text>The stewards have the power to examine, or cause to be examined, at any time any horse stabled on the association grounds or in stabling approved by the Commission.</text> </paragraph> <paragraph num="R."> <text>A steward may appoint his own deputy at any time.</text> </paragraph> <paragraph num="S."> <text>Appointment of any deputy or deputies for a steward or stewards shall be reported immediately to the Commission and its approval obtained.</text> </paragraph> <paragraph num="T."> <text>There shall be three stewards in the stand when a race is being run.</text> </paragraph> <paragraph num="T-1."> <text>The stewards shall lock all pari-mutuel betting machines not later than the moment the starting gate is opened for the beginning of a race.</text> </paragraph> <paragraph num="U."> <text>Complaints against an official or officials shall be made to the stewards in writing, signed by the complainants. All complaints shall be reported to the Commission, together with the action, if any, taken on them by the stewards.</text> </paragraph> <paragraph num="V."> <text>Violations.</text> <paragraph num="(1)"> <text>If the stewards find that an individual licensed by the Commission has violated a regulation of the Commission or has been involved in any improper turf practice, they may:</text> <paragraph num="(a)"> <text>Exclude the individual from the grounds, or any portion of the grounds, of the association conducting the meeting;</text> </paragraph> <paragraph num="(b)"> <text>Exclude the individual from the grounds of any association under the jurisdiction of the Commission;</text> </paragraph> <paragraph num="(c)"> <text>Suspend the license of the individual to act or ride for a period not exceeding 90 days;</text> </paragraph> <paragraph num="(d)"> <text>Fine the individual not more than $2,500; or</text> </paragraph> <paragraph num="(e)"> <text>Impose any combination of the sanctions set forth in §V(1)(a)—(d) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the stewards consider that the violation merits sanctions beyond those permitted under §V(1) of this regulation, they shall promptly refer the matter to the Maryland Racing Commission, which shall institute proceedings against the individual as set forth under COMAR 09.10.04.05.</text> </paragraph> <paragraph num="(3)"> <text>The stewards shall have the power to suspend the license of the individual pending action by the Commission.</text> </paragraph> <paragraph num="(4)"> <text>In determining the penalty to be imposed, the stewards shall consider the:</text> <paragraph num="(a)"> <text>Seriousness of the violation;</text> </paragraph> <paragraph num="(b)"> <text>Harm caused by the violation;</text> </paragraph> <paragraph num="(c)"> <text>Good faith or lack of good faith of the licensee; and</text> </paragraph> <paragraph num="(d)"> <text>Licensing history of the licensee.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>A person licensed by the Commission who is fined, excluded from the grounds, or disciplined by the stewards may appeal to the Maryland Racing Commission from the stewards' ruling.</text> </paragraph> </paragraph> <paragraph num="W."> <text>If any case occurs which is not, or which is alleged not to be, provided for by these rules, it shall be determined by the stewards in such manner as they think just and conformable to the usages of the turf.</text> </paragraph> <paragraph num="X."> <text>Penalties.</text> <paragraph num="(1)"> <text>The stewards may impose such punishment and take such other action in the matter as they deem to be within the intent of these rules, including reference to the Commission.</text> </paragraph> <paragraph num="(2)"> <text>The punitive powers of the stewards provided for in any of these rules are limited to the powers provided for in §V of this regulation.</text> </paragraph> </paragraph> <paragraph num="Y."> <text>Exclusions.</text> <paragraph num="(1)"> <text>The stewards may exclude from all places under their control an individual:</text> <paragraph num="(a)"> <text>Whose license has been suspended, revoked, or denied; or</text> </paragraph> <paragraph num="(b)"> <text>Found guilty of any corrupt or fraudulent turf practices.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The stewards shall promptly report to the Commission the name of an individual they exclude from places under their control.</text> </paragraph> </paragraph> <paragraph num="Z."> <text>All questions pertaining directly to racing, arising during the period of the meeting, shall be determined by the stewards. If they are unable to reach a majority decision in 3 days, the case shall be reported to the Commission for such action as it deems proper to take.</text> </paragraph> <paragraph num="AA."> <text>In the suspension of a jockey for an offense other than one involving fraud, the stewards shall:</text> <paragraph num="(1)"> <text>Make the effective date of the suspension not earlier than the second racing day after the offense, unless requested to do so by the jockey, and not later than 1 day after the latest racing day's entries have been drawn; and</text> </paragraph> <paragraph num="(2)"> <text>Permit a jockey serving a suspension of 10 days or less to ride in a designated race during the period of the suspension if the:</text> <paragraph num="(a)"> <text>Race has been specified as a designated race by the racing secretary of the association before the inception of the race meeting at the association,</text> </paragraph> <paragraph num="(b)"> <text>Race has been approved as a designated race by the stewards officiating at the meeting,</text> </paragraph> <paragraph num="(c)"> <text>Jockey or the jockey's agent, before the beginning of the suspension, satisfactorily demonstrates to the stewards that the jockey has given a call on a horse that may participate in the designated race, and</text> </paragraph> <paragraph num="(d)"> <text>Jockey agrees to serve an additional racing day of suspension in place of the day on which the jockey rides in the designated race.</text> </paragraph> </paragraph> </paragraph> <paragraph num="BB."> <text>When the ownership of any horse entered in a race is in dispute, the stewards may not permit the horse to run in the race unless, and until, its ownership is definitely established to their satisfaction.</text> </paragraph> <paragraph num="CC."> <text>Persons entering horses to run on licensed Maryland tracks agree in so doing to accept the decision of the stewards on any question relating to a race or to racing, subject to review by the Commission.</text> </paragraph> <paragraph num="DD."> <text>If the stewards at any time are satisfied that the riding of any race was intentionally foul, or that any jockey was instructed or induced so to ride, all persons whom the stewards deem guilty of complicity shall be suspended, and the case shall be reported to the Commission for such additional action as it may deem necessary.</text> </paragraph> <paragraph num="EE."> <text>A horse that has been the subject of fraudulent practice shall be disqualified by the stewards , but for no longer than the duration of the meeting, and reported to the Commission for such action as it may deem proper.</text> </paragraph> <paragraph num="FF."> <text>During each racing day, at least one of the stewards of the meeting shall be in the stewards' office on the grounds of the association where the race meeting is being held not later than the specified scratch time.</text> </paragraph> <paragraph num="GG."> <text>A full board of stewards shall be in the stewards' office on the grounds of the association 2-1/2 hours before post time to exercise the authority and perform the duties imposed on them by these rules.</text> </paragraph> <paragraph num="HH."> <text>The stewards shall make reports in writing to the Racing Commission of all infractions of these rules and of all rulings of the stewards upon matters coming before them during each day. Copies of these reports and ruling shall be mailed to each member of the Commission.</text> </paragraph> <paragraph num="II."> <text>Stewards are empowered to grant temporary licenses to owners and trainers, subject to the licensing requirements under the regulations of this chapter dealing with owners and trainers. All licenses so granted are to be certified to the Commission for final action.</text> </paragraph> <paragraph num="JJ."> <text>Recordings taken of any race from start to finish may be used to aid the stewards in determining any question within their jurisdiction.</text> </paragraph> <paragraph num="KK."> <text>Every horse whose starting is obligatory is expected to run the course, except that the stewards may order the withdrawal of a horse at any time up to the actual start of a race to protect the public interest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".46" heading="Repealed." /> <regulation prefix="Regulation" num=".47" heading="Veterinarians."> <paragraph num="A."> <text>A board of veterinarians, consisting of a chief veterinarian, and such other veterinarians as the Commission may deem necessary shall be designated for duty at each Maryland track.</text> </paragraph> <paragraph num="B."> <text>A Commission veterinarian shall examine every horse appearing in the day's entries in the stable area before the race in which it is to run and make a report on its racing condition to the stewards.</text> </paragraph> <paragraph num="C."> <text>In general, he shall familiarize himself with the racing condition of all entrants and if, in his opinion, any entrant is not in condition to race, he shall notify the stewards.</text> </paragraph> <paragraph num="D."> <text>One veterinarian shall be present in the paddock before each race, and he shall inspect each entrant. If, in his opinion, any entrant is not in condition to compete in that race, he shall immediately notify the stewards, who shall order the horse scratched out of the race. The horse automatically goes on the veterinarian's list, and thereafter may not be permitted to enter until the veterinarian notifies the stewards that the horse is again fit to compete.</text> </paragraph> <paragraph num="E."> <text>All veterinarians shall be at the disposal of the stewards at scratch time each morning, and shall examine the horses they request, and make reports to them as promptly as possible.</text> </paragraph> <paragraph num="F."> <text>One veterinarian shall obtain blood from the horses designated by the stewards or the Racing Commission, and make those examinations and tests that, from time to time, may be required by the stewards.</text> </paragraph> <paragraph num="G."> <text>If an owner or trainer objects to a horse in his care undergoing an examination by the Commission veterinarian, that fact shall be reported to the stewards, and that horse shall be eliminated from the race.</text> </paragraph> <paragraph num="H."> <text>A veterinarian may not be allowed to practice at the race track of any racing association under the jurisdiction of the Commission until the veterinarian has obtained a license from the Commission. This license shall be applied for and issued annually. The license may be revoked or suspended, for cause, by the Commission.</text> </paragraph> <paragraph num="I."> <text>The veterinarians employed by the Commission as the State veterinarians may not be permitted during the term of the veterinarians' employment to treat or prescribe, for any horse on the grounds or registered to race at any race track, for compensation or otherwise except in case of emergency in which case a full and complete report shall be made to the stewards. An owner or trainer may not employ or pay compensation to any veterinarian either directly or indirectly during the period for which he is employed by the Commission. For violation of this rule, the veterinarian, owner, and trainer may be fined, suspended, or have their license revoked after a hearing before the Commission.</text> </paragraph> <paragraph num="J."> <text>A veterinarian practicing veterinary medicine on a race track where a race meeting is in progress or scheduled, or at a stabling area under the jurisdiction of the Commission, shall use one-time disposable type needles and shall keep them in his possession until disposed of by him off the track. A person, other than a licensed veterinarian, may not have a needle or syringe of any kind, type, or description or any injectable which might be administered by a needle or syringe on his person or in his custody, control, or possession, or in the custody, control, or possession of any of his employees.</text> </paragraph> <paragraph num="K."> <text>Any veterinarian practicing at any Maryland Race Track shall file a report with the stewards as to any medication prescribed or administered or professional service performed. This report shall be filed in person or postmarked within a period of 48 hours from the time of treatment. These daily reports shall remain confidential except that the Commission veterinarian may compile general data from them to assist the Commission in formulating policies or rules, and the stewards may review them in investigating a possible violation of these rules.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".48" heading="Repealed." /> <regulation prefix="Regulation" num=".49" heading="Rewards to Breeders — Maryland-Bred Rules."> <paragraph num="A."> <text>For the purposes of this regulation:</text> <paragraph num="(1)"> <text>A horse is considered to be bred where it is foaled;</text> </paragraph> <paragraph num="(2)"> <text>The breeder of a horse is the owner of the dam at the time the horse was foaled;</text> </paragraph> <paragraph num="(3)"> <text>A Maryland stallion is a stallion that is:</text> <paragraph num="(a)"> <text>In Maryland for at least one full breeding season, which begins on February 15 and ends after July 15 of each year; or</text> </paragraph> <paragraph num="(b)"> <text>Brought into Maryland subsequent to the start of the breeding season and approved as a Maryland stallion by the Registration Committee of the Maryland Horse Breeders Association;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The owner of Maryland stallion qualifies for a stallion owner award if:</text> <paragraph num="(a)"> <text>The person was the owner at the time that a registered Maryland-bred sired by the stallion was conceived and the conception occurred during the Maryland breeding season as described in §A(3)(a) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>The stallion is registered annually with the Maryland Horse Breeders Association; and</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Unless otherwise limited, the purse amount upon which an award may be calculated is the base amount of the advertised purse without an enhancement predicated on the number of participants in the race.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If the Maryland Horse Breeders Association refuses to register a horse under Business Regulation Article, §11-538, Annotated Code of Maryland, making the horse ineligible to participate in the Maryland-Bred Fund Race program, the owner or breeder of the horse may appeal the refusal to the Commission.</text> </paragraph> <paragraph num="C."> <text>From the money allocated to this Fund under Business Regulation Article, §11-515, Annotated Code of Maryland, $15,000 shall be deducted at each of the first two meetings of the year at each of the two mile tracks in Maryland before any other calculations are made, and these amounts shall be forwarded to the Maryland Horse Breeders Association to be distributed as follows in accordance with a formula devised annually by the Maryland-Bred Race Fund Advisory Committee and approved by the Racing Commission by March 31 of each calendar year:</text> <paragraph num="(1)"> <text>To the exhibitors of yearlings at the Maryland Horse Breeders Association's Maryland-Bred Yearling Show based on the performance of those yearlings during each of their respective 2-year-old and 3-year-old campaigns;</text> </paragraph> <paragraph num="(2)"> <text>To the exhibitor of a yearling that placed either first, second, third, fourth, or fifth in its class at the Maryland Horse Breeders Association's Maryland-Bred Yearling Show;</text> </paragraph> <paragraph num="(3)"> <text>To the exhibitor of a yearling that was selected as the Grand or Reserve Champion at the Maryland Horse Breeders Association's Maryland-Bred Yearling Show; and</text> </paragraph> <paragraph num="(4)"> <text>The balance, if any, shall be used to proportionately decrease the deductions for this purpose the following year.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Subject to the approval of the Commission, up to 10 percent of all monies allocated to the Maryland-Bred Race Fund under Business Regulation Article, §§11-515 and 11-525(d), Annotated Code of Maryland, and all earnings on these monies, after the deduction of the amounts under §C of this regulation, shall be paid to the Maryland Horse Breeders Association as compensation for the administration of the Maryland-Bred Race Fund.</text> </paragraph> <paragraph num="E."> <text>The Maryland Horse Breeders Association shall render an accounting in a manner satisfactory to the Commission regarding the monies paid to it under §D of this regulation.</text> </paragraph> <paragraph num="F."> <text>The Commission may allocate a portion of the monies allocated to the Maryland-Bred Race Fund, calculated on the balance remaining after the deductions required under §§C and D of this regulation, to races which are restricted to horses conceived, but not necessarily foaled, in Maryland.</text> </paragraph> <paragraph num="G."> <text>With the exception of the monies allocated to this Fund which were generated by the handle on Maryland Million Day, subject to the approval of the Commission, a portion of all the remaining money allocated to this Fund, and all earnings on these monies, shall be distributed in the form of purse money and owner awards as follows:</text> <paragraph num="(1)"> <text>A percentage to purses for horses which have been registered with the Maryland Horse Breeders Association as being Maryland-bred horses; and</text> </paragraph> <paragraph num="(2)"> <text>A percentage to owner’s awards, to be paid to the owner of a horse which won a race or finished second or third in any race except a stakes race, and which has been registered with the Maryland Horse Breeders Association as being a Maryland-bred horse.</text> </paragraph> </paragraph> <paragraph num="H."> <text>After the application of §G of this regulation, the remaining portion of the monies allocated to this Fund, and all earnings on these monies, shall be distributed in the form of breeder and stallion owner awards as follows:</text> <paragraph num="(1)"> <text>To a breeder of a registered Maryland-bred horse which won a race, or finished second or third; and</text> </paragraph> <paragraph num="(2)"> <text>To the owner of a stallion, as defined by §A(4) of this regulation, if a registered Maryland-bred sired by the stallion won a race, or finished second or third.</text> </paragraph> </paragraph> <paragraph num="I."> <text>On a semiannual basis, the Commission, with the advice of the Maryland-Bred Race Fund Advisory Committee, shall determine the amount to be distributed in the form of purses and owner, breeder, and stallion owner awards using the following formulas:</text> <paragraph num="(1)"> <text>Under §H(1) and (2) of this regulation, the award percentage shall be based on a relationship between the total amount of the purses on which these awards are to be paid, limited to the first $100,000 of the gross purse for a stakes race, and the total amount of money available for distribution regarding breeder and stallion owner awards;</text> </paragraph> <paragraph num="(2)"> <text>The breeder and stallion owner award percentages established under §I(1) of this regulation shall apply to all Maryland-Bred Fund races except the races conducted on Maryland Million Day; and</text> </paragraph> <paragraph num="(3)"> <text>The breeder and stallion owner award percentages for races conducted on Maryland Million Day shall be determined annually by the Commission with the advice of the Maryland-Bred Race Fund Advisory Committee.</text> </paragraph> </paragraph> <paragraph num="J."> <text>The owner, breeder, and stallion owner awards shall be paid as soon as practical.</text> </paragraph> <paragraph num="K."> <text>On Maryland Million Day, all monies allocated this day to the Maryland-Bred Race Fund under Business Regulation Article, §11-515, Annotated Code of Maryland, shall be distributed as breeder and stallion owner awards for the horses racing on Maryland Million Day in the manner specified by §I(3) of this regulation.</text> </paragraph> <paragraph num="L."> <text>The awards under §§G, H, and K of this regulation shall be calculated on the order of finish as determined by the stewards notwithstanding any dispute as to the proper order of finish, and:</text> <paragraph num="(1)"> <text>If there is a dispute, the award in dispute shall be held in escrow until a final determination is made by the Maryland Racing Commission;</text> </paragraph> <paragraph num="(2)"> <text>If the award is not allowed, that calculated award shall be carried over to the next semiannual time period described under §I of this regulation; and</text> </paragraph> <paragraph num="(3)"> <text>If an additional award becomes payable after the completion of the computation of awards, that award shall be paid from the next semiannual period described under §I of this regulation.</text> </paragraph> </paragraph> <paragraph num="M."> <text>If, after making the distributions required under this regulation, monies allocated to the Maryland-Bred Race Fund:</text> <paragraph num="(1)"> <text>Are undistributed, these monies shall be placed in an interest-bearing escrow account and distributed, with interest, under the provisions of §I of this regulation; or</text> </paragraph> <paragraph num="(2)"> <text>Are not fully funded from the monies generated by the deficit shall be funded from monies available from the next semiannual time period described under §I of this regulation.</text> </paragraph> </paragraph> <paragraph num="N."> <text>Amounts received by the Fund as its share of the fee from out-of-State bets on Maryland races, in conformance with Business Regulation Article, §11-804.1, Annotated Code of Maryland, shall be expended for the purposes of fostering and promoting the well-being of the thoroughbred breeding industry:</text> <paragraph num="(1)"> <text>On the advice of the Maryland-Bred Race Fund Advisory Committee; and</text> </paragraph> <paragraph num="(2)"> <text>Subject to the approval of the Commission.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".50" heading="Rules of the Race."> <paragraph num="A."> <text>During the running of a race:</text> <paragraph num="(1)"> <text>Unless caused wholly or partly by some other horse, a horse may not:</text> <paragraph num="(a)"> <text>Carry another horse in or out;</text> </paragraph> <paragraph num="(b)"> <text>Cross or weave in front of another horse without sufficient clearance;</text> </paragraph> <paragraph num="(c)"> <text>Jostle another horse;</text> </paragraph> <paragraph num="(d)"> <text>Intimidate another horse; or</text> </paragraph> <paragraph num="(e)"> <text>Impede another horse; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A jockey may not:</text> <paragraph num="(a)"> <text>Strike another horse or jockey;</text> </paragraph> <paragraph num="(b)"> <text>Ride in a careless manner; or</text> </paragraph> <paragraph num="(c)"> <text>Unnecessarily cause the horse the jockey is riding to shorten its stride with a view toward claiming foul against another horse or jockey in the race.</text> </paragraph> </paragraph> </paragraph> <paragraph num="A-1."> <text>A horse may be disqualified if it, or the jockey riding it, is involved in a violation of §A of this regulation.</text> </paragraph> <paragraph num="B."> <text>When a horse is disqualified under this regulation, every horse in the race belonging wholly or partly to the owner of the disqualified horse may also be disqualified.</text> </paragraph> <paragraph num="C."> <text>In addition to being sanctioned for violating other provisions of this regulation, a jockey may be sanctioned if deemed to be responsible for a violation of §A of this regulation.</text> </paragraph> <paragraph num="D."> <text>The jockey of a horse participating in a race may delay the results of the race being declared official by notifying an outrider, immediately following the running of the race, of the possibility of a claim of foul.</text> </paragraph> <paragraph num="E."> <text>A claim of foul under this regulation may only be made:</text> <paragraph num="(1)"> <text>By the jockey, the trainer, or the owner of a horse participating in that particular race; and</text> </paragraph> <paragraph num="(2)"> <text>With the clerk of scales or the stewards before the results of the race being made official.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A notification of the possibility of a claim of foul under §D of this regulation or a claim of foul itself may not be frivolous.</text> </paragraph> <paragraph num="G."> <text>A jockey against whom a foul is claimed shall be given the opportunity to communicate with the stewards before any decision is made by them.</text> </paragraph> <paragraph num="H."> <text>If the stewards perceive that there has been a violation of §A of this regulation, they may take action on their own initiative in the absence of a claim of foul.</text> </paragraph> <paragraph num="I."> <text>If the stewards at any time are satisfied that the riding of any race was intentionally foul or that any jockey was instructed or induced so to ride, all persons guilty of complicity shall be suspended and the case shall be reported to the Commission for such additional action as it may consider necessary.</text> </paragraph> <paragraph num="J."> <text>If a horse leaves the course, in order to continue to participate in the race, it shall return to the point at which it left and run the course from that point.</text> </paragraph> <paragraph num="K."> <text>When one horse pays forfeit for a match, the other need not walk over, but for a sweepstakes, even if all the horses but one have declared forfeit, that horse shall walk over, except by the written consent of all the persons who pay forfeit; in the case of a purse, the consent of the stewards is necessary to dispense with a walkover.</text> </paragraph> <paragraph num="L."> <text>When a horse is disqualified, and there is evidence of fraud or attempted fraud, any other horse in the race owned or controlled by the same interest, or trained by the same trainer, also shall be disqualified.</text> </paragraph> <paragraph num="M."> <text>If a provision of this regulation is violated, and an offending horse finishes the race in a position entitling it to any part of the purse, the stewards are charged with determining its proper place in the race, or they may disqualify the horse if, in their judgment, the circumstances justify this action.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".51" heading="Safety Equipment."> <text>An individual astride a horse or pony on the grounds of a facility under the jurisdiction of the Maryland Racing Commission shall wear a:</text> <paragraph num="A."> <text>Safety helmet which is designed to adequately protect the head from injury; and</text> </paragraph> <paragraph num="B."> <text>Safety vest which is equal to or exceeds the requirements set forth in Regulation .21-1 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".52" heading="Repealed." /> <regulation prefix="Regulation" num=".53" heading="Farrier."> <paragraph num="A."> <text>A farrier may not shoe horses at a race track under the jurisdiction of the Commission until the farrier has obtained a license from the Commission.</text> </paragraph> <paragraph num="B."> <text>An applicant shall satisfy all of the following requirements before obtaining a farrier's license:</text> <paragraph num="(1)"> <text>The applicant shall be endorsed by three trainers licensed in Maryland and shall have had a minimum of 2 years experience.</text> </paragraph> <paragraph num="(2)"> <text>An examination shall be conducted to demonstrate an applicant's ability to plate a race horse or pony. The examination shall be observed by a representative of the organization which represents the majority of the horsemen, a farrier licensed in Maryland, and a Maryland Racing Commission veterinarian.</text> </paragraph> <paragraph num="(3)"> <text>The examiners shall report to the stewards on the applicant's ability to shoe a horse.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".54" heading="Reserved." /> <regulation prefix="Regulation" num=".55" heading="Steeplechase Races."> <text>Steeplechase racing shall be held in accordance with the Rules and Regulations of the National Steeplechase and Hunt Association, unless in direct conflict with the spirit of the rules herein established, in which event the latter governs.</text> </regulation> <regulation prefix="Regulation" num=".56" heading="Repealed." /> <regulation prefix="Regulation" num=".57" heading="Trainers."> <paragraph num="A."> <text>Eligibility. A person may not be granted a trainer's license unless the person has:</text> <paragraph num="(1)"> <text>Been previously issued a trainer's license;</text> </paragraph> <paragraph num="(2)"> <text>Been issued a trainer's license in another jurisdiction and started a horse in that jurisdiction; or</text> </paragraph> <paragraph num="(3)"> <text>Satisfied all of the following requirements:</text> <paragraph num="(a)"> <text>Served a minimum of 1 year as an apprentice with a licensed trainer;</text> </paragraph> <paragraph num="(b)"> <text>Submitted notarized statements from three licensed trainers containing their opinions as to the applicant's:</text> <paragraph num="(i)"> <text>Reputation,</text> </paragraph> <paragraph num="(ii)"> <text>Financial responsibility,</text> </paragraph> <paragraph num="(iii)"> <text>Qualifications to train;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Passed a standard examination administered by the stewards;</text> </paragraph> <paragraph num="(d)"> <text>Passed a standard barn test administered by horsemen's representatives under the supervision of the stewards.</text> </paragraph> </paragraph> </paragraph> <paragraph num="A-1."> <text>To be considered a passing grade, the combined score for the tests under §A(2)(c) and (d) shall be 80 percent or more. The stewards may impose a waiting period before allowing the individual to retake the examination. However, the waiting period may not exceed 6 months.</text> </paragraph> <paragraph num="A-2."> <text>Restrictions on Steeplechase Trainers.</text> <paragraph num="(1)"> <text>A steeplechase trainer's license only authorizes a person to enter, start, and race horses in:</text> <paragraph num="(a)"> <text>Steeplechase races; and</text> </paragraph> <paragraph num="(b)"> <text>Horse races conducted in conjunction with steeplechase racing at Fair Hill.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A person may be granted a steeplechase trainer's license without satisfying the eligibility requirements of §A of this regulation, but shall demonstrate, to the satisfaction of the stewards, an ability to train steeplechase horses.</text> </paragraph> <paragraph num="(3)"> <text>A person otherwise licensed as a trainer is not required to be licensed as a steeplechase trainer.</text> </paragraph> <paragraph num="(4)"> <text>Except as provided in this section, a steeplechase trainer is subject to all regulations applicable to trainers.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A person under 18 years old may not be granted a trainer's license.</text> </paragraph> <paragraph num="B-1."> <text>Continuing Education.</text> <paragraph num="(1)"> <text>Effective January 1, 2022, and each year thereafter, a trainer or an assistant trainer may not be eligible to renew their license unless they have completed 4 hours of continuing education during the previous calendar year.</text> </paragraph> <paragraph num="(2)"> <text>The stewards may waive this requirement for good cause or provide the applicant 30 days to complete the continuing education requirement.</text> </paragraph> <paragraph num="(3)"> <text>At least 2 hours of continuing education shall include curriculum of equine health, safety, and welfare.</text> </paragraph> <paragraph num="(4)"> <text>Continuing education requirements may be earned online or by attending live courses that are approved by the Commission.</text> </paragraph> <paragraph num="(5)"> <text>Continuing education credits earned in other jurisdictions may be used to satisfy this regulation.</text> </paragraph> <paragraph num="(6)"> <text>Trainers and assistant trainers shall retain their continuing education documentation for 4 years.</text> </paragraph> <paragraph num="(7)"> <text>The Commission or its designee may request documentation from a licensee at any time to ensure compliance with this regulation.</text> </paragraph> <paragraph num="(8)"> <text>Trainers and assistant trainers shall certify on their license applications that they have satisfied the requirements of this regulation.</text> </paragraph> <paragraph num="(9)"> <text>Failure to comply with this regulation may result in disciplinary action.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Each trainer shall obtain a license from the Commission. Before issuance of a license, a trainer may be required to satisfy the Commission of his financial responsibility and shall maintain his financial responsibility so long as he is licensed by the Commission. The proper fee shall accompany each application. If a renewal is not made after a period of 5 years, the applicant shall again apply and pay the fee for an original license. The Commission, after a period of 5 years, shall remove from its records the license card of the individual.</text> </paragraph> <paragraph num="D."> <text>A trainer may not practice his profession except under his own name.</text> </paragraph> <paragraph num="E."> <text>The stewards may permit a trainer to act one time for an owner while awaiting action on the trainer's application for licensure. A trainer who so acts but does not complete his application for a license and pay the appropriate fee within a reasonable period of time shall be precluded from racing until the application is filed and license fee paid.</text> </paragraph> <paragraph num="F."> <text>A licensed trainer may represent the owner in the matter of entries, declarations, and the employment of jockeys.</text> </paragraph> <paragraph num="G."> <text>A trainer shall have his horse in the paddock at the time appointed.</text> </paragraph> <paragraph num="H."> <text>A trainer shall attend his horse in the paddock, and shall be present to supervise his saddling, unless he has obtained the permission of a steward to send his licensed assistant trainer or another licensed trainer as a substitute.</text> </paragraph> <paragraph num="I."> <text>If a trainer engages two or more jockeys for the same race, he shall pay the losing fee for each engaged jockey not riding in the race, as well as the proper fee to the jockey who does ride.</text> </paragraph> <paragraph num="J."> <text>A jockey's fee shall be considered earned when the jockey is weighed out by the clerk of the scales. The fee may not be considered earned if the jockey, of his own free will, takes himself off of his mount, when injury to the horse or rider is not involved. Any conditions or considerations not covered by the above ruling shall be at the discretion of the stewards.</text> </paragraph> <paragraph num="K."> <text>A trainer shall be responsible for the condition of a horse trained by him.</text> </paragraph> <paragraph num="L."> <text>Each trainer shall register with the racing secretary all the horses in his charge, giving the name, age, sex, color, and ownership of each, and shall immediately notify the racing secretary of any transfers to or from his badge list, and the disposition of the horses so transferred.</text> </paragraph> <paragraph num="M."> <text>A trainer may not have in his charge or under his supervision any horse owned, in whole or in part, by a disqualified person.</text> </paragraph> <paragraph num="N."> <text>A trainer may not accept, directly or indirectly, any bribe, gift, or gratuity in any form which might influence the result of any race or which would tend to do so.</text> </paragraph> <paragraph num="O."> <text>A trainer may not employ a jockey for the purpose of preventing him from riding in any race.</text> </paragraph> <paragraph num="P."> <text>Substitute and Assistant Trainers.</text> <paragraph num="(1)"> <text>If a trainer is to be absent from the track where his horses are participating in races, he shall obtain a licensed trainer to substitute for him during his absence. The substitute trainer shall be approved by the stewards upon forms approved by the Racing Commission. The original trainer is the absolute insurer of the horse he has entered. The substitute trainer will then become the absolute insurer of any additional horses he may enter.</text> </paragraph> <paragraph num="(2)"> <text>A trainer who has in his care a substantial number of horses, or who is actively participating in more than one race meeting at one time, may employ an assistant trainer with the approval of the stewards. Before the issuance of an assistant trainer's license, the applicant shall be required to comply with all the requirements prescribed for a person applying for a trainer's license. The assistant trainer shall be the absolute insurer of all horses that he may enter and is subject to all regulations prescribed by the Maryland Racing Commission. The name of the assistant trainer shall be shown on the official program along with that of the employing trainer.</text> </paragraph> </paragraph> <paragraph num="Q."> <text>Trainers having charge, custody, or care of horses are obligated to protect properly the horses and guard against any violation of the Corrupt Practices Rules.</text> </paragraph> <paragraph num="R."> <text>A trainer who makes a frivolous complaint or frivolously places a hold upon the results of a race being made official may be fined or suspended by the stewards.</text> </paragraph> <paragraph num="S."> <text>A trainer or owner who harbors anyone not provided with a license issued by the Commission shall be immediately reported to the stewards, so they may make investigation and take appropriate action as they deem necessary, if any, as provided under Regulation .45V of this chapter.</text> </paragraph> <paragraph num="T."> <text>Trainers shall instruct jockeys that all horses shall be ridden out in every race. If two or more horses run in one interest in any race, each jockey shall give his best effort.</text> </paragraph> <paragraph num="U."> <text>A trainer is solely responsible for the weight to be carried by any horse he enters.</text> </paragraph> <paragraph num="V."> <text>Trainers may not occupy stalls at a track without written permission of the track management. Stall assignments shall be made for a fixed period of time, and shall be vacated at the end of that period.</text> </paragraph> <paragraph num="W."> <text>Stalls are to be assigned by the Racing Association to trainers for horses of racing age (no yearlings) which comply with the Racing Association's published eligibility rule, except that the Racing Association may assign specific stalls for horses to be used as ponies. Stalls are to be for the sole use of the trainer to whom they are assigned. Falsification of stall applications and transfer or use of these stalls by any other person constitutes a violation of this rule and will be subject to fine or suspension.</text> </paragraph> <paragraph num="X."> <text>When a groom or other employee of a trainer, working at one of the tracks, leaves the trainer's employ, the trainer shall promptly notify the security office of that track, in writing, of the employee's departure.</text> </paragraph> <paragraph num="Y."> <text>A licensed trainer may not:</text> <paragraph num="(1)"> <text>Take or keep in his charge a horse owned wholly or in part, or controlled by, a person unlicensed as an owner;</text> </paragraph> <paragraph num="(2)"> <text>Assume responsibility for a horse not under his active care and supervision, except as provided by §§H and P of this regulation.</text> </paragraph> </paragraph> <paragraph num="Z."> <text>Each trainer shall register with the stewards all the horses in the trainer's charge that have a mortgage or lien of any kind against them, giving the name, age, sex, color, and ownership of each horse.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".58" heading="Weighing In."> <paragraph num="A."> <text>After a race has been run, the jockey shall ride promptly to the area designated by the association to dismount and report to the clerk of the scales to be weighed in.</text> </paragraph> <paragraph num="B."> <text>If a jockey is prevented from riding a mount to the area designated by the association to dismount because of an accident or illness, either to the jockey or the horse, the jockey may walk or be carried to the scales, or the jockey may be excused by the stewards from weighing in.</text> </paragraph> <paragraph num="C."> <text>Except by permission of the stewards, a jockey, upon returning to the area designated by the association to dismount, shall unsaddle the horse the jockey has ridden, and no other individual may touch the horse, except by its bridle, until the jockey has removed all the equipment which was included in the weight the horse was assigned to carry.</text> </paragraph> <paragraph num="D."> <text>Absent the permission of the stewards, an individual may not assist a jockey in removing the jockey's equipment from a horse.</text> </paragraph> <paragraph num="E."> <text>An individual may not throw a covering over a horse at the place of dismounting until the jockey has removed the equipment that was included in the weight the horse was assigned to carry.</text> </paragraph> <paragraph num="F."> <text>A jockey may not, before weighing in, willfully touch an individual or thing, other than equipment that was included in the weight the horse was assigned to carry.</text> </paragraph> <paragraph num="G."> <text>A jockey shall, in weighing in, carry over the scales all pieces of equipment with which the jockey weighed out.</text> </paragraph> <paragraph num="H."> <text>A jockey shall weigh in with the same weight as that with which the jockey weighed out, and, if short by more than 1 pound, the jockey's horse shall be disqualified.</text> </paragraph> <paragraph num="I."> <text>If a horse carries more than 2 pounds over its proper or declared weight, its jockey shall be punished unless the stewards are satisfied that this excess of weight is inadvertently caused by precipitation or mud.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".59" heading="Weighing Out."> <paragraph num="A."> <text>Jockeys shall be weighed out for their respective mounts in each race by the clerk of the scales not less than 20 minutes before the time fixed for the race. In case of the substitution of a jockey after the original jockey has been weighed out, the substitute jockey shall be weighed as promptly as possible and the name of the substitute jockey and the jockey's weight shall be publicly announced and posted.</text> </paragraph> <paragraph num="B."> <text>A saddle and the following equipment, if used, shall be included in the weight a horse is assigned to carry:</text> <paragraph num="(1)"> <text>Breastplate;</text> </paragraph> <paragraph num="(2)"> <text>Horse clothing;</text> </paragraph> <paragraph num="(3)"> <text>Martingale; and</text> </paragraph> <paragraph num="(4)"> <text>Muzzle.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The following items may not be included in the weight a horse is assigned to carry:</text> <paragraph num="(1)"> <text>Bit;</text> </paragraph> <paragraph num="(2)"> <text>Blinkers;</text> </paragraph> <paragraph num="(3)"> <text>Bridle;</text> </paragraph> <paragraph num="(4)"> <text>Number cloth;</text> </paragraph> <paragraph num="(5)"> <text>Reins;</text> </paragraph> <paragraph num="(6)"> <text>Safety helmet;</text> </paragraph> <paragraph num="(7)"> <text>Safety vest; and</text> </paragraph> <paragraph num="(8)"> <text>Whip or substitute for a whip.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Bridle and Whip.</text> <paragraph num="(1)"> <text>A bridle weighing more than 2 pounds may not be used in a race.</text> </paragraph> <paragraph num="(2)"> <text>A whip to be used in a race:</text> <paragraph num="(a)"> <text>Shall be padded;</text> </paragraph> <paragraph num="(b)"> <text>Shall be approved by the stewards;</text> </paragraph> <paragraph num="(c)"> <text>May not weigh more than 8 ounces; and</text> </paragraph> <paragraph num="(d)"> <text>May not exceed 30 inches in length.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Five pounds is the limit of the overweight any horse is allowed to carry.</text> </paragraph> <paragraph num="F."> <text>A jockey, except when riding for the jockey's contract employer, may not be weighed out for any race unless there has been deposited with, or guaranteed by, the racing association the fee for a losing mount in the race.</text> </paragraph> <paragraph num="G."> <text>Owners having unpaid jockey or other fees at the close of the race meeting shall be billed by the racing association within 20 days of the close of their race meet, with a duplicate copy of bill to the trainer. Accounts shall be paid within 30 days from the billing date. At the expiration of the 30 day period, it shall be the duty of the association to notify the Racing Commission or the stewards, in writing, of all delinquent accounts, at which time all owners with outstanding accounts will be suspended until the fees are paid.</text> </paragraph> <paragraph num="H."> <text>The association shall provide the only attendants who will be permitted to assist jockeys in weighing out.</text> </paragraph> <paragraph num="I."> <text>The equipment carried or worn by a jockey or a horse in a race is subject to the approval of the stewards.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".60" heading="Estimating Winnings."> <paragraph num="A."> <text>The winnings of a horse in a stakes race shall be computed on the value of the gross purse.</text> </paragraph> <paragraph num="B."> <text>In estimating foreign winnings, the current rate of exchange at the time of those winnings shall be adopted.</text> </paragraph> <paragraph num="C."> <text>The value of prizes not in money will not be estimated in the value of the race to the winner.</text> </paragraph> <paragraph num="D."> <text>In estimating the value of a series of races in which an extra sum of money or prize is won by winning two or more races, the extra sum or prize shall be estimated in the last race by which it was finally won.</text> </paragraph> <paragraph num="E."> <text>In all races, if there is any surplus from entries, or subscriptions over the advertised value, it shall be paid the winner, unless stated by the conditions to go to other horses in the race.</text> </paragraph> <paragraph num="F."> <text>Winnings during the year shall include all prizes from the 1st of January preceding to the time appointed for the start, and shall apply to all races in any country. Winnings shall include dividing or walking over.</text> </paragraph> <paragraph num="G."> <text>Winning of a fixed sum is understood to be winning it in one race, unless specified to the contrary.</text> </paragraph> <paragraph num="H."> <text>In case of a walkover, one-half of the money offered to the winner is given unless otherwise advertised.</text> </paragraph> <paragraph num="I."> <text>When a walkover is the result of arrangement by owners of horses engaged, no portion of the added money nor any other prize need be given.</text> </paragraph> <paragraph num="J."> <text>Prize Distribution.</text> <paragraph num="(1)"> <text>Any money or prize which, by the conditions of the race, is to go to the horse placed second, or in any lower place in the race, shall, if the winner has walked over, or no horse has been so placed, be dealt with as follows:</text> <paragraph num="(a)"> <text>If part of the stake, it shall go to the winner;</text> </paragraph> <paragraph num="(b)"> <text>If a separate donation from the association or any other source, it may not be given at all; or</text> </paragraph> <paragraph num="(c)"> <text>If entrance money for the race, it shall go to the association.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a race is not run or is void, all monies paid by an owner in respect to that race shall be returned.</text> </paragraph> </paragraph> <paragraph num="K."> <text>A race may be declared void if no qualified horse covers the course according to rule.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".61" heading="Repealed." /> <regulation prefix="Regulation" num=".62" heading="Repealed." /> <regulation prefix="Regulation" num=".63" heading="Repealed." /> <regulation prefix="Regulation" num=".64" heading="Jockey Fees."> <text>Subject to the approval of the Commission, the amount earned by a jockey for finishing first, second, third, or unplaced shall be determined by a written agreement between the organizations that represent the majority of owners and trainers and a majority of jockeys riding in Maryland.</text> </regulation> <regulation prefix="Regulation" num=".65" heading="Repealed." /> <regulation prefix="Regulation" num=".66" heading="Pari-Mutuels."> <paragraph num="A."> <text>The Maryland Racing Commission, acting under authority of the law creating it, has established the pari-mutuel as the only legal system of wagering on horse racing on all tracks in Maryland over which it has jurisdiction.</text> </paragraph> <paragraph num="B."> <text>The “take” shall be in accordance with the law existing at the time of the race meeting.</text> </paragraph> <paragraph num="C."> <text>The least number of horses in separate interests that can take part in a race in which payment out of the several pools may be made are:</text> <paragraph num="(1)"> <text>Five for straight, place and show;</text> </paragraph> <paragraph num="(2)"> <text>Four for straight and place;</text> </paragraph> <paragraph num="(3)"> <text>Three for straight;</text> </paragraph> <paragraph num="(4)"> <text>In exceptional instances, the Maryland Racing Commission consenting, straight pools may be sold with only two horses engaged.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The consent of the Maryland Racing Commission shall be obtained to call off betting in the various pools as follows:</text> <paragraph num="(1)"> <text>Show, if five or more separate interests are engaged in a race;</text> </paragraph> <paragraph num="(2)"> <text>Place, if four or more separate interests are engaged in a race.</text> </paragraph> </paragraph> <paragraph num="E."> <text>In establishing the payoff in each pool in every race the calculations shall be made on the dollar. Any balance that may result in the division on which the result is determined need not be paid in pennies, but in every instance the breakage allowance shall be less than 10 cents, the dollar being the unit. The “breakage” shall be in accordance with the law existing at the time of the race meeting.</text> </paragraph> <paragraph num="F."> <text>A pari-mutuel ticket shall be sold in denominations approved by the Commission.</text> </paragraph> <paragraph num="G."> <text>Notwithstanding any other provision of the pari-mutuel rules for wagering, each association shall, in all cases of a pari-mutuel pool, distribute not less than $2.10 on each winning $2 wager.</text> </paragraph> <paragraph num="H."> <text>Minus pools shall be charged against breakage in the same proportion as the breakage is allocated.</text> </paragraph> <paragraph num="I."> <text>The result of every race is determined, insofar as the mutuel pay-off is affected, when it is posted as “official”. Since immediate distribution of the respective pools is required, a subsequent change in the order of finish and no run-off in a dead heat may not involve the mutuel department.</text> </paragraph> <paragraph num="J."> <text>Errors.</text> <paragraph num="(1)"> <text>If an error is made in posting the pay-off figures on the public board, it shall be corrected promptly and only the correct amounts shall be used in the pay-off, irrespective of the error on the public board, but a change may not be made in the pay-off after the cashing of winning tickets has commenced.</text> </paragraph> <paragraph num="(2)"> <text>If an error is discovered before the pay-off is started, the correct pay-off shall be posted and a statement shall be made over the public address system stating the facts and the corrections.</text> </paragraph> <paragraph num="(3)"> <text>If, under the conditions set forth above it is too late to correct the error, then the following rules shall apply:</text> <paragraph num="(a)"> <text>If the error results in an over-payment to the public, subsequent correction may not be made;</text> </paragraph> <paragraph num="(b)"> <text>If the error results in an under-payment, the amount of under-payment, after it has been determined, is added to the same pool which next occurs;</text> </paragraph> <paragraph num="(c)"> <text>However, if an under-payment occurs and the same pool does not reoccur at the scheduled race meeting, the amount of the under-payment shall be paid over to the Commission for the account of the Maryland Horsemen's Assistance Fund.</text> </paragraph> </paragraph> </paragraph> <paragraph num="K."> <text>In order to determine “at what time” the cashing of winning tickets has commenced, the following rules govern:</text> <paragraph num="(1)"> <text>At racing associations where a mechanical device is employed to inform the cashiers the amount of pay-off, when the key or other device is set to indicate race and prices are official and it is proper to pay off;</text> </paragraph> <paragraph num="(2)"> <text>At racing associations where messengers are employed and/or telephone messages to deliver official pay-offs to cashiers, 60 seconds after the pay-offs have been posted on the public board.</text> </paragraph> </paragraph> <paragraph num="L."> <text>All horses in the name of the same owner under the care of the same trainer, when entered to race, shall be coupled as an entry, a wager on any one of them being a wager on all—the “entry” running as one horse.</text> </paragraph> <paragraph num="M."> <text>Except as provided in §N of this regulation, where the capacity for betting units on the tote board at a track is less than the number of betting interests competing in the race, all betting interests in excess of the maximum number of betting units, less one, shall be grouped together to constitute the “field”, a bet on the “field” being a bet on all horses so grouped.</text> </paragraph> <paragraph num="N."> <text>If a race emanates from a track whose tote board provides for a number of betting units different than the tote board at a track receiving the race, and the receiving track elects to use the same number of betting units as the sending track, the receiving track shall:</text> <paragraph num="(1)"> <text>Advertise that the wagering units at the receiving track site shall be the same as at the sending track; and</text> </paragraph> <paragraph num="(2)"> <text>Display the odds only on the monitors throughout the facility if the receiving track's tote board is not capable of displaying at least the same number of betting units as displayed on the tote board of the sending track.</text> </paragraph> </paragraph> <paragraph num="O."> <text>When safety regulations and the width of the track (county fairs) require that the number of horses permitted to compete shall be limited to 10 or less, there may not be a “field”, except as provided in §N of this regulation.</text> </paragraph> <paragraph num="P."> <text>Provisions for horse betting units shall be made to meet the requirements of each race, as indicated by the printed program. Should any horse be “scratched”, the totalisator betting mechanism provided for that horse shall be locked immediately.</text> </paragraph> <paragraph num="Q."> <text>Excused or Scratched Horse.</text> <paragraph num="(1)"> <text>The stewards may excuse a horse and order it scratched from a race at any time before the horses are dispatched from the starting gate. Tickets purchased on scratched horses shall be redeemed at their face value, unless the excused or scratched horse is part of an “entry” or “field”.</text> </paragraph> <paragraph num="(2)"> <text>When a horse that is part of an entry or the field is scratched after betting on the race has begun, all wagers on the entry or field remain in effect as long as a horse from the entry or field remains in the race. If the entire entry or field is scratched, the tickets purchased on the entry or field shall be redeemed at their face value.</text> </paragraph> <paragraph num="(3)"> <text>At a track equipped with a totalisator system with the capability to cancel and refund tickets before the running of a race, the time that betting has begun on a horse in an entry or the field is considered the time that win odds are first displayed on the track's infield tote board on the race in which the horse is to compete, or when the probable payoff prices are posted on the first race of a multiple race pool of which the horse's race forms a part. If a horse is scratched before betting has begun, and if tickets have been sold upon an affected entry or field before the time when betting has begun, the tickets may not be refunded unless the holders of the tickets present them for cancellation before betting on the race has begun, or the first race of a multiple pool. Tickets not presented for cancellation by this time are considered as wagers upon the remaining horses in the entry or field.</text> </paragraph> </paragraph> <paragraph num="R."> <text>If a door of the starting gate fails to open as the starter dispatches the field (because of faulty action or other cause), it shall be reported immediately to the stewards by the starter. The stewards shall post the inquiry sign and have the announcer alert the public to hold all tickets. The stewards shall then view the films to determine if the gate failed to open when the starter dispatched the field and rule accordingly.</text> </paragraph> <paragraph num="S."> <text>The starter shall make the decision on what horse or horses are prevented from racing through failure of the gates to open.</text> </paragraph> <paragraph num="T."> <text>If the failure of a stall gate to open reduces the number of horses in separate interests actually engaged in the race below the number required for show or place betting, refunds of the place or show polls may not be made; complete and full refunds shall be made on the horses prevented from starting.</text> </paragraph> <paragraph num="U."> <text>If the stewards or the veterinarian excuse a horse and order the horse scratched before it is in the hands of the starter, and this action reduces the number of horses in separate interests actually engaged in the race below the number required for place or show wagering, refunds shall be made of the place or show tickets on the horse.</text> </paragraph> <paragraph num="V."> <text>If a horse is prevented from running due to a failure of the starting gate, a refund of all tickets shall be made.</text> </paragraph> <paragraph num="W."> <text>Except when dead heats occur, or when “field” horses or “entries” are involved in the result of a race, or when no ticket has been sold on a horse finishing first, second, or third, the distribution of pools shall be as follows:</text> <paragraph num="(1)"> <text>The distributable portion of the “straight” pool shall be paid to holders of tickets on the horse that finishes first;</text> </paragraph> <paragraph num="(2)"> <text>Distributable “place” money shall be divided in equal parts, 1/2 of which shall be allotted to the winning horse and 1/2 to the horse finishing second, payments being made to holders of “place” tickets;</text> </paragraph> <paragraph num="(3)"> <text>“Show” money for distribution among holders of show tickets shall be divided into three equal portions, one portion for the horse finishing first, one portion for the horse finishing second, and one portion for the horse finishing third;</text> </paragraph> <paragraph num="(4)"> <text>All payments to holders of tickets entitled to share in the distribution of the respective pools shall be in proportion to their investment in the horse or horses sharing in the distribution from these pools, reference to payments out of pools meaning the distributable portion thereof but refunds, when made, include all the money in the pool or pools to which they apply.</text> </paragraph> </paragraph> <paragraph num="X."> <text>Dead Heats.</text> <paragraph num="(1)"> <text>If two horses run a dead heat for first place, the money in the “straight” mutuel pool shall be divided the same as in a “place” pool calculation.</text> </paragraph> <paragraph num="(2)"> <text>If two horses run a dead heat for second place, the division shall be made as follows: The winner of the race shall receive his full share of 1/2 of the “place” money, and the two dead-heaters shall receive 1/2 each of the balance, or 1/4 each of the whole.</text> </paragraph> <paragraph num="(3)"> <text>If two horses run a dead heat for third place, the division is made as follows:</text> <paragraph num="(a)"> <text>The winner and the second place horse receive their full share, namely 1/3 each of the distributable money in the show pool; and</text> </paragraph> <paragraph num="(b)"> <text>The two horses in the dead heat divide the remaining third between them, namely 1/6 of the distributable money.</text> </paragraph> </paragraph> </paragraph> <paragraph num="Y."> <text>Field Horses.</text> <paragraph num="(1)"> <text>In the event that two of the “field” horses finish first and second, or first and third, or second and third, the “show” money shall be divided into three parts, 2/3 going to the “field” horse.</text> </paragraph> <paragraph num="(2)"> <text>If three “field” horses finish first, second, and third, all the “place” money and all the “show” money, as well as the “straight” money, shall go to the “field” tickets participating.</text> </paragraph> </paragraph> <paragraph num="Z."> <text>Apportionment of Pools When No Tickets Are Sold.</text> <paragraph num="(1)"> <text>If a race is won by a horse on which no “straight” tickets have been sold, all the “straight” money shall be apportioned to the holders of “place” tickets on the winning horse, the “straight” money supplementing the winner's share of the “place” pool.</text> </paragraph> <paragraph num="(2)"> <text>If a horse upon which no “place” ticket has been sold runs second, all of the “place” pool shall be apportioned to the “place” tickets sold on the horse that finished first, there being only one participating ticket and not two, as usual, the calculation being the same as in the “straight” pool.</text> </paragraph> <paragraph num="(3)"> <text>If a horse upon which no “show” ticket has been sold finishes third, all of the “show” pool shall be divided between the “show” tickets sold on the horses that finished first and second, there being but two participating tickets, and not three, as usual, the calculation being the same as in a “place” pool.</text> </paragraph> </paragraph> <paragraph num="AA."> <text>If only one horse finishes in a race, all money in the place and show pools goes to the holders of place and show tickets on this one horse, the money being distributed as in a straight pool. If only two horses finish in a race, all money in the show pool goes to the holders of show tickets on these two horses, the money being distributed as in a place pool.</text> </paragraph> <paragraph num="BB."> <text>If no horse finishes, all money shall be refunded.</text> </paragraph> <paragraph num="CC."> <text>Each association shall maintain suitable electric apparatus for locking the totalisator selling windows. It shall be operated from the stewards' stand by one of the stewards designated for this duty.</text> </paragraph> <paragraph num="DD."> <text>Pari-Mutuel Ticket Sales.</text> <paragraph num="(1)"> <text>A pari-mutuel ticket may not be sold on an event for which the totalisator has been closed for betting on the event.</text> </paragraph> <paragraph num="(2)"> <text>An association is not responsible for a ticket sale on an event unless evidenced by a ticket that was issued and produced before the totalisator was closed for betting on the first race of the event on which a bet was placed.</text> </paragraph> <paragraph num="(3)"> <text>Claims pertaining to a mistake on an issued or unissued ticket shall be made by the bettor before leaving the teller's window.</text> </paragraph> <paragraph num="(4)"> <text>An association has no obligation to enter a bet into a betting pool if unable to do so as a result of equipment failure.</text> </paragraph> </paragraph> <paragraph num="EE."> <text>While the betting is in progress, there shall be frequent postings of the approximate odds on the horses taking part in the race, “entries” being listed on the odds board as one horse and likewise the “field”, when either or both are a part of the race.</text> </paragraph> <paragraph num="FF."> <text>Suitable apparatus shall be provided whereby notice is given to the mutuel department that the:</text> <paragraph num="(1)"> <text>Horses that are to run are on the track after leaving the paddock;</text> </paragraph> <paragraph num="(2)"> <text>Horses are parading;</text> </paragraph> <paragraph num="(3)"> <text>Lead pony has just reached the starting gate; and</text> </paragraph> <paragraph num="(4)"> <text>Horses are off.</text> </paragraph> </paragraph> <paragraph num="GG."> <text>Totalisator adjustments will be summarized at the close of each meeting and if the result is a credit to the company operating the totalisator, then the auditor representing the Maryland Racing Commission will obtain a check from the company, for the amount of the net credit, made payable to “Maryland Horsemen's Assistance Fund”.</text> </paragraph> <paragraph num="HH."> <text>If any emergency develops requiring an immediate solution in connection with the operation of the mutuel department, the authority to act is hereby conferred on the mutuel manager, who shall promptly report the emergency to the Commission and the means employed by him in meeting it.</text> </paragraph> <paragraph num="II."> <text>The cycle of frequency of change on the totalisator board may not be more than 60 seconds.</text> </paragraph> <paragraph num="JJ."> <text>A person younger than 18 years old may not purchase or cash pari-mutuel tickets.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".67" heading="Daily Doubles."> <paragraph num="A."> <text>Daily doubles may be limited to one for each racing program.</text> </paragraph> <paragraph num="B."> <text>Coupled entries are permitted.</text> </paragraph> <paragraph num="C."> <text>Fields are prohibited in either half of the daily double. This section does not apply to races conducted by the Cecil County Breeders' Fair, Inc. (Fair Hill).</text> </paragraph> <paragraph num="D."> <text>The pay-off shall be posted after the pool closes, and before the race completing the double has been run, except in the event of a dead heat in the first half of the daily double, when the posting of the pay-off may be deferred until the race completing the daily double has been run.</text> </paragraph> <paragraph num="E."> <text>If no ticket is sold combining the two winners, the pool shall then be apportioned equally between those having tickets including the winner of the first race and those having tickets including the winner in the last race in the same manner in which a “place” pool is calculated and distributed.</text> </paragraph> <paragraph num="F."> <text>If no ticket is sold including the winner of the first race, the entire pool will be paid to the holders of tickets which include the winner of the last race of the daily double.</text> </paragraph> <paragraph num="G."> <text>Likewise if no ticket is sold including the winner of the last race, then the entire pool will be paid to the holders of tickets which include the winner of the first race of the daily double.</text> </paragraph> <paragraph num="H."> <text>If no ticket is sold including the winner of either race, then the pool shall be paid to the holders of tickets which include the horses finishing second in the two races of the daily double. If no ticket is sold which would require distribution of the daily double pool, the association shall make a complete and full refund of the pool.</text> </paragraph> <paragraph num="I."> <text>If for any reason the first race of a daily double is cancelled and declared “no race”, full and complete refund will be made of the daily double pool. If for any reason the second race of a daily double is cancelled and declared “no race”, the daily double pool shall be distributed to the holders of the daily double tickets on the winner of the first race in the same manner as the straight pool of the first race is distributed, except as to the amount of distribution, which shall be controlled by the amount bet in the daily double pool.</text> </paragraph> <paragraph num="J."> <text>If, after the first half of the daily double has been run and declared official, a horse is excused or scratched in the second half of the daily double, then a consolation pay-off shall be made to holders of the daily double tickets which combine the winner of the first half of the daily double to the excused or scratched horse of the second half of the daily double computed in the following manner:</text> <paragraph num="(1)"> <text>If, after the first half of the daily double has been run and declared official, a horse is scratched or excused from the second half of the daily double, then a consolation pay-off shall be made to holders of tickets which combine the winner of the first half and the scratched or excused horse.</text> </paragraph> <paragraph num="(2)"> <text>The consolation pay-off shall be calculated as follows:</text> <paragraph num="(a)"> <text>The net daily double pool (gross pool less commission) shall be divided by the total number of tickets sold combining the winner of the first half; the quotient thus obtained shall constitute the consolation pay-off, to be paid to holders of each ticket combining the winner of the first half and the scratched or excused horse in the second half.</text> </paragraph> <paragraph num="(b)"> <text>The entire consolation pool (number of eligible tickets times the consolation price), plus the breakage, shall then be deducted from the net daily double pool. The remaining pool is the new net pool for the daily double.</text> </paragraph> </paragraph> </paragraph> <paragraph num="K."> <text>If the holder of a ticket loses the first race, and his horse is scratched in the second, no money shall be refunded.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".68" heading="Twin Doubles."> <paragraph num="A."> <text>The twin double is a part of the pari-mutuel system of wagering. It is a contract by each participant to pick (select) the winner of each of four races as may be designated by a licensee, with the approval of the Commission. For the purpose of this rule, these four races will be referred to as the twin double races. The first two races shall be referred to as the first half of the twin double. The third and fourth races shall be referred to as the second half of the twin double. All sums deposited in the twin double shall be held in a single pool entirely separate from all other pools, and the award or dividend to each winning participant shall be calculated, subject to the provisions of this rule, as in a straight pool.</text> </paragraph> <paragraph num="B."> <text>All twin double tickets shall be sold at twin double windows and shall be clearly and immediately distinguishable from the daily double and other tickets sold.</text> </paragraph> <paragraph num="C."> <text>Repealed.</text> </paragraph> <paragraph num="D."> <text>The sale of twin double tickets may not commence until after the completion of the second race of the day, unless special permission is obtained from a representative of the Commission. The twin double windows shall close and the machines shall be locked 5 minutes before the official post time.</text> </paragraph> <paragraph num="E."> <text>Each participant in the twin double shall designate his selections for the winners of the first half of the twin double races at the time he purchases his twin double ticket and each twin double ticket shall show the selection made.</text> </paragraph> <paragraph num="F."> <text>After the completion of the first half of the twin double races, each participant holding a ticket combining the winners of these two races shall, during the period while the twin double windows are open for this purpose, exchange the ticket for a twin double exchange ticket showing his selections for the winners of the second half of the twin double.</text> </paragraph> <paragraph num="G."> <text>A twin double exchange ticket may not be issued except upon surrender of a twin double ticket showing the winners of the first half of the twin double.</text> </paragraph> <paragraph num="H."> <text>Twin double windows shall be open for the issue only of twin double exchange tickets after the races comprising the first half have been completed and declared official. The windows shall close at official post time of the start of the second half of the races comprising the twin double.</text> </paragraph> <paragraph num="I."> <text>After the running of the 3rd race of the twin double, the twin double possible payoffs will be posted.</text> </paragraph> <paragraph num="J."> <text>There is no payoff for picking the first two winners of the twin double.</text> </paragraph> <paragraph num="K."> <text>Inasmuch as the purpose of the twin double is to select the winner of the first half and second half of the twin double races, a participant who selects a starter which runs in but does not win a race is no longer eligible, unless no other participant has selected the winner of that race.</text> </paragraph> <paragraph num="L."> <text>If a horse is scratched in the first race of the first half of the twin double, all tickets on the scratched horse will be refunded and the money refunded will be deducted from the gross pool.</text> </paragraph> <paragraph num="M."> <text>If a horse is scratched in the second race of the first half of the twin double, after the running of the first race of the first half, all twin double tickets combining the scratched horse with the actual winner of the first race of the first half of the twin double shall be paid a price equivalent to that fraction of the net pool derived by dividing the net pool by the total purchase price of all tickets combining the winner of the first race of the first half of the twin double with all horses in the second race of the first half of the twin double. The total pay-off of all tickets combining the winner of the first race of the first half of the twin double with the scratched horse in the second race of the first half of the twin double as determined by the method set forth in this rule shall be deducted from the net twin double pool.</text> </paragraph> <paragraph num="N."> <text>If a horse is scratched in the first race of the second half of the twin double during or after the exchange of tickets by holders of the first two winners, each ticket including the scratched horse in the first race of the second half of the twin double shall be paid a price equivalent to that fraction of the net pool derived by dividing the net pool by the total number of tickets exchanged. The total pay-off of all tickets combining the winners of the first half of the twin double with the scratched horse in the first race of the second half of the twin double as determined by the method set forth in this rule shall be deducted from the net twin double pool.</text> </paragraph> <paragraph num="O."> <text>If a horse is scratched from the second race of the second half of the twin double during or after the exchange of tickets by holders of the first two winners, each ticket including the scratched horse in the second race of the second half of the twin double combined with the winner of the first race of the second half of the twin double shall be paid a price equivalent to that fraction of the net pool derived by dividing the net pool by the number of exchanged tickets including the winner of the first race, second half of the twin double. The total pay-off of all tickets combining the winners of the first half of the twin double and the winner of the first race in the second half of the twin double with the scratched horse in the second race of the second half of the twin double as determined by the method set forth in this rule, shall be deducted from the net twin double pool.</text> </paragraph> <paragraph num="P."> <text>If no exchange ticket includes the winner of the first race of the second half of the twin double the entire pool shall be distributed as a straight pool to all holders of exchanged tickets and winning combinations of the first half that had not been exchanged. If no exchange ticket combines the winners of the first and second races of the second half of the twin double then the entire pool shall be distributed as a straight pool to all holders of tickets including the first race of the second half winner.</text> </paragraph> <paragraph num="Q."> <text>In the event of a dead heat in the first race of the first half of the twin double, all tickets combining both winners of the first race of the first half with the winner of the second race of the first half of the twin double shall be eligible for exchange this also applies in the event of a dead heat in the second race of the first half of the twin double.</text> </paragraph> <paragraph num="R."> <text>If there is a dead heat in the first race of the second half of the twin double and if there is no ticket combining either winner with the winner of the second race of the second half of the twin double, then the pay-off shall be distributed to holders of tickets on the first race of the second half winners in the same manner in which a place pool is calculated; this also applies in the event of a dead heat in the second race of the second half of the twin double.</text> </paragraph> <paragraph num="S."> <text>If the first race of the first half of the twin double is cancelled or declared “no race,” full and complete refund shall be made of the twin double pool.</text> </paragraph> <paragraph num="T."> <text>If the second race of the first half of the twin double is cancelled the net pool shall be calculated as a straight pool and shall be distributed to the holders of tickets combining the winner of the first race of the first half of the twin double with every horse in the second race of the first half of the twin double.</text> </paragraph> <paragraph num="U."> <text>If the first race of the second half of the twin double is cancelled the net twin double pool shall be distributed as a straight pool to holders of twin double exchange tickets and holders of winning twin double tickets not surrendered for twin double exchange tickets.</text> </paragraph> <paragraph num="V."> <text>If the second race of the second half of the twin double is cancelled the net twin double pool shall be distributed as a straight pool to holders of twin double exchange tickets designating the winner of the first race of the second half of the twin double.</text> </paragraph> <paragraph num="W."> <text>In the event of a dead heat between a covered and an uncovered horse in the second race of the second half of the twin double, no consolation payoff shall be made. Holders of tickets on the covered horse, representing the only winners of four consecutive races, shall share in the distribution of the twin double pool.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".69" heading="Quinellas."> <paragraph num="A."> <text>Each association shall either print in the daily program or prominently post at all areas where quinella wagering is conducted the following quinella conditions:</text> <paragraph num="(1)"> <text>An exchange of tickets, after purchaser has left the sales window, may not be made.</text> </paragraph> <paragraph num="(2)"> <text>The quinella is not a parlay and has no connection with or relation to the tote betting. All tickets on the quinella will be calculated in an entirely separate pool.</text> </paragraph> <paragraph num="(3)"> <text>Selections are to be made by program number and not by handicap rating number. Large numbers appearing on the quinella tickets are the program numbers of the horse.</text> </paragraph> <paragraph num="(4)"> <text>All tickets should be retained until the result of the quinella has been posted.</text> </paragraph> </paragraph> <paragraph num="B."> <text>All quinella tickets shall be for the win and place combination only.</text> </paragraph> <paragraph num="C."> <text>Quinella wagering is not permissible on races containing either a coupled entry or field horses.</text> </paragraph> <paragraph num="D."> <text>If a horse entered in a quinella race is scratched or excused by the stewards after wagering has commenced, or if a horse is prevented from racing because of the failure of the stall doors of the starting gate to open, all tickets including this horse shall be deducted from the quinella pool and money refunded to the purchasers of tickets on the horse which is excused or prevented from racing.</text> </paragraph> <paragraph num="E."> <text>If there are no tickets sold on the winning combination in a quinella race, all quinella tickets bearing the number of the individual win horse and all quinella tickets bearing the number of the individual place horse shall be deemed winning tickets, and the payoff shall be calculated as a place pool.</text> </paragraph> <paragraph num="F."> <text>If there are no tickets sold on the winning combination in a quinella race, and if there are no quinella tickets sold bearing the number of the individual win horse, all quinella tickets bearing the number of the individual place horse shall be deemed winning tickets, and the payoff shall be calculated as a win pool.</text> </paragraph> <paragraph num="G."> <text>If there are no tickets sold on the winning combination in a quinella race, and if there are no quinella tickets sold bearing the number of the individual place horse, all quinella tickets bearing the number of the individual win horse shall be deemed winning tickets, and the payoff shall be calculated as a win pool.</text> </paragraph> <paragraph num="H."> <text>If there are no tickets sold on the winning combination in a quinella race, and if there are no quinella tickets sold bearing the number of the individual win horse, and if there are no quinella tickets sold bearing the number of the individual place horse, the quinella shall be deemed “no race,” and all moneys in the quinella shall be promptly refunded.</text> </paragraph> <paragraph num="I."> <text>If, after an official start is effected, only one horse finishes the quinella race, the total money shall be figured as a win pool, with those who have picked that one horse in the race participating in the pool.</text> </paragraph> <paragraph num="J."> <text>If a quinella race results in a two horse dead heat for win, the two horses involved in the dead heat shall be the winners of the quinella race.</text> </paragraph> <paragraph num="K."> <text>If a quinella race results in a multiple dead heat for win, all horses involved in the dead heat shall be winners of the quinella race and payoffs figured accordingly. For example, if numbers 1, 3, 5 and 7 dead heat for win, the winning quinella combinations would be 1-3, 1-5, 1-7, 3-5, 3-7, and 5-7. The net pool, after deducting the amounts wagered on the winning combinations, shall be equally distributed in payoff calculations on the winning combinations.</text> </paragraph> <paragraph num="L."> <text>If a quinella race results in a two horse dead heat for place, the total pool shall be calculated as a place pool.</text> </paragraph> <paragraph num="M."> <text>If a quinella race results in a multiple dead heat for place, all combinations coupling the winning horse with the individual place horses shall be winners of the quinella race and payoffs calculated accordingly.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".70" heading="Exactas."> <paragraph num="A."> <text>The exacta is a contract by the purchaser of a ticket combining two horses in a single race, selecting the two horses that will subsequently finish first and second in that race. Payment of the ticket shall be made only to the purchaser who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The exacta is not a parlay and has no connection with or relation to the win, place and show betting and shall be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>In the event of an entry finishing first and second, the net exacta pool shall be distributed to holders of tickets combining the entry with the horse finishing third.</text> </paragraph> <paragraph num="D."> <text>If a horse is scratched out of an exacta race, all exacta tickets combining the scratched horse with any other horse in that race will be refunded and the money so refunded will be deducted from the gross pool.</text> </paragraph> <paragraph num="E."> <text>If no ticket is sold selecting the winner and the second horse to finish one-two, in that order, the net pool will be distributed as a place pool to the holders of tickets selecting the winner to finish first and the holders of tickets selecting the second horse to finish second.</text> </paragraph> <paragraph num="F."> <text>If no ticket is sold that would require distribution of an exacta pool to a winner as above defined, the association shall make a complete and full refund of the exacta pool.</text> </paragraph> <paragraph num="G."> <text>If two horses finish in a dead heat to win, the net pool shall be distributed as a place pool to the holders of tickets on the two winning combinations. For example if 4 and 6 finish in a dead heat to win, holders of tickets on 6 and 4 as well as holders of tickets on 4 and 6 will share in the net pool.</text> </paragraph> <paragraph num="H."> <text>If two horses finish in a dead heat to place, the net pool shall be distributed as a place pool to the holders of tickets on the two winning combinations. For example, if 3 is the winner and 5 and 7 finish in a dead heat to place, holders of tickets combining 3 and 5, in that exact order, and holders of tickets combining 3 and 7, in that exact order, will share in the pool.</text> </paragraph> <paragraph num="I."> <text>If there is a dead heat to win or a dead heat to place and no ticket has been sold on one of the winning combinations, the net pool shall be distributed to the holders of tickets on the other combination.</text> </paragraph> <paragraph num="J."> <text>If there is a dead heat to place and no ticket has been sold combining the winner with either one of the two horses finishing in the dead heat, the holders of tickets selecting the winner to finish first and the holders of tickets selecting either one of the dead heat horses to finish second will share in the net pool. The net pool shall be distributed as a place pool the winner will receive one-half and the horses in the dead heat divide the remaining half proportionately between them.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".71" heading="Triples (Trifectas)."> <paragraph num="A."> <text>The triple is a contract by the purchaser of a ticket combining three horses that will subsequently finish first, second, and third in that race. Payment of the ticket shall be made only to the purchaser who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The triple is not a parlay and has no connection with or relation to the win, place and show betting and will be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>Triple tickets shall be sold in not less than $1 denominations.</text> </paragraph> <paragraph num="D."> <text>If no ticket is sold on the winning combination of a triple pool, the net pool shall be distributed to the holders of tickets selecting the win and place finishers in that order. If no ticket is sold combining the win and place finish, the net pool will be distributed to the holders of tickets selecting the winner and show horses. If no ticket is sold combining the win, place or show finishers, the net pool will be distributed to the holders of tickets selecting the winner. If less than three horses finish, the payoff will be made to holders of tickets selecting the finishing horses in order, ignoring the balance of the selection.</text> </paragraph> <paragraph num="E."> <text>If no ticket is sold that would require distribution of the net triple pool to a winner as above defined, the association shall make a full refund of the triple pool.</text> </paragraph> <paragraph num="F."> <text>In the event of a dead heat or dead heats, all triple tickets selecting the correct order of finish, counting a horse in a dead heat as finishing in either position dead heated, shall be winning tickets. The payoff will be calculated as a place pool by dividing the net triple pool by the total purchase price of winning tickets.</text> </paragraph> <paragraph num="G."> <text>In the event of a scratch in the triple, no exchanges will be made. All tickets which include the scratched horse are eliminated from further participation in the triple pool and shall be refunded. Refunds on key horse wheel tickets may be made after the triple race is official. Key horse wheel tickets shall be sold during the entire triple wagering period at the posted price used when triple wagering opens.</text> </paragraph> <paragraph num="H."> <text>Coupled entries are permitted but fields are prohibited in triple races.</text> </paragraph> <paragraph num="H-1."> <text>If the horses in a coupled entry finish in more than one of the first three positions, one or more of the horses, as necessary, finishing directly after the first three horses shall be used to complete a winning selection consisting of three different numbers.</text> </paragraph> <paragraph num="I."> <text>Triple tickets shall be sold only by the licensee through pari-mutuel machines programmed to print all selections on one ticket. Resale of such tickets from one individual to another is prohibited and shall be grounds for ejection.</text> </paragraph> <paragraph num="J."> <text>Each association shall print in heavy type in a conspicuous place in its printed program all the provisions of this section.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".72" heading="Repealed." /> <regulation prefix="Regulation" num=".73" heading="Pick Six."> <paragraph num="A."> <text>The Pick Six is a form of pari-mutuel wagering. Each bettor selects the first horse in each of six consecutive races designated as the Pick Six races by the Association. The principle of a Pick Six is, in effect, a contract by the purchaser of a Pick Six ticket to select the winners of each of the six races designated as the Pick Six.</text> </paragraph> <paragraph num="B."> <text>The Pick Six pool shall be held entirely separate from all other pools and is not part of a daily double, exacta, trifecta, or other wagering pool. The Pick Six pool is a pool in which the bettor is required to select six consecutive winning horses and is not a parlay.</text> </paragraph> <paragraph num="C."> <text>Races in which Pick Six shall be conducted shall be approved by the Maryland Racing Commission and clearly designated in the program.</text> </paragraph> <paragraph num="D."> <text>The design of Pick Six tickets shall be clearly and immediately distinguished from other pari-mutuel tickets with the identification “Pick 6” printed on the ticket.</text> </paragraph> <paragraph num="E."> <text>The Pick Six pari-mutuel pool shall be calculated as follows:</text> <paragraph num="(1)"> <text>Seventy-five percent of the net amount in the pari-mutuel pool subject to distribution among winning ticket holders shall be distributed among the holders of pari-mutuel tickets which correctly designate the official winner in each of the six races comprising the Pick Six. The remaining undistributed 25 percent of the net pool shall be distributed among the holders of pari-mutuel tickets which correctly designate the most winning selections less than the six winning selections described above.</text> </paragraph> <paragraph num="(2)"> <text>If there is no pari-mutuel ticket held which correctly designates the winner of all races comprising the Pick Six, 75 percent of that racing date's net amount available for distribution shall be carried over and included in the Pick Six pool requiring six winning selections, at the next performance.</text> </paragraph> <paragraph num="(3)"> <text>If a Pick Six ticket designates as a selection to win in any one or more of the contests comprising the Pick Six, a single wagering interest which is scratched, excused or determined by the stewards to be a non-starter in the race, the actual favorite, as evidenced by the amounts wagered in the win pool at the time of the start, will be substituted for the non-starting selection for all purposes including pool calculations and payoffs, provided further that if the win pool for two or more favorites is identical, the selection shall be the lowest program number substituted for the non-starting selection.</text> </paragraph> <paragraph num="(4)"> <text>The cancellation of one or more contests comprising the Pick Six in any performance shall result in that day's net pool being fully distributed to the individuals holding the most winners on that day's performance. If three or more of the six contests comprising the Pick Six are officially cancelled or declared as no contest, all pari-mutuel tickets on the Pick Six for that performance shall be refunded, and the Pick Six shall be cancelled for that performance. Any contributions to the Pick Six pool from prior performances will remain in the Pick Six pool to be carried over and included in the Pick Six pool for the next performance as prescribed in §E(2), of this regulation.</text> </paragraph> <paragraph num="(5)"> <text>If the accumulated Pick Six pool has not been distributed prior to the closing day of the meeting in which the Pick Six pool was generated, the accumulated Pick Six pool and the net amount in the Best of Six pool, subject to distribution among winning ticket holders, shall be distributed among closing day holders of Pick Six tickets which correctly designate the most official winners of the six contests comprising the closing day Pick Six. Should there be a cancellation of the final day's card, or if the final day of Pick Six pool is cancelled, the contributions shall be transferred to the next thoroughbred track to operate.</text> </paragraph> <paragraph num="(6)"> <text>If one or more of the races comprising the Pick Six is a turf race and the race is switched from the turf to the main track after the close of wagering for the Pick Six, each selection in that race on a Pick Six pari-mutuel ticket shall be considered a winning selection.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Those horses constituting an entry or a field as defined within the regulations of the Maryland Racing Commission shall race in any Pick Six race as a single wagering interest for the purpose of the Pick Six pari-mutuel pool calculations and payouts to the public. A scratch, after wagering has begun, of any part of an entry or field selection in such a race shall be of no effect with respect to the status of this entry or field, or both, as a viable wagering interest.</text> </paragraph> <paragraph num="G."> <text>If, for any reason, any race or races of a Pick Six program is cancelled and declared “No Race”, the Pick Six pool shall be distributed to the holders of the most winning selections of the remaining races pursuant to §E of this regulation. If the stewards cancel or declare “No Race” in three or more of the Pick Six races for any given date, all pari-mutuel tickets for that Pick Six pool shall be refunded and the Pick Six cancelled for that day.</text> </paragraph> <paragraph num="H."> <text>If there is a dead heat for win between two or more horses in any Pick Six race, all these horses in the dead heat for win shall be considered as the winning horse in the race for the purpose of distributing the Pick Six pari-mutuel pools.</text> </paragraph> <paragraph num="I."> <text>A person may not disclose the number of tickets sold in the Pick Six pool or the number or amount of tickets selecting winners of Pick Six races before the time the stewards have declared the last Pick Six race on any given date “official”.</text> </paragraph> <paragraph num="J."> <text>A pari-mutuel ticket for the Pick Six pool may not be sold, exchanged, or cancelled after the time of the closing or wagering in the first of the six races comprising the Pick Six.</text> </paragraph> <paragraph num="K."> <text>A validly issued Pick Six ticket timely surrendered to the association by the legal holder of it shall be the only evidence of a person's participation in the Pick Six pari-mutuel pool. The acceptance of a Pick Six ticket by taking an issued ticket away from the window or terminal from which it is purchased shall constitute an acknowledgement by the purchaser of the correctness of the ticket, and each purchaser of a Pick Six ticket agrees to be bound by the terms and provisions of this and all other applicable commission rules and regulations and by the laws of the State pertaining to pari-mutuel wagering. The association, totalisator company, and the State may not be liable to a person for a ticket which is not a winning ticket in accordance with the provisions of this rule. The association, totalisator company, and the State may not be liable to a person for a Pick Six ticket not delivered for any reason, including but not limited to, mechanical malfunction, electrical failure, machine locking, or other cause.</text> </paragraph> <paragraph num="L."> <text>This rule shall be prominently displayed throughout the betting area of each association conducting a Pick Six program.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".74" heading="Double Triple (Twin Trifecta)."> <paragraph num="A."> <text>The Double Triple is a form of pari-mutuel wagering in which the bettor selects the three horses that will finish first, second, and third in each of the two designated races of the Double Triple, in the exact order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The two races which comprise the Double Triple shall be approved by the Commission and clearly designated in the program.</text> </paragraph> <paragraph num="C."> <text>Each bettor purchasing a Double Triple ticket shall designate his three selections as the first three horses to finish in that order in the first race of the designated two races of the Double Triple.</text> </paragraph> <paragraph num="D."> <text>After wagering closes for the first race of the designated two races of the Double Triple, all applicable commissions and taxes shall be deducted from the pool in accordance with the laws of the State. The remaining net pool shall then be divided into two separate pools of equal amounts. The following apply:</text> <paragraph num="(1)"> <text>The first part of the divided pool shall be distributed among the holders of Double Triple tickets selecting the first three horses, in exact order of finish, on the designated first race of the Double Triple, in accordance with established pari-mutuel practice. The first part of the divided pool shall consist of 1/2 of the net distributable pool of the total monies wagered on the first race of the Double Triple on the current day's program only. Specifically excluded from this shall be any carry-over of any Double Triple pool from any previous day's program.</text> </paragraph> <paragraph num="(2)"> <text>The second part of the divided pool shall be placed in a separate pool to be distributed among holders of Second Half Double Triple tickets selecting the first three horses, in exact order, on the designated second race of the Double Triple, in accordance with the established pari-mutuel practice.</text> </paragraph> </paragraph> <paragraph num="E."> <text>In the first race of the Double Triple only, if there is a failure to select the first three horses, in exact order of finish, payoffs shall be made on Double Triple tickets selecting, in the following order of priority, which are the first two horses in exact order, but if there is no ticket outstanding, then the first horse. Failure of any ticket to select the first horse to win, regardless of the selection of the exact order of the second or third horse, or both, shall cause a refund of all Double Triple tickets issued on that race. If there is no winning ticket selecting the first three horses in exact order of finish, then any ticket within the applicable order of priority as previously stated is considered a winning ticket for distribution of the first race pool only, but does not entitle the holder of it to an exchange ticket.</text> </paragraph> <paragraph num="F."> <text>After the official declaration of the first three horses to finish in the first race of the Double Triple, each bettor holding a winning ticket shall, before the running of the second designated race of the Double Triple, exchange at the designated Double Triple windows the winning ticket for both the monetary value from the first part of divided pool, as established by the mutuels department of the Association, and a Double Triple exchange ticket which designates the bettor's selection of the three horses for finish in that order in the second designated race of the Double Triple. Further money may not be required of the holder of the winning ticket in order to make the exchange. Until the second race of the Double Triple has been declared official, a person may not disclose the number of winning Double Triple tickets eligible for exchange in the second Double Triple race, nor shall any person disclose any information regarding those tickets during the exchange process.</text> </paragraph> <paragraph num="G."> <text>A Double Triple exchange ticket for the second race of the Double Triple may not be issued except upon surrender of the Double Triple ticket from the first race as described in these rules. Windows, for the purpose of cashing and exchanging of winning Double Triple tickets, shall be open for the purpose of making exchange as described above only after the first race of the Double Triple has been declared official. The windows shall close when wagering closes for the second race of the Double Triple.</text> </paragraph> <paragraph num="H."> <text>If a winning Double Triple ticket from the first race is not presented for cashing and exchange within the time provided above, the bettor may still collect the monetary value attached to the ticket but shall forfeit all rights to any distribution resulting from the second race of the Double Triple.</text> </paragraph> <paragraph num="I."> <text>If a dead heat or heats occur in either the first race or second race of the Double Triple, all Double Triple tickets selecting the correct order of finish counting a horse in a dead heat as finishing in any position dead heated shall be winning tickets, and, contrary to the usual practice, the aggregate winning tickets shall be divided into the net pool and be paid the same pay-off price.</text> </paragraph> <paragraph num="J."> <text>If there is no Double Triple ticket issued accurately selecting the officially declared first three finishers of the second race of the Double Triple, in the exact order, the second race pool, determined as provided in this rule, shall be held for the next consecutive racing day and combined with the pool of that program's second race of the Double Triple. Distribution of this special cumulative pool of the second race of the Double Triple shall be made only upon the accurate selection, in the exact order, of the first three officially declared finishers of the second race of the Double Triple.</text> </paragraph> <paragraph num="K."> <text>Scratches.</text> <paragraph num="(1)"> <text>If a horse is scratched in the first race of the Double Triple, all Double Triple tickets issued which include the scratched horse shall be refunded.</text> </paragraph> <paragraph num="(2)"> <text>If a horse is scratched in the second race of the Double Triple, the stewards shall act as follows:</text> <paragraph num="(a)"> <text>If there are more than 5 minutes to post remaining, as displayed on the infield tote board, the stewards shall declare, by means of a public address announcement, that tickets which include the scratched horse shall be exchanged before the running of the race; or</text> </paragraph> <paragraph num="(b)"> <text>If there are 5 minutes or less to post remaining, as displayed on the infield tote board, the stewards shall determine if there are tickets issued which contain the scratched horse and act as follows:</text> <paragraph num="(i)"> <text>If there are no tickets, the Second Half Double Triple betting is not affected; or</text> </paragraph> <paragraph num="(ii)"> <text>If there are tickets, the stewards shall declare, by means of a public address announcement, that the Second Half Double Triple wager for that day is cancelled, that the entire second part of the divided pool resulting from that current day's program only shall be distributed among all holders of Second Half Double Triple tickets, in accordance with established pari-mutuel practice, and that any carry-over of any Double Triple pool from any previous day's program may not be distributed on that racing day and shall be carried over to the next consecutive racing day.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="L."> <text>If for any reason the field for either the first race or the second race of the Double Triple is reduced to less than seven interests before wagering is opened for the first race of the Double Triple, then Double Triple wagering may not be conducted on that day. If wagering has opened for the Double Triple and the field for either the first race or the second race of the Double Triple is reduced to less than seven interests before the first race of the Double Triple has been run, the stewards shall determine, in their sole and final discretion, whether Double Triple wagering will be refunded and not conducted on that day. If after the first race of the Double Triple has been run the field in the second race of the Double Triple is reduced to less than seven interests, the stewards shall determine, in their sole and final discretion, whether the race will be run as the second race of the Double Triple or, alternatively, whether Double Triple wagering will be cancelled, in which event the entire second part of the divided pool resulting from that current day's program only shall be distributed among all holders of Second Half Double Triple tickets, in accordance with established pari-mutuel practice, and any carry-over of any Double Triple pool from any previous day's program may not be distributed on that racing day and shall be carried over to the next consecutive racing day.</text> </paragraph> <paragraph num="M."> <text>If for any reason the second race of the Double Triple is not declared official, the winning ticket holders who have cashed their ticket of the first race of the Double Triple and have received an exchange ticket, shall be entitled to be paid the remaining amount of the current program's divided pool.</text> </paragraph> <paragraph num="N."> <text>Sales of Double Triple tickets other than from pari-mutuel machines shall be deemed illegal and prohibited.</text> </paragraph> <paragraph num="O."> <text>The Double Triple pool shall be held entirely separate from all other pools, and may not be part of a daily double, exacta, triple, pick six, or other wagering pool.</text> </paragraph> <paragraph num="P."> <text>If the accumulated carry-over pool of the Double Triple has not been distributed before the closing day of the meeting in which the pool was generated, the accumulated pool shall be carried over to the thoroughbred association next to operate that accepts Double Triple wagering. If the association next to operate does not accept Double Triple wagering, the accumulated pool shall be deposited in a Maryland bank in interest-bearing form and the accumulated pool together with all interest earned on it shall be carried over to the first day of the next racing meet of the thoroughbred association accepting Double Triple wagering.</text> </paragraph> <paragraph num="Q."> <text>Coupled entries are permitted but fields are prohibited in Double Triple races.</text> </paragraph> <paragraph num="Q-1."> <text>If the horses in a coupled entry finish in more than one of the first three positions, one or more of the horses, as necessary, finishing directly after the first three horses shall be used to complete a winning selection consisting of three different numbers.</text> </paragraph> <paragraph num="R."> <text>The acceptance of a Double Triple ticket by taking an issued ticket away from the window of the terminal from which it was issued shall constitute an acknowledgment by the bettor of the correctness of the ticket. Each purchaser of a Double Triple ticket shall agree to be bound by the terms and provisions of this and all other applicable Commission rules and regulations and by the laws of the State pertaining to pari-mutuel wagering. The Association, totalisator company, and the State may not be liable to any person for a Double Triple ticket which is not:</text> <paragraph num="(1)"> <text>A winning ticket in accordance with the provisions of this rule; or</text> </paragraph> <paragraph num="(2)"> <text>Delivered for any reason, including but not limited to mechanical malfunction, electrical failure, machine locking, or other cause.</text> </paragraph> </paragraph> <paragraph num="S."> <text>This rule shall be prominently displayed in the betting area of each Association conducting a Double Triple Program.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".75" heading="Super Bet."> <paragraph num="A."> <text>The Super Bet is a form of pari-mutuel wagering on three designated races. The bettor selects the two horses that will finish first and second in each of the first two designated races of the Super Bet, and the three horses that will finish first, second, and third in the third designated race of the Super Bet, in each case in the exact order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The Super Bet pool shall be held entirely separate from all other pools, and may not be part of any exacta, triple, daily double, or other wagering pool. The Super Bet is not a parlay.</text> </paragraph> <paragraph num="C."> <text>Repealed.</text> </paragraph> <paragraph num="D."> <text>The three races which comprise the Super Bet shall be approved by the Commission and clearly designated in the program.</text> </paragraph> <paragraph num="E."> <text>Super Bet tickets shall be clearly identified as such, so as to distinguish them from tickets on other wagering pools.</text> </paragraph> <paragraph num="F."> <text>Coupled entries and fields are prohibited in the three designated Super Bet races.</text> </paragraph> <paragraph num="G."> <text>If a dead heat or dead heats occur in any of the races of the Super Bet, all Super Bet tickets selecting the correct order of finish counting a horse in a dead heat as finishing in any position dead heated shall be winning tickets, and contrary to the usual practice, the aggregate winning tickets shall be divided into the net pool and be paid the same pay-off price.</text> </paragraph> <paragraph num="H."> <text>Wagering for the Super Bet shall close at the same time that wagering is closed on the first designated race of the Super Bet. If a horse is scratched in a designated race of the Super Bet while wagering on the Super Bet is still open, wagers containing the scratched horse will be deducted from the Super Bet pool and will be refunded just as in other types of wagers. After the close of wagering on the Super Bet, if a horse has been scratched, a consolation pool, or pools, will be established in accordance with §P of this regulation.</text> </paragraph> <paragraph num="I."> <text>If for any reason, including but not limited to, weather conditions, less than all of the designated races of the Super Bet are cancelled or are not declared “official,” then all horses in the cancelled race or races that were selected on Super Bet tickets shall be considered winners for purposes of the Super Bet. If for any reason all of the designated races of the Super Bet are cancelled, then all pari-mutuel tickets that were issued for that performance shall be refunded and the Super Bet shall be cancelled for that performance. In all the above instances, any contributions to the Super Bet pool from prior performances will be carried over and included in the Super Bet pool for the next performance as prescribed in §J, below.</text> </paragraph> <paragraph num="J."> <text>If there is no Super Bet ticket issued accurately selecting the officially declared winning combination in the exact order of finish in each of the three designated races of the Super Bet, then the net pool (the amount wagered less all applicable commissions and taxes under the laws of this State) shall be carried over and included with the net Super Bet pool at the next performance.</text> </paragraph> <paragraph num="K."> <text>If the accumulated carry-over pool of the Super Bet has not been distributed before the closing day of the meeting in which the pool was generated, or if the Association invokes the provisions of §L, the net amount of the carry-over pool so remaining shall be distributed even if a Super Bet ticket is not a winning ticket under §A. In this event, the winning tickets shall be those combining on that performance the most consecutive finishers in the winning combination, starting with the winner of the first designated race of the Super Bet (for example, if the exact winning combination is 1-2, 1-2, 1-2-3, and the best ticket sold is 1-2, 1-2, 1-2-ALL). If there is a cancellation of the closing day's performance, the accumulated carry-over pool shall be carried over to the Thoroughbred Association next to operate that accepts Super Bet wagering. If the Thoroughbred Association next to operate does not accept Super Bet wagering, the accumulated carry-over pool shall be deposited in a Maryland bank, in interest bearing form, and the accumulated pool together with all interest earned on it shall be carried over to the first day of the next racing meeting of the Thoroughbred Association accepting Super Bet wagering.</text> </paragraph> <paragraph num="L."> <text>The Association accepting Super Bet wagering may elect, if there is an undistributed accumulated carry-over pool of the Super Bet, to declare a mandatory Super Bet distribution, provided it makes an announcement of its intention to do so at least 24 hours before the opening of Super Bet wagering for that performance. In this event, all of the Super Bet carry-over pool shall be distributed on this performance, even if a Super Bet ticket is not a winning ticket under §A, in accordance with the provisions for determining a winning ticket under §K.</text> </paragraph> <paragraph num="M."> <text>The Association may elect to guarantee a gross Super Bet (the accumulated carry-over pool plus gross Super Bet wagering on the current performance) by adding any shortfall from this guarantee to the accumulated carry-over pool, provided it makes announcement of its intention to do so before the opening of Super Bet wagering for that performance. Commissions or taxes may not be deducted from the added amount.</text> </paragraph> <paragraph num="N."> <text>Sales of Super Bet tickets other than from pari-mutuel machines shall be deemed illegal and prohibited. Resale of Super Bet tickets from one individual to another is prohibited and shall be grounds for ejection.</text> </paragraph> <paragraph num="O."> <text>The acceptance of the Super Bet ticket by an individual taking an issued ticket away from the windows of the terminal from which it was issued shall constitute an acknowledgement by the bettor of the correctness of the ticket. Each purchaser of a Super Bet ticket agrees to be bound by the terms and provisions of this and all other applicable Commission regulations and by the laws of the State pertaining to pari-mutuel wagering. The Association, totalisator, and the State may not be liable to any person for a Super Bet ticket which is not:</text> <paragraph num="(1)"> <text>A winning ticket in accordance with the provisions of this regulation; or</text> </paragraph> <paragraph num="(2)"> <text>Delivered for any reason, including but not limited to:</text> <paragraph num="(a)"> <text>Mechanical malfunction,</text> </paragraph> <paragraph num="(b)"> <text>Electrical failure,</text> </paragraph> <paragraph num="(c)"> <text>Machine locking, or</text> </paragraph> <paragraph num="(d)"> <text>Other cause.</text> </paragraph> </paragraph> </paragraph> <paragraph num="P."> <text>Consolation Pools.</text> <paragraph num="(1)"> <text>If one or more horses are scratched (scratches) after the close of wagering on the designated races of the Super Bet, consolation pools shall be established.</text> </paragraph> <paragraph num="(2)"> <text>Consolation pools shall consist of the amount wagered on all combinations that contain the “scratches” after the deduction of all applicable commissions and taxes under the laws of this State from these wagers.</text> </paragraph> <paragraph num="(3)"> <text>Wagers. The relationship that the above amount bears to todays net pool, before the deduction of the above amount from todays net pool, will be the relationship that it will bear to the pool carried forward to this performance (carry-over pool) for the purposes of distributing that portion of the “carry-over pool” to the holder of a winning wager as determined in §P(4), below.</text> </paragraph> <paragraph num="(4)"> <text>A Super Bet wager which contains “scratches” shall participate in the consolation pool if the wager contains all other horses in the correct order of finish except the “scratches,” or, if the “scratches” are in a superior position to the other horses selected, the other horses finish in the next most superior position vacated by the “scratches” or the next most superior position of any horse so advanced. For example, if the exact winning combination is 1-2, 1-2, 1-2-3, and the 4 horse was scratched in the third race of the Super Bet a wager of 1-2, 1-2, 1-2-4 would qualify as a winning consolation wager as well as a wager of 1-2, 1-2, 4-1-2 or 1-2, 1-4-2. No other combination would be a winning wager in this example. If there is no winning wager of the consolation pool, the amounts in the consolation pool shall be returned to the pools from which they were deducted before distribution from these pools. If §K or L of this regulation are invoked, the consolation provision of this section shall apply to §§K and L as well.</text> </paragraph> </paragraph> <paragraph num="Q."> <text>This regulation shall be prominently displayed in the betting area of each Association conducting a Super Bet program.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".76" heading="Pick Three."> <paragraph num="A."> <text>Except as provided in §B of this regulation, the Pick Three is a form of pari-mutuel wagering in which each bettor selects the winning horse in each of three consecutive races designated by the Association.</text> </paragraph> <paragraph num="B."> <text>With the approval of the Commission, an Association may offer Pick Three wagering on three stake races scheduled to be contested over not more than 2 consecutive days.</text> </paragraph> <paragraph num="C."> <text>The Association may designate a wager described in §A or B of this regulation with the name “Pick Three” or another name, subject to the approval of the Commission.</text> </paragraph> <paragraph num="D."> <text>The Pick Three pool:</text> <paragraph num="(1)"> <text>Shall be held entirely separate from all other pools;</text> </paragraph> <paragraph num="(2)"> <text>May not be part of a daily double, exacta, trifecta, or other wagering pool; and</text> </paragraph> <paragraph num="(3)"> <text>May not be a parlay.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The three races which constitute the Pick Three shall be clearly designated in the program or programs.</text> </paragraph> <paragraph num="F."> <text>The Pick Three ticket shall be clearly distinguished from other pari-mutuel tickets with appropriate identification of the wager as a Pick Three wager printed on the ticket.</text> </paragraph> <paragraph num="G."> <text>The Pick Three pari-mutuel pool shall be calculated as follows:</text> <paragraph num="(1)"> <text>The entire net amount in the Pick Three pari-mutuel pool shall be distributed, in the usual manner, among those holders of tickets who correctly picked on the same ticket the winner of each of the three races comprising the Pick Three;</text> </paragraph> <paragraph num="(2)"> <text>If no ticket is sold which:</text> <paragraph num="(a)"> <text>Correctly contains the winner of each of the three races comprising the Pick Three, the entire net amount in the Pick Three pari-mutuel pool shall be distributed, in the usual manner, among those holders of tickets who correctly picked on the same ticket the winner of any two of the three races comprising the Pick Three;</text> </paragraph> <paragraph num="(b)"> <text>Correctly contains at least the winner of two of the three races comprising the Pick Three, the entire net amount in the Pick Three pari-mutuel pool shall be distributed, in the usual manner, among those holders of tickets who correctly picked the winner of any one of the three races comprising the Pick Three; and</text> </paragraph> <paragraph num="(c)"> <text>Would require the distribution of the Pick Three pool under this regulation, the Association shall make a full and complete refund of the Pick Three pool.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Entries and Scratches.</text> <paragraph num="(1)"> <text>Those horses constituting an entry or a field, as defined within the regulations of the Commission, shall race in the races comprising the Pick Three as a single wagering interest for the purpose of the Pick Three pari-mutuel pool calculations and payouts to the public. A scratch, after wagering has begun, of any part of any entry or field selection in a race shall be of no effect with respect to the status of the entry or field, or both, as a viable wagering interest.</text> </paragraph> <paragraph num="(2)"> <text>If a Pick Three ticket designates as a selection to win in any one or more of the contests comprising the Pick Three, a single wagering interest which is scratched, excused, or determined by the stewards to be a nonstarter in the race, the actual favorite, as evidenced by the amounts wagered in the win pool at the time of the start, will be substituted for the nonstarting selection for all purposes including pool calculations and payoffs, provided further that if the win pool for two or more favorites is identical, the selection shall be the lowest program number substituted for the nonstarting selection.</text> </paragraph> </paragraph> <paragraph num="I."> <text>If, for any reason:</text> <paragraph num="(1)"> <text>A race of a Pick Three program is cancelled or declared “No Race”, the Pick Three pool shall be distributed among the holders of tickets containing the most winning selections in the remaining races in accordance with §H of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>Two or more races of the Pick Three are canceled or declared “No Race”, all pari-mutuel tickets for that Pick Three pool shall be refunded;</text> </paragraph> <paragraph num="(3)"> <text>A race of the Pick Three is cancelled or declared “No Race” and there is a dead heat for win in one of the remaining races, notwithstanding the provisions of §J of this regulation, all the horses in the dead heat for win shall be considered as the winning horse in that race for the purpose of distributing the Pick Three pari-mutuel pool; or</text> </paragraph> <paragraph num="(4)"> <text>If one or more of the races comprising the Pick Three is a turf race and the race is switched from the turf to the main track after the close of wagering for the Pick Three, all selections in that race on a Pick Three pari-mutuel ticket shall be considered a winning selection.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If there is a dead-heat for win between two or more horses in any Pick Three race, the calculation for the purpose of distributing the net Pick Three pool is as follows:</text> <paragraph num="(1)"> <text>The net Pick Three pool, less the amount bet on the winning combinations, shall be divided by the number of winning combinations;</text> </paragraph> <paragraph num="(2)"> <text>Divide the quotient of §J(1) of this regulation by the amount bet on each winning combination;</text> </paragraph> <paragraph num="(3)"> <text>The $1 payoff price for a winning combination is $1 added to the quotient from §J(2) of this regulation for that winning combination, rounded to the next lowest integer in conformance with the breakage provision currently in effect.</text> </paragraph> </paragraph> <paragraph num="K."> <text>A person may not disclose the number of tickets sold in the Pick Three pool or the amount of tickets selecting winners of Pick Three races before the time the stewards have declared the last Pick Three race on any given date “official”.</text> </paragraph> <paragraph num="L."> <text>A pari-mutuel ticket for the Pick Three pool may not be sold, exchanged, or cancelled after the close of wagering in the first of the three races comprising the Pick Three.</text> </paragraph> <paragraph num="M."> <text>Pick Three Tickets.</text> <paragraph num="(1)"> <text>A validly issued Pick Three ticket timely surrendered to the Association by the legal holder of it shall be the only evidence of a person's participation in the Pick Three pari-mutuel pool.</text> </paragraph> <paragraph num="(2)"> <text>The acceptance of a Pick Three ticket by taking an issued ticket away from the window or terminal at which it is purchased shall constitute an acknowledgment by the purchaser of the correctness of the ticket.</text> </paragraph> <paragraph num="(3)"> <text>Each purchaser of a Pick Three ticket agrees to be bound by the terms and provisions of this and all other applicable Commission rules and regulations and by the laws of the State pertaining to pari-mutuel wagering.</text> </paragraph> <paragraph num="(4)"> <text>The Association, totalisator company, and the State may not be liable to a person for a:</text> <paragraph num="(a)"> <text>Ticket which is not a winning ticket in accordance with the provisions of this regulation; or</text> </paragraph> <paragraph num="(b)"> <text>Pick Three ticket not delivered for any reason, including but not limited to mechanical malfunction, electrical failure, machine locking, or other cause.</text> </paragraph> </paragraph> </paragraph> <paragraph num="N."> <text>This regulation shall be prominently displayed through the betting area of each Association conducting a Pick Three wager.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".77" heading="Intertrack Wagering."> <paragraph num="A."> <text>The Commission shall establish a system of intertrack wagering. This system is limited to betting at the racetrack of an association which is not itself conducting the race on which betting is being taken (the “receiving track”) on a race which is being conducted live or by simulcast on a licensed racing day at the racetrack of another association (the “sending track”). All betting under this regulation shall take place within the confines of the racetrack of the receiving track.</text> </paragraph> <paragraph num="B."> <text>The Commission may permit:</text> <paragraph num="(1)"> <text>An association desiring to conduct intertrack wagering under this regulation to do so provided that the request is approved by each:</text> <paragraph num="(a)"> <text>Sending track;</text> </paragraph> <paragraph num="(b)"> <text>Receiving track;</text> </paragraph> <paragraph num="(c)"> <text>Group representing a majority of the horsemen:</text> <paragraph num="(i)"> <text>Then racing at the sending track,</text> </paragraph> <paragraph num="(ii)"> <text>Who raced at the receiving track at its last meeting;</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Wagering under this regulation only between associations licensed under Business Regulation Article, Title 11, Subtitle 5, Part II, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Money wagered at the receiving track on races on which intertrack wagering is permitted shall be included in the applicable mutuel pools at the sending track, and shall for all purposes be considered as if wagered at the sending track. Without limiting the generality of the above, computation of the takeout, breakage, and State tax on all wagering at the receiving track shall be the same as that normally applicable to racing conducted at the sending track. All pari-mutuel information regarding the money wagered at the receiving track shall be transmitted by telephone wire directly to the sending track and incorporated with the information on wagering at the sending track.</text> </paragraph> <paragraph num="D."> <text>Each race on which intertrack wagering is permitted shall be simulcast live from the sending track to the receiving track via telephone wire, television signal, satellite signal, or other means approved by the Commission.</text> </paragraph> <paragraph num="E."> <text>The Commission shall have jurisdiction over all wagering and other activities at the receiving track to the same extent as it has when live racing is being conducted at that facility.</text> </paragraph> <paragraph num="F."> <text>Nothing contained in this regulation shall constitute the employees of the receiving track as employees of the sending track.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".78" heading="Quad Wagering."> <paragraph num="A."> <text>The quad is a contract by the purchaser of a ticket combining four horses to finish first, second, third, and fourth in that specific order in a race on which quad wagering is offered. Payment of the ticket shall be made only to the purchaser who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The quad is not a parlay and has no connection with, or relation to, any other wagering pool and shall be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>Repealed.</text> </paragraph> <paragraph num="D."> <text>If a ticket was not sold on the winning combination of a quad pool, the net pool shall be distributed to the holders of tickets selecting the first, second, and third finishers in that specific order. However, if a ticket was not sold combining the first, second, and third finishers in that specific order, the net pool shall be distributed to the holders of tickets selecting the first and second finishers in that specific order. However, if a ticket was not sold containing any of the above combinations, the net pool shall be distributed to the holders of tickets selecting the correct first place finisher. If less than four horses finish, the payoff shall be made to holders of tickets selecting the finishing horses in order, ignoring the balance of the selection.</text> </paragraph> <paragraph num="E."> <text>If a ticket was not sold that would require distribution of the net quad pool to a winner as defined in §D of this regulation, the association shall make a full refund of the quad pool.</text> </paragraph> <paragraph num="F."> <text>In the event of a dead heat or dead heats, all quad tickets selecting the correct order of finish, counting a horse in a dead heat as finishing in all of the positions encompassed by the dead heat, shall be winning tickets. When a dead heat occurs, the payoff shall be calculated using the same logic used for calculating the place and show pools.</text> </paragraph> <paragraph num="G."> <text>In the event of a scratch in the quad, exchanges are not made. All tickets which include the scratched horse are eliminated from further participation in the quad pool and shall be refunded. Refunds on key horse wheel tickets may be made after the quad race is official. Key horse wheel tickets shall be sold during the entire quad wagering period at the posted price used when quad wagering opens.</text> </paragraph> <paragraph num="H."> <text>Coupled entries are permitted but fields are prohibited in quad races.</text> </paragraph> <paragraph num="I."> <text>If the horses in a coupled entry finish in more than one of the first four positions, one or more of the horses, as necessary, finishing directly after the first four horses shall be:</text> <paragraph num="(1)"> <text>Used to complete a winning selection consisting of four different numbers; and</text> </paragraph> <paragraph num="(2)"> <text>Assigned the positions behind those horses which have been advanced due to the coupled entry finishing in more than one of the first four positions.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Quad tickets shall be sold only by the licensee through pari-mutuel machines programmed to print all selections on one ticket. Resale of the tickets from one individual to another is prohibited and shall be grounds for ejection.</text> </paragraph> <paragraph num="K."> <text>This regulation shall be printed in heavy type in a conspicuous place in the program, or prominently posted near the betting windows of any association permitted to conduct this type of wager.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".79" heading="Pick-7."> <paragraph num="A."> <text>The Pick-7 pari-mutuel pool is not a parlay and has no connection with or relation to any other pari-mutuel pool.</text> </paragraph> <paragraph num="B."> <text>The Pick-7 pari-mutuel pool consists of amounts wagered by individuals on the individuals' selections to finish first in each of the 7 races designated by an Association, with the approval of the Commission, to be part of the Pick-7 wager.</text> </paragraph> <paragraph num="C."> <text>Horses constituting an entry of coupled horses or horses coupled to constitute the mutuel field in a race comprising the Pick-7 shall race as a single wagering interest for the purpose of the Pick-7 pari-mutuel pool calculations and payout to the public. However, if part of an entry or field is scratched and any part of either an entry or field racing as a single wagering interest is a starter in a race, the entry or field, if selected, shall remain as the designated selection to win in that race for the Pick-7 wager and the selection may not be deemed a scratch.</text> </paragraph> <paragraph num="D."> <text>If a Pick-7 pari-mutuel ticket contains a single wagering interest or an entire “entry of coupled horses” or “mutuel field” which is scratched, excused, or determined by the host track stewards to be a nonstarter in the race, after wagering on the Pick-7 has commenced, the actual favorite, as evidenced by the amounts wagered in the host track win pool at the time of the start of the race, will be substituted for the nonstarting selection for all purposes, including pool calculations and payoffs. In the unlikely event that the win pool for two or more favorites is identical, the selection shall be the lowest program number of the cofavorites substituted for the nonstarting selection.</text> </paragraph> <paragraph num="E."> <text>Pick-7 Pari-Mutuel Pool.</text> <paragraph num="(1)"> <text>The Pick-7 pari-mutuel pool shall be calculated as follows:</text> <paragraph num="(a)"> <text>The net pool, that is, the total amount wagered less the applicable takeout, shall be allocated 75 percent to a major share and 25 percent to a minor share;</text> </paragraph> <paragraph num="(b)"> <text>The major share shall be distributed among holders of Pick-7 tickets which contain the correct selections of the winner of each of the 7 races comprising the Pick-7;</text> </paragraph> <paragraph num="(c)"> <text>The minor share shall be distributed among holders of Pick-7 tickets which contain the most correct selections of the winner of each of the 7 races comprising the Pick-7 but fewer than 7.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If there is no pari-mutuel ticket issued which correctly selects the winners of each of the 7 races comprising the Pick-7, then the entire net pool shall be distributed among holders of Pick-7 tickets which contain the most correct selections of the winner of each of the 7 races comprising the Pick-7.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If there is a dead heat for win between two or more horses in any Pick-7 race, all the horses in the dead heat for win shall be considered as the winning horse in the race for the purpose of calculating the Pick-7 pari-mutuel pool.</text> </paragraph> <paragraph num="G."> <text>If, for any reason, any race or races of a Pick-7 is cancelled and declared “no race”, the Pick-7 pool shall be distributed to the holders of the most winning selections of the remaining races pursuant to §E, except that if, for any reason, three or more races of a Pick-7 are cancelled and declared “no race”, all pari-mutuel tickets for that Pick-7 pool shall be refunded and the Pick-7 cancelled for that day.</text> </paragraph> <paragraph num="H."> <text>A pari-mutuel ticket for the Pick-7 pool may not be sold, exchanged, or cancelled after the time of the closing of wagering on the first of the seven races comprising the Pick-7 except for refunds on Pick-7 tickets that are required by this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".80" heading="Pick-7 with Carry-Over."> <paragraph num="A."> <text>The Pick-7 with Carry-Over pari-mutuel pool is not a parlay and has no connection with or relation to any other pari-mutuel pool.</text> </paragraph> <paragraph num="B."> <text>The Pick-7 with Carry-Over pari-mutuel pool consists of amounts wagered by individuals on the individuals' selections to finish first in each of the seven races designated by an Association, with the approval of the Commission, to be part of the Pick-7 with Carry-Over wager.</text> </paragraph> <paragraph num="C."> <text>Those horses constituting an entry of coupled horses or those horses coupled to constitute the mutuel field in a race comprising the Pick-7 with Carry-Over shall race as a single wagering interest for the purpose of the Pick-7 with Carry-Over pari-mutuel pool calculations and payout to the public. However, if part of an entry or field is scratched and any part of either an entry or field racing as a single wagering interest is a starter in a race, the entry or field, if selected, shall remain as the designated selection to win in that race for the Pick-7 with Carry-Over wager and the selection is not considered a scratch.</text> </paragraph> <paragraph num="D."> <text>If a Pick-7 with Carry-Over pari-mutuel ticket contains a single wagering interest or an entire “entry of coupled horses” or “mutuel field” which is scratched, excused, or determined by the stewards to be a nonstarter in the race, after wagering on the Pick-7 with Carry-Over has begun, the actual favorite, as evidenced by the amounts wagered in the win pool at the time of the start of the race, will be substituted for the nonstarting selection for all purposes, including pool calculations and payoffs. In the unlikely event that the win pool for two or more favorites is identical, the selection is the lowest program number of the cofavorites substituted for the nonstarting selection.</text> </paragraph> <paragraph num="E."> <text>The Pick-7 with Carry-Over pari-mutuel pool shall be calculated as follows:</text> <paragraph num="(1)"> <text>The net pool, which consists of the total amount wagered less the applicable takeout, shall be allocated:</text> <paragraph num="(a)"> <text>75 percent to the carry-over share, and</text> </paragraph> <paragraph num="(b)"> <text>25 percent to a best-of-seven share;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The carry-over share shall be distributed among holders of Pick-7 with Carry-Over tickets which contain the correct selections of the winner of each of the seven races comprising the Pick-7 with Carry-Over;</text> </paragraph> <paragraph num="(3)"> <text>The best-of-seven share shall be distributed among holders of Pick-7 with Carry-Over tickets which contain the most correct selections of the winner of each of the seven races comprising the Pick-7 with Carry-Over but fewer than seven;</text> </paragraph> <paragraph num="(4)"> <text>If there is no pari-mutuel ticket issued which correctly selects the winners of each of the seven races comprising the Pick-7 with Carry-Over, then the carry-over share from this day shall be added to the carry-over share of the next program to offer this type of wager at a track licensed under Business Regulation Article, §11-302, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(5)"> <text>If a succeeding track does not offer this type of wager or if a track wishes to discontinue this type of wager or create a mandatory distribution of the carry-over share, upon the approval of the Commission, the carry-over share on the program so designated shall be distributed among holders of Pick-7 with Carry-Over tickets which contain the most correct selections of the winner of each of the seven races comprising the Pick-7 with Carry-Over on that program.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If there is a dead heat for win between two or more horses in any Pick-7 with Carry-Over race, all the horses in the dead heat for win are considered as the winning horse in the race for the purpose of calculating the Pick-7 with Carry-Over pari-mutuel pool.</text> </paragraph> <paragraph num="G."> <text>If, for any reason, any race or races of a Pick-7 with Carry-Over is cancelled and declared “No Race”, the entire Pick-7 with Carry-Over net pool, exclusive of amounts added from prior programs, shall be distributed to the holders of the most winning selections of the remaining races pursuant to §E(3) of this regulation. If, for any reason, three or more races of a Pick-7 with Carry-Over are cancelled and declared “No Race”, all pari-mutuel tickets for that Pick-7 with Carry-Over pool shall be refunded and the Pick-7 with Carry-Over cancelled for that day.</text> </paragraph> <paragraph num="H."> <text>A pari-mutuel ticket for the Pick-7 with Carry-Over pool may not be sold, exchanged, or cancelled after the time of the closing of wagering on the first of the seven races comprising the Pick-7 with Carry-Over, except for those refunds on Pick-7 with Carry-Over tickets required by this regulation.</text> </paragraph> <paragraph num="I."> <text>Repealed.</text> </paragraph> <paragraph num="J."> <text>Races upon which the Pick-7 with Carry-Over are conducted shall be approved by the Maryland Racing Commission and clearly designated in the program.</text> </paragraph> <paragraph num="K."> <text>This rule shall be prominently displayed throughout the betting area of the association conducting this type of wager.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".81" heading="Commingled Pari-Mutuel Pools."> <paragraph num="A."> <text>Commingling of pari-mutuel pools occurs when all wagers which are made, both within and outside of Maryland on a specific pari-mutuel pool, are combined for the purpose of determining a payout.</text> </paragraph> <paragraph num="B."> <text>For the purpose of this regulation:</text> <paragraph num="(1)"> <text>“Gross pool” means the total monies accumulated in a specific wagering pool before the deduction of the applicable takeout as prescribed by the law in the jurisdiction in which the wagers take place.</text> </paragraph> <paragraph num="(2)"> <text>“Net pool” means the total monies accumulated in a specific wagering pool after the deduction of the applicable takeout as prescribed by the law in the jurisdiction in which the wagers take place.</text> </paragraph> </paragraph> <paragraph num="C."> <text>When an association in Maryland is permitted to commingle the wagers made in Maryland on a race in another jurisdiction with the wagers made at the association in the other jurisdiction, and the public is notified that commingling is taking place, the winning wagers shall be paid at the price determined by the odds posted at the association where the live race took place except, once wagering has begun and circumstances prevent the commingling from being accomplished, there shall be a refund of all these wagers made at the Maryland association, if:</text> <paragraph num="(1)"> <text>A public announcement is made by the Maryland association not less than 2 minutes before the post time of the race that commingling cannot be accomplished, when the wager involves only one race; or</text> </paragraph> <paragraph num="(2)"> <text>The wager involves more than one race, and a public announcement is made by the Maryland association that commingling cannot be accomplished:</text> <paragraph num="(a)"> <text>By the off time of the first race of the wager, or</text> </paragraph> <paragraph num="(b)"> <text>Not more than 10 minutes after the finish of the first race of the wager, unless there is a payoff due on a wager as a result of the first race.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>If a payoff is due under the exception to §C(2)(b) of this regulation, there is no refund and the payoff shall be multiplied by a number which would make the sum of the payoff of all winning wagers on the first race of the pool equal to the net pool on that wager, exclusive of any carryover.</text> </paragraph> <paragraph num="E."> <text>An association in Maryland shall request and receive permission from the Commission before entering into a commingling agreement with an entity, or entities, in other jurisdictions. The request shall include the method of commingling to be used, that is, the net pool method or the gross pool method.</text> </paragraph> <paragraph num="F."> <text>If the net pool method is employed, the Maryland association shall apply the base payout price to the winning wagers in the Maryland association's pool to determine the payout on these wagers.</text> </paragraph> <paragraph num="G."> <text>If the gross pool method of commingling is used, the takeout on wagers placed in Maryland is the same as the takeout used at the association at which the live race takes place.</text> </paragraph> <paragraph num="H."> <text>Underpayment or Overpayment.</text> <paragraph num="(1)"> <text>When a payoff is required under §C or D of this regulation, a resulting underpayment or overpayment of the distributable pools shall be accumulated to determine a net overpayment or underpayment.</text> </paragraph> <paragraph num="(2)"> <text>Within 10 days after the end of the calendar year, the association shall report a net underpayment for the year to the Commission, and the association shall add the net underpayment to future distributable pools as directed by the Commission.</text> </paragraph> <paragraph num="(3)"> <text>If there is a net overpayment at the end of the calendar year, it may be carried forward to the succeeding calendar year and shall become a part of the accumulation for that calendar year.</text> </paragraph> </paragraph> <paragraph num="I."> <text>When wagers on a race or races are commingled, the regulations in the jurisdiction where the race or races take place shall be used in administering the wager.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".82" heading="Bingo Bet."> <paragraph num="A."> <text>The Bingo Bet is a type of bet in which betting interests are selected and placed in a total of nine blocks, arranged in three columns with three blocks in each column thereby forming a square.</text> </paragraph> <paragraph num="B."> <text>For the columns described under §A of this regulation, the totalisator company shall assign to each block in column:</text> <paragraph num="(1)"> <text>One, the number of a betting interest selected to finish first;</text> </paragraph> <paragraph num="(2)"> <text>Two, the number of a betting interest selected to finish first or second, except that the center block of this column shall be assigned the number of the betting interest that actually finishes first in the race; and</text> </paragraph> <paragraph num="(3)"> <text>Three, the number of a betting interest selected to finish first, second, or third.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Repealed.</text> </paragraph> <paragraph num="D."> <text>A bettor wishing to participate in this type of bet may:</text> <paragraph num="(1)"> <text>Select a single betting interest to be placed randomly by the totalisator computer in any one block in the bet, except the center block in column two, and allow the totalisator computer to randomly assign the numbers of the betting interests to the other seven blocks in the bet; or</text> </paragraph> <paragraph num="(2)"> <text>Allow the totalisator computer to randomly assign the numbers of the betting interests to all of the blocks, except the center block in column two.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A winning combination consists of three contiguous blocks forming a straight line, either diagonally, vertically, or horizontally, containing the betting interests which finished in the position selected, or higher, in accordance with the official order of finish.</text> </paragraph> <paragraph num="F."> <text>A single bet may contain as many as eight winning combinations.</text> </paragraph> <paragraph num="G."> <text>The totalisator company shall divide the net pool on this type of bet by the total number of winning combinations with the resulting quotient, rounded down to the nearest whole multiple of 10 cents, being the payoff on each winning combination.</text> </paragraph> <paragraph num="H."> <text>The payoff on a winning combination, as calculated under §G of this regulation, may not be less than 10 cents.</text> </paragraph> <paragraph num="I."> <text>If there is a dead heat for first, second, or third place in a race on which a Bingo Bet is offered, the totalisator company shall consider the numbers assigned to the betting interests involved in the dead heat as finishing in the position for which there was a dead heat.</text> </paragraph> <paragraph num="J."> <text>If more than one horse in an entry or field finishes in one or more of the first three positions in the race, the totalisator company shall use one or more of the horses, as necessary, finishing directly after the first three horses until there are three different betting interests to represent the first three positions at the finish of the race for the purposes of this bet.</text> </paragraph> <paragraph num="K."> <text>If a betting interest is scratched, excused, or determined by the stewards to be nonstarter, the totalisator company shall substitute the:</text> <paragraph num="(1)"> <text>Actual favorite, as evidenced by the amounts bet in the win pool when betting on the race is closed, for that betting interest; or</text> </paragraph> <paragraph num="(2)"> <text>Favorite with the lowest program number for that betting interest if the amount bet in the win pool is identical on two or more favorites when betting on the race is closed.</text> </paragraph> </paragraph> <paragraph num="L."> <text>If fewer than three betting interests in a race offering the Bingo Bet finish the race, the stewards shall order a refund of the entire pool for that bet in that race.</text> </paragraph> <paragraph num="M."> <text>If, after considering the other provisions of this regulation, there is no winning selection on the Bingo Bet, the racing association shall carry forward the entire net pool from the Bingo Bet and add it to the net pool of the Bingo Bet on the next race for which it is offered.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".83" heading="Head-to-Head Wager."> <paragraph num="A."> <text>Definition.</text> <paragraph num="(1)"> <text>In this regulation, the following term has the meaning indicated.</text> </paragraph> <paragraph num="(2)"> <text>Term Defined. Head-to-head wager means a bet in which an individual selects one of two designated horses in a particular race to reach the finish line before the other, regardless of the position in which the other horses finish the race.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The association shall designate:</text> <paragraph num="(1)"> <text>Which races a head-to-head wager will be offered; and</text> </paragraph> <paragraph num="(2)"> <text>Which horses in each race are the selections for the head-to-head wager.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Races in which a head-to-head wager is offered shall be:</text> <paragraph num="(1)"> <text>Approved by the Commission; and</text> </paragraph> <paragraph num="(2)"> <text>Clearly designated in the program.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Horses coupled as a betting entry or horses coupled to constitute a mutual field may not constitute one of the selections in a head-to-head wager.</text> </paragraph> <paragraph num="E."> <text>A head-to-head wager is not a parlay and has no connection with, or relation to, any other pari-mutuel pool.</text> </paragraph> <paragraph num="F."> <text>A head-to-head wagering pari-mutuel pool shall be considered a regular pari-mutuel pool for the purposes of takeout and the allocation of takeout.</text> </paragraph> <paragraph num="G."> <text>Repealed.</text> </paragraph> <paragraph num="H."> <text>The entire head-to-head wagering pool shall be refunded if:</text> <paragraph num="(1)"> <text>One of the designated horses is scratched or declared a nonstarter by the stewards;</text> </paragraph> <paragraph num="(2)"> <text>A dead heat occurs between the two horses designated for the head-to-head wager; or</text> </paragraph> <paragraph num="(3)"> <text>Both designated horses fail to finish the race.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The rules pertaining to a head-to-head wager shall be:</text> <paragraph num="(1)"> <text>Prominently displayed in the wagering area; and</text> </paragraph> <paragraph num="(2)"> <text>Made available to anyone requesting a copy.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".84" heading="Pick (n)."> <paragraph num="A."> <text>The Pick (n) is a type of bet encompassing four or more races, the exact number of races being determined by the number substituted for (n). In Pick (n), a bettor selects a betting interest to finish not lower than the position specified for this bet by the racing association for each of the races comprising the bet.</text> </paragraph> <paragraph num="B."> <text>A Pick (n) bet shall be refunded if:</text> <paragraph num="(1)"> <text>For any reason, 50 percent or more of the races scheduled as a part of this bet are cancelled or declared a “no contest”; or</text> </paragraph> <paragraph num="(2)"> <text>No bet qualifies for a payoff under the provisions of §D, E, or F(1) of this regulation, and the provisions of §H of this regulation have not been invoked.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If one or more of the races scheduled as part of the Pick (n) bet, but fewer than the number specified under §B(1) of this regulation, are cancelled or declared a “no contest”, the net pool on the Pick (n) bet from that day only shall be distributed, on a pari-mutuel basis, among the bets which contain the most correct selections for the races which were run.</text> </paragraph> <paragraph num="D."> <text>Except as provided in §C or D of this regulation, the net pool created under a Pick (n) bet, along with any carryover from previous pools of the same type of bet, shall be distributed on a pari-mutuel basis among bets which contain:</text> <paragraph num="(1)"> <text>All the correct selections; or</text> </paragraph> <paragraph num="(2)"> <text>The most correct selections, if:</text> <paragraph num="(a)"> <text>No bet contains all the correct selections; and</text> </paragraph> <paragraph num="(b)"> <text>The racing association has given prior notice that there will be a mandatory distribution of the carryover.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>If no bet contains all the correct selections in accordance with §D(1) of this regulation, and §D(2) of this regulation has not been invoked, the net pool created under a Pick (n) bet shall be divided into two pools, where:</text> <paragraph num="(1)"> <text>One pool shall be distributed among those bets which contain the most correct selections; and</text> </paragraph> <paragraph num="(2)"> <text>The other pool shall be carried over to the next program to offer this type of bet.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The formula for allocating the net pool among the two pools created under §E of this regulation shall be:</text> <paragraph num="(1)"> <text>Established by the racing association; and</text> </paragraph> <paragraph num="(2)"> <text>Maintained as established, until:</text> <paragraph num="(a)"> <text>A bet contains all the correct selections; or</text> </paragraph> <paragraph num="(b)"> <text>The carryover pool is distributed in accordance with the provisions of §D(2) of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Assignment of Entire Net Pool.</text> <paragraph num="(1)"> <text>Upon giving prior notice, a racing association may conduct a Pick (n) for which the entire net pool created by this bet may only be distributed to bets which contain all the correct selections.</text> </paragraph> <paragraph num="(2)"> <text>If the racing association elects to employ the provisions of §G(1) of this regulation, the association shall continue to employ these provisions until the pool created by employing these provisions, including the carryover pool, if any, has been distributed.</text> </paragraph> </paragraph> <paragraph num="H."> <text>If a dead heat or heats occur involving horses finishing in, or higher than, any of the places for which this bet is offered, a horse in a dead heat shall be considered as finishing in the position for which it dead heated.</text> </paragraph> <paragraph num="I."> <text>If there is more than one combination of winning bets, the aggregate dollars bet on the winning combinations shall be used to calculate the will pay without regard to the amount bet on one winning combination in relation to the amount bet on another winning combination.</text> </paragraph> <paragraph num="J."> <text>If a betting interest is scratched, excused, or determined by the judges to be a nonstarter:</text> <paragraph num="(1)"> <text>The actual favorite, as evidenced by the amounts bet in the win pool when betting on the race in which the scratched betting interest was to participate is closed, shall be substituted for that betting interest;</text> </paragraph> <paragraph num="(2)"> <text>If the amount bet in the win pool is identical on two or more favorites when betting on the race is closed, the favorite with the lowest program number shall be substituted for the scratched betting interest; or</text> </paragraph> <paragraph num="(3)"> <text>Alternatively, the association may allow patrons the option of selecting an alternate wagering interest to be substituted for the scratched, excused or nonstarter wagering interest instead of the actual favorite as defined above, however, should that alternate selection also be scratched, the patron would then receive the actual favorite as defined above.</text> </paragraph> </paragraph> <paragraph num="K."> <text>If one or more of the races comprising the Pick (n) is a turf race and the race is switched from the turf to the main track after the close of wagering for the Pick (n), each selection in that race on a Pick (n) pari-mutuel ticket shall be considered a winning selection.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".85" heading="Quad Trifecta."> <paragraph num="A."> <text>In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Racing association” means the racing association in the State conducting Quad Trifecta wagering.</text> </paragraph> <paragraph num="(2)"> <text>“Net Quad Trifecta pool” means the total amount wagered in the Quad Trifecta pool, except for any carryover generated from previous Quad Trifecta wagering, less the appropriate take-out.</text> </paragraph> <paragraph num="(3)"> <text>“Single price pool” means the method of determining a pay-off price where the aggregate winning tickets are divided into all, or a designated percentage, of the Net Quad Trifecta pool with each winning ticket having the same pay-off price per unit wager.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Quad Trifecta is a type of bet in which a bettor selects three different betting interests to finish first, second, and third, in exact order, in each of four designated races.</text> </paragraph> <paragraph num="C."> <text>The four races which comprise the Quad Trifecta:</text> <paragraph num="(1)"> <text>Shall be designated by the racing association;</text> </paragraph> <paragraph num="(2)"> <text>Shall be clearly designated in the program; and</text> </paragraph> <paragraph num="(3)"> <text>May originate from one or more race tracks.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Quad Trifecta pool shall be held entirely separate from all other pools.</text> </paragraph> <paragraph num="E."> <text>Subject to Commission approval, the racing association shall establish the minimum amount for a bet on the Quad Trifecta.</text> </paragraph> <paragraph num="F."> <text>Quad Trifecta tickets shall be clearly identified to distinguish them from tickets for other types of wagers.</text> </paragraph> <paragraph num="G."> <text>Designation and Distribution of Shares—General.</text> <paragraph num="(1)"> <text>Subject to Commission approval, the racing association shall designate a major share of the net Quad Trifecta pool, as described in §H of this regulation, and, in addition, may designate one or more of the following:</text> <paragraph num="(a)"> <text>A principal minor share of the net Quad Trifecta pool, as described in §I of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>One or more additional minor shares of the net Quad Trifecta pool as described in §J of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Subject to Commission approval, the racing association shall determine the distribution of the net Quad Trifecta pool by designating:</text> <paragraph num="(a)"> <text>The minimum number of correct selections, or range of selections, of the first three finishers, in exact position, in the Quad Trifecta races which results in a winning bet; and</text> </paragraph> <paragraph num="(b)"> <text>The percentage of the net Quad Trifecta pool for distribution of each of the shares designated by the racing association under §G(1) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The racing association shall publish in the program for live racing on which Quad Trifecta wagering is conducted:</text> <paragraph num="(a)"> <text>Each designation made by a racing association under §G(1) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>Each determination made by the racing association under §G(2) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The racing association may change one or more of its designations or determinations made under either §G(1) or (2) of this regulation.</text> </paragraph> <paragraph num="(5)"> <text>A change under §G(4) of this regulation is not effective until:</text> <paragraph num="(a)"> <text>There has been a mandatory distribution made under §S of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>There is a publication of the change in the next program for live racing on which Quad Trifecta wagering is conducted.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Major Share Distributions. The major share of the net Quad Trifecta pool, plus any Quad Trifecta pool carryover, shall be distributed, as a single price pool, to those bettors who correctly select:</text> <paragraph num="(1)"> <text>The first three finishers, in exact position, in each of the Quad Trifecta races; or</text> </paragraph> <paragraph num="(2)"> <text>A lesser specified number of finishers, in exact position, in each of the Quad Trifecta races.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Principal Minor Share Distributions.</text> <paragraph num="(1)"> <text>A principal minor share of the net Quad Trifecta pool, if designated, shall be distributed, as a single price pool, to those bettors who correctly select the greatest number of the first three finishers, in exact position, in each of the Quad Trifecta races, which is less than the number of correct selections qualifying for the major share of the net Quad Trifecta pool.</text> </paragraph> <paragraph num="(2)"> <text>In designating the principal minor share, the racing association may declare a minimum number of correct selections that must be made in order for bettors to be eligible to receive the principal minor share.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Additional Minor Share Distributions. One or more additional minor shares of the net Quad Trifecta pool, if designated, shall be distributed, as a single price pool or pools, to those bettors who correctly select the designated number, or range, of the first three finishers, in exact position, in each of the Quad Trifecta races, which is less than the number of correct selections qualifying for the major share of the net Quad Trifecta pool.</text> </paragraph> <paragraph num="K."> <text>Qualification for Additional Distributions.</text> <paragraph num="(1)"> <text>Those bettors qualifying for a major share of the net Quad Trifecta pool also qualify for the principal minor share of the net Quad Trifecta pool and the additional minor shares of the net Quad Trifecta pool.</text> </paragraph> <paragraph num="(2)"> <text>Those bettors qualifying for the principal minor share of the net Quad Trifecta pool also qualify for any additional minor shares of the net Quad Trifecta pool that require an equal or fewer number of winning selections as those selected by bettors qualifying for the principal minor share.</text> </paragraph> <paragraph num="(3)"> <text>Those bettors qualifying for one or more minor shares of the net Quad Trifecta pool also qualify for any additional minor shares of the net Quad Trifecta pool that require fewer winning selections.</text> </paragraph> <paragraph num="(4)"> <text>If any of the circumstances described in §K(1), (2), or (3) of this regulation occurs, the unbroken prices for each share shall be summed before rounding the prices for breakage.</text> </paragraph> <paragraph num="(5)"> <text>Example.</text> <paragraph num="(a)"> <text>To win the major share of the net Quad Trifecta pool, the bettor must correctly select the first three finishers, in exact position, in each of the Quad Trifecta races. To win the principal minor share, the bettor must correctly select the greatest number of the first three finishers, in exact position, in each of the Quad Trifecta races that is less than all 12. To win the one additional minor share, the bettor must correctly select at least nine or more of the first three finishers, in exact position, in each of the Quad Trifecta races.</text> </paragraph> <paragraph num="(b)"> <text>$2 of wagers correctly selected all 12 positions. $2 of wagers correctly selected 11 positions. $3 of wagers correctly selected ten positions. $5 of wagers correctly selected nine positions.</text> </paragraph> <paragraph num="(c)"> <text>Using a net Quad Trifecta pool of $132,001, and based on the racing association's designations under §G of this regulation, the major share of the net Quad Trifecta pool is $100,000, designated for correctly selecting all 12 of the first three finishers, in exact order, in each of the Quad Trifecta races. The principal minor share of the net Quad Trifecta pool, designated for correctly selecting the next greatest number of the first three finishers, in exact order, in each of the Quad Trifecta races, is $20,000.40. The one additional minor share of the net Quad Trifecta pool, designated for correctly selecting a range of nine or more of the first three finishers, in exact order, in each of the Quad Trifecta races, is $12,000.60.</text> </paragraph> <paragraph num="(d)"> <text>The major share would be divided among those correctly selecting all 12 of the first three finishers, in exact order, in each of the Quad Trifecta races. The principal minor share would be divided among those correctly selecting 11 and 12 of the first three finishers, in exact order, in each of the Quad Trifecta races. The one additional minor share would be divided among all the wagers correctly selecting nine, ten, 11, and 12 of the first three finishers, in exact order, in each of the Quad Trifecta races.</text> </paragraph> <paragraph num="(e)"> <text>The major share of $100,000 would be divided among the $2 of wagers correctly selecting all 12 of the first three finishers, in exact order, in each of the Quad Trifecta races, yielding an unbroken price of $50,000 per dollar wagered. The principal minor share of $20,000.40 would be divided among the $4 of wagers correctly selecting 11 or more of the first three finishers, in exact order, in each of the Quad Trifecta races, yielding an unbroken price of $5,000.10 per dollar wagered. The one additional minor share of $12,000.60 would be divided among the $12 of wagers correctly selecting nine or more of the first three finishers, in exact order, in each of the Quad Trifecta races, yielding an unbroken price of $1,000.05 per dollar wagered.</text> </paragraph> <paragraph num="(f)"> <text>The sum of $50,000 + $5,000.10 + $1,000.05 = $56,000.15 is the combined unbroken price for correctly choosing all 12 of the first three finishers, in exact order, in each of the Quad Trifecta races. The sum of $5,000.10 + $1,000.05 = $6,000.15 is the combined unbroken price for correctly choosing 11 of the first three finishers, in exact order, in each of the Quad Trifecta races. $1,000.05 is the unbroken price for correctly selecting nine or ten of the first three finishers, in exact order, in each of the Quad Trifecta races.</text> </paragraph> <paragraph num="(g)"> <text>If the rounding for breakage is to the next lower 10 cents, the final broken prices are $56,000.10 for the winners of the major share, $6,000.10 for the winners of the principal minor share, and $1,000 for the winners of the one additional minor share.</text> </paragraph> </paragraph> </paragraph> <paragraph num="L."> <text>Except as provided in §§R and S of this regulation:</text> <paragraph num="(1)"> <text>If there are no wagers qualifying for the major share, the major share of the net Quad Trifecta pool shall be carried over and added to the major share of the net Quad Trifecta pool on the next live racing program of the race meeting on which Quad Trifecta wagering is conducted; and</text> </paragraph> <paragraph num="(2)"> <text>If there are no wagers qualifying for a designated minor share, including a designated principal minor share:</text> <paragraph num="(a)"> <text>The minor share of the net Quad Trifecta pool shall be combined with the major share of the net Quad Trifecta pool for distribution as a single price pool to those who qualified for the major share; or</text> </paragraph> <paragraph num="(b)"> <text>If no bettor qualifies for the major share of the net Quad Trifecta pool, the minor share of the net Quad Trifecta pool shall be carried over and added to the major share of the net Quad Trifecta pool on the next live racing program of the race meeting on which Quad Trifecta wagering is conducted.</text> </paragraph> </paragraph> </paragraph> <paragraph num="M."> <text>Fields are prohibited in any of the four designated Quad Trifecta races.</text> </paragraph> <paragraph num="N."> <text>Coupled Entries.</text> <paragraph num="(1)"> <text>Coupled entries may be permitted in any of the four designated Quad Trifecta races.</text> </paragraph> <paragraph num="(2)"> <text>Horses comprising a coupled entry shall be considered part of a single betting interest for the purposes of price calculations and distribution of the net Quad Trifecta pool.</text> </paragraph> <paragraph num="(3)"> <text>If a horse in a coupled entry is officially withdrawn or scratched, the remaining horse, or horses, in the coupled entry shall remain as a valid betting interest.</text> </paragraph> <paragraph num="(4)"> <text>If all horses in a coupled entry are scratched, the provisions of §Q of this regulation shall apply.</text> </paragraph> <paragraph num="(5)"> <text>Coupled Entries Price Calculations.</text> <paragraph num="(a)"> <text>For the purposes of price calculations only, coupled entries shall be calculated as a single finishing horse, using the finishing position of the leading horse in the coupled entry to determine the order of placing.</text> </paragraph> <paragraph num="(b)"> <text>Example. If the actual order of finish in a race is 1 / 2 / 1A / 3 / 4, then the finishers used for that race in the Quad Trifecta would be 1 / 2 / 3 / 4.</text> </paragraph> </paragraph> </paragraph> <paragraph num="O."> <text>Dead Heats. If a dead heat, or heats, occur in any of the races designated as the Quad Trifecta:</text> <paragraph num="(1)"> <text>A horse in a dead heat shall be considered as finishing in the position for which it dead heated;</text> </paragraph> <paragraph num="(2)"> <text>Any selection in a Quad Trifecta wager that correctly selects a horse in a dead heat as finishing in the position for which the horse dead heated shall be treated as a correct selection; and</text> </paragraph> <paragraph num="(3)"> <text>Each designated share of the net Quad Trifecta pool that is distributed shall be distributed as a single price pool.</text> </paragraph> </paragraph> <paragraph num="P."> <text>Wagering for the Quad Trifecta shall close at the same time that wagering is closed on the first designated race of the Quad Trifecta.</text> </paragraph> <paragraph num="Q."> <text>Scratches.</text> <paragraph num="(1)"> <text>If an entire betting interest is scratched in a designated race of the Quad Trifecta while wagering on the Quad Trifecta is still open:</text> <paragraph num="(a)"> <text>No more wagers selecting that betting interest may be accepted; and</text> </paragraph> <paragraph num="(b)"> <text>Any bettor who previously placed a Quad Trifecta wager that includes one or more scratched betting interests may cancel their wager and receive a refund until Quad Trifecta betting is closed.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>After Quad Trifecta wagering is closed:</text> <paragraph num="(a)"> <text>Any betting interest that is scratched in its entirety shall be treated as an incorrect selection; and</text> </paragraph> <paragraph num="(b)"> <text>Other correctly selected finishers in a Quad Trifecta wager shall continue to count toward a bettor's eligibility to win.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If, due to a late scratch, the number of betting interests in a race comprising the Quad Trifecta is reduced to fewer than three, the race shall be declared a “no contest”, and the Quad Trifecta pool shall be subject to §R of this regulation.</text> </paragraph> </paragraph> <paragraph num="R."> <text>Cancellations.</text> <paragraph num="(1)"> <text>If any of the Quad Trifecta races are cancelled or declared “no contest” at any time before Quad Trifecta wagering is closed, all Quad Trifecta wagers made in connection with the given live racing program on which Quad Trifecta wagering was conducted shall be refunded.</text> </paragraph> <paragraph num="(2)"> <text>If any of the Quad Trifecta races are cancelled or declared “no contest” after Quad Trifecta wagering is closed:</text> <paragraph num="(a)"> <text>For purposes of determining the number of correct selections, each selection made in a Quad Trifecta race that is cancelled or declared “no contest” is deemed an incorrect selection;</text> </paragraph> <paragraph num="(b)"> <text>If, after applying §R(2)(a) of this regulation, it remains possible for a bettor to correctly select the number of the first three finishers, in exact order, to qualify for the major share of the net Quad Trifecta pool as designated by the racing association under §H of this regulation, the Net Quad Trifecta pool, plus the Quad Trifecta pool carryover, shall be distributed according to §§H, I, and J of this regulation; and</text> </paragraph> <paragraph num="(c)"> <text>If, after applying §R(2)(a) of this regulation, it becomes impossible for a bettor to correctly select the number of the first three finishers, in exact order, to qualify for the major share of the net Quad Trifecta pool as designated by the racing association under §H of this regulation:</text> <paragraph num="(i)"> <text>The major share plus the principal minor share of the net Quad Trifecta pool, but not the Quad Trifecta pool carryover, shall be distributed to those who correctly select the greatest number of the first three finishers in their exact positions in each of the remaining Quad Trifecta races; and</text> </paragraph> <paragraph num="(ii)"> <text>Winners of a designated additional minor share shall receive the percentage of the net Quad Trifecta pool that is designated for that minor share according to §G of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the net Quad Trifecta pool has been designated for distribution in accordance with §S of this regulation, the provisions of §S of this regulation shall apply.</text> </paragraph> </paragraph> <paragraph num="S."> <text>Mandatory Distribution.</text> <paragraph num="(1)"> <text>The Quad Trifecta pool carryover may be designated for distribution on a specified date:</text> <paragraph num="(a)"> <text>If it is the closing day of the race meet;</text> </paragraph> <paragraph num="(b)"> <text>If the association declares its intention to do so at least 24 hours before the opening of Quad Trifecta wagering for which there is to be a mandatory distribution; or</text> </paragraph> <paragraph num="(c)"> <text>Upon such other condition the Commission may approve.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the Quad Trifecta pool carryover is designated for a mandatory distribution on a specified date and, on that date, there are no wagers qualifying for the major share, then the following precedence shall be followed in determining winning wagers for the net Quad Trifecta pool and the Quad Trifecta pool carryover:</text> <paragraph num="(a)"> <text>The major share of the net Quad Trifecta pool, the principal minor share of the net Quad Trifecta pool, and the Quad Trifecta pool carryover shall be distributed to those who correctly selected the most finishers, in their exact positions, in the Quad Trifecta races with designated additional minor pools also being awarded; and</text> </paragraph> <paragraph num="(b)"> <text>If there are no wagers which select even one finisher, in its exact position, in the Quad Trifecta races, then all Quad Trifecta wagers shall become winners and share 100 percent of that day's net Quad Trifecta pool and the Quad Trifecta pool carryover.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If, for any reason, there is not a mandatory distribution as provided in this section, the Quad Trifecta pool carryover shall be:</text> <paragraph num="(a)"> <text>Deposited in an interest bearing account at a bank located in the State which is approved by the Commission; and</text> </paragraph> <paragraph num="(b)"> <text>With accrued interest, added to the net Quad Trifecta pool of the next race meet held by the racing association.</text> </paragraph> </paragraph> </paragraph> <paragraph num="T."> <text>Upon Commission approval, a racing association may offer a guaranteed pay-out on Quad Trifecta wagering by:</text> <paragraph num="(1)"> <text>Announcing the amount of the guaranteed pay-out at least 24 hours before the opening of Quad Trifecta wagering for which there is to be a guaranteed pay-out; and</text> </paragraph> <paragraph num="(2)"> <text>Adding monies to the current Quad Trifecta pool carryover in an amount sufficient to satisfy the guaranteed pay-out.</text> </paragraph> </paragraph> <paragraph num="U."> <text>The added monies under §T(2) of this regulation are not subject to take-out.</text> </paragraph> <paragraph num="V."> <text>The purchase and acceptance of a Quad Trifecta wager by a bettor shall constitute:</text> <paragraph num="(1)"> <text>An acknowledgment of the correctness of the ticket; and</text> </paragraph> <paragraph num="(2)"> <text>An agreement to be bound by the terms and provisions of this regulation.</text> </paragraph> </paragraph> <paragraph num="W."> <text>The sale of a Quad Trifecta wager other than from a pari-mutuel wagering machine, and the resale of a Quad Trifecta ticket from one person to another, is prohibited.</text> </paragraph> <paragraph num="X."> <text>Neither a racing association, nor a totalisator company, nor the Commission, nor the State shall be liable to any person for a Quad Trifecta ticket which is not:</text> <paragraph num="(1)"> <text>A winning wager in accordance with the provisions of this regulation; or</text> </paragraph> <paragraph num="(2)"> <text>Delivered, for any reason, including:</text> <paragraph num="(a)"> <text>A mechanical malfunction;</text> </paragraph> <paragraph num="(b)"> <text>An electrical failure; or</text> </paragraph> <paragraph num="(c)"> <text>A machine locking.</text> </paragraph> </paragraph> </paragraph> <paragraph num="Y."> <text>This regulation shall be displayed prominently in the betting area of the racing association conducting Quad Trifecta wagering.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".86" heading="Super High Five."> <paragraph num="A."> <text>The Super High Five is a contract by the purchaser of a ticket combining five horses to finish first, second, third, fourth, and fifth, in that specific order, in a race on which Super High Five wagering is offered. Payment of the ticket shall be made only to the purchaser who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The Super High Five is not a parlay and has no connection with, or relation to, any other wagering pool. The Super High Five shall be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>Super High Five tickets shall be sold in $1 denominations or greater.</text> </paragraph> <paragraph num="D."> <text>Super High Five wagering may be conducted on a race that has at least seven separate wagering interests.</text> </paragraph> <paragraph num="E."> <text>If there is no pari-mutuel ticket issued that selects the first five finishers in exact order, then the entire net pool shall be:</text> <paragraph num="(1)"> <text>Carried over to the next qualifying race offering Super High Five wagering; and</text> </paragraph> <paragraph num="(2)"> <text>Combined with the Super High Five net pool for that race to determine the applicable payout.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Distribution.</text> <paragraph num="(1)"> <text>The entire Super High Five net pool plus any carryover shall be distributed on the last day of the race meet by the racing association, which shall hold Super High Five wagering on one race that day.</text> </paragraph> <paragraph num="(2)"> <text>If a ticket is not sold that correctly selects five horses to finish first, second, third, fourth, and fifth, in that specific order, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select four horses to finish first, second, third, and fourth, in that specific order.</text> </paragraph> <paragraph num="(3)"> <text>If such a ticket is not sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select three horses to finish first, second, and third, in that specific order.</text> </paragraph> <paragraph num="(4)"> <text>If such a ticket is not sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select two horses to finish first and second, in that specific order.</text> </paragraph> <paragraph num="(5)"> <text>If no such ticket is sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select the winner of the race.</text> </paragraph> <paragraph num="(6)"> <text>If no such ticket is sold, the entire net pool plus any carryover shall be evenly distributed to the holders of all tickets.</text> </paragraph> </paragraph> <paragraph num="G."> <text>If, for any reason, there is not a mandatory distribution of the Super High Five carryover as provided in §F of this regulation, the Super High Five carryover shall be:</text> <paragraph num="(1)"> <text>Placed into an interest bearing account as approved by the Commission; and</text> </paragraph> <paragraph num="(2)"> <text>With accrued interest, added to the Super High Five pool of the next race meet held by a racing association where Super High Five wagering is conducted, unless otherwise agreed by that racing association and the racing association where the Super High Five pool carryover was generated.</text> </paragraph> </paragraph> <paragraph num="H."> <text>If a dead heat, or heats, occur in a race on which there is Super High Five wagering:</text> <paragraph num="(1)"> <text>A horse in a dead heat shall be considered as finishing in the position for which it dead heated; and</text> </paragraph> <paragraph num="(2)"> <text>Any selection in a Super High Five wager that correctly selects a horse in a dead heat as finishing in the position for which the horse dead heated shall be treated as a correct selection.</text> </paragraph> </paragraph> <paragraph num="I."> <text>In the event of a scratch in a Super High Five race:</text> <paragraph num="(1)"> <text>Exchanges may not be made; and</text> </paragraph> <paragraph num="(2)"> <text>All tickets that include the scratched horse shall be refunded.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Coupled entries are permitted, but fields are prohibited in Super High Five races.</text> </paragraph> <paragraph num="K."> <text>For price calculations only, coupled entries shall be calculated as a single finishing horse, using the finishing position of the leading horse in the coupled entry to determine the order of placing. Example: If the actual order of finish in a race is 1 / 2 / 1A / 3 / 4, 5, then the finishers used for that race in the Super High Five would be 1 / 2 / 3 / 4 / 5.</text> </paragraph> <paragraph num="L."> <text>Sale.</text> <paragraph num="(1)"> <text>Super High Five tickets shall be sold only by the licensee through pari-mutuel machines programmed to print all selections on one ticket.</text> </paragraph> <paragraph num="(2)"> <text>Resale of tickets from one individual to another is prohibited and is grounds for ejection.</text> </paragraph> </paragraph> <paragraph num="M."> <text>This regulation shall be printed in heavy type in a conspicuous place in the program or prominently posted near the betting windows of any association conducting this type of wager.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".87" heading="Jockey Challenge."> <paragraph num="A."> <text>A jockey challenge event is one in which the Racing Association:</text> <paragraph num="(1)"> <text>Designates the specific races on a racing program that will comprise the event;</text> </paragraph> <paragraph num="(2)"> <text>Designates those jockeys who are scheduled to ride in each of the races comprising the event; and</text> </paragraph> <paragraph num="(3)"> <text>Assigns a number to each of the jockeys participating in these races.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The number of horses scheduled to participate in each race comprising the event shall be the same or greater than the number of jockeys selected by the Association to participate in the event.</text> </paragraph> <paragraph num="C."> <text>A racing association conducting a jockey challenge event may offer win and exacta wagering on the event.</text> </paragraph> <paragraph num="D."> <text>Points.</text> <paragraph num="(1)"> <text>Points shall be awarded to each betting interest according to the finish of the horses in each race comprising the jockey challenge event as follows:</text> <paragraph num="(a)"> <text>12 points for a first place finisher;</text> </paragraph> <paragraph num="(b)"> <text>6 points for a second place finisher;</text> </paragraph> <paragraph num="(c)"> <text>4 points for a third place finisher; and</text> </paragraph> <paragraph num="(d)"> <text>3 points for a fourth place finisher.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If there is a dead heat for any position in one or more of the races comprising this event, the points for the position dead-heated and subsequent position or positions, as appropriate, shall be aggregated and then allocated proportionately for the horses involved in the dead heat.</text> </paragraph> <paragraph num="(3)"> <text>If a horse is scratched or declared a nonstarter in the race and the selected jockey is not reassigned amount, the actual favorite, as evidenced by the amounts wagered in the win pool at the time of the start of that race will be substituted for the non-starting selection.</text> </paragraph> <paragraph num="(4)"> <text>If the rider is reassigned a mount due to a scratch, any points earned in accordance with the scale described in §D(1) of this Regulation by the re-assigned mount shall be credited to the jockey's point score.</text> </paragraph> <paragraph num="(5)"> <text>If a jockey fails to a ride a horse to which the jockey has been assigned for any reason other than a scratch or that horse being declared a “non-starter,” and the jockey is not reassigned to another mount in that same race, points shall be awarded based upon the finish of the horse to which the jockey originally was assigned.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Cancellation of Races—“No Race”.</text> <paragraph num="(1)"> <text>If a race in the jockey challenge event is cancelled or declared “No Race”, the winners shall be determined by the points awarded in the remaining races comprising the jockey challenge event.</text> </paragraph> <paragraph num="(2)"> <text>If two or more of the races comprising the jockey challenge event are cancelled or declared “No Race”, the entire jockey challenge event pool shall be refunded.</text> </paragraph> </paragraph> <paragraph num="F."> <text>After the last race of the jockey challenge event, the points earned by each of the participating jockeys shall be totaled and the betting interest with the:</text> <paragraph num="(1)"> <text>Highest number of points shall be considered to have finished first; and</text> </paragraph> <paragraph num="(2)"> <text>Second highest number of points shall be considered to have finished second.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Ties.</text> <paragraph num="(1)"> <text>Any ties for the places determined under §F of this regulation shall be considered dead heats.</text> </paragraph> <paragraph num="(2)"> <text>Payout prices for ties determined under §F of this regulation shall be calculated as prescribed in Regulation .70G of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".88" heading="Pick (n) Jackpot."> <paragraph num="A."> <text>The Pick (n) Jackpot is a type of bet encompassing five or more races, the exact number of races being determined by the number substituted for (n), where, unless otherwise provided, only one, unique ticket holder designates the official winners in each of the Pick (n) Jackpot races.</text> </paragraph> <paragraph num="B."> <text>Except as provided in §G of this regulation, the net pari-mutuel pool for the Pick (n) Jackpot bet that day, together with any carryover from previous pools of the same type of bet, shall be distributed to the holder of the one, unique pari-mutuel ticket which correctly designates the official winners in each of the Pick (n) Jackpot races for that day.</text> </paragraph> <paragraph num="C."> <text>In the event there is more than one pari-mutuel ticket which correctly designates the official winners in each of the Pick (n) Jackpot races for that day, the net pari-mutuel pool for the Pick (n) Jackpot bets that day shall be distributed:</text> <paragraph num="(1)"> <text>60 percent, equally, to the holders of pari-mutuel tickets which correctly designate the official winners in each of the Pick (n) Jackpot races for that day; and</text> </paragraph> <paragraph num="(2)"> <text>40 percent to the Pick (n) Jackpot carryover pool.</text> </paragraph> </paragraph> <paragraph num="D."> <text>In the event there is no pari-mutuel ticket which correctly designates the official winners in each of the Pick (n) Jackpot races for that day, the net pari-mutuel pool for the Pick (n) Jackpot bets that day shall be distributed:</text> <paragraph num="(1)"> <text>60 percent, equally, to the holders of pari-mutuel tickets which correctly designate the most official winners in each of the Pick (n) Jackpot races for that day; and</text> </paragraph> <paragraph num="(2)"> <text>40 percent to the Pick (n) Jackpot carryover pool.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If one or more of the races scheduled as part of the Pick (n) Jackpot bet, but less than 50 percent of the races scheduled as part of this bet, are cancelled or declared a “no contest”:</text> <paragraph num="(1)"> <text>The net pari-mutuel pool for the Pick (n) Jackpot bets that day shall be distributed, equally, to the holders of pari-mutuel tickets which correctly designate the most official winners in the races that were run; and</text> </paragraph> <paragraph num="(2)"> <text>There shall be no carryover from that net pool.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A Pick (n) Jackpot bet shall be refunded if:</text> <paragraph num="(1)"> <text>For any reason, 50 percent or more of the races scheduled as a part of this bet are cancelled or declared a “no contest”; or</text> </paragraph> <paragraph num="(2)"> <text>No bet selects any winner in the Pick (n) Jackpot races.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Mandatory Distribution.</text> <paragraph num="(1)"> <text>The Pick (n) Jackpot carryover pool may be designated for mandatory distribution on a specified date:</text> <paragraph num="(a)"> <text>If it is the closing day of the race meet;</text> </paragraph> <paragraph num="(b)"> <text>If the association declares its intention to do so at least 72 hours before the opening of Pick (n) Jackpot wagering for which there is to be a mandatory distribution; or</text> </paragraph> <paragraph num="(c)"> <text>Upon such other condition the Commission may approve.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the Pick (n) Jackpot carryover pool is designated for a mandatory distribution on a specified date and, on that date, there is no unique winning ticket holder under §B of this regulation, then the following precedence shall be followed in determining winning wagers for the mandatory distribution of both the net Pick (n) Jackpot pool for that day and the Pick (n) Jackpot carryover pool:</text> <paragraph num="(a)"> <text>Equally to holders of pari-mutuel tickets which correctly designate all of the official winners in each of the Pick (n) Jackpot races;</text> </paragraph> <paragraph num="(b)"> <text>If there are no pari-mutuel tickets which correctly select all of the official winners in each of the Pick (n) Jackpot races, equally to the holders of pari-mutuel tickets which correctly designate the most official winners in each of the Pick (n) Jackpot races for that day; and</text> </paragraph> <paragraph num="(c)"> <text>If there are no pari-mutuel tickets which correctly select even one winner in the Pick (n) Jackpot races for that day, then all Pick (n) Jackpot wagers shall become winners and share 100 percent of that day’s net Pick (n) Jackpot pool, together with the Pick (n) Jackpot carryover pool.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If, for any reason, there is not a mandatory distribution as provided in this section, the Pick (n) Jackpot carryover pool shall be:</text> <paragraph num="(a)"> <text>Deposited in an interest bearing account at a bank located in the State this is approved by the Commission;</text> </paragraph> <paragraph num="(b)"> <text>With accrued interest, added to the net Pick (n) Jackpot pool of the next race meet held by the racing association or an affiliated racing association; and</text> </paragraph> <paragraph num="(c)"> <text>Distributed as a mandatory distribution on the next occasion Pick (n) Jackpot wagering is offered by the racing association or an affiliated racing association.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Races Moved from Turf to Main Track. If one or more of the races comprising the Pick (n) Jackpot is moved from the turf to the main track after the close of wagering for the Pick (n) Jackpot, each selection on a Pick (n) Jackpot ticket for that race shall be considered a winning selection.</text> </paragraph> <paragraph num="I."> <text>If there is a dead heat for win in any of the Pick (n) Jackpot races, each horse in the dead heat shall be deemed to have won the race.</text> </paragraph> <paragraph num="J."> <text>If a betting interest is scratched, excused, or determined by the judges to be a nonstarter:</text> <paragraph num="(1)"> <text>The actual favorite, as evidenced by the amounts bet in the win pool when betting on the race in which the scratched betting interest was to participate is closed, shall be substituted for that betting interest;</text> </paragraph> <paragraph num="(2)"> <text>If the amount bet in the win pool is identical on two or more favorites when betting on the race is closed, the favorite with the lowest program number shall be substituted for the scratched betting interest; or</text> </paragraph> <paragraph num="(3)"> <text>Alternatively, the association may allow patrons the option of selecting an alternate wagering interest to be substituted for the scratched, excused or nonstarter wagering interest instead of the actual favorite as defined above, however, should that alternate selection also be scratched, the patron would then receive the actual favorite as defined above.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Coupled entries shall be permitted in races designated for Pick (n) Jackpot wagering.</text> </paragraph> <paragraph num="L."> <text>The purchase and acceptance of a Pick (n) Jackpot wager by a bettor shall constitute:</text> <paragraph num="(1)"> <text>An acknowledgment of the correctness of the ticket; and</text> </paragraph> <paragraph num="(2)"> <text>An agreement to be bound by the terms and provisions of this regulation.</text> </paragraph> </paragraph> <paragraph num="M."> <text>The sale of a Pick (n) Jackpot wager other than from a pari-mutuel wagering machine, and the re-sale of a Pick (n) Jackpot ticket from one person to another, is prohibited.</text> </paragraph> <paragraph num="N."> <text>Neither a racing association, nor a totalizator company, nor the Commission, nor the State shall be liable to any person for a Pick (n) Jackpot ticket which is not:</text> <paragraph num="(1)"> <text>A winning wager in accordance with the provisions of this regulation; or</text> </paragraph> <paragraph num="(2)"> <text>Delivered, for any reason, including:</text> <paragraph num="(a)"> <text>A mechanical malfunction;</text> </paragraph> <paragraph num="(b)"> <text>An electrical failure; or</text> </paragraph> <paragraph num="(c)"> <text>A machine locking.</text> </paragraph> </paragraph> </paragraph> <paragraph num="O."> <text>This regulation shall be displayed prominently in the betting area of the racing association conducting Pick (n) Jackpot wagering.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".89" heading="Roulette Wager."> <paragraph num="A."> <text>The Roulette Wager shall be held as a separate pool in every race in which it is offered. It is a single-price pool that requires the selection of the designated group that includes the betting interest member that is the first-place finisher for a single contest.</text> </paragraph> <paragraph num="B."> <text>For each race in which this wager is offered:</text> <paragraph num="(1)"> <text>The association shall designate each betting interest as a member of one of three clearly named groups: Red. Black, or Green;</text> </paragraph> <paragraph num="(2)"> <text>The pool shall be distributed as a single-price pool to those correctly selecting the group that includes the betting interest member that finished in first place in that contest; and</text> </paragraph> <paragraph num="(3)"> <text>The association shall, before betting is open, provide to the public, in an easily accessible manner, the identity of the members of Groups Red, Black, and Green. The information will be available in the program and on graphics displays.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The payout for a winning Roulette Wager shall be the same regardless of which betting interest member of the group is the firstplace finisher. The probable and actual payoff for a winning bet on Groups Red, Black, and Green shall be displayed in a similar manner as the probable and actual payout for a standard win pool bet.</text> </paragraph> <paragraph num="D."> <text>In the event that all of the betting interest members of any group are scratched or declared nonstarters, betting on the Group shall immediately stop and all Roulette Wagers made on the race shall be refunded.</text> </paragraph> <paragraph num="E."> <text>In the event of a dead heat for first in a race which includes two or more betting interest members:</text> <paragraph num="(1)"> <text>Of the same group, the pool shall be distributed in the same manner as if a no dead heat occurred;</text> </paragraph> <paragraph num="(2)"> <text>Of two different groups, the pool shall be distributed as a place pool; or</text> </paragraph> <paragraph num="(3)"> <text>If there is a triple dead heat with three different groups, the pool shall be distributed as a show pool.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If the calculation or distribution of the pool cannot be determined, the entire pool shall be refunded.</text> </paragraph> <paragraph num="G."> <text>The wager will only take place on a race with a minimum sixhorse field.</text> </paragraph> <paragraph num="H."> <text>The wager shall be a $2 minimum bet.</text> </paragraph> <paragraph num="I."> <text>The takeout may not exceed the amount permitted under Business Regulation Article, §11-514, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".90" heading="Future Wager."> <paragraph num="A."> <text>The Future Wager requires selection of the first-place finisher in a specified contest.</text> </paragraph> <paragraph num="B."> <text>The association shall apply in writing to the Commission for approval to offer the Future Wager on the specified contest and may not offer the wager until Commission approval has been granted. The written application shall include the date and time for the pool to be opened and closed, a description of the system for compiling the pool and calculating odds and payout prices, and the time interval for displaying the odds.</text> </paragraph> <paragraph num="C."> <text>The association or, in the case of interjurisdictional common pool wagering, the Host track shall name the contestants included in each betting interest on which future wagers may be made and shall assign a program number to each betting interest. For purposes of clarity, the foregoing permits the association to offer the type of wager described in this section on a race which is conducted at a racetrack in a different jurisdiction than the association with such jurisdictional racetrack’s permission.</text> </paragraph> <paragraph num="D."> <text>The amount wagered on the betting interest which finishes first in the specified race is deducted from the net pool, the balance remaining being the profit; the profit is divided by the amount wagered on the betting interest finishing first, such quotient being the profit per dollar wagered in the Future Pool on that betting interest.</text> </paragraph> <paragraph num="E."> <text>The net Future Pool shall be distributed as a single price pool to winning wagers in the following precedence, based upon the official order of finish:</text> <paragraph num="(1)"> <text>To those whose selection finished first; but if there are no such wagers, then</text> </paragraph> <paragraph num="(2)"> <text>To those whose selection finished second; but if there are no such wagers, then</text> </paragraph> <paragraph num="(3)"> <text>To those whose selection finished third; but if there are no such wagers, then</text> </paragraph> <paragraph num="(4)"> <text>The entire pool shall be refunded on Future Pool wagers for that contest.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If there is a dead heat for first involving:</text> <paragraph num="(1)"> <text>Contestants representing the same betting interest, the Future Pool shall be distributed as if no dead heat occurred; or</text> </paragraph> <paragraph num="(2)"> <text>Contestants representing two or more betting interests, the Future Pool shall be distributed as a profit split.</text> </paragraph> </paragraph> <paragraph num="G."> <text>No refund shall be issued for Future Wager pool wagers on betting interests that do not start or finish the race. If the association becomes aware or is notified that a betting interest is ineligible or unable to start the race and the pool is still open, the association shall immediately close betting on that betting interest.</text> </paragraph> <paragraph num="H."> <text>The entire Future Wager pool shall be refunded if:</text> <paragraph num="(1)"> <text>The situation described at §E(4) of this regulation occurs;</text> </paragraph> <paragraph num="(2)"> <text>The specified race is declared no contest by the/stewards having jurisdiction over the specified race;</text> </paragraph> <paragraph num="(3)"> <text>The specified race does not occur; or</text> </paragraph> <paragraph num="(4)"> <text>For whatever reason, the Future Wager pool cannot be determined and the payout price cannot be calculated.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".91" heading="Jackpot Super High Five."> <paragraph num="A."> <text>The Jackpot Super High Five is a contract by the purchaser of a ticket combining five horses to finish first, second, third, fourth, and fifth, in that specific order, in a race on which Jackpot Super High Five wagering is offered, where, unless otherwise provided, only one, unique pari-mutuel ticket holder designates the official order of finish for the first five horses. Payment of the ticket shall be made only to the purchaser of the single, unique pari-mutuel ticket who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The Jackpot Super High Five is not a parlay and has no connection with, or relation to, any other wagering pool. The Jackpot Super High Five shall be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>Subject to Commission approval, the racing association shall establish the minimum amount for a bet on the Jackpot Super High Five tickets.</text> </paragraph> <paragraph num="D."> <text>Jackpot Super High Five wagering may be conducted on a race that has at least seven separate wagering interest.</text> </paragraph> <paragraph num="E."> <text>Except as provided in §H of this regulation, the net pari-mutuel pool for the Jackpot Super High Five bet on a qualifying race that day, together with any carryover from previous pools of the same type of bet, shall be distributed to the holder of the single, unique parimutuel ticket which correctly designates the official order of finish for the first five horses in the Jackpot Super High Five wager for that race on that day.</text> </paragraph> <paragraph num="F."> <text>In the event there is more than one pari-mutuel ticket which correctly designates the official order of finish for the first five horses in the Jackpot Super High Five bet for that race on that day, the net pari-mutuel pool for the Jackpot Super High Five bets that day shall be distributed:</text> <paragraph num="(1)"> <text>50 percent, equally, to the holders of pari-mutuel tickets which correctly designate the official order of finish for the first five horses in the Jackpot Super High Five bet for that race on that day; and</text> </paragraph> <paragraph num="(2)"> <text>50 percent to the Jackpot Super High Five carryover pool.</text> </paragraph> </paragraph> <paragraph num="G."> <text>If there is no pari-mutuel ticket issued that selects the first five finishers in exact order, then the entire net pool shall be:</text> <paragraph num="(1)"> <text>Carried over to the next qualifying race offering Jackpot Super High Five wagering; and</text> </paragraph> <paragraph num="(2)"> <text>Combined with the Jackpot Super High Five net pool for that race to determine the applicable payout.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Mandatory Distribution.</text> <paragraph num="(1)"> <text>The entire Jackpot Super High Five net pool plus any carryover shall be distributed on the last day of the race meet by the racing association, which shall hold Jackpot Super High Five wagering on a qualifying race that day.</text> </paragraph> <paragraph num="(2)"> <text>If a ticket is not sold that correctly selects five horses to finish first, second, third, fourth, and fifth, in that specific order, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select four horses to finish first, second, third, and fourth, in that specific order.</text> </paragraph> <paragraph num="(3)"> <text>If such a ticket is not sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select three horses to finish first, second, and third, in that specific order.</text> </paragraph> <paragraph num="(4)"> <text>If such a ticket is not sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select two horses to finish first and second, in that specific order.</text> </paragraph> <paragraph num="(5)"> <text>If no such ticket is sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select the winner of the race.</text> </paragraph> <paragraph num="(6)"> <text>If no such ticket is sold, the entire net pool plus any carryover shall be evenly distributed to the holders of all tickets.</text> </paragraph> </paragraph> <paragraph num="I."> <text>If, for any reason, there is not a mandatory distribution of the Jackpot Super High Five carryover as provided in §H of this regulation, the Jackpot Super High Five carryover shall be:</text> <paragraph num="(1)"> <text>Placed into an interest bearing account as approved by the Commission; and</text> </paragraph> <paragraph num="(2)"> <text>With accrued interest, added to the Jackpot Super High Five pool of the next race meet held by a racing association where Jackpot Super High Five wagering is conducted, unless otherwise agreed by that racing association and the racing association where the Jackpot Super High Five pool carryover was generated.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If fewer than five betting interests finish and the contest is declared official, payoffs will be made based on the order of finish of those betting interests completing the contest. The balance of any selection on any ticket beyond the number of betting interests completing the contest shall be ignored. Any previous Jackpot Super High Five contest’s carryover will not be included in the payoff and will be retained for the next contest’s carryover.</text> </paragraph> <paragraph num="K."> <text>If a dead heat, or heats, occur in a race on which there is Jackpot Super High Five wagering:</text> <paragraph num="(1)"> <text>A horse in a dead heat shall be considered as finishing in the position for which it dead heated; and</text> </paragraph> <paragraph num="(2)"> <text>Any selection in a Jackpot Super High Five wager that correctly selects a horse in a dead heat as finishing in the position for which the horse dead heated shall be treated as a correct selection.</text> </paragraph> </paragraph> <paragraph num="L."> <text>In the event of a scratch in a Jackpot Super High Five race:</text> <paragraph num="(1)"> <text>Exchanges may not be made; and</text> </paragraph> <paragraph num="(2)"> <text>All tickets that include the scratched horse shall be refunded.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Coupled entries are permitted, but fields are prohibited in Jackpot Super High Five races.</text> </paragraph> <paragraph num="N."> <text>For price calculations only, coupled entries shall be calculated as a single finishing horse, using the finishing position of the leading horse in the coupled entry to determine the order of placing. Example: If the actual order of finish in a race is 1 / 2 / 1A / 3 / 4, 5, then the finishers used for that race in the Super High Five would be 1 / 2 / 3 / 4 / 5.</text> </paragraph> <paragraph num="O."> <text>Sale.</text> <paragraph num="(1)"> <text>Jackpot Super High Five tickets shall be sold only by the licensee through pari-mutuel machines programmed to print all selections on one ticket.</text> </paragraph> <paragraph num="(2)"> <text>Resale of tickets from one individual to another is prohibited and is grounds for ejection.</text> </paragraph> </paragraph> <paragraph num="P."> <text>This regulation shall be printed in heavy type in a conspicuous place in the program or prominently posted near the betting windows of any association conducting this type of wager.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §11-210, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: All rules were in effect as of 7/1/70, except as noted below:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective December 12, 1980 (7:25 Md. R. 2336)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C adopted effective July 27, 1987 (14:15 Md. R. 1659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E: 8/3/72</annotation> <annotation type="History" subtype="Administrative History">Regulation .03H-1 adopted effective May 19, 1986 (13:10 Md. R. 1155)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03I: 7/6/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .03N amended as an emergency provision effective November 17, 1981 (8:25 Md. R. 1992)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03N amended effective March 29, 1982 (9:6 Md. R. 614)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03R amended effective July 27, 1987 (14:15 Md. R. 1659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03W repealed effective July 20, 1981 (8:14 Md. R. 1227)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03AA: 7/8/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .03BB adopted as an emergency provision effective January 23, 1990 (17:3 Md. R. 294); emergency status expired March 31, 1990; adopted permanently effective June 11, 1990 (17:11 Md. R. 1341); recodified to Regulation .03AA</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended as an emergency provision effective December 18, 1984 (12:1 Md. R. 13); emergency status expired April 9, 1985 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective March 6, 1989 (16:4 Md. R. 495)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07N amended as an emergency provision effective August 18, 1986 (13:17 Md. R. 1920); emergency status expired September 5, 1986; amended permanently effective October 20, 1986 (13:21 Md. R. 2320); October 18, 1987 (14:19 Md. R. 2060); October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07N-1 adopted effective October 18, 1987 (14:19 Md. R. 2060)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07S and V repealed effective October 19, 1987 (14:21 Md. R. 2222)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07U: 9/1/73 (amended)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07Z: 7/21/76 (3:11 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07AA: 6/22/72</annotation> <annotation type="History" subtype="Administrative History">Regulation .07BB adopted effective January 1, 1978 (4:26 Md. R. 2023)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective April 22, 1985 (12:8 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07M amended effective February 16, 2026 (53:3 Md. R. 121)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08K repealed effective April 22, 1985 (12:8 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A: 1/29/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10F adopted effective 3/30/77 (4:7 Md. R. 579) (adopted as COMAR 09.10.10.02)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11A amended effective 3/23/77 (4:7 Md. R. 579); October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11B amended as an emergency provision effective October 18, 1982 (9:23 Md. R. 2254); text recodified from Regulation .14 to .11 and emergency status extended at 10:2 Md. R. 103, 10:12 Md. R. 1069, and 10:17 Md. R. 1520; adopted permanently effective December 19, 1983 (10:25 Md. R. 2267)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11B amended effective May 21, 1984 (11:10 Md. R. 862); December 17, 1984 (11:25 Md. R. 2132); August 26, 1985 (12:17 Md. R. 1704); March 6, 1989 (16:4 Md. R. 495); October 16, 1989 (16:20 Md. R. 2180); June 11, 1990 (17:11 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11D: 4/16/75 (2:28 Md. R. 564); amended effective 9/23/77 (4:19 Md. R. 1467 and 6/15/79 (6:12 Md. R. 1047); amended as an emergency provision at 6:26 Md. R. 2070; emergency status changed at 7:2 Md. R. 111 and 7:7 Md. R. 704; adopted permanently effective August 22, 1980 (7:17 Md. R. 1670); amended effective May 2, 1980 (7:9 Md. R. 847)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11D adopted as an emergency provision effective June 26, 1985 (12:15 Md. R. 1508); emergency status extended at 12:22 Md. R. 2100 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11D adopted effective January 27, 1986 (13:2 Md. R. 136)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11F adopted effective June 11, 1990 (17:11 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11G amended effective 6/15/79 (6:12 Md. R. 1047); amended as an emergency provision effective September 5, 1980 (7:18 Md. R. 1732); amended permanently effective December 26, 1980 (7:26 Md. R. 2420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11K amended 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective January 17, 1983 (10:1 Md. R. 28)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended under Regulation .14 as an emergency provision effective October 18, 1982 (9:23 Md. R. 2254); emergency status extended at 10:2 Md. R. 103 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A—C: 8/11/73 (amended)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended effective October 6, 1978 (5:20 Md. R. 1499)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14: 1/73; amended as an emergency provision at 7:2 Md. R. 111; emergency status changed at 7:7 Md. R. 704 (Emergency provisions are temporary and not printed in COMAR); amended effective August 22, 1980 (7:17 Md. R. 1670)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 repealed effective January 17, 1983 (10:1 Md. R. 28)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16A amended effective July 27, 1987 (14:15 Md. R. 1659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16B amended 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17G(2)—(4): 8/11/73</annotation> <annotation type="History" subtype="Administrative History">Regulation .17G amended as an emergency provision effective November 12, 1986 (13:24 Md. R. 2553); emergency status expired November 30, 1986 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17G amended effective March 6, 1989 (16:4 Md. R. 496); October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17H amended effective October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17N: 9/9/74 (1:1 Md. R. 16)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17R, BB, VV amended 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17BB amended effective March 6, 1989 (16:4 Md. R. 496)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17OO: September 9, 1974 (1:1 Md. R. 17)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17XX amended effective December 11, 2023 (50:24 Md. R. 1041)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17YY amended effective March 29, 1982 (9:6 Md. R. 614)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17ZZ adopted effective June 18, 1984 (11:12 Md. R. 1062)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17ZZ amended effective March 6, 1989 (16:4 Md. R. 496)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19C, D amended effective May 20, 1985 (12:10 Md. R. 960)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20A amended effective March 6, 1989 (16:4 Md. R. 496); October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20C: 8/14/71; amended effective April 21, 1978 (5:8 Md. R. 594)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21J(2): 8/14/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .21R: 8/14/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .22L adopted effective January 1, 1978 (4:26 Md. R. 2023)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22M adopted effective February 22, 1988 (15:4 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23A: 8/11/73</annotation> <annotation type="History" subtype="Administrative History">Regulation .23A amended 9/9/74 (1:1 Md. R. 16)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23K: 8/11/73</annotation> <annotation type="History" subtype="Administrative History">Regulation .25B amended effective 6/15/79 (6:12 Md. R. 1047)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25D: 1/1/73; amended 8/11/73</annotation> <annotation type="History" subtype="Administrative History">Regulation .26A amended effective 3/30/77 (4:7 Md. R. 579); March 6, 1989 (16:4 Md. R. 496); October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26B amended 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26C: 8/14/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .28A amended effective 6/15/79 (6:12 Md. R. 1047)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28D—E: 8/11/73</annotation> <annotation type="History" subtype="Administrative History">Regulation .28F—H: 7/1/76</annotation> <annotation type="History" subtype="Administrative History">Regulation .28F amended effective October 25, 1982 (9:21 Md. R. 2105); October 1, 1987 (14:19 Md. R. 2060)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28G repealed effective October 25, 1982 (9:21 Md. R. 2105)</annotation> <annotation type="History" subtype="Administrative History">Regulation .29O—P amended effective July 20, 1981 (8:14 Md. R. 1227)</annotation> <annotation type="History" subtype="Administrative History">Regulation .30 repealed effective October 25, 1982 (9:21 Md. R. 2105)</annotation> <annotation type="History" subtype="Administrative History">Regulation .30 adopted effective October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .36B repealed effective 3/30/77 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .38 amended effective July 10, 1989 (16:13 Md. R. 1420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .42B amended effective May 19, 1986 (13:10 Md. R. 1155)</annotation> <annotation type="History" subtype="Administrative History">Regulation .42D repealed effective May 19, 1986 (13:10 Md. R. 1155)</annotation> <annotation type="History" subtype="Administrative History">Regulation .44 amended effective February 22, 1988 (15:4 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45T-1 adopted effective May 19, 1986 (13:10 Md. R. 1155)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45V: 7/22/70; amended effective 6/15/79 (6:12 Md. R. 1048); June 12, 1981 (8:12 Md. R. 1061); August 1, 1983 (10:15 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45AA amended 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45KK adopted effective 3/30/77 (4:7 Md. R. 579) (adopted as COMAR 09.10.44.13-1)</annotation> <annotation type="History" subtype="Administrative History">Regulation .46: 2/1/74</annotation> <annotation type="History" subtype="Administrative History">Regulation .47K: 1/22/70; amended 9/9/74 (1:1 Md. R. 17)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49A amended effective April 22, 1985 (12:8 Md. R. 802); May 16, 1988 (15:10 Md. R. 1201)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49C amended effective May 16, 1988 (15:10 Md. R. 1201)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49E amended as an emergency provision effective July 1, 1979 (6:13 Md. R. 1121); adopted permanently effective October 19, 1979 (6:21 Md. R. 1707)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49E amended effective March 29, 1982 (9:6 Md. R. 614); September 26, 1983 (10:19 Md. R. 1690); February 11, 1985 (12:3 Md. R. 244); September 21, 1986 (13:19 Md. R. 2120); May 16, 1988 (15:10 Md. R. 1201); December 11, 1989 (16:24 Md. R. 2619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49F amended as an emergency provision effective August 8, 1979 (6:17 Md. R. 1389); adopted permanently effective November 30, 1979 (6:24 Md. R. 1919)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49F amended effective May 24, 1982 (9:10 Md. R. 1019); January 17, 1983 (10:1 Md. R. 28); September 26, 1983 (10:19 Md. R. 1690); September 21, 1986 (13:19 Md. R. 2120); May 16, 1988 (15:10 Md. R. 1201); December 11, 1989 (16:24 Md. R. 2619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49G amended as an emergency provision effective July1, 1979 (6:13 Md. R. 1121); adopted permanently effective October 19, 1979 (6:21 Md. R. 1707)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49G amended effective September 21, 1986 (13:19 Md. R. 2120); May 16, 1988 (15:10 Md. R. 1201)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49H adopted effective October 20, 1986 (13:21 Md. R. 2320)</annotation> <annotation type="History" subtype="Administrative History">Regulation .52 amended effective June 15, 1979 (6:12 Md. R. 1048); November 18, 1985 (12:23 Md. R. 2215)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53B adopted effective January 1, 1978 (4:26 Md. R. 2023); amended effective May 16, 1988 (15:10 Md. R. 1201)</annotation> <annotation type="History" subtype="Administrative History">Regulation .54C amended effective October 16, 1989 (16:20 Md. R. 2180)</annotation> <annotation type="History" subtype="Administrative History">Regulation .56 repealed effective July 10, 1989 (16:13 Md. R. 1420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57A amended effective July 21, 1976 (3:15 Md. R. 790); February 23, 1987 (14:4 Md. R. 416)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57H amended effective July 13, 1986 (13:14 Md. R. 1632)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57P amended effective July 13, 1986 (13:14 Md. R. 1632)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57W adopted effective June 16, 1978 (5:12 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57X adopted effective April 9, 1984 (11:7 Md. R. 623)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57Y adopted effective April 9, 1984 (11:7 Md. R. 623)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57Z adopted effective April 22, 1985 (12:8 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .59: 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .61 amended effective April 9, 1984 (11:7 Md. R. 623)</annotation> <annotation type="History" subtype="Administrative History">Regulation .64 amended effective December 15, 1986 (13:25 Md. R. 2657)</annotation> <annotation type="History" subtype="Administrative History">Regulation .65 adopted effective October 29, 1975 (2:24 Md. R. 1481); amended effective July 21, 1976 (3:15 Md. R. 790); April 22, 1985 (12:8 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66F amended effective December 30, 1985 (12:26 Md. R. 2543)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66N repealed effective June 18, 1984 (11:12 Md. R. 1062)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66P, Q amended effective June 18, 1984 (11:12 Md. R. 1062)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66JJ amended effective 3/30/77 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .67C amended effective May 4, 1987 (14:9 Md. R. 1079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .71 amended effective 9/23/74 (1:1 Md. R. 16)</annotation> <annotation type="History" subtype="Administrative History">Regulation .71C amended as an emergency provision effective March 9, 1978 (5:6 Md. R. 463); adopted permanently effective July 14, 1978 (5:14 Md. R. 1136)</annotation> <annotation type="History" subtype="Administrative History">Regulation .71I amended effective April 9, 1984 (11:7 Md. R. 623)</annotation> <annotation type="History" subtype="Administrative History">Regulation .71K adopted effective April 22, 1985 (12:8 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .73 adopted effective November 14, 1980 (7:23 Md. R. 2165)</annotation> <annotation type="History" subtype="Administrative History">Regulation .73 amended as an emergency provision effective June 11, 1984 (11:13 Md. R. 1168); emergency status extended to November 5, 1984 (11:19 Md. R. 1665); adopted permanently effective October 22, 1984 (11:21 Md. R. 1811)</annotation> <annotation type="History" subtype="Administrative History">Regulation .74 adopted as an emergency provision effective October 1, 1985 (12:22 Md. R. 2100); emergency status expired January 31, 1986; adopted permanently effective July 13, 1986 (13:14 Md. R. 1632)</annotation> <annotation type="History" subtype="Administrative History">Regulation .75 adopted as an emergency provision effective October 1, 1986 (13:22 Md. R. 2392); emergency status expired December 31, 1986; adopted permanently effective July 27, 1987 (14:15 Md. R. 1659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .76 adopted effective July 27, 1987 (14:15 Md. R. 1659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .76F amended effective May 29, 1989 (16:10 Md. R. 1105)</annotation> <annotation type="History" subtype="Administrative History">Regulation .76G amended effective May 29, 1989 (16:10 Md. R. 1105)</annotation> <annotation type="History" subtype="Administrative History">Regulation .77 adopted as an emergency provision effective February 20, 1987 (14:6 Md. R. 710); emergency status expired August 21, 1987; adopted permanently effective January 14, 1988 (15:1 Md. R. 18)</annotation> <annotation type="History" subtype="Administrative History">Regulation .78 adopted as an emergency provision effective March 4, 1988 (15:7 Md. R. 848); emergency status expired September 1, 1988 (Emergency provisions are temporary and are not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .78 adopted effective September 19, 1988 (15:19 Md. R. 2246)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 6, 1990 (17:15 Md. R. 1857)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended and recodified to Regulations .01—.03 effective January 14, 1999 (26:1 Md. R. 23)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02—.06 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03R, AA amended effective October 1, 1992 (19:18 Md. R. 1655)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective October 25, 2004 (31:21 Md. R. 1544)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 repealed effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective April 11, 1994 (21:7 Md. R. 520); April 21, 2008 (35:8 Md. R. 804)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended as an emergency provision effective May 17, 2007 (34:12 Md. R. 1066); emergency status expired November 13, 2007; amended permanently effective January 14, 2008 (35:1 Md. R. 17)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended as an emergency provision effective April 4, 2013 (40:9 Md. R. 788); amended permanently effective July 22, 2013 (40:14 Md. R. 1173)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A-1 amended effective April 24, 2017 (44:8 Md. R. 401); August 9, 2021 (48:16 Md. R. 631)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07B amended effective January 6, 1992 (18:26 Md. R. 2829); May 17, 1999 (26:10 Md. R. 797); April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07D amended effective November 20, 1994 (21:23 Md. R. 1932); April 24, 2017 (44:8 Md. R. 401); January 1, 2024 (50:24 Md. R. 1041)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07H amended as an emergency provision effective December 1, 2013 (40:26 Md. R. 2161); amended permanently effective March 17, 2014 (41:5 Md. R. 342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07H amended as an emergency provision effective September 2, 2014 (41:18 Md. R. 1007); amended permanently effective November 24, 2014 (41:23 Md. R. 1371)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07H-1 adopted as an emergency provision effective December 1, 2013 (40:26 Md. R. 2161); adopted permanently effective March 17, 2014 (41:5 Md. R. 342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07H-2 adopted as an emergency provision effective September 2, 2014 (41:18 Md. R. 1007); adopted permanently effective November 24, 2014 (41:23 Md. R. 1371)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07H-2 amended as an emergency provision effective February 1, 2021 (48:4 Md. R. 175); amended permanently effective April 19, 2021 (48:8 Md. R. 308)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07M amended effective October 9, 1995 (22:20 Md. R. 1542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07M amended as an emergency provision effective September 2, 1997 (24:19 Md. R. 1335); emergency status expired December 1, 1997; amended permanently effective January 12, 1998 (25:1 Md. R. 15)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07N amended as an emergency provision effective July 23, 1992 (19:16 Md. R. 1466); emergency status extended at 20:2 Md. R. 108; adopted permanently effective March 15, 1993 (20:5 Md. R. 513)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10G adopted effective January 7, 1991 (17:26 Md. R. 2974)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10G amended effective October 1, 1992 (19:18 Md. R. 1655)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10H adopted effective March 16, 1992 (19:5 Md. R. 575)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11A amended effective July 6, 1992 (19:13 Md. R. 1202)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11B amended as an emergency provision effective September 23, 1991 (18:21 Md. R. 2300) (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11B amended effective October 14, 1991 (18:20 Md. R. 2198)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11D amended effective April 12, 1993 (20:7 Md. R. 641)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11F amended as an emergency provision effective February 15, 1991 (18:5 Md. R. 590); amended permanently effective July 8, 1991 (18:13 Md. R. 1481)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11B(12) amended and recodified to Regulation .11G effective March 16, 1992 (19:5 Md. R. 575)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 repealed effective January 2, 1994 (20:26 Md. R. 2025)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 amended effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 adopted effective February 18, 1991 (18:3 Md. R. 303)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15-1 adopted effective January 2, 1994 (20:26 Md. R. 2026)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 amended effective October 30, 2000 (27:21 Md. R. 1974)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 amended effective August 6, 1990 (17:15 Md. R. 1858); April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 amended as an emergency provision effective February 1, 2020 (47:4 Md. R. 260); amended permanently effective May 18, 2020 (47:10 Md. R. 515)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17H repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17H adopted effective February 23, 2009 (36:4 Md. R. 353)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17H amended as an emergency provision effective September 9, 2009 (36:21 Md. R. 1587); amended permanently effective January 25, 2010 (37:2 Md. R. 67)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17H-1 adopted effective February 1, 2016 (43:2 Md. R. 127)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17H-1 repealed effective November 19, 2018 (45:23 Md. R. 1070)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17H-1 adopted as an emergency provision effective June 1, 2021 (48:13 Md. R. 507); adopted permanently effective September 20, 2021 (49:18 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17V amended effective October 12, 1992 (19:20 Md. R. 1813)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17Z amended effective November 19, 2018 (45:23 Md. R. 1070)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17AA amended as an emergency provision effective June 1, 2000 (27:13 Md. R. 1209); amended permanently effective November 27, 2000 (27:23 Md. R. 2146)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17XX amended effective January 1, 2024 (50:24 Md. R. 1041)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17YY amended effective January 28, 2008 (35:2 Md. R. 127)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18A amended effective August 23, 2010 (37:17 Md. R. 1185)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 amended effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20B amended effective April 1, 2020 (47:6 Md. R. 341)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20-1 adopted effective July 6, 1992 (19:13 Md. R. 1202)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20-1 amended effective December 21, 1992 (19:25 Md. R. 2204); April 28, 2003 (30:8 Md. R. 539)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20-1H adopted effective October 24, 1994 (21:21 Md. R. 1813)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21 amended effective March 15, 1993 (20:5 Md. R. 513); June 16, 1997 (24:12 Md. R. 864)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21K amended effective July 29, 1996 (23:15 Md. R. 1087)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21O amended effective January 2, 1994 (20:26 Md. R. 2026)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21R adopted effective February 23, 1998 (25:4 Md. R. 242)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21-1 adopted effective January 2, 1994 (20:26 Md. R. 2026)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22 amended effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22B, K amended effective November 27, 2000 (27:23 Md. R. 2146)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended as an emergency provision effective March 12, 1992 (19:7 Md. R. 741); emergency status expired August 28, 1992 (Emergency provisions are temporary and not published in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended effective March 15, 1993 (20:5 Md. R. 513); April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23A amended effective September 14, 1992 (19:18 Md. R. 1655); July 29, 2019 (46:15 Md. R. 654)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23A-1 amended effective September 14, 1992 (19:18 Md. R. 1655); December 16, 1996 (23:25 Md. R. 1784)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25 amended effective April 10, 1995 (22:7 Md. R. 535); October 20, 1997 (24:21 Md. R. 1448); January 1, 2017 (43:21 Md. R. 1165)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25A amended effective January 1, 1992 (18:25 Md. R. 2749); July 6, 1992 (19:13 Md. R. 1202); January 1, 1996 (22:10 Md. R. 705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25A-1 amended effective January 1, 1992 (18:25 Md. R. 2749)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 amended as an emergency provision effective August 25, 1990 (17:19 Md. R. 2318); emergency status expired September 3, 1990; adopted permanently effective October 29, 1990 (17:21 Md. R. 2527)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28 amended effective November 12, 1990 (17:22 Md. R. 2654); March 22, 1999 (26:6 Md. R. 484); April 1, 2020 (47:6 Md. R. 341)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28F amended as an emergency provision effective July 29, 2002 (29:17 Md. R. 1375); amended permanently effective September 30, 2002 (29:19 Md. R. 1523)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28F amended as an emergency provision effective March 23, 2012 (39:8 Md. R. 532); amended permanently effective May 14, 2012 (39:9 Md. R. 611)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28F amended effective November 19, 2018 (45:23 Md. R. 1070)</annotation> <annotation type="History" subtype="Administrative History">Regulation .29O amended effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .30A amended effective October 1, 1992 (19:18 Md. R. 1655)</annotation> <annotation type="History" subtype="Administrative History">Regulation .31 amended effective April 28, 2003 (30:8 Md. R. 539): July 21, 2014 (41:14 Md. R. 798)</annotation> <annotation type="History" subtype="Administrative History">Regulation .33 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .35 amended effective August 6, 1990 (17:15 Md. R. 1858); April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .35L amended effective July 8, 1991 (18:13 Md. R. 1481)</annotation> <annotation type="History" subtype="Administrative History">Regulation .36 amended effective March 22, 1999 (26:6 Md. R. 484); April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .36A amended effective August 11, 2008 (35:16 Md. R. 1390)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37 amended effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37 repealed effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .41 amended effective August 11, 2008 (35:16 Md. R. 1390)</annotation> <annotation type="History" subtype="Administrative History">Regulation .42 repealed and new Regulation .42 adopted effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .44 amended effective August 15, 1994 (21:16 Md. R. 1382)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45V amended effective February 4, 1991 (18:2 Md. R. 148); March 16, 1992 (19:5 Md. R. 575); April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45Y amended effective August 16, 1993 (20:16 Md. R. 1277)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45AA amended effective November 23, 1992 (19:23 Md. R. 2039); August 14, 1995 (22:16 Md. R. 1220)</annotation> <annotation type="History" subtype="Administrative History">Regulation .46 repealed effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .48 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49E amended effective September 17, 1990 (17:18 Md. R. 2200); October 15, 1990 (17:20 Md. R. 2424); April 13, 1992 (19:7 Md. R. 745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49F amended effective October 15, 1990 (17:20 Md. R. 2424); April 13, 1992 (19:7 Md. R. 745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49H amended effective December 23, 1991 (18:25 Md. R. 2750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49 repealed and new Regulation .49 adopted effective February 13, 1995 (22:13 Md. R. 152)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49 amended effective July 29, 1996 (23:15 Md. R. 1087); August 15, 2005 (32:16 Md. R. 1392); January 10, 2012 (38:23 Md. R. 1420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49A amended effective December 9, 2004 (31:24 Md. R. 1725)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49E amended effective March 25, 1996 (23:6 Md. R. 474)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49F amended effective January 1, 2015 (41:23 Md. R. 1371)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49G, I amended as an emergency provision effective April 17, 2009 (36:14 Md. R. 983); amended permanently effective September 21, 2009 (36:19 Md. R. 1436)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49G, H, I amended as an emergency provision effective September 19, 2013 (40:20 Md. R. 1649); emergency status expired</annotation> <annotation type="History" subtype="Administrative History">Regulation .49G amended as an emergency provision effective January 1, 2014 (40:26 Md. R. 2161); amended permanently effective April 14, 2014 (41:7 Md. R. 421)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49G amended effective January 1, 2015 (41:23 Md. R. 1371)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49H, I, K amended as an emergency provision effective April 29, 2014 (41:11 Md. R. 604); amended permanently effective June 23, 2014 (41:12 Md. R. 667)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49P adopted effective May 5, 1997 (24:9 Md. R. 656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .50 amended effective November 12, 1990 (17:22 Md. R. 2655); October 21, 1996 (23:21 Md. R. 1466)</annotation> <annotation type="History" subtype="Administrative History">Regulation .51 amended effective January 16, 1995 (22:1 Md. R. 19); June 19, 1995 (22:12 Md. R. 900)</annotation> <annotation type="History" subtype="Administrative History">Regulation .52 repealed effective June 1, 1998 (25:11 Md. R. 820)</annotation> <annotation type="History" subtype="Administrative History">Regulation .52C amended effective October 1, 1992 (19:18 Md. R. 1655)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53 amended effective December 8, 2005 (32:24 Md. R. 1904)</annotation> <annotation type="History" subtype="Administrative History">Regulation .54 repealed effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57 amended effective November 12, 1990 (17:22 Md. R. 2655); July 21, 1995 (22:15 Md. R. 1119)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57A amended effective December 9, 2004 (31:24 Md. R. 1725)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57A-2 adopted effective July 6, 1992 (19:13 Md. R. 1202)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57B-1 adopted effective December 28, 2020 (47:26 Md. R. 1107)</annotation> <annotation type="History" subtype="Administrative History">Regulation .58 amended effective January 2, 1994 (20:26 Md. R. 2026)</annotation> <annotation type="History" subtype="Administrative History">Regulation .58A amended effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .59 amended effective January 2, 1994 (20:26 Md. R. 2026)</annotation> <annotation type="History" subtype="Administrative History">Regulation .59D amended effective January 14, 2010 (37:1 Md. R. 14)</annotation> <annotation type="History" subtype="Administrative History">Regulations .61—.63 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .64 amended as an emergency provision effective January 1, 2013 (40:1 Md. R. 16); emergency status extended to June 30, 2013 (40:4 Md. R. 343); amended permanently effective April 15, 2013 (40:7 Md. R. 610)</annotation> <annotation type="History" subtype="Administrative History">Regulation .64 repealed and new Regulation .64 adopted effective April 22, 2019 (46:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .65 repealed effective April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66F amended as an emergency provision effective July 17, 2006 (33:16 Md. R. 1361); amended permanently effective July 31, 2006 (33:15 Md. R. 1279)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66M—O amended effective February 15, 1993 (20:3 Md. R. 258)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66Q amended effective March 16, 1992 (19:5 Md. R. 575)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66DD adopted effective May 22, 1995 (22:10 Md. R. 706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .66DD amended effective January 1, 1996 (22:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .67A amended effective August 6, 1990 (17:15 Md. R. 1858)</annotation> <annotation type="History" subtype="Administrative History">Regulation .67B and C amended effective February 17, 1992 (19:3 Md. R. 303)</annotation> <annotation type="History" subtype="Administrative History">Regulation .71H amended and H-1 adopted as an emergency provision effective May 1, 1992 (19:8 Md. R. 799); adopted permanently effective September 14, 1992 (19:18 Md. R. 1656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .71K repealed effective February 13, 1995 (22:3 Md. R. 152)</annotation> <annotation type="History" subtype="Administrative History">Regulation .72 repealed effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .73 amended as an emergency provision effective July 17, 2006 (33:16 Md. R. 1361); amended permanently effective July 31, 2006 (33:15 Md. R. 1279)</annotation> <annotation type="History" subtype="Administrative History">Regulation .73N adopted as an emergency provision effective September 12, 1992 (19:19 Md. R. 1701); emergency status expired October 4, 1992 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .74B amended effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .74E and P amended effective March 16, 1992 (19:5 Md. R. 575)</annotation> <annotation type="History" subtype="Administrative History">Regulation .74K amended as an emergency provision effective September 17, 1992 (19:20 Md. R. 1811); amended permanently effective January 18, 1993 (20:1 Md. R. 26)</annotation> <annotation type="History" subtype="Administrative History">Regulation .74Q amended and Q-1 adopted as an emergency provision effective May 1, 1992 (19:8 Md. R. 799); adopted permanently effective September 14, 1992 (19:18 Md. R. 1656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .75C repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .76 amended as an emergency provision effective May 15, 2003 (30:12 Md. R. 785); emergency status expired November 15, 2003; amended permanently effective December 22, 2003 (30:25 Md. R. 1845)</annotation> <annotation type="History" subtype="Administrative History">Regulation .76 amended as an emergency provision effective July 17, 2006 (33:16 Md. R. 1361); amended permanently effective July 31, 2006 (33:15 Md. R. 1279)</annotation> <annotation type="History" subtype="Administrative History">Regulation .76H amended effective May 22, 1995 (22:10 Md. R. 706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .76I amended effective October 24, 1994 (21:21 Md. R. 1813)</annotation> <annotation type="History" subtype="Administrative History">Regulation .77B amended effective October 1, 1992 (19:18 Md. R. 1655)</annotation> <annotation type="History" subtype="Administrative History">Regulation .78 adopted as an emergency provision effective May 27, 1991 (18:12 Md. R. 1312); adopted permanently effective September 16, 1991 (18:18 Md. R. 2003) (Adopted as Regulation .79; recodified to Regulation .78)</annotation> <annotation type="History" subtype="Administrative History">Regulation .78 amended effective March 20, 2000 (27:5 Md. R. 583)</annotation> <annotation type="History" subtype="Administrative History">Regulation .78C repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .78K amended as an emergency provision effective October 23, 1991 (18:19 Md. R. 2094) (Amended as Regulation .79K; recodified to Regulation .78K); emergency status expired October 31, 1991; amended permanently effective March 16, 1992 (19:5 Md. R. 575)</annotation> <annotation type="History" subtype="Administrative History">Regulation .78K amended effective November 20, 1995 (22:23 Md. R. 1801)</annotation> <annotation type="History" subtype="Administrative History">Regulation .79 adopted as an emergency provision effective September 29, 1990 (17:17 Md. R. 2076); emergency status expired September 30, 1990</annotation> <annotation type="History" subtype="Administrative History">Regulation .79 adopted as an emergency provision effective October 30, 1991 (18:21 Md. R. 2300) (Adopted as Regulation .80; recodified to Regulation .79); adopted permanently effective March 16, 1992 (19:5 Md. R. 576)</annotation> <annotation type="History" subtype="Administrative History">Regulation .80 adopted as an emergency provision effective February 15, 1992 (19:4 Md. R. 466) (Adopted as Regulation .80-1; recodified as Regulation .80); adopted permanently effective July 20, 1992 (19:14 Md. R. 1283)</annotation> <annotation type="History" subtype="Administrative History">Regulation .80I repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .81 adopted as an emergency provision effective October 30, 1991 (18:21 Md. R. 2300); adopted permanently effective March 16, 1992 (19:5 Md. R. 576)</annotation> <annotation type="History" subtype="Administrative History">Regulation .81 amended as an emergency provision effective April 15, 1993 (20:9 Md. R. 777); amended permanently effective August 16, 1993 (20:16 Md. R. 1277)</annotation> <annotation type="History" subtype="Administrative History">Regulation .82 adopted effective February 23, 1998 (25:4 Md. R. 242)</annotation> <annotation type="History" subtype="Administrative History">Regulation .82C repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .83 adopted as an emergency provision effective April 15, 2003 (30:8 Md. R. 538); emergency status expired October 15, 2003; amended permanently effective December 22, 2003 (30:25 Md. R. 1845)</annotation> <annotation type="History" subtype="Administrative History">Regulation .83G repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .84 adopted as an emergency provision effective January 1, 2004 (30:23 Md. R. 1650); adopted permanently effective March 29, 2004 (31:6 Md. R. 508)</annotation> <annotation type="History" subtype="Administrative History">Regulation 84 amended as an emergency provision effective July 17, 2006 (33:16 Md. R. 1362); amended permanently effective July 31, 2006 (33:15 Md. R. 1279)</annotation> <annotation type="History" subtype="Administrative History">Regulation .84J amended effective September 19, 2022 (49:19 Md. R. 867)</annotation> <annotation type="History" subtype="Administrative History">Regulation .85 adopted effective May 8, 2006 (33:9 Md. R. 796)</annotation> <annotation type="History" subtype="Administrative History">Regulation .86 adopted as an emergency provision effective April 18, 2009 (36:10 Md. R. 713); adopted permanently effective September 21, 2009 (36:19 Md. R. 1436)</annotation> <annotation type="History" subtype="Administrative History">Regulation .86F amended effective May 2, 2022 (49:9 Md. R. 530)</annotation> <annotation type="History" subtype="Administrative History">Regulation .87 adopted effective May 3, 2010 (37:9 Md. R. 673)</annotation> <annotation type="History" subtype="Administrative History">Regulation .88 adopted as an emergency provision effective April 6, 2012 (39:9 Md. R. 610); adopted permanently effective August 20, 2012 (39:16 Md. R. 1080)</annotation> <annotation type="History" subtype="Administrative History">Regulation .88F, H amended effective November 19, 2018 (45:23 Md. R. 1070)</annotation> <annotation type="History" subtype="Administrative History">Regulation .88J amended effective September 19, 2022 (49:19 Md. R. 867)</annotation> <annotation type="History" subtype="Administrative History">Regulation .89 adopted as an emergency provision effective May 1, 2019 (46:9 Md. R. 444); adopted permanently effective July 29, 2019 (46:15 Md. R. 654)</annotation> <annotation type="History" subtype="Administrative History">Regulation .90 adopted effective October 21, 2019 (46:21 Md. R. 894)</annotation> <annotation type="History" subtype="Administrative History">Regulation .91 adopted effective April 19, 2021 (48:8 Md. R. 308)</annotation> <annotation type="History" subtype="Administrative History">Regulation .91H amended effective May 2, 2022 (49:9 Md. R. 530)</annotation> <annotation type="History" subtype="Administrative History">Annotation: COMAR 09.10.01.03O is cited in Attorney General Opinion No. 81-018 (July 16, 1981) which found that the Thoroughbred Racing Board of the Maryland Racing Commission has the authority to require that all purses won by horsemen be maintained by a racing association in a special interest-bearing account until paid to the horsemen and that the Board may provide for the use and disposition of the interest earned on these accounts, to some extent.</annotation> <annotation type="History" subtype="Administrative History">Annotation: COMAR 09.10.01.78 cited in Attorney General Opinion No. 87-033 (August 4, 1987)</annotation> </annotations> </chapter> <chapter num="02" heading="Harness Racing"> <regulation prefix="Regulation" num=".01" heading="Rules."> <text>The Rules and Regulations portion of the “Charter, By-Laws Rules and Regulations of the United States Trotting Association 2005” is incorporated by reference into these rules, but where there is conflict or inconsistency with the numbered Maryland Harness Racing Rules which follow in this chapter, the provisions of the numbered Maryland Harness Racing Rules shall prevail. The rules shall govern harness racing and those licensed for harness racing at all meetings in the State which are licensed by the Commission.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions for Pari-Mutuel Betting."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Betting pool” means the accumulated total of all bets of the same type on the same race, or, if the type of bet encompasses more than one race, on the same races.</text> </paragraph> <paragraph num="(2)"> <text>“Breakage” means the remainder of the distributable pool after the will pay is calculated to the lowest multiple of 10 cents.</text> </paragraph> <paragraph num="(3)"> <text>“Carry over” means a net pool, or any portion of it, which is purposefully not distributed and which is to be added to the net pool on the same type of bet whenever that bet next occurs.</text> </paragraph> <paragraph num="(4)"> <text>“Common pool” means the merging of a betting pool at the live site with the same betting pool at locations other than the live site.</text> </paragraph> <paragraph num="(5)"> <text>“Dead heat” means that the noses of two or more horses reached the finish line at the end of a race at the same time.</text> </paragraph> <paragraph num="(6)"> <text>“Distributable pool” means the net pool minus the dollar total of the successful bets.</text> </paragraph> <paragraph num="(7)"> <text>“Entry” means two or more horses grouped as a single betting interest because of the commonality of ownership or the commonality of a trainer.</text> </paragraph> <paragraph num="(8)"> <text>“Established minimum bet” means the smallest dollar amount required to place a particular type of bet which is established by a racing association or regulation.</text> </paragraph> <paragraph num="(9)"> <text>“Exacta” (“Perfecta”) means a type of bet in which the bettor selects two different betting interests to finish first and second in that exact order.</text> </paragraph> <paragraph num="(10)"> <text>“Field” means two or more horses grouped as a single betting interest because the number of separate betting interests in a race exceeds the maximum number of separate betting interests capable of being displayed on the totalisator board.</text> </paragraph> <paragraph num="(11)"> <text>“Live ticket” means a validly issued pari-mutuel ticket on an event which:</text> <paragraph num="(a)"> <text>Has not been run; or</text> </paragraph> <paragraph num="(b)"> <text>As a result of the event having been run, has had a value ascribed to the ticket, and the time period for the ticket's redemption has not expired.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Minimum pay” means a will pay in the amount of $1.05 per $1 bet.</text> </paragraph> <paragraph num="(13)"> <text>“Minus pool” means the amount by which the total minimum pay for all successful bets exceeds the distributable pool.</text> </paragraph> <paragraph num="(14)"> <text>“Net common pool” means the merging of a net pool at the live site with the same net pool at locations other than the live site.</text> </paragraph> <paragraph num="(15)"> <text>“Net pool” means the betting pool minus the takeout.</text> </paragraph> <paragraph num="(16)"> <text>“Official” means the purposeful posting of the final order of finish in a race by the judges or stewards.</text> </paragraph> <paragraph num="(17)"> <text>“Pari-mutuel betting” means the system of betting in which those who successfully bet on horses that finish in specified positions in an event proportionately share the net pool in which they participated.</text> </paragraph> <paragraph num="(18)"> <text>“Place” means a type of bet in which the bettor selects a betting interest to finish second or better.</text> </paragraph> <paragraph num="(19)"> <text>“Quad” means a type of bet in which the bettor selects four different betting interests to finish first, second, third, and fourth in that exact order.</text> </paragraph> <paragraph num="(20)"> <text>“Quinella” means a type of bet in which the bettor selects two different betting interests to finish first and second in either order.</text> </paragraph> <paragraph num="(21)"> <text>“Refund” means the amount bet that is deducted from the betting pool and returned to the bettor for cause.</text> </paragraph> <paragraph num="(22)"> <text>“Show” means a type of bet in which the bettor selects a betting interest to finish third or better.</text> </paragraph> <paragraph num="(23)"> <text>“Takeout” means the amount authorized by law to be deducted from a betting pool before its distribution to the winning bettors.</text> </paragraph> <paragraph num="(24)"> <text>“Triple” (“Trifecta”) means a type of bet in which the bettor selects three different betting interests to finish first, second, and third in that exact order.</text> </paragraph> <paragraph num="(25)"> <text>“Will pay” means the calculated value of a successful bet at the established minimum.</text> </paragraph> <paragraph num="(26)"> <text>“Win” means a type of bet in which the bettor selects a betting interest to finish first.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03—.06" heading="Repealed." /> <regulation prefix="Regulation" num=".07" heading="Betting."> <text>Except as provided in Regulation .15F of this chapter, an individual associated with a horse in a race may bet on any horse in the race.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Claiming."> <paragraph num="A."> <text>The following persons may claim:</text> <paragraph num="(1)"> <text>An individual that the Commission licenses as an owner;</text> </paragraph> <paragraph num="(2)"> <text>An entity that has established its qualifications to claim by filing an application for licensure as an owner and has been approved by the judges to claim; and</text> </paragraph> <paragraph num="(3)"> <text>An authorized agent of a qualified owner.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A person seeking to effect a false claim by inducing another to claim a horse for him is subject to the penalties provided by §E of this regulation.</text> </paragraph> <paragraph num="C."> <text>In claiming races, any horse is subject to being claimed for its entered price, except by the owner of the horse, and owners having the same trainer are not allowed to claim any horse in that trainer's custody.</text> </paragraph> <paragraph num="C-1."> <text>A valid claim shall be:</text> <paragraph num="(1)"> <text>In writing;</text> </paragraph> <paragraph num="(2)"> <text>Enclosed in a sealed envelope; and</text> </paragraph> <paragraph num="(3)"> <text>Deposited in a locked box provided for this purpose by the clerk of the course at least 10 minutes before the post time for the race in which a horse to be claimed is to participate.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If a horse is claimed:</text> <paragraph num="(1)"> <text>It may be entered in a race at a claiming price determined by its new owner;</text> </paragraph> <paragraph num="(2)"> <text>A right, title, or interest in it may not be sold or transferred except in a claiming race for a period of 30 days following the date of the claim; and</text> </paragraph> <paragraph num="(3)"> <text>It may not be raced outside of the State until one of the following occurs:</text> <paragraph num="(a)"> <text>If the horse was claimed from a race that took place at:</text> <paragraph num="(i)"> <text>Rosecroft, 60 days expire from the date of the claim,</text> </paragraph> <paragraph num="(ii)"> <text>Ocean Downs, 30 days expire from the date of the claim; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The meet at which the horse was claimed ends.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The judges may void a claim and impose any other penalty authorized by these regulations for a violation of the claiming rules.</text> </paragraph> <paragraph num="F."> <text>Claiming Conditions.</text> <paragraph num="(1)"> <text>Conditions and allowances in claiming races may be based on any criteria established by the racing secretary.</text> </paragraph> <paragraph num="(2)"> <text>Maiden claiming races shall be restricted to horses that are younger than 6 years old.</text> </paragraph> <paragraph num="(3)"> <text>Optional claiming races may be carded for horses of any age.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A claim shall be voided if a horse is a starter and the horse:</text> <paragraph num="(1)"> <text>Dies on the racetrack; or</text> </paragraph> <paragraph num="(2)"> <text>Suffers an injury which requires the euthanasia of the horse, as determined by a State veterinarian, while the horse is on the racetrack.</text> </paragraph> </paragraph> <paragraph num="H."> <text>A claim is voidable at the sole discretion of the new owner, for a period of up to 1 hour after the race is made official, for any horse that:</text> <paragraph num="(1)"> <text>Is vanned off the track after the race at the discretion of the State Veterinarian; or</text> </paragraph> <paragraph num="(2)"> <text>Is sent to the detention barn and observed to be lame by the State Veterinarian.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09—.13" heading="Repealed." /> <regulation prefix="Regulation" num=".14" heading="Drawing or Scratching Horses."> <paragraph num="A."> <text>A horse may not be withdrawn from a race after having been declared in, except by permission from the presiding judge representing the Maryland Racing Commission. Before allowing the withdrawal of any horse or horses, the presiding judge shall cause him to be examined by the veterinarian of the Commission, who shall report to the presiding judge. If a horse fails to start without having received permission to withdraw, the horse may be suspended together with the owner and trainer and the case may be referred to the Racing Commission for disposition. The Commission may expel, suspend, and fine, in an amount not exceeding $500, the owner and trainer of the horse, and may continue the suspension of the horse.</text> </paragraph> <paragraph num="B."> <text>Every horse whose starting is obligatory is expected to run the course, except that the judges may order the withdrawal of a horse at any time up to the actual start of a race to protect the public interest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Drivers."> <paragraph num="A."> <text>An individual may not drive in a race unless licensed to do so by the Commission.</text> </paragraph> <paragraph num="B."> <text>An individual may not be granted a license to drive under any name other than the individual's legal name.</text> </paragraph> <paragraph num="C."> <text>A horse may not appear upon the track within 1 hour preceding post time of the first event of the day unless the driver of the horse is dressed in colors.</text> </paragraph> <paragraph num="D."> <text>A driver wearing colors may not:</text> <paragraph num="(1)"> <text>Leave the paddock, except to drive, until all of the driver's engagements are fulfilled and the colors removed;</text> </paragraph> <paragraph num="(2)"> <text>Enter the public areas of the racetrack without the permission of the judges; and</text> </paragraph> <paragraph num="(3)"> <text>Partake of intoxicating beverages or controlled dangerous substances.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A driver wearing colors but not competing in a particular race may view the race from the stand as provided under Regulation .16 of this chapter.</text> </paragraph> <paragraph num="F."> <text>The driver of a horse in a race:</text> <paragraph num="(1)"> <text>Shall endeavor to win;</text> </paragraph> <paragraph num="(2)"> <text>Shall drive the horse in a manner to achieve the best possible position at the end of the race;</text> </paragraph> <paragraph num="(3)"> <text>Shall set or maintain a pace comparable to the class in which the driver is racing and violates this provision by:</text> <paragraph num="(a)"> <text>Going an excessively slow quarter, or any other distance, that changes the normal pattern, overall timing, or general outcome of the race, or</text> </paragraph> <paragraph num="(b)"> <text>Failing to react to the pace;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>May not drive the horse in a careless or indifferent manner;</text> </paragraph> <paragraph num="(5)"> <text>May not drive the horse in an inconsistent manner compared to an established pattern of prior performances;</text> </paragraph> <paragraph num="(6)"> <text>May not drive a horse so as to perpetuate or aid in a fraud; and</text> </paragraph> <paragraph num="(7)"> <text>May not bet on the race, except:</text> <paragraph num="(a)"> <text>To win on the horse the driver is scheduled to drive, and</text> </paragraph> <paragraph num="(b)"> <text>Through the owner or trainer of that horse.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>A driver under a contract of employment may not drive for a person other than the driver's employer in a race where a horse is entered which is:</text> <paragraph num="(1)"> <text>Owned or trained by the driver's employer;</text> </paragraph> <paragraph num="(2)"> <text>In the same stable as that of the driver's employer; or</text> </paragraph> <paragraph num="(3)"> <text>Under the same management as that of the driver's employer.</text> </paragraph> </paragraph> <paragraph num="H."> <text>A driver shall wear an approved helmet with the chin strap fastened while driving in a race.</text> </paragraph> <paragraph num="I."> <text>An approved helmet under §H of this regulation is one that is manufactured in accordance with the:</text> <paragraph num="(1)"> <text>1984 Standard for Protective Headgear (Snell Memorial Foundation);</text> </paragraph> <paragraph num="(2)"> <text>Laboratory Procedure for Motorcycle Helmet Testing (Federal Motor Vehicle Safety Standard No. 218, U.S. Department of Transportation); or</text> </paragraph> <paragraph num="(3)"> <text>Specification for Headgear Used in Horse Sports and Horseback Riding (ASTM Standard F085.53, Draft #4, 1986).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Driver's Stand."> <text>Each association licensed to conduct pari-mutuel betting shall provide a stand, located convenient to the gate through which horses enter the track at the beginning of a heat or race, for drivers who are not competing in a particular heat or race and who are wearing colors, to view the races.</text> </regulation> <regulation prefix="Regulation" num=".16-1" heading="Eligibility of a Horse."> <text>A horse which is eligible for a race at the time of its entry may not have its eligibility affected by a ruling on itself or another horse regarding a disqualification in a prior race that is issued on or after the day of the race for which the horse is entered.</text> </regulation> <regulation prefix="Regulation" num=".17" heading="Entries."> <paragraph num="A."> <text>The closing of entries is determined by the racing secretary. The racing secretary shall check the eligibility of all horses drawn in to race and verify the horses' eligibility with the presiding judge. Additions to the entries may not be made after entries are closed. All entries or declarations shall be made by the owner or trainer or the registered agent of the owner. All information called for by the declaration or entry application or blank shall be supplied. The racing secretary shall refuse all applications, declarations, or entries which are not fully completed, and promptly notify the owner or trainer or agent of the reasons for the refusal. The racing secretary shall verify the accuracy of the name of the owner, the trainer, and the driver as set forth in the declaration or entry.</text> </paragraph> <paragraph num="B."> <text>Preference.</text> <paragraph num="(1)"> <text>Preference shall be given in all overnight events according to a horse's last previous purse race during the current year. Horses of equal preference should be chosen for the race by draw. The preference date on a horse that has drawn to race and been scratched is the date of the race from which the horse was scratched.</text> </paragraph> <paragraph num="(2)"> <text>When a horse is racing for the first time in the current year, the date of the first declaration shall be considered its last race date, and preference applied accordingly, provided, however, that when an overnight race has been reopened because it did not fill, all eligible horses declared in to the race before the reopening shall receive preference over horses subsequently declared, irrespective of the actual preference dates.</text> </paragraph> <paragraph num="(3)"> <text>This rule relating to preference is not applicable to any meeting at which an agricultural fair is in progress. All horses granted stalls and eligible shall be given an opportunity to compete at these meetings.</text> </paragraph> </paragraph> <paragraph num="C."> <text>When the starters in a race include two or more horses owned or trained by the same person, or trained in the same stable or by the same management, they shall be coupled as an “entry” where pari-mutuel wagering is conducted and a wager on one horse in the “entry” shall be a wager on all horses in the “entry.” However, when a trainer enters two or more horses in a stake, early closing, futurity, free-for-all, or other special event under bona fide separate ownerships, the horses may, at the request of the association and with the approval of the Commission, be permitted to race as separate betting entries. If the race is split in two or more divisions, horses in an “entry” shall be seeded in separate divisions insofar as possible, but the divisions in which they compete and their post positions shall be drawn by lot. The above provisions shall also apply to elimination heats. When a nominator starts two or more horses, the judges shall approve or disapprove the second and third drivers.</text> </paragraph> <paragraph num="D."> <text>If any violation is committed by a person driving a horse coupled as an entry in the betting, the judges may set both horses back, if, in their opinion, the violation may have affected the finish of the race. Otherwise, penalties may be applied individually to the drivers of an entry.</text> </paragraph> <paragraph num="E."> <text>In an early closing event, if less horses are declared in than are required to start, the horse or horses properly declared in and on the grounds ready to race shall equally share all of the entrance money and forfeits from each horse named.</text> </paragraph> <paragraph num="F."> <text>A horse may not be qualified to start in any race unless its owner, trainer-driver, driver, colors, etc., have been duly licensed by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Horse Identification."> <paragraph num="A."> <text>Except as otherwise permitted in §B of this regulation, a horse may not be permitted to race unless fully identified by its:</text> <paragraph num="(1)"> <text>Color;</text> </paragraph> <paragraph num="(2)"> <text>Markings;</text> </paragraph> <paragraph num="(3)"> <text>Unusual conformation, if any; and</text> </paragraph> <paragraph num="(4)"> <text>Registration number issued by a governing body of the breed as indicated by a:</text> <paragraph num="(a)"> <text>Freeze brand on the horse's neck, or</text> </paragraph> <paragraph num="(b)"> <text>Lip tattoo.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>The judges may allow a horse to start one time if a horse has not been freeze branded or lip tattooed provided that arrangements are made, before the race in which the horse is permitted to start, to have the horse freeze branded or lip tattooed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Licenses and Registrations."> <paragraph num="A."> <text>The following persons are required to take out a license from, or register with, the Commission:</text> <paragraph num="(1)"> <text>Licenses:</text> <paragraph num="(a)"> <text>Trainer;</text> </paragraph> <paragraph num="(b)"> <text>Owner;</text> </paragraph> <paragraph num="(c)"> <text>Driver;</text> </paragraph> <paragraph num="(d)"> <text>Farrier;</text> </paragraph> <paragraph num="(e)"> <text>Pari-mutuel employee;</text> </paragraph> <paragraph num="(f)"> <text>Stable employee;</text> </paragraph> <paragraph num="(g)"> <text>Track employee;</text> </paragraph> <paragraph num="(h)"> <text>Veterinarian;</text> </paragraph> <paragraph num="(i)"> <text>Vendor;</text> </paragraph> <paragraph num="(j)"> <text>Track manager.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Registrations:</text> <paragraph num="(a)"> <text>Authorized agent;</text> </paragraph> <paragraph num="(b)"> <text>Corporate or stable name.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>License and Registration Expiration.</text> <paragraph num="(1)"> <text>A license or registration issued under §A(1)(a)—(c) or §A(2) of this regulation shall expire on December 31 of the final year for which it was issued.</text> </paragraph> <paragraph num="(2)"> <text>A license issued under §A(1)(d)—(j) of this regulation shall expire on June 30 of each year.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="and .21 Repealed." /> <regulation prefix="Regulation" num=".22" heading="Number of Starters."> <paragraph num="A."> <text>In all overnight events, the number of starters in any race shall be limited to the number agreed upon by the Association and the horsemen's organization, and approved by the Commission. If more than the agreed upon and approved number of horses are declared in to start under the conditions, all of the entry blanks shall be placed in a box and the presiding judge, or an associate judge designated by him, shall draw out the number of entry blanks and the number so drawn shall constitute the field eligible to start. In addition to the number so drawn, the presiding judge, or an associate judge designated by him, shall draw out of the box two additional entries or declarations, and the two so drawn shall be also eligible in the event of a scratch or withdrawal of one or two of the eight drawn originally to start. If only one eligible is needed to fill, the judges shall then determine, by drawing, the one eligible to start. An also eligible permitted to start shall be assigned an outside post position. When more horses are declared in a race than are allowed to start, those horses failing to be allowed to start shall be given preferential rights to start on a succeeding day in the next race scheduled for the same class of horses, as provided in Regulation .17B of this chapter. A horse may not be added to a race as an also eligible unless the horse was drawn as such at the time the declaration closed.</text> </paragraph> <paragraph num="B."> <text>In stakes events, the number of starters shall be limited to 13. If there are more than 13 entries, then the race shall be divided. Tier starting in entries of more than eight shall be permitted with eight horses in the first tier, and the remainder in the second. The tier positions shall be determined by the post positions as drawn by the judges.</text> </paragraph> <paragraph num="C."> <text>Position of horses at the post shall be determined in public by lot under the direction of and in a manner prescribed by the judges, at the close of the entries.</text> </paragraph> <paragraph num="D."> <text>Horses shall take their positions at the post in the order in which their names have been drawn by lot; but vicious and unruly horses may be placed on the outside by the starter if, by so doing, a better start may be obtained.</text> </paragraph> <paragraph num="E."> <text>A horse may not be excused from the parade or introduction, and each horse shall parade in the order of his post position unless excused by the judges.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Numbering of Horses."> <text>Each competing horse shall be equipped with numbers of style, type, and design approved by the Commission or its representatives. Numbers shall be so arranged that coupled entries may be distinguished as such and also horses coupled in the field as such.</text> </regulation> <regulation prefix="Regulation" num=".24" heading="Officials."> <paragraph num="A."> <text>For each day of live racing during a race meeting, the officials on duty shall be:</text> <paragraph num="(1)"> <text>One presiding judge and two associate judges;</text> </paragraph> <paragraph num="(2)"> <text>Commission veterinarians;</text> </paragraph> <paragraph num="(3)"> <text>Two patrol judges;</text> </paragraph> <paragraph num="(4)"> <text>One program director;</text> </paragraph> <paragraph num="(5)"> <text>One clerk of the course;</text> </paragraph> <paragraph num="(6)"> <text>One starter;</text> </paragraph> <paragraph num="(7)"> <text>An official timer;</text> </paragraph> <paragraph num="(8)"> <text>A paddock judge;</text> </paragraph> <paragraph num="(9)"> <text>A racing secretary and handicapper;</text> </paragraph> <paragraph num="(10)"> <text>A licensed charter; and</text> </paragraph> <paragraph num="(11)"> <text>An identifier.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Subject to the approval of the presiding judge, an individual may perform more than one of the functions listed under §A(3)—(11) of this regulation.</text> </paragraph> <paragraph num="C."> <text>Identifier. It shall be the duty of the identifier to check the identification of all horses coming into the paddock in accordance with Regulation .18 of this chapter and to report any discrepancy immediately to the paddock judge, who shall report the matter immediately to the presiding judge.</text> </paragraph> <paragraph num="D."> <text>The presiding judge shall be the senior official at all race meetings and shall supervise the conduct of the racing and shall at all times have access to all parts of the course, plant, and grounds.</text> </paragraph> <paragraph num="E."> <text>The judges under §A(1) of this regulation may not.</text> </paragraph> <paragraph num="F."> <text>It shall be the duty of all the judges to enforce the rules and regulations of the Commission and the rules and regulations of the United States Trotting Association, and they shall have the power of expulsion, suspension, or fine as provided in the rules and regulations.</text> </paragraph> <paragraph num="G."> <text>Any official designated by the Commission or by an association may be removed by the Commission in its discretion.</text> </paragraph> <paragraph num="H."> <text>In any emergency due to the incapacity or absence of any judge, the other judges at the meeting may appoint a substitute judge to serve in his place, pending a new designation by the Commission.</text> </paragraph> <paragraph num="I."> <text>Duties.</text> <paragraph num="(1)"> <text>The judges shall have general supervision over racing and over owners, trainers, drivers, grooms, and other persons licensed by the Commission and also over all other officials of the meeting.</text> </paragraph> <paragraph num="(2)"> <text>The judges shall have the power to punish, for a violation of these regulations, a person subject to their control either by:</text> <paragraph num="(a)"> <text>Suspension of the privilege of attending the races during the meeting;</text> </paragraph> <paragraph num="(b)"> <text>Suspension from acting or driving for a period not exceeding 90 days;</text> </paragraph> <paragraph num="(c)"> <text>Fine not exceeding $2,500; or</text> </paragraph> <paragraph num="(d)"> <text>Fine and suspension.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If they consider necessary any further punishment or additional fine, they shall so report to the Maryland Racing Commission.</text> </paragraph> <paragraph num="(4)"> <text>In determining the penalty to be imposed, the judges shall consider the:</text> <paragraph num="(a)"> <text>Seriousness of the violation;</text> </paragraph> <paragraph num="(b)"> <text>Harm caused by the violation;</text> </paragraph> <paragraph num="(c)"> <text>Good faith or lack of good faith of the licensee; and</text> </paragraph> <paragraph num="(d)"> <text>Licensing history of the licensee.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>When there are occurrences in violation of the rules of racing at a meeting that has terminated that do not come to the attention of the judges until the meeting has closed, it shall be their duty to investigate and report their findings to the Commission.</text> </paragraph> </paragraph> <paragraph num="J."> <text>The decision of a majority of the judges on any question shall prevail.</text> </paragraph> <paragraph num="K."> <text>The associate judges, if and when directed by the presiding judge, shall be at the office building on the grounds of the association where the race meeting is being held not later than the specified scratch time, or at such other times as he may direct, to conduct hearings and to perform any other duties that may be imposed upon them by the Rules of Racing.</text> </paragraph> <paragraph num="L."> <text>The clerk of the course shall be in the judges' stand at least 15 minutes before post time of the first race and shall remain until after the last race, unless excused by the presiding judge.</text> </paragraph> <paragraph num="M."> <text>Announcers shall be in the announcer's stand not later than 15 minutes before the first live race of the day in order to announce any changes to the printed information on the program as these changes are received and to make other announcements as directed by the presiding judge.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".25" heading="Owners."> <paragraph num="A."> <text>Owner's License.</text> <paragraph num="(1)"> <text>Except as provided by §A(2), of this regulation, an owner may not be allowed to start any horse under the jurisdiction of the Commission, until the owner has obtained from the Commission an owner's license. This license shall be applied for annually and will be issued for 1 year in the full name of the owner. The license may be revoked, for cause, by the Commission, or in the discretion of the Commission, may be suspended for cause for any period of time. Before issuance of a license, an owner may be required to satisfy the Commission of his financial responsibility. An owner shall maintain his financial responsibility so long as he is licensed by the Commission.</text> </paragraph> <paragraph num="(2)"> <text>The judges, in their discretion, may allow an owner to race a horse one time while awaiting the receipt of his owner's license. An owner who so races but does not complete his application for a license and pay the appropriate fee within 30 days shall be precluded from further racing in this State until his application is filed, and license fee paid.</text> </paragraph> <paragraph num="(3)"> <text>Purse money or prizes may not be distributed to an owner until he has received an owner's license from the Commission.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Multiple Ownership.</text> <paragraph num="(1)"> <text>Forms of multiple ownership shall be duly licensed by the Commission before being allowed to start a horse.</text> </paragraph> <paragraph num="(2)"> <text>For the purposes of this section, “entity” means a form of multiple ownership.</text> </paragraph> <paragraph num="(3)"> <text>The license application of the entity shall be accompanied by the relevant documents governing the formation of the entity which shall contain, among other things, the following:</text> <paragraph num="(a)"> <text>The name, address, social security number, and date of birth of each person having an interest in the entity;</text> </paragraph> <paragraph num="(b)"> <text>The relative proportions of those interests in §B(2)(a), of this regulation;</text> </paragraph> <paragraph num="(c)"> <text>To whom the winnings are payable;</text> </paragraph> <paragraph num="(d)"> <text>In whose name the horse or horses owned by the entity shall run;</text> </paragraph> <paragraph num="(e)"> <text>The name of the person designated to act as agent for the entity in all racing matters;</text> </paragraph> <paragraph num="(f)"> <text>The names of the horse or horses owned by the entity;</text> </paragraph> <paragraph num="(g)"> <text>The terms of any contingency, lease, or other arrangement. A copy of the documents shall be attached to the registration certificate of any horses owned by the entity.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A person holding an interest of 5 percent or more in an entity is considered to hold a beneficial interest and shall obtain an owner's license. “Beneficial interest” includes all direct and indirect forms of ownership or control, or both, voting power, or investment power, held through any contract, lien, lease, partnership, stockholding, syndication, joint venture, understanding, relationship (including family relationship), present or reversionary right, title, or interest, or otherwise.</text> </paragraph> <paragraph num="(5)"> <text>A person holding a beneficial interest in an entity shall disclose to the Commission, at the time of licensing and at the track not later than the time of entry, any beneficial interests which that person holds in any horses.</text> </paragraph> <paragraph num="(6)"> <text>Officers, directors, general partners, managers, and authorized agents of an entity shall obtain an owner's license.</text> </paragraph> <paragraph num="(7)"> <text>Each entity shall designate in writing the person authorized to act as agent for the entity in all racing matters. This person shall obtain an owner's license and represent more than 50 percent of the financial interests in the entity, and shall be subject to the rules governing an authorized agent. The Commission shall be notified in writing by the entity of any change in the person designated as its agent. An agent for an entity may not assume the responsibilities of the trainer unless that person is the trainer.</text> </paragraph> <paragraph num="(8)"> <text>The Commission may deny, suspend, or revoke the license of an entity in which a beneficial interest is held by a person who is or would be ineligible to be licensed as an owner in any respect.</text> </paragraph> <paragraph num="(9)"> <text>Changes either in the structure of the entity or in the individuals holding any interest in the entity shall be immediately disclosed to the Commission in writing.</text> </paragraph> <paragraph num="(10)"> <text>Horses owned by the entity shall race in the name of the entity, the stable name of the entity, or the name of the agent designated to act for the entity with the designation “et al” following the agent's name.</text> </paragraph> <paragraph num="(11)"> <text>The Commission shall review the ownership of each horse entered to race and ensure that each registration or eligibility certificate is properly endorsed by the transferor to the entity. The Commission may determine, for racing purposes, the validity of all liens, transfers, and agreements pertaining to ownership of a horse and may call for adequate evidence of ownership at any time. The Commission may declare ineligible to race any horse whose ownership is in question.</text> </paragraph> <paragraph num="(12)"> <text>Coupled Horses.</text> <paragraph num="(a)"> <text>Horses trained by the same trainer may be uncoupled, at the request of the racing association, and with the approval of the Commission, be permitted to race as separate wagering interests.</text> </paragraph> <paragraph num="(b)"> <text>If a race is split into two or more divisions, horses trained by the same trainer shall be seeded in separate divisions if possible, but the divisions in which they compete and the post position shall be determined by lot.</text> </paragraph> <paragraph num="(c)"> <text>If more than one horse entered in a race has “Commonality of Ownership”, meaning that at least 25 percent of each horse is owned by the same person, entity or entities, the race secretary shall designate which horse has preference to draw into the race without excluding a single entry.</text> </paragraph> <paragraph num="(d)"> <text>A trainer may not enter two horses to the exclusion of a single entry.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>A person involved in a multiple ownership entity may lease, subject to the provisions of COMAR 09.10.04.22, the person's interest in the entity to another person in the multiple ownership entity.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Disqualification of a husband or wife from having a license applies equally to both.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".26" heading="Paddock Access and Restrictions."> <paragraph num="A."> <text>Individuals, other than officials and Commission employees whose duties require their presence in the paddock, shall be denied access to the paddock except for:</text> <paragraph num="(1)"> <text>Individuals authorized by the judges to enter the paddock; and</text> </paragraph> <paragraph num="(2)"> <text>Licensed individuals associated with a horse required to be in the paddock, such as a:</text> <paragraph num="(a)"> <text>Driver,</text> </paragraph> <paragraph num="(b)"> <text>Groom,</text> </paragraph> <paragraph num="(c)"> <text>Owner,</text> </paragraph> <paragraph num="(d)"> <text>Trainer, and</text> </paragraph> <paragraph num="(e)"> <text>Veterinarian.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Horses.</text> <paragraph num="(1)"> <text>A horse scheduled to race shall be in the paddock the earlier of the following:</text> <paragraph num="(a)"> <text>The time required by the presiding judge; or</text> </paragraph> <paragraph num="(b)"> <text>1 hour before the post time of the race in which the horse is to compete.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A horse that is in the paddock according to §B(1) of this regulation may not leave except to:</text> <paragraph num="(a)"> <text>Exercise on the racetrack on which the race is to be contested; or</text> </paragraph> <paragraph num="(b)"> <text>Participate in the race for which the horse was entered.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>A horse shall be accompanied by the horse's trainer or another licensed trainer designated by the horse's trainer at all times during the horse's stay in the paddock.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".27" heading="Partnerships."> <paragraph num="A."> <text>All partnerships shall be registered so as to set forth the name and address of every person having any interest in a horse, the relative proportions of these interests, and the terms of any sales with contingencies, lease, or arrangement. The registration shall be signed by all the parties or by their authorized agents. Each partner shall be jointly or severally liable for all arrears.</text> </paragraph> <paragraph num="B."> <text>All statements of partnerships, of sales with contingencies or arrangements, shall declare to whom winnings are payable, in whose name the horse shall run and with whom rests the power of entry or of declaration. In cases of emergency, authority to sign declarations of partnership may be given by a telegram promptly confirmed in writing.</text> </paragraph> <paragraph num="C."> <text>The part owner of any horse cannot assign his share or any part of it without the written consent of the other partners.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".28" heading="Repealed." /> <regulation prefix="Regulation" num=".29" heading="Repealed." /> <regulation prefix="Regulation" num=".30" heading="Purses."> <paragraph num="A."> <text>Purses for all races run on State tracks shall be for an amount approved by the Maryland Racing Commission.</text> </paragraph> <paragraph num="B."> <text>Any purse or reward affected by an appeal and withheld by order of the judges pending disposition of the appeal shall be retained by the racing association holding the meeting, and placed in an interest-bearing escrow account which shall be distributed, together with interest earned on the escrow account, upon final disposition of the appeal.</text> </paragraph> <paragraph num="C."> <text>Purse money may not be distributed or used for claiming purposes sooner than 72 hours from the racing of the event in which the purse was earned, and it may not be withheld without cause for more than an additional 48 hours after that.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".31" heading="Repealed." /> <regulation prefix="Regulation" num=".32" heading="Records."> <text>A copy of all information recorded in the judge's book and furnished to the United States Trotting Association shall be forwarded to the office of the Commission, signed by the officials of the meeting, immediately upon the conclusion of each day's racing. The judges shall make reports in writing to the Racing Commission of all infractions of the rules and of all rulings of the judges upon matters coming before them during each day. Copies thereof shall be mailed to each member of the Commission.</text> </regulation> <regulation prefix="Regulation" num=".33" heading="Rules of the Race."> <paragraph num="A."> <text>Before the first heat or race at any meeting is contested, the officials and drivers shall meet at a time and place designated by the presiding judge, at which time the rules and regulations shall be discussed and all drivers' licenses shall be examined by the starter. Every driver shall be notified of the time and place of the meeting. A driver who shall, after notice, fail to attend the meeting may not be permitted to drive until he shall have met with the officials of the meeting by appointment thereafter at their convenience, and may be fined in a sum not to exceed $100.</text> </paragraph> <paragraph num="B."> <text>All horses shall race from the paddock and shall be in the paddock 60 minutes before off-time of the first heat or race in which they are scheduled to start, and, if racing more than one heat or race, shall return to the paddock after each heat or race until the final heat or race in which the horses are scheduled to start has been completed.</text> </paragraph> <paragraph num="C."> <text>The judges shall ring a bell or otherwise notify the paddock 15 minutes before the off-time announced for the heat or race, which shall be notice to all parties to prepare for the heat or race. All horses shall parade from the paddock upon the track and before the grandstand not later than 8 minutes before off-time. A horse or driver not on the track 8 minutes before off-time ready to parade shall be fined not exceeding $100 and his horse may be ruled out by the judges and considered withdrawn at their discretion. In all stakes and matches, failure to appear constitutes a forfeit.</text> </paragraph> <paragraph num="D."> <text>At the conclusion of each heat or race, every driver shall return in the sulky to be dismissed by the patrol judge stationed at the wire. A driver may not dismount or leave the track until permission to do so has been granted by the patrol judge. A driver desiring to enter a claim of foul or other complaint of violation of the rules shall, before dismounting, indicate to the patrol judge his desire to enter the claim or complaint and forthwith shall proceed to the paddock and telephone the judges' stand, where and when the claim of foul or other complaint of violation of the rules shall be immediately entered. A complaint may not be considered unless made to the judges in the manner provided in these regulations. The judges may not cause the official sign to be displayed until the claim of foul or other complaint of violation of the rules has been entered and considered.</text> </paragraph> <paragraph num="E."> <text>In the event of an accident occurring in the course of a heat or race, the cause shall be investigated by the judges immediately at the conclusion of the heat or race. A driver or drivers may be called to the telephone for the purpose of the investigation. The judges may not cause the official sign to be displayed until an investigation is made.</text> </paragraph> <paragraph num="F."> <text>All heats or races shall be started from a starting gate or starting device or a design approved by the Commission.</text> </paragraph> <paragraph num="G."> <text>If racing pursuant to license is conducted at night, the post time for the first race shall be set by the association conducting the meeting, the time to be approved by the Commission. If, due to inclement weather, track conditions, power failure, or any other cause, the post time of the first race must be delayed, the post time of the first race may not be later than 8:45 p.m. The post time of the last heat or race may not be later than 11:59 p.m., unless permission is granted by the Maryland Racing Commission.</text> </paragraph> <paragraph num="H."> <text>Driving Rules.</text> <paragraph num="(1)"> <text>Although a leading horse is entitled to any part of the track, except after selecting a position in the home stretch, the driver of the first horse or any other driver in the race may not do any of the following things, which are considered violations of driving rules:</text> <paragraph num="(a)"> <text>Change either to the right or left during any part of the race when another horse is so near the driver that in altering his position the driver compels the horse behind the driver to shorten his stride, or causes the driver of the other horse to pull him out of his stride;</text> </paragraph> <paragraph num="(b)"> <text>Jostle, strike, hook wheels, or interfere with another horse or driver;</text> </paragraph> <paragraph num="(c)"> <text>Cross sharply in front of a horse or cross over in front of a field of horses in a reckless manner, endangering other drivers;</text> </paragraph> <paragraph num="(d)"> <text>Swerve in and out or pull up quickly;</text> </paragraph> <paragraph num="(e)"> <text>Crowd a horse or driver by “putting a wheel under him”;</text> </paragraph> <paragraph num="(f)"> <text>Carry a horse out;</text> </paragraph> <paragraph num="(g)"> <text>Sit down in front of a horse or take up abruptly in front of other horses so as to cause confusion or interference among trailing horses;</text> </paragraph> <paragraph num="(h)"> <text>Let a horse pass inside needlessly, or otherwise help another horse improve his position in the race;</text> </paragraph> <paragraph num="(i)"> <text>Commit any act which impedes the progress of another horse or causes him to break;</text> </paragraph> <paragraph num="(j)"> <text>Change course after selecting a position in the home stretch or swerve in and out, or bear in and out, in such a manner as to interfere with another horse or cause him to change course or take back;</text> </paragraph> <paragraph num="(k)"> <text>Drive in a careless or reckless manner;</text> </paragraph> <paragraph num="(l)"> <text>Whip under the arch of the sulky, the penalty for which is not less than 10 days suspension;</text> </paragraph> <paragraph num="(m)"> <text>Lay off the normal pace, thereby leaving a hole when it is well within the horse's capability to keep the hole closed; or</text> </paragraph> <paragraph num="(n)"> <text>Drive a horse in a manner which would put the horse half-in or half-out of any racing lane on the racetrack.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In case of interference, collision, or violation of any of the above restrictions, the offending horse may be placed back one or more positions in that heat or dash, and if a collision or interference prevents any horse from finishing the heat or dash, the offending horse may be disqualified from receiving any winnings, and the driver may be fined not to exceed the amount of the purse or stake contended for, or may be suspended or expelled. If a horse is set back, under the provisions of this section, he shall be placed behind the horse with whom he interfered.</text> </paragraph> <paragraph num="(3)"> <text>If, in the opinion of the judges, a driver is for any reason unfit or incompetent to drive, refuses to comply with the directions of the judges, or displays reckless conduct and endangers the safety of horses or other drivers in the race, the driver may be removed and another driver substituted at any time after the positions have been assigned in a race, and the offending driver shall be fined, suspended, or expelled. The substitute driver shall be properly compensated.</text> </paragraph> <paragraph num="(4)"> <text>If, for any cause other than being interfered with or broken equipment, a horse fails to finish after starting in a heat, that horse shall be ruled out.</text> </paragraph> <paragraph num="(5)"> <text>Loud shouting or other improper conduct is forbidden in a race.</text> </paragraph> <paragraph num="(6)"> <text>A driver shall:</text> <paragraph num="(a)"> <text>Keep both feet in the stirrups and a line in each hand from the start of the race until after the finish of the race;</text> </paragraph> <paragraph num="(b)"> <text>Have control of their horse at all times; and</text> </paragraph> <paragraph num="(c)"> <text>Adjust handholds so as to be taut with elbows in front of the chest.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>A driver may:</text> <paragraph num="(a)"> <text>Carry a whip not to exceed 4 feet plus a snapper not longer than 6 inches; and</text> </paragraph> <paragraph num="(b)"> <text>Use the whip to hit the wheel disc or shaft if it does not interfere with another horse or driver.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>The use of any goading device, chain, or mechanical devices or appliances, other than the ordinary whip or crop, upon any horse in any race, constitutes a violation of this rule.</text> </paragraph> <paragraph num="(9)"> <text>A driver may not:</text> <paragraph num="(a)"> <text>Use the whip or crop in a brutal, excessive or indiscriminate manner;</text> </paragraph> <paragraph num="(b)"> <text>Cause visible injury to a horse;</text> </paragraph> <paragraph num="(c)"> <text>Whip a horse after a race; or</text> </paragraph> <paragraph num="(d)"> <text>Whip below the shaft.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>Breaking.</text> <paragraph num="(a)"> <text>When a horse breaks from its gait in trotting or pacing, its driver shall at once:</text> <paragraph num="(i)"> <text>Except as provided in §H(10)(b) of this regulation, take the horse to the outside or to the inside;</text> </paragraph> <paragraph num="(ii)"> <text>Pull the horse to its gait; and</text> </paragraph> <paragraph num="(iii)"> <text>Lose ground on the field.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>If the pulling of a horse on a break to its gait and losing ground does not interfere with a trailing horse, the driver of the horse is not required to take the horse to the outside or the inside.</text> </paragraph> <paragraph num="(c)"> <text>If there has been no failure on the part of the driver to comply with the provisions of §H(10)(a) of this regulation, the horse may not be set back unless a contending horse on its gait is lapped on the hind quarter of the breaking horse at the finish.</text> </paragraph> <paragraph num="(d)"> <text>The judges may set any horse back one or more places if, in their judgment, any of the above violations have been committed.</text> </paragraph> <paragraph num="(e)"> <text>It is not a violation of §I of this regulation if:</text> <paragraph num="(i)"> <text>A breaking horse is taken inside the hub rail or euro rail in a straightaway when complying with §H(10)(a)(i) of this regulation; and</text> </paragraph> <paragraph num="(ii)"> <text>The horse, when clear, comes back onto the track before entering a turn.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(11)"> <text>If, in the opinion of the judges, a driver allows his horse to break for the purpose of fraudulently losing a heat, the driver is liable to the penalties elsewhere provided for fraud and fouls.</text> </paragraph> <paragraph num="(12)"> <text>To assist in determining the matters contained in §H(9) and (10) of this regulation, it is the duty of one of the judges to call out each break made, and the clerk at once shall note the break and character of it in writing.</text> </paragraph> <paragraph num="(13)"> <text>The time between separate heats of a single race is not less than 40 minutes. A heat may not be called after sunset when the track is not lighted for night racing.</text> </paragraph> <paragraph num="(14)"> <text>Horses called for a race have the exclusive right of the course, and all other horses shall vacate the track at once, unless permitted to remain by the judges.</text> </paragraph> <paragraph num="(15)"> <text>In the case of accidents, only so much time is allowed as the judges may deem necessary and proper.</text> </paragraph> <paragraph num="(16)"> <text>A driver shall be mounted in his sulky at the finish of the race, or the horse shall be placed as not finishing.</text> </paragraph> <paragraph num="(17)"> <text>Whipping action shall be limited to wrist action only with minimal elbow movement.</text> </paragraph> <paragraph num="(18)"> <text>A driver violating any of the whipping rules shall be subject to disciplinary action and or disqualification.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Hub Rail or Euro Rail.</text> <paragraph num="(1)"> <text>When a euro rail is used, the pylons may not be farther than 25 feet apart from the half-mile pole to the head of the stretch.</text> </paragraph> <paragraph num="(2)"> <text>If a horse or part of a horse's sulky leaves the course by going inside the hub rail or euro rail and, in the opinion of the judges, the action gave the horse an unfair advantage over other horses in the race or the action helped the horse improve its position in the race, the horse may be disqualified from receiving any winnings.</text> </paragraph> <paragraph num="(3)"> <text>In the case of an act of interference or a violation of §H(1) of this regulation, which causes a horse or part of a horse's sulky to leave the course by going inside the hub rail or euro rail, and the horse is placed by the judges, the offending horse shall be placed behind the horse with which the offending horse interfered.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Open Stretch Racing.</text> <paragraph num="(1)"> <text>With the approval of the Commission, a racing association may widen the homestretch of its race course up to 10 feet inward to create a passing lane for the purpose of allowing a horse to improve its position during the stretch run.</text> </paragraph> <paragraph num="(2)"> <text>When a passing lane exists:</text> <paragraph num="(a)"> <text>A horse may not enter the passing lane except:</text> <paragraph num="(i)"> <text>When entering the final homestretch run, and</text> </paragraph> <paragraph num="(ii)"> <text>For the purpose of attempting to improve the horse's position;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The lead horse in the homestretch may not enter or encroach upon the passing lane.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The purpose and intent of open stretch racing shall take precedence over other sections of this regulation which may conflict with it.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".34" heading="and .35 Repealed." /> <regulation prefix="Regulation" num=".36" heading="Sulky Specifications."> <paragraph num="A."> <text>A sulky shall consist of the following parts which are attached to one another in such a way that they remain together during normal use and testing:</text> <paragraph num="(1)"> <text>Arch;</text> </paragraph> <paragraph num="(2)"> <text>Two forks;</text> </paragraph> <paragraph num="(3)"> <text>Seat and seat plate;</text> </paragraph> <paragraph num="(4)"> <text>Two shafts;</text> </paragraph> <paragraph num="(5)"> <text>Two stirrups; and</text> </paragraph> <paragraph num="(6)"> <text>Two wheels with tires and wheel covers.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The arch under §A(1) of this regulation shall be:</text> <paragraph num="(1)"> <text>Parallel to the ground;</text> </paragraph> <paragraph num="(2)"> <text>Not less than 28 inches or more than 35 inches from the ground when measured with the wheels and tires attached;</text> </paragraph> <paragraph num="(3)"> <text>Not less than 1 inch higher than the top of the wheel and tire;</text> </paragraph> <paragraph num="(4)"> <text>Not less than 47 inches or more than 56 inches wide when measured from the inside at the point of the axle nuts; and</text> </paragraph> <paragraph num="(5)"> <text>Not more than 76 inches from the point the shaft is attached to the arch to the center line of the harness where the horse is hitched, as measured along the shaft when the sulky is attached to the horse.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A fork under §A(2) of this regulation shall be:</text> <paragraph num="(1)"> <text>Attached to a side of the arch and to the shaft on that side of the arch; and</text> </paragraph> <paragraph num="(2)"> <text>Separated from the other fork by a distance, when measured at the axle nuts, which is 6 inches wider than the inside measurement between the shafts when the separation between the shafts is measured at the front of the arch.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The seat plate under §A(3) of this regulation shall:</text> <paragraph num="(1)"> <text>Be mounted on the arch;</text> </paragraph> <paragraph num="(2)"> <text>Have not more than a 6-inch difference in the measurement of the distance from the ground to the plate than the distance from the ground to the heel of the stirrup when the sulky is hitched at 54 inches; and</text> </paragraph> <paragraph num="(3)"> <text>Have a padded seat securely attached in a fixed position, the back of which may not be:</text> <paragraph num="(a)"> <text>Higher than 4 inches; or</text> </paragraph> <paragraph num="(b)"> <text>More than 19 inches from the front of the arch.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The shafts under §A(4) of this regulation:</text> <paragraph num="(1)"> <text>Shall be independent of one another;</text> </paragraph> <paragraph num="(2)"> <text>Shall be attachable to the horse either with:</text> <paragraph num="(a)"> <text>Quick-hitch fixtures accompanied by safety straps, or</text> </paragraph> <paragraph num="(b)"> <text>Conventional tie-downs;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Shall be separated from each other by not less than 42 inches or more than 50 inches when measured at the front of the arch; and</text> </paragraph> <paragraph num="(4)"> <text>May not, when attached to the horse:</text> <paragraph num="(a)"> <text>Project beyond the shoulder of the horse, and</text> </paragraph> <paragraph num="(b)"> <text>Be higher than the withers of the horse.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>The stirrups under §A(5) of this regulation shall be:</text> <paragraph num="(1)"> <text>Not more than 8 inches wide; and</text> </paragraph> <paragraph num="(2)"> <text>Attached, one to the inside of each shaft, at a point where the stirrups are separated from each other by not less than 30 inches.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The wheels under §A(6) of this regulation each shall be:</text> <paragraph num="(1)"> <text>Between 26 inches and 28 inches in diameter when measured from the outside edges of the tire;</text> </paragraph> <paragraph num="(2)"> <text>Covered with light and durable unicolor or colorless wheel disc covers; and</text> </paragraph> <paragraph num="(3)"> <text>When necessary, inhibited from discharging residue from the tire by the use of a mud fender securely attached to the sulky.</text> </paragraph> </paragraph> <paragraph num="H."> <text>When enforcing the specifications under this regulation, the judges, in determining the safety, fitness, and reliability of a sulky, may rely on:</text> <paragraph num="(1)"> <text>Manufacturers' certifications; and</text> </paragraph> <paragraph num="(2)"> <text>Current inspection stickers affixed by manufacturers' representatives.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".37" heading="Trainers."> <paragraph num="A."> <text>Licensing.</text> <paragraph num="(1)"> <text>An individual wishing to apply for a license as a trainer shall make application under the individual's legal name.</text> </paragraph> <paragraph num="(2)"> <text>Requirements for Licensing. To be licensed as a trainer, an individual shall:</text> <paragraph num="(a)"> <text>Be 18 years old or older;</text> </paragraph> <paragraph num="(b)"> <text>Be financially responsible; and</text> </paragraph> <paragraph num="(c)"> <text>Provide proof of ability to act as a trainer.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>A licensed trainer shall maintain financial responsibility while licensed.</text> </paragraph> <paragraph num="C."> <text>A trainer shall be responsible at all times for the condition of a horse under the trainer's care.</text> </paragraph> <paragraph num="D."> <text>Repealed.</text> </paragraph> <paragraph num="E."> <text>A trainer may not harbor or employ an individual on the grounds of a racing association that is under the jurisdiction of the Commission if the individual is not licensed by the Commission.</text> </paragraph> <paragraph num="F."> <text>A trainer shall:</text> <paragraph num="(1)"> <text>Attend a horse under the trainer's care when the horse is in the paddock;</text> </paragraph> <paragraph num="(2)"> <text>Be present to supervise the horse's harnessing, unless the trainer has obtained the permission of a judge to assign the responsibility for harnessing the horse to another licensed trainer; and</text> </paragraph> <paragraph num="(3)"> <text>Remain the absolute insurer of a horse the trainer has entered.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The presiding judge may permit a trainer to act, after an application has been filed, pending action on the trainer's application.</text> </paragraph> <paragraph num="H."> <text>A horse under the care of a trainer whose license is suspended or revoked is ineligible to participate in a race, unless permission has been given by the authority which issued the suspension or revocation to transfer the horse to the care of a trainer in good standing.</text> </paragraph> <paragraph num="I."> <text>A licensed trainer may not:</text> <paragraph num="(1)"> <text>Take or keep in the trainer's charge a horse owned, wholly or in part, or controlled by a person unlicensed as an owner; or</text> </paragraph> <paragraph num="(2)"> <text>Serve as the trainer of record for a horse not under the trainer's active care and supervision.</text> </paragraph> </paragraph> <paragraph num="J."> <text>An individual who is responsible for the training of a horse but who is not licensed as a trainer or, if so licensed, is not listed as the trainer of the horse on the entry form may be sanctioned by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".38" heading="Trainer-Driver."> <paragraph num="A."> <text>Each trainer-driver shall obtain a license from the Commission. Before issuance of a license, a trainer-driver may be required to satisfy the Commission of his financial responsibility. A trainer-driver shall maintain his financial responsibility so long as he is licensed by the Commission.</text> </paragraph> <paragraph num="B."> <text>A trainer-driver may not practice his profession except under his own name.</text> </paragraph> <paragraph num="C."> <text>The presiding judge may permit a trainer-driver to act, after an application has been filed, pending action on his application.</text> </paragraph> <paragraph num="D."> <text>A licensed trainer-driver and driver may represent the owner in the matter of entries, declarations, and the employment of drivers.</text> </paragraph> <paragraph num="E."> <text>A trainer-driver shall have his horse in the paddock at the time appointed.</text> </paragraph> <paragraph num="F."> <text>A trainer-driver may not have in charge or under his supervision any horse owned, in whole or in part, by a disqualified person.</text> </paragraph> <paragraph num="G."> <text>A trainer-driver may not accept, directly or indirectly, any bribe, gift, or gratuity in any form which might influence the result of any race or which would tend to do so.</text> </paragraph> <paragraph num="H."> <text>A trainer-driver may not employ a driver for the purpose of preventing him from driving in any race.</text> </paragraph> <paragraph num="I."> <text>Trainer-drivers having charge, custody, or care of a horse or horses are obligated to properly protect the horses and guard against any violation of the Corrupt Practices Rules. The trainer-driver is responsible at all times for the condition of all horses trained by him.</text> </paragraph> <paragraph num="J."> <text>Trainer-drivers who make frivolous complaints may be fined or suspended by the presiding judge.</text> </paragraph> <paragraph num="K."> <text>When any person subject to the jurisdiction of the Commission is formally charged with violation of the racing rules or any criminal statute of this or any other state, the Commission may suspend him until the charge has been tried, dismissed, or otherwise disposed of. When a person subject to the jurisdiction of the Commission is convicted of a criminal offense, in this or any other state, or the United States, the Commission may suspend or revoke the person's license.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".39" heading="Veterinarians."> <paragraph num="A."> <text>The Commission shall designate and employ a Chief Veterinarian and other veterinarians it considers necessary, and assign the veterinarians to serve at a Maryland track when live racing is conducted at the track.</text> </paragraph> <paragraph num="B."> <text>A veterinarian employed by the Commission shall:</text> <paragraph num="(1)"> <text>Visually examine a horse appearing in the day's entries while the horse is warming up on the track before the race in which it is to run;</text> </paragraph> <paragraph num="(2)"> <text>Be in the paddock before a race and visually inspect the horses in the race;</text> </paragraph> <paragraph num="(3)"> <text>Report a horse's racing condition to the presiding judge, if, in the opinion of the veterinarian:</text> <paragraph num="(a)"> <text>The horse is not in condition to race; or</text> </paragraph> <paragraph num="(b)"> <text>By racing, the horse may cause injury to:</text> <paragraph num="(i)"> <text>Itself,</text> </paragraph> <paragraph num="(ii)"> <text>Its driver, or</text> </paragraph> <paragraph num="(iii)"> <text>Other participants in the race;</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>Ensure that blood is drawn for testing purposes from the horses designated by the presiding judge or the Commission; and</text> </paragraph> <paragraph num="(5)"> <text>Perform examinations and tests that, from time to time, may be required by the presiding judge.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A horse reported to the presiding judge in accordance with §B(3) of this regulation shall be:</text> <paragraph num="(1)"> <text>Scratched out of the race by the presiding judge;</text> </paragraph> <paragraph num="(2)"> <text>Automatically placed on the veterinarian's list; and</text> </paragraph> <paragraph num="(3)"> <text>Prohibited from entering until the veterinarian notifies the presiding judge that the horse is again fit to compete.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If an individual connected to a horse entered in a race prevents the horse from being examined, the presiding judge shall:</text> <paragraph num="(1)"> <text>Be notified; and</text> </paragraph> <paragraph num="(2)"> <text>Order the horse scratched from the race.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Restrictions on Veterinarians Employed by the Commission.</text> <paragraph num="(1)"> <text>A veterinarian in the employ of the Commission is not permitted to treat or prescribe for a horse on the grounds of, or registered to race at, a track under the jurisdiction of the Commission, except in the case of an emergency.</text> </paragraph> <paragraph num="(2)"> <text>When a veterinarian in the employ of the Commission treats a horse under the exception to §E(1) of this regulation, a full and complete report shall be made to the presiding judge.</text> </paragraph> <paragraph num="(3)"> <text>A person licensed by the Commission may not employ or pay compensation to a veterinarian in the employ of the Commission, either directly or indirectly, during the period for which the veterinarian is so employed.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Practicing Veterinarians.</text> <paragraph num="(1)"> <text>An individual is not allowed to practice as a veterinarian on the grounds of a racing association that is under the jurisdiction of the Commission until the individual has obtained a license from the Commission to practice.</text> </paragraph> <paragraph num="(2)"> <text>An individual licensed by the Commission to practice veterinary medicine at a track under its jurisdiction is subject to the:</text> <paragraph num="(a)"> <text>Standards of conduct and ethics prescribed by the State Board of Veterinary Medical Examiners and those standards prescribed in Agriculture Article, §2-310, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(b)"> <text>Provisions of COMAR 09.10.04.03D and Regulation .19 of this chapter.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A veterinarian practicing at a track under the jurisdiction of the Commission shall file a report with the judges as to any medication prescribed or administered, or professional service performed.</text> </paragraph> <paragraph num="(4)"> <text>A report filed in accordance with §F(3) of this regulation shall:</text> <paragraph num="(a)"> <text>Be delivered in person or postmarked within 48 hours after the time of treatment; and</text> </paragraph> <paragraph num="(b)"> <text>Remain confidential, except that:</text> <paragraph num="(i)"> <text>A Commission veterinarian may compile general data from the report to assist the Commission in formulating policies or rules, and</text> </paragraph> <paragraph num="(ii)"> <text>The judges may review the report in investigating a possible violation of the regulations.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".41" heading="Miscellaneous."> <paragraph num="A."> <text>A farrier may not be allowed to shoe horses at the race track of any racing association under the jurisdiction of the Commission until the farrier has obtained a license from the Commission. The license shall be applied for and issued annually. The license may be revoked or suspended, for cause, by the Commission. Before issuance of a license, a farrier may be required to satisfy the Commission of his financial responsibility. The farrier shall maintain his financial responsibility so long as he is licensed by the Commission.</text> </paragraph> <paragraph num="B."> <text>The cycle of frequency of the totalisator board may not be more than 60 seconds.</text> </paragraph> <paragraph num="C."> <text>If any case occurs which is not, or which is alleged not to be, provided for by these rules, it shall be determined by the judges in such manner as they think just and conformable to the usages of the turf, and the judges may impose such punishment and take such other action in the matter as they deem to be within the intent of these rules, including reference to the Commission.</text> </paragraph> <paragraph num="D.—E."> <text>Repealed</text> </paragraph> <paragraph num="F."> <text>If at any time there is a conflict between the rules of the Maryland Racing Commission and the rules of the United States Trotting Association, the rules of the Commission shall govern.</text> </paragraph> <paragraph num="G."> <text>Any situation not covered by the rules of the Commission or the rules of the United States Trotting Association shall be referred to the Commission for disposition.</text> </paragraph> <paragraph num="H."> <text>Urine Test.</text> <paragraph num="(1)"> <text>The use or possession on the grounds of a harness racing association by persons licensed under this chapter of any controlled dangerous substance or prescription drug, as defined in Criminal Law Article, §5-101(f), Annotated Code of Maryland, is prohibited unless the substance was obtained directly or pursuant to a valid prescription or order from a licensed physician while acting in the course of his professional practice. It shall be the responsibility of the licensee to provide proof to the presiding judge that the licensee is using a controlled dangerous substance or prescription drug pursuant to a valid prescription or order from a licensed practitioner.</text> </paragraph> <paragraph num="(2)"> <text>On any day when harness racing is being conducted on the grounds of a licensed association, a driver scheduled to drive on that day, and any licensed Commission or association employees and other licensees having official duties relating to any of those races, upon a determination by the judges that there exists a reasonable suspicion to believe that the individual has in his system a drug as defined in §H(1) of this regulation, shall be deemed to have consented to a urine or any other non-invasive drug detection test which shall be conducted in a manner prescribed by the Commission. A person whose sample is positive may be subject to disciplinary action, may not be permitted to participate in any racing program until a negative test is shown, and the Commission may require the licensee to undergo a supervisory drug treatment program approved by it.</text> </paragraph> <paragraph num="(3)"> <text>Any of the licensee group specified in §H(2) of this regulation who, without good cause, refuse to take the drug detection test, may not be permitted to continue their duties on that racing day and shall be subject to disciplinary proceedings as provided in this chapter as if a positive specimen had been rendered.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Breathalyzer or Other Test for Alcohol.</text> <paragraph num="(1)"> <text>On a day when harness racing is being conducted on the grounds of a licensed association, a driver scheduled to drive on that day and any licensed Commission or association employees having official duties relating to any of those races, shall be deemed to have consented to a breathalyzer or any other non-invasive test for alcohol which shall be conducted in a manner prescribed by the Commission. A person whose test shows a reading of more than 0.05 percent alcohol in the blood may be subject to disciplinary action and may not be permitted to continue his duties on that racing day.</text> </paragraph> <paragraph num="(2)"> <text>Any of the licensee groups in §I(1) of this regulation who refuse to take the alcohol detection test, may not be permitted to continue their duties on that racing day and shall be subject to disciplinary proceedings as provided in this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".42" heading="Repealed." /> <regulation prefix="Regulation" num=".43" heading="Foaled Stakes Program."> <paragraph num="A."> <text>Definitions. In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Advisory Committee” means the Maryland Standardbred Race Fund Advisory Committee.</text> </paragraph> <paragraph num="(2)"> <text>“Breeder” means the owner or, if leased, the lessee of the dam at the time of breeding.</text> </paragraph> <paragraph num="(3)"> <text>“Conceived” means the impregnation of a dam, by means of natural or artificial insemination, by a Maryland stallion whose offspring meet the eligibility requirements for the Sire Stakes Program in Regulation .53 of this chapter.</text> </paragraph> <paragraph num="(4)"> <text>“Covered by a Maryland stallion” means to be bred to a Maryland stallion whose offspring meet the eligibility requirements for the Sire Stakes Program in Regulation .53 of this chapter.</text> </paragraph> <paragraph num="(5)"> <text>“USTA” means the United States Trotting Association.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Eligibility for Participation. For a horse to be eligible to participate in a race that is a part of the Foaled Stakes Program, the horse shall:</text> <paragraph num="(1)"> <text>Be registered with the Advisory Committee; and</text> </paragraph> <paragraph num="(2)"> <text>Have had paid in the horse's behalf all of the applicable registration, sustaining, and declaration fees required under this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Eligibility for Registration.</text> <paragraph num="(1)"> <text>A horse may be registered with the Advisory Committee if:</text> <paragraph num="(a)"> <text>The horse was foaled in Maryland, as shown by a registration certificate from the USTA; and</text> </paragraph> <paragraph num="(b)"> <text>At least one of the following conditions is met:</text> <paragraph num="(i)"> <text>The breeder of the horse has maintained a place of abode in Maryland for more than 9 months immediately before registration;</text> </paragraph> <paragraph num="(ii)"> <text>The breeder of the horse keeps breeding stock continually in Maryland;</text> </paragraph> <paragraph num="(iii)"> <text>The horse was conceived during the previous season by the horse’s dam being covered by a Maryland stallion registered with the Advisory Committee; or</text> </paragraph> <paragraph num="(iv)"> <text>The horse's dam was sent to Maryland to foal and, after foaling, was covered by a Maryland stallion during the season of the horse's birth.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>If, at the time of breeding, the dam is under lease, a lease agreement shall be on file in the office of the USTA.</text> </paragraph> <paragraph num="(3)"> <text>The eligibility requirements in this section are not applicable in regard to registration for the Sire Stakes Program in Regulation .53 of this chapter.</text> </paragraph> <paragraph num="(4)"> <text>If a foal is the product of an embryo/ovum transfer, only a donor mare's first born foal each year, resulting from such a transfer, is eligible for registration under this section.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Appeal of Refusal to Register a Horse.</text> <paragraph num="(1)"> <text>An owner or breeder may appeal to the Commission from a refusal of the Advisory Committee to register a horse under this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The owner or breeder who makes the appeal has the burden of proving the eligibility of the horse.</text> </paragraph> <paragraph num="(3)"> <text>The decision of the Commission is final.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Registration. Except as provided in §F of this regulation, to register a yearling the Advisory Committee shall be provided on or before May 15 with a:</text> <paragraph num="(1)"> <text>Completed form for the registration of the yearling;</text> </paragraph> <paragraph num="(2)"> <text>$40 registration fee.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Late or Incomplete Registration.</text> <paragraph num="(1)"> <text>A completed registration form; and</text> </paragraph> <paragraph num="(2)"> <text>Either:</text> <paragraph num="(a)"> <text>A $500 late fee by December 31; or</text> </paragraph> <paragraph num="(b)"> <text>A $1,000 late fee by March 15.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Sustaining Fees.</text> <paragraph num="(1)"> <text>Except as provided in §G(2) of this regulation, the following sustaining fees are required by the following dates for the maintenance of a horse's eligibility:</text> <paragraph num="(a)"> <text>First sustaining fee as a 2-year-old, $150 by March 15;</text> </paragraph> <paragraph num="(b)"> <text>Second sustaining fee as a 2-year-old, $200 by May 15; and</text> </paragraph> <paragraph num="(c)"> <text>Sustaining fee as a 3-year-old, $300 by February 15.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The second sustaining fee as a 2-year-old, due May 15, is optional and is required only to make the horse eligible to participate in the races provided by the Foaled Stakes Program for 2-year-olds.</text> </paragraph> <paragraph num="(3)"> <text>Except as provided in this regulation, a horse shall be disqualified from participation in any future races sponsored by this Program if there is a failure to make a timely payment of a fee under this section.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Time and Method of Payment.</text> <paragraph num="(1)"> <text>To be timely, the appropriate fee shall be:</text> <paragraph num="(a)"> <text>Delivered to the Advisory Committee Administrator by the designated due date; or</text> </paragraph> <paragraph num="(b)"> <text>Mailed bearing a postmark which is on or before the due date.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the due date for a payment falls on a weekend or a holiday observed in this State, the payment shall be timely if:</text> <paragraph num="(a)"> <text>Delivered to the Advisory Committee Administrator by the next business day; or</text> </paragraph> <paragraph num="(b)"> <text>Mailed and bearing a postmark which is not later than the next business day.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Exceptions may not be made to the requirements of this section.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Declaration Fee. A declaration fee of $250 is required to be made by the post time for the race into which the horse is declared.</text> </paragraph> <paragraph num="J."> <text>The owner of the horse is responsible for the declaration fee, and, if the owner of the horse is not the declarer of the horse, the person making the declaration is also responsible for the declaration fee.</text> </paragraph> <paragraph num="K."> <text>Eligibility to Start.</text> <paragraph num="(1)"> <text>A horse, otherwise eligible to participate in this program, may not be declared into a race unless the horse has at least one satisfactory charted performance line at the time set for declaring in.</text> </paragraph> <paragraph num="(2)"> <text>A satisfactory charted performance line is a performance line:</text> <paragraph num="(a)"> <text>Credited to a horse after the horse starts from behind a starting gate in a qualifying or purse race within 45 days of the Foaled Stakes Program race in which the horse is to participate; and</text> </paragraph> <paragraph num="(b)"> <text>Which shows that the horse has completed the race without a break, other than a break caused by interference or broken equipment, at, or within, the following times according to the horse's age and gait:</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A 2-second allowance to the minimum performance time shall be granted on any trotting event held before May 1.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Use of Fees.</text> <paragraph num="(1)"> <text>All registration fees, sustaining fees, and penalties, less administrative costs, shall be added to the purse monies.</text> </paragraph> <paragraph num="(2)"> <text>All declaration fees shall be added to the purse for the event for which the fees were paid.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Provision may be made for the running of the following races at a distance of 1 mile, to be known as the Foaled Stakes Program races, which shall be open only to those horses eligible to participate in the Foaled Stakes Program:</text> <paragraph num="(1)"> <text>2-year-old filly pace;</text> </paragraph> <paragraph num="(2)"> <text>2-year-old colt pace;</text> </paragraph> <paragraph num="(3)"> <text>2-year-old filly trot;</text> </paragraph> <paragraph num="(4)"> <text>2-year-old colt trot;</text> </paragraph> <paragraph num="(5)"> <text>3-year-old filly pace;</text> </paragraph> <paragraph num="(6)"> <text>3-year-old colt pace;</text> </paragraph> <paragraph num="(7)"> <text>3-year-old filly trot; and</text> </paragraph> <paragraph num="(8)"> <text>3-year-old colt trot.</text> </paragraph> </paragraph> <paragraph num="N."> <text>The various age, sex, and gait divisions established under §M of this regulation may, from time to time, be eliminated by the Commission upon the recommendation of the Advisory Committee.</text> </paragraph> <paragraph num="O."> <text>Each age, sex, and gait division, depending upon the availability of funds, may not be raced more than three times per year.</text> </paragraph> <paragraph num="P."> <text>The purse amounts for the races authorized under §M of this regulation shall be determined by the Advisory Committee and approved by the Commission.</text> </paragraph> <paragraph num="Q."> <text>Breeder Awards.</text> <paragraph num="(1)"> <text>An 8 percent Breeder Award, based upon the amount of the purse distributed, shall be awarded to the dam of a horse, if the horse:</text> <paragraph num="(a)"> <text>Receives purse monies from a race provided for under §M of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>Meets the eligibility requirements set forth for registration in the Sire Stakes Program under Regulation .53 of this chapter.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A 4 percent stallion award based upon the amount of the purse distributed in a “final”, shall be awarded to the sire of the horse provided the stallion was a registered Maryland stallion at the time of conception.</text> </paragraph> <paragraph num="(3)"> <text>The awards, as apportioned under §Q(2) of this regulation, shall be paid to the:</text> <paragraph num="(a)"> <text>Individual or entity who was the owner of record with the USTA of the dam and sire at the time the horse was bred; or</text> </paragraph> <paragraph num="(b)"> <text>Lessee of the horse, rather than the owner, if the:</text> <paragraph num="(i)"> <text>Dam or the sire, respectively, was leased at the time the breeding took place; and</text> </paragraph> <paragraph num="(ii)"> <text>Lease was on record with the USTA at that time.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="R."> <text>If more horses are declared to start in an event than can fit on the starting gate, the licensee holding the event shall split the event and divide the purse equally, except the declaration fees shall be allocated based on the number of horses in each division.</text> </paragraph> <paragraph num="S."> <text>Gait.</text> <paragraph num="(1)"> <text>A horse's gait shall be specified and accompany each sustaining fee.</text> </paragraph> <paragraph num="(2)"> <text>A change of the horse's specified gait may be made at the time the horse is declared into a race.</text> </paragraph> <paragraph num="(3)"> <text>Any payments made before a change in the specified gait of a horse shall be credited to the races for the gait originally specified.</text> </paragraph> </paragraph> <paragraph num="T."> <text>Time.</text> <paragraph num="(1)"> <text>The time for starters to declare into a Foaled Stakes Program race shall be the same as the time established by the race track for declaring into an overnight race.</text> </paragraph> <paragraph num="(2)"> <text>If the race track schedules the time for drawing into an overnight race more than 5 days before the running of the races, a Foaled Stakes Program race may not be drawn with these races, but shall be drawn at a time that is not more than 5 days before the scheduled running of the race.</text> </paragraph> </paragraph> <paragraph num="U."> <text>Purse Distribution.</text> <paragraph num="(1)"> <text>Purses for all races shall be divided:</text> <paragraph num="(a)"> <text>50 percent to the winner;</text> </paragraph> <paragraph num="(b)"> <text>25 percent to second;</text> </paragraph> <paragraph num="(c)"> <text>12 percent to third;</text> </paragraph> <paragraph num="(d)"> <text>8 percent to fourth; and</text> </paragraph> <paragraph num="(e)"> <text>5 percent to fifth.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In the event fewer than five horses start, undistributed purse money shall be retained by the Race Fund.</text> </paragraph> <paragraph num="(3)"> <text>Walkovers will be paid 50 percent of the advertised purse.</text> </paragraph> <paragraph num="(4)"> <text>Unless the Commission eliminates the races for one of the age groups in accordance with §R of this regulation, the purse monies to be distributed each year on behalf of the Sire Stakes Program shall be divided equally between races for 2-year-olds and races for 3-year-olds.</text> </paragraph> <paragraph num="(5)"> <text>Unless the Commission eliminates the races for one of the gaits in accordance with §R of this regulation, the purse monies in each age category shall be divided equally between races for trotters and races for pacers.</text> </paragraph> </paragraph> <paragraph num="V."> <text>With the advice of the Advisory Committee the Commission may allow all Foaled Stakes Program races to be held at any race track in Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".44" heading="Pari-Mutuels."> <paragraph num="A."> <text>The Maryland Racing Commission, acting under authority of the law creating it, hereby establishes the pari-mutuel system as the only legal system of wagering on harness races on all harness racing tracks in the State over which it has jurisdiction.</text> </paragraph> <paragraph num="B."> <text>Associations shall use vending machines for the sale of pari-mutuel tickets unless otherwise authorized by the Commission. All associations shall use a totalisator approved by the Commission. A totalisator may not be deemed one of approved design unless it is capable of:</text> <paragraph num="(1)"> <text>Registering by automatic electric or mechanical means on central aggregators all wagers made on each horse, each entry, or the field, in each of the straight, place, or show pools; and</text> </paragraph> <paragraph num="(2)"> <text>Displaying the registered totals so as to permit ready tabulation by the Commission's representative.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The controls necessary to operate the infield board, and other similar boards, relative to the way the horses finish (if the finish is being contested, if there is a photo, dead heat and time of race) are to be located in the judge's stand and controlled by the presiding judge or an associate judge designated to do so.</text> </paragraph> <paragraph num="D."> <text>Definitions. For the purpose of pari-mutuel wagering, every heat shall be a separate and distinct race. Where the term “race” is used in these rules, it shall be considered to apply as if the term “heat” or “dash” had been used.</text> </paragraph> <paragraph num="E."> <text>The race becomes “official” when the “official” sign is purposely displayed by the judges.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".45" heading="Sale of Pari-Mutuel Tickets."> <paragraph num="A."> <text>Sale of Tickets.</text> <paragraph num="(1)"> <text>Only one method of selling pari-mutuel tickets shall be used for the sale of tickets on individual races during any racing day.</text> </paragraph> <paragraph num="(2)"> <text>A pari-mutuel ticket may not be sold except through regular ticket windows properly designated by signs showing the type of tickets sold at that particular window.</text> </paragraph> <paragraph num="(3)"> <text>A pari-mutuel ticket may not be sold on any race unless the race is on that day's card of the association, except with the approval of the Commission or the Commission's representative.</text> </paragraph> <paragraph num="(4)"> <text>A pari-mutuel ticket may not be sold on an event for which the totalisator has been closed for betting on the event.</text> </paragraph> <paragraph num="(5)"> <text>An association is not responsible for a ticket sale started, but not completed, before the totalisator has been closed for betting on the event.</text> </paragraph> <paragraph num="(6)"> <text>Claims pertaining to a mistake on an issued or unissued ticket shall be made by the bettor before leaving the teller's window.</text> </paragraph> <paragraph num="(7)"> <text>An association has no obligation to enter a bet into a betting pool if unable to do so as a result of equipment failure.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Bookmaking or wagering other than pari-mutuel wagering is prohibited.</text> </paragraph> <paragraph num="C."> <text>A person younger than 18 years old may not purchase or cash pari-mutuel tickets.</text> </paragraph> <paragraph num="D."> <text>All wagering shall stop as soon as the word “go” is given either by record or by the voice of the starter. Vending machines shall be electrically locked by the presiding judge or an associate judge from the judge's stand.</text> </paragraph> <paragraph num="E."> <text>When the vending machines have been closed they shall remain closed until the race is declared “official”, unless otherwise opened on approval of the Commission's representative.</text> </paragraph> <paragraph num="F."> <text>Pari-mutuel tickets shall be sold in denominations approved by the Commission.</text> </paragraph> <paragraph num="G."> <text>The method of selling pari-mutuel tickets shall be approved by the Commission's representative.</text> </paragraph> <paragraph num="H."> <text>The manager of the pari-mutuel department shall be properly and timely advised by the presiding judge, before the beginning of wagering on each race, of the number of horses that will compete in the race and any driver changes from those listed in the official program.</text> </paragraph> <paragraph num="I."> <text>The least number of horses in separate interests that can take part in a race in which payment out of the several pools may be made is:</text> <paragraph num="(1)"> <text>Five for win, place, and show;</text> </paragraph> <paragraph num="(2)"> <text>Four for win and place;</text> </paragraph> <paragraph num="(3)"> <text>Three for win; and</text> </paragraph> <paragraph num="(4)"> <text>In exceptional instances, with the consent of the Maryland Racing Commission, win pools which may be sold with only two horses engaged.</text> </paragraph> </paragraph> <paragraph num="J."> <text>The consent of the Maryland Racing Commission shall be obtained to call off betting in the various pools as follows:</text> <paragraph num="(1)"> <text>Show, if five or more separate interests are engaged in a race;</text> </paragraph> <paragraph num="(2)"> <text>Place, if four or more separate interests are engaged in a race; and</text> </paragraph> <paragraph num="(3)"> <text>Win, if three or more separate interests are engaged in a race.</text> </paragraph> </paragraph> <paragraph num="K."> <text>On all tracks when the horse units provided for wagering on the totalisator board are less than the horses competing in the race, all horses in excess of the maximum number of units provided for wagering, less one, shall be grouped together in the betting to constitute the “field”, a wager on any one of the “field” being a wager on all horses so grouped.</text> </paragraph> <paragraph num="L."> <text>The association, with the consent of the Commission's representative, may prohibit wagering on any particular horse or entry in any race. Consent shall be sought by the association from the representative of the Maryland Racing Commission after the entries are closed on the day previous to that during which the race or races in which exclusions are desired. The exclusions shall be clearly indicated on the program, and any excluded horse or horses may not be numbered so as to imply that they are coupled in the “field.” Horses once excluded from the wagering shall remain excluded from the wagering in any race during the day on which they are scheduled to start.</text> </paragraph> <paragraph num="M."> <text>When two or more horses that are owned in whole, or in part, or are trained by the same trainer, or trained in the same stable, or by the same management, start in a race, they shall be coupled as an “entry,” and a wager on one shall be a wager on all of them. However, when a trainer enters two or more horses in a stake race, early closing, futurity, free-for-all, elimination, or other special event, under bona fide separate ownerships, the horses may, at the request of the association and with the approval of the Commission's representative, be permitted to race as separate betting entries. If a race is split into two or more divisions, horses in an “entry” shall be seeded in separate divisions insofar as possible, but the division in which they compete and their post positions shall be drawn by lot.</text> </paragraph> <paragraph num="N."> <text>A refund of the cost value shall be made on tickets bearing the number of a horse scratched or withdrawn before the horse becomes a starter in a race.</text> </paragraph> <paragraph num="O."> <text>If the judges or the veterinarian excuse a horse and order it scratched before it is in the hands of the starter, and this action reduces the number of horses in separate interests actually engaged in the race below the number required for win, place, or show wagering, refunds shall be made of the win, place, or show tickets on the horses.</text> </paragraph> <paragraph num="P."> <text>If a horse is prevented from running due to a failure of the starting gate, a refund of all tickets shall be made.</text> </paragraph> <paragraph num="Q."> <text>The “take” (commission) and the “breakage” shall be in accordance with the law existing at the time of the race meeting.</text> </paragraph> <paragraph num="R."> <text>In establishing the pay-off in each pool for every race, the calculations shall be made on the dollar, and any balance that may result in the division on which the result is determined need not be paid in pennies, but in every instance the breakage allowance shall be less than 10 cents, the dollar being the unit.</text> </paragraph> <paragraph num="S."> <text>“Minus pools” shall be charged against the breakage, in accordance with the law existing at the time of the race meeting.</text> </paragraph> <paragraph num="T."> <text>Payments due on all wagers shall be made in conformity with well established practices of the pari-mutuel system. The practice is to work in dollars and not in the number of tickets. Money wagered on winning tickets is returned in full plus the profits. Notwithstanding any other rule of the pari-mutuel rules for wagering, in all cases, each association shall distribute not less than $2.10 on each $2 wager, or in accordance with the law existing at the time of the race meeting.</text> </paragraph> <paragraph num="U."> <text>Excused or Scratched Horse.</text> <paragraph num="(1)"> <text>The judges may excuse a horse and order it scratched from a race at any time before the horses are dispatched by the starter. Tickets purchased on scratched horses shall be redeemed at their face value unless the excused or scratched horse is part of an “entry” or “field”.</text> </paragraph> <paragraph num="(2)"> <text>When a horse that is part of an entry or field is scratched after betting on the race has begun, all wagers on the entry or field remain in effect as long as a horse from the entry or field remains in the race. If the entire entry or field is scratched, the tickets purchased on the entry or field shall be redeemed at their face value.</text> </paragraph> <paragraph num="(3)"> <text>At a track equipped with a totalisator system with the capability to cancel and refund tickets before the running of a race, the time that betting has begun on a horse in an entry or the field is considered to be the time that win odds are first displayed on the track's infield tote board on the race in which the horse is to compete, or when the probable payoff prices are posted on the first race of a multiple race pool of which the horse's race forms a part. If a horse is scratched before betting has begun, and if tickets have been sold upon an affected entry or field before the time when betting has begun, the tickets may not be refunded unless the holders of the tickets present them for cancellation before betting on the race has begun, or the first race of a multiple pool. Tickets not presented for cancellation by this time are considered as wagers upon the remaining horses in the entry or field.</text> </paragraph> </paragraph> <paragraph num="V."> <text>The result of every race is determined, insofar as the Mutuel Department pay-off is affected, when it is posted as “Official”, and an immediate distribution of the respective pools is required. A subsequent change in the order of finish, and a run-off of a dead heat may not involve the Mutuel Department.</text> </paragraph> <paragraph num="W."> <text>Except when a dead heat occurs, or when a field horse or horses or entries are involved in the result of a race, or when no ticket has been sold on a horse finishing first, second, or third, the distribution of pools shall be as follows:</text> <paragraph num="(1)"> <text>The distributable portion (gross pool less allowable commission) of the straight pool shall be paid to holders of tickets on the horse that finishes first.</text> </paragraph> <paragraph num="(2)"> <text>The distributable portion of the place pool (gross pool less allowable commission and money wagered on first and second horses) shall be divided equally between the winning horse and the horse finishing second, payments being made to holders of place tickets on the horses.</text> </paragraph> <paragraph num="(3)"> <text>The distributable portion of the show pool (gross pool less allowable commission and money wagered on first, second, and third horses) shall be divided into three equal parts and shall be apportioned one part to the winner, one part to the second horse, and one part to the third horse.</text> </paragraph> <paragraph num="(4)"> <text>All payments to holders of tickets entitled to share in the distribution of the respective pools shall be in the proportion of their investment on the horse or horses sharing in the distribution from these pools, reference to payments out of these pools meaning the distributable portion thereof, but refunds, when made, include all the money in the pool or pools to which they apply.</text> </paragraph> </paragraph> <paragraph num="X."> <text>Exceptions in Pool Distribution.</text> <paragraph num="(1)"> <text>If two horses run a dead heat for first place, the money in the straight pool is divided the same as in a place pool calculation.</text> </paragraph> <paragraph num="(2)"> <text>If two horses run a dead heat for second place, the division is made as follows: The winner of the race receives his full share, namely one-half of the distributable money, and the two horses in the dead heat divide the remaining half between them, namely one-fourth of the distributable money.</text> </paragraph> <paragraph num="(3)"> <text>If two horses run a dead heat for third place, the division is made as follows:</text> <paragraph num="(a)"> <text>The winner and the second place horse receive a full share, namely 1/3 of the distributable money in the show pool to the wagers on each of these positions; and</text> </paragraph> <paragraph num="(b)"> <text>The two horses in the dead heat divide the remaining third between them, namely 1/6 of the distributable money is apportioned to the wagers on each of them.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>If two of the horses coupled in the “field” or an “entry” finish first and second, first and third, or second and third, the distributable money in the show pool is divided into three parts, two parts going to the “field” or “entry” horses and the other part going to the other horse.</text> </paragraph> <paragraph num="(5)"> <text>If three “field” or “entry” horses finish first, second, and third, all pools shall be calculated as straight pools.</text> </paragraph> </paragraph> <paragraph num="Y."> <text>Apportionment of Pool.</text> <paragraph num="(1)"> <text>If a horse wins a race and there are no straight tickets sold on him, the straight pool shall be apportioned to holders of straight tickets on the horse placed second.</text> </paragraph> <paragraph num="(2)"> <text>If a horse runs second and there are no place tickets sold on him, the place pool shall be distributed the same as a straight pool to holders of place tickets on the winner.</text> </paragraph> <paragraph num="(3)"> <text>If a horse runs third and there are no show tickets sold on him, the show pool shall be calculated as a place pool and distributed to holders of show tickets on the first and second horses.</text> </paragraph> <paragraph num="(4)"> <text>If only one horse finishes in a race, all money wagered place and show shall be distributed in the same manner as a straight pool.</text> </paragraph> <paragraph num="(5)"> <text>If no horse finishes, all money shall be refunded.</text> </paragraph> </paragraph> <paragraph num="Z."> <text>Miscellaneous.</text> <paragraph num="(1)"> <text>Selling windows may not close until the horses are “off” for the race.</text> </paragraph> <paragraph num="(2)"> <text>While betting is in progress, there shall be frequent postings of the approximate odds on the horses taking part in the race, entries and field horses being listed on the odds board as one horse each, when either or both are running in the race.</text> </paragraph> <paragraph num="(3)"> <text>Suitable apparatus shall be provided whereby notice is given to the mutuel department:</text> <paragraph num="(a)"> <text>First, that the horses for the race are parading;</text> </paragraph> <paragraph num="(b)"> <text>Second, that the horses are in the hands of the starter; and</text> </paragraph> <paragraph num="(c)"> <text>Third, that the horses are “off”.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Totalisator adjustments shall be summarized at the close of each meeting and if the net result is a credit to the company operating the totalisator, then the Commission auditor shall be given a check from the company for the amount of the net credit, made payable to the Maryland Horsemen's Assistance Fund, Inc.</text> </paragraph> <paragraph num="(5)"> <text>If any emergency develops requiring an immediate solution in connection with the operation of the mutuel department, the authority to act is hereby conferred on the mutuel manager, who shall promptly report the emergency to the Commission's representative and the means employed by him in meeting it.</text> </paragraph> <paragraph num="(6)"> <text>If an error is made in posting the pay-off prices on the public board, it shall be corrected promptly and only the correct amount shall be used for the pay-off, irrespective of the error on the public board, but no change shall be made in the pay-off after the cashing of tickets has commenced. If an error is discovered before the pay-off has started, the correct pay-off shall be posted and a statement shall be made over the public address system stating the facts and the corrections. In order to determine “at what time” the cashing of tickets has commenced, the following rules govern:</text> <paragraph num="(a)"> <text>At racing associations where a mechanized device is employed to inform the cashiers the amount of pay-off “when the key or other device is set to indicate race and prices are official and it is proper to pay off”.</text> </paragraph> <paragraph num="(b)"> <text>At racing associations where messengers are employed or telephone messages are used to deliver official pay-offs to the cashiers, "60 seconds after the pay-offs have been posted on the Public Board".</text> </paragraph> <paragraph num="(c)"> <text>If, under the conditions set forth above, it is too late to correct the error, then the following rules shall apply: If the error results in an overpayment to the public, no subsequent correction is made. If the error results in an underpayment, the amount of the underpayment, after it has been determined, is added to the same pool of the next succeeding race. However, should an underpayment occur in the last race of any scheduled race meeting, the amount of the underpayment shall be paid over to the Commission for the account of the Maryland Horsemen's Assistance Fund, Inc.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".46" heading="Daily Doubles."> <paragraph num="A."> <text>The pay-off may be posted after the pool closes and before the race completing the double has been run. In the event of a dead heat in the first race of the daily double, posting of the pay-off prices may be deferred until the race completing the daily double has been run.</text> </paragraph> <paragraph num="B."> <text>The daily double is not a parlay and has no connection with or relation to the mutuel betting. All prices on the daily double will be calculated in a separate pool. All tickets will be to win only (straight), except as otherwise provided in this regulation. A “field” may not be permitted in any race involved in the daily double.</text> </paragraph> <paragraph num="C."> <text>If no ticket is sold combining the two winners, the daily double pool then shall be apportioned equally between those having tickets including the winner of the first half and those having tickets including the winner of the second half in the same manner in which a “place” pool is calculated.</text> </paragraph> <paragraph num="D."> <text>If no ticket is sold including the winner of the first half, the entire pool shall be distributed to holders of tickets which include the winner of the second half.</text> </paragraph> <paragraph num="E."> <text>If no ticket is sold including the winner of the second half, then the entire pool shall be distributed to holders of tickets which include the winner of the first half of the daily double.</text> </paragraph> <paragraph num="F."> <text>If no ticket is sold including the winner of either half, then the pool shall be distributed to holders of tickets finishing second in the two races of the daily double.</text> </paragraph> <paragraph num="G."> <text>If, for any reason, the first half of the daily double is cancelled and declared “no race”, a full and complete refund shall be made of the daily double pool. If, for any reason, the second half of the daily double is declared “no race”, the daily double pool shall be distributed to the holders of the tickets on the winner of the first half in the same manner as a straight pool.</text> </paragraph> <paragraph num="H."> <text>If, after the first half of the daily double has been run and declared “official”, a horse is scratched or excused from the second half of the daily double, then a consolation pay-off shall be made to holders of tickets which combine the winner of the first half and the scratched or excused horse. The consolation pay-off shall be calculated as follows:</text> <paragraph num="(1)"> <text>The net daily double pool (gross pool less commission) shall be divided by the total number of tickets sold combining the winner of the first half;</text> </paragraph> <paragraph num="(2)"> <text>The quotient thus obtained shall constitute the consolation pay-off to be paid to holders of each ticket combining the winner of the first half and the scratched or excused horse in the second half;</text> </paragraph> <paragraph num="(3)"> <text>The entire consolation pool (number of eligible tickets times the consolation price), plus the breakage, shall then be deducted from the net daily double pool;</text> </paragraph> <paragraph num="(4)"> <text>The remaining pool is the new net pool for the daily double.</text> </paragraph> </paragraph> <paragraph num="I."> <text>If holders of tickets lose the first half of the daily double and the horse in the second half is scratched or excused, there will be no refund.</text> </paragraph> <paragraph num="J."> <text>If no ticket is sold which would require distribution of the daily double pool, the association shall make a complete and full refund of the pool.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".47" heading="Twin Doubles."> <text>Associations licensed by the Commission to conduct harness racing meetings may, with the approval of the Commission, conduct a so-called twin double, subject to the following rules:</text> <paragraph num="A."> <text>The twin double is a part of the pari-mutuel system of wagering. It is a contract by each participant to pick (select) the winner of each of four races as may be designated by a licensee, with the approval of the Commission. For the purpose of this rule, the four races will be referred to as the “twin double races.” The first two races so designated shall be referred to as the first half of the twin double. The third and fourth races so designated shall hereafter be referred to as the second half of the twin double. All sums deposited in the twin double shall be held in a single pool entirely separate from all other pools, and the award or dividend to each winning participant shall be calculated subject to the provisions of this rule, as in a straight pool.</text> </paragraph> <paragraph num="B."> <text>All twin double tickets shall be sold at properly designated windows and shall be clearly and immediately distinguishable from the daily double and other tickets sold.</text> </paragraph> <paragraph num="C."> <text>All twin double tickets shall be sold only from automatic vending machines.</text> </paragraph> <paragraph num="D."> <text>The sale of twin double tickets may not commence until after the completion of the second race of the day, unless special permission is obtained from a representative of the Commission. The twin double windows shall close and the machines shall be locked 5 minutes before the official post time of the first race of the first half of the twin double.</text> </paragraph> <paragraph num="E."> <text>Each participant in the twin double shall designate his selections as the winners of the first half of the twin double races at the time he purchases his twin double ticket, and each twin double ticket shall show the selections made.</text> </paragraph> <paragraph num="F."> <text>After the completion of the first half of the twin double races, each participant holding a ticket or tickets combining the winners of this half of the twin double shall, during the period while the twin double windows are open for this purpose, exchange his ticket or tickets for a ticket or tickets showing his selections as the winners of the second half of the twin double.</text> </paragraph> <paragraph num="G."> <text>A twin double exchange ticket may not be issued except upon the surrender of a twin double ticket showing the winners of the first half of the twin double.</text> </paragraph> <paragraph num="H."> <text>Twin double windows shall be opened for the issue only of twin double exchange tickets after the races comprising the first half have been completed and declared official and shall close at the official post time of the start of the second half of the races comprising the twin double.</text> </paragraph> <paragraph num="I."> <text>Before post time of the second race of the second half of the twin double races, there shall be posted or announced over the loud speaker system the pay-off of each combination coupled with the winner of the first race of the second half of the twin double races. All such information shall be posted.</text> </paragraph> <paragraph num="J."> <text>A winning twin double ticket not presented for exchange for a twin double exchange ticket within the period described in §H, above, may be presented for a refund of the purchase price (or award in the event that no participant selects the winner of the first race of the second half of the twin double races), after completion of the first race of the second half of the twin double. The aggregate purchase price of all twin double tickets so entitled to a refund shall be deducted from the gross twin double pool.</text> </paragraph> <paragraph num="K."> <text>Inasmuch as the purpose of the twin double is to select winners of the first half and the second half of the twin double races, a participant who selects a horse which runs in but does not win a race is no longer eligible, unless no other participant has selected a winner of that race.</text> </paragraph> <paragraph num="L."> <text>If a horse is scratched in the first race of the first half of the twin double, all tickets on the scratched horse shall be refunded, and the money refunded will be deducted from the gross pool.</text> </paragraph> <paragraph num="M."> <text>If a horse is scratched in the second race of the first half of the twin double, after the running of the first race of the first half, all twin double tickets combining the scratched horse with the actual winner of the first race of the first half of the twin double shall be paid a price equivalent to that fraction of the net pool derived by dividing the net twin double pool (gross pool less commission) by the total number of tickets sold combining the winner of the first race of the first half of the twin double with all horses in the second race of the first half of the twin double. The quotient thus obtained shall constitute the consolation pay-off to be paid to holders of each ticket combining the winner of the first race of the first half with the scratched horse in the second race of the first half. The entire consolation pool (number of eligible tickets times the consolation price), plus the breakage, shall then be deducted from the net twin double pool. The remaining pool is the new net pool for the twin double.</text> </paragraph> <paragraph num="N."> <text>If a horse is scratched in the first race of the second half of the twin double, during or after the exchange of tickets by holders of the first two winners, each ticket including the scratched horse in the first race of the second half shall be paid a price equivalent to that fraction of the net pool derived by dividing the net pool by the total number of exchanged tickets. The quotient thus obtained shall constitute the consolation pay-off to be paid to holders of tickets on the scratched horse. The entire consolation pool (number of eligible tickets times the consolation price), plus the breakage, shall be deducted from the net twin double pool to establish a new net pool.</text> </paragraph> <paragraph num="O."> <text>If a horse is scratched from the second race of the second half of the twin double after the first race of the second half has been run, each ticket including the scratched horse and the winner of the first race of the second half shall be paid a price equivalent to that fraction of the net pool derived by dividing the net pool by the total number of tickets combining the winner of the first race of the second half. The quotient thus obtained shall constitute a consolation pay-off. The entire consolation pool (number of eligible tickets times the consolation price), plus breakage, shall then be deducted from the net pool. The remaining pool shall be the new net pool for the final pay-off for the twin double.</text> </paragraph> <paragraph num="P."> <text>If no ticket is sold combining the winner of the first race and the winner of the second race of the first half of the twin double, the net pool shall then be apportioned between those having tickets, including the winner of the first race of the first half of the twin double and those having tickets including the winner of the second race of the first half of the twin double, and shall be calculated as a place pool. If this should happen, the twin double will terminate for that day.</text> </paragraph> <paragraph num="Q."> <text>If no ticket is sold including the winner of the first race of the first half of the twin double, then the entire net pool shall be paid to holders of tickets which include the winner of the second race of the first half of the twin double. If this should happen, the twin double will terminate for that day.</text> </paragraph> <paragraph num="R."> <text>If no ticket is sold including the winner of the second race of the first half of the twin double, then the entire net pool shall be paid to holders of tickets which include the winner of the first race of the first half of the twin double. If this should happen, the twin double will terminate for that day.</text> </paragraph> <paragraph num="S."> <text>If no exchange ticket includes the winner of the first race of the second half of the twin double, the entire net pool shall be distributed as a straight pool to all holders of exchanged tickets and winning combinations of the first half that had not been exchanged.</text> </paragraph> <paragraph num="T."> <text>If no exchange ticket combines the winners of the first and second races of the second half of the twin double, then the entire net pool shall be distributed as a straight pool to holders of tickets including the winner of the first race of the second half of the twin double.</text> </paragraph> <paragraph num="U."> <text>In the event of a dead heat in the first race of the first half of the twin double, all tickets combining both winners of the first race of the first half with the winner of the second race of the first half of the twin double shall be eligible for exchange.</text> </paragraph> <paragraph num="V."> <text>In the event of a dead heat in the second race of the first half of the twin double, all tickets combining the winning or winners of the first race of the first half with the winners of the second race of the first half of the twin double shall be eligible for exchange.</text> </paragraph> <paragraph num="W."> <text>In the event of a dead heat in the first race of the second half of the twin double, if there is no ticket combining either winner with the winner of the second race of the second half of the twin double, then the pay-off shall be distributed to holders of tickets on the winners of the first race of the second half of the twin double in the same manner as a place pool is calculated.</text> </paragraph> <paragraph num="X."> <text>In the event of a dead heat in the second race of the second half of the twin double, the pay-off shall be distributed as a place pool to holders of tickets combining the winner of the first race of the second half with the winners of the second race of the second half of the twin double.</text> </paragraph> <paragraph num="Y."> <text>If, for any reason, the first race of the first half of the twin double is cancelled or declared “no race,” full and complete refund shall be made of the twin double pool.</text> </paragraph> <paragraph num="Z."> <text>If, for any reason, the second race of the first half of the twin double is cancelled or declared “no race,” the net pool shall be calculated as a straight pool and shall be distributed to holders of tickets combining the winner of the first race of the first half of the twin double with every horse in the second race of the first half of the twin double.</text> </paragraph> <paragraph num="AA."> <text>If, for any reason, the first race of the second half of the twin double is cancelled or declared “no race,” the net pool shall be distributed as a straight pool to the holders of twin double exchange tickets and holders of winning twin double tickets not surrendered for exchange.</text> </paragraph> <paragraph num="BB."> <text>If, for any reason, the second race of the second half of the twin double is cancelled or declared “no race,” the net pool shall be distributed as a straight pool among holders of exchange tickets designating the winner of the first race of the second half of the twin double.</text> </paragraph> <paragraph num="CC."> <text>Entries or field horses may not be allowed in any race included in the twin double, except by permission from a representative of the Commission.</text> </paragraph> <paragraph num="DD."> <text>In the event of a dead heat between a covered and an uncovered horse in the second race of the second half of the twin double, a consolation pay-off may not be made. Holders of tickets on the covered horse, representing the only winners of four consecutive races, shall share in the distribution of the twin double pool.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".48" heading="Quinellas."> <paragraph num="A."> <text>Each association shall either print in the daily program or prominently post at all areas where quinella wagering is conducted, the following conditions:</text> <paragraph num="(1)"> <text>An exchange of tickets, after the purchaser has left the sales window, may not be made.</text> </paragraph> <paragraph num="(2)"> <text>The quinella is not a parlay and has no connection with or relation to the “tote” betting. All tickets on the quinella will be calculated in an entirely separate pool.</text> </paragraph> <paragraph num="(3)"> <text>Selections are to be made by program number and not by handicap rating number. Large numbers appearing on the quinella ticket are the program numbers of the horse.</text> </paragraph> <paragraph num="(4)"> <text>All tickets should be retained until the result of the quinella has been posted.</text> </paragraph> </paragraph> <paragraph num="B."> <text>All quinella tickets will be for the win and place combination only.</text> </paragraph> <paragraph num="C."> <text>Quinella wagering is not permissible on races containing either a coupled entry or “field horses.”</text> </paragraph> <paragraph num="D."> <text>If any horse entered in a quinella race is scratched or excused by the judges after wagering has commenced or should any horse be prevented from racing because of failure of the arm of the starting gate to open, all tickets including the horse shall be deducted from the quinella pool and money refunded to the purchasers of tickets on the horse that is excused or prevented from racing.</text> </paragraph> <paragraph num="E."> <text>If there are no tickets sold on the winning combination in a quinella race, all quinella tickets bearing the number of the individual win horse and all quinella tickets bearing the number of the individual place horse shall be deemed winning tickets and the payoff shall be calculated as a place pool.</text> </paragraph> <paragraph num="F."> <text>If there are no tickets sold on the winning combination in a quinella race and should there be no quinella tickets sold bearing the number of the individual win horse, all quinella tickets bearing the number of the individual place horse shall be deemed winning tickets and the payoff shall be calculated as a win pool.</text> </paragraph> <paragraph num="G."> <text>If there are no tickets sold on the winning combination in a quinella race, and should there be no quinella tickets sold bearing the number of the individual place horse, all quinella tickets bearing the number of the individual win horse shall be deemed winning tickets and the payoff shall be calculated as a win pool.</text> </paragraph> <paragraph num="H."> <text>If there are no tickets sold on the winning combination in a quinella race, and should there be no quinella tickets sold bearing the number of the individual win horse, and should there be no quinella tickets sold bearing the number of the individual place horse, the quinella shall be deemed “no race,” and all moneys in the quinella shall be promptly refunded.</text> </paragraph> <paragraph num="I."> <text>If, after an official start is effected, only one horse finishes the quinella race, the total money is figured as a win pool, with those who have picked that one horse in the race participating in the pool.</text> </paragraph> <paragraph num="J."> <text>If a two horse dead heat for win results in a quinella race, the two horses involved in the dead heat shall be the winners of the quinella race.</text> </paragraph> <paragraph num="K."> <text>If a multiple dead heat for win results in a quinella race, all horses involved in the dead heat shall be winners of the quinella race and payoffs figured accordingly. For example, should numbers 1, 3, 5 and 7 dead heat for win, the winning quinella combinations would be 1-3, 1-5, 1-7, 3-5, 3-7, and 5-7. The net pool, after deducting the amounts wagered on the winning combinations, will be equally distributed in payoff calculations on the winning combinations.</text> </paragraph> <paragraph num="L."> <text>If a two horse dead heat for place results in a quinella race, the total pool is calculated as a place pool.</text> </paragraph> <paragraph num="M."> <text>If a multiple dead heat for place results in a quinella race, all combinations coupling the winning horse with the individual place horse shall be winners of the quinella race and payoffs calculated accordingly.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".49" heading="Exactas."> <paragraph num="A."> <text>The exacta is a contract by the purchaser of a ticket combining two horses in a single race, selecting the two horses that will subsequently finish first and second in that race. Payment of the ticket shall be made only to the purchaser who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The exacta is not a “parlay” and has no connection with or relation to the win, place and show betting and shall be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>In the event of an entry finishing first and second, the net exacta pool shall be distributed to holders of tickets combining the entry with the horse finishing third.</text> </paragraph> <paragraph num="D."> <text>If a horse is scratched out of an exacta race, all exacta tickets combining the scratched horse with any other horse in that race shall be refunded and the money refunded shall be deducted from the gross pool.</text> </paragraph> <paragraph num="E."> <text>If no ticket is sold selecting the winner and the second horse to finish one-two, in that order, the net pool shall be distributed as a place pool to the holders of tickets selecting the winner to finish first and the holders of tickets selecting the second horse to finish second.</text> </paragraph> <paragraph num="F."> <text>If no ticket is sold that would require distribution of an exacta pool to a winner as above defined, the association shall make a complete and full refund of the exacta pool.</text> </paragraph> <paragraph num="G."> <text>If two horses finish in a dead heat to win, the net pool shall be distributed as a place pool to the holders of tickets on the two winning combinations. For example: If 4 and 6 finish in a dead heat to win, holders of tickets on 6 and 4 as well as holders of tickets 4 and 6 will share in the net pool.</text> </paragraph> <paragraph num="H."> <text>If two horses finish in a dead heat to place, the net pool shall be distributed as a place pool to the holders of tickets on the two winning combinations. For example: If 3 is the winner and 5 and 7 finish in a dead heat to place, holders of tickets combining 3 and 5, in that exact order, and holders of tickets combining 3 and 7, in that exact order, will share in the pool.</text> </paragraph> <paragraph num="I."> <text>If there is a dead heat to win or a dead heat to place and no ticket has been sold on one of the winning combinations, the net pool shall be distributed to the holders of tickets on the other combination.</text> </paragraph> <paragraph num="J."> <text>If there is a dead heat to place and no ticket has been sold combining the winner with either one of the two horses finishing in the dead heat, the holders of tickets selecting the winner to finish first and the holders of tickets selecting either one of the dead heat horses to finish second shall share in the net pool. The net pool shall be distributed as a place pool the winner shall receive one-half and the horses in the dead heat shall divide the remaining half proportionately between them.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".50" heading="Triples (Trifectas)"> <paragraph num="A."> <text>The triple is a contract by the purchaser of a ticket combining three horses that will subsequently finish first, second and third in that race. Payment of the ticket shall be made only to the purchaser who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The triple is not a parlay and has no connection with or relation to the win, place and show betting and shall be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>Repealed.</text> </paragraph> <paragraph num="D."> <text>If no ticket is sold on the winning combination of a triple pool, the net pool shall be distributed to the holders of tickets selecting the win and place finishers in that order. If no ticket is sold combining the win and place finish, the net pool shall be distributed to the holders of tickets selecting the win and show horses. If no ticket is sold combining the win, place and show finishers, the net pool shall be distributed to the holders of tickets selecting the winner. If less than three horses finish, the payoff shall be made to holders of tickets selecting the finishing horses in order, ignoring the balance of the selection.</text> </paragraph> <paragraph num="E."> <text>If no ticket is sold that would require distribution of the net triple pool to a winner as above defined, the association shall make a full refund of the triple pool.</text> </paragraph> <paragraph num="F."> <text>In the event of a dead heat, all triple tickets selecting the correct order of finish, counting a horse in a dead heat as finishing in either position dead heated, shall be winning tickets. The payoff shall be calculated as a place pool by dividing the net triple pool by the total purchase price of winning tickets.</text> </paragraph> <paragraph num="G."> <text>In the event of a scratch in the triple exchanges may not be made. All tickets which include the scratched horse are eliminated from further participation in the triple pool and shall be refunded. Refunds on key horse wheel tickets may be made after the triple race is official. Key horse wheel tickets shall be sold during the entire triple wagering period at the posted price used when triple wagering opens.</text> </paragraph> <paragraph num="H."> <text>Coupled entries are permitted but fields are prohibited in triple races.</text> </paragraph> <paragraph num="H-1."> <text>If the horses in a coupled entry finish in more than one of the first three positions, one or more of the horses, as necessary, finishing directly after the first three horses shall be used to complete a winning selection consisting of three different numbers.</text> </paragraph> <paragraph num="I."> <text>Triple tickets shall be sold only by the licensee through pari-mutuel machines programmed to print all selections on one ticket. The design of triple tickets shall be clearly and immediately distinguishable from other pari-mutuel tickets. Resale of the tickets from one individual to another is prohibited and shall be grounds for ejection.</text> </paragraph> <paragraph num="J."> <text>Each association shall print in heavy type in a conspicuous place in its printed program all the provisions of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".51" heading="Repealed." /> <regulation prefix="Regulation" num=".52" heading="Super Bet."> <paragraph num="A."> <text>The Super Bet is a form of pari-mutuel wagering on three designated races. The bettor selects the two horses that will finish first and second in each of the first two designated races of the Super Bet, and the three horses that will finish first, second, and third in the third designated race of the Super Bet, in each case in the exact order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The Super Bet pool shall be held entirely separate from all other pools, and may not be part of any exacta, triple, daily double, or other wagering pool. The Super Bet is not a parlay.</text> </paragraph> <paragraph num="C."> <text>Repealed.</text> </paragraph> <paragraph num="D."> <text>The three races which comprise the Super Bet shall be approved by the Commission and clearly designated in the program.</text> </paragraph> <paragraph num="E."> <text>Super Bet tickets shall be clearly identified as such, so as to distinguish them from tickets on other wagering pools.</text> </paragraph> <paragraph num="F."> <text>Coupled entries and fields are prohibited in the three designated Super Bet races.</text> </paragraph> <paragraph num="G."> <text>If a dead heat or dead heats occur in any of the races of the Super Bet, all Super Bet tickets selecting the correct order of finish counting a horse in a dead heat as finishing in any position dead heated shall be winning tickets, and contrary to the usual practice, the aggregate winning tickets shall be divided into the net pool and be paid the same pay-off price.</text> </paragraph> <paragraph num="H."> <text>Wagering for the Super Bet shall close at the same time that wagering is closed on the first designated race of the Super Bet. If a horse is scratched in a designated race of the Super Bet while wagering on the Super Bet is still open, wagers containing the scratched horse shall be deducted from the Super Bet pool and shall be refunded just as in other types of wagers. After the close of wagering on the Super Bet, refunds of wagers due to scratches may not be made until after prices have been declared official for the entire Super Bet. In the latter event, except as otherwise provided in §I, K, or L, refunds shall be made only for wagers selecting in each designated race of the Super Bet scratched horses and winning horses in the proper order but not any losing horses. For example, if the exact winning combination is 1-2, 1-2, 1-2-3, and the 4 horse in the designated second race was scratched, a wager of 1-2, 4-2, 1-2-3 would be eligible for a refund, but a wager of 1-2, 2-4, 1-2-3 would not be eligible for a refund.</text> </paragraph> <paragraph num="I."> <text>If for any reason, including but not limited to weather conditions, less than all of the designated races of the Super Bet are cancelled or are not declared official, then all horses in the cancelled race or races that were selected on Super Bet tickets shall be considered winners for purposes of the Super Bet. If for any reason all of the designated races of the Super Bet are cancelled, then all pari-mutuel tickets that were issued for that performance shall be refunded and the Super Bet shall be cancelled for that performance. In all these instances, any contributions to the Super Bet pool from prior performances shall be carried over and included in the Super Bet pool for the next performance as prescribed in §J, below.</text> </paragraph> <paragraph num="J."> <text>If there is no Super Bet ticket issued accurately selecting the officially declared winning combination in the exact order of finish in each of the three designated races of the Super Bet, then the net pool, after deduction of all applicable commissions and taxes under the laws of this State, shall be carried over and included with the net Super Bet pool at the next performance.</text> </paragraph> <paragraph num="K."> <text>If the accumulated carry-over pool of the Super Bet has not been distributed before the closing day of the meeting in which the pool was generated, or if the Association invokes the provisions of §L, the net amount of the carry-over pool so remaining shall be distributed even if no Super Bet ticket is a winning ticket under A. In this event, the winning tickets shall be those combining on that performance the most consecutive finishers in the winning combination, starting with the winner of the first designated race of the Super Bet (for example, if the exact winning combination is 1-2, 1-2, 1-2-3, and the best ticket sold is 1-2, 1-2, 1-2-ALL). If there is a cancellation of the closing day's performance, the accumulated carry-over pool shall be carried over to the Harness Association next to operate that accepts Super Bet wagering. If the Harness Association next to operate does not accept Super Bet wagering, the accumulated carry-over pool shall be deposited in a Maryland bank in interest bearing form, and the accumulated pool together with all interest earned on it shall be carried over to the first day of the next racing meeting of the Harness Association accepting Super Bet wagering.</text> </paragraph> <paragraph num="L."> <text>The Association accepting Super Bet wagering may elect, if there is an undistributed accumulated carry-over pool of the Super Bet, to declare a mandatory Super Bet distribution, provided it makes an announcement of its intention to do so at least 24 hours before the opening of Super Bet wagering for that performance. In this event, all of the Super Bet carry-over pool shall be distributed on this performance, even if no Super Bet ticket is a winning ticket under §A, in accordance with the provisions for determining a winning ticket under §K.</text> </paragraph> <paragraph num="M."> <text>The Association may elect to guarantee a gross Super Bet pool (the accumulated carry-over pool plus gross Super Bet wagering on the current performance) by adding any shortfall from this guarantee to the accumulated carry-over pool, provided it makes announcement of its intention to do so before the opening of Super Bet wagering for that performance. Commissions or taxes may not be deducted from the added amount.</text> </paragraph> <paragraph num="N."> <text>Sales of Super Bet tickets other than from pari-mutuel machines shall be deemed illegal and prohibited. Resale of Super Bet tickets from one individual to another is prohibited and shall be grounds for ejection.</text> </paragraph> <paragraph num="O."> <text>The acceptance of the Super Bet ticket by an individual taking an issued ticket away from the window of the terminal from which it was issued shall constitute an acknowledgement by the bettor of the correctness of the ticket. Each purchaser of a Super Bet ticket agrees to be bound by the terms and provisions of this and all other applicable Commission regulations and by the laws of the State pertaining to pari-mutuel wagering. The Association, totalisator, and the State may not be liable to any person for a Super Bet ticket which is not:</text> <paragraph num="(1)"> <text>A winning ticket in accordance with the provisions of this regulation; or</text> </paragraph> <paragraph num="(2)"> <text>Delivered for any reason, including but not limited to:</text> <paragraph num="(a)"> <text>Mechanical malfunction,</text> </paragraph> <paragraph num="(b)"> <text>Electrical failure,</text> </paragraph> <paragraph num="(c)"> <text>Machine locking, or</text> </paragraph> <paragraph num="(d)"> <text>Other cause.</text> </paragraph> </paragraph> </paragraph> <paragraph num="P."> <text>This regulation shall be prominently displayed in the betting area of each Association conducting a Super Bet program.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".53" heading="Sires Stakes Program."> <paragraph num="A."> <text>Definitions. In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Advisory Committee” means the Maryland Standardbred Race Fund Advisory Committee.</text> </paragraph> <paragraph num="(2)"> <text>“Breeder” means the owner or, if leased, the lessee of the dam at the time of breeding.</text> </paragraph> <paragraph num="(3)"> <text>“Conceived” means the impregnation of a dam, by means of natural or artificial insemination, by a Maryland stallion whose offspring meet the eligibility requirements for the Sires Stakes Program as provided under this regulation.</text> </paragraph> <paragraph num="(4)"> <text>“Covered by a Maryland stallion” means to be bred to a Maryland stallion whose offspring meet the eligibility requirements for the Sire Stakes Program as provided under this regulation.</text> </paragraph> <paragraph num="(5)"> <text>“Owner” means an individual or entity that owns or leases a horse or stallion eligible to participate in the Sires Stakes Program.</text> </paragraph> <paragraph num="(6)"> <text>“USTA” means the United States Trotting Association.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Eligibility for Participation. For a horse to be eligible to participate in a race that is a part of the Sires Stakes Program, the horse shall:</text> <paragraph num="(1)"> <text>Be registered with the Advisory Committee; and</text> </paragraph> <paragraph num="(2)"> <text>Have had paid in the horse's behalf all of the applicable registration, sustaining, and declaration fees required under this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Eligibility for Registration.</text> <paragraph num="(1)"> <text>A horse may be registered with the Advisory Committee if:</text> <paragraph num="(a)"> <text>The horse was conceived from the fresh or frozen semen of a Maryland stallion; and</text> </paragraph> <paragraph num="(b)"> <text>The Maryland stallion:</text> <paragraph num="(i)"> <text>Is registered with the USTA;</text> </paragraph> <paragraph num="(ii)"> <text>Is registered with the Advisory Committee as a Maryland stallion;</text> </paragraph> <paragraph num="(iii)"> <text>Was at stud in Maryland for a full breeding season; and</text> </paragraph> <paragraph num="(iv)"> <text>Impregnated the dam during the breeding season the stallion was at stud in Maryland.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a horse is the product of an embryo/ovum transfer, only a donor mare's first born foal each year, resulting from such a transfer, is eligible under this section.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Registration as a Maryland Stallion.</text> <paragraph num="(1)"> <text>December 1 of the year preceding the one for which the stallion is registered together with a $500 fee;</text> </paragraph> <paragraph num="(2)"> <text>January 1 of the year for which the stallion is registered together with a $750 fee, if the stallion is not registered by the previous December 1; or</text> </paragraph> <paragraph num="(3)"> <text>February 1 of the year for which the stallion is registered together with a $1,500 fee, if the stallion is not registered by the previous December 1.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Loss of Maryland Stallion Registration Status.</text> <paragraph num="(1)"> <text>A stallion shall lose its status as a registered Maryland stallion if:</text> <paragraph num="(a)"> <text>The stallion stands during the year anywhere other than in Maryland or in the southern hemisphere; or</text> </paragraph> <paragraph num="(b)"> <text>The stallion leaves the breeding location in Maryland during the Maryland breeding season of February 15 through July 1 except as provided under §E(2) or (3) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A registered Maryland stallion may participate in racing during the breeding season provided the stallion is returned within 24 hours if the Administrator is notified and proper reports are filed.</text> </paragraph> <paragraph num="(3)"> <text>When a Stallion May Be Moved.</text> <paragraph num="(a)"> <text>A stallion may be moved to another location within the State from its registered breeding location during the breeding season for breeding purposes, provided the stallion is returned within 24 hours and the Standardbbred Race Fund Administrator is provided a detailed monthly report on the stallion’s movements, including the following:</text> <paragraph num="(i)"> <text>The date on which the stallion was moved; and</text> </paragraph> <paragraph num="(ii)"> <text>The location to which the stallion was taken.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A stallion moved for emergency veterinarian care shall be returned when medically released and a detailed report is provided to the Administrator.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The offspring of a stallion which has lost its registration status shall remain eligible for this Program if the offspring was:</text> <paragraph num="(a)"> <text>Out of a mare which was not owned or leased by the stallion owner; and</text> </paragraph> <paragraph num="(b)"> <text>Otherwise eligible.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The owner of a stallion which has lost its status as a registered Maryland stallion is subject to the following penalty for each of its offspring that remain eligible for this program under §E(4) of this regulation:</text> <paragraph num="(a)"> <text>$500 for a stallion with a registered stud fee of less than $500;</text> </paragraph> <paragraph num="(b)"> <text>An amount equal to the stud fee of the stallion if the registered stud fee of the stallion is more than $500; or</text> </paragraph> <paragraph num="(c)"> <text>$1,500 for a stallion with a private or undesignated stud fee.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Requirements of the Owner of a Registered Stallion.</text> <paragraph num="(1)"> <text>The owner of a registered stallion shall submit a copy of the USTA Mares Bred report to the Advisory Committee Administrator not later than September 1 of the year for which the stallion is registered.</text> </paragraph> <paragraph num="(2)"> <text>The Mares Bred report shall indicate:</text> <paragraph num="(a)"> <text>Which broodmares were inseminated with transported semen, if any; and</text> </paragraph> <paragraph num="(b)"> <text>The destination to which the semen had been transported for this purpose.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Failure to comply with the provisions of §F(1) and (2) of this regulation shall subject the owner of the stallion, for each month the owner is delinquent, to a penalty of:</text> <paragraph num="(a)"> <text>$500 for a stallion with a registered stud fee of less than $500; or</text> </paragraph> <paragraph num="(b)"> <text>$1,500 for a stallion with a private or undesignated stud fee.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Failure to comply with the provisions of §F(1) and (2) of this regulation by February 15 of the year following the year to be covered by the Mares Bred report shall:</text> <paragraph num="(a)"> <text>Render any resultant foal out of a mare owned wholly or in part by the owner of the stallion ineligible to participate in the Sire Stakes Program for the year covered by the report; and</text> </paragraph> <paragraph num="(b)"> <text>Subject the stallion owner, for each foal that remains eligible for the Sires Stakes Program, to a penalty of:</text> <paragraph num="(i)"> <text>$500 for a stallion with a registered stud fee of less than $500; or</text> </paragraph> <paragraph num="(ii)"> <text>$1,500 for a stallion with a private, undesignated or stud fee over $500.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Payment of Penalties.</text> <paragraph num="(1)"> <text>Penalties assessed against a stallion owner under this regulation shall be paid to the Advisory Committee Administrator.</text> </paragraph> <paragraph num="(2)"> <text>The Advisory Committee shall consider the penalties paid by a stallion owner under this regulation as stallion registration fees to be used for the purpose of future Sires Stakes Program purses.</text> </paragraph> <paragraph num="(3)"> <text>A stallion owner may not be allowed to participate in the Sires Stakes Program if the owner has not paid a penalty assessed under this regulation.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Appeal of Refusal to Register a Horse or Stallion.</text> <paragraph num="(1)"> <text>An owner or breeder may appeal to the Commission from a refusal of the Advisory Committee to register a horse or stallion under this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The owner or breeder who takes the appeal has the burden of proving the eligibility of the horse or stallion.</text> </paragraph> <paragraph num="(3)"> <text>The decision of the Commission is final.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Registration. Except as provided in §J of this regulation, in order to register a yearling, the Advisory Committee Administrator shall be provided on or before May 15 with a:</text> <paragraph num="(1)"> <text>Completed form for the registration of the yearling; and</text> </paragraph> <paragraph num="(2)"> <text>$40 registration fee.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Late or Incomplete Registration.</text> <paragraph num="(1)"> <text>A completed registration form;</text> </paragraph> <paragraph num="(2)"> <text>A $500 late fee by December 31; or</text> </paragraph> <paragraph num="(3)"> <text>A $1,000 late fee by March 15.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Sustaining Fees.</text> <paragraph num="(1)"> <text>Except as provided in §K(2) of this regulation, the following sustaining fees are required by the following dates for the maintenance of a horse's eligibility:</text> <paragraph num="(a)"> <text>First sustaining fee as a 2-year-old, $150 by March 15;</text> </paragraph> <paragraph num="(b)"> <text>Second sustaining fee as a 2-year-old, $200 by May 15; and</text> </paragraph> <paragraph num="(c)"> <text>Sustaining fee as a 3-year-old, $300 by February 15.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The second sustaining fee as a 2-year-old, due May 15, is optional and is required only to make the horse eligible to participate in the races provided by the Sires Stakes Program for 2-year-olds.</text> </paragraph> <paragraph num="(3)"> <text>Except as provided under §K(2) of this regulation, a horse shall be disqualified from participation in any future races sponsored by this Program if there is a failure to make a timely payment of a fee under this section.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Time and Method of Payment.</text> <paragraph num="(1)"> <text>To be timely, the appropriate fee shall be:</text> <paragraph num="(a)"> <text>Delivered to the Advisory Committee Administrator by the designated due date; or</text> </paragraph> <paragraph num="(b)"> <text>Mailed bearing a postmark which is on or before the due date.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the due date for a payment falls on a weekend or a holiday observed in this State, the payment shall be timely if:</text> <paragraph num="(a)"> <text>Delivered to the Advisory Committee Administrator by the next business day; or</text> </paragraph> <paragraph num="(b)"> <text>Mailed bearing a postmark which is not later than the next business day.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Exceptions may not be made to the requirements of this section.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Declaration Fee.</text> <paragraph num="(1)"> <text>A declaration fee, as prescribed in this regulation, is required to be made by the post time for the race into which the horse is declared.</text> </paragraph> <paragraph num="(2)"> <text>Additional declaration fees are not required from a horse which participates in more than one preliminary race.</text> </paragraph> <paragraph num="(3)"> <text>The declaration fee is $400.</text> </paragraph> </paragraph> <paragraph num="N."> <text>The owner of the horse is responsible for the declaration fee, and, if the owner of the horse is not the declarer of the horse, the person making the declaration is also responsible for the declaration fee.</text> </paragraph> <paragraph num="O."> <text>Eligibility to Start.</text> <paragraph num="(1)"> <text>A horse, otherwise eligible to participate in this program, may not be declared in to start unless the horse has at least one satisfactory charted performance line at the time set for declaring in.</text> </paragraph> <paragraph num="(2)"> <text>A satisfactory charted performance line is a performance line:</text> <paragraph num="(a)"> <text>Credited to a horse after the horse starts from behind a starting gate in a qualifying or purse race within 45 days of the Sires Stakes Program race in which the horse is to participate; and</text> </paragraph> <paragraph num="(b)"> <text>Which shows that the horse has completed the race without a break, other than a break caused by interference or broken equipment, at, or within, the following times according to the horse's age and gait:</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A 2-second allowance to the minimum performance time shall be granted on any trotting event held before May 1.</text> </paragraph> </paragraph> <paragraph num="P."> <text>Use of Fees.</text> <paragraph num="(1)"> <text>All registration fees, sustaining fees, and penalties, less administrative costs, shall be added to the purse monies for this program.</text> </paragraph> <paragraph num="(2)"> <text>All declaration fees shall be added to the purse of the final event for which the fees were paid.</text> </paragraph> </paragraph> <paragraph num="Q."> <text>Provisions may be made for the running of the following races at a distance of 1 mile, to be known as the Sires Stakes Program races, which shall be open only to those horses eligible to participate in the Sires Stakes Program:</text> <paragraph num="(1)"> <text>2-year-old filly pace;</text> </paragraph> <paragraph num="(2)"> <text>2-year-old colt pace;</text> </paragraph> <paragraph num="(3)"> <text>2-year-old filly trot;</text> </paragraph> <paragraph num="(4)"> <text>2-year-old colt trot;</text> </paragraph> <paragraph num="(5)"> <text>3-year-old filly pace;</text> </paragraph> <paragraph num="(6)"> <text>3-year-old colt pace;</text> </paragraph> <paragraph num="(7)"> <text>3-year-old filly trot; and</text> </paragraph> <paragraph num="(8)"> <text>3-year-old colt trot.</text> </paragraph> </paragraph> <paragraph num="R."> <text>The various age, sex, and gait divisions established under §Q of this regulation may, from time to time, be eliminated by the Commission upon the recommendation of the Advisory Committee.</text> </paragraph> <paragraph num="S."> <text>Each age, sex, and gait division, depending upon the availability of funds, may not be raced more than three times per year.</text> </paragraph> <paragraph num="T."> <text>The purse amounts and the number of times per year each race is offered, including the number of preliminary races, for the races authorized under §Q of this regulation shall be determined by the Advisory Committee and approved by the Commission.</text> </paragraph> <paragraph num="U."> <text>Breeder Awards.</text> <paragraph num="(1)"> <text>An 8 percent Breeder Award, based upon the amount of the purse distributed in a “final”, shall be awarded to the dam of a horse, if the horse:</text> <paragraph num="(a)"> <text>Receives purse monies from a “final” race provided for under §Q of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>Meets the eligibility requirements set forth for registration in the Foaled Stakes Program under Regulation .43 of this chapter.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A 4 percent stallion award based upon the amount of the purse distributed in a “final”, shall be awarded to the sire of the horse provided the sire was a registered Maryland stallion at the time of conception.</text> </paragraph> <paragraph num="(3)"> <text>The awards, as apportioned under §U(2) of this regulation, shall be paid to the:</text> <paragraph num="(a)"> <text>Individual or entity who was the owner of record with the USTA of the dam and sire at the time the horse was bred; or</text> </paragraph> <paragraph num="(b)"> <text>Lessee of the horse, rather than the owner, if the:</text> <paragraph num="(i)"> <text>Dam or the sire, respectively, was leased at the time the breeding took place; and</text> </paragraph> <paragraph num="(ii)"> <text>Lease was on record with the USTA at that time.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="V."> <text>Preliminary Events.</text> <paragraph num="(1)"> <text>The number of preliminary events shall be as provided under §T of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>If more horses are declared to start in a preliminary event than can fit on the starting gate, the licensee holding the event shall schedule sufficient races and divide the horses by lot as equally as possible among the races scheduled.</text> </paragraph> <paragraph num="(3)"> <text>Points shall be awarded to each horse finishing in a preliminary race in accordance with the following schedule:</text> </paragraph> <paragraph num="(4)"> <text>In the event of a dead heat for any position, the horses involved in the dead heat for that position shall each be credited with the full number of points assigned to that position.</text> </paragraph> </paragraph> <paragraph num="W."> <text>Final Events.</text> <paragraph num="(1)"> <text>There shall be one final event for each category of race scheduled.</text> </paragraph> <paragraph num="(2)"> <text>The number of horses allowed in a final event shall be limited to the horses which fit on the starting gate without a trailer.</text> </paragraph> <paragraph num="(3)"> <text>Preference for participation in the final event shall be given to the horses with the most points earned in the preliminary events of the same category.</text> </paragraph> <paragraph num="(4)"> <text>Not more than two horses with the next highest number of points from those drawn into the race may be listed as also eligibles.</text> </paragraph> <paragraph num="(5)"> <text>Ties for participation under §W(3) and (4) of this regulation shall be determined by lot.</text> </paragraph> <paragraph num="(6)"> <text>A horse may not participate in the final event if it did not earn a point in a preliminary event of the same category.</text> </paragraph> </paragraph> <paragraph num="X."> <text>Post Positions. Post positions for all races shall be determined by lot.</text> </paragraph> <paragraph num="Y."> <text>Gait.</text> <paragraph num="(1)"> <text>A horse's gait shall be specified and accompany each sustaining fee.</text> </paragraph> <paragraph num="(2)"> <text>A change of a horse's specified gait may be made at the time the horse is declared into a race.</text> </paragraph> <paragraph num="(3)"> <text>Any payments made before a change in the specified gait of a horse shall be credited to the races for the gait originally specified.</text> </paragraph> </paragraph> <paragraph num="Z."> <text>Time.</text> <paragraph num="(1)"> <text>The time for starters to declare into a Sires Stakes Program race shall be the same as the time established by the race track for declaring into an overnight race.</text> </paragraph> <paragraph num="(2)"> <text>If the race track schedules the time for drawing into an overnight race more than 5 days before the running of the races, a Sires Stakes Program race may not be drawn with these races, but shall be drawn at a time that is not more than 5 days before the scheduled running of the race.</text> </paragraph> </paragraph> <paragraph num="AA."> <text>Purse Distribution.</text> <paragraph num="(1)"> <text>Purses for all races shall be divided:</text> <paragraph num="(a)"> <text>50 percent to the winner;</text> </paragraph> <paragraph num="(b)"> <text>25 percent to second;</text> </paragraph> <paragraph num="(c)"> <text>12 percent to third;</text> </paragraph> <paragraph num="(d)"> <text>8 percent to fourth; and</text> </paragraph> <paragraph num="(e)"> <text>5 percent to fifth.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In the event fewer than five horses start, undistributed purse money shall be retained by the Race Fund.</text> </paragraph> <paragraph num="(3)"> <text>Walkovers will be paid 50 percent of the advertised purse.</text> </paragraph> <paragraph num="(4)"> <text>Unless the Commission eliminates the races for one of the age groups in accordance with §R of this regulation, the purse monies to be distributed each year on behalf of the Sire Stakes Program shall be divided equally between races for 2-year-olds and races for 3-year-olds.</text> </paragraph> <paragraph num="(5)"> <text>Unless the Commission eliminates the races for one of the gaits in accordance with §R of this regulation, the purse monies in each age category shall be divided equally between races for trotters and races for pacers.</text> </paragraph> </paragraph> <paragraph num="BB."> <text>With the advice of the Advisory Committee the Commission may allow all the Sires Stakes Program races to be held at any race track in Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".53-1" heading="Sire Stakes Program for 4 and 5 Year Olds."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the same meanings as provided in Regulation .53 of this chapter.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Advisory Committee”;</text> </paragraph> <paragraph num="(b)"> <text>“Breeder”;</text> </paragraph> <paragraph num="(c)"> <text>“Owner”; and</text> </paragraph> <paragraph num="(d)"> <text>“USTA”.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Eligibility for Participation. For a horse to be eligible to participate in a race that is a part of the Sires Stakes Program for 4 and 5-Year-Olds, the horse shall:</text> <paragraph num="(1)"> <text>Have been nominated as a yearling to the Sire Stakes Program; and</text> </paragraph> <paragraph num="(2)"> <text>Be registered with the Advisory Committee Administrator by February 15 as a 4-year-old or a 5- year- old to race that year.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Sustaining Fees.</text> <paragraph num="(1)"> <text>Except as provided in §C(2) of this regulation, the following sustaining fees are required by the following dates for the maintenance of a horse's eligibility:</text> <paragraph num="(a)"> <text>A sustaining fee as a 4-year-old, $120 and a completed sustaining form by February 15 of that year; or</text> </paragraph> <paragraph num="(b)"> <text>A sustaining fee as a 5-year-old, $120 and a completed sustaining form by February 15 of that year.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the March 15 2-year-old payment and the February 15 3-year-old payment were made, no sustaining fee is due.</text> </paragraph> <paragraph num="(3)"> <text>Except as provided under §C(2) of this regulation, a horse shall be disqualified from participation in any races during the current year sponsored by this Program if there is a failure to make a timely payment of a fee under this section.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Time and Method of Payment.</text> <paragraph num="(1)"> <text>To be timely, the appropriate fee shall be:</text> <paragraph num="(a)"> <text>Delivered to the Advisory Committee Administrator by the designated due date; or</text> </paragraph> <paragraph num="(b)"> <text>Mailed bearing a postmark which is on or before the due date.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the due date for a payment falls on a weekend or a holiday observed in this State, the payment shall be timely if:</text> <paragraph num="(a)"> <text>Delivered to the Advisory Committee Administrator by the next business day; or</text> </paragraph> <paragraph num="(b)"> <text>Mailed bearing a postmark which is not later than the next business day.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Exceptions may not be made to the requirements of this section.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Declaration Fee.</text> <paragraph num="(1)"> <text>A declaration fee, as prescribed in this regulation, is required to be made by the post time for the race into which the horse is declared.</text> </paragraph> <paragraph num="(2)"> <text>The declaration fee is $100.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The owner of the horse is responsible for the declaration fee, and, if the owner of the horse is not the declarer of the horse, the person making the declaration is also responsible for the declaration fee.</text> </paragraph> <paragraph num="G."> <text>Eligibility to Start.</text> <paragraph num="(1)"> <text>A horse, otherwise eligible to participate in this program, may not be declared in to start unless the horse has at least one satisfactory charted performance line at the time set for declaring in.</text> </paragraph> <paragraph num="(2)"> <text>A satisfactory charted performance line is a performance line:</text> <paragraph num="(a)"> <text>Credited to a horse after the horse starts from behind a starting gate in a qualifying or purse race within 45 days of the Sires Stakes Program for 4 and 5 Year-Olds race in which the horse is to participate; and</text> </paragraph> <paragraph num="(b)"> <text>Which shows that the horse has completed the race without a break, other than a break caused by interference or broken equipment, at, or within, the following times according to the horse's age and gait:</text> <paragraph num="(i)"> <text>For events conducted on a 5/8 mile track:</text> </paragraph> <paragraph num="(ii)"> <text>For events conducted on a 1/2 mile track:</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Use of Fees.</text> <paragraph num="(1)"> <text>All sustaining fees, less administrative costs, shall be added to the purse monies for this program.</text> </paragraph> <paragraph num="(2)"> <text>All declaration fees shall be added to the purse of the event for which the fees were paid.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Types of Races.</text> <paragraph num="(1)"> <text>Provisions may be made for the running of the following races at a distance of 1 mile, to be known as the Sires Stakes Program for 4 and 5-Year-Olds, which shall be open only to those horses eligible to participate in the Sires Stakes Program for 4 and 5-Year-Olds:</text> <paragraph num="(a)"> <text>4- and 5-year-old pace for colts and fillies; and</text> </paragraph> <paragraph num="(b)"> <text>4- and 5-year-old trot for colts and fillies.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Upon the recommendation of the Advisory Committee, the races provided for in §I(1)(a) and (b) of this regulation may be separated into races for colts only and fillies only.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If more horses are declared to start in an event than can fit on the starting gate, the licensee holding the event shall split the event and divide the purse equally, except the declaration fees shall be allocated based on the number of horses in each division.</text> </paragraph> <paragraph num="K."> <text>The various age, sex, and gait divisions established under §I of this regulation may, from time to time, be eliminated by the Commission upon the recommendation of the Advisory Committee.</text> </paragraph> <paragraph num="L."> <text>Each age, sex, and gait division, depending upon the availability of funds, may not be raced more than three times per year.</text> </paragraph> <paragraph num="M."> <text>The purse amounts and the number of times per year each race is offered for the races authorized under §I of this regulation shall be determined by the Advisory Committee and approved by the Commission.</text> </paragraph> <paragraph num="N."> <text>Breeder Awards.</text> <paragraph num="(1)"> <text>10 percent Breeder Award, based upon the amount of the purse distributed, shall be divided between the dam and sire of a horse, if the horse:</text> <paragraph num="(a)"> <text>Receives purse monies from a race provided for under §I of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>Meets the applicable eligibility requirements set forth for registration in the Foaled Stakes Program under Regulation .43 of this chapter, or in the Sire Stakes Program under Regulation .53 of this chapter.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Of the 10 percent awarded under §N(1) of this regulation:</text> <paragraph num="(a)"> <text>8 percent shall be awarded to the dam of the horse; and</text> </paragraph> <paragraph num="(b)"> <text>2 percent shall be awarded to the sire of the horse.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The awards, as apportioned under §N(2) of this regulation, shall be paid to the:</text> <paragraph num="(a)"> <text>Individual or entity who was the owner of record with the USTA of the dam and sire at the time the horse was bred; or</text> </paragraph> <paragraph num="(b)"> <text>Lessee of the horse, rather than the owner, if the:</text> <paragraph num="(i)"> <text>Dam or the sire, respectively, was leased at the time the breeding took place; and</text> </paragraph> <paragraph num="(ii)"> <text>Lease was on record with the USTA at that time.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="O."> <text>Post positions for all races shall be determined by lot.</text> </paragraph> <paragraph num="P."> <text>Gait.</text> <paragraph num="(1)"> <text>A horse's gait shall be specified and accompany each sustaining fee.</text> </paragraph> <paragraph num="(2)"> <text>A change of a horse's specified gait may be made at the time the horse is declared into a race.</text> </paragraph> <paragraph num="(3)"> <text>Any payments made before a change in the specified gait of a horse shall be credited to the races for the gait originally specified.</text> </paragraph> </paragraph> <paragraph num="Q."> <text>Time.</text> <paragraph num="(1)"> <text>The time for starters to declare into a Sires Stakes Program for 4 and 5-Year-Olds race shall be the same as the time established by the race track for declaring into an overnight race.</text> </paragraph> <paragraph num="(2)"> <text>If the race track schedules the time for drawing into an overnight race more than 5 days before the running of the races, a Sires Stakes Program for 4 and 5-Year-Olds race may not be drawn with these races, but shall be drawn at a time that is not more than 5 days before the scheduled running of the race.</text> </paragraph> </paragraph> <paragraph num="R."> <text>Purse Distribution.</text> <paragraph num="(1)"> <text>The purse in each race shall be divided in the following manner:</text> <paragraph num="(a)"> <text>50 percent, 25 percent, 12 percent, 8 percent, and 5 percent to the first five finishers, respectively, if five or more horses finish;</text> </paragraph> <paragraph num="(b)"> <text>50 percent, 25 percent, 15 percent, and 10 percent to the first four finishers, respectively, if only four horses finish;</text> </paragraph> <paragraph num="(c)"> <text>55 percent, 30 percent, and 15 percent to the first three finishers, respectively, if only three horses finish;</text> </paragraph> <paragraph num="(d)"> <text>65 percent and 35 percent to the first two finishers, respectively, if only two horses finish; or</text> </paragraph> <paragraph num="(e)"> <text>65 percent to the finisher and 35 percent remains with the gait, if only one horse finishes.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Unless the Commission eliminates the races for one of the gaits in accordance with §K of this regulation, the purse monies shall be divided equally between races for trotters and races for pacers.</text> </paragraph> </paragraph> <paragraph num="S."> <text>With the advice of the Advisory Committee, the Commission may allow the entire Sires Stakes Program for 4 and 5-Year-Olds races to be held at any race track in Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".54" heading="Payments to Maryland Standardbred Race Fund."> <paragraph num="A."> <text>For each harness track meet, any moneys allocated to the Maryland Standardbred Race Fund and required to be paid to the Maryland Racing Commission by the licensee, will be paid to the Commission within 5 days after the close of the meet, or the outstanding balance will after that bear interest at the prime rate, as presently published in the Wall Street Journal under Money Rates for the publication date of the 5th day, or the immediately preceding publication date if the 5th day is not a publication date, on a per diem basis until available funds are paid the Commission for the outstanding amount due, including interest.</text> </paragraph> <paragraph num="B."> <text>In this chapter, “meet” means a specified period of consecutive days when an association is licensed by the Commission to conduct racing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".54-1" heading="Standardbred Race Fund Administrator."> <paragraph num="A."> <text>The Standardbred Race Fund Advisory Committee shall select an administrator to supervise the daily operation of the Standardbred Race Fund.</text> </paragraph> <paragraph num="B."> <text>The Administrator selected by the Standardbred Fund Advisory Committee shall be appointed by, and serve at the pleasure of, the Commission.</text> </paragraph> <paragraph num="C."> <text>The salary and benefits of the Administrator shall be established by the Commission and, together with the other reasonable expenses incurred in the administration of the Standardbred Race Fund, shall be paid from the monies that inure to the Standardbred Race Fund.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".55" heading="Pick Six."> <paragraph num="A."> <text>The Pick Six is a form of pari-mutuel wagering. Each bettor selects the first horse in each of six consecutive races designated as the Pick Six races by the Association. The principle of a Pick Six is, in effect, a contract by the purchaser of a Pick Six ticket to select the winners of each of the six races designated as the Pick Six.</text> </paragraph> <paragraph num="B."> <text>The Pick Six pool shall be held entirely separate from all other pools and is not part of a daily double, exacta, trifecta, or other wagering pool. The Pick Six pool is a pool in which the bettor is required to select six consecutive winning horses and is not a parlay.</text> </paragraph> <paragraph num="C."> <text>Repealed.</text> </paragraph> <paragraph num="D."> <text>Races in which Pick Six pools shall be conducted shall be approved by the Maryland Racing Commission and clearly designated in the program.</text> </paragraph> <paragraph num="E."> <text>The design of Pick Six tickets shall be clearly and immediately distinguished from other pari-mutuel tickets with the identification “Pick 6” printed on the ticket.</text> </paragraph> <paragraph num="F."> <text>The Pick Six pari-mutuel pool shall be calculated as follows:</text> <paragraph num="(1)"> <text>Seventy-five percent of the net amount in the pari-mutuel pool subject to distribution among winning ticket holders shall be distributed among the holders of pari-mutuel tickets which correctly designate the official winner in each of the six races comprising the Pick Six. The remaining undistributed 25 percent of the net pool shall be distributed among the holders of pari-mutuel tickets which correctly designate the most winning selections less than the six winning selections described above.</text> </paragraph> <paragraph num="(2)"> <text>If there is no pari-mutuel ticket held which correctly designates the winner of all races comprising the Pick Six, 75 percent of that racing date's net amount available for distribution shall be carried over and included in the Pick Six pool requiring six winning selections, at the next performance.</text> </paragraph> <paragraph num="(3)"> <text>If a Pick Six ticket designates as a selection to win in any one or more of the contests comprising the Pick Six, a single wagering interest which is scratched, excused or determined by the stewards to be a non-starter in the race, the actual favorite, as evidenced by the amounts wagered in the win pool at the time of the start, will be substituted for the non-starting selection for all purposes including pool calculations and payoffs, provided further that if the win pool for two or more favorites is identical, the selection shall be the lowest program number substituted for the non-starting selection.</text> </paragraph> <paragraph num="(4)"> <text>The cancellation of one or more contests comprising the Pick Six in any performance shall result in that day's net pool being fully distributed to the individuals holding the most winners on that day's performance. If three or more of the six contests comprising the Pick Six are officially cancelled or declared as no contest, all pari- mutuel tickets on the Pick Six for that performance shall be refunded, and the Pick Six shall be cancelled for that performance. Any contributions to the Pick Six pool from prior performances will remain in the Pick Six pool to be carried over and included in the Pick Six pool for the next performance as prescribed in §F(2), above.</text> </paragraph> <paragraph num="(5)"> <text>If the accumulated Pick Six has not been distributed prior to the closing day of the meeting in which the Pick Six pool was generated, the accumulated Pick Six pool and the net amount in the Best of Six pool, subject to distribution among winning ticket holders, shall be distributed among closing day holders of Pick Six tickets which correctly designate the most official winners of the six contests comprising the closing day Pick Six. Should there be a cancellation of the final day's card, or if the final day of Pick Six pool is cancelled, the contributions shall be transferred to the next harness track to operate.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Those horses constituting an entry or a field as defined within the regulations of the Maryland Racing Commission shall race in any Pick Six race as a single wagering interest for the purpose of the Pick Six race pari-mutuel pool calculations and payouts to the public. A scratch, after wagering has begun, of any part of any entry or field selection in such a race shall be of no effect with respect to the status of this entry or field, or both, as a viable wagering interest.</text> </paragraph> <paragraph num="H."> <text>If, for any reason, any race or races of a Pick Six program is cancelled and declared “No Race”, the Pick Six pool shall be distributed to the holders of the most winning selections of the remaining races pursuant to §F. If the judges cancel or declare “No Race” in three or more of the Pick Six races for any given date, all pari-mutuel tickets for that Pick Six pool shall be refunded and the Pick Six cancelled for that day.</text> </paragraph> <paragraph num="I."> <text>If there is a dead-heat for win between two or more horses in any Pick Six race, all these horses in the dead-heat for win shall be considered as the winning horse in the race for the purpose of distributing the Pick Six pari-mutuel pool.</text> </paragraph> <paragraph num="J."> <text>A person may not disclose the number of tickets sold in the Pick Six pool or the number or amount of tickets selecting winners of Pick Six races before the time the judges have declared the last Pick Six race on any given date “official”.</text> </paragraph> <paragraph num="K."> <text>A pari-mutuel ticket for the Pick Six pool may not be sold, exchanged, or cancelled after the time of the closing of wagering in the first of the six races comprising the Pick Six.</text> </paragraph> <paragraph num="L."> <text>A validly issued Pick Six ticket timely surrendered to the association by the legal holder of it shall be the only evidence of a person's participation in the Pick Six pari-mutuel pool. The acceptance of a Pick Six ticket by taking an issued ticket away from the window or terminal from which it is purchased shall constitute an acknowledgement by the purchaser of the correctness of the ticket, and each purchaser of a Pick Six ticket agrees to be bound by the terms and provisions of this and all other applicable Commission rules and regulations and by the laws of the State pertaining to pari-mutuel wagering. The association, totalisator company, and the State may not be liable to a person for a ticket which is not a winning ticket in accordance with the provisions of this rule. The association, totalisator company, and the State may not be liable to a person for a Pick Six ticket not delivered for any reason, including but not limited to mechanical malfunction, electrical failure, machine locking, or other cause.</text> </paragraph> <paragraph num="M."> <text>This rule shall be prominently displayed throughout the betting area of each association conducting a Pick Six program.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".56" heading="Twin Trifecta (Double Triple)."> <paragraph num="A."> <text>The Twin Trifecta is a type of bet in which:</text> <paragraph num="(1)"> <text>A bettor initially selects three different betting interests to finish first, second, and third in that exact order in the first race of two designated races; and</text> </paragraph> <paragraph num="(2)"> <text>For each successful minimum bet on the first of the two designated races of the Twin Trifecta, a bettor is entitled to one opportunity to select three different betting interests to finish first, second, and third in that exact order in the second race.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A successful minimum bet on the first race of the Twin Trifecta is the only means by which a bettor may participate under §A(2) of this regulation.</text> </paragraph> <paragraph num="C."> <text>Repealed.</text> </paragraph> <paragraph num="D."> <text>The betting pool created under §A of this regulation shall be refunded if:</text> <paragraph num="(1)"> <text>For any reason, the number of betting interests for either the first race or the second race of the Twin Trifecta is reduced to less than seven before betting is opened for the first race of this bet;</text> </paragraph> <paragraph num="(2)"> <text>The first race of the two designated races is cancelled or declared no race; or</text> </paragraph> <paragraph num="(3)"> <text>No bet on the first race of the two designated races contains a successful selection as set forth in §§E(1)(a) or J of this regulation.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Unless there is a refund of the betting pool as set forth in §D of this regulation, or a racing association elects to employ the option specified under §G of this regulation, the net pool created by the Twin Trifecta bets shall be divided into two pools, where:</text> <paragraph num="(1)"> <text>One pool shall be assigned to the first race and shall be distributed among those bets which contain the:</text> <paragraph num="(a)"> <text>Betting interests finishing first, second, and third in that exact order in the first race of the two designated races; or</text> </paragraph> <paragraph num="(b)"> <text>Most correct betting interests as set forth in §J of this regulation if no bet satisfies §E(1)(a) of this regulation; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The other pool shall be assigned to the second race of the two designated races and shall be:</text> <paragraph num="(a)"> <text>Distributed, along with any carry over, among those bets which contain the betting interests finishing first, second, and third in that exact order in the second race of the two designated races;</text> </paragraph> <paragraph num="(b)"> <text>Distributed among those bets which contain the betting interests which finished first, second, and third in that exact order in the first race of the two designated races if the second race of the two designated races is cancelled or declared no race;</text> </paragraph> <paragraph num="(c)"> <text>Carried over and added to the same type of pool on the next program of the race meeting if no bet on the day's program contains the betting interests finishing first, second, and third in that exact order in the second race of the two designated races; or</text> </paragraph> <paragraph num="(d)"> <text>Distributed, along with any carry over, among those bets which contain the most correct betting interests, as set forth in §J of this regulation, in the second race of the two designated races, if:</text> <paragraph num="(i)"> <text>No bet contains all the correct selections, and</text> </paragraph> <paragraph num="(ii)"> <text>The racing association has given prior notice that there will be a mandatory distribution of the carry over.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>The formula for allocating the net pool among the two pools created under §E of this regulation shall be:</text> <paragraph num="(1)"> <text>Established by the racing association; and</text> </paragraph> <paragraph num="(2)"> <text>Maintained, as established, until the pool assigned to the second race of the two designated races, including the carry over pool, if any, has been distributed.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Entire Net Pool Assigned to Second Race of Twin Trifecta.</text> <paragraph num="(1)"> <text>Upon giving prior notice, a racing association may conduct a Twin Trifecta by which the entire net pool created by the Twin Trifecta bets is:</text> <paragraph num="(a)"> <text>Assigned to the second race of the Twin Trifecta; and</text> </paragraph> <paragraph num="(b)"> <text>Distributed in accordance with the provisions of §E(2) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the association elects to employ the provisions of §G(1) of this regulation, the association shall continue to employ these provisions until the pool created by employing these provisions, including the carry over pool, if any, has been distributed.</text> </paragraph> </paragraph> <paragraph num="H."> <text>The will pay on the pools created in §E of this regulation and the pool created in §G of this regulation shall be calculated in the following manner:</text> <paragraph num="(1)"> <text>Multiply the total number of successful bets at the minimum bet level in the pool by the minimum bet established under §C of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>Divide the total amount in the pool by the answer to §H(1) of this regulation;</text> </paragraph> <paragraph num="(3)"> <text>Reduce the answer to §H(2) of this regulation to the next lowest multiple of 10 cents;</text> </paragraph> <paragraph num="(4)"> <text>Multiply the answer to §H(3) of this regulation by the established minimum bet;</text> </paragraph> <paragraph num="(5)"> <text>The answer to §H(4) of this regulation becomes the will pay for a minimum bet.</text> </paragraph> </paragraph> <paragraph num="I."> <text>If the answer to §H(2) of this regulation is less than $1.10, §H(2) of this regulation shall be disregarded, and $1.05 shall be substituted for the answer obtained from the calculation in §H(3) of this regulation.</text> </paragraph> <paragraph num="J."> <text>If no bet contains the betting interests finishing first, second, and third in that exact order in the first race of the two designated races, or a distribution of the pool assigned to the second race of the two designated races is required by the provisions of §E(2)(d) of this regulation, the distribution of a pool assigned to these races shall be based:</text> <paragraph num="(1)"> <text>On bets which contain the betting interests finishing first and second in that exact order; and</text> </paragraph> <paragraph num="(2)"> <text>If there is no bet that is in accordance with §J(1) of this regulation, on bets which contain the betting interest finishing first, selected in that position.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Dead Heat.</text> <paragraph num="(1)"> <text>If a dead heat or heats occur for any of the first three positions in either of the two designated races, a horse in a dead heat shall be considered as finishing in any position for which it dead heated.</text> </paragraph> <paragraph num="(2)"> <text>In the event of a dead heat as described in §K(1) of this regulation, contrary to the usual practice, the aggregate number of winning tickets shall be used to calculate the will pay without regard to the number of selections containing a betting interest in one position or the other.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Scratches.</text> <paragraph num="(1)"> <text>If a betting interest in the first race of a Twin Trifecta is scratched, all issued tickets which include the scratched betting interest shall be refunded.</text> </paragraph> <paragraph num="(2)"> <text>If a betting interest in the second race of a Twin Trifecta is scratched, the judges shall act as follows:</text> <paragraph num="(a)"> <text>If there are more than 5 minutes to post remaining, as displayed on the infield tote board, the judges shall declare, by means of a public address announcement, that tickets which include the scratched betting interest may be exchanged before the running of the race; or</text> </paragraph> <paragraph num="(b)"> <text>If there are 5 minutes or less to post remaining, as displayed on the infield tote board, the judges shall determine if there are tickets issued which contain the scratched betting interest and act as follows:</text> <paragraph num="(i)"> <text>If there are no tickets, the judges shall take no further action, or</text> </paragraph> <paragraph num="(ii)"> <text>If there are tickets, the judges shall declare, by means of a public address announcement, that the bets on the second of the two designated races are cancelled, and the pool allocated to the second race of the Twin Trifecta from that day only, not including any carry over, shall be distributed among those bets which contain the betting interests finishing first, second, and third in that exact order in the first race of the two designated races.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="M."> <text>If betting on the first race of the two designated races of a Twin Trifecta has started, and the number of betting interests for either the first or second race of the two designated races is reduced to less than seven, the racing association shall elect, in its sole and final discretion, to:</text> <paragraph num="(1)"> <text>Refund the bets; or</text> </paragraph> <paragraph num="(2)"> <text>Continue to offer this type of bet.</text> </paragraph> </paragraph> <paragraph num="N."> <text>If, after the first race of the two designated races has been run, and the second race of the two designated races has less than seven betting interests, the racing association shall elect, in its sole and final discretion, to:</text> <paragraph num="(1)"> <text>Continue to offer this type of bet; or</text> </paragraph> <paragraph num="(2)"> <text>Cancel this type of bet for the day and distribute the pool from this day only, not including any carry over, among those bets which contain the betting interests finishing first, second, and third in that exact order in the first race of the two designated races.</text> </paragraph> </paragraph> <paragraph num="O."> <text>Prohibitions. The following acts are prohibited:</text> <paragraph num="(1)"> <text>Sales of tickets on this bet by any means other than through pari-mutuel machines; and</text> </paragraph> <paragraph num="(2)"> <text>Disclosure of the number of tickets eligible for exchange on the second of the two designated races.</text> </paragraph> </paragraph> <paragraph num="P."> <text>If, at the end of the race meeting, the carry over pool has not been distributed in accordance with §E(2)(a) or (d) of this regulation, this pool shall be:</text> <paragraph num="(1)"> <text>Placed in an interest-bearing escrow account, with the information on this account being furnished to the Commission; and</text> </paragraph> <paragraph num="(2)"> <text>Carried over, with the accumulated interest, to a similar pool and offered for distribution on the first day of the next race meeting of the racing association at which the pool was generated.</text> </paragraph> </paragraph> <paragraph num="Q."> <text>Coupled entries and fields are permitted in the races on which this bet is offered.</text> </paragraph> <paragraph num="R."> <text>If the horses in a coupled entry or the horses in a field finish in more than one of the first three positions, one or more of the horses, as necessary, finishing directly after the first three horses shall be used to complete a winning bet consisting of three different betting interests.</text> </paragraph> <paragraph num="S."> <text>This regulation shall be prominently displayed in the betting area of a racing association offering this type of bet.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".57" heading="Superfecta."> <paragraph num="A."> <text>The Superfecta is a type of bet in which a bettor must select four different betting interests to finish first, second, third, and fourth in that exact order.</text> </paragraph> <paragraph num="B."> <text>If there was no bet issued which selected the first four betting interests in the exact order and the association has not provided for a carryover under §I of this regulation or provided for the distribution of a carryover under §J of this regulation, the net pool from this bet shall be distributed, in the following order of precedence, among those bets which selected the betting interests which finished:</text> <paragraph num="(1)"> <text>First, second, and third in that exact order;</text> </paragraph> <paragraph num="(2)"> <text>First and second in that exact order, if there is no bet that complies with §C(1) of this regulation; or</text> </paragraph> <paragraph num="(3)"> <text>First, if there is no bet that complies with §B(1) or (2) of this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If fewer than four betting interests finish the race, the net pool, not including any carryover, shall be distributed among the bets which selected the betting interests finishing the race in the exact order of the finish.</text> </paragraph> <paragraph num="D."> <text>Pay Off.</text> <paragraph num="(1)"> <text>The pay off on winning bets shall be calculated as established for a win bet in accordance with Regulation .45W(1) of this chapter unless there is a dead heat for one or more of the first four positions.</text> </paragraph> <paragraph num="(2)"> <text>If there is a dead heat for one or more of the first four positions:</text> <paragraph num="(a)"> <text>The betting interests dead heated shall be counted as finishing in all of the places encompassed by the dead heat; and</text> </paragraph> <paragraph num="(b)"> <text>The pay off shall be calculated as established for a place or show pool in accordance with Regulation .45W(2) or (3) of this chapter, whichever is applicable.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The betting pool created under §A of this regulation, not including any carryover, shall be refunded if, for any reason:</text> <paragraph num="(1)"> <text>No bet made qualifies for a payoff under §B or C of this regulation; or</text> </paragraph> <paragraph num="(2)"> <text>The judges declare the race a “no contest”.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The Superfecta may not be offered on a race which contains a field.</text> </paragraph> <paragraph num="G."> <text>If the horses in a coupled entry finish in more than one of the first four positions, one or more of the horses, as necessary, finishing directly after the first four horses shall be:</text> <paragraph num="(1)"> <text>Used to complete a winning selection consisting of four different numbers; and</text> </paragraph> <paragraph num="(2)"> <text>Assigned the positions behind those horses which have been advanced due to the coupled entry finishing in more than one of the first four positions.</text> </paragraph> </paragraph> <paragraph num="H."> <text>If a Superfecta bet contains a betting interest which is scratched, the bet shall be refunded.</text> </paragraph> <paragraph num="I."> <text>If, before accepting bets on a race for which Superfecta betting is offered, the association announces that a certain percentage of the Superfecta net pool will be carried over if no bet selects the first four finishers in exact order:</text> <paragraph num="(1)"> <text>The percentage carried over shall be distributed proportionately among those bets which select the first four finishers in exact order the next time the bet is offered; and</text> </paragraph> <paragraph num="(2)"> <text>The remainder of the pool shall be distributed in accordance with §C of this regulation.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If the association has announced before accepting bets on the race that it will distribute the amount carried over from prior races, and no bet selects the first four finishers in exact order, the association shall distribute the carryover using the distribution provisions under §B of this regulation, unless the provisions of §E of this regulation apply.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".58" heading="Pick (n)."> <paragraph num="A."> <text>The Pick (n) is a type of bet encompassing four or more races, the exact number of races being determined by the number substituted for (n), in which a bettor selects a betting interest to finish not lower than the position specified for this bet by the racing association for each of the races comprising the bet.</text> </paragraph> <paragraph num="B."> <text>Repealed.</text> </paragraph> <paragraph num="C."> <text>A Pick (n) bet shall be refunded if:</text> <paragraph num="(1)"> <text>For any reason, 50 percent or more of the races scheduled as a part of this bet are cancelled or declared a “no contest”; or</text> </paragraph> <paragraph num="(2)"> <text>No bet qualifies for a pay off under the provisions of §D, E, or F(1) of this regulation, and the provisions of §H of this regulation have not been invoked.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If one or more of the races scheduled as part of the Pick (n) bet, but fewer than the number specified under §C(1) of this regulation, are cancelled or declared a “no contest”, the net pool on the bet from that day only shall be distributed, on a pari-mutuel basis, among the bets which contain the most correct selections for the races which were run.</text> </paragraph> <paragraph num="E."> <text>Except as provided in §C or D of this regulation, the net pool created under a Pick (n) bet, along with any carryover from previous pools of the same type of bet, shall be distributed on a pari-mutuel basis among those bets which contain:</text> <paragraph num="(1)"> <text>All the correct selections; or</text> </paragraph> <paragraph num="(2)"> <text>The most correct selections if:</text> <paragraph num="(a)"> <text>No bet contains all the correct selections, and</text> </paragraph> <paragraph num="(b)"> <text>The racing association has given prior notice that there will be a mandatory distribution of the carryover.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>If no bet contains all the correct selections in accordance with §E(1) of this regulation, and §E(2) of this regulation has not been invoked, the net pool created under a Pick (n) bet shall be divided into two pools, where:</text> <paragraph num="(1)"> <text>One pool shall be distributed among those bets which contain the most correct selections; and</text> </paragraph> <paragraph num="(2)"> <text>The other pool shall be carried over to the next program to offer this type of bet.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The formula for allocating the net pool among the two pools created under §F of this regulation shall be:</text> <paragraph num="(1)"> <text>Established by the racing association; and</text> </paragraph> <paragraph num="(2)"> <text>Maintained as established, until:</text> <paragraph num="(a)"> <text>A bet contains all the correct selections, or</text> </paragraph> <paragraph num="(b)"> <text>The carryover pool is distributed in accordance with the provisions of §E(2) of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Entire Net Pool Assigned to Bets Containing All the Correct Selections.</text> <paragraph num="(1)"> <text>Upon giving prior notice, a racing association may conduct a Pick (n) for which the entire net pool created by this bet may only be distributed to bets which contain all the correct selections.</text> </paragraph> <paragraph num="(2)"> <text>If the racing association elects to employ the provisions of §H(1) of this regulation, the association shall continue to employ these provisions until the pool created by employing these provisions, including the carryover pool, if any, has been distributed.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Dead Heat. If a dead heat or heats occur involving horses finishing in, or higher than, any of the places for which this bet is offered, a horse in a dead heat shall be considered as finishing in the position for which it dead heated.</text> </paragraph> <paragraph num="J."> <text>If there is more than one combination of winning bets, the aggregate dollars bet on the winning combinations shall be used to calculate the will pay without regard to the amount bet on one winning combination in relation to the amount bet on another winning combination.</text> </paragraph> <paragraph num="K."> <text>Scratches. If a betting interest is scratched, excused, or determined by the judges to be a nonstarter:</text> <paragraph num="(1)"> <text>The actual favorite, as evidenced by the amounts bet in the win pool when betting on the race in which the scratched betting interest was to participate is closed, shall be substituted for that betting interest; or</text> </paragraph> <paragraph num="(2)"> <text>The favorite with the lowest program number shall be substituted for the scratched betting interest if the amount bet in the win pool is identical on two or more favorites when betting on the race is closed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".59" heading="Driver Challenge Event."> <paragraph num="A."> <text>A driver challenge event is one in which the:</text> <paragraph num="(1)"> <text>Racing association:</text> <paragraph num="(a)"> <text>Designates the specific races on a racing program that will comprise the event; and</text> </paragraph> <paragraph num="(b)"> <text>Assigns a number to each of the drivers participating in these races;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Number of runners scheduled to participate in each race comprising the event is:</text> <paragraph num="(a)"> <text>The same; and</text> </paragraph> <paragraph num="(b)"> <text>No more than nine;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Same drivers are scheduled to drive in each race comprising the event; and</text> </paragraph> <paragraph num="(4)"> <text>Selection of the number assigned to a driver automatically selects the horses scheduled to be driven by that driver in each race comprising the driver challenge event.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A racing association conducting a driver challenge event may offer any type of bet on this series of races that is authorized by this chapter for a single race.</text> </paragraph> <paragraph num="C."> <text>Points.</text> <paragraph num="(1)"> <text>Points shall be awarded to each betting interest according to the finish of the horses in each race comprising the driver challenge event, as follows:</text> <paragraph num="(a)"> <text>14 points for a first place finisher;</text> </paragraph> <paragraph num="(b)"> <text>9 points for a second place finisher;</text> </paragraph> <paragraph num="(c)"> <text>7 points for a third place finisher; and</text> </paragraph> <paragraph num="(d)"> <text>The points awarded for each subsequent finisher after the finisher under §C(1)(c) of this regulation shall decrease by one point from the points awarded to the preceding finisher, ending at one point for the ninth place finisher.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If there is a dead heat for any position in one or more of the races comprising this event, the points for the position dead-heated and the subsequent position or positions, as appropriate, shall be aggregated and then allocated proportionately for the horses involved in the dead heat.</text> </paragraph> <paragraph num="(3)"> <text>If a horse is scratched, declared a nonstarter in a race, or the race is called “No Contest”, the betting interests involved shall be awarded one point for that race.</text> </paragraph> <paragraph num="(4)"> <text>After the last race of the driver challenge event, the points earned by each betting interest shall be totaled and the betting interest with the:</text> <paragraph num="(a)"> <text>Highest number of points shall be considered to have finished first;</text> </paragraph> <paragraph num="(b)"> <text>Second highest number of points shall be considered to have finished second;</text> </paragraph> <paragraph num="(c)"> <text>Third highest number of points shall be considered to have finished third; and</text> </paragraph> <paragraph num="(d)"> <text>All subsequent places shall be awarded accordingly.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Any ties for the places determined under §C(4) of this regulation shall be broken by awarding the place for which the betting interests tied to the betting interest with the greatest number of:</text> <paragraph num="(a)"> <text>First place finishes;</text> </paragraph> <paragraph num="(b)"> <text>Second place finishes, if a tie still exists after applying the provisions of §C(5)(a) of this regulation; and</text> </paragraph> <paragraph num="(c)"> <text>Finishers at the next lower finishing position, down to nine, if a tie still exists after applying the provisions of §C(5)(a) and (b) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>If, at the end of the process described under §C(5) of this regulation, the tie is not broken, the betting interests tied shall be considered to have finished in a dead heat.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".60" heading="Ocean High Five."> <paragraph num="A."> <text>The Ocean High Five is a contract by the purchaser of a ticket combining five horses to finish first, second, third, fourth, and fifth, in that specific order, in a race on which Ocean High Five wagering is offered. Payment of the ticket shall be made only to the purchaser who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The Ocean High Five is not a parlay and has no connection with, or relation to, any other wagering pool. The Ocean High Five shall be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>Subject to Commission approval, the racing association shall establish the minimum amount for a bet on Ocean High Five tickets.</text> </paragraph> <paragraph num="D."> <text>Ocean High Five wagering may be conducted on a race that has at least seven separate wagering interests.</text> </paragraph> <paragraph num="E."> <text>If there is no pari-mutuel ticket issued that selects the first five finishers in exact order, then the entire net pool shall be:</text> <paragraph num="(1)"> <text>Carried over to the next qualifying race offering Ocean High Five wagering; and</text> </paragraph> <paragraph num="(2)"> <text>Combined with the Ocean High Five net pool for that race to determine the applicable payout.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Distribution.</text> <paragraph num="(1)"> <text>The entire Ocean High Five net pool plus any carryover shall be distributed on the last day of the race meet by the racing association, which shall hold Ocean High Five wagering on one race that day.</text> </paragraph> <paragraph num="(2)"> <text>If a ticket is not sold that correctly selects five horses to finish first, second, third, fourth, and fifth, in that specific order, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select four horses to finish first, second, third, and fourth, in that specific order.</text> </paragraph> <paragraph num="(3)"> <text>If such a ticket is not sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select three horses to finish first, second, and third, in that specific order.</text> </paragraph> <paragraph num="(4)"> <text>If such a ticket is not sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select two horses to finish first and second, in that specific order.</text> </paragraph> <paragraph num="(5)"> <text>If no such ticket is sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select the winner of the race.</text> </paragraph> <paragraph num="(6)"> <text>If no such ticket is sold, the entire net pool plus any carryover shall be evenly distributed to the holders of all tickets.</text> </paragraph> </paragraph> <paragraph num="G."> <text>If, for any reason, there is not a mandatory distribution of the Ocean High Five carryover as provided in §F of this regulation, the Ocean High Five carryover shall be:</text> <paragraph num="(1)"> <text>Placed into an interest bearing account as approved by the Commission; and</text> </paragraph> <paragraph num="(2)"> <text>With accrued interest, added to the Ocean High Five pool of the next race meet held by a racing association where Ocean High Five wagering is conducted, unless otherwise agreed by that racing association and the racing association where the Ocean High Five pool carryover was generated.</text> </paragraph> </paragraph> <paragraph num="H."> <text>If a dead heat, or heats, occur in a race on which there is Ocean High Five wagering:</text> <paragraph num="(1)"> <text>A horse in a dead heat shall be considered as finishing in the position for which it dead heated; and</text> </paragraph> <paragraph num="(2)"> <text>Any selection in an Ocean High Five wager that correctly selects a horse in a dead heat as finishing in the position for which the horse dead heated shall be treated as a correct selection.</text> </paragraph> </paragraph> <paragraph num="I."> <text>In the event of a scratch in an Ocean High Five race:</text> <paragraph num="(1)"> <text>Exchanges may not be made; and</text> </paragraph> <paragraph num="(2)"> <text>All tickets that include the scratched horse shall be refunded.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Coupled entries are permitted, but fields are prohibited in Ocean High Five races.</text> </paragraph> <paragraph num="K."> <text>For price calculations only, coupled entries shall be calculated as a single finishing horse, using the finishing position of the leading horse in the coupled entry to determine the order of placing. Example: If the actual order of finish in a race is 1 / 2 / 1A / 3 / 4 / 5, then the finishers used for that race in the Ocean High Five would be 1 / 2 / 3 / 4 / 5.</text> </paragraph> <paragraph num="L."> <text>Sale.</text> <paragraph num="(1)"> <text>Ocean High Five tickets shall be sold only by the licensee through pari-mutuel machines programmed to print all selections on one ticket.</text> </paragraph> <paragraph num="(2)"> <text>Resale of tickets from one individual to another is prohibited and is grounds for ejection.</text> </paragraph> </paragraph> <paragraph num="M."> <text>This regulation shall be printed in heavy type in a conspicuous place in the program or prominently posted near the betting windows of any association conducting this type of wager.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".61" heading="The Survivor Bet."> <paragraph num="A."> <text>The Survivor Bet is a contract by the purchaser of a ticket selecting the first place finisher in each of ten contests.</text> </paragraph> <paragraph num="B."> <text>Subject to Commission approval, the racing association shall establish the takeout and minimum amount for a bet on The Survivor Bet.</text> </paragraph> <paragraph num="C."> <text>The Survivor Bet wagering pool shall be distributed using the following method:</text> <paragraph num="(1)"> <text>The Survivor Bet wager requires the ticket holder to correctly select the winner of each sequential leg in order to remain alive in the pool.</text> </paragraph> <paragraph num="(2)"> <text>If at any time there is only one ticket remaining which has correctly selected the winner in each leg contested to that point, then the pool is at an end and that ticket is the winner regardless of whether the remaining legs result in winning selections.</text> </paragraph> <paragraph num="(3)"> <text>If at any time there are multiple tickets remaining which correctly selected the winner in each leg contested to that point but none of those correctly select the winner of the subsequent leg, then the pool is at an end and those tickets are the winners regardless of whether the remaining legs result in winning selections. Each of these tickets shall be apportioned a payout.</text> </paragraph> <paragraph num="(4)"> <text>If all ten contests are completed and there are multiple tickets which correctly selected the winner in each leg, then those tickets are the winners. Each of these tickets shall be apportioned a payout.</text> </paragraph> <paragraph num="(5)"> <text>The net Survivor pool shall be distributed as a single price pool to those who sequentially selected the first place finishers in the greatest number of Survivor contests, based on the official order of finish.</text> </paragraph> <paragraph num="(6)"> <text>All winning payouts shall be made after the conclusion of the tenth contest.</text> </paragraph> <paragraph num="(7)"> <text>If there are no winning wagers, the entire pool shall be refunded.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If there is a dead heat for first in any of the Survivor contests involving:</text> <paragraph num="(1)"> <text>Contestants representing the same betting interests, the Survivor pool shall be distributed as if no dead heat occurred.</text> </paragraph> <paragraph num="(2)"> <text>Contestants representing two or more betting interests, the Survivor pool shall be distributed as a single price pool with each winning wager receiving an equal share of the profit.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Should a betting interest in any of the Survivor pools be scratched, the actual favorite, as evidenced by total amounts wagered in the Win pool at the host association for the contest at the close of wagering on that contest, shall be substituted for the scratched betting interest, for all purposes, including pool calculations. In the event that the Win pool total for two or more favorites is identical, the substitute selection shall be the betting interest with the lowest program number;</text> </paragraph> <paragraph num="F."> <text>The tote company shall produce reports showing each of the wagering combinations with substituted betting interests which became winners as a result of the substitution, in addition to the normal winning combination.</text> </paragraph> <paragraph num="G."> <text>The Survivor Bet shall be canceled and all Survivor Bet wagers for the individual performance shall be refunded if all races included in the Survivor Bet pool are canceled or declared “no contest”.</text> </paragraph> <paragraph num="H."> <text>If at least one contest included as part of the Survivor Bet is canceled or declared a “no contest”, the net pool shall be distributed as a single price pool to those whose selection finished first in the greatest number of Survivor contests for that performance.</text> </paragraph> <paragraph num="I."> <text>A “no contest” race is not to be considered as a contested race. The Survivor Bet will advance all tickets that remained alive in the previous leg of the pool.</text> </paragraph> <paragraph num="J."> <text>Subject to Commission approval, an association may contribute a sum of money up to the amount approved by the commission to the Survivor pool.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".62" heading="Jackpot Super High Five."> <paragraph num="A."> <text>The Jackpot Super High Five is a contract by the purchaser of a ticket combining five horses to finish first, second, third, fourth, and fifth, in that specific order, in a race on which Jackpot Super High Five wagering is offered, where, unless otherwise provided, only one, unique pari-mutuel ticket holder designates the official order of finish for the first five horses. Payment of the ticket shall be made only to the purchaser of the single, unique pari-mutuel ticket who has selected the same order of finish as officially posted.</text> </paragraph> <paragraph num="B."> <text>The Jackpot Super High Five is not a parlay and has no connection with, or relation to, any other wagering pool. The Jackpot Super High Five shall be calculated as an entirely separate pool.</text> </paragraph> <paragraph num="C."> <text>Subject to Commission approval, the racing association shall establish the minimum amount for a bet on the Jackpot Super High Five tickets.</text> </paragraph> <paragraph num="D."> <text>Jackpot Super High Five wagering may be conducted on a race that has at least seven separate wagering interests.</text> </paragraph> <paragraph num="E."> <text>Except as provided in §H of this regulation, the net pari-mutuel pool for the Jackpot Super High Five bet on a qualifying race that day, together with any carryover from previous pools of the same type of bet, shall be distributed to the holder of the single, unique parimutuel ticket which correctly designates the official order of finish for the first five horses in the Jackpot Super High Five wager for that race on that day.</text> </paragraph> <paragraph num="F."> <text>In the event there is more than one pari-mutuel ticket which correctly designates the official order of finish for the first five horses in the Jackpot Super High Five bet for that race on that day, the net pari-mutuel pool for the Jackpot Super High Five bets that day shall be distributed:</text> <paragraph num="(1)"> <text>50 percent, equally, to the holders of pari-mutuel tickets which correctly designate the official order of finish for the first five horses in the Jackpot Super High Five bet for that race on that day; and</text> </paragraph> <paragraph num="(2)"> <text>50 percent to the Jackpot Super High Five carryover pool.</text> </paragraph> </paragraph> <paragraph num="G."> <text>If there is no pari-mutuel ticket issued that selects the first five finishers in exact order, then the entire net pool shall be:</text> <paragraph num="(1)"> <text>Carried over to the next qualifying race offering Jackpot Super High Five wagering; and</text> </paragraph> <paragraph num="(2)"> <text>Combined with the Jackpot Super High Five net pool for that race to determine the applicable payout.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Mandatory Distribution.</text> <paragraph num="(1)"> <text>The entire Jackpot Super High Five net pool plus any carryover shall be distributed on the last day of the race meet by the racing association, which shall hold Jackpot Super High Five wagering on a qualifying race that day.</text> </paragraph> <paragraph num="(2)"> <text>If a ticket is not sold that correctly selects five horses to finish first, second, third, fourth, and fifth, in that specific order, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select four horses to finish first, second, third, and fourth, in that specific order.</text> </paragraph> <paragraph num="(3)"> <text>If such a ticket is not sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select three horses to finish first, second, and third, in that specific order.</text> </paragraph> <paragraph num="(4)"> <text>If such a ticket is not sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select two horses to finish first and second, in that specific order.</text> </paragraph> <paragraph num="(5)"> <text>If no such ticket is sold, the entire net pool plus any carryover shall be distributed to the holders of tickets that correctly select the winner of the race.</text> </paragraph> <paragraph num="(6)"> <text>If no such ticket is sold, the entire net pool plus any carryover shall be evenly distributed to the holders of all tickets.</text> </paragraph> </paragraph> <paragraph num="I."> <text>If, for any reason, there is not a mandatory distribution of the Jackpot Super High Five carryover as provided in §H of this regulation, the Jackpot Super High Five carryover shall be:</text> <paragraph num="(1)"> <text>Placed into an interest bearing account as approved by the Commission; and</text> </paragraph> <paragraph num="(2)"> <text>With accrued interest, added to the Jackpot Super High Five pool of the next race meet held by a racing association where Jackpot Super High Five wagering is conducted, unless otherwise agreed by that racing association and the racing association where the Jackpot Super High Five pool carryover was generated.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If fewer than five betting interests finish and the contest is declared official, payoffs will be made based on the order of finish of those betting interests completing the contest. The balance of any selection on any ticket beyond the number of betting interests completing the contest shall be ignored. Any previous Jackpot Super High Five contest’s carryover will not be included in the payoff and will be retained for the next contest’s carryover.</text> </paragraph> <paragraph num="K."> <text>If a dead heat, or heats, occur in a race on which there is Jackpot Super High Five wagering:</text> <paragraph num="(1)"> <text>A horse in a dead heat shall be considered as finishing in the position for which it dead heated; and</text> </paragraph> <paragraph num="(2)"> <text>Any selection in a Jackpot Super High Five wager that correctly selects a horse in a dead heat as finishing in the position for which the horse dead heated shall be treated as a correct selection.</text> </paragraph> </paragraph> <paragraph num="L."> <text>In the event of a scratch in a Jackpot Super High Five race:</text> <paragraph num="(1)"> <text>Exchanges may not be made; and</text> </paragraph> <paragraph num="(2)"> <text>All tickets that include the scratched horse shall be refunded.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Coupled entries are permitted, but fields are prohibited in Jackpot Super High Five races.</text> </paragraph> <paragraph num="N."> <text>For price calculations only, coupled entries shall be calculated as a single finishing horse, using the finishing position of the leading horse in the coupled entry to determine the order of placing. Example: If the actual order of finish in a race is 1 / 2 / 1A / 3 / 4, 5, then the finishers used for that race in the Super High Five would be 1 / 2 / 3 / 4 / 5.</text> </paragraph> <paragraph num="O."> <text>Sale.</text> <paragraph num="(1)"> <text>Jackpot Super High Five tickets shall be sold only by the licensee through pari-mutuel machines programmed to print all selections on one ticket.</text> </paragraph> <paragraph num="(2)"> <text>Resale of tickets from one individual to another is prohibited and is grounds for ejection.</text> </paragraph> </paragraph> <paragraph num="P."> <text>This regulation shall be printed in heavy type in a conspicuous place in the program or prominently posted near the betting windows of any association conducting this type of wager.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§11-210 and 11-634, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: All rules were in effect on 7/1/70, unless otherwise noted below:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective October 16, 1984 (11:22 Md. R. 1895); emergency status expired April 16, 1985; adopted permanently effective May 20, 1985 (12:10 Md. R. 960)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective March 30, 1977 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C amended effective 6/15/79 (6:12 Md. R. 1048); repealed effective June 7, 1982 (9:11 Md. R. 1127)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E: 8/3/72</annotation> <annotation type="History" subtype="Administrative History">Regulation .03P amended effective July 27, 1987 (14:15 Md. R. 1659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03U amended effective January 2, 1984 (10:26 Md. R. 2340)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03W: 7/8/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .03X adopted effective 6/15/79 (6:12 Md. R. 1048)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03Y adopted as an emergency provision effective January 23, 1990 (17:3 Md. R. 294); emergency status expired March 31, 1990; adopted permanently effective June 11, 1990 (17:11 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 repealed effective 1/1/78 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective 6/15/79 (6:12 Md. R. 1049)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08-1 adopted effective May 19, 1978 (5:10 Md. R. 781)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09K adopted effective March 30, 1977 (4:7 Md. R. 579) (adopted as COMAR 09.10.209.02)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10G adopted effective January 7, 1991 (17:26 Md. R. 2975)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11A amended effective March 30, 1977 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11D amended 4/6/74; amended 4/16/75 (2:8 Md. R. 564); amended effective 9/23/77 (4:19 Md. R. 1467); 6/15/79 (6:12 Md. R. 1049); October 17, 1980 (7:21 Md. R. 1994); October 17, 1980 (7:21 Md. R. 1994); August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11G amended as an emergency provision effective June 9, 1987 (14:14 Md. R. 1564) (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11G amended effective 6/15/79 (6:12 Md. R. 1049); October 17, 1980 (7:21 Md. R. 1994); October 19, 1987 (14:21 Md. R. 2223); June 11, 1990 (17:11 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11K adopted effective August 26, 1985 (12:17 Md. R. 1704); amended effective March 24, 1986 (13:6 Md. R. 681); March 6, 1989 (16:4 Md. R. 496)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11L adopted effective June 11, 1990 (17:11 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 amended effective October 6, 1978 (5:20 Md. R. 1499)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14C adopted effective March 30, 1977 (4:7 Md. R. 579) (adopted as COMAR 09.10.213.03)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15I adopted effective November 16, 1987 (14:23 Md. R. 2413)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17B amended effective May 19, 1978 (5:10 Md. R. 781)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19A amended effective January 1, 1978 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21 amended as an emergency provision effective March 16, 1976 (3:8 Md. R. 424)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21 amended effective March 30, 1977 (4:7 Md. R. 579); January 7, 1982 (8:26 Md. R. 2105)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22 amended as an emergency provision effective May 24, 1989 (16:10 Md. R. 1101); emergency status extended at 16:23 Md. R. 2503</annotation> <annotation type="History" subtype="Administrative History">Regulation .22A amended effective October 15, 1990 (17:20 Md. R. 2425)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24A amended effective March 24, 1986 (13:6 Md. R. 681)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24B repealed effective March 30, 1977 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24B adopted effective May 19, 1986 (13:10 Md. R. 1155)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24I amended effective February 28, 1983 (10:4 Md. R. 315)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25A amended effective 6/15/79 (6:12 Md. R. 1049)</annotation> <annotation type="History" subtype="Administrative History">Regulation .31B: 8/14/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .34 amended effective June 15, 1979 (6:12 Md. R. 1049); December 30, 1985 (12:26 Md. R. 2544)</annotation> <annotation type="History" subtype="Administrative History">Regulation .35 repealed effective July 10, 1989 (16:13 Md. R. 1420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .36 repealed effective December 30, 1985 (12:26 Md. R. 2544)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37B amended effective 3/30/77 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37F adopted effective December 30, 1985 (12:26 Md. R. 2544)</annotation> <annotation type="History" subtype="Administrative History">Regulation .39I amended 9/9/74 (1:1 Md. R. 16)</annotation> <annotation type="History" subtype="Administrative History">Regulation .41C repealed effective March 30, 1977 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .41G: 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .41J adopted as an emergency provision effective April 12, 1985 (12:9 Md. R. 806); emergency status expired September 1, 1985</annotation> <annotation type="History" subtype="Administrative History">Regulation .41J, K adopted effective October 7, 1985 (12:20 Md. R. 1924)</annotation> <annotation type="History" subtype="Administrative History">Regulation .42: 10/29/75 (2:24 Md. R. 1481)</annotation> <annotation type="History" subtype="Administrative History">Regulation .42: 7/21/76 (3:15 Md. R. 790)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43A—K: 7/22/72</annotation> <annotation type="History" subtype="Administrative History">Regulation .43C, F, L amended effective May 19, 1978 (5:10 Md. R. 781)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43L: 7/22/72; amended 5/1/74</annotation> <annotation type="History" subtype="Administrative History">Regulation .43M: 7/22/72</annotation> <annotation type="History" subtype="Administrative History">Regulation .43 amended effective January 28, 1985 (12:2 Md. R. 137); June 30, 1986 (13:13 Md. R. 1491); January 1, 1988 (14:26 Md. R. 2744); March 18, 1991 (18:5 Md. R. 594)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45C amended effective March 30, 1977 (4:7 Md. R. 579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45F amended effective December 30, 1985 (12:26 Md. R. 2544)</annotation> <annotation type="History" subtype="Administrative History">Regulation .49: 9/9/71</annotation> <annotation type="History" subtype="Administrative History">Regulation .50: 9/23/74 (1:1 Md. R. 16)</annotation> <annotation type="History" subtype="Administrative History">Regulation .50C amended as an emergency provision effective March 9, 1978 (5:6 Md. R. 463); adopted permanently effective July 19, 1978 (5:14 Md. R. 1137)</annotation> <annotation type="History" subtype="Administrative History">Regulation .52 adopted effective November 2, 1979 (6:22 Md. R. 1778); repealed effective December 20, 1982 (9:25 Md. R. 2479)</annotation> <annotation type="History" subtype="Administrative History">Regulation .52 adopted as an emergency provision effective May 19, 1986 (13:12 Md. R. 1370); adopted permanently effective October 20, 1986 (13:21 Md. R. 2320)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53 adopted effective January 7, 1982 (8:26 Md. R. 2106); amended effective January 28, 1985 (12:2 Md. R. 137); June 30, 1986 (13:13 Md. R. 1491); January 1, 1988 (14:26 Md. R. 2744); May 15, 1989 (16:9 Md. R. 994); September 4, 1989 (16:17 Md. R. 1884); February 4, 1991 (18:2 Md. R. 149); March 18, 1991 (18:5 Md. R. 594)</annotation> <annotation type="History" subtype="Administrative History">Regulation .54 adopted effective July 30, 1984 (11:15 Md. R. 1329); amended effective May 19, 1986 (13:10 Md. R. 1155)</annotation> <annotation type="History" subtype="Administrative History">Regulation .55 adopted effective March 25, 1985 (12:6 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .56 adopted as an emergency provision effective January 14, 1987 (14:2 Md. R. 124); emergency status expired May 15, 1987; adopted permanently effective July 27, 1987 (14:15 Md. R. 1660)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57 adopted as an emergency provision effective March 31, 1989 (16:8 Md. R. 904); emergency status expired October 31, 1989</annotation> <annotation type="History" subtype="Administrative History">Regulation .57 adopted as an emergency provision effective May 25, 1990 (17:14 Md. R. 1754); emergency status expired November 25, 1990 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective May 27, 1991 (18:10 Md. R. 1116)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective January 16, 2006 (33:1 Md. R. 36)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, C, E amended effective May 27, 1991 (18:10 Md. R. 1116)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02—.06 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective November 18, 1996 (23:23 Md. R. 1556)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03P amended effective October 1, 1992 (19:17 Md. R. 1656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective August 26, 1996 (23:17 Md. R. 1247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective October 14, 1991 (18:20 Md. R. 2198)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08C-1 adopted effective July 4, 1994 (21:13 Md. R. 1155)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08D amended as an emergency provision effective April 15, 1999 (26:10 Md. R. 793); amended permanently effective August 23, 1999 (26:17 Md. R. 1321)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08D—F amended effective October 12, 1992 (19:20 Md. R. 1814)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08F adopted effective October 7, 1996 (23:20 Md. R. 1421)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08G adopted as an emergency provision effective December 1, 2013 (40:26 Md. R. 2161); adopted permanently effective March 17, 2014 (41:5 Md. R. 342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08H adopted as an emergency provision effective May 25, 2022 (49:13 Md. R. 686); adopted permanently effective September 19, 2022 (49:19 Md. R. 867)</annotation> <annotation type="History" subtype="Administrative History">Regulations .09 and .10 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10G amended effective October 1, 1992 (19:18 Md. R. 1656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10H adopted effective March 16, 1992 (19:5 Md. R. 576)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11H amended effective October 14, 1991 (18:20 Md. R. 2198)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11K amended as an emergency provision effective September 23, 1991 (18:21 Md. R. 2301); amended permanently effective March 16, 1992 (19:5 Md. R. 576)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11L amended as an emergency provision effective February 15, 1991 (18:5 Md. R. 591); amended permanently effective July 8, 1991 (18:13 Md. R. 1481)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 repealed effective January 2, 1994 (20:26 Md. R. 2026)</annotation> <annotation type="History" subtype="Administrative History">Regulations .12 and .13 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 amended effective May 10, 1993 (20:9 Md. R. 778); February 13, 1995 (22:3 Md. R. 152); August 26, 1996 (23:17 Md. R. 1247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16-1 adopted effective January 2, 1994 (20:26 Md. R. 2026)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 adopted effective October 9, 1995 (22:20 Md. R. 1542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 amended effective April 10, 1995 (22:7 Md. R. 535); October 20, 1997 (24:21 Md. R. 1448); January 1, 2017 (43:21 Md. R. 1165)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19A amended effective January 1, 1992 (18:25 Md. R. 2750); January 1, 1996 (22:10 Md. R. 706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19A amended as an emergency provision effective September 14, 1995 (22:20 Md. R. 1539); emergency status expired December 31, 1995; adopted permanently effective January 29, 1996 (23:2 Md. R. 94)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19A, C amended effective October 13, 2014 (41:20 Md. R. 1112)</annotation> <annotation type="History" subtype="Administrative History">Regulations .20 and .21 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24 amended effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24B amended effective October 9, 1995 (22:20 Md. R. 1542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24I amended effective March 16, 1992 (19:5 Md. R. 576)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25B amended effective March 22, 1999 (26:6 Md. R. 484); March 23, 2020 (47:6 Md. R. 341)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25B amended as an emergency provision effective May 25, 2022 (49:13 Md. R. 686); amended permanently effective September 19, 2022 (49:19 Md. R. 867)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 amended effective May 10, 1993 (20:9 Md. R. 778)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28 repealed effective February 24, 1997 (24:4 Md. R. 291)</annotation> <annotation type="History" subtype="Administrative History">Regulation .29 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .31 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .33B amended effective December 18, 1995 (22:25 Md. R. 1961)</annotation> <annotation type="History" subtype="Administrative History">Regulation .33H amended effective May 22, 1995 (22:10 Md. R. 706); November 27, 2000 (27:23 Md. R. 2147); March 4, 2002 (29:4 Md. R. 416); September 19, 2022 (49:19 Md. R. 867)</annotation> <annotation type="History" subtype="Administrative History">Regulation .33I amended effective May 22, 1995 (22:10 Md. R. 706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .33J adopted as an emergency provision effective April 24, 1992 (19:8 Md. R. 800); adopted permanently effective September 14, 1992 (19:18 Md. R. 1656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .36 adopted effective March 1, 1995 (21:26 Md. R. 2185)</annotation> <annotation type="History" subtype="Administrative History">Regulation .36D amended effective January 16, 2006 (33:1 Md. R. 36)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37A—F amended and I, J adopted effective October 24, 1994 (21:21 Md. R. 1813)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37D repealed effective August 26, 1996 (23:17 Md. R. 1247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37H amended effective September 27, 1993 (20:19 Md. R. 1471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .39 repealed and new Regulation .39 adopted effective January 29, 1996 (23:2 Md. R. 94)</annotation> <annotation type="History" subtype="Administrative History">Regulation .39B amended effective July 29, 1996 (23:15 Md. R. 1087)</annotation> <annotation type="History" subtype="Administrative History">Regulation .40 amended effective February 17, 1992 (19:3 Md. R. 303)</annotation> <annotation type="History" subtype="Administrative History">Regulation .40 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .41D, E repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .42 repealed effective April 10, 1995 (22:7 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43 amended as an emergency provision effective July 1, 1991 (18:14 Md. R. 1604); amended permanently effective September 16, 1991 (18:18 Md. R. 2004)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43A amended effective October 1, 1992 (19:18 Md. R. 1656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43F-2 and K amended effective October 12, 1992 (19:20 Md. R. 1814)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43L amended effective January 18, 1993 (20:1 Md. R. 26)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43 repealed and new Regulation .43 adopted effective October 6, 1997 (24:20 Md. R. 1403)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43 amended as an emergency provision effective January 1, 2005 (32:1 Md. R. 24); amended permanently effective March 28, 2005 (32:6 Md. R. 635)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43 amended as an emergency provision effective July 20, 2009 (36:17 Md. R. 1309); amended permanently effective November 16, 2009 (36:23 Md. R. 1816)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43 amended effective July 30, 2018 (45:15 Md. R. 724); November 1, 2024 (51:19 Md. R. 854)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43C amended effective December 24, 2012 (39:25 Md. R. 1611)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43E amended effective October 24, 2005 (32:21 Md. R. 1707)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43F amended effective April 16, 2001 (28:7 Md. R. 689); October 24, 2005 (32:21 Md. R. 1707)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43K amended effective September 21, 2009 (36:19 Md. R. 1436); June 8, 2015 (42:11 Md. R. 723); November 19, 2018 (45:23 Md. R. 1070)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43Q amended as an emergency provision effective February 1, 2002 (29:3 Md. R. 213); amended permanently effective May 27, 2002 (29:10 Md. R. 826)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43Q, U amended as an emergency provision effective July 1, 2013 (40:15 Md. R. 1226); amended permanently effective October 14, 2013 (40:20 Md. R. 1651)</annotation> <annotation type="History" subtype="Administrative History">Regulation .43U amended effective May 8, 2006 (33:9 Md. R. 796); June 8, 2015 (42:11 Md. R. 723)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45A amended effective May 22, 1995 (22:10 Md. R. 706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45F amended as an emergency provision effective July 17, 2006 (33:16 Md. R. 1362); amended permanently effective July 31, 2006 (33:15 Md. R. 1279)</annotation> <annotation type="History" subtype="Administrative History">Regulation .45U amended effective March 16, 1992 (19:5 Md. R. 576)</annotation> <annotation type="History" subtype="Administrative History">Regulation .46B amended effective March 16, 1992 (19:5 Md. R. 576)</annotation> <annotation type="History" subtype="Administrative History">Regulation .50C repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .50H amended and H-1 adopted as an emergency provision effective May 1, 1992 (19:8 Md. R. 799); amended permanently effective September 14, 1992 (19:18 Md. R. 1656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .50K repealed effective March 13, 1995 (22:5 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .51 repealed effective March 2, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .52C repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53D amended effective October 12, 1992 (19:20 Md. R. 1814); January 18, 1993 (20:1 Md. R. 26); August 14, 1995 (22:16 Md. R. 1220)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53D and E amended as an emergency provision effective February 7, 1992 (19:4 Md. R. 467); amended permanently effective March 16, 1992 (19:5 Md. R. 576)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53D, G amended as an emergency provision effective July 1, 1991 (18:14 Md. R. 1604); amended permanently effective October 14, 1991 (18:20 Md. R. 2198)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53F amended effective January 18, 1993 (20:1 Md. R. 26)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53G, H amended effective August 17, 1992 (19:16 Md. R. 1473)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53J amended effective October 12, 1992 (19:20 Md. R. 1814)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53J amended as an emergency provision effective May 25, 1995 (22:12 Md. R. 896); emergency status expired September 25, 1995</annotation> <annotation type="History" subtype="Administrative History">Regulation .53 repealed and new Regulation .53 adopted effective October 6, 1997 (24:20 Md. R. 1403)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53 amended as an emergency provision effective January 1, 2005 (32:1 Md. R. 24); amended permanently effective March 28, 2005 (32:6 Md. R. 636)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53 amended as an emergency provision effective January 1, 2005 (32:1 Md. R. 24)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53 amended as an emergency provision effective July 20, 2009 (36:17 Md. R. 1309); amended permanently effective November 16, 2009 (36:23 Md. R. 1816)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53 amended effective July 30, 2018 (45:15 Md. R. 724); November 1, 2024 (51:19 Md. R. 854)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53C amended as an emergency provision effective February 12, 1998 (25:5 Md. R. 366); amended permanently effective May 4, 1998 (25:9 Md. R. 678)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53D amended effective April 16, 2001 (28:7 Md. R. 689)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53E amended effective March 23, 2020 (47:6 Md. R. 341)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53I amended effective October 24, 2005 (32:21 Md. R. 1707)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53J amended effective April 16, 2001 (28:7 Md. R. 689); October 24, 2005 (32:21 Md. R. 1707)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53O amended effective September 21, 2009 (36:19 Md. R. 1436); June 8, 2015 (42:11 Md. R. 723); November 19, 2018 (45:23 Md. R. 1070)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53T—V amended as an emergency provision effective February 1, 2002 (29:3 Md. R. 213); amended permanently effective May 27, 2002 (29:10 Md. R. 826)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53U amended effective May 8, 2006 (33:9 Md. R. 796)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53U, AA amended as an emergency provision effective July 1, 2013 (40:15 Md. R. 1226); amended permanently effective October 14, 2013 (40:20 Md. R. 1651)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53AA amended effective May 8, 2006 (33:9 Md. R. 796); June 8, 2015 (42:11 Md. R. 723)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53-1 adopted effective October 14, 2013 (40:20 Md. R. 1651)</annotation> <annotation type="History" subtype="Administrative History">Regulation .53-1G amended effective July 30, 2018 (45:15 Md. R. 724); November 19, 2018 (45:23 Md. R. 1070)</annotation> <annotation type="History" subtype="Administrative History">Regulation .54-1 adopted effective October 6, 1997 (24:20 Md. R. 1403)</annotation> <annotation type="History" subtype="Administrative History">Regulation .55C repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .56C repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .56Q amended and Q-1 adopted as an emergency provision effective May 1, 1992 (19:8 Md. R. 800); adopted permanently effective September 14, 1992 (19:18 Md. R. 1656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .56T adopted as an emergency provision effective November 6, 1992 (19:24 Md. R. 2124); emergency status expired November 7, 1992</annotation> <annotation type="History" subtype="Administrative History">Regulation .56 repealed and new Regulation .56 adopted effective November 18, 1996 (23:23 Md. R. 1556)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57 adopted as an emergency provision effective November 15, 1993 (20:25 Md. R. 1936); emergency status expired May 1, 1994</annotation> <annotation type="History" subtype="Administrative History">Regulation .57 adopted effective February 23, 1998 (25:4 Md. R. 243)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57 amended effective March 20, 2000 (27:5 Md. R. 583); July 9, 2001 (28:13 Md. R. 1215)</annotation> <annotation type="History" subtype="Administrative History">Regulation .57 amended as an emergency provision effective July 17, 2006 (33:16 Md. R. 1362); amended permanently effective July 31, 2006 (33:15 Md. R. 1280)</annotation> <annotation type="History" subtype="Administrative History">Regulation .58 adopted effective February 23, 1998 (25:4 Md. R. 243)</annotation> <annotation type="History" subtype="Administrative History">Regulation .58B repealed effective October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .59 adopted effective October 1, 2001 (28:19 Md. R. 1684)</annotation> <annotation type="History" subtype="Administrative History">Regulation .60 adopted effective July 30, 2018 (45:15 Md. R. 724)</annotation> <annotation type="History" subtype="Administrative History">Regulation .60F amended effective May 2, 2022 (49:9 Md. R. 531)</annotation> <annotation type="History" subtype="Administrative History">Regulation .61 adopted effective July 30, 2018 (45:15 Md. R. 724)</annotation> <annotation type="History" subtype="Administrative History">Regulation .62 adopted effective April 19, 2021 (48:8 Md. R. 308)</annotation> <annotation type="History" subtype="Administrative History">Regulation .62H amended effective May 2, 2022 (49:9 Md. R. 531)</annotation> </annotations> </chapter> <chapter num="03" heading="Prohibited Acts"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>The definitions set forth in Business Regulation Article, §11-210, Annotated Code of Maryland, apply in this chapter, unless otherwise noted.</text> </paragraph> <paragraph num="B."> <text>In addition, the following terms have the meanings indicated.</text> <paragraph num="(1)"> <text>“ARCI” means the Association of Racing Commissioners International, Inc., a trade organization of the official governing rule making bodies for horse racing in North America with pari-mutuel betting.</text> </paragraph> <paragraph num="(2)"> <text>“Drug” means a substance which may have a pharmacological effect on a horse, and:</text> <paragraph num="(a)"> <text>Which does not exist naturally in the untreated horse at a normal physiological concentration;</text> </paragraph> <paragraph num="(b)"> <text>Is defined as a controlled dangerous substance under Criminal Law Article, §5-101, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(c)"> <text>Is intended to be used for the diagnosis, cure, mitigation, treatment, or prevention of diseases affecting a human or other animal;</text> </paragraph> <paragraph num="(d)"> <text>Other than food, is intended to affect the structure or a function of the body of a human or other animal;</text> </paragraph> <paragraph num="(e)"> <text>Is intended for use as a component of an item specified in §B(2)(a)—(d) of this regulation; or</text> </paragraph> <paragraph num="(f)"> <text>Includes the detection of two or more non-steroidal anti-inflammatory drugs in blood plasma or urine or both.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Judges” means those individuals appointed by the Commission to enforce the regulations of the Commission at a harness race track.</text> </paragraph> <paragraph num="(4)"> <text>“State” means the State of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>“Stewards” means those individuals appointed by the Commission to enforce the regulations of the Commission at a thoroughbred race track.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".01-1" heading="Restricted Use of Medications and Other Substances."> <text>The use of the following medications and other substances is permitted if quantitated at not more than the specified thresholds:</text> <paragraph num="A."> <text>Acepromazine quantitated at not more than 10 nanograms per milliliter of HEPS in urine;</text> </paragraph> <paragraph num="B."> <text>Albuterol quantitated at not more than 1 nanogram per milliliter of urine;</text> </paragraph> <paragraph num="C."> <text>Butorphanol quantitated at not more than 300 nanograms per milliliter of total butorphanol in urine, or 2 nanograms per milliliter of free butorphanol in blood plasma or serum;</text> </paragraph> <paragraph num="D."> <text>Caffeine quantitated at not more than 100 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="E."> <text>Cetirizine quantitated at not more than 6 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="F."> <text>Cimetidine quantitated at not more than 400 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="G."> <text>Cobalt quantitated at not more than 25 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="H."> <text>Dantrolene qunatitated at not more than 100 picrograms per milliliter of 5-hydroxydantrolene in blood plasma or serum;</text> </paragraph> <paragraph num="I."> <text>Detomidine quantitated at not more than 2 nanograms per milliliter of carboxydetomidine in urine, or 1 nanogram of detomidine per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="J."> <text>Dimethlysulfoxide (DMSO) quantitated at not more than 10 micrograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="K."> <text>Flunixin quantitated at not more than 5 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="L."> <text>Furosemide (Lasix), as provided in Regulation .08 of this chapter;</text> </paragraph> <paragraph num="M."> <text>Gamma aminobutyric acid quantitated at not more than 110 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="N."> <text>Glycopyrrolate quantitated at not more than 3 picograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="O."> <text>Guaifenesin quantitated at not more than 12 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="P."> <text>Ketoprofen quantitated at not more than 2 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="Q."> <text>Lidocaine quantitated at not more than 20 picograms per milliliter of total 3-hydroxylidocaine in blood plasma or serum;</text> </paragraph> <paragraph num="R."> <text>Mepivacaine quantitated at not more than 10 nanograms per milliliter of total hydroxymepivacaine in urine, or the limit of detection of mepivacaine in blood plasma or serum;</text> </paragraph> <paragraph num="S."> <text>Methocarbamol quantitated at not more than 1 nanogram per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="T."> <text>Methylprednisolone quantitated at not more than 100 picograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="U."> <text>Omeprazole quantitated at not more than 10 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="V."> <text>Phenylbutazone quantitated at not more than 0.3 micrograms per milliliter of the blood plasma or serum;</text> </paragraph> <paragraph num="W."> <text>Procaine Penicillin quantitated at not more than 25 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="X."> <text>Ranitidine quantitated at not more than 40 nanograms per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="Y."> <text>Xylazine quantitated at not more than 200 picigrams per milliliter of blood plasma or serum;</text> </paragraph> <paragraph num="Z."> <text>Nandrolone quantitated at not more than 1 nanogram per milliliter of urine taken from a gelding, filly, or mare;</text> </paragraph> <paragraph num="AA."> <text>Boldenone quantitated at not more than 15 nanograms per milliliter of urine taken from a colt or horse;</text> </paragraph> <paragraph num="BB."> <text>Testosterone quantitated at not more than 20 nanograms per milliliter of urine taken from a gelding; and</text> </paragraph> <paragraph num="CC."> <text>Testosterone quantitated at not more than 55 nanograms per milliliter of urine taken from a filly or mare.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".01-2" heading="Medical Records."> <text>The health and medical record of a horse shall include the name of the horse and all medications, drugs, substances, or procedures administered by an individual or prescribed or administered by a veterinarian for up to the previous 3 years.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Sanctions."> <text>In addition to a specific sanction applicable to a particular violation, an individual found by the:</text> <paragraph num="A."> <text>Stewards or judges to have violated a provision of this chapter may be subject to:</text> <paragraph num="(1)"> <text>A fine of up to $2,500;</text> </paragraph> <paragraph num="(2)"> <text>The suspension of any license issued by the Commission for a period of up to 360 days; and</text> </paragraph> <paragraph num="(3)"> <text>Referral to the Commission for additional sanctions if the stewards or judges determine that a greater sanction is warranted than they are empowered to impose; and</text> </paragraph> </paragraph> <paragraph num="B."> <text>Commission to have violated a provision of this chapter may be subject to:</text> <paragraph num="(1)"> <text>A fine of up to $5,000;</text> </paragraph> <paragraph num="(2)"> <text>The suspension or revocation of any license issued by the Commission; and</text> </paragraph> <paragraph num="(3)"> <text>Certain conditions of licensure as imposed by the Commission.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Multiple Medication Violations.</text> <paragraph num="(1)"> <text>A trainer who receives a penalty for a medication violation based upon a horse testing positive for a Class 1—5 medication with Penalty Class A—C, as provided in the most recent version of the Association of Racing Commissioners International Uniform Classification Guidelines for Foreign Substances, shall be assigned points as follows:</text> </paragraph> <paragraph num="(2)"> <text>The points assigned to a medication violation by the stewards or judges shall not be applied until a final adjudication of the enforcement of any such violation.</text> </paragraph> <paragraph num="(3)"> <text>A trainer’s cumulative points for violations in all racing jurisdictions shall be maintained by the Association of Racing Commissioners International. Once all appeals are waived or exhausted, the points shall immediately become part of the trainer’s official record and shall be considered by the Commission in its determination to subject the trainer to the mandatory enhanced penalties by the stewards or judges as provided in this regulation.</text> </paragraph> <paragraph num="(4)"> <text>If the Stewards, Judges, or Commission determine that the violation is due to environmental contamination, they may assign fewer or no points against the trainer based upon the specific facts of the case.</text> </paragraph> <paragraph num="(5)"> <text>Multiple positive tests for the same medication incurred by a trainer prior to delivery of the official notice by the laboratory may be treated as a single violation. In the case of a positive test indicating multiple substances found in a single post-race sample, the stewards or judges may treat each substance found as an individual violation for which points will be assigned.</text> </paragraph> <paragraph num="(6)"> <text>The stewards or judges shall consider all points for violations in all racing jurisdictions as contained in the trainer’s official record when determining whether the mandatory enhancements provided in this regulation shall be imposed.</text> </paragraph> <paragraph num="(7)"> <text>In addition to the penalty for the underlying offense, the following penalty shall be imposed upon a licensed trainer based upon the cumulative points contained in their official record:</text> </paragraph> <paragraph num="(8)"> <text>Multiple medication points are not a substitute for the current penalty system and are intended to be an additional uniform penalty when the licensee:</text> <paragraph num="(a)"> <text>Has more than one violation for the relevant time period; and</text> </paragraph> <paragraph num="(b)"> <text>Exceeds the permissible number of points.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>The suspension periods, as provided in §C(6) of this regulation, shall run consecutive to any suspension imposed for the underlying offense.</text> </paragraph> <paragraph num="(10)"> <text>The stewards’ or judges’ ruling shall distinguish between the penalty for the underlying offense and any penalty based upon a steward’s or judge’s review of a the trainer’s cumulative points and regulatory record, which may be considered an aggravating factor in a case.</text> </paragraph> <paragraph num="(11)"> <text>Points assigned to a trainer for a medication violation shall expire on the anniversary date of the date the suspension is completed as follows:</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="General."> <paragraph num="A."> <text>Except as provided in §A(14) of this regulation, the following acts are prohibited if committed on the grounds of a facility under the jurisdiction of the Commission, if they affect a race conducted live in this State, or if they affect the betting on a race in this State:</text> <paragraph num="(1)"> <text>Offering, promising, giving, accepting, or soliciting a bribe in any form, directly or indirectly, to or by a person having any connection with the outcome of a race;</text> </paragraph> <paragraph num="(2)"> <text>Entering, or knowingly aiding and abetting in the entering of, a horse ineligible or unqualified to race;</text> </paragraph> <paragraph num="(3)"> <text>Participating in any improper, corrupt, or fraudulent act or practice in relation to racing;</text> </paragraph> <paragraph num="(4)"> <text>Causing, attempting to cause, or any participation in an attempt to cause the pre-arrangement of a race result;</text> </paragraph> <paragraph num="(5)"> <text>Soliciting bets on a horse from the public by a licensee either by correspondence or other methods;</text> </paragraph> <paragraph num="(6)"> <text>Using or possessing a battery, buzzer, electrical device, or other appliance, other than an ordinary whip, which could be used to alter the speed or racing condition of a horse in a race or workout;</text> </paragraph> <paragraph num="(7)"> <text>Using profane, abusive, or insulting language to employees of the Commission, employees of a facility under the jurisdiction of the Racing Commission, or the public;</text> </paragraph> <paragraph num="(8)"> <text>Being in an intoxicated state;</text> </paragraph> <paragraph num="(9)"> <text>Fighting or other conduct of a disorderly nature;</text> </paragraph> <paragraph num="(10)"> <text>Using or possessing a deadly weapon;</text> </paragraph> <paragraph num="(11)"> <text>Committing or participating in the commission of a criminal act;</text> </paragraph> <paragraph num="(12)"> <text>Violating a regulation or condition of the Commission or aiding or abetting a person in the violation of a regulation or condition of the Commission;</text> </paragraph> <paragraph num="(13)"> <text>Failing to comply with an order or ruling of a steward, judge, or other racing official pertaining to a racing matter;</text> </paragraph> <paragraph num="(14)"> <text>Cruelty to a horse wherever committed;</text> </paragraph> <paragraph num="(15)"> <text>Tampering, or attempting to tamper, with a horse for any purpose;</text> </paragraph> <paragraph num="(16)"> <text>Transferring, or attempting to transfer, the ownership of a horse for a purpose other than its legitimate sale or lease;</text> </paragraph> <paragraph num="(17)"> <text>Registering a horse under the name of a person other than the legitimate owner or lessee of the horse;</text> </paragraph> <paragraph num="(18)"> <text>Making false or misleading statements to a racing official or submitting false or misleading statements on a license application;</text> </paragraph> <paragraph num="(19)"> <text>Except as otherwise provided in this regulation, using or possessing, actually or constructively, any of the following items:</text> <paragraph num="(a)"> <text>A drug, or</text> </paragraph> <paragraph num="(b)"> <text>A hypodermic needle, hypodermic syringe, or other device which could be used for injection;</text> </paragraph> </paragraph> <paragraph num="(20)"> <text>Using or possessing the ingredients or the paraphernalia associated with the forced feeding to a horse of a combination of baking soda and sugar, or a form of sugar, or administrating a substance by tubing within 24 hours of a racing program in which a horse is scheduled to race;</text> </paragraph> <paragraph num="(21)"> <text>The possession or administration of Erythropoietin or any analogous substance that increases the oxygen-carrying capacity of the blood; and</text> </paragraph> <paragraph num="(22)"> <text>Failing to report the knowledge of a violation of this regulation to the stewards, judges, or the Commission.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The use or possession of the items listed in §A(19)(a) and (b) of this regulation is permissible if the:</text> <paragraph num="(1)"> <text>Item is possessed or used for a legitimate purpose by a licensed veterinarian;</text> </paragraph> <paragraph num="(2)"> <text>Item is possessed or used pursuant to a valid prescription or order from a medical practitioner while acting in the course of the practitioner's professional practice; or</text> </paragraph> <paragraph num="(3)"> <text>Stewards or judges, in their discretion, grant permission authorizing the possession or use of the item.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The use of a shockwave therapy device is prohibited unless:</text> <paragraph num="(1)"> <text>The device is registered with the Commission Veterinarian;</text> </paragraph> <paragraph num="(2)"> <text>The device is used by a licensed veterinarian;</text> </paragraph> <paragraph num="(3)"> <text>The device is used on a horse at least 10 days before the horse participates in a race or workout; and</text> </paragraph> <paragraph num="(4)"> <text>Each use of the device is reported to the stewards on a daily medication report as provided in COMAR 09.10.01.47K and COMAR 09.10.02.39F(3) and (4).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Drug Prohibition — Horses."> <paragraph num="A."> <text>Other than Lasix administered in accordance with the regulations in this chapter, an individual may not administer, cause to be administered, participate, or attempt to participate in any way in the administration of any drug or medication to a horse:</text> <paragraph num="(1)"> <text>During the 24-hour period before the scheduled post time for the race in which the horse is to participate; and</text> </paragraph> <paragraph num="(2)"> <text>Until after the race in which the horse is programmed to participate is run.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A horse participating in a race may not carry in its body:</text> <paragraph num="(1)"> <text>A drug; or</text> </paragraph> <paragraph num="(2)"> <text>A medication or other substance quantitated at more than the thresholds prescribed in Regulation .01-1 of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The presence of a drug or a medication or other substance quantitated at more than the thresholds prescribed in Regulation .01-1 of this chapter in the post-race urine, blood, or other sample taken from a horse is prima facie evidence that the:</text> <paragraph num="(1)"> <text>Horse was administered a drug and carried the drug in its body during the race; and</text> </paragraph> <paragraph num="(2)"> <text>Drug was administered by the person or persons having control, care, or custody of the horse.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The presence of a drug, as defined in Regulation .01B(1)(a)(i) of this chapter, in a prerace blood sample taken from a horse that participated in a race, is prima facie evidence that the:</text> <paragraph num="(1)"> <text>Horse was administered a drug and carried the drug in its body during the running of the race; and</text> </paragraph> <paragraph num="(2)"> <text>Drug was administered by the person or persons having control, care, or custody of the horse.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Trainer Responsibility. A trainer is the absolute insurer of, and responsible for, the condition of each horse the trainer enters in a race, regardless of the acts of third parties.</text> </paragraph> <paragraph num="F."> <text>Enforcement.</text> <paragraph num="(1)"> <text>The stewards or judges may order the:</text> <paragraph num="(a)"> <text>Post-race taking of urine, blood, or other samples for testing purposes from any horse which participated in a race;</text> </paragraph> <paragraph num="(b)"> <text>Prerace taking of blood samples for testing purposes from any horse entered in a race to determine the presence of a drug, as defined in Regulation .01B(1)(a)(i) of this chapter;</text> </paragraph> <paragraph num="(c)"> <text>Denial, forfeiture, and prompt return of a purse, sweepstakes, trophy, or any other reward received by the owner of a horse found to have carried a drug or a medication or other substance quantitated at more than the thresholds prescribed in Regulation .01-1 of this chapter in its body during a race;</text> </paragraph> <paragraph num="(d)"> <text>Redistribution of the items denied, forfeited, and returned, resulting from the disqualification of a horse found to have carried a drug or a medication or other substance quantitated at more than the thresholds prescribed in Regulation .01-1 of this chapter in its body during a race, to those owners whose horses were advanced by the disqualification.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the stewards or judges order a disqualification due to a horse having carried a drug or a medication or other substance quantitated at more than the thresholds prescribed in Regulation .01-1 of this chapter in its body during a race, they shall issue a ruling announcing the disqualification.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Repeat Violations. An individual guilty of violating this regulation, or a comparable regulation of another racing jurisdiction, for the second time is considered a repeat offender, and the stewards, judges, or the Commission shall weigh this factor in determining a sanction.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Drug Prohibition — Humans."> <paragraph num="A."> <text>Drug Testing.</text> <paragraph num="(1)"> <text>The stewards or judges may direct a licensee to deliver a specimen of urine, or submit to another noninvasive test, in the presence of the track physician or other representative appointed by the Commission, for the detection of an impermissible drug, using as a basis for this directive:</text> <paragraph num="(a)"> <text>Reasonable cause for any licensee; or</text> </paragraph> <paragraph num="(b)"> <text>Random selection for a licensee who:</text> <paragraph num="(i)"> <text>As part of the licensee's duties and responsibilities, comes into contact with a horse; or</text> </paragraph> <paragraph num="(ii)"> <text>Is employed by the association as a part of the security force in the backstretch area of the racetrack.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Random drug testing, as provided by §A(1)(b) of this regulation, may be accomplished by the:</text> <paragraph num="(a)"> <text>Testing of all licensees in a category of licensure;</text> </paragraph> <paragraph num="(b)"> <text>Selection by lottery of licensees within a category of licensure; or</text> </paragraph> <paragraph num="(c)"> <text>Selection of licensees who have a documented, or otherwise verified, history of prior drug use within the previous 5 years.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>For the purposes of §A(2)(c) of this regulation, the stewards or judges may not direct a licensee to submit to a drug test more than once in a calendar week.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A sufficient quantity of the specimen shall be collected to provide for a split sample when possible.</text> </paragraph> <paragraph num="C."> <text>Refusal to submit a specimen as directed by the stewards, judges, or designated Commission representative without good cause shall subject an individual to disciplinary action as provided in this chapter, and the individual may not be permitted to continue to function in the individual's licensed capacity pending a hearing on the matter.</text> </paragraph> <paragraph num="D."> <text>The presence of a drug or the metabolite of a drug in a specimen is considered a positive specimen, unless it is determined by the stewards, judges, or the Commission that the presence of a drug or the metabolite of a drug in a specimen was not due to purposeful use by the licensee.</text> </paragraph> <paragraph num="E."> <text>An individual whose specimen is positive is subject to an evaluation and disciplinary action as provided in this regulation.</text> </paragraph> <paragraph num="F."> <text>Disciplinary Action and Evaluation.</text> <paragraph num="(1)"> <text>For an individual's initial violation under this regulation, the individual shall be suspended until such time as the individual has been professionally evaluated.</text> </paragraph> <paragraph num="(2)"> <text>If the professional evaluation indicates that the individual's condition is nonaddictive and not detrimental to the best interests of racing, the suspension shall be lifted after the individual:</text> <paragraph num="(a)"> <text>Provides the results of a drug test which indicates that the individual presently is drug free; and</text> </paragraph> <paragraph num="(b)"> <text>Agrees to submit to drug testing at the direction of the stewards, judges, or designated Commission representative to ensure a continuing drug-free condition.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the professional evaluation indicates that the individual's condition is addictive or detrimental to the best interests of racing, the suspension remains in effect until such time as the individual:</text> <paragraph num="(a)"> <text>Provides documented proof of successfully completing a certified drug rehabilitation program approved by the Commission;</text> </paragraph> <paragraph num="(b)"> <text>Provides the results of a drug test which indicates that the individual presently is drug free; and</text> </paragraph> <paragraph num="(c)"> <text>Agrees to submit to drug testing at the direction of the stewards, judges, or designated Commission representative to ensure a continuing drug-free condition.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>For an individual's second violation under this regulation, the individual shall be suspended for an indefinite period and may apply for reinstatement only in the discretion of the Commission following completion of a certified drug rehabilitation program approved by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Alcohol Detection Test."> <paragraph num="A."> <text>The stewards, judges, or a designated Commission representative may direct a licensee to submit to a noninvasive alcohol detection test for the detection of an impermissible level of alcohol, using as a basis for this order:</text> <paragraph num="(1)"> <text>Reasonable cause for any licensee; or</text> </paragraph> <paragraph num="(2)"> <text>Random selection for a licensee who, as part of the licensee's duties and responsibilities, comes into contact with a horse.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A test which shows a reading of more than 0.05 percent alcohol in the blood subjects the licensee to disciplinary action, and the licensee is not permitted to continue to perform in a licensed capacity on that racing day.</text> </paragraph> <paragraph num="C."> <text>A licensee who refuses to take an alcohol detection test as directed by the stewards, judges, or designated Commission representative is subject to disciplinary action, and the licensee is not permitted to continue to perform in a licensed capacity on that racing day.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Search and Seizure."> <paragraph num="A."> <text>The stewards, judges, or designated Commission representatives have the right to enter into or upon the buildings, stables, rooms, automobiles, or any other place within the grounds of a facility under the jurisdiction of the Commission for the purpose of examining them, as well as the personal property and effects of a licensee contained there for the purpose of searching for, and the seizure of, items that constitute evidence of a violation of this chapter.</text> </paragraph> <paragraph num="B."> <text>An individual who has been granted a license by the Commission, by accepting the license, consents to a search and seizure as provided in §A of this regulation.</text> </paragraph> <paragraph num="C."> <text>A licensee who refuses to permit a search may be disciplined.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Bleeders."> <paragraph num="A."> <text>The administration of Lasix to a horse is permissible, except as set forth in §A-1 of this regulation, if:</text> <paragraph num="(1)"> <text>The administration of Lasix is recommended by a practicing veterinarian;</text> </paragraph> <paragraph num="(2)"> <text>The recommendation is submitted to the State Veterinarian in writing; and</text> </paragraph> <paragraph num="(3)"> <text>The trainer declares the use of Lasix at the time of entry.</text> </paragraph> </paragraph> <paragraph num="A-1."> <text>No 2-year-old thoroughbred horse or any thoroughbred horse scheduled to compete in a graded stakes race may be administered Lasix (furosemide) within 48 hours of the post time at which it is scheduled to run.</text> </paragraph> <paragraph num="B."> <text>A Commission veterinarian is responsible for maintaining up-to-date records of horses which are permitted to use Lasix, and these records shall be available for inspection during the hours of operation of a race track.</text> </paragraph> <paragraph num="C."> <text>If a horse has been observed by a Commission veterinarian to have bled from at least one nostril during the running of a race or workout, either on the racing strip or in the barn area, that horse may not be permitted to race for a period of 14 days.</text> </paragraph> <paragraph num="D."> <text>If a horse has been observed to have bled as described under §C of this regulation within 365 days of the first occurrence, that horse:</text> <paragraph num="(1)"> <text>May not race for 30 days after the first reoccurrence;</text> </paragraph> <paragraph num="(2)"> <text>May not race for 180 days after the second reoccurrence; and</text> </paragraph> <paragraph num="(3)"> <text>Is banned from racing forever after the third reoccurrence.</text> </paragraph> </paragraph> <paragraph num="E."> <text>For the purpose of counting the number of days a horse is not permitted to race in this State under this section, the day the horse bled is the first day, and the horse shall be permitted to race in this State when the last day has expired.</text> </paragraph> <paragraph num="F."> <text>Race Day Administration of Lasix.</text> <paragraph num="(1)"> <text>Unless a horse has been declared off of Lasix pursuant to §G of this regulation, a horse that is permitted to use Lasix shall be administered Lasix on the day of the race only by a veterinarian designated by the Commission to perform such a function.</text> </paragraph> <paragraph num="(2)"> <text>As indicated by post-race quantitation, a horse may not carry in its body at the time of the running of a race not more than 100 nanograms of Lasix per milliliter of plasma or serum.</text> </paragraph> <paragraph num="(3)"> <text>Reports.</text> <paragraph num="(a)"> <text>The veterinarian who administers Lasix to a horse scheduled to race shall prepare a written certification indicating that Lasix was administered.</text> </paragraph> <paragraph num="(b)"> <text>The written certification shall be in the possession of a designated Commission representative at least 1 hour before the horse is scheduled to race.</text> </paragraph> <paragraph num="(c)"> <text>The stewards or judges shall order a horse scratched if the written certification is not received in a timely manner.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Racing Off of Lasix.</text> <paragraph num="(1)"> <text>Except for a horse that races in any jurisdiction where the rules of the regulatory authority or the conditions of the race established by the racing association do not permit the use of Lasix, a horse on the Lasix Program that races without Lasix in any jurisdiction which permits the use of Lasix may not be eligible for its use for a period of 60 days.</text> </paragraph> <paragraph num="(2)"> <text>To become eligible after 60 days, the horse shall have been observed to have bled by a Commission veterinarian either:</text> <paragraph num="(a)"> <text>Externally; or</text> </paragraph> <paragraph num="(b)"> <text>By endoscopic examination.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Program Notice.</text> <paragraph num="(1)"> <text>Of the horses scheduled to race, the official program shall denote the horses which have been administered:</text> <paragraph num="(a)"> <text>Lasix; and</text> </paragraph> <paragraph num="(b)"> <text>Lasix for the first time.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the official program contains past performance lines, each past performance line shall indicate if the horse was administered.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Equine Specimen Testing."> <paragraph num="A."> <text>The stewards or judges may designate a horse entered in a race to give a blood or urine sample, or both, before or following the race.</text> </paragraph> <paragraph num="B."> <text>At the conclusion of each race, urine and blood samples shall be collected from the winner of the race and any other horses that the Commission or stewards or judges may direct.</text> </paragraph> <paragraph num="C."> <text>The collection of the urine sample shall be performed by a Commission representative in the presence of the owner, trainer, or designated representative of the horse being tested.</text> </paragraph> <paragraph num="D."> <text>An authorized official designated by the Commission, in the presence of the owner, trainer, or designated representative and the Commission representative, shall verify the horse's identifying tattoo or microchip number before taking a blood sample from the horse.</text> </paragraph> <paragraph num="E."> <text>Failure to allow or cooperate in the taking of a sample, or any act or threat to impede, prevent, or otherwise interfere with the taking of a sample, constitutes a violation and subjects the licensee to sanctions as provided in this chapter.</text> </paragraph> <paragraph num="F."> <text>Urine.</text> <paragraph num="(1)"> <text>Except as provided in §F(2) of this regulation, after the Commission representative obtains the urine specimen from the horse, the Commission representative or the detention barn foreman shall split the specimen into two parts in the presence of the owner, trainer, or designated representative. One portion shall be delivered to the Commission laboratory for testing. The remaining portion shall be maintained in the detention barn until the stewards or judges direct its disposal.</text> </paragraph> <paragraph num="(2)"> <text>If the quantity of the urine specimen collected is insufficient to allow for proper testing, the specimen may not be split.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Blood.</text> <paragraph num="(1)"> <text>After the horse has been washed down, an authorized official designated by the Commission shall extract two tubes of blood from the horse.</text> </paragraph> <paragraph num="(2)"> <text>Of the two tubes of blood drawn under §G(1) of this regulation, one shall be forwarded to the Commission laboratory for testing. The remaining tube of blood shall be maintained at the detention barn until the stewards or judges direct its disposal.</text> </paragraph> <paragraph num="(3)"> <text>If necessitated by an insufficient quantity of urine having been obtained, another tube of blood shall be drawn and forwarded to the laboratory.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Split Samples.</text> <paragraph num="(1)"> <text>The Commission, together with the applicable association representing a majority of the owners and trainers racing in Maryland, shall designate laboratories to which split samples of urine and blood may be sent for confirmatory testing.</text> </paragraph> <paragraph num="(2)"> <text>Within 72 hours of being notified of a determination by the Commission laboratory that the testing of the blood or urine sample evidences the presence of a drug, the owner or trainer of the horse in question may request that the split sample of urine or blood, or both, be forwarded to one of the designated laboratories for confirmatory testing.</text> </paragraph> <paragraph num="(3)"> <text>Upon a request for confirmatory testing, before the split sample is forwarded to the designated laboratory, the owner or trainer and a representative of the Commission shall execute an agreement that binds the owner or trainer and the Commission to the designated laboratory's findings. If the owner or trainer declines to execute the agreement, the split sample may not be forwarded to the designated laboratory for confirmatory testing.</text> </paragraph> <paragraph num="(4)"> <text>After testing the split sample, if the designated laboratory:</text> <paragraph num="(a)"> <text>Does not confirm substantially the Commission laboratory's findings, then any allegations that the drug in question was in the horse's system at the time of the race shall be dismissed; or</text> </paragraph> <paragraph num="(b)"> <text>Confirms substantially the Commission laboratory's findings, then the finding shall be considered conclusive.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>If, for whatever reason, confirmatory testing is not possible, §H(1)—(4) of this regulation is of no effect.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The owner or trainer requesting the confirmatory testing shall bear the costs of the confirmatory testing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Out-of-Competition Testing."> <paragraph num="A."> <text>The Commission may, at a reasonable time on any date, take blood, urine, or other biologic samples from a horse to ensure compliance with applicable medication and anti-doping standards set forth by the Association of Racing Commissioners International, Inc., as such standards may be amended and updated from time to time. The Commission shall own such samples. This regulation authorizes only the collection and testing of samples and does not independently make impermissible the administration to or presence in any horse of any drug or other substance. A race day prohibition or restriction of a substance by the Commission’s regulations is not applicable to an out-of-competition test, unless there is an attempt to race the horse in a manner that violates such regulations.</text> </paragraph> <paragraph num="B."> <text>Horses Eligible for Testing.</text> <paragraph num="(1)"> <text>Any horse that has been engaging in activities related to competing in horse racing in the State may be tested. This includes, without limitation, any horses that are training outside the State to participate in racing in the State, and all horses that are training in the State, but excludes weanlings, yearlings, and horses no longer engaged in horse racing (e.g., retired broodmares).</text> </paragraph> <paragraph num="(2)"> <text>A horse is presumed eligible for out-of-competition testing if:</text> <paragraph num="(a)"> <text>It is on the grounds at a racetrack or training center under the jurisdiction of the Commission;</text> </paragraph> <paragraph num="(b)"> <text>It is under the care or control of a trainer licensed by the Commission;</text> </paragraph> <paragraph num="(c)"> <text>It is owned by an owner licensed by the Commission;</text> </paragraph> <paragraph num="(d)"> <text>It is entered or nominated to race at a premises licensed by the Commission;</text> </paragraph> <paragraph num="(e)"> <text>It has raced within the previous 12 months at a premises licensed by the Commission;</text> </paragraph> <paragraph num="(f)"> <text>It is nominated to a program based on racing in the State.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The presumptions set forth in this regulation are conclusive in the absence of evidence that a horse is not engaged in activities related to competing in horse racing in the State.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Selection of Horses to Be Tested.</text> <paragraph num="(1)"> <text>Horses shall be selected for sampling by a Commission veterinarian, the Executive Director, an equine medical director, a steward, a presiding judge, or a designee of any of the foregoing.</text> </paragraph> <paragraph num="(2)"> <text>Horses may be selected to be tested at random, for cause, or as otherwise determined in the discretion of the Commission.</text> </paragraph> <paragraph num="(3)"> <text>Licensees of the Commission shall cooperate and comply fully with the provisions of this regulation.</text> </paragraph> <paragraph num="(4)"> <text>Individuals who apply for and are granted a trainer or owner license shall be deemed to have given their consent for access at such premises as their horse may be found for the purpose of Commission representatives collecting out-of-competition samples. Licensees shall take any steps necessary to authorize access by Commission representatives at such premises.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Collection of Samples.</text> <paragraph num="(1)"> <text>Samples shall be taken under the supervision and direction of a person who is employed or designated by the Commission. All blood samples shall be collected by a veterinarian licensed in the State, or by a veterinary technician who is acting under appropriate supervision of the State-licensed veterinarian.</text> </paragraph> <paragraph num="(2)"> <text>Upon request of a representative of the Commission, the trainer, owner, or their specified designee shall provide the location of their horses eligible for out-of-competition testing.</text> </paragraph> <paragraph num="(3)"> <text>The Commission or its designees are not required to provide advance notice before arriving at any location, whether or not licensed by the Commission, to collect samples.</text> </paragraph> <paragraph num="(4)"> <text>The trainer, owner, or their specified designee shall fully cooperate with the person who takes samples for the Commission, including, but not limited to:</text> <paragraph num="(a)"> <text>Assisting in the immediate location and identification of the horse;</text> </paragraph> <paragraph num="(b)"> <text>Making the horse available as soon as practical upon arrival of the person who is responsible for collecting the samples;</text> </paragraph> <paragraph num="(c)"> <text>Providing a stall or other safe location to collect the samples;</text> </paragraph> <paragraph num="(d)"> <text>Assisting the person who is collecting samples in properly procuring the samples; and</text> </paragraph> <paragraph num="(e)"> <text>Witnessing the taking of samples including sealing of sample collection containers.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The management and employees of a licensed racetrack or training facility at which a horse may be located shall cooperate fully with a person who is authorized to take samples. The person who collects samples for the Commission may require that the collection be done at a specified location on such premises.</text> </paragraph> <paragraph num="(6)"> <text>The Commission, if requested and in its sole discretion, may permit the trainer, owner, or their specified designee to present a horse that is located in the jurisdiction, but not at a racetrack or training center licensed by the Commission, to be sampled at a time and location designated by the Commission.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The Commission may arrange for the sampling of an out-of-State horse by the Commission or the Commission’s designee if the horse is located in the State. The Commission or its designee shall follow the relevant provisions of this regulation.</text> </paragraph> <paragraph num="F."> <text>The test results shall be made available to the Commission, subject to any restrictions on public disclosure of test results that may apply to the Commission.</text> </paragraph> <paragraph num="G."> <text>The Commission, if requested and in its sole discretion, may permit the trainer or owner instead to transport the horse into the State for sampling at a time and place designated by the Commission.</text> </paragraph> <paragraph num="H."> <text>The individual who takes samples for the Commission shall provide identification and disclose the purpose of the sampling to the trainer or designated attendant of the horse.</text> </paragraph> <paragraph num="I."> <text>An owner or trainer does not consent to a search of the premises by making a horse that is not located at a racetrack or training center available for sampling.</text> </paragraph> <paragraph num="J."> <text>If the trainer or other custodian of a selected horse refuses or declines to make the horse available for sampling and the managing owner has previously provided the Commission with a means for the Commission to give immediate notification to the managing owner in such situation, then the Commission shall attempt to notify the managing owner and the eligibility of the horse shall be preserved if the managing owner is able to make the horse available for immediate sampling. The Commission is not required to make repeated attempts to notify the managing owner.</text> </paragraph> <paragraph num="K."> <text>The chain of custody record for the sample (including a split sample where appropriate) shall be maintained and made available to the trainer, owner, or their designee when a complaint results from an out-of-competition test.</text> </paragraph> <paragraph num="L."> <text>The Commission may have out-of-competition samples tested to produce information that may enhance the ability of the Commission to enforce its medication and anti-doping rules.</text> </paragraph> <paragraph num="M."> <text>An out-of-competition sample that is found to contain a prohibited substance may be adjudicated in the same manner as a post-race sample that is found to contain a prohibited substance.</text> </paragraph> <paragraph num="N."> <text>Split sample rules and procedures for post-race testing shall apply to out-of competition testing.</text> </paragraph> <paragraph num="O."> <text>The Commission may use any remaining sample for research and investigation.</text> </paragraph> <paragraph num="P."> <text>Willful failure to make a horse available for sampling or other willfully deceptive acts or interference in the sampling process shall constitute a violation of the Commission’s laws and regulations and may be subject to penalties available under the applicable laws and regulations.</text> </paragraph> <paragraph num="Q."> <text>A selected horse that is presumed eligible for out-of-competition testing shall be placed on the Steward’s list and will be ineligible to race in the jurisdiction for 180 days if the horse is not sampled due to the trainer’s, owner’s or their designee’s assertion that the horse is not engaged in activities related to competing in horse racing in the State. This restriction does not apply if the trainer, owner, or their designee voluntarily allows an immediate collection of the samples from the horse.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §11-210, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 2, 1994 (20:26 Md. R. 2027)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective May 18, 2017 (44:12 Md. R. 585); emergency status expired September 1, 2017</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective September 25, 2017 (44:19 Md. R. 896)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective October 27, 1995 (22:23 Md. R. 1794); emergency status expired April 1, 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective October 29, 2001 (28:21 Md. R. 1855); October 24, 2005 (32:21 Md. R. 1707)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective January 1, 2009 (35:24 Md. R. 2068); amended permanently effective February 23, 2009 (36:4 Md. R. 353)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective October 15, 2012 (39:20 Md. R. 1306); January 1, 2014 (40:20 Md. R. 1651); December 19, 2016 (43:25 Md. R. 1384)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective February 1, 2020 (47:4 Md. R. 260); amended permanently effective May 18, 2020 (47:10 Md. R. 515)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1 adopted effective January 1, 2014 (40:20 Md. R. 1651)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1 amended effective October 13, 2014 (41:20 Md. R. 1112)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1 amended as an emergency provision effective May 24, 2016 (43:13 Md. R. 711); amended permanently effective October 24, 2016 (43:21 Md. R 1165)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1 amended as an emergency provision effective February 1, 2020 (47:4 Md. R. 260); amended permanently effective May 18, 2020 (47:10 Md. R. 515)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1 amended as an emergency provision effective November 1, 2021 (48:24 Md. R. 1024); adopted permanently effective February 7, 2022 (49:3 Md. R. 138)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1E-1 adopted as an emergency provision effective August 1, 2015 (42:16 Md. R. 1052); adopted permanently effective October 26, 2015 (42:21 Md. R. 1300)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1E repealed and Regulation 01-1E-1 renumbered to be new Regulation .01-1E effective March 1, 2021 (48:4 Md. R. 176)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1G amended effective March 26, 2018 (45:6 Md. R. 318)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1M-1 adopted effective February 29, 2016 (43:4 Md. R. 331)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-2 adopted effective April 1, 2020 (47:6 Md. R. 341)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended as an emergency provision effective January 1, 2015 (42:1 Md. R. 12); amended permanently effective February 16, 2015 (42:3 Md. R. 315)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C amended effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective April 28, 2003 (30:8 Md. R. 539)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C adopted as an emergency provision effective October 28, 2002 (29:23 Md. R. 1807); adopted permanently effective April 28, 2003 (30:8 Md. R. 539)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended effective August 15, 2005 (32:16 Md. R. 1392); December 28, 2020 (47:26 Md. R. 1107)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective October 29, 2001 (28:21 Md. R. 1855); January 1, 2014 (40:20 Md. R. 1651)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective July 4, 1994 (21:13 Md. R. 1155); April 22, 2019 (46:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04C amended effective October 6, 1997 (24:20 Md. R. 1403)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D-1 adopted effective March 27, 2006 (33:6 Md. R. 578)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04G amended effective March 27, 2006 (33:6 Md. R. 578)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A amended effective March 13, 1995 (22:5 Md. R. 366); October 30, 2000 (27:21 Md. R. 1974)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D amended effective January 16, 1995 (22:1 Md. R. 19)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective May 4, 1998 (25:9 Md. R. 678); November 30, 1998 (25:24 Md. R. 1772); October 29, 2001 (28:21 Md. R. 1855); September 30, 2002 (29:19 Md. R. 1523); October 24, 2005 (32:21 Md. R. 1707); January 1, 2014 (40:20 Md. R. 1651)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended as an emergency provision effective July 31, 2020 (47:18 Md. R. 823); emergency status expired December 28, 2020</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended effective December 28, 2020 (47:26 Md. R. 1107)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A-1 adopted as an emergency provision effective July 31, 2020 (47:18 Md. R. 823); emergency status expired December 28, 2020</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A-1 adopted effective December 28, 2020 (47:26 Md. R. 1107)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08G amended as an emergency provision effective March 15, 2021 (48:7 Md. R. 258); amended permanently effective June 28, 2021 (48:13 Md. R. 508)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08H amended effective January 16, 1995 (22:1 Md. R. 19)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08I amended effective October 9, 1995 (22:20 Md. R. 1542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08I amended as an emergency provision effective October 27, 1995 (22:23 Md. R. 1794); emergency status expired April 1, 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .08I amended as an emergency provision effective April 2, 1996 (23:7 Md. R. 548); amended permanently effective August 26, 1996 (23:17 Md. R. 1247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08J amended effective May 5, 1997 (24:9 Md. R. 656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09D, G amended effective May 25, 2026 (53:10 Md. R. 454)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09H amended effective August 14, 1995 (22:16 Md. R. 1220)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 adopted as an emergency provision effective May 18, 2017 (44:12 Md. R. 585); emergency status expired September 1, 2017</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 adopted effective September 25, 2017 (44:19 Md. R. 896)</annotation> </annotations> </chapter> <chapter num="04" heading="General"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this subtitle, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“A day” means the 24-hour period starting at 12 midnight.</text> </paragraph> <paragraph num="(2)"> <text>“A year” means a calendar year.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Order of Precedence."> <paragraph num="A."> <text>The laws of this State and the regulations of the Commission supersede the conditions of a race and the rules of the association.</text> </paragraph> <paragraph num="B."> <text>The orders of the Commission, as well as the orders and rulings of the judges and stewards in matters pertaining to racing, supersede the orders of the officials of the association.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Commission."> <paragraph num="A."> <text>Granting a License to Hold a Race Meeting.</text> <paragraph num="(1)"> <text>An association may file a brief with the Commission, setting forth reasons for desiring the dates contained in the association's application.</text> </paragraph> <paragraph num="(2)"> <text>The allotment of racing dates by the Commission pursuant to an application by an association for racing dates does not commit the Commission to the granting of a license to conduct a race meeting upon the dates so allotted.</text> </paragraph> <paragraph num="(3)"> <text>The Commission may grant a license to hold a race meeting to an association in accordance with the provisions of Business Regulation Article, Title 11, Annotated Code of Maryland, subject to an application for racing dates having been filed with the Executive Director of the Commission, over the signature of an executive officer of the association desiring to hold racing.</text> </paragraph> <paragraph num="(4)"> <text>The application to hold a race meeting shall include the:</text> <paragraph num="(a)"> <text>Days on which live racing is to be held;</text> </paragraph> <paragraph num="(b)"> <text>Days on which simulcasting is to be held;</text> </paragraph> <paragraph num="(c)"> <text>Location at which racing is to take place; and</text> </paragraph> <paragraph num="(d)"> <text>Breed of horse to be raced.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>The Commission may suspend or revoke the license of an association if it disapproves of a change in the ownership of the association.</text> </paragraph> <paragraph num="C."> <text>Personal and Financial Background Investigation.</text> <paragraph num="(1)"> <text>The Commission shall conduct a personal and financial background investigation of any interested party negotiating for the purchase of:</text> <paragraph num="(a)"> <text>An entity which conducts racing in Maryland under the jurisdiction of the Maryland Racing Commission or operates a thoroughbred training facility under Business Regulation Article, §11-519, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(b)"> <text>A majority controlling interest in the entity described under §C(1)(a) of this regulation; or</text> </paragraph> <paragraph num="(c)"> <text>Those assets without which the entity described under §C(1)(a) of this regulation would not be able to continue racing or stabling.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the interested party is an entity other than a real person, the personal and financial background investigation shall be conducted as to the negotiating entity and each real person with a controlling interest in the entity.</text> </paragraph> <paragraph num="(3)"> <text>An entity or real person who is the subject of the personal and financial background investigation shall fully cooperate with the Commission and provide any information requested by the Commission to conduct its investigation.</text> </paragraph> <paragraph num="(4)"> <text>The personal and financial background investigation shall include, but is not limited to, all of the following:</text> <paragraph num="(a)"> <text>A review by a certified public accountant of the certified financial statements of the negotiating party, including a review of any contingent liabilities and pledged assets, which review shall be sufficient to determine the financial ability of the negotiating party to purchase and maintain the racetrack being negotiated;</text> </paragraph> <paragraph num="(b)"> <text>Income statements, for at least a 2-year period preceding the proposed purchase, of the interested party negotiating for the purchase;</text> </paragraph> <paragraph num="(c)"> <text>A statement of financial condition and the related records of any corporation, association, partnership, proprietorship, or limited partnership in which the interested party negotiating for the purchase has at least a majority interest;</text> </paragraph> <paragraph num="(d)"> <text>The disclosure of all financial interests in horse racing;</text> </paragraph> <paragraph num="(e)"> <text>The disclosure of all persons, including corporations, trusts, estates, and partnerships, who are to be the new beneficial owners of the entity;</text> </paragraph> <paragraph num="(f)"> <text>A criminal background review; and</text> </paragraph> <paragraph num="(g)"> <text>A character review.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The personal and financial background investigation required under §C(4) of this regulation shall be completed at least 30 days before the settlement date for the purchase and at least 30 days before any transfer of racing dates that may result directly from the purchase.</text> </paragraph> <paragraph num="(6)"> <text>Upon the completion of the personal and financial background investigation under §C(4) of this regulation, the Commission shall notify the Legislative Policy Committee of the proposed purchase, and, if applicable, the proposed transfer of racing dates, at least 15 days before the consideration of final approval by the Commission of the purchase or transfer.</text> </paragraph> <paragraph num="(7)"> <text>The cost of the personal and financial background investigation shall be borne by the owners of the entity to be sold.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Denials of Licenses and Sanctions.</text> <paragraph num="(1)"> <text>The Commission may refuse to issue or renew a license, or may suspend or revoke a license issued by it, if it finds that the applicant or licensee:</text> <paragraph num="(a)"> <text>Has engaged in unethical or criminal conduct;</text> </paragraph> <paragraph num="(b)"> <text>Is associating or consorting with an individual who has been convicted of a crime in any jurisdiction;</text> </paragraph> <paragraph num="(c)"> <text>Is consorting or associating with, or has consorted with, a bookmaker, tout, or individual of similar pursuits;</text> </paragraph> <paragraph num="(d)"> <text>Is, or has been, operating as a bookmaker, tout, or a similar pursuit;</text> </paragraph> <paragraph num="(e)"> <text>Is not financially responsible;</text> </paragraph> <paragraph num="(f)"> <text>Has been engaged in, or attempted to engage in, any fraud or misrepresentation in connection with the racing or breeding of a horse;</text> </paragraph> <paragraph num="(g)"> <text>Assaults, or threatens to do bodily injury to, a member of the Commission or any of its employees or representatives or a member or employee of an association;</text> </paragraph> <paragraph num="(h)"> <text>Has engaged in conduct detrimental to racing; or</text> </paragraph> <paragraph num="(i)"> <text>Has violated, or attempted to violate:</text> <paragraph num="(i)"> <text>A law or regulation in any jurisdiction, including this State, or</text> </paragraph> <paragraph num="(ii)"> <text>A condition imposed by the Commission.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Instead of, or in addition to, suspending a license, the Commission may impose a fine not exceeding $5,000.</text> </paragraph> <paragraph num="(3)"> <text>In determining the penalty to be imposed, the Commission shall consider the:</text> <paragraph num="(a)"> <text>Seriousness of the violation;</text> </paragraph> <paragraph num="(b)"> <text>Harm caused by the violation;</text> </paragraph> <paragraph num="(c)"> <text>Good faith or lack of good faith of the licensee; and</text> </paragraph> <paragraph num="(d)"> <text>Licensing history of the licensee.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The Commission may require an association to submit periodic reports, reviewed by a certified public accountant, as to the:</text> <paragraph num="(1)"> <text>Amount bet at each location in Maryland;</text> </paragraph> <paragraph num="(2)"> <text>Takeout calculation, and the allocation of the takeout, on the amount bet under §E(1) of this regulation;</text> </paragraph> <paragraph num="(3)"> <text>Amount bet on Maryland races in other jurisdictions; and</text> </paragraph> <paragraph num="(4)"> <text>Amount, and the allocation of the amount, received from the bets on Maryland races in other jurisdictions.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Appeals of Stewards' or Judges' Decisions."> <paragraph num="A."> <text>An appeal from a decision of the stewards or judges may be made to the Commission by submitting a written statement setting forth the relevant facts of the appeal to an authorized representative of the Commission or to one of the Commission offices.</text> </paragraph> <paragraph num="B."> <text>An appeal may be made by:</text> <paragraph num="(1)"> <text>An owner, trainer, driver, or jockey participating in a race from a decision of the stewards or judges involving an incident in that race not later than 48 hours after the decision has been rendered;</text> </paragraph> <paragraph num="(2)"> <text>A licensee affected by a decision of the stewards or judges involving the claim of a horse not later than 48 hours after the decision has been rendered; and</text> </paragraph> <paragraph num="(3)"> <text>A licensee affected by a decision of the stewards or judges in regard to a matter not covered by §B(1) or (2) of this regulation not later than 7 days after the decision has been rendered.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Commission, in its discretion, may:</text> <paragraph num="(1)"> <text>Modify any sanction appealed;</text> </paragraph> <paragraph num="(2)"> <text>Assess all costs of the appeal to the appellant; and</text> </paragraph> <paragraph num="(3)"> <text>Impose additional sanctions in regard to an appellant who fails to:</text> <paragraph num="(a)"> <text>Pursue an appeal, or</text> </paragraph> <paragraph num="(b)"> <text>Appear at the hearing on the appeal after proper notice and without good cause.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>An appellant who appeals to the Commission from a decision of the stewards or judges for the sole purpose of obtaining a stay of the penalty imposed, or for any other reason that is considered to be frivolous, may be:</text> <paragraph num="(1)"> <text>Fined and suspended; and</text> </paragraph> <paragraph num="(2)"> <text>Assessed the costs of the appeal.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Fines and Suspensions."> <paragraph num="A."> <text>All fines shall be paid to the Commission within 48 hours after imposition unless:</text> <paragraph num="(1)"> <text>An appeal to the Commission has been noted; and</text> </paragraph> <paragraph num="(2)"> <text>The Commission has granted a stay.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If a licensee fails to pay the fine in a timely manner in violation of §A of this regulation, upon proper notification, the licensee shall be immediately suspended, and the suspension shall remain in effect until the fine is paid in full.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Adjudicatory Hearings."> <paragraph num="A."> <text>Not less than 7 days before conducting an adjudicatory hearing, the Commission, through its Executive Director, shall send a written notice to the individual who is the subject of the hearing which shall contain:</text> <paragraph num="(1)"> <text>The date, time, place, and nature of the hearing;</text> </paragraph> <paragraph num="(2)"> <text>The authority of the Commission to hold the hearing;</text> </paragraph> <paragraph num="(3)"> <text>The pertinent hearing and regulatory sections under which the Commission is taking its action;</text> </paragraph> <paragraph num="(4)"> <text>A concise and simple statement of the facts that are asserted;</text> </paragraph> <paragraph num="(5)"> <text>The potential penalty;</text> </paragraph> <paragraph num="(6)"> <text>An advisement regarding the individual's right to:</text> <paragraph num="(a)"> <text>Be represented by an attorney who is admitted, or specially admitted, to practice law in this State,</text> </paragraph> <paragraph num="(b)"> <text>Call witnesses and submit evidence,</text> </paragraph> <paragraph num="(c)"> <text>Request subpoenas for witnesses and documents, and</text> </paragraph> <paragraph num="(d)"> <text>Request a copy of the hearing procedures; and</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>A statement that the failure to appear for a scheduled hearing may result in an adverse action against the individual.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Commission may, in its discretion:</text> <paragraph num="(1)"> <text>Grant a stay of an order of the stewards or judges pending a hearing before the Commission; or</text> </paragraph> <paragraph num="(2)"> <text>Suspend the license of an individual who is charged pending a hearing on the charges.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A hearing on the charges shall be held as promptly as possible, with due regard to the rights of the licensee charged, if the Commission:</text> <paragraph num="(1)"> <text>Declines to grant a stay of the suspension, as provided in §B(1) of this regulation; or</text> </paragraph> <paragraph num="(2)"> <text>Suspends the license of an individual charged pending a hearing on the charges, as provided in §B(2) of this regulation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Commission shall provide for the making of an official record of the hearing, which shall include testimony and exhibits, but, unless required for purposes of rehearing or court review, a transcription of the testimony may not be required.</text> </paragraph> <paragraph num="E."> <text>At the hearing, an applicant or a licensee who may be affected by a decision of the Commission shall be given the opportunity to:</text> <paragraph num="(1)"> <text>Be represented by counsel;</text> </paragraph> <paragraph num="(2)"> <text>Be confronted with the evidence on which a charge is based;</text> </paragraph> <paragraph num="(3)"> <text>Cross-examine witnesses;</text> </paragraph> <paragraph num="(4)"> <text>Testify; and</text> </paragraph> <paragraph num="(5)"> <text>Produce testimony and evidence relevant to the issues involved.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A licensee may be subject to the suspension or revocation of a license held if:</text> <paragraph num="(1)"> <text>While under oath in a hearing, the licensee gives false or misleading statements of a relevant nature; or</text> </paragraph> <paragraph num="(2)"> <text>Except in the proper exercise of a legal privilege, the licensee fails to testify after proper notice.</text> </paragraph> </paragraph> <paragraph num="G."> <text>When an adjudicatory hearing is conducted by a hearing committee under Business Regulation Article, §11-310, Annotated Code of Maryland, and the decision of the hearing committee is:</text> <paragraph num="(1)"> <text>Unanimous, the decision of the hearing committee is final and shall bind the entire Commission;</text> </paragraph> <paragraph num="(2)"> <text>Not unanimous, a de novo hearing on the matter shall be conducted by a quorum of the Commission.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Reciprocity."> <paragraph num="A."> <text>An individual whose license is suspended or revoked in another state or country is suspended or revoked in this State.</text> </paragraph> <paragraph num="B."> <text>Denial of a license by the racing commission of another state may be considered as grounds for the denial of a license by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Associations."> <paragraph num="A."> <text>An association holding racing or operating a training center under the jurisdiction of the Commission shall:</text> <paragraph num="(1)"> <text>Provide within its grounds adequate office space and equipment for the use of, and at the disposal of, the Commission and the Commission's representatives;</text> </paragraph> <paragraph num="(2)"> <text>Ensure free access of the grounds to the Commission and the Commission's representatives while they are engaged in their assigned tasks;</text> </paragraph> <paragraph num="(3)"> <text>Provide and maintain at least one human ambulance and one horse ambulance on a day that the racing strip is open for racing or exercising horses;</text> </paragraph> <paragraph num="(4)"> <text>Staff the ambulances required under §A(3) of this regulation with competent, trained personnel, have them ready for service, and placed where they may enter the racing strip with as little time lost as possible in responding to emergencies;</text> </paragraph> <paragraph num="(5)"> <text>Adopt, have posted, and implement a protocol for education, evaluation, diagnosis, and management of concussion of jockeys which shall be approved by the regulatory authority;</text> </paragraph> <paragraph num="(6)"> <text>Have available a medical professional trained in evaluating and administering the most current Sport Concussion Assessment Tool (SCAT);</text> </paragraph> <paragraph num="(7)"> <text>Establish a return-to-ride guideline in order to clear a jockey who has been concussed, or is believed to have been concussed, once the jockey is declared fit-to-ride by a medical professional authorized to do so;</text> </paragraph> <paragraph num="(8)"> <text>Require each jockey to acknowledge in writing that they have been made aware of the concussion protocols in place for the facility at which they are riding;</text> </paragraph> <paragraph num="(9)"> <text>Police the nonpublic area of its grounds so as to preclude the admission of an individual to this area who is not:</text> <paragraph num="(a)"> <text>Licensed by the Commission; or</text> </paragraph> <paragraph num="(b)"> <text>Authorized and properly supervised by the association;</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>Provide proper receptacles for disposal of manure and other debris which shall be serviced on a daily basis excluding Sunday;</text> </paragraph> <paragraph num="(11)"> <text>Make adequate provision for fire prevention, protection against fire, and fire suppression within the confines of the facility;</text> </paragraph> <paragraph num="(12)"> <text>At a thoroughbred race track and training center, provide the following distance poles and color designations:</text> <paragraph num="(a)"> <text>1/4 poles — red and white;</text> </paragraph> <paragraph num="(b)"> <text>1/8 poles — green and white</text> </paragraph> <paragraph num="(c)"> <text>1/16 poles — black and white; and</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>Inform the Commission immediately of any change in the beneficial ownership of the association, including any change in the makeup of the stockholders of the association or in the holdings of a stockholder, if the change involves an entity that had or, as a result of the change has, a 2 percent or more beneficial ownership.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An association licensed by the Commission to hold racing shall submit to the Commission:</text> <paragraph num="(1)"> <text>Not later than the Commission meeting preceding the association's first race meeting of the year:</text> <paragraph num="(a)"> <text>A list of the administrative personnel of the association, and</text> </paragraph> <paragraph num="(b)"> <text>A report on the steps taken by the association to comply with the recommendations, if any, of the State Fire Marshal;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Not later than the Commission meeting preceding each race meeting of the association, a list of the officials and others to be employed, in so far as the list can be prepared, containing the:</text> <paragraph num="(a)"> <text>Name and address of each employee; and</text> </paragraph> <paragraph num="(b)"> <text>Position to be filled or the duties to be performed by each employee; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Promptly, all additions to, or changes in, the association list of employees.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Subject to Commission approval, an association licensed by the Commission shall furnish and maintain at the facility where racing is being held, and at such other facilities under the control of the association as the Commission may direct:</text> <paragraph num="(1)"> <text>A first-aid area:</text> <paragraph num="(a)"> <text>Equipped with adequate beds and supplies; and</text> </paragraph> <paragraph num="(b)"> <text>Staffed by a licensed medical doctor during racing hours;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Two photo finish cameras positioned at the finish line, one of which shall be held in reserve, to photograph the finish of the races;</text> </paragraph> <paragraph num="(3)"> <text>A communication system between the judges or stewards stand, the pari-mutuel office, and the starter;</text> </paragraph> <paragraph num="(4)"> <text>A system, activated by the judges or stewards at the start of a race, which sounds a bell and simultaneously closes the betting pools on the race;</text> </paragraph> <paragraph num="(5)"> <text>Cameras and other equipment necessary to properly record the running of the races from the start through the finish with the recordings resulting from the use of this equipment not being disposed of without the permission of the judges or stewards;</text> </paragraph> <paragraph num="(6)"> <text>Sanitary restroom facilities and drinking water;</text> </paragraph> <paragraph num="(7)"> <text>Two starting gates, both in good working order, one of which shall be kept in reserve; and</text> </paragraph> <paragraph num="(8)"> <text>Stands for judges, timers, and stewards in positions commanding an uninterrupted view of the entire racing strip.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An association licensed by the Commission to conduct racing shall:</text> <paragraph num="(1)"> <text>Exclude from the paddock, in the interest of public safety, all persons who have no immediate business with the horses entered, except the members of the Commission, the Commission's staff and special representatives, and those having special permission from the association, judges, or stewards;</text> </paragraph> <paragraph num="(2)"> <text>Request and obtain the approval of the Commission before televising, simulcasting, or broadcasting any race, or before permitting any other person, association, or corporation to do so;</text> </paragraph> <paragraph num="(3)"> <text>If a licensee bets with or through a handbook:</text> <paragraph num="(a)"> <text>Eject the licensee from its grounds;</text> </paragraph> <paragraph num="(b)"> <text>Refuse the licensee admission to its grounds;</text> </paragraph> <paragraph num="(c)"> <text>Refuse the entry of the licensee's horse; and</text> </paragraph> <paragraph num="(d)"> <text>Immediately notify the Commission;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Observe and enforce the laws, regulations, and conditions of the Commission;</text> </paragraph> <paragraph num="(5)"> <text>Employ a sufficient number of security persons to maintain order on its grounds; and</text> </paragraph> <paragraph num="(6)"> <text>List the following on its daily racing program:</text> <paragraph num="(a)"> <text>The name of the Governor;</text> </paragraph> <paragraph num="(b)"> <text>The name of the Maryland Secretary of Labor;</text> </paragraph> <paragraph num="(c)"> <text>The names of the Commissioners and the Commission's specified employees, with their titles, if any; and</text> </paragraph> <paragraph num="(d)"> <text>The address of the Commission's office.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>An association licensed by the Commission to conduct racing may not:</text> <paragraph num="(1)"> <text>Permit bets to be made on the grounds of the association, or other grounds on which it controls a pari-mutuel operation, except as permitted under the provisions of Business Regulation Article, Title 11, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>Permit illegal or gambling of any kind on the grounds of the association or other grounds on which the association controls a pari-mutuel operation;</text> </paragraph> <paragraph num="(3)"> <text>Provide, or permit to be provided, any aid, conveniences, or facilities to bookmakers, betting commissioners, their agents, or their employees;</text> </paragraph> <paragraph num="(4)"> <text>Advance credit for betting purposes; or</text> </paragraph> <paragraph num="(5)"> <text>Permit an individual younger than 16 years old to be employed on the grounds of the association unless the individual is 14 years old or older and works for the:</text> <paragraph num="(a)"> <text>Individual's parent or legal guardian in the stable area; or</text> </paragraph> <paragraph num="(b)"> <text>Association in a nonsecured area of the racetrack and has a valid work permit.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Allocation of Takeout.</text> <paragraph num="(1)"> <text>Except as provided in §F(3) of this regulation, if the Commission awards racing dates to an association to conduct both live harness racing and live thoroughbred racing at a facility, the association shall allocate the takeout from all bets on races, both live and simulcast made under the authority of the license issued to that association, in accordance with the provisions of Business Regulation Article, Title 11, Annotated Code of Maryland, that are applicable to the breed of horse upon which the bets were made.</text> </paragraph> <paragraph num="(2)"> <text>It is the intent of this regulation that the amounts allocated to purses and bred funds from bets made on races for a certain breed of horse be allocated to the purses and bred funds, respectively, that are for the same breed of horse as the races upon which the bets were made.</text> </paragraph> <paragraph num="(3)"> <text>If the bets were made on a type of racing for which the provisions of Business Regulation Article, Title 11, Annotated Code of Maryland, do not specify an allocation of the takeout, the allocation of the takeout shall be:</text> <paragraph num="(a)"> <text>In accordance with the provisions of Business Regulation Article, Title 11, Subtitle 5, Part II, Annotated Code of Maryland, if the services of a jockey were used in the running of the race upon which the bets were made; and</text> </paragraph> <paragraph num="(b)"> <text>In accordance with the provisions of Business Regulation Article, Title 11, Subtitle 6, Annotated Code of Maryland, if the services of a driver were used in the running of the race upon which the bets were made.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Number of Races."> <text>On a day on which an association is licensed to conduct racing, the following are subject to Commission approval:</text> <paragraph num="A."> <text>The number of live races conducted; and</text> </paragraph> <paragraph num="B."> <text>The conduct of pari-mutuel betting on races simulcast from other tracks.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Postponement and Cancellation of Races."> <paragraph num="A."> <text>If a racing program, or a portion of a racing program, is abandoned, any purse race involved shall be canceled.</text> </paragraph> <paragraph num="B."> <text>If a racing program, or a portion of a racing program, is abandoned, any stake race involved may be postponed or canceled.</text> </paragraph> <paragraph num="C."> <text>Public notice shall be given at the earliest practicable time if a published race is canceled.</text> </paragraph> <paragraph num="D."> <text>A race which closed with sufficient entries may not be canceled except by the stewards or presiding judge.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="License Badges."> <paragraph num="A."> <text>A licensed individual who enters a stable area which is under the jurisdiction of the Maryland Racing Commission shall wear upon the individual's outside apparel, in a prominent position, the license badge issued to the individual by the Commission, which contains the individual's picture identification.</text> </paragraph> <paragraph num="B."> <text>The license badge is supplied by the Commission for purposes of identification only, and an association may refuse to accept it as a pass for admission to the grandstand and clubhouse enclosures.</text> </paragraph> <paragraph num="C."> <text>Failure to comply with this regulation shall subject the licensee to:</text> <paragraph num="(1)"> <text>A $5 fine for the first offense;</text> </paragraph> <paragraph num="(2)"> <text>A $10 fine for a second offense within 1 year's time of the first offense;</text> </paragraph> <paragraph num="(3)"> <text>A $25 fine for a third offense within 1 year's time of the first offense; and</text> </paragraph> <paragraph num="(4)"> <text>Suspension and referral to the Commission at the discretion of the stewards or judges for the fourth offense within 1 year's time of the first offense.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Barred Horses."> <paragraph num="A."> <text>If a trainer has in the trainer's charge a horse whose name appears on a veterinarian's, starter's, stewards', or judges' list or any other list of horses ineligible to start, commonly known as a “Barred List”, at a race track outside this State, the trainer shall report the name of the horse and the fact that the horse has been barred to the Racing Secretary, as well as to the stewards or judges, at the meeting within this State at which the trainer proposes to enter the horse to race.</text> </paragraph> <paragraph num="B."> <text>A horse shall be barred from racing at a track under the jurisdiction of the Commission if the horse is:</text> <paragraph num="(1)"> <text>Afflicted by the disease known as periodic ophthalmia, moon blindness, or a similar disease affecting the vision of the horse;</text> </paragraph> <paragraph num="(2)"> <text>High nerved, that is, the horse has been denerved at the ankle or the horse has been subjected to a cryosurgical procedure at the ankle or above; or</text> </paragraph> <paragraph num="(3)"> <text>Tubed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Denerved Horses or Horses Subjected to a Cryosurgical Procedure."> <paragraph num="A."> <text>A denerved horse or a horse subjected to a cryosurgical procedure shall be registered with the chief veterinarian on a form provided by the Commission for that purpose.</text> </paragraph> <paragraph num="B."> <text>A horse, denerved or subjected to a cryosurgical procedure below the ankle, may be entered and shall be permitted to race if:</text> <paragraph num="(1)"> <text>The horse is registered as such with the chief veterinarian not later than 2 hours before post time of the race for which it is entered;</text> </paragraph> <paragraph num="(2)"> <text>The fact that a horse has been denerved or subjected to a cryosurgical procedure is so stated on the foal certificate of the horse and certified by the practicing veterinarian who performed the procedure; and</text> </paragraph> <paragraph num="(3)"> <text>The horse is placed on a list of horses denerved or subjected to a cryosurgical procedure which is posted on the bulletin board in the Racing Secretary's office.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A horse may not be registered as denerved or subjected to a cryosurgical procedure if, in fact, the horse has not been denerved or subjected to cryosurgical procedure.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Equine Infectious Anemia."> <paragraph num="A."> <text>Coggin's Test.</text> <paragraph num="(1)"> <text>Except as provided in this regulation, a certificate of a negative Coggin's test or other proof of a negative Coggin's test on a horse shall be presented to an association before the horse is stabled on the grounds of the association and before the horse is eligible to start in a race.</text> </paragraph> <paragraph num="(2)"> <text>The certificate shall:</text> <paragraph num="(a)"> <text>Identify the horse by tattoo number;</text> </paragraph> <paragraph num="(b)"> <text>Indicate that the horse was tested within 1 year before the date that the certificate is presented to the association; and</text> </paragraph> <paragraph num="(c)"> <text>Indicate that the test was conducted by a laboratory approved by the United States Department of Agriculture.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The receipt and transfer of a certificate of a negative Coggin's test when a horse is claimed, sold, or transferred is the responsibility of the trainer of the horse.</text> </paragraph> <paragraph num="(4)"> <text>Proof of a negative Coggin's test shall be on a sticker attached to the foal certificate showing the following:</text> <paragraph num="(a)"> <text>Horse's name;</text> </paragraph> <paragraph num="(b)"> <text>Date of the test;</text> </paragraph> <paragraph num="(c)"> <text>Laboratory name and test number; and</text> </paragraph> <paragraph num="(d)"> <text>Name of the veterinarian who took the blood sample.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>A Coggin's certificate indicating a horse is negative for equine infectious anemia is valid for 1 year from the date of the certificate's issuance.</text> </paragraph> <paragraph num="C."> <text>Absent a valid Coggin's certificate, the stewards or judges may allow a horse to race if they have received a signed statement from an approved veterinarian licensed by the Commission indicating:</text> <paragraph num="(1)"> <text>When and where blood was taken from the horse; and</text> </paragraph> <paragraph num="(2)"> <text>To what laboratory the blood was sent.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The stewards or judges may contact the laboratory specified under §C(2) of this regulation to obtain verbal confirmation that the blood was negative for equine infectious anemia.</text> </paragraph> <paragraph num="E."> <text>Veterinarians.</text> <paragraph num="(1)"> <text>Veterinarians shall file individual remittance certificates with individual blood samples for each horse when testing for equine infectious anemia.</text> </paragraph> <paragraph num="(2)"> <text>Upon receipt of the certificate from a laboratory approved for conducting the test for equine infectious anemia, the veterinarian shall deliver the certificate to the trainer of the horse.</text> </paragraph> <paragraph num="(3)"> <text>Veterinarians shall notify the State veterinarian immediately upon receipt of a positive report.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Disputes, Protests."> <paragraph num="A."> <text>Penalties.</text> <paragraph num="(1)"> <text>Except as provided in §A(2) of this regulation, if a race is in dispute, both the horse or horses affected by the dispute, and the horse or horses against which the dispute is lodged, are subject to all penalties attaching to the highest position to which they may be entitled until the dispute is settled by the Commission.</text> </paragraph> <paragraph num="(2)"> <text>A horse against which a dispute is lodged is not subject to the penalties attaching to the highest position to which the horse may be entitled if:</text> <paragraph num="(a)"> <text>The horse is a registered thoroughbred;</text> </paragraph> <paragraph num="(b)"> <text>The dispute is the direct result of a positive finding of a prohibited drug in the urine or blood specimen of a horse, and:</text> <paragraph num="(i)"> <text>The positive finding is not challenged; or</text> </paragraph> <paragraph num="(ii)"> <text>A confirmatory test of the blood or urine specimen substantially confirms the positive finding; and</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The race is not a stake race.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Proof of the qualifications of a horse against which a protest has been lodged may be demanded by the stewards or judges.</text> </paragraph> <paragraph num="C."> <text>If the owner or trainer of a horse against which a protest has been lodged fails to provide proof of those qualifications as demanded by the stewards or judges, the horse may be disqualified.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Corporate or Stable Names."> <paragraph num="A."> <text>Registration of Corporate or Stable Names.</text> <paragraph num="(1)"> <text>A licensed owner or owners wishing to race under a corporate or stable name may do so by furnishing the federal ID number of the corporate or stable name and registering the name with the Commission annually.</text> </paragraph> <paragraph num="(2)"> <text>The registration of a corporate or stable name is effective only for the calendar year for which the registration is made.</text> </paragraph> <paragraph num="(3)"> <text>A corporate or stable name is subject to the approval of the Commission.</text> </paragraph> <paragraph num="(4)"> <text>A corporate or stable name may be abandoned at any time upon written notice to the Commission and publication of the abandonment.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A licensed owner may not register more than one corporate or stable name, or race under the owner's real name, so long as the owner is racing under a registered corporate or stable name.</text> </paragraph> <paragraph num="C."> <text>A licensed owner, together with different owners in each instance, may be involved in other corporate or stable names.</text> </paragraph> <paragraph num="D."> <text>A corporate or stable name may be changed at any time by registering a new corporate or stable name and by paying the fee.</text> </paragraph> <paragraph num="E."> <text>A person may not register a corporate or stable name which has already been registered by any other person, or one which is the real name of an owner of race horses.</text> </paragraph> <paragraph num="F."> <text>The Commission may demand the abandonment of a corporate or stable name at any time.</text> </paragraph> <paragraph num="G."> <text>A trainer of race horses may not function as a trainer under a corporate or stable name.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Authorized Agent."> <paragraph num="A."> <text>In order to act as an authorized agent for an owner, an individual shall register with the Commission.</text> </paragraph> <paragraph num="B."> <text>A separate application for registration shall be filed for each owner represented by an individual.</text> </paragraph> <paragraph num="C."> <text>In order to be registered as an authorized agent, an individual shall first be licensed by the Commission in some other capacity.</text> </paragraph> <paragraph num="D."> <text>An authorized agent may appoint a subagent only when authorized to do so, and, to be effective, notice of the appointment shall be given in writing to the Commission.</text> </paragraph> <paragraph num="E."> <text>The registration required under §A of this regulation shall:</text> <paragraph num="(1)"> <text>Specify the functions which the authorized agent may perform on behalf of the owner; and</text> </paragraph> <paragraph num="(2)"> <text>If the authorized agent is allowed to act for the owner in matters involving the receipt or withdrawal of funds, be accompanied by a notarized document to that effect signed by the owner to be represented by the authorized agent.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Smoking."> <text>An individual may not smoke, or carry an instrument or object which may be likely to cause a fire, in a stall or feed room, under a shed row, or in any other place in which smoking is prohibited by the Commission or the association.</text> </regulation> <regulation prefix="Regulation" num=".19" heading="Workers' Compensation."> <paragraph num="A."> <text>A person applying for a license who employs one or more individuals in a racing-related activity shall have Workers' Compensation insurance as required by Maryland law unless the applicant's sole employee is a spouse.</text> </paragraph> <paragraph num="B."> <text>An applicant for a license under §A of this regulation shall list the following on the license application:</text> <paragraph num="(1)"> <text>Name of the insurance company;</text> </paragraph> <paragraph num="(2)"> <text>Name of the agent;</text> </paragraph> <paragraph num="(3)"> <text>Policy number; and</text> </paragraph> <paragraph num="(4)"> <text>Policy expiration date.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A licensee shall notify the Commission in writing, not less than 5 days before the effective date, of:</text> <paragraph num="(1)"> <text>A change to the information furnished under §B of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>The cancellation of the policy; or</text> </paragraph> <paragraph num="(3)"> <text>The nonrenewal of the policy.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A licensee, not employing one or more individuals in a racing-related activity when the licensee applied for a license, but who subsequently becomes the employer of one or more of these individuals, shall immediately:</text> <paragraph num="(1)"> <text>Obtain the required insurance coverage; and</text> </paragraph> <paragraph num="(2)"> <text>Furnish the Commission licensing office with the information required under §B of this regulation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Calculation of Time."> <paragraph num="A."> <text>Except as provided in §B of this regulation, when the last day for performing an act falls on a scheduled dark day, the act may be done on the following scheduled racing day.</text> </paragraph> <paragraph num="B."> <text>When the last day for performing an act relating to a particular race falls on a scheduled dark day, and the next scheduled racing day is the day of the race, the act shall be done on or before the previous scheduled racing day.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Procedures for Challenging the Commission's Recognition of Certain Organizations."> <paragraph num="A."> <text>Purpose. The purpose of this regulation is to set forth the procedures for resolving a challenge to the recognition of an organization by the Commission as the representative of a certain segment of the racing industry in the State, considering that certain sections of Business Regulation Article, Title 11, Annotated Code of Maryland, require the:</text> <paragraph num="(1)"> <text>Consent of certain organizations; and</text> </paragraph> <paragraph num="(2)"> <text>Distribution of funds to a certain organization.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Petition.</text> <paragraph num="(1)"> <text>An organization may petition the Commission for recognition as the organization representing a majority of the:</text> <paragraph num="(a)"> <text>Harness owners and trainers licensed in the State;</text> </paragraph> <paragraph num="(b)"> <text>Thoroughbred owners and trainers licensed in the State;</text> </paragraph> <paragraph num="(c)"> <text>Harness breeders in the State; or</text> </paragraph> <paragraph num="(d)"> <text>Thoroughbred breeders in the State.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In order for the Commission to act on any petition submitted under §B(1) of this regulation, an organization shall submit evidence demonstrating that at least 15 percent of the individuals in the applicable segment of the racing industry support the petition.</text> </paragraph> <paragraph num="(3)"> <text>The evidence submitted under §B(2) of this regulation, for each individual supporting the petition, shall consist of the individual's:</text> <paragraph num="(a)"> <text>Printed name;</text> </paragraph> <paragraph num="(b)"> <text>Signature; and</text> </paragraph> <paragraph num="(c)"> <text>License number issued by the Commission for the current year, if applicable.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Action by the Commission.</text> <paragraph num="(1)"> <text>Upon receipt of the petition, the Commission shall:</text> <paragraph num="(a)"> <text>Provide notice that a petition has been received by the Commission to:</text> <paragraph num="(i)"> <text>The petitioner,</text> </paragraph> <paragraph num="(ii)"> <text>The organization currently recognized as representing a majority of that segment of the racing industry, and</text> </paragraph> <paragraph num="(iii)"> <text>Other interested parties, if any; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Verify the status of the individuals who have signed in support of the petition.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the Commission determines that the petition contains the required number of valid signatures, it shall announce at a public meeting:</text> <paragraph num="(a)"> <text>That the Commission will conduct an election to determine which organization is to be recognized by the Commission as representing a majority of that segment of the racing industry; and</text> </paragraph> <paragraph num="(b)"> <text>The dates that the Commission sets regarding the mailing, return, and counting of the ballots.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The dates set by the Commission under §C(2)(b) of this regulation may be changed by the Commission, and the organizations involved shall be promptly informed of the new dates and the reasons for the change.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If an election is announced, funds accruing to the organization currently recognized as representing that segment of the racing industry, either by law or by contract, may be held in escrow from the date the election is announced until the date the result of the election is determined.</text> </paragraph> <paragraph num="E."> <text>Ballots.</text> <paragraph num="(1)"> <text>Ballots shall be printed and mailed by the Commission.</text> </paragraph> <paragraph num="(2)"> <text>The ballots shall:</text> <paragraph num="(a)"> <text>Be sequentially numbered;</text> </paragraph> <paragraph num="(b)"> <text>Contain:</text> <paragraph num="(i)"> <text>The name of the individual eligible to vote,</text> </paragraph> <paragraph num="(ii)"> <text>The names of the competing organizations in alphabetical order and a selection block next to the name of each organization, and</text> </paragraph> <paragraph num="(iii)"> <text>A signature line;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Set forth the date by which the ballot must be returned;</text> </paragraph> <paragraph num="(d)"> <text>Inform the individual eligible to vote that a ballot is not counted if the:</text> <paragraph num="(i)"> <text>Individual is not currently licensed,</text> </paragraph> <paragraph num="(ii)"> <text>Individual's application for renewal, accompanied by the appropriate fees, is received by the Commission after the deadline set by the Commission for the return of a ballot,</text> </paragraph> <paragraph num="(iii)"> <text>Ballot is not signed by the individual, or</text> </paragraph> <paragraph num="(iv)"> <text>Indication of the selected organization is not clear; and</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Request any other information the Commission may consider appropriate.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the election is in regard to an owners' and trainers' organization for a certain breed of horse, a ballot shall be sent to the following for the breed of horse involved:</text> <paragraph num="(a)"> <text>Each owner and trainer licensed in the State during the current year, up to and including the day the election is announced; and</text> </paragraph> <paragraph num="(b)"> <text>If the election is announced before June 30th of the current year, each owner and trainer licensed in the State on December 31st of the previous year who is not yet licensed for the current year.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>If the election is in regard to a breeders' organization, §E(2)(d)(i) and (ii) of this regulation does not apply, and:</text> <paragraph num="(a)"> <text>If the election is for a standardbred breeders' organization, a ballot shall be sent to each individual recognized by the administrator of the breeding program as the owner or lessee of a:</text> <paragraph num="(i)"> <text>Dam at the time of breeding that had any of its produce registered with that program in the last 2 calendar years,</text> </paragraph> <paragraph num="(ii)"> <text>Stallion that has been registered with the Advisory Committee as a Maryland stallion and stood in Maryland during the latest breeding season, or</text> </paragraph> <paragraph num="(iii)"> <text>Dam that was bred in Maryland within the last 2 calendar years to a stallion registered with the Advisory Committee as a Maryland stallion; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>If the election is for a thoroughbred breeders' organization, a ballot shall be sent to each individual who registered a horse in the Maryland Bred Registry at least once in the last 3 calendar years.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The mailing date of the ballots may not be later than 30 days after the public meeting of the Commission at which an election is announced.</text> </paragraph> <paragraph num="(6)"> <text>The deadline for the return of the ballots may not be less than 15 days after the mailing date.</text> </paragraph> <paragraph num="(7)"> <text>When a ballot is returned to the Commission, it shall be verified against the mailing list of eligible voters and the corresponding ballot number.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A ballot sent to an individual qualified to receive a ballot under the provisions of §E(3)(b) of this regulation may not be counted unless the individual becomes licensed before the date the ballots are to be returned as set by the Commission under §C(2)(b) of this regulation.</text> </paragraph> <paragraph num="G."> <text>Ballot Count.</text> <paragraph num="(1)"> <text>Following the close of business on the date set by the Commission for the return of the ballots, the staff of the Commission shall promptly count the ballots.</text> </paragraph> <paragraph num="(2)"> <text>The Commission shall provide adequate notice to each competing organization of:</text> <paragraph num="(a)"> <text>The date, time, and place the ballots will be counted; and</text> </paragraph> <paragraph num="(b)"> <text>The ability of a representative from each of the competing organizations to be present for the counting of the ballots.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The organization receiving a majority of the votes properly cast shall be designated as the organization representing a majority of that segment of the racing industry.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Confidentiality.</text> <paragraph num="(1)"> <text>Except as provided in this regulation, the vote of an individual shall be kept confidential.</text> </paragraph> <paragraph num="(2)"> <text>The Commission shall make available for inspection a:</text> <paragraph num="(a)"> <text>List of those individuals to whom the ballots were mailed; and</text> </paragraph> <paragraph num="(b)"> <text>Current list of those individuals who voted.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Challenges.</text> <paragraph num="(1)"> <text>An individual wishing to challenge any aspect of the election procedure shall file a written statement to that effect with the Commission within 5 business days of the occurrence about which the individual objects.</text> </paragraph> <paragraph num="(2)"> <text>A statement filed in accordance with §I(1) of this regulation shall:</text> <paragraph num="(a)"> <text>Contain the specifics of the challenge; and</text> </paragraph> <paragraph num="(b)"> <text>Establish, in the discretion of the Commission, a prima facie showing that this regulation has been violated.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the Commission determines that:</text> <paragraph num="(a)"> <text>There is a prima facie showing that this regulation has been violated, the Commission shall schedule a hearing and give notice to all interested parties; or</text> </paragraph> <paragraph num="(b)"> <text>There is not a prima facie showing that this regulation has been violated, the Commission shall deny the challenge.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>At a hearing convened under §I(3)(a) of this regulation, the validity of the challenge shall be determined by the Commission.</text> </paragraph> <paragraph num="(5)"> <text>The Commission may, in its discretion, stay the operation of the election until the challenge is finally decided.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Funds.</text> <paragraph num="(1)"> <text>If a timely challenge has been received, the Commission may order that the escrow of funds, as provided under §D of this regulation, continue, pending a final decision on the challenge.</text> </paragraph> <paragraph num="(2)"> <text>Any funds held in escrow shall be released to the winning organization after the counting of the ballots if:</text> <paragraph num="(a)"> <text>A timely challenge has not been received by the Commission; or</text> </paragraph> <paragraph num="(b)"> <text>The Commission has denied all challenges.</text> </paragraph> </paragraph> </paragraph> <paragraph num="K."> <text>The Commission's recognition of an organization as representing a majority of a certain segment of the racing industry may not be challenged within 365 days of the time recognition becomes final.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Leases of Horses."> <paragraph num="A."> <text>A leased horse may not participate in racing unless the lease agreement is:</text> <paragraph num="(1)"> <text>Attached to the horse's registration papers;</text> </paragraph> <paragraph num="(2)"> <text>Submitted to the horsemen's bookkeeper; and</text> </paragraph> <paragraph num="(3)"> <text>Approved by the stewards or judges.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A lease agreement for a horse may not be approved by the stewards or judges unless the:</text> <paragraph num="(1)"> <text>Lessee is licensed as an owner;</text> </paragraph> <paragraph num="(2)"> <text>Signatures of the lessor and lessee are verified by the stewards or judges;</text> </paragraph> <paragraph num="(3)"> <text>Term of the lease, which may contain provisions for earlier termination due to the claim or retirement of the horse, is not less than 365 days; and</text> </paragraph> <paragraph num="(4)"> <text>Agreement completely divests the lessor of further control or direction of the horse during the term of the lease.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A leased horse may not be entered into a claiming race unless the terms of the lease indicate:</text> <paragraph num="(1)"> <text>The minimum claiming price for which the horse may be entered; and</text> </paragraph> <paragraph num="(2)"> <text>Who shall receive the claiming monies if the horse is successfully claimed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Timing of Races."> <paragraph num="A."> <text>A racing association shall have, and maintain, an electronic timing device for the purpose of accurately recording the fractional times of all races.</text> </paragraph> <paragraph num="B."> <text>The time recorded by the electronic timing device is the official time of the race unless there is a power failure, mechanical malfunction, or other extenuating circumstance.</text> </paragraph> <paragraph num="C."> <text>If the stewards or judges determine that one of the exceptions under §B of this regulation occurred, the official time of the race is the time:</text> <paragraph num="(1)"> <text>Recorded by the official timer as provided under:</text> <paragraph num="(a)"> <text>COMAR 09.10.01.36 for a thoroughbred race, or</text> </paragraph> <paragraph num="(b)"> <text>COMAR 09.10.02.24 for a standardbred race; or</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Provided by a method considered reliable and accurate by the Commission.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The time of each race shall be announced and displayed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".24" heading="Telephone Account Betting."> <paragraph num="A."> <text>Definitions. In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Net betting revenue” means the gross amount of all bets placed through a TABS less:</text> <paragraph num="(a)"> <text>Return to bettors;</text> </paragraph> <paragraph num="(b)"> <text>State tax and all other amounts required by law to be paid to anyone other than a track licensee, horsemen, and breeders;</text> </paragraph> <paragraph num="(c)"> <text>Fees paid to the racetracks that hosted the live races in this State and out-of-State;</text> </paragraph> <paragraph num="(d)"> <text>Fees paid to a third-party operator of the TABS; and</text> </paragraph> <paragraph num="(e)"> <text>Costs of the racing association as agreed to between the:</text> <paragraph num="(i)"> <text>Racing association,</text> </paragraph> <paragraph num="(ii)"> <text>Organization representing a majority of the horsemen racing at the track where the TABS is operated, and</text> </paragraph> <paragraph num="(iii)"> <text>Organization representing a majority of the breeders of the breed of horses racing at the track where the TABS is operated.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Source market area” means the prescribed radius surrounding a racetrack within which the postal ZIP code for the principal residence of a telephone betting account holder is located.</text> </paragraph> <paragraph num="(3)"> <text>“Telephone account betting system (TABS)” means a system, established by a licensed racing association and approved by the Commission, by which an individual may open an account in order to bet on horse races by telephonic, electronic, or other means of communication.</text> </paragraph> </paragraph> <paragraph num="B."> <text>General.</text> <paragraph num="(1)"> <text>Subject to the receipt of an application by a licensed racing association, the Commission may permit the racing association to establish and operate a TABS on days when the racing association is authorized to conduct racing.</text> </paragraph> <paragraph num="(2)"> <text>All bets placed through a TABS are:</text> <paragraph num="(a)"> <text>Considered to have been made in this State; and</text> </paragraph> <paragraph num="(b)"> <text>Subject to the laws of this State and the regulations of the Commission.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A racing association operating a TABS may conduct betting on races through the TABS only on those races which the racing association is authorized to conduct.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Establishing and Maintaining Accounts.</text> <paragraph num="(1)"> <text>A telephone betting account may be established and maintained for an individual by a racing association authorized by the Commission to operate a TABS.</text> </paragraph> <paragraph num="(2)"> <text>A telephone betting account may be established for an individual whose principal residence is outside this State if the racing association complies with all applicable provisions of federal and state law.</text> </paragraph> <paragraph num="(3)"> <text>For the purposes of determining if a bet was made from within a source market area as provided under §Q of this regulation, the principal residential address of the individual account holder, as maintained by the TABS, is considered the location from which that bet originated.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A racing association shall obtain from each individual who applies for a telephone betting account the individual's:</text> <paragraph num="(1)"> <text>Name;</text> </paragraph> <paragraph num="(2)"> <text>Principal residential address including postal ZIP code;</text> </paragraph> <paragraph num="(3)"> <text>Social Security number;</text> </paragraph> <paragraph num="(4)"> <text>Proof of age and identity; and</text> </paragraph> <paragraph num="(5)"> <text>An initial deposit which is not:</text> <paragraph num="(a)"> <text>Less than the minimum amount established by the association, and</text> </paragraph> <paragraph num="(b)"> <text>More than $500, if the deposit is made by the use of a credit or debit card.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>A racing association shall maintain the following information regarding each individual for whom it maintains a telephone betting account:</text> <paragraph num="(1)"> <text>Name;</text> </paragraph> <paragraph num="(2)"> <text>Principal residential address including postal ZIP code;</text> </paragraph> <paragraph num="(3)"> <text>Telephone number;</text> </paragraph> <paragraph num="(4)"> <text>Social Security number;</text> </paragraph> <paragraph num="(5)"> <text>Amount bet;</text> </paragraph> <paragraph num="(6)"> <text>Tracks on whose races bets were placed; and</text> </paragraph> <paragraph num="(7)"> <text>Such other information as the Commission may reasonably request.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A racing association shall furnish to each individual for whom it establishes an account:</text> <paragraph num="(1)"> <text>A personal identification number of not less than four alphanumeric characters;</text> </paragraph> <paragraph num="(2)"> <text>The identifying number assigned to the individual's account by the racing association;</text> </paragraph> <paragraph num="(3)"> <text>Instructions on how to operate the telephone betting account;</text> </paragraph> <paragraph num="(4)"> <text>Regulations of the Commission in regard to this type of betting; and</text> </paragraph> <paragraph num="(5)"> <text>Conditions imposed by the racing association on this type of betting.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A racing association may not establish an account for an individual who is younger than 18 years old.</text> </paragraph> <paragraph num="H."> <text>Based on its business judgment, a racing association may:</text> <paragraph num="(1)"> <text>Refuse to establish an account for an individual; or</text> </paragraph> <paragraph num="(2)"> <text>Close the account of an individual.</text> </paragraph> </paragraph> <paragraph num="I."> <text>A racing association may not accept a bet through a TABS if:</text> <paragraph num="(1)"> <text>The account holder does not submit the correct personal identification number; or</text> </paragraph> <paragraph num="(2)"> <text>The amount of the bet is greater than the available balance in the account.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Other than for bets and deposits, the only charges and credits that may be made to an account are the:</text> <paragraph num="(1)"> <text>Proceeds from a successful bet;</text> </paragraph> <paragraph num="(2)"> <text>Refunds;</text> </paragraph> <paragraph num="(3)"> <text>Withdrawals ordered by the account holder;</text> </paragraph> <paragraph num="(4)"> <text>Payments to an account holder upon the closing of the account;</text> </paragraph> <paragraph num="(5)"> <text>Fees, as established by a racing association and agreed upon by an account holder, for the maintenance of an account and related services; and</text> </paragraph> <paragraph num="(6)"> <text>Promotional considerations provided by the racing association.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Time.</text> <paragraph num="(1)"> <text>A racing association may delay the use of a deposit to an account, made with an instrument other than cash, until the time allowed by the banking industry for the dishonor of that instrument has passed.</text> </paragraph> <paragraph num="(2)"> <text>The proceeds from a successful bet, or the amount due from a refund, shall be credited to an individual's account as soon as reasonably practicable after the race or races upon which the bet was placed becomes official.</text> </paragraph> <paragraph num="(3)"> <text>A valid withdrawal order by the holder of an account shall be honored within 5 business days of its receipt.</text> </paragraph> <paragraph num="(4)"> <text>A racing association shall pay the account holder the balance in the account within 5 business days after the account is closed.</text> </paragraph> </paragraph> <paragraph num="L."> <text>A racing association operating a TABS shall:</text> <paragraph num="(1)"> <text>Make an account activity report available to an account holder quarterly;</text> </paragraph> <paragraph num="(2)"> <text>Close an account which has not had any betting activity for a 12-month period; and</text> </paragraph> <paragraph num="(3)"> <text>Notify a Commission representative within 24 hours of the event, if for any reason a bet placed by an account holder in accordance with the established telephone account betting procedures is not accepted.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Exception to an Account Activity Report.</text> <paragraph num="(1)"> <text>If an account holder takes exception to an account activity report issued by a racing association as required by §L(1) of this regulation, the account holder shall submit the exception in writing to the racing association within 30 days of the issuance of the account activity report.</text> </paragraph> <paragraph num="(2)"> <text>If the exception is not resolved by the racing association within 15 days of its receipt, the racing association shall promptly notify, in writing, the:</text> <paragraph num="(a)"> <text>Commission of the exception; and</text> </paragraph> <paragraph num="(b)"> <text>Account holder of the right to request a hearing before the Commission to resolve the exception.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Upon receipt of a request from an account holder to conduct a hearing to resolve the exception, the Commission shall schedule and conduct a hearing.</text> </paragraph> </paragraph> <paragraph num="N."> <text>Accounts.</text> <paragraph num="(1)"> <text>Before being granted the right to operate a TABS, and every 6 months thereafter, a racing association shall furnish the Commission with proof that the account holders will be guaranteed the full value of their accounts regardless of the acts of the association or any other entity.</text> </paragraph> <paragraph num="(2)"> <text>If the proof offered under §N(1) of this regulation is not acceptable to the Commission, the Commission may require the racing association to purchase a bond or other form of insurance guaranteeing that the account holders receive the full value of their accounts.</text> </paragraph> </paragraph> <paragraph num="O."> <text>An account holder shall notify the racing association maintaining that individual's account, in writing, of any change of the account holder's principal residential address.</text> </paragraph> <paragraph num="P."> <text>Confidentiality.</text> <paragraph num="(1)"> <text>Except as otherwise provided, all information regarding an account shall be maintained in confidence by a racing association including:</text> <paragraph num="(a)"> <text>The account number;</text> </paragraph> <paragraph num="(b)"> <text>The personal identification number;</text> </paragraph> <paragraph num="(c)"> <text>Personal information regarding the account holder; and</text> </paragraph> <paragraph num="(d)"> <text>Transactions.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Information regarding an account may be disclosed;</text> <paragraph num="(a)"> <text>To the account holder,</text> </paragraph> <paragraph num="(b)"> <text>To the Commission; and</text> </paragraph> <paragraph num="(c)"> <text>As otherwise required by State law, federal law, or the regulations of the Commission.</text> </paragraph> </paragraph> </paragraph> <paragraph num="Q."> <text>Source Market Areas.</text> <paragraph num="(1)"> <text>There shall be a source market area for each racing association that is authorized to operate a TABS.</text> </paragraph> <paragraph num="(2)"> <text>The source market area of a racing association consists of all postal addresses located within a 35-mile radius of the racing association, subject to the following:</text> <paragraph num="(a)"> <text>Address locations shall be determined by postal ZIP codes;</text> </paragraph> <paragraph num="(b)"> <text>If a portion of a postal ZIP code is within a source market area established by this subsection, the entire postal ZIP code shall be included within that source market area; and</text> </paragraph> <paragraph num="(c)"> <text>The source market area for a racing association that is not a mile thoroughbred track licensee or a harness track licensee is applicable only during the period of time it holds live racing.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Unless otherwise agreed between the applicable racing associations, an individual residing within a source market area may only establish a telephone betting account with a racing association in whose source market area the customer resides.</text> </paragraph> <paragraph num="(4)"> <text>An individual residing outside of any source market area may establish a telephone betting account with any racing association in the State that is authorized to operate a TABS.</text> </paragraph> </paragraph> <paragraph num="R."> <text>Net Betting Revenue.</text> <paragraph num="(1)"> <text>The net betting revenue derived from bets originating from the source market area of a racing association shall be retained by the racing association.</text> </paragraph> <paragraph num="(2)"> <text>The net betting revenue derived from bets originating from the source market area of one racing association, which overlaps the source market area of another racing association, shall be divided among the racing associations:</text> <paragraph num="(a)"> <text>As set forth in a written agreement; or</text> </paragraph> <paragraph num="(b)"> <text>As provided in §V of this regulation if a written agreement is not then in effect.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>During the period live racing is conducted at the Timonium racetrack:</text> <paragraph num="(a)"> <text>The net betting revenue from the source market areas of Laurel Park, Pimlico Race Course, and Timonium shall be divided among the racing associations operating these racetracks in accordance with a written agreement; or</text> </paragraph> <paragraph num="(b)"> <text>Absent an agreement, the net betting revenue from the source market areas of Laurel Park, Pimlico Race Course, and Timonium shall be retained by the racing association licensed to operate Timonium.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A racing association operating a TABS shall retain the net betting revenue derived from a bet made through its TABS by an individual residing outside the source market areas established under this regulation.</text> </paragraph> </paragraph> <paragraph num="S."> <text>Allocation of Net Betting Revenue. All net betting revenue retained or received by a racing association shall be allocated:</text> <paragraph num="(1)"> <text>In accordance with an agreement between the racing association, the organization representing a majority of the horsemen racing at the track operated by the racing association, and the organization representing a majority of the breeders of the breed of horses racing at the track operated by the racing association; or</text> </paragraph> <paragraph num="(2)"> <text>Absent an agreement as referenced under §S(1) of this regulation, in accordance with the relevant provisions of Business Regulation Article, Title 11, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="T."> <text>Reports to the Commission. Not later than 75 days after the end of the calendar year, a racing association shall file with the Commission a report, certified by an independent certified public accountant, of all of the costs and expenses deducted in any calendar year by the racing association in calculating net betting revenue.</text> </paragraph> <paragraph num="U."> <text>Contracting for Use of TABS.</text> <paragraph num="(1)"> <text>A racing association may contract with one or more entities to conduct betting through the TABS established by the racing association.</text> </paragraph> <paragraph num="(2)"> <text>The racing association contracting with an entity to conduct betting through the TABS established by the racing association shall:</text> <paragraph num="(a)"> <text>Prohibit that entity from accepting bets from residents within the source market area of another racing association unless that racing association agrees;</text> </paragraph> <paragraph num="(b)"> <text>If racing association referenced in §U(2)(a) of this regulation agrees, collect and remit to that racing association the net betting revenue from bets made within the source market area of that racing association; and</text> </paragraph> <paragraph num="(c)"> <text>Collect and keep the net betting revenue for bets made within the State but outside of the source market area of any racing association.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Revenues and expenses of the contracted entity referenced in §U(1) of this regulation derived from betting conducted through the TABS established by a racing association, other than as provided in §U(2) of this regulation, may not be included in net betting revenue.</text> </paragraph> <paragraph num="(4)"> <text>After payment to the contracted entity referenced in §U(1) of this regulation for services performed, the revenue retained by the racing association from bets facilitated by that entity, other than the amounts referenced in §U(2) of this regulation, shall be allocated:</text> <paragraph num="(a)"> <text>In accordance with an agreement between:</text> <paragraph num="(i)"> <text>The racing association,</text> </paragraph> <paragraph num="(ii)"> <text>The organization representing a majority of the horsemen racing at the track operated by the racing association, and</text> </paragraph> <paragraph num="(iii)"> <text>The organization representing a majority of the breeders of the breed of horses racing at the track operated by the racing association; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Absent an agreement as referenced under §U(4)(a) of this regulation, in accordance with the relevant provisions of Business Regulation Article, Title 11, Annotated Code of Maryland.</text> </paragraph> </paragraph> </paragraph> <paragraph num="V."> <text>Allocation of Net Betting Revenue from Overlapping Source Market Areas. If there is no written agreement in effect among the racing associations licensed to operate Laurel Park, Pimlico Race Course, and Rosecroft Raceway as to the allocation among them of net betting revenue from the source market areas of Laurel Park or Pimlico Race Course that overlap with the source market area of Rosecroft Raceway, then the allocation shall be determined by a formula that gives equal weight to each of the following three factors, each factor to be calculated as the arithmetical mean average of the factor during 1999 and the last calendar year immediately preceding the period for which the calculation is to be made.</text> <paragraph num="(1)"> <text>Factor 1: Handle bet in Maryland, other than through a TABS, by breed, with the racing associations licensed to operate Laurel Park and Pimlico Race Course credited with all thoroughbred handle, and the racing association licensed to operate Rosecroft Raceway credited with all standardbred handle;</text> </paragraph> <paragraph num="(2)"> <text>Factor 2: Handle bet in Maryland, other than through a TABS, by the time of day, with the racing associations licensed to operate Laurel Park and Pimlico Race Course credited with all handle on racing programs that begin at 6 p.m. Eastern Time or earlier on any day, and the racing association licensed to operate Rosecroft Raceway credited with all handle on racing programs that begin after 6 p.m. Eastern Time on any day; and</text> </paragraph> <paragraph num="(3)"> <text>Factor 3: Handle bet in Maryland, other than through a TABS, by location, with the:</text> <paragraph num="(a)"> <text>Racing associations licensed to operate Laurel Park and Pimlico Race Course credited with all handle bet at Laurel Park, Pimlico Race Course, and any satellite simulcast betting facility established after January 1, 2000, located exclusively within their respective source market areas and not overlapping with the source market area of the racing association licensed to operate Rosecroft Raceway,</text> </paragraph> <paragraph num="(b)"> <text>Racing association licensed to operate Rosecroft Raceway credited with all handle bet at Rosecroft Raceway and any satellite simulcast betting facility established after January 1, 2000, located exclusively within its source market area and not overlapping with the source market area of the racing associations licensed to operate Laurel Park or Pimlico Race Course, and</text> </paragraph> <paragraph num="(c)"> <text>Racing associations licensed to operate Laurel Park and Pimlico Race Course and the racing association licensed to operate Rosecroft Raceway credited with 80 percent and 20 percent respectively, of the handle bet at all other satellite simulcast betting facilities.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".25" heading="Racetrack Facility Renewal Account."> <paragraph num="A."> <text>Eligibility. A racetrack licensee may receive a grant from the Racetrack Facility Renewal Account, established under State Government Article, §9-1A-29, Annotated Code of Maryland, for racetrack facility capital construction and racetrack facility improvements if the racetrack licensee is in compliance with the applicable eligibility requirements of State Government Article, §9-1A-09, Annotated Code of Maryland, including:</text> <paragraph num="(1)"> <text>The development and submittal to the Commission of a multiyear plan to improve the quality and marketing of horse racing at racetrack locations owned or operated by the racetrack licensee; and</text> </paragraph> <paragraph num="(2)"> <text>The development with other industry representatives in both the thoroughbred and harness racing industries of a multiyear plan to improve the quality and marketing of the horse racing industry in Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Qualifications. To qualify for a grant from the Racing Facility Renewal Account, a racetrack licensee shall:</text> <paragraph num="(1)"> <text>Submit to the Commission for approval a capital construction plan and a plan for improvements at the racetrack facility for capital construction and improvements at the racetrack facility that were commenced after October 1, 2010, including specific time frames for implementation; and</text> </paragraph> <paragraph num="(2)"> <text>Except for the owners of the racecourse at Timonium, provide and expend a matching fund equal to the amount of the grant.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Content. A capital construction plan and a plan for improvements at a racetrack facility for each project shall include:</text> <paragraph num="(1)"> <text>A general description of the capital construction and racetrack facility improvements;</text> </paragraph> <paragraph num="(2)"> <text>The estimated time frame for completion of each project;</text> </paragraph> <paragraph num="(3)"> <text>A complete set of applicable capital construction plans; and</text> </paragraph> <paragraph num="(4)"> <text>A listing of all costs associated with each project including materials and labor.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Monitoring. If a grant is provided to a racetrack licensee for capital construction, the Commission shall:</text> <paragraph num="(1)"> <text>In consultation with the Department of General Services, monitor the implementation of the approved plans for capital construction; and</text> </paragraph> <paragraph num="(2)"> <text>Unless the Commission grants an extension upon a written request of a racetrack licensee, direct the racetrack licensee to refund the applicable grant monies if the capital construction is not completed within the time frame approved by the Commission.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Types. At a minimum, the types of capital construction and improvements at a racetrack facility shall include:</text> <paragraph num="(1)"> <text>Projects that cause the racetrack facility to be in compliance with all laws, regulations, and ordinances regarding safety, environmental, and public health concerns;</text> </paragraph> <paragraph num="(2)"> <text>Projects that ensure that the condition of a part of the racetrack where individuals reside, commonly known as the “backstretch”, is satisfactory for human habitation and meets minimum housing and sanitation standards for the jurisdiction in which the racetrack facility is located; and</text> </paragraph> <paragraph num="(3)"> <text>Projects that affect:</text> <paragraph num="(a)"> <text>Racetrack surfaces;</text> </paragraph> <paragraph num="(b)"> <text>Stabling facilities;</text> </paragraph> <paragraph num="(c)"> <text>Pari-mutuel operations or equipment;</text> </paragraph> <paragraph num="(d)"> <text>Food and beverage amenities or equipment;</text> </paragraph> <paragraph num="(e)"> <text>Spectator seating and other patron-oriented improvements;</text> </paragraph> <paragraph num="(f)"> <text>Security systems; and</text> </paragraph> <paragraph num="(g)"> <text>Racing-related equipment.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Allocation of Funds.</text> <paragraph num="(1)"> <text>Except as provided in §F(2) of this regulation, if two or more racetrack licensees that conduct live racing of the same breed submit plans for capital construction and improvements at a racetrack facility that are approved by the Commission, the funds shall be distributed to the competing racetrack licensees based upon the number of live racing days at each racetrack facility.</text> </paragraph> <paragraph num="(2)"> <text>For calendar year 2011, the monies accrued in the Racetrack Facility Renewal Account for Rosecroft Raceway and Ocean Downs, from the inception of the Racetrack Facility Renewal Account to the date a racetrack license is issued for the operation of Rosecroft Raceway, shall be available only to the racetrack licensee at Ocean Downs, provided the racetrack license at Ocean Downs is otherwise eligible for these funds.</text> </paragraph> <paragraph num="(3)"> <text>Upon the approval by the Commission of a plan for capital construction and improvements at a racetrack facility, a racetrack licensee may expend its matching funds prior to the receipt of grant monies from the Racetrack Facility Renewal Account.</text> </paragraph> <paragraph num="(4)"> <text>Each competing racetrack licensee shall agree in writing to return any funds allocated to the racetrack licensee in a particular calendar year to the Racetrack Facility Renewal Account in the event the racetrack licensee does not run the scheduled number of live racing days for any reason other than weather, acts of God, or other circumstances beyond the control of the racetrack licensee.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§11-207, 11-210, 11-303, 11-305, 11-308, 11-310, 11-316—11-319, 11-508, 11-518, 11-519, 11-608, 11-626, 11-804,11-804.1, 11-811, 11-825, and 11-827; State Government Article, §9-1A-29; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 10, 1995 (22:7 Md. R. 535)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective March 22, 1999 (26:6 Md. R. 484); May 29, 2000 (27:10 Md. R. 965); September 30, 2002 (29:19 Md. R. 1523)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended effective July 29, 2019 (46:15 Md. R. 654)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08E amended effective April 24, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15A amended effective April 28, 2003 (30:8 Md. R. 539)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15A amended effective August 15, 2005 (32:16 Md. R. 1392)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17E adopted effective October 30, 2000 (27:21 Md. R. 1975)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 E amended effective September 30, 2002 (29:19 Md. R. 1523)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21 adopted effective July 1, 1998 (25:11 Md. R. 820)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22 adopted effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22B amended effective October 30, 2000 (27:21 Md. R. 1975)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 adopted effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24 adopted as an emergency provision effective September 1, 2000 (27:19 Md. R. 1720); adopted permanently effective January 8, 2001 (27:26 Md. R. 2357)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24 amended effective December 9, 2004 (31:24 Md. R. 1726)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25 adopted as an emergency provision effective December 2, 2011 (38:27 Md. R. 1762); adopted permanently effective February 20, 2012 (39:3 Md. R. 258)</annotation> </annotations> </chapter> <chapter num="05" heading="Satellite Simulcast Betting"> <regulation prefix="Regulation" num=".01" heading="Purpose and Intent Concerning Minority Participation."> <paragraph num="A."> <text>Purpose. The purpose of these regulations is to implement the provisions of Business Regulation Article, §§11-815—11-832, Annotated Code of Maryland (Satellite Simulcast Betting), in a nondiscriminatory manner, by specifying the procedures to be used in the application for, and the granting and renewal of, a satellite simulcast betting permit, as well as the terms and conditions of a satellite simulcast betting permit.</text> </paragraph> <paragraph num="B."> <text>Intent Concerning Minority Participation. The Commission shall carry out the provisions of this chapter in a manner that complies with the intent of the General Assembly in enacting the Maryland Horse Racing Act of 1992 (Chapter 473, Acts of 1992), including the intent regarding minority participation, specifically to:</text> <paragraph num="(1)"> <text>Provide equal opportunity for the inclusion of minority applicants;</text> </paragraph> <paragraph num="(2)"> <text>Be nondiscriminatory in the selection of permit holders to operate satellite simulcast betting; and</text> </paragraph> <paragraph num="(3)"> <text>Ensure that all satellite simulcast betting facility permit holders not discriminate in the employment of services for the development, construction, operation, and maintenance of these facilities.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Requirements for Permit Application."> <paragraph num="A."> <text>An application for a satellite simulcast betting permit shall be submitted on a form provided by the Commission.</text> </paragraph> <paragraph num="B."> <text>With the application, the applicant shall submit:</text> <paragraph num="(1)"> <text>A nonrefundable application fee in the amount of $500 by means of a certified or cashier's check;</text> </paragraph> <paragraph num="(2)"> <text>An affidavit to the effect that the applicant will pay, in advance, directly to the provider, any costs incurred for those professional services used by the Commission in the processing of the application;</text> </paragraph> <paragraph num="(3)"> <text>A contract with the applicable track licensee assuring the applicant the:</text> <paragraph num="(a)"> <text>Right to the simulcast signal if the permit is granted, and</text> </paragraph> <paragraph num="(b)"> <text>Operation of the pari-mutuel function at the applicant's facility by the track licensee if the permit is granted;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Contracts, if any, with the persons denoted by Business Regulation Article, §11-827, Annotated Code of Maryland, which contain the duration and amount of the takeout to be allocated to the permittee for the costs of operating the satellite simulcast betting facility for which the permittee may be reimbursed, such as:</text> <paragraph num="(a)"> <text>Salaries;</text> </paragraph> <paragraph num="(b)"> <text>Utilities;</text> </paragraph> <paragraph num="(c)"> <text>Repairs and maintenance; and</text> </paragraph> <paragraph num="(d)"> <text>Other expenses agreed upon between the permittee and a person denoted by Business Regulation Article, §11-827, Annotated Code of Maryland;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The location, capacity, and availability of parking for the facility to be used for satellite simulcast betting;</text> </paragraph> <paragraph num="(6)"> <text>The address and proof of ownership of the premises where satellite simulcast betting is to be conducted, or a lease agreement for the use of the premises as a satellite simulcast betting facility;</text> </paragraph> <paragraph num="(7)"> <text>Proof that the use of the facility for satellite simulcast betting complies with:</text> <paragraph num="(a)"> <text>Local zoning laws or ordinances; and</text> </paragraph> <paragraph num="(b)"> <text>Ordinances including, but not limited to, those dealing with health and the sale of alcoholic beverages;</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>Financial feasibility studies for the operation of satellite simulcast betting at the location designated;</text> </paragraph> <paragraph num="(9)"> <text>Architectural and interior design plans of the facility for which satellite simulcast betting is being requested;</text> </paragraph> <paragraph num="(10)"> <text>Details relating to food and beverage service at the proposed facility, including:</text> <paragraph num="(a)"> <text>Approximate number of personnel, by category, to be employed in this service;</text> </paragraph> <paragraph num="(b)"> <text>Concept of food service;</text> </paragraph> <paragraph num="(c)"> <text>Type of menu items to be offered;</text> </paragraph> <paragraph num="(d)"> <text>Seating plan; and</text> </paragraph> <paragraph num="(e)"> <text>Other information the applicant considers appropriate;</text> </paragraph> </paragraph> <paragraph num="(11)"> <text>If the proposed facility is within a 35-mile radius of a mile thoroughbred or harness track in Maryland, the written consent of:</text> <paragraph num="(a)"> <text>Each mile thoroughbred and harness track in Maryland within whose 35-mile radius the facility will be located;</text> </paragraph> <paragraph num="(b)"> <text>The groups that represent a majority of the applicable:</text> <paragraph num="(i)"> <text>Owners and trainers licensed in the State, and</text> </paragraph> <paragraph num="(ii)"> <text>Breeders in the State; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="(12)"> <text>Other information requested by the Commission.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Personal and Financial Background Investigation."> <paragraph num="A."> <text>For the purpose of this regulation, “financial interest” means 5 percent or more of an ownership or profit interest in an applicant for a satellite simulcast betting permit.</text> </paragraph> <paragraph num="B."> <text>The Commission shall:</text> <paragraph num="(1)"> <text>Conduct a personal and financial background investigation on the officers of the applicant, if any, and each person with a financial interest in the applicant;</text> </paragraph> <paragraph num="(2)"> <text>Obtain from the applicant not less than three personal references regarding each person specified by §B(1) of this regulation;</text> </paragraph> <paragraph num="(3)"> <text>Solicit responses from references furnished by the applicant and evaluate them;</text> </paragraph> <paragraph num="(4)"> <text>Request federal, State, and local law enforcement authorities, with the cooperation of the persons specified in §B(1) of this regulation and at the expense of the applicant, to conduct a criminal background review of persons specified by §B(1) of this regulation;</text> </paragraph> <paragraph num="(5)"> <text>Direct the applicant to pay financial advisors engaged by the Commission to review and advise the Commission on all pertinent financial matters for the applicant and for persons having a financial interest in the applicant in order to determine the applicant's financial ability to purchase or lease, develop, and maintain the satellite simulcast betting facility including:</text> <paragraph num="(a)"> <text>Certified financial statements,</text> </paragraph> <paragraph num="(b)"> <text>Income statements for the most recent year preceding the submission of the application, and</text> </paragraph> <paragraph num="(c)"> <text>Financial statements and related records of any corporation, association, partnership, proprietorship, limited partnership, or any other business entity in which a person with a financial interest in the applicant has at least a majority interest;</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Obtain from the applicant the:</text> <paragraph num="(a)"> <text>Disclosure of all financial interests in horse racing and other legalized betting activities by those persons specified in §B(1) of this regulation, and</text> </paragraph> <paragraph num="(b)"> <text>Identity and the percentage of interest of all persons with less than a 5 percent financial or beneficial interest in the applicant, as well as the permission of these persons to have an investigation conducted on their background by the Commission.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>If the applicant is a track licensee, the Commission may waive those portions of the personal and financial background check that it considers appropriate.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Requirements for a Satellite Simulcast Betting Facility."> <text>A satellite simulcast betting facility shall have amenities similar to a sports palace facility, including:</text> <paragraph num="A."> <text>Comfortable seating;</text> </paragraph> <paragraph num="B."> <text>High quality dining;</text> </paragraph> <paragraph num="C."> <text>Large screen video display of the racing action;</text> </paragraph> <paragraph num="D."> <text>Betting stations within easy access;</text> </paragraph> <paragraph num="E."> <text>Visual and computer-assisted handicapping aids;</text> </paragraph> <paragraph num="F."> <text>Adequate security; and</text> </paragraph> <paragraph num="G."> <text>A design which is commensurate to the setting in which it is located.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Procedures for Considering an Application."> <text>Before considering the issuance of a permit, the Commission shall:</text> <paragraph num="A."> <text>Advertise the date, time, and location of a public hearing on the application in a local publication at least 30 days before the hearing being conducted;</text> </paragraph> <paragraph num="B."> <text>Provide written notice to the executive and legislative branches of the county and local governments for the jurisdiction within which the proposed satellite simulcast betting facility is to be located of the date, time, and location of the public meeting;</text> </paragraph> <paragraph num="C."> <text>Post the notice of the public hearing on the Commission website at least 30 days before the public hearing;</text> </paragraph> <paragraph num="D."> <text>Require the applicant, at least 30 days before the public hearing, to post a sign in a conspicuous location at the facility for which the application for the permit was submitted stating that an application is pending for use of the facility for satellite simulcast betting and specifying the date, time, and location of the public hearing;</text> </paragraph> <paragraph num="E."> <text>Request from the applicant a list of community associations that were notified of the public hearing;</text> </paragraph> <paragraph num="F."> <text>Conduct the public hearing within 10 miles of the requested satellite simulcast betting facility and, at this hearing, the Commission shall consider comments, if any, from:</text> <paragraph num="(1)"> <text>The public;</text> </paragraph> <paragraph num="(2)"> <text>The officials from the jurisdiction where the satellite simulcast betting facility is to be located;</text> </paragraph> <paragraph num="(3)"> <text>The applicable track licensee;</text> </paragraph> <paragraph num="(4)"> <text>The applicable group that represents a majority of the owners and trainers licensed in the State;</text> </paragraph> <paragraph num="(5)"> <text>The applicable group that represents a majority of the breeders in the State; and</text> </paragraph> <paragraph num="(6)"> <text>Other interested parties in the racing industry; and</text> </paragraph> </paragraph> <paragraph num="G."> <text>Among other things, consider the extent to which the satellite simulcast betting facility may interfere with attendance at the mile thoroughbred and harness tracks in Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Grounds for Denial and Sanctions."> <paragraph num="A."> <text>The Commission may deny a permit to an applicant for a satellite simulcast betting permit, or may suspend or revoke a satellite simulcast betting permit, if:</text> <paragraph num="(1)"> <text>An applicant or permit holder:</text> <paragraph num="(a)"> <text>Has violated an applicable provision of law,</text> </paragraph> <paragraph num="(b)"> <text>Has violated a regulation of the Commission, or</text> </paragraph> <paragraph num="(c)"> <text>Has not complied with a condition imposed by the Commission;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Commission determines that the:</text> <paragraph num="(a)"> <text>Information it obtains pursuant to Regulations .02—.05 of this chapter does not justify the granting or renewal of a permit, or</text> </paragraph> <paragraph num="(b)"> <text>Permit holder has not maintained the satellite simulcast betting facility or its operation in a manner consistent with the information the Commission relied upon in granting the permit.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Instead of, or in addition to, suspending a permit, the Commission may impose a fine not exceeding $5,000 for each day a violation occurs.</text> </paragraph> <paragraph num="C."> <text>In determining the penalty to be imposed, the Commission shall consider the:</text> <paragraph num="(1)"> <text>Seriousness of the violation;</text> </paragraph> <paragraph num="(2)"> <text>Harm caused by the violation;</text> </paragraph> <paragraph num="(3)"> <text>Good faith or lack of good faith of the permittee; and</text> </paragraph> <paragraph num="(4)"> <text>Operational history of the permittee.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Term of a Satellite Simulcast Betting Permit."> <paragraph num="A."> <text>Unless suspended or revoked, the term of a satellite simulcast betting permit is for the remainder of the:</text> <paragraph num="(1)"> <text>Calendar year if the starting date on the permit is before July 1 of the calendar year; or</text> </paragraph> <paragraph num="(2)"> <text>Calendar year and the next calendar year if the starting date on the permit is after July 1 of the calendar year.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A satellite simulcast betting permit may not be issued for a period which extends beyond the expiration date of a contract required by Regulation .02 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Content of a Satellite Simulcast Betting Permit."> <text>A satellite simulcast betting permit shall contain the:</text> <paragraph num="A."> <text>Name of the permittee;</text> </paragraph> <paragraph num="B."> <text>Location for which the permit is issued; and</text> </paragraph> <paragraph num="C."> <text>Term of the permit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Renewal of a Satellite Simulcast Betting Permit."> <text>An application for the renewal of a satellite simulcast betting permit shall be:</text> <paragraph num="A."> <text>Delivered to the Commission offices not less than 60 days before the end of the term of the permit;</text> </paragraph> <paragraph num="B."> <text>Accompanied by an affidavit from the permittee stating that the facility in which satellite simulcast betting takes place continues to meet the requirements of the law, regulations, and conditions, if any, of the Commission; and</text> </paragraph> <paragraph num="C."> <text>Granted, unless the Commission determines that the permit holder:</text> <paragraph num="(1)"> <text>Should be denied under the provisions of Regulation .06 of this chapter; or</text> </paragraph> <paragraph num="(2)"> <text>No longer has viable contracts, leases, and agreements required under Regulation .02 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Satellite Simulcast Betting Permit Fee and Renewal Fee."> <paragraph num="A."> <text>The permit fee is $500.</text> </paragraph> <paragraph num="B."> <text>The renewal fee is $500.</text> </paragraph> <paragraph num="C."> <text>Fees shall be paid before the issuance of a satellite simulcast betting permit or the renewal of the permit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Discretion of Judges and Stewards."> <paragraph num="A."> <text>If there is a problem in the transmission of data or the signal between the host track and the satellite simulcast betting facility, it is within the discretion of the stewards/judges to:</text> <paragraph num="(1)"> <text>Order the race to be run on schedule;</text> </paragraph> <paragraph num="(2)"> <text>Delay the race until the matter is resolved, if this is possible; or</text> </paragraph> <paragraph num="(3)"> <text>After having delayed the race, if the problem is not resolved and a further delay is not possible, order the race to be run.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If a race is run before the resolution of a problem in the transmission of data or signal between the host track and the satellite simulcast betting facility, the stewards/judges shall cause an announcement to be made that any pari-mutuel ticket issued before the running of the race is a valid ticket irrespective of the nontransmission of data or the signal.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Requirements of Permittee."> <text>A permittee shall:</text> <paragraph num="A."> <text>Comply with the law, the regulations of the Racing Commission, and the conditions, if any, of the Racing Commission;</text> </paragraph> <paragraph num="B."> <text>Report, in conjunction with the applicable groups representing a majority of the horsemen and breeders in the State, to the Commission not later than December 31 of each year for the period through December 15 of that year, on the:</text> <paragraph num="(1)"> <text>Effectiveness of satellite simulcast betting, and</text> </paragraph> <paragraph num="(2)"> <text>Effect of satellite simulcast betting on the racing industry in the State;</text> </paragraph> </paragraph> <paragraph num="C."> <text>Reimburse the Commission for the cost of personnel employed by the Commission to inspect, investigate, or perform a licensing function at the satellite simulcast betting facility; and</text> </paragraph> <paragraph num="D."> <text>Periodically, at the discretion of the Commission but not later than the date set for renewal of a permit, assure the Commission that the facilities continue to meet the requirements of the laws, regulations of the Racing Commission, and the conditions, if any, of the Racing Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Changes in Ownership in Permittee."> <paragraph num="A."> <text>A permittee or a purchaser of an interest in the permittee shall notify the Commission of a change in the ownership, or a change in the composition of the ownership, of the permittee within 24 hours of the change.</text> </paragraph> <paragraph num="B."> <text>After reviewing the change, the Commission shall make a determination to continue or revoke the permit based on the criteria used in issuing a permit.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §11-210, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.12 adopted as an emergency provision effective August 5, 1992 (19:17 Md. R. 1602)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.13 adopted effective January 18, 1993 (20:1 Md. R. 26)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective December 19, 2016 (43:25 Md. R. 1384)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A amended effective October 11, 1993 (20:20 Md. R. 1569)</annotation> </annotations> </chapter> <chapter num="06" heading="New Racetrack License"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of this chapter is to set forth the procedures to be followed in the application for, and the issuance of, a new racetrack license.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Application Fee."> <paragraph num="A."> <text>An applicant for a new racetrack license shall pay an application fee of $30,000 upon the filing of the application.</text> </paragraph> <paragraph num="B."> <text>Except as provided in Regulation .05F(2) of this chapter, the application fee is nonrefundable.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Application Period."> <paragraph num="A."> <text>When the Commission intends to consider the issuance of a license for a new racetrack, the Commission shall advertise in the Maryland Register an application period, not to exceed 60 days, during which the Commission shall accept application documents.</text> </paragraph> <paragraph num="B."> <text>The Commission shall specify the type, and general geographic area, of the racetrack for which it will consider applications.</text> </paragraph> <paragraph num="C."> <text>The advertisement shall be published at least 30 days before the first day of the application period.</text> </paragraph> <paragraph num="D."> <text>To be timely, the application documents shall be delivered to the Commission not later than 5 p.m. on the last day of the application period.</text> </paragraph> <paragraph num="E."> <text>An application delivered after the deadline may not be accepted and may not be considered by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Document Submission."> <text>Documents required to be submitted to the Commission under this chapter shall consist of an original and ten copies.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Application Procedure."> <paragraph num="A."> <text>The application procedure consists of the following two phases:</text> <paragraph num="(1)"> <text>Phase I, which requires the submittal of the items specified in Regulation .06 of this chapter; and</text> </paragraph> <paragraph num="(2)"> <text>Phase II, which requires the submittal of all of the other information required by this chapter.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Upon the certification of one or more applications as required under Regulation .08 of this chapter, the Commission shall conduct a hearing in accordance with State Government Article, Title 10, Annotated Code of Maryland, to determine which, if any, applicant should be approved to proceed to Phase II.</text> </paragraph> <paragraph num="C."> <text>Opportunity for Local Comment. Before approving an applicant to proceed to Phase II, the Commission shall:</text> <paragraph num="(1)"> <text>Conduct a hearing in the county seat of the county in which the proposed racetrack is to be located to receive and consider comments from local government officials, residents, and businesses; and</text> </paragraph> <paragraph num="(2)"> <text>At least 15 days before the hearing:</text> <paragraph num="(a)"> <text>Advertise the date, time, and location of the hearing in a publication serving the area in which the proposed racetrack facility is to be located, and</text> </paragraph> <paragraph num="(b)"> <text>Notify the executive and legislative branches of the county and local governments for the jurisdiction within which the proposed racetrack facility is to be located of the date, time, and location of the hearing.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Prepared Testimony.</text> <paragraph num="(1)"> <text>An applicant who wishes to present written testimony at a hearing on the application shall file with the Commission an original and nine copies of the written testimony and all attachments not later than 21 days before the date set for the hearing or on a date ordered by the Commission.</text> </paragraph> <paragraph num="(2)"> <text>The applicant's written testimony is required to be submitted in printed or typewritten form on 8 1/2 by 11 inch paper.</text> </paragraph> <paragraph num="(3)"> <text>If an expert witness is to appear and testify on behalf of the applicant, the applicant shall, not later than 21 days before the date set for the hearing or on a date ordered by the Commission:</text> <paragraph num="(a)"> <text>Supply the written testimony of the witness; and</text> </paragraph> <paragraph num="(b)"> <text>Attach to the written testimony of the expert witness:</text> <paragraph num="(i)"> <text>A brief description of the witness, and</text> </paragraph> <paragraph num="(ii)"> <text>The portions of the application that the witness is identifying or sponsoring.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Commission. In determining whether to grant or deny approval to proceed to Phase II, the Commission shall consider the following factors:</text> <paragraph num="(1)"> <text>The applicant's financial stability;</text> </paragraph> <paragraph num="(2)"> <text>The financial viability of the proposed racetrack;</text> </paragraph> <paragraph num="(3)"> <text>The location of the proposed racetrack;</text> </paragraph> <paragraph num="(4)"> <text>Facilities for patrons and individual licensees;</text> </paragraph> <paragraph num="(5)"> <text>Facilities for horses;</text> </paragraph> <paragraph num="(6)"> <text>The potentials for conflict with other licensed race meetings;</text> </paragraph> <paragraph num="(7)"> <text>The anticipated effect of the race meeting on the breeding industry in the State;</text> </paragraph> <paragraph num="(8)"> <text>The anticipated effect of the race meeting on the State and local economy from tourism, increased employment, and other sources; and</text> </paragraph> <paragraph num="(9)"> <text>If the granting of a license is in the best interests of racing in the State.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If the Commission:</text> <paragraph num="(1)"> <text>Approves an applicant to proceed to Phase II, the approved applicant shall submit the remaining information required by this chapter within 6 months of the approval; or</text> </paragraph> <paragraph num="(2)"> <text>Does not approve an applicant to proceed to Phase II, the Commission may refund that portion of the application fee it determines was not expended on administrative, investigative, and hearing costs.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Upon the submittal of all the information required in Phase II, the Commission shall:</text> <paragraph num="(1)"> <text>Review the materials submitted; and</text> </paragraph> <paragraph num="(2)"> <text>Conduct a hearing to determine if a new racetrack license should be granted to the applicant.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Phase I Documents and Information."> <text>The following documents and information, sworn before a notary public as to the truth and validity by the applicant or, if the applicant is not an individual, by the chief executive officer of the applicant, shall be submitted to the Commission in Phase I:</text> <paragraph num="A."> <text>A completed application form obtained from the Commission which shall provide for:</text> <paragraph num="(1)"> <text>The name of the applicant;</text> </paragraph> <paragraph num="(2)"> <text>The address of the principal office of the applicant in Maryland;</text> </paragraph> <paragraph num="(3)"> <text>The exact location of the proposed racetrack;</text> </paragraph> <paragraph num="(4)"> <text>A detailed description of the proposed racetrack and racetrack facilities;</text> </paragraph> <paragraph num="(5)"> <text>Operational plans, including the:</text> <paragraph num="(a)"> <text>Type of racing,</text> </paragraph> <paragraph num="(b)"> <text>Number of days of live racing,</text> </paragraph> <paragraph num="(c)"> <text>Number of races per day, and</text> </paragraph> <paragraph num="(d)"> <text>Number of days of simulcast racing; and</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>A projected satellite simulcast betting network;</text> </paragraph> </paragraph> <paragraph num="B."> <text>The information required under:</text> <paragraph num="(1)"> <text>Regulations .10—.12 of this chapter regarding personal and financial background;</text> </paragraph> <paragraph num="(2)"> <text>Regulations .13—.18 0f this chapter regarding ownership; and</text> </paragraph> <paragraph num="(3)"> <text>Regulations .29—.34 of this chapter regarding financial matters, including audited financial statements;</text> </paragraph> </paragraph> <paragraph num="C."> <text>A time schedule estimating when each of the following tasks will begin and end following an approval by the Commission to proceed to Phase II:</text> <paragraph num="(1)"> <text>Acquiring land;</text> </paragraph> <paragraph num="(2)"> <text>Soliciting bids;</text> </paragraph> <paragraph num="(3)"> <text>Awarding construction contracts;</text> </paragraph> <paragraph num="(4)"> <text>Construction;</text> </paragraph> <paragraph num="(5)"> <text>Hiring management personnel;</text> </paragraph> <paragraph num="(6)"> <text>Staffing and implementing a marketing plan;</text> </paragraph> <paragraph num="(7)"> <text>Training staff; and</text> </paragraph> <paragraph num="(8)"> <text>Obtaining all necessary local use permits from governmental authorities including zoning and liquor sales;</text> </paragraph> </paragraph> <paragraph num="D."> <text>The applicant's business structure, including an organizational chart;</text> </paragraph> <paragraph num="E."> <text>A statement that the applicant accepts the risk of adverse publicity, embarrassment, criticism, or other circumstance, including financial loss, that may result from action by the Commission regarding the application;</text> </paragraph> <paragraph num="F."> <text>An express and irrevocable waiver of claims against the Commission, its members and employees, and the State of Maryland from each individual who provides information under Regulation .10 of this chapter for any damages that may result from actions, errors, or omissions by the Commission regarding the application;</text> </paragraph> <paragraph num="G."> <text>A list containing the name, type of service rendered or expected to be rendered, and costs incurred to date and any additional projected costs of all paid consultants, including, but not limited to, veterinary, racetrack design or maintenance, management, marketing, legal, or legislative services:</text> <paragraph num="(1)"> <text>Used by the applicant during the 3-year period preceding the date the application was filed; and</text> </paragraph> <paragraph num="(2)"> <text>Expected to be used by the applicant to prepare for a hearing on the application and to prepare the racetrack for racing; and</text> </paragraph> </paragraph> <paragraph num="H."> <text>The name, address, and telephone number of the individual designated by the applicant as the primary contact person for the Commission during the application process.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Format."> <paragraph num="A."> <text>The application documents shall be in printed or typewritten form on 81/2 by 11 inch paper.</text> </paragraph> <paragraph num="B."> <text>Architectural drawings shall be submitted on 11 by 17 inch paper, folded to 81/2 by 11 inches.</text> </paragraph> <paragraph num="C."> <text>The regulation and section of the regulation that requires the submission of a document shall be noted at the top of each page of the document.</text> </paragraph> <paragraph num="D."> <text>Photographs shall be supplied of any three-dimensional exhibits.</text> </paragraph> <paragraph num="E."> <text>The documents shall be submitted in three-ring binders, consisting of:</text> <paragraph num="(1)"> <text>Three volumes for Phase I as follows:</text> <paragraph num="(a)"> <text>Volume 1: Personal and Background Information,</text> </paragraph> <paragraph num="(b)"> <text>Volume 2: Ownership, and</text> </paragraph> <paragraph num="(c)"> <text>Volume 3: Financial Matters; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Four volumes for Phase II as follows:</text> <paragraph num="(a)"> <text>Volume 4: Executive Summary,</text> </paragraph> <paragraph num="(b)"> <text>Volume 5: Site and Facilities,</text> </paragraph> <paragraph num="(c)"> <text>Volume 6: Operations,</text> </paragraph> <paragraph num="(d)"> <text>Volume 7: Safety and Security.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Each volume listed under §E of this regulation shall be titled and contain a table of contents and dividers to clearly designate the various regulations covered in the volume.</text> </paragraph> <paragraph num="G."> <text>The documents within each volume shall be consecutively paginated.</text> </paragraph> <paragraph num="H."> <text>The Executive Summary shall reference the information submitted in Phases I and II, and shall contain:</text> <paragraph num="(1)"> <text>An index of the entire application;</text> </paragraph> <paragraph num="(2)"> <text>A table submitted on a form supplied by the Commission which contains information regarding the ownership and contributions of each officer, director, partner, or owner with an interest of 2 percent or more in the applicant; and</text> </paragraph> <paragraph num="(3)"> <text>A table submitted on a form supplied by the Commission containing an attendance and wagering summary of information broken down by breed of racing and coordinated with the information submitted in the financial forecasts as required under Regulation .34 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Review of Application for Completeness."> <paragraph num="A."> <text>Not later than the 30th day after the last day of an application period, the Executive Director of the Commission shall review each application submitted to determine whether the application contains all the information required under Regulation .06 of this chapter.</text> </paragraph> <paragraph num="B."> <text>If the Executive Director determines that the required information has not been submitted, the Executive Director shall notify the applicant in writing and state the nature of the deficiency.</text> </paragraph> <paragraph num="C."> <text>An applicant notified in accordance with §B of this regulation may submit the documents necessary to complete the application not later than 15 days after notification.</text> </paragraph> <paragraph num="D."> <text>An applicant who is notified in accordance with §B of this regulation and who fails to submit the requested documents in a timely manner may not be certified by the Executive Director, and the Commission may not consider the application.</text> </paragraph> <paragraph num="E."> <text>When the Executive Director determines that an application contains all of the required information, the Executive Director shall:</text> <paragraph num="(1)"> <text>Certify in writing that the application is received by the Commission; and</text> </paragraph> <paragraph num="(2)"> <text>Deliver a copy of the certification to the applicant.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Changes in Application."> <paragraph num="A."> <text>If information submitted by an applicant as part of a racetrack application changes or becomes inaccurate before the Commission acts on the application, the applicant shall immediately notify the Executive Director in writing of the change or inaccuracy.</text> </paragraph> <paragraph num="B."> <text>After a racetrack application has been filed by an applicant, the applicant may not amend the application except:</text> <paragraph num="(1)"> <text>To address a deficiency in accordance with a notice sent under Regulation .08 of this chapter;</text> </paragraph> <paragraph num="(2)"> <text>As required by the Commission or the Commission staff for clarification of information contained in the application; or</text> </paragraph> <paragraph num="(3)"> <text>To address a change in the circumstances surrounding the application that was outside the control of the applicant and that affects the ability of the applicant to comply with the law or the regulations of the Commission.</text> </paragraph> </paragraph> <paragraph num="C."> <text>To amend an application under §B(3) of this regulation, an applicant shall file with the Executive Director a written request to amend the application, stating:</text> <paragraph num="(1)"> <text>The change in the circumstances surrounding the application that necessitates the amendment;</text> </paragraph> <paragraph num="(2)"> <text>The nature of the amendment; and</text> </paragraph> <paragraph num="(3)"> <text>The reason why the amendment is necessary to bring the application into compliance with the law or the regulations of the Commission.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An applicant filing a request under §C of this regulation shall serve a copy of the request on any other applicant.</text> </paragraph> <paragraph num="E."> <text>The Commission shall grant or deny each request filed under §C of this regulation.</text> </paragraph> <paragraph num="F."> <text>A request shall be granted if the applicant demonstrates that:</text> <paragraph num="(1)"> <text>The circumstances requiring the amendment were outside the control of the applicant;</text> </paragraph> <paragraph num="(2)"> <text>Before the change in the circumstances surrounding the application, the application complied with the pertinent provisions of the law or the regulations of the Commission;</text> </paragraph> <paragraph num="(3)"> <text>The amendment is necessary to bring the application into compliance with the pertinent provisions of the law or the regulations of the Commission; and</text> </paragraph> <paragraph num="(4)"> <text>The amendment does not unfairly surprise another applicant.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Personal and Background Information."> <paragraph num="A."> <text>Except as otherwise provided by this regulation, the application documents shall include the information under §B of this regulation, for an individual who is:</text> <paragraph num="(1)"> <text>The applicant;</text> </paragraph> <paragraph num="(2)"> <text>A director, officer, or key management individual with the applicant;</text> </paragraph> <paragraph num="(3)"> <text>A partner of the applicant; or</text> </paragraph> <paragraph num="(4)"> <text>An owner of an interest in the applicant of 2 percent or more.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An individual listed under §A of this regulation shall furnish the following:</text> <paragraph num="(1)"> <text>Full name and any previous names or aliases;</text> </paragraph> <paragraph num="(2)"> <text>Date of birth;</text> </paragraph> <paragraph num="(3)"> <text>Physical description;</text> </paragraph> <paragraph num="(4)"> <text>Home and business addresses and telephone numbers;</text> </paragraph> <paragraph num="(5)"> <text>Driver's license number and state of issuance;</text> </paragraph> <paragraph num="(6)"> <text>Social Security number; and</text> </paragraph> <paragraph num="(7)"> <text>Passport or I.D. photo.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If the applicant is a corporation, the application documents shall state the:</text> <paragraph num="(1)"> <text>State in which the applicant is incorporated; and</text> </paragraph> <paragraph num="(2)"> <text>Name and address of the applicant's agent for service of process in Maryland.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If an applicant is a nonprofit corporation, only an individual who is a director or officer of the applicant shall provide the information required under §B of this regulation.</text> </paragraph> <paragraph num="E."> <text>Inadvertent, nonsubstantive errors that might be made in furnishing the information required by this regulation may not be used as a reason by the Commission for disqualifying the applicant.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Information for Background Investigation."> <paragraph num="A."> <text>An individual required to provide information under Regulation .10 of this chapter shall also submit a set of the individual's fingerprints and complete a background form supplied by the Commission which includes a statement disclosing whether the individual has ever been:</text> <paragraph num="(1)"> <text>Arrested;</text> </paragraph> <paragraph num="(2)"> <text>Convicted of, pled nolo contendere to, or received probation before judgement for, a felony or misdemeanor, other than a misdemeanor traffic offense;</text> </paragraph> <paragraph num="(3)"> <text>Sanctioned by a government agency related to horse racing;</text> </paragraph> <paragraph num="(4)"> <text>Found liable in connection with a civil action related to horse racing;</text> </paragraph> <paragraph num="(5)"> <text>A debtor in a bankruptcy proceeding; or</text> </paragraph> <paragraph num="(6)"> <text>Denied a bond.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The forms submitted in compliance with this regulation shall be submitted under separate cover labeled “Background Investigation Forms—Confidential” and include the fingerprint cards required by this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Consent for Investigation."> <text>An individual required to provide personal and background information under Regulation .10 of this chapter shall provide a statement that irrevocably gives consent to the Commission and persons authorized by the Commission to:</text> <paragraph num="A."> <text>Verify all information provided in the application documents; and</text> </paragraph> <paragraph num="B."> <text>Conduct a background investigation of the individual.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Organizational Documents."> <paragraph num="A."> <text>If the applicant is a corporation, the application documents shall include a:</text> <paragraph num="(1)"> <text>Statement of when the corporation was organized;</text> </paragraph> <paragraph num="(2)"> <text>Copy of the articles of incorporation and bylaws of the corporation;</text> </paragraph> <paragraph num="(3)"> <text>Statement and documentation of whether the corporation has been reorganized or reincorporated during the 5-year period preceding the date on which the application documents are submitted to the Commission; and</text> </paragraph> <paragraph num="(4)"> <text>Statement and documentation of whether the corporation has filed restated articles of incorporation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If the applicant is an unincorporated business association, the application documents shall include a:</text> <paragraph num="(1)"> <text>Copy of each organizational document of the applicant, including any partnership agreement; and</text> </paragraph> <paragraph num="(2)"> <text>Description of any oral agreements involving the organization of the applicant.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Owners."> <paragraph num="A."> <text>If the applicant is an unincorporated business association, the application documents shall identify:</text> <paragraph num="(1)"> <text>Each person who exercises voting rights in the applicant; and</text> </paragraph> <paragraph num="(2)"> <text>Each person who directly or indirectly owns 2 percent or more of the business association.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If the applicant is authorized to issue capital stock, the applicant shall state, for each class of stock authorized, the:</text> <paragraph num="(1)"> <text>Total number of shares;</text> </paragraph> <paragraph num="(2)"> <text>Par value, if any;</text> </paragraph> <paragraph num="(3)"> <text>Voting rights;</text> </paragraph> <paragraph num="(4)"> <text>Current rate of dividend; and</text> </paragraph> <paragraph num="(5)"> <text>Number of shares outstanding and the market value of each share.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If the applicant is a corporation, the application documents shall identify each person who:</text> <paragraph num="(1)"> <text>Exercises voting rights in the corporation; and</text> </paragraph> <paragraph num="(2)"> <text>Directly or indirectly owns 2 percent or more of the corporation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The application documents shall include a certified copy of each voting trust or voting agreement in which capital stock of the applicant is held and shall state the:</text> <paragraph num="(1)"> <text>Name and address of each stockholder participating in the trust or agreement;</text> </paragraph> <paragraph num="(2)"> <text>Class of stock involved; and</text> </paragraph> <paragraph num="(3)"> <text>Total number of shares held by the trust or agreement.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The application documents shall describe the terms of any proxy by which any capital stock may be voted and shall state the:</text> <paragraph num="(1)"> <text>Name and address of the person holding the proxy;</text> </paragraph> <paragraph num="(2)"> <text>Name and address of the stockholder who granted the proxy;</text> </paragraph> <paragraph num="(3)"> <text>Class of stock for which the proxy may vote; and</text> </paragraph> <paragraph num="(4)"> <text>Total number of shares voted by the proxy.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The application documents shall state any provisions, and the procedures by which these provisions may be modified, for the redemption, repurchase, retirement, conversion, or exchange of an ownership interest.</text> </paragraph> <paragraph num="G."> <text>The application documents shall state whether the applicant's stock may be traded through options and whether the corporation or a stockholder has executed an agreement or contract to convey any of the corporation's or the stockholder's stock at a future date.</text> </paragraph> <paragraph num="H."> <text>The application documents shall include a copy or a description of each agreement or contract disclosed under §G of this regulation.</text> </paragraph> <paragraph num="I."> <text>The application documents shall include a copy of each prospectus, pro forma, or other promotional material given to potential investors about the proposed racetrack.</text> </paragraph> <paragraph num="J."> <text>The application documents shall provide full disclosure for any stock options that may exist or have been granted.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Directors, Officers, and Partners."> <paragraph num="A."> <text>If the applicant is not an individual, the application documents shall include a list of the individuals who are serving, or who are designated to serve, during the first year after the date the application documents are submitted to the Commission, either as a director, officer, partner, or an individual having key management responsibility.</text> </paragraph> <paragraph num="B."> <text>For each individual listed under §A of this regulation, the applicant shall provide:</text> <paragraph num="(1)"> <text>The individual's name and address;</text> </paragraph> <paragraph num="(2)"> <text>Each position or office of the applicant held by the individual;</text> </paragraph> <paragraph num="(3)"> <text>The individual's principal occupation during the 5-year period preceding the date on which the application documents are submitted to the Commission; and</text> </paragraph> <paragraph num="(4)"> <text>The nature and extent of any ownership interest that the individual has in the applicant.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Controlling Entity."> <text>The application documents shall:</text> <paragraph num="A."> <text>State whether another entity has a beneficial ownership in the applicant, as defined in Business Regulation Article, §11-301, Annotated Code of Maryland;</text> </paragraph> <paragraph num="B."> <text>Describe the:</text> <paragraph num="(1)"> <text>Nature of the beneficial ownership, and</text> </paragraph> <paragraph num="(2)"> <text>Extent of control exercised by the beneficial owner; and</text> </paragraph> </paragraph> <paragraph num="C."> <text>Include information and documents required under Regulations .10 —.15 of this chapter as to each beneficial owner.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Lease of Racetrack by Applicant."> <paragraph num="A."> <text>If an applicant for a license to operate a new racetrack intends to lease the racetrack facility from another person, the application documents shall include the information required by Regulation .10 of this chapter as it pertains to the lessor.</text> </paragraph> <paragraph num="B."> <text>The application documents shall include a copy of the lease agreement and every other agreement or contract between the lessor and lessee.</text> </paragraph> <paragraph num="C."> <text>The Commission may not grant a license to a person applying under this chapter if the Commission determines that the:</text> <paragraph num="(1)"> <text>Lessor would not be qualified to be issued a license; or</text> </paragraph> <paragraph num="(2)"> <text>Lease is a subterfuge to avoid compliance with one or more provisions of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Outside Interests."> <paragraph num="A."> <text>The application documents shall state whether the applicant, a director, officer, or partner of the applicant, or an owner of an interest in the applicant of 2 percent or more:</text> <paragraph num="(1)"> <text>Has ever held an ownership interest in a licensee of the Commission; or</text> </paragraph> <paragraph num="(2)"> <text>Is currently engaged in the business of racing in another state and the nature and extent of that involvement.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The applicant shall describe the nature of participation stated under §A of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Location of Racetrack."> <text>The application documents shall include:</text> <paragraph num="A."> <text>The name of the county and, if applicable, the municipality in which the racetrack is to be located;</text> </paragraph> <paragraph num="B."> <text>The legal description of the racetrack site;</text> </paragraph> <paragraph num="C."> <text>The name and address of each person who has held title to the real property during the 5-year period preceding the date on which the application documents are filed;</text> </paragraph> <paragraph num="D."> <text>The name and address of each person who holds a mortgage or other security interest in the real property;</text> </paragraph> <paragraph num="E."> <text>An unconditional commitment by the owner of the real property for a title insurance policy;</text> </paragraph> <paragraph num="F."> <text>An aerial photograph of the racetrack site;</text> </paragraph> <paragraph num="G."> <text>A photograph of the site from each roadway adjacent to the site; and</text> </paragraph> <paragraph num="H."> <text>A description of the current commercial and industrial uses for all property within a 1-mile area around the racetrack site.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Zoning and Government Improvements."> <paragraph num="A."> <text>The application documents shall:</text> <paragraph num="(1)"> <text>Describe the applicable zoning designation for the racetrack site;</text> </paragraph> <paragraph num="(2)"> <text>List any local zoning or special use permits, including liquor sales permits, that the applicant must obtain for the racetrack site;</text> </paragraph> <paragraph num="(3)"> <text>Describe, for the permits listed under §A(2) of this regulation:</text> <paragraph num="(a)"> <text>The procedure by which the applicant shall obtain the permits,</text> </paragraph> <paragraph num="(b)"> <text>Conditions, if any, likely to be placed on the permits, and</text> </paragraph> <paragraph num="(c)"> <text>The estimated dates on which the applicant will obtain the permits; and</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>State whether a variance is required for the height of the facilities.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The application documents shall describe the sewer, water, and other utility improvements needed to adequately serve the racetrack site, and shall include:</text> <paragraph num="(1)"> <text>The estimated cost of the improvements;</text> </paragraph> <paragraph num="(2)"> <text>The estimated date of completion;</text> </paragraph> <paragraph num="(3)"> <text>The names of the parties, whether public or private, initiating the improvements;</text> </paragraph> <paragraph num="(4)"> <text>The names of the parties responsible for the costs of the improvements; and</text> </paragraph> <paragraph num="(5)"> <text>If more than one party is responsible for the costs, the proportionate distribution of the costs among the parties.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The application documents shall state the status of roadway improvements needed to ensure adequate access to the racetrack site and shall include:</text> <paragraph num="(1)"> <text>The estimated cost of the improvements;</text> </paragraph> <paragraph num="(2)"> <text>The estimated date of completion;</text> </paragraph> <paragraph num="(3)"> <text>The names of the parties, whether public or private, initiating the improvements;</text> </paragraph> <paragraph num="(4)"> <text>The names of the parties responsible for the costs of the improvements; and</text> </paragraph> <paragraph num="(5)"> <text>If more than one party is responsible for the costs, the proportionate distribution of the costs among the parties.</text> </paragraph> </paragraph> <paragraph num="D."> <text>For the improvements described under §B or C of this regulation, the application documents shall:</text> <paragraph num="(1)"> <text>State whether local government approval is necessary for making the improvements;</text> </paragraph> <paragraph num="(2)"> <text>Include a description of the procedure by which the local government approval is obtained;</text> </paragraph> <paragraph num="(3)"> <text>Indicate all conditions likely to be placed on the local government approval; and</text> </paragraph> <paragraph num="(4)"> <text>Indicate the estimated date on which local government approval will be granted.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Defects."> <text>The application documents shall state whether the racetrack site:</text> <paragraph num="A."> <text>Has any geological or structural defects and include a description of the engineering, design, and construction plans to remedy the defect; and</text> </paragraph> <paragraph num="B."> <text>Is located in a floodplain and include a description of the flood history of the site.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Access and Transportation."> <paragraph num="A."> <text>The application documents shall include a traffic flow study prepared by a traffic engineer containing a:</text> <paragraph num="(1)"> <text>Statement, in miles, of the distance of the racetrack site from the center of the nearest population center;</text> </paragraph> <paragraph num="(2)"> <text>Description and map of the roadway access to the racetrack site;</text> </paragraph> <paragraph num="(3)"> <text>Photograph of each roadway that will be used to access the site;</text> </paragraph> <paragraph num="(4)"> <text>Description of the transportation facilities that serve the population center; and</text> </paragraph> <paragraph num="(5)"> <text>Description of the transportation facilities that will serve the racetrack site.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The application documents shall state the experience and qualifications of the engineer who prepared the study submitted under this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Architect's Plan."> <paragraph num="A."> <text>The application documents shall include:</text> <paragraph num="(1)"> <text>Layout drawings of the proposed:</text> <paragraph num="(a)"> <text>Racing strip,</text> </paragraph> <paragraph num="(b)"> <text>Facilities and equipment,</text> </paragraph> <paragraph num="(c)"> <text>Facilities for horses and personnel, and</text> </paragraph> <paragraph num="(d)"> <text>Customer facilities; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A description of the experience of the architect who designed the proposed facility including a statement of the number of racetracks the architect has visited and designed.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The drawings required under §A(1) of this regulation shall be:</text> <paragraph num="(1)"> <text>To scale; and</text> </paragraph> <paragraph num="(2)"> <text>In sufficient detail to:</text> <paragraph num="(a)"> <text>Illustrate the facilities and equipment specified, and</text> </paragraph> <paragraph num="(b)"> <text>Show the measurements of all areas including the barns and stalls.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".24" heading="Racetrack Dimensions."> <paragraph num="A."> <text>The application documents shall state the dimensions and specifications of each racetrack to be provided on association grounds, including the:</text> <paragraph num="(1)"> <text>Total length;</text> </paragraph> <paragraph num="(2)"> <text>Width;</text> </paragraph> <paragraph num="(3)"> <text>Banking, with a description of the method of transition into and out of turns;</text> </paragraph> <paragraph num="(4)"> <text>Radius of each turn and the length of each stretch and chute;</text> </paragraph> <paragraph num="(5)"> <text>Type of inside and outside rail;</text> </paragraph> <paragraph num="(6)"> <text>Composition and depth of the base, subsurface, and cushion of the racetrack with a schematic drawing of the racing surface;</text> </paragraph> <paragraph num="(7)"> <text>Drainage system for the racing surface;</text> </paragraph> <paragraph num="(8)"> <text>Location and design of the video towers;</text> </paragraph> <paragraph num="(9)"> <text>Location and method of closing gaps in the rail;</text> </paragraph> <paragraph num="(10)"> <text>Location of lighting for the racetrack;</text> </paragraph> <paragraph num="(11)"> <text>Type of turf for a turf racetrack; and</text> </paragraph> <paragraph num="(12)"> <text>Method by which the track will be winterized.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The application documents shall describe the racing surface maintenance plan and the maintenance equipment, including equipment to water the racetrack.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".25" heading="Public Areas."> <paragraph num="A."> <text>The application documents shall state the specifications for areas of the racetrack facility to which the public will have access and include a description of the configuration and location of the:</text> <paragraph num="(1)"> <text>Grandstand;</text> </paragraph> <paragraph num="(2)"> <text>Total number of seats, designating the indoor and outdoor seats and the reserved and nonreserved seats;</text> </paragraph> <paragraph num="(3)"> <text>Television monitors available for viewing by patrons;</text> </paragraph> <paragraph num="(4)"> <text>Pari-mutuel facility;</text> </paragraph> <paragraph num="(5)"> <text>Concession areas;</text> </paragraph> <paragraph num="(6)"> <text>Restrooms;</text> </paragraph> <paragraph num="(7)"> <text>Drinking fountains;</text> </paragraph> <paragraph num="(8)"> <text>Special clubs or other facilities for certain patrons;</text> </paragraph> <paragraph num="(9)"> <text>Turnstiles or the method for counting patrons; and</text> </paragraph> <paragraph num="(10)"> <text>Fencing around the grandstand.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The application documents shall describe the applicant's plans for maintaining and cleaning the public areas of the racetrack facility.</text> </paragraph> <paragraph num="C."> <text>The application documents shall describe the patterns for pedestrian traffic in and around the racetrack facility and the provisions for disabled patrons.</text> </paragraph> <paragraph num="D."> <text>The application documents shall state the maximum capacity of the facilities, and include the area in square feet of the grandstand.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".26" heading="Parking Facilities."> <text>The application documents shall state the specifications for parking facilities for the racetrack, including a description of the:</text> <paragraph num="A."> <text>Access to the parking facilities from each roadway adjacent to the racetrack site;</text> </paragraph> <paragraph num="B."> <text>Location and number of spaces for each type of parking available, including public, Commission employee, individual licensee, and handicapped parking;</text> </paragraph> <paragraph num="C."> <text>Road surface to be used in the parking facilities; and</text> </paragraph> <paragraph num="D."> <text>Distance between the parking facilities and the grandstand.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".27" heading="Facilities for Horses and Personnel."> <paragraph num="A."> <text>The application documents shall describe the:</text> <paragraph num="(1)"> <text>Facilities for stabling horses;</text> </paragraph> <paragraph num="(2)"> <text>Facilities for obtaining specimens for testing horses and humans for drugs;</text> </paragraph> <paragraph num="(3)"> <text>Prerace holding area and paddock;</text> </paragraph> <paragraph num="(4)"> <text>Facilities for owners, trainers, and other racetrack personnel;</text> </paragraph> <paragraph num="(5)"> <text>Facilities for a racetrack chaplain;</text> </paragraph> <paragraph num="(6)"> <text>Lounge area, educational facilities, and other recreational facilities for racetrack personnel;</text> </paragraph> <paragraph num="(7)"> <text>Facilities for jockeys and drivers;</text> </paragraph> <paragraph num="(8)"> <text>Stand for the racing judges or stewards and the work areas for representatives of the Commission;</text> </paragraph> <paragraph num="(9)"> <text>Size and composition of the planned path for horses from the stable area to the prerace holding area, paddock, racetrack, and test barn;</text> </paragraph> <paragraph num="(10)"> <text>Areas and equipment in and around the stable area where horses may be cooled out or leisurely exercised, such as gallops, grass paddocks, pastures, wood chip trails, or electric walkers;</text> </paragraph> <paragraph num="(11)"> <text>Equine and human ambulances and the location of a covered area for the equine and human ambulances; and</text> </paragraph> <paragraph num="(12)"> <text>Child care facilities for the patrons or the licensees, if provided.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The application documents shall describe the applicant's plans for maintaining and cleaning the facilities for horses and employees.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".28" heading="Utilities and Easements."> <paragraph num="A."> <text>The application documents shall describe the location of utilities throughout the racetrack site, including:</text> <paragraph num="(1)"> <text>Whether electrical service is overhead or underground;</text> </paragraph> <paragraph num="(2)"> <text>The location, depth, and size of water and sewer lines; and</text> </paragraph> <paragraph num="(3)"> <text>Availability of a backup generator or other source of energy.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The application documents shall state the name of each owner of an easement across the racetrack site and describe the nature of the easement.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".29" heading="Fiscal Information."> <paragraph num="A."> <text>The application documents shall include audited financial statements of the applicant for each of the 3 fiscal years preceding the date the application documents are submitted, including a:</text> <paragraph num="(1)"> <text>Balance sheet; and</text> </paragraph> <paragraph num="(2)"> <text>Profit and loss statement.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If the applicant has been organized for less than 3 years, the application documents shall include audited financial statements for each fiscal year that the applicant has been organized.</text> </paragraph> <paragraph num="C."> <text>Information submitted under this regulation shall be prepared by an independent certified public accountant in accordance with generally accepted accounting principles.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".30" heading="Loans."> <paragraph num="A."> <text>The application documents shall state each loan made by the applicant in an amount that exceeds 1 percent of the applicant's net income for the year in which the loan was made.</text> </paragraph> <paragraph num="B."> <text>The disclosure for each loan listed under §A of this regulation shall include:</text> <paragraph num="(1)"> <text>The name and address of the borrower;</text> </paragraph> <paragraph num="(2)"> <text>The amount of the loan;</text> </paragraph> <paragraph num="(3)"> <text>The terms of the loan; and</text> </paragraph> <paragraph num="(4)"> <text>A copy of each document executed with respect to the loan.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".31" heading="Debt."> <paragraph num="A."> <text>The application documents shall describe any lien that encumbers 1 percent or more of the applicant's assets or 1 percent or more of the assets of a person with an ownership interest in the applicant of 25 percent or more.</text> </paragraph> <paragraph num="B."> <text>The disclosure for each lien listed under §A of this document shall include:</text> <paragraph num="(1)"> <text>The name and address of the lender or secured party;</text> </paragraph> <paragraph num="(2)"> <text>The amount of the indebtedness;</text> </paragraph> <paragraph num="(3)"> <text>The terms of the lien; and</text> </paragraph> <paragraph num="(4)"> <text>A copy of each document executed with respect to the lien.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".32" heading="Budgets."> <paragraph num="A."> <text>The application documents shall describe the costs of construction or improvement of the racetrack facilities.</text> </paragraph> <paragraph num="B."> <text>The disclosure required under §A of this regulation shall state whether each item is a fixed cost or a projection, and shall include the costs of:</text> <paragraph num="(1)"> <text>Architectural and engineering services;</text> </paragraph> <paragraph num="(2)"> <text>Land acquisition;</text> </paragraph> <paragraph num="(3)"> <text>Site development;</text> </paragraph> <paragraph num="(4)"> <text>Facility construction;</text> </paragraph> <paragraph num="(5)"> <text>Equipment acquisition;</text> </paragraph> <paragraph num="(6)"> <text>Capitalized interest;</text> </paragraph> <paragraph num="(7)"> <text>Loan placement fees and other guarantee fees;</text> </paragraph> <paragraph num="(8)"> <text>Any other financing costs relating to construction;</text> </paragraph> <paragraph num="(9)"> <text>Administrative services relating to construction;</text> </paragraph> <paragraph num="(10)"> <text>Legal services relating to construction; and</text> </paragraph> <paragraph num="(11)"> <text>Other areas relating to construction, providing details of any costs exceeding 5 percent of the total cost of construction.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The application documents shall describe the costs of operating the facility and the association before the first day of racing, including the costs of:</text> <paragraph num="(1)"> <text>Promotion and advertising;</text> </paragraph> <paragraph num="(2)"> <text>Application development;</text> </paragraph> <paragraph num="(3)"> <text>Application fees;</text> </paragraph> <paragraph num="(4)"> <text>Licensing fees;</text> </paragraph> <paragraph num="(5)"> <text>Management, administrative, and other salaries;</text> </paragraph> <paragraph num="(6)"> <text>Interest and other financing costs not related to construction; and</text> </paragraph> <paragraph num="(7)"> <text>Other areas relating to operations, providing details of any costs exceeding 5 percent of the total costs.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".33" heading="Funding."> <paragraph num="A."> <text>The application documents shall state the source of funds for the construction or operation of the racetrack.</text> </paragraph> <paragraph num="B."> <text>If a source of funds listed under §A of this regulation is an equity contribution, the applicant shall disclose the:</text> <paragraph num="(1)"> <text>Amount of contribution;</text> </paragraph> <paragraph num="(2)"> <text>Terms of any commitment from that source; and</text> </paragraph> <paragraph num="(3)"> <text>If the contribution is other than cash or cash equivalent, the basis for valuing the noncash contribution.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If a source of funds listed under §A of this regulation is a debt contribution, the applicant shall disclose the:</text> <paragraph num="(1)"> <text>Amount of contribution;</text> </paragraph> <paragraph num="(2)"> <text>Terms of any commitment from that source; and</text> </paragraph> <paragraph num="(3)"> <text>If the contribution is other than cash or cash equivalent, the basis for valuing the noncash contribution.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The application documents shall include documents from which the Commission can conclude that financing for the racetrack is reasonably assured, such as a letter of commitment, and that the financing is conditioned only on conditions normal and customary to a sophisticated financing, such as acquisition of zoning variances, building permits, and other government approval.</text> </paragraph> <paragraph num="E."> <text>The application documents shall describe alternate sources of funds for unexpected occurrences, such as cost overruns, nonreceipt of equity or debt funds, or overestimated revenues.</text> </paragraph> <paragraph num="F."> <text>The application documents shall state the amount of working capital the applicant intends to have available for the first 6 weeks of racetrack operations, including funds for the payment of expenses for officials, drug testing, and purses.</text> </paragraph> <paragraph num="G."> <text>Together with the funding disclosures under this regulation, the application documents shall show proof of the financial ability of the applicant to complete the project.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".34" heading="Financial Forecasts."> <paragraph num="A."> <text>Based upon the experiences of one or more operating racetracks, the application documents shall include a financial forecast regarding the operation of the proposed racetrack and pari-mutuel wagering for each of the first 5 years after a license is granted and operations are started.</text> </paragraph> <paragraph num="B."> <text>The financial forecasts required under §A of this regulation shall include:</text> <paragraph num="(1)"> <text>Forecasts of revenues, expenses, changes in capital accounts, and cash flows;</text> </paragraph> <paragraph num="(2)"> <text>A projected balance sheet incorporating the financial forecast for each year for which a financial forecast is made stating the assets, liabilities, and amount of capital of the applicant, based on certain variables including:</text> <paragraph num="(a)"> <text>Average daily attendance,</text> </paragraph> <paragraph num="(b)"> <text>Average daily handle,</text> </paragraph> <paragraph num="(c)"> <text>Average per capita wager,</text> </paragraph> <paragraph num="(d)"> <text>Average number of admissions, including ticket price and free admission,</text> </paragraph> <paragraph num="(e)"> <text>The shares for the State and the association from the pari-mutuel handle,</text> </paragraph> <paragraph num="(f)"> <text>Minimum purse schedule,</text> </paragraph> <paragraph num="(g)"> <text>Payroll,</text> </paragraph> <paragraph num="(h)"> <text>Taxes,</text> </paragraph> <paragraph num="(i)"> <text>Cost of interest,</text> </paragraph> <paragraph num="(j)"> <text>Cost of insurance, legal, and accounting services,</text> </paragraph> <paragraph num="(k)"> <text>Cost of operating supplies and services,</text> </paragraph> <paragraph num="(l)"> <text>Cost of maintenance and repairs,</text> </paragraph> <paragraph num="(m)"> <text>Cost of totalisator services and pari-mutuel operations,</text> </paragraph> <paragraph num="(n)"> <text>Advertising and promotion expenses,</text> </paragraph> <paragraph num="(o)"> <text>Travel expenses, and</text> </paragraph> <paragraph num="(p)"> <text>Equipment depreciation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>The financial forecasts required under this regulation shall be prepared by a certified public accountant and follow a format supplied by the Commission.</text> </paragraph> <paragraph num="D."> <text>The financial forecasts shall include a report on the forecasts prepared by an independent certified public accountant and both shall be in accordance with the Guide for Prospective Financial Statements, published by the Financial Forecasts and Projections Task Force of the American Institute of Certified Public Accountants.</text> </paragraph> <paragraph num="E."> <text>The application documents shall state the qualifications and background of the accountant who prepared the report submitted under this regulation.</text> </paragraph> <paragraph num="F."> <text>The application documents shall describe the criteria that were used to select the comparable racetracks for purposes of determining the information supplied under §B(2) of this regulation.</text> </paragraph> <paragraph num="G."> <text>The application documents shall include a projection of break-even operations prepared on the basis of cash flow from operations after debt service.</text> </paragraph> <paragraph num="H."> <text>The projections required under §G of this regulation shall be prepared using the same number of race days, simulcast only days, per capita handle, and other assumptions used in the financial forecasts and shall express the break-even point in terms of attendance per race day and simulcast only day.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".35" heading="Race Meetings."> <paragraph num="A."> <text>The application documents shall describe the type of race meetings the applicant plans to conduct each year, including the number of:</text> <paragraph num="(1)"> <text>Live race meetings and the number of live race days per week; and</text> </paragraph> <paragraph num="(2)"> <text>Simulcast race meetings and the number of simulcast race days per week.</text> </paragraph> </paragraph> <paragraph num="B."> <text>For each race meeting described under §A of this regulation, the documents shall indicate the time of day the races will be conducted, and the approximate number of races per breed to be offered.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".36" heading="Management."> <paragraph num="A."> <text>The application documents shall include a list of the individuals who will be responsible for the operation of the racetrack.</text> </paragraph> <paragraph num="B."> <text>For each individual listed under §A of this regulation, the documents shall:</text> <paragraph num="(1)"> <text>Include a set of the individual's fingerprints;</text> </paragraph> <paragraph num="(2)"> <text>Include the information required of an individual under Regulations .10—.12 of this chapter; and</text> </paragraph> <paragraph num="(3)"> <text>State the individual's experience and qualifications in:</text> <paragraph num="(a)"> <text>The racing industry, including pari-mutuel operations,</text> </paragraph> <paragraph num="(b)"> <text>General business,</text> </paragraph> <paragraph num="(c)"> <text>Finance and accounting, and</text> </paragraph> <paragraph num="(d)"> <text>Security.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>The application documents shall include a copy of any written employment contract or state the terms of any oral employment agreement regarding employees of the racetrack.</text> </paragraph> <paragraph num="D."> <text>The documents required under §C of this regulation shall fully describe all benefit packages and incentives paid to an employee of the racetrack.</text> </paragraph> <paragraph num="E."> <text>The application documents shall include an organizational chart of the management personnel and the job description, compensation, proposed percentage ownership, and qualifications for each position.</text> </paragraph> <paragraph num="F."> <text>For each individual who has been hired to fill a key management position, the documents shall include a resume and state the total number of years experience the individual has in:</text> <paragraph num="(1)"> <text>Pari-mutuel racing;</text> </paragraph> <paragraph num="(2)"> <text>Non-pari-mutuel racing; and</text> </paragraph> <paragraph num="(3)"> <text>Other businesses relevant to the management position.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The application documents shall describe any training program for management personnel required or provided by the applicant.</text> </paragraph> <paragraph num="H."> <text>If the applicant intends to contract with a person or management company to manage the racetrack, the application documents shall include:</text> <paragraph num="(1)"> <text>A copy of the written contract;</text> </paragraph> <paragraph num="(2)"> <text>A description of the person or company's previous experience operating a pari-mutuel racetrack; and</text> </paragraph> <paragraph num="(3)"> <text>All the information required by this regulation as it pertains to the person or company and its employees.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The application documents shall describe the applicant's plans to include small businesses and minority-owned businesses in its construction and operations.</text> </paragraph> <paragraph num="J."> <text>The documents shall include a statement of the applicant's affirmative action plan.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".37" heading="Concessions."> <paragraph num="A."> <text>The application documents shall describe the applicant's plan for concessions, including food, beverages, and promotional products.</text> </paragraph> <paragraph num="B."> <text>If the applicant intends to contract with a person or a concessions company to provide the concessions, the application documents shall include:</text> <paragraph num="(1)"> <text>A copy of the written contract; and</text> </paragraph> <paragraph num="(2)"> <text>All the information required by Regulation .36 of this chapter as it pertains to the concessions company and its management personnel.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".38" heading="Pari-Mutuel Operations."> <text>The application documents shall describe the applicant's pari-mutuel facilities and operations, including a description of the totalisator equipment proposed to be used.</text> </regulation> <regulation prefix="Regulation" num=".39" heading="Operations Contracts."> <paragraph num="A."> <text>If an association submits a written contract under Regulation .36, .37 or .38 of this chapter, the application documents shall include, for each party to the contract:</text> <paragraph num="(1)"> <text>Audited financial statements and an auditor's report; or</text> </paragraph> <paragraph num="(2)"> <text>Unaudited financial statements and a report by an independent certified public accountant.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The application documents shall include a financial statement required by this regulation for each of the 3 years preceding the date the application documents are submitted.</text> </paragraph> <paragraph num="C."> <text>The application documents shall state the qualifications and background of the auditor or accountant who prepared the report submitted under this regulation.</text> </paragraph> <paragraph num="D."> <text>The Commission shall review each contract submitted under this regulation in executive session, with these documents deemed to be “Confidential Financial Information”.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".40" heading="Out-of-State Distributions."> <text>The application documents shall state the amount of money that will be paid by the association, during each of the first 5 years of operation, to entities located outside Maryland as:</text> <paragraph num="A."> <text>Payments of profit or other distributions to investors residing outside Maryland;</text> </paragraph> <paragraph num="B."> <text>Interest on debt with lenders located outside Maryland;</text> </paragraph> <paragraph num="C."> <text>Payment for supplies purchased from, or services rendered by, entities based outside Maryland other than the management company;</text> </paragraph> <paragraph num="D."> <text>Payments to the management company as reimbursement for expenses or as payment for services;</text> </paragraph> <paragraph num="E."> <text>Rent for facilities or equipment owned by entities based outside Maryland; and</text> </paragraph> <paragraph num="F."> <text>Any other payments to out-of-State entities.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".41" heading="Racing Equipment."> <text>The application documents shall describe the equipment to be used in conducting races, including the starting gate, the timing of the races, photo finish, and videotape equipment.</text> </regulation> <regulation prefix="Regulation" num=".42" heading="Purse Structure."> <text>The application documents shall state the percentage of the takeout from the handle that will be allocated to purses.</text> </regulation> <regulation prefix="Regulation" num=".43" heading="First Aid and Safety Monitoring."> <text>The application documents shall:</text> <paragraph num="A."> <text>Describe the first-aid facilities and personnel to be available at the racetrack, including the level of training of the personnel;</text> </paragraph> <paragraph num="B."> <text>State the travel time to the hospital nearest the racetrack and the average response time at that hospital; and</text> </paragraph> <paragraph num="C."> <text>Describe in detail the applicant's plans for monitoring the safety of the racing animals, patrons, and racetrack personnel.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".44" heading="Security Documents."> <text>The application documents shall include plans that provide for the safety and security of the patrons, the racing animals, and the racetrack personnel.</text> </regulation> <regulation prefix="Regulation" num=".45" heading="Local Emergency Services."> <text>The safety and security plans under Regulation .44 of this chapter shall describe the:</text> <paragraph num="A."> <text>Local emergency services available to the racetrack, including fire fighting, law enforcement, and medical emergency services;</text> </paragraph> <paragraph num="B."> <text>Security equipment for the racetrack facilities, such as fences, locks, alarms, and monitoring equipment, including the:</text> <paragraph num="(1)"> <text>Perimeter,</text> </paragraph> <paragraph num="(2)"> <text>Stables,</text> </paragraph> <paragraph num="(3)"> <text>Paddock,</text> </paragraph> <paragraph num="(4)"> <text>Cash room and the vault,</text> </paragraph> <paragraph num="(5)"> <text>Mutuel ticket windows,</text> </paragraph> <paragraph num="(6)"> <text>Tote room,</text> </paragraph> <paragraph num="(7)"> <text>Prerace holding area and test barn, and</text> </paragraph> <paragraph num="(8)"> <text>Parking lot; and</text> </paragraph> </paragraph> <paragraph num="C."> <text>Security procedures to be used to:</text> <paragraph num="(1)"> <text>Admit individuals to restricted areas of the racetrack,</text> </paragraph> <paragraph num="(2)"> <text>Transfer money and mutuel tickets in each phase of pari-mutuel operations, and</text> </paragraph> <paragraph num="(3)"> <text>Expel and exclude an individual from the racetrack.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".46" heading="Security Personnel."> <text>The safety and security plans under Regulation .44 of this chapter shall:</text> <paragraph num="A."> <text>Describe the security personnel at the racetrack;</text> </paragraph> <paragraph num="B."> <text>State whether the personnel will be employed by the association or by an independent contractor;</text> </paragraph> <paragraph num="C."> <text>Describe the organization and qualifications of the contractor, if the personnel are employed by an independent contractor;</text> </paragraph> <paragraph num="D."> <text>State the number of individuals to be employed and the area of the racetrack at which each will serve;</text> </paragraph> <paragraph num="E."> <text>State how many of the security personnel are law enforcement officers;</text> </paragraph> <paragraph num="F."> <text>Provide an organizational chart of the security force with a job description of each level;</text> </paragraph> <paragraph num="G."> <text>State the training requirements for the personnel and describe any training program provided by the association; and</text> </paragraph> <paragraph num="H."> <text>State whether or not the security personnel are bonded and, if so, state the amount and conditions of the bond and the name and address of the surety company that issued the bond.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".47" heading="Fire Safety and Emergency Procedures."> <text>The safety and security plans shall describe:</text> <paragraph num="A."> <text>The fire safety and emergency procedures for the racetrack, including procedures for:</text> <paragraph num="(1)"> <text>Protecting or evacuating the patrons and controlling traffic in an emergency, such as a natural disaster,</text> </paragraph> <paragraph num="(2)"> <text>Inspecting the facilities for fire hazards,</text> </paragraph> <paragraph num="(3)"> <text>Restricting smoking in areas where smoking would create a fire hazard, and</text> </paragraph> <paragraph num="(4)"> <text>Coordinating the efforts of the security personnel and the local emergency services;</text> </paragraph> </paragraph> <paragraph num="B."> <text>How the proposed racetrack is in compliance with National Fire Protection Association standards;</text> </paragraph> <paragraph num="C."> <text>The alternate source of power in the event of a power failure and the length of time the alternate source is capable of providing power;</text> </paragraph> <paragraph num="D."> <text>The facilities for storing fuel for the alternate source of power; and</text> </paragraph> <paragraph num="E."> <text>The locations of fire hydrants on the racetrack site.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".48" heading="Minority Participation."> <text>Any contract between the applicant and another party shall contain a provision for minority participation.</text> </regulation> <regulation prefix="Regulation" num=".49" heading="Reasonable Diligence Required."> <paragraph num="A."> <text>If the Commission determines that an association is failing to exercise reasonable diligence in preparing a new racetrack to begin racing on the date approved by the Commission, the Commission may revoke its approval of the applicant and reopen the application process.</text> </paragraph> <paragraph num="B."> <text>If the Commission takes action against an association under §A of this regulation, that association may not participate in the application process that is reopened.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".50" heading="Hearing."> <paragraph num="A."> <text>Before approving or denying a license, the Commission shall conduct a hearing on the application in accordance with State Government Article, Title 10, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>The burden of proof shall be on the applicant to show that the applicant complies with the regulations of the Commission regarding eligibility and qualifications for a license to operate a racetrack.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".51" heading="Denial of License."> <paragraph num="A."> <text>The Commission may deny a license if the Commission:</text> <paragraph num="(1)"> <text>Does not approve of the information submitted in Phase I or II of the application procedure;</text> </paragraph> <paragraph num="(2)"> <text>Determines that:</text> <paragraph num="(a)"> <text>There has not been compliance with the time schedule submitted by the applicant under Regulation .06 of this chapter;</text> </paragraph> <paragraph num="(b)"> <text>Construction was not completed in accordance with the plans approved by the Commission;</text> </paragraph> <paragraph num="(c)"> <text>The operational plans of the applicant were not ready to be implemented;</text> </paragraph> <paragraph num="(d)"> <text>The facility is not capable of conducting live racing; or</text> </paragraph> <paragraph num="(e)"> <text>The applicant will not conduct live racing on the dates requested from the Commission; or</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Determines that the applicant:</text> <paragraph num="(a)"> <text>Has not complied with all applicable laws, regulations, and ordinances, including those provisions regarding:</text> <paragraph num="(i)"> <text>Zoning,</text> </paragraph> <paragraph num="(ii)"> <text>Health, and</text> </paragraph> <paragraph num="(iii)"> <text>Alcoholic beverages;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Has violated a law or regulation related to horse racing;</text> </paragraph> <paragraph num="(c)"> <text>Has been convicted of a crime related to illegal gambling;</text> </paragraph> <paragraph num="(d)"> <text>Has been convicted of a felony or a crime of moral turpitude that is reasonably related to the applicant's fitness to hold a racetrack license;</text> </paragraph> <paragraph num="(e)"> <text>Is not of good moral character;</text> </paragraph> <paragraph num="(f)"> <text>Has engaged in any act that is detrimental to the best interest of racing;</text> </paragraph> <paragraph num="(g)"> <text>Has failed to implement plans presented to the Commission;</text> </paragraph> <paragraph num="(h)"> <text>Has failed to comply with promises made, to the Commission; or</text> </paragraph> <paragraph num="(i)"> <text>Has failed to comply with any provision of this chapter.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>In addition to other reasons, the Commission may suspend or revoke its approval of an applicant if the Commission determines that the applicant:</text> <paragraph num="(1)"> <text>Provided false information in the license application; or</text> </paragraph> <paragraph num="(2)"> <text>Failed to fully disclose the true owners of all interests, beneficial or otherwise, in a proposed racetrack facility.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §11-210, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 13, 1999 (26:25 Md. R. 1897)</annotation> </annotations> </chapter> </subtitle> <subtitle num="11" heading="Real Estate Commission"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Amount of Brokerage Agreed Upon."> <paragraph num="A."> <text>Each listing contract or sales contract shall state the amount of brokerage agreed upon, in either a specific amount or a specific percentage.</text> </paragraph> <paragraph num="B."> <text>The licensee may not accept a listing contract to sell real property that provides for a net return to the seller, leaving the licensee free to sell the real property at a price higher than the net price.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Broker as Principal and Agent."> <text>A broker may not act as principal and agent in the same transaction without consent of all parties concerned.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Prior Acts or Conduct."> <text>For administrative efficiency, renewal applications which are filed properly shall be processed automatically. Renewal of a license therefore may not affect the power of the Commission to bring charges for prior acts or conduct.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Failure to Renew License — Repealed." /> <regulation prefix="Regulation" num=".05" heading="Submission of Credit Report."> <text>An applicant for an original real estate broker's license shall submit a credit report from an approved credit reporting agency. The credit report shall include any judgments and local, state or federal tax liens of the applicant.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Records of Transactions."> <text>If a licensee has custody or possession of money belonging to others, in the absence of proper written instructions from the parties involved in the transaction to the contrary, they shall be deposited and retained in a non-interest-bearing escrow account clearly designated as containing funds held for others.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Establishing an Escrow or Special Account."> <paragraph num="A."> <text>A real estate broker shall maintain a non-interest-bearing escrow or special account and report the bank's name and account number to the Commission as soon as trust monies are received. If a licensee establishes another non-interest-bearing or special escrow account, changes the escrow account number, or transfers the account to another bank, the licensee shall notify the Commission in writing within 10 days after the action.</text> </paragraph> <paragraph num="B."> <text>The establishment of individual interest-bearing accounts, as provided under Business Occupations and Professions Article, §17-505, Annotated Code of Maryland, need not be reported to the Commission as long as records are maintained for each account and available for inspection by Commission personnel during regular business hours.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Change of Business Location."> <text>When a licensed broker changes business location, the licensed broker shall notify the Commission in writing within 10 days.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Instruction in Real Estate Principles and Practices for Salespersons."> <paragraph num="A."> <text>Course of Instruction.</text> <paragraph num="(1)"> <text>Every applicant for licensure as a real estate salesperson shall furnish, at the time of filing an application for licensure, evidence of having satisfactorily completed a course of instruction in Real Estate Principles and Practices for Salespersons.</text> </paragraph> <paragraph num="(2)"> <text>This course of instruction shall be one of the following:</text> <paragraph num="(a)"> <text>The Realtors Institute of Maryland (G. R. I.) Course “I” consisting of a minimum of 60 clock-hours of instruction as described under §B of this regulation, sponsored by the Maryland Association of Realtors;</text> </paragraph> <paragraph num="(b)"> <text>A course approved by the Maryland Real Estate Commission, consisting of a minimum of 60 clock-hours of instruction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>The minimum 60 clock-hour educational requirement for a salesperson shall embrace the following areas of study:</text> <paragraph num="(1)"> <text>Principles of Real Property;</text> </paragraph> <paragraph num="(2)"> <text>Landlord-Tenant Relationship;</text> </paragraph> <paragraph num="(3)"> <text>Real Estate Contracts;</text> </paragraph> <paragraph num="(4)"> <text>Rules of Agency and Listings;</text> </paragraph> <paragraph num="(5)"> <text>Transfer of Title to Real Property;</text> </paragraph> <paragraph num="(6)"> <text>Title Insurance and Settlements;</text> </paragraph> <paragraph num="(7)"> <text>Fundamentals of Appraising;</text> </paragraph> <paragraph num="(8)"> <text>Real Estate Finance;</text> </paragraph> <paragraph num="(9)"> <text>Maryland Real Estate License Law;</text> </paragraph> <paragraph num="(10)"> <text>Regulations of the Real Estate Commission;</text> </paragraph> <paragraph num="(11)"> <text>Details of the Code of Ethics;</text> </paragraph> <paragraph num="(12)"> <text>Laws and Practices Covering Human Rights and Community Relations;</text> </paragraph> <paragraph num="(13)"> <text>Basic Mathematics Pertaining to the Real Estate Industry;</text> </paragraph> <paragraph num="(14)"> <text>Property Condition Disclosure and Latent Defects;</text> </paragraph> <paragraph num="(15)"> <text>Laws and Regulations Covering Hazardous Substances.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Any subjects other than those set out in §B of this regulation shall be in addition to, and not be taught as a part of, the minimum 60 clock-hour course requirements.</text> </paragraph> <paragraph num="D."> <text>Courses required by this regulation are not interchangeable with the requirements for brokers spelled out in Regulation .14 of this chapter. Likewise, the separate course for brokers required by Regulation .14 will not be accepted as satisfactory completion of the education requirements for salespersons, as set forth in this regulation.</text> </paragraph> <paragraph num="E."> <text>An individual who demonstrates by evidence satisfactory to the Commission active and regular engagement in real estate practice as a licensed real estate salesperson in a jurisdiction other than Maryland may be considered to have satisfied the educational requirement for a salesperson set forth in this regulation if the prelicensing education requirements of that jurisdiction are equivalent to or greater than those of Maryland.</text> </paragraph> <paragraph num="F."> <text>Effective July 1, 1995, applicants who have passed both parts of the licensing exam shall apply for licensure within 1 year of successfully completing the exam in order for the applicants' test results to remain valid.</text> </paragraph> <paragraph num="G."> <text>Completion of Examination. An applicant for a salesperson’s license shall have 1 year from completion of a prelicensing education course to pass both portions of the salesperson licensing examination. An applicant who does not pass both portions of the licensing examination within 1 year of the course completion date must complete a new prelicensing course in order to be eligible to take or retake the examination.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Residential Listing Contracts to be in Writing and Signed."> <text>All residential listing contracts, listing real property for sale, rental, lease, or exchange, either exclusive or open, shall be in writing and signed, and a copy of the contract shall be given to the seller or owner before the licensee advertises, shows, or offers the property.</text> </regulation> <regulation prefix="Regulation" num=".11" heading="Place of Business for Real Estate Broker."> <text>The definite place of business required by Business Occupations and Professions Article, §17-507, Annotated Code of Maryland, shall be an office or headquarters where the real estate broker and the real estate broker’s employees regularly transact the business of a real estate broker. The records of the brokerage business, including the records of the escrow account, shall be kept in this office or headquarters. The Real Estate Commission may not consider an answering service, a mechanical message recording device or a mail drop, singly or in combination, to satisfy the requirements of an office under Business Occupations and Professions Article, §§17-517, 17-518, and 17-520, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Instruction in Real Estate Principles and Practice for Brokers."> <paragraph num="A."> <text>Course of Instruction.</text> <paragraph num="(1)"> <text>Every applicant for licensure as a real estate broker shall furnish, at the time of filing an application for licensure, evidence of having satisfactorily completed a course of instruction in Real Estate Principles and Practices for Brokers.</text> </paragraph> <paragraph num="(2)"> <text>This course of instruction shall be one of the following:</text> <paragraph num="(a)"> <text>The Realtors Institute of Maryland (G. R. I.) Courses “I”, “II”, “III”, and “IV”, consisting of a minimum of 135 clock-hours or 9 semester credit hours of instruction as described under §D, of this regulation, sponsored by the Maryland Association of Realtors; or</text> </paragraph> <paragraph num="(b)"> <text>A course approved by the Maryland Real Estate Commission consisting of 135 clock-hours or 9 semester credit hours of instruction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>A semester credit hour is defined as not less than 15 standard 50-minute classroom hours of instruction.</text> </paragraph> <paragraph num="C."> <text>The current 135 clock-hour or 9 semester credit hour minimum educational requirement effective January 1, 1979, for broker, shall substantially embrace the following areas of study:</text> <paragraph num="(1)"> <text>The concept of private property in relation to the constitutional powers of the federal and State governments, such as their powers of eminent domain, taxation, police powers, and escheat;</text> </paragraph> <paragraph num="(2)"> <text>Types of Property;</text> </paragraph> <paragraph num="(3)"> <text>Types of Property Interests and Restrictions;</text> </paragraph> <paragraph num="(4)"> <text>Methods of Transferring Real Property Interests;</text> </paragraph> <paragraph num="(5)"> <text>Transfer Instruments, such as Deeds, Leases, Contracts of Sale, Assignments;</text> </paragraph> <paragraph num="(6)"> <text>Financing of Real Estate Transactions;</text> </paragraph> <paragraph num="(7)"> <text>The Mortgaging Process;</text> </paragraph> <paragraph num="(8)"> <text>Settlements, including the Mathematics of Real Estate Transactions;</text> </paragraph> <paragraph num="(9)"> <text>The Role of the Real Estate Agent, including Principles of Agency, Licensing Laws, and Ethics;</text> </paragraph> <paragraph num="(10)"> <text>Real Estate Development, including Governmental Assistance Programs, Zoning, and other Governmental Restrictions on Land Development;</text> </paragraph> <paragraph num="(11)"> <text>Real Estate Appraisal;</text> </paragraph> <paragraph num="(12)"> <text>Real Estate Management;</text> </paragraph> <paragraph num="(13)"> <text>Human Relations Aspects, including study of Fair Housing Laws and effect of undesirable practices such as Exploitation, Steering, Blockbusting, Prejudicial Solicitation and related activities;</text> </paragraph> <paragraph num="(14)"> <text>Basic mathematics pertaining to the real estate industry;</text> </paragraph> <paragraph num="(15)"> <text>Real Estate Securities and Syndication;</text> </paragraph> <paragraph num="(16)"> <text>Advanced Commercial Property;</text> </paragraph> <paragraph num="(17)"> <text>Legal and License Law Update;</text> </paragraph> <paragraph num="(18)"> <text>Advanced Commercial Real Estate Financing;</text> </paragraph> <paragraph num="(19)"> <text>Creative Real Estate Financing;</text> </paragraph> <paragraph num="(20)"> <text>Advanced Sales and Leasing of Industrial Property;</text> </paragraph> <paragraph num="(21)"> <text>Relations to the Public and Proper and Ethical Advertising;</text> </paragraph> <paragraph num="(22)"> <text>Advanced Real Estate Office Management and Administration;</text> </paragraph> <paragraph num="(23)"> <text>Real Estate Exchanging;</text> </paragraph> <paragraph num="(24)"> <text>State and Federal Tax Laws;</text> </paragraph> <paragraph num="(25)"> <text>Condominium Sales, Resales and Time-Sharing Programs;</text> </paragraph> <paragraph num="(26)"> <text>Advanced Real Property Management;</text> </paragraph> <paragraph num="(27)"> <text>New Home Subdivision Marketing.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Any subjects other than those set out in §C of this regulation shall be in addition to, not substituted for, the minimum 135 clock-hour requirement.</text> </paragraph> <paragraph num="E."> <text>Courses required by this regulation are not interchangeable with the requirements for salesman established in Regulation .11 of this chapter. Also, the separate course for salesman required by Regulation .11 will not be accepted as satisfactory completion of the education requirements for broker as set forth in this regulation.</text> </paragraph> <paragraph num="F."> <text>Experience Requirement for Broker. An individual who demonstrates by evidence satisfactory to the Commission active, regular, and lawful engagement in real estate practice as a licensed salesperson or broker in good standing for at least the 3 years immediately preceding submission of the application in Maryland or any other jurisdiction of the United States, District of Columbia, or United States territories may be deemed to have satisfied the 3 years experience as a salesperson required for licensure as a broker.</text> </paragraph> <paragraph num="G."> <text>Waiver of Educational Requirement for Broker. An individual who demonstrates by evidence satisfactory to the Commission active, regular, and lawful engagement in real estate practice as a licensed real estate broker in good standing in a jurisdiction other than Maryland for at least 3 years immediately preceding submission of the application may be deemed to have satisfied the educational requirement for broker.</text> </paragraph> <paragraph num="H."> <text>Licensing Examination. An applicant for a broker’s license shall have 1 year from full completion of prelicensing education requirements to pass both portions of the broker licensing examination. An applicant who does not pass both portions of the licensing examination within 1 year of completion of the requirements shall complete a new set of prelicensing education requirements in order to be eligible to take or retake the examination.</text> </paragraph> <paragraph num="I."> <text>Application for Licensure. An applicant who has successfully completed both portions of the licensing exam shall apply for licensure within 1 year of successfully completing the exam in order for the applicant's test results to remain valid.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Commission a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Commission shall send a written communication by first-class mail to the last known address furnished to the Commission by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Commission in writing if there has been a change in applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Commission to be a violation of Business Occupations and Professions Article, §17-322(b), Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Instruction in Human Relations Aspect of Real Estate."> <text>The basic course of instruction required of salesmen by Business Occupations and Professions Article, §17-303(d), Annotated Code of Maryland, shall include instruction in the human relations aspect of the practice of real estate, including study of fair housing laws and effect of undesirable practices, such as exploitation, steering, blockbusting, prejudicial solicitation, discriminatory practices, misleading advertising, and related activities.</text> </regulation> <regulation prefix="Regulation" num=".15" heading="Amount of Compensation Recoverable from Real Estate Guaranty Fund."> <text>The amount of compensation recoverable by a claimant from the Real Estate Guaranty Fund, pursuant to Business Occupations and Professions Article, Title 17, Subtitle 4, Real Estate Guaranty Fund, Annotated Code of Maryland, shall be restricted to the actual monetary loss incurred by the claimant, but may not include monetary losses other than the monetary loss from the originating transaction. Actual monetary losses may not include commissions owed to a licensee of this Commission acting in the licensee’s capacity as either a principal or agent in a real estate transaction, or any attorney's fees the claimant may incur in pursuing or perfecting the claim against the guaranty fund.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="Use of Trade Names."> <paragraph num="A."> <text>For the purpose of this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Definitions.</text> <paragraph num="(1)"> <text>“Advertising” means all oral, written , and visual advertising done by the licensee or by others on behalf of the licensee including telephone solicitation by individuals or by machine.</text> </paragraph> <paragraph num="(2)"> <text>“Licensee” means a real estate broker, associate broker, or salesperson licensed by the Real Estate Commission.</text> </paragraph> <paragraph num="(3)"> <text>“Trade name” means trademark or service mark, company name or business name, irrespective of whether the licensee needs to obtain permission from another person or entity who has an existing or continuing right in that trademark or service mark by virtue of any State or federal law.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Licensee Using Trade Name.</text> <paragraph num="(1)"> <text>In the advertising of or contracting for any real estate brokerage services defined under Business Occupations and Professions Article, §17-101, Annotated Code of Maryland, a licensee using a trade name shall clearly and unmistakably include in the advertisement or contract the licensee’s name or trade name, as registered with the Commission, to insure that the licensee’s identity is meaningfully and conspicuously displayed to members of the general public.</text> </paragraph> <paragraph num="(2)"> <text>A licensee using a trade name on a for-sale sign, business card, office sign, sales contract, listing contract, or other document relating to real estate activities as defined under Business Occupations and Professions Article, §17-101, Annotated Code of Maryland, shall clearly and unmistakably include on any of these documents the licensee’s name, or trade name, as registered with the Commission.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Any licensee who is in the course of oral communication with another person (whether in person or by telephone), shall clearly and unmistakably include in the communication the licensee’s name, or trade name, as registered with the Commission, to insure that the licensee’s identity is meaningfully and conspicuously made known to that person.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Escrow Account Signators."> <text>A real estate broker shall be a signator or at least one of the signators on checks which may be drawn on escrow accounts which, under Business Occupations and Professions Article, Title 17, Subtitle 5, Part I, Annotated Code of Maryland, this real estate broker is required to maintain at all times. This real estate broker may designate an alternate signator to sign checks, and this designated alternate signator shall be a licensee. A nonlicensed person may be a cosignator on the broker's escrow account, provided all checks are also cosigned by a designated licensee.</text> </regulation> <regulation prefix="Regulation" num=".18" heading="Disposition of Deposit Monies Held by Licensees."> <text>In any transaction in which a licensee has custody or possession of funds which belong to others, in the absence of a provision to the contrary, in the contract of sale, rental lease, option agreement, or other similar type of document, and a dispute arises as to the disposition of these funds by and between the parties to the transaction, the licensee shall:</text> <paragraph num="A."> <text>Hold these funds until he or she has releases signed by all parties to the transaction authorizing disposition of the funds;</text> </paragraph> <paragraph num="B."> <text>File a bill of interpleader in the proper court in the county or Baltimore City, as the case may be, thereby causing these funds to be deposited in the registry of this court;</text> </paragraph> <paragraph num="C."> <text>Hold these funds until such time as one of the parties to the transaction files suit and the court in which this suit is filed orders the disbursement of these funds, whichever event under the purview of §§B and C of this regulation shall first occur; or</text> </paragraph> <paragraph num="D."> <text>Distribute the funds in accordance with the procedure set forth in Business Occupations and Professions Article, §17-505, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Time Limitation for Filing Complaints."> <text>The Commission may summarily dismiss any complaint brought against a licensee after 3 years from the date of the written listing contract, contract of sale, lease agreement, option, or actions upon which the complaint is based, unless the Commission finds that the complainant's delay in bringing the complaint was justified and that the delay does not result in an undue burden for the licensee.</text> </regulation> <regulation prefix="Regulation" num=".20" heading="Interest on Guaranty Fund Reimbursements."> <paragraph num="A."> <text>Unless revoked by a final order of the Commission, a licensee is suspended by operation of law under Business Occupations and Professions Article, §17-412, Annotated Code of Maryland, upon payment from the Guaranty Fund due to the conduct of a licensee. The Commission may not consider any application for reinstatement until the amount paid from the Fund because of that conduct is repaid in full, plus 12 percent interest from the time payment is made, under Business and Professions Article, §17-411(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>For purposes of this regulation only, the term “application for reinstatement” may include a written request for reissuance of a license at the discretion of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Repealed." /> <regulation prefix="Regulation" num=".22" heading="Ownership Disclosure."> <paragraph num="A."> <text>A licensee shall furnish to the Commission full information regarding an ownership interest held by the licensee in entities providing real estate brokerage services, together with the licensee's renewal application.</text> </paragraph> <paragraph num="B."> <text>A licensee acquiring or disposing of ownership interest in an entity providing real estate brokerage services during the licensing period shall furnish to the Commission full information regarding the resulting ownership interest within 30 days of the change in ownership.</text> </paragraph> <paragraph num="C."> <text>A new licensee shall furnish to the Commission full information regarding an ownership interest held by the new licensee in entities providing real estate brokerage services, at the time of application for the license.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Broker Supervision Course."> <text>A licensee who is designated as a broker, branch office manager, or team leader shall complete a 1.5 clock-hour course that includes the requirements of broker supervision under COMAR 09.11.06.01B(8)(i) within 90 days of the effective date of the designation if the licensee has not completed that course during the previous four years.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§17-208, 17-303, 17-306, 17-315, and 17-528, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective dates:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 effective March 16, 1967</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective May 12, 1976 (3:10 Md. R. 529)</annotation> <annotation type="History" subtype="Administrative History">Regulations .05—.07 effective March 16, 1967</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective February 19, 1975 (2:4 Md. R. 227); repealed effective October 26, 1981 (8:21 Md. R. 1706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective October 7, 1985 (12:20 Md. R. 1925)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective June 15, 1987 (14:12 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective August 20, 1968</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 effective March 16, 1967; amended effective October 26, 1981 (8:21 Md. R. 1706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 effective July 13, 1967</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 effective December 31, 1967</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective February 19, 1975 (2:4 Md. R. 227)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 effective January 31, 1968</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended effective February 19, 1975 (2:4 Md. R. 227); May 11, 1977 (4:10 Md. R. 766); October 26, 1981 (8:21 Md. R. 1706); June 17, 1985 (12:12 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended effective August 18, 1976 (3:17 Md. R. 915)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 effective April 19, 1970</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 effective June 29, 1970</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 amended effective July 31, 1972; December 16, 1977 (4:26 Md. R. 2023); October 26, 1981 (8:21 Md. R. 1706); June 17, 1985 (12:12 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16B amended effective February 19, 1975 (2:4 Md. R. 227)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16C amended effective August 18, 1976 (3:17 Md. R. 915)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 effective June 29, 1970</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 effective October 1, 1970</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 effective February 1, 1971</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 repealed effective October 26, 1981 (8:21 Md. R. 1706)</annotation> <annotation type="History" subtype="Administrative History">Regulations .20—.21 effective April 25, 1972</annotation> <annotation type="History" subtype="Administrative History">Regulations .20—.21 repealed effective October 26, 1981 (8:21 Md. R. 1706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22 effective July 31, 1972</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 effective January 15, 1975 (2:3 Md. R. 152)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended as an emergency provision effective February 22, 1977 (4:6 Md. R. 504)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended effective June 25, 1977 (4:13 Md. R. 1030)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended effective September 22, 1978 (5:19 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended as an emergency provision effective September 24, 1980 (7:21 Md. R. 1987); adopted permanently effective February 6, 1981 (8:3 Md. R. 226)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended effective September 28, 1981 (8:19 Md. R. 1565)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended as an emergency provision effective February 7, 1983 (10:6 Md. R. 535); emergency status extended at 10:8 Md. R. 720 and 10:14 Md. R. 1257; emergency status expired October 1, 1983 (Emergency regulations are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended as an emergency provision effective August 11, 1983 (10:18 Md. R. 1605); adopted permanently effective November 7, 1983 (10:22 Md. R. 1965)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 repealed pursuant to State Government Article, §7-209(l), Annotated Code of Maryland, having been found unconstitutional by the United States District Court for the District of Maryland</annotation> <annotation type="History" subtype="Administrative History">Regulation .24 amended effective January 5, 1977 (4:1 Md. R. 18) (adopted as Regulation .31); May 24, 1982 (9:10 Md. R. 1020)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25 adopted effective August 31, 1977 (4:18 Md. R. 1397)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 adopted effective September 22, 1978 (5:19 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27 adopted effective February 8, 1980 (7:3 Md. R. 263)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28 adopted effective September 5, 1980 (7:18 Md. R. 1739)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28 repealed and new .28 adopted effective November 18, 1985 (12:23 Md. R. 2215)</annotation> <annotation type="History" subtype="Administrative History">Regulation .29 adopted effective September 5, 1980 (7:18 Md. R. 1739)</annotation> <annotation type="History" subtype="Administrative History">Regulation .29 repealed effective May 24, 1982 (9:10 Md. R. 1020)</annotation> <annotation type="History" subtype="Administrative History">Regulation .29 adopted effective November 18, 1985 (12:23 Md. R. 2215)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective June 11, 1990 (17:11 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended as an emergency provision effective February 27, 1992 (19:6 Md. R. 669); emergency status extended at 19:16 Md. R. 1466 (August 7, 1992); emergency status expired February 3, 1993</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 repealed effective August 19, 2013 (40:16 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective January 1, 1996 (22:10 Md. R. 706); February 22, 1999 (26:4 Md. R. 273)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11B, G amended effective February 18, 2013 (40:3 Md. R. 217)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective August 19, 2013 (40:16 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14G adopted effective November 17, 1997 (24:23 Md. R. 1609)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended effective April 13, 1992 (19:7 Md. R. 745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24 repealed as an emergency provision effective January 1, 1999 (26:1 Md. R. 17); repealed permanently effective May 3, 1999 (26:9 Md. R. 730)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25 adopted effective October 7, 1996 (23:20 Md. R. 1421)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 adopted as an emergency provision effective May 3, 1996 (23:11 Md. R. 807); adopted permanently effective November 4, 1996 (23:22 Md. R. 1495)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26B amended effective February 22, 1999 (26:4 Md. R. 273)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27 adopted effective October 29. 2012 (39:21 Md. R. 1378)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective June 1, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Chapter Regulations renumbered to correct prior Final Action effective June 1, 2017 (44:8 Md. R. 401)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 repealed and new Regulation .13 adopted effective January 14, 2019 (46:1 Md. R. 11)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 amended effective April 27, 2026 (53:8 Md. R. 355)</annotation> </annotations> </chapter> <chapter num="02" heading="Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Relations to the Public."> <paragraph num="A."> <text>The licensee shall remain informed of matters affecting real estate in the community, the State, and the nation.</text> </paragraph> <paragraph num="B."> <text>The licensee shall be informed on current market conditions in order to be in a position to advise clients as to the fair market price.</text> </paragraph> <paragraph num="C."> <text>The licensee shall protect the public against fraud, misrepresentation, or unethical practices in the real estate field. The licensee shall endeavor to eliminate in the community any practices which could be damaging to the public or to the dignity and integrity of the real estate profession. The licensee shall assist the commission charged with regulating the practices of brokers, associate brokers, and salespersons in this State.</text> </paragraph> <paragraph num="D."> <text>The licensee shall make a reasonable effort to ascertain all material facts concerning every property for which the licensee accepts the agency, in order to fulfill the obligation to avoid error, exaggeration, misrepresentation, or concealment of material facts.</text> </paragraph> <paragraph num="E."> <text>The licensee, acting as agent, may not discriminate in the sale, rental, leasing, trading, or transferring of property to any person or group of persons in violation of State Government Article, §20-402, Annotated Code of Maryland.</text> </paragraph> <paragraph num="F."> <text>The licensee may not be a party to the naming of a false consideration in any document.</text> </paragraph> <paragraph num="G."> <text>Advertisement.</text> <paragraph num="(1)"> <text>For the purposes of this regulation, “advertisement” means any representation, promotion, or solicitation directed to consumers, by any means of communication, for any purpose concerning the provision of real estate brokerage services.</text> </paragraph> <paragraph num="(2)"> <text>The licensee in advertising shall be especially careful to present a true picture. A broker may not advertise without disclosing the broker's name or the company name as it appears on the license. A broker may not permit associate brokers or salespersons to use individual names unless the connection with the broker is obvious in the advertisement.</text> </paragraph> <paragraph num="(3)"> <text>Effective October 1, 2004, an associate broker or salesperson may not use an individual telephone number or email address in an advertisement unless the identified telephone number of the broker or branch office manager also appears in the advertisement.</text> </paragraph> <paragraph num="(4)"> <text>Any electronic media advertisement shall contain the applicable disclosures set forth in §G(2) and (3) of this regulation either:</text> <paragraph num="(a)"> <text>On the first 25 percent of the main page of the electronic media advertisement; or</text> </paragraph> <paragraph num="(b)"> <text>If the electronic media under §G(4)(a) of this regulation has a limitation of 280 characters or fewer, on the first 25 percent of a page that is accessible after a single click on a hyperlink on the main page of the electronic media advertisement.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Interpretation of “Directly Connected” Under Business Occupations and Professions Article, §17-547(c), Annotated Code of Maryland. The Commission considers a team name to be “directly connected” to a brokerage name under Business Occupations and Professions Article, §17-547(c), Annotated Code of Maryland, if:</text> <paragraph num="(a)"> <text>The word “of”, “from”, “with”, or “at” is the only word between the team name and the brokerage name; and</text> </paragraph> <paragraph num="(b)"> <text>No other word, symbol, or image is between the team name and the brokerage name.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>For the protection of all parties with whom the licensee deals, the licensee shall see to it that financial obligations and commitments regarding real estate transactions are in writing, expressing the exact agreement of the parties, and that copies of these agreements are placed in the hands of all parties involved within a reasonable time after the agreements are executed.</text> </paragraph> <paragraph num="I."> <text>All real estate documents shall be signed by a licensee in the licensee's own name, and may not be signed in the name of a group or team.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Relations to the Client."> <paragraph num="A."> <text>In accepting employment as an agent, the licensee shall protect and promote the interests of the client. This obligation of absolute fidelity to the client's interest is primary, but it does not relieve the licensee from the statutory obligations towards the other parties to the transaction.</text> </paragraph> <paragraph num="B."> <text>In justice to those who place their interests in the licensee's care, the licensee shall endeavor always to be informed regarding laws, proposed legislation, governmental orders, and other essential information and public policies which affect those interests.</text> </paragraph> <paragraph num="C."> <text>A licensee may not accept compensation from more than one party to a transaction without the full knowledge of all the parties.</text> </paragraph> <paragraph num="D."> <text>Disclosure Requirement for Licensees and Employees Buying, Selling, Leasing, and Renting Property.</text> <paragraph num="(1)"> <text>A licensee seeking to acquire an interest in real property must disclose the licensee’s licensing status in writing to the seller or lessor of the property no later than the time that an offer is submitted.</text> </paragraph> <paragraph num="(2)"> <text>The disclosure requirement of §D(1) of this regulation also applies when the licensee is acting on behalf of or representing:</text> <paragraph num="(a)"> <text>A member of the licensee’s immediate family;</text> </paragraph> <paragraph num="(b)"> <text>An entity in which the licensee has an ownership interest;</text> </paragraph> <paragraph num="(c)"> <text>An employee of the real estate brokerage with which the licensee is affiliated; or</text> </paragraph> <paragraph num="(d)"> <text>An employee of a team or group of which the licensee is a member.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A licensee seeking to sell or lease real property owned by the licensee must disclose that ownership interest in writing at the time that the property is offered for sale or lease.</text> </paragraph> <paragraph num="(4)"> <text>The disclosure requirement of §D(3) of this regulation also applies when the licensee is acting on behalf of or representing:</text> <paragraph num="(a)"> <text>A member of the licensee’s immediate family;</text> </paragraph> <paragraph num="(b)"> <text>An entity in which the licensee has an ownership interest;</text> </paragraph> <paragraph num="(c)"> <text>An employee of the real estate brokerage with which the licensee is affiliated; or</text> </paragraph> <paragraph num="(d)"> <text>An employee of a team or group of which the licensee is a member.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Written notice required by §D(3) and (4) of this regulation may be given through the multiple list service and through any other written means effective in bringing the information to the attention of prospective buyers or lessees.</text> </paragraph> <paragraph num="(6)"> <text>The licensee’s immediate family shall include the licensee’s spouse or domestic partner, child, stepchild, child’s spouse, stepchild’s spouse, parent, sibling, grandparent, or grandchild.</text> </paragraph> </paragraph> <paragraph num="E."> <text>When acting as agent in the management of property, the licensee may not accept any commission, rebate, or profit on expenditures made for an owner without the owner's knowledge and consent.</text> </paragraph> <paragraph num="F."> <text>Competitive Market Analysis.</text> <paragraph num="(1)"> <text>A licensee may prepare a competitive market analysis of a specific property for a client, prospective client, or customer. The analysis shall include the following statement printed conspicuously and without change on the first page:</text> </paragraph> <paragraph num="(2)"> <text>If a licensee includes a property in which the licensee has an interest as one of the comparables, that fact shall be disclosed to the client, prospective client, or customer.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The licensee may not submit or advertise property without authority. In any offering, the price quoted may not be other than that agreed upon with the owners as the offering price.</text> </paragraph> <paragraph num="H."> <text>Presentation of Offers.</text> <paragraph num="(1)"> <text>A licensee shall present all written offers or counteroffers received by the licensee to the client, as required by Business Occupations and Professions Article, §17-532(c)(ii)(3), Annotated Code of Maryland, in accordance with §H(2) of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>Unless otherwise specified in the brokerage agreement, all written offers or counteroffers shall be presented to the client:</text> <paragraph num="(a)"> <text>In full; and</text> </paragraph> <paragraph num="(b)"> <text>In hard copy or electronic format.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Unexcused failure to ensure that a prospective purchaser has the real property disclosure statement or disclaimer statement in hand before the submission of an offer to purchase may be considered a violation of the licensee's obligation to protect and promote the interests of the licensee's client when this failure could result in a contract becoming void or voidable.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Relations to Fellow Licensees."> <paragraph num="A."> <text>The agency of a licensee who holds an exclusive listing, shall be respected.</text> </paragraph> <paragraph num="B."> <text>The licensee shall cooperate with other brokers on property listed by the licensee exclusively whenever it is in the interest of the client, and share commissions on a previously agreed basis. Negotiations concerning property listed exclusively with one broker shall be carried on solely with the listing broker.</text> </paragraph> <paragraph num="C."> <text>Signs giving notice of property for sale, rent, lease, or exchange may not be placed on any property without the owner's prior consent.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§17-207, 17-208, and 17-547, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A—D amended effective March 17, 1976 (3:6 Md. R. 358); May 1, 2000 (27:8 Md. R. 798)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C repealed May 12, 1976 (3:10 Md. R. 529)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C adopted effective June 9, 1976 (3:12 Md. R. 643)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01E amended effective October 23, 1968</annotation> <annotation type="History" subtype="Administrative History">Regulation .01E amended effective March 17, 1976 (3:6 Md. R. 358); May 1, 2000 (27:8 Md. R. 798)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01F—H amended effective March 17, 1976 (3:6 Md. R. 358)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A—C amended effective March 17, 1976 (3:6 Md. R. 358)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective June 23, 1972</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective March 17, 1976 (3:6 Md. R. 358); May 1, 2000 (27:8 Md. R. 798)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02E—I amended effective March 17, 1976 (3:6 Md. R. 358)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02F, G amended effective January 8, 2001 (27:26 Md. R. 2357)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02J adopted as an emergency provision effective January 6, 1994 (21:2 Md. R. 94); emergency status expired July 1, 1994; adopted permanently effective July 18, 1994 (21:14 Md. R. 1228)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 17, 1976 (3:6 Md. R. 358)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective October 12, 1981 (8:20 Md. R. 1634)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C repealed effective October 12, 1981 (8:20 Md. R. 1634)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective May 1, 2000 (27:8 Md. R. 798)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01E amended effective March 19, 2012 (39:5 Md. R. 381)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01G amended effective April 26, 2004 (31:8 Md. R. 645); March 7, 2022 (49:5 Md. R. 365)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01I adopted effective April 11, 2005 (32:7 Md. R. 678)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01J adopted effective August 18, 2014 (41:16 Md. R. 945)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01J repealed effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective July 19, 2004 (31:14 Md. R. 1078)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective April 11, 2005 (32:7 Md. R. 678); March 19, 2012 (39:5 Md. R. 381); April 15, 2013 (40:7 Md. R. 610)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02H amended effective June 1, 2015 (42:9 Md. R. 646)</annotation> </annotations> </chapter> <chapter num="03" heading="Hearing Regulations"> <regulation prefix="Regulation" num=".01" heading="Hearings Before the Commission."> <paragraph num="A."> <text>Except as otherwise provided in §§B, C, D, and E of this regulation, all contested case hearings before the Commission are governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>A hearing shall be conducted before a designated hearing panel of three members of the Commission convened pursuant to Business Occupations and Professions Article, §17-325, Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>The panel shall have a chairman who shall conduct the hearing and, in consultation with counsel, make all rulings on procedure and evidence.</text> </paragraph> <paragraph num="D."> <text>The chairman of a panel in an exceptions hearing may impose reasonable time limitations for the arguments presented by the parties.</text> </paragraph> <paragraph num="E."> <text>The panel may dismiss an application case without holding a hearing if the applicant fails to appear at the scheduled time after receiving proper notice.</text> </paragraph> <paragraph num="F."> <text>The panel may dismiss an appeal without holding a hearing if the person who filed exceptions to the proposed order fails to appear at the scheduled time after receiving proper notice.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Hearings Delegated to the Office of Administrative Hearings."> <text>Except as otherwise provided in Regulation .03 of this chapter, all contested case hearings delegated to the Office of Administrative Hearings are governed by COMAR 09.01.03.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Discovery."> <paragraph num="A."> <text>A party in a contested case hearing may receive discovery of facts from the Commission if the party makes a request to that effect at least 15 days before the hearing date.</text> </paragraph> <paragraph num="B."> <text>If a timely request is not made, any objection based on surprise or insufficiency of the notice shall be deemed waived.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §17-208, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 12, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective May 24, 1982 (9:10 Md. R. 1020)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01E amended effective November 23, 1981 (8:23 Md. R. 1855)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02E, F, and I amended effective June 20, 1983 (10:12 Md. R. 1072)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D and E amended effective April 13, 1992 (19:7 Md. R. 745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective September 14, 1981 (8:18 Md. R. 1479); June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 repealed and new Regulations .01—.04 adopted effective March 1, 2004 (31:4 Md. R. 314)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 repealed effective June 1, 2017 (44:8 Md. R. 402)</annotation> </annotations> </chapter> <chapter num="04" heading="Time Share Regulations"> <regulation prefix="Regulation" num=".01" heading="Application for Registration."> <paragraph num="A."> <text>Application for registration as a time share developer shall be made on forms provided by the Commission at the offices of the Commission. The application shall contain all of the documents and information required.</text> </paragraph> <paragraph num="B."> <text>A surety bond submitted with the application for registration shall be written on a form furnished by the Commission displaying the name of the principal on the bond as it appears on the application of the developer.</text> </paragraph> <paragraph num="C."> <text>The statutory fee shall accompany the application as well as any other items deemed relevant by the Commission to determine that the statutory or regulatory standards or prerequisites have been met. These items may include credit reports, personal references, abstracts of title, and the like.</text> </paragraph> <paragraph num="D."> <text>If, within 30 days after receiving an application, the Commission determines that any prerequisite for registration has not been met, the Commission shall return the application to the applicant with a statement specifying the deficiencies in the application, provided, that if the commission has reason to believe that the application may readily be put into proper form, it may retain the application and notify the applicant of the steps which shall be taken to correct the deficiencies.</text> </paragraph> <paragraph num="E."> <text>Denial of an application on other than technical grounds will be communicated to the applicant by at least first class mail at the address stated on the application. The denial notice will inform the applicant that the applicant may file a written request for a hearing on the denial before a Hearing Panel of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Rules of Procedure for Revocation or Suspension of Registration."> <text>All hearings regarding denials of applications or revocations or suspensions of registration of time share developers are governed by COMAR 09.01.02.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Records of Transactions."> <paragraph num="A."> <text>The developer shall maintain records of the names and addresses of licensed real estate brokers, employees, or independent contractors employed by it for the purpose of sales of time share estates in Maryland, and make those records available to the Commission upon request.</text> </paragraph> <paragraph num="B."> <text>Purchase Money.</text> <paragraph num="(1)"> <text>The developer shall maintain a surety bond in accordance with the schedule set forth in Real Property Article, §11A-116, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>The penalty of bond shall reflect the amount of purchase money held by the developer, the developer’s agents, employees, licensed real estate brokers or independent contractors engaged by the developer resulting from the sale of time share estates in Maryland.</text> </paragraph> <paragraph num="(3)"> <text>The developer shall make available to the Commission, upon its request, all records concerning the amount of purchase money held by the developer, the developer’s agents, employees, or independent contractors.</text> </paragraph> <paragraph num="(4)"> <text>The Commission may request a developer to submit a certified statement from a certified public accountant with respect to purchase money obtained by or on behalf of the developer.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The developer shall maintain records of all transactions regarding the sale of time share estates sold in Maryland. The records shall include copies of the contract of sale, mortgage deed of trust, and documentation reflecting the disposition of purchase money obtained directly from the purchaser, or from the developers' agents, employees, licensed real estate brokers or independent contractors engaged by the developer.</text> </paragraph> <paragraph num="D."> <text>A time share estate may not be offered for sale until the developer has forwarded to the Commission a list of all the estates, including the address, type of estate, and the nature of any encumbrance existing on the property.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="General Regulations."> <paragraph num="A."> <text>A promise, assertion, representation, or statement of fact or opinion in connection with a time share marketing activity may not be made which is false, inaccurate, or misleading by reason of inclusion of an untrue statement of a material fact or omission of a statement of a material fact relative to the actual or intended characteristics, circumstances, or features of the time share project or time share estate.</text> </paragraph> <paragraph num="B."> <text>There may not be indication or assertion by a developer that an improvement will be built or placed in a time share project and be made available for use by purchasers of a time share estate unless the developer has sufficient financial assets and bona fide intention to complete the improvement represented.</text> </paragraph> <paragraph num="C."> <text>A promise, assertion, representation, or statement of fact or opinion made in connection with a time share marketing activity relating to the sale of time share estates in a project located in this State, may not, by its terms, induce, solicit, or encourage a prospective purchaser to leave Maryland for the purpose of executing a contract for sale or performing some other act which would create a legal or equitable interest in a time share estate, when to do so would circumvent the provisions of Maryland law.</text> </paragraph> <paragraph num="D."> <text>A time share developer, real estate broker, salesman, or any other person may not advertise or represent that the Real Estate Commission has approved or recommended any time share project or estate offered for sale.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §17-208, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 7, 1983 (10:22 Md. R. 1965)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> </annotations> </chapter> <chapter num="05" heading="Supervision"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <text>Supervision means direction and review by the:</text> <paragraph num="A."> <text>Broker of professional real estate activities by associate brokers, designated sales managers and salespersons associated with that brokerage, regardless of the type of work relationship existing between them;</text> </paragraph> <paragraph num="B."> <text>Broker of the supervisory activities of each branch office manager; and</text> </paragraph> <paragraph num="C."> <text>Branch office manager of professional real estate activities by the associate brokers and salespersons registered with that office.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Requirement of Supervision."> <paragraph num="A."> <text>A broker shall exercise reasonable and adequate supervision over the activities of the broker's associate brokers and salespersons.</text> </paragraph> <paragraph num="B."> <text>A branch office manager shall exercise reasonable and adequate supervision over the activities of the associate brokers and salespersons registered with that office.</text> </paragraph> <paragraph num="C."> <text>The exercise of reasonable and adequate supervision as defined in this chapter may not be construed or deemed to create an employer/employee relationship between the broker and licensed associated brokers and licensed salespersons under the broker's supervision, or to alter the status of an individual as an independent contractor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Reasonable and Adequate Supervision."> <paragraph num="A."> <text>Initially, the operations characteristics of the brokerage firm shall be considered by determining the:</text> <paragraph num="(1)"> <text>Number of licensed salespersons and associate brokers affiliated with the broker;</text> </paragraph> <paragraph num="(2)"> <text>Number of branch offices and salespersons assigned to each office;</text> </paragraph> <paragraph num="(3)"> <text>Number of management personnel in each office;</text> </paragraph> <paragraph num="(4)"> <text>Normal and routine working days and hours of the broker and management personnel;</text> </paragraph> <paragraph num="(5)"> <text>Type of real estate activities of firm.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Factors to be considered in determining whether supervision is reasonable and adequate include, but are not limited to, the following:</text> <paragraph num="(1)"> <text>Availability of:</text> <paragraph num="(a)"> <text>Training or education sessions held regularly at least once every 2 months;</text> </paragraph> <paragraph num="(b)"> <text>Experienced supervisory personnel to review and discuss:</text> <paragraph num="(i)"> <text>Contract provisions;</text> </paragraph> <paragraph num="(ii)"> <text>Brokerage agreement provisions; and</text> </paragraph> <paragraph num="(iii)"> <text>Advertising;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Written procedures and policies which provide clear guidance in the following areas:</text> <paragraph num="(i)"> <text>Proper handling of deposit monies and other funds in accordance with Business Occupations and Professions Article, §§17-501—17-508, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(ii)"> <text>Compliance with federal, State, and local fair housing laws and regulations;</text> </paragraph> <paragraph num="(iii)"> <text>Advertisement requirements applicable to real estate transactions;</text> </paragraph> <paragraph num="(iv)"> <text>Review of contracts, leases, and brokerage agreements upon execution by all parties to the contract, lease, or brokerage agreement;</text> </paragraph> <paragraph num="(v)"> <text>Use and limitations of unlicensed personal assistants;</text> </paragraph> <paragraph num="(vi)"> <text>Disclosure of agency relationships by licensees in residential real estate transactions;</text> </paragraph> <paragraph num="(vii)"> <text>Distribution and dissemination of information on new or changed requirements in real estate laws and regulations enacted by local, State, and federal governments and regulatory agencies;</text> </paragraph> <paragraph num="(viii)"> <text>The obligation of all licensees to comply with all applicable provisions of Business Occupations and Professions Article, Title 17, Annotated Code of Maryland (the Maryland Real Estate Brokers Act), the Code of Ethics as adopted and as amended from time to time by the Commission, and all applicable local, State, and federal laws and regulations;</text> </paragraph> <paragraph num="(ix)"> <text>Requirements, restrictions, and limitations applicable to the sale or lease of real property personally owned by a licensee and the purchase or lease of real property by a licensee for the licensee's personal use; and</text> </paragraph> <paragraph num="(x)"> <text>The unauthorized practice of law by a licensee; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Evidence of:</text> <paragraph num="(a)"> <text>Records of attendance at sales meetings;</text> </paragraph> <paragraph num="(b)"> <text>Review by the broker, branch office manager, or designee of the broker or branch office manager of contracts of sale, leases, and brokerage agreements executed by all parties to the contract, lease, or brokerage agreement;</text> </paragraph> <paragraph num="(c)"> <text>Review by the broker, branch office manager, or designee of the broker or branch office manager of advertisements to be placed by licensees affiliated with the broker;</text> </paragraph> <paragraph num="(d)"> <text>Compliance with the written policies and procedures as specified in §B(1)(c) of this regulation; and</text> </paragraph> <paragraph num="(e)"> <text>Dissemination of the written policies and procedures as specified in §B(1)(c) of this regulation to licensees affiliated with the broker.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>On a showing that the broker has not provided reasonable and adequate supervision in the areas under §B of this regulation, the burden of proof shall be on the broker to show that the supervision which the broker did provide was reasonable and adequate.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§17-208 and 17-320, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 21, 1988 (15:6 Md. R. 739)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 17, 2001 (28:18 Md. R. 1620)</annotation> </annotations> </chapter> <chapter num="06" heading="Continuing Education"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Approved continuing education course” means a continuing education course approved by the Commission.</text> </paragraph> <paragraph num="(2)"> <text>“Classroom instruction” means the art or science of teaching in a space:</text> <paragraph num="(a)"> <text>Exclusively used for instructing during periods of instruction;</text> </paragraph> <paragraph num="(b)"> <text>Which is conducive to learning; and</text> </paragraph> <paragraph num="(c)"> <text>Where an assigned instructor is present.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Clock hour” means a minimum of 50 minutes of instruction per 60-minute hour.</text> </paragraph> <paragraph num="(4)"> <text>“Commission” means the State Real Estate Commission.</text> </paragraph> <paragraph num="(5)"> <text>“Continuing education course” means a course related to real estate taught by a qualified instructor who is experienced in the real estate industry through:</text> <paragraph num="(a)"> <text>Classroom instruction; or</text> </paragraph> <paragraph num="(b)"> <text>A design and delivery system for distance learning instruction.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Course” means classroom or distance learning instruction of 1.5 clock hours, but not more than 6 clock hours.</text> </paragraph> <paragraph num="(7)"> <text>“Course provider” means an entity that is qualified to conduct continuing education courses in accordance with Business Occupations and Professions Article, §17-315(c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(8)"> <text>“Course related to real estate” means a course which covers one or more of the following topics:</text> <paragraph num="(a)"> <text>Federal, State, or local legislative issues;</text> </paragraph> <paragraph num="(b)"> <text>Antitrust law;</text> </paragraph> <paragraph num="(c)"> <text>Fair housing law;</text> </paragraph> <paragraph num="(d)"> <text>Real estate ethics or professional standards;</text> </paragraph> <paragraph num="(e)"> <text>Disclosure;</text> </paragraph> <paragraph num="(f)"> <text>Professional enhancement for practicing licensees;</text> </paragraph> <paragraph num="(g)"> <text>Technology relating to real estate brokerage services;</text> </paragraph> <paragraph num="(h)"> <text>The principles of agency and agency disclosure; and</text> </paragraph> <paragraph num="(i)"> <text>The requirements of supervision by brokers, branch office managers, and team leaders.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>Distance Learning Instruction.</text> <paragraph num="(a)"> <text>“Distance learning instruction” means the art or science of teaching where:</text> <paragraph num="(i)"> <text>The instructor and student may be separated by distance and time;</text> </paragraph> <paragraph num="(ii)"> <text>Equipment may be needed to communicate the content; and</text> </paragraph> <paragraph num="(iii)"> <text>The content is specifically developed for this form of instruction.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Distance learning methods include:</text> <paragraph num="(i)"> <text>The specific delivery systems listed in Business Occupations and Professions Article, §17-315, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(ii)"> <text>Any other delivery system approved by the Commission.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Instructor” means an individual engaged by a course provider to teach a continuing education course.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Education Committee."> <paragraph num="A."> <text>There is an Education Committee consisting of Commission members appointed by the Chairman. The Committee shall include at least two licensee members and one consumer member.</text> </paragraph> <paragraph num="B."> <text>A course provider who has been denied approval of a course by Commission staff may request the Committee to review that decision. The request for review shall be filed within 10 business days of receipt of the denial notice.</text> </paragraph> <paragraph num="C."> <text>The Committee shall review the request and issue a decision within 20 days.</text> </paragraph> <paragraph num="D."> <text>An applicant for approval as a course provider whose application has been turned down or a course provider whose approval to offer courses has been suspended or withdrawn by Commission staff may request an informal conference with the Committee to review that decision. The request for the conference shall be filed within 10 business days of receipt of the denial, suspension, or withdrawal notice. After the conference, the Committee shall either approve the course provider or refer the matter to a hearing panel of the Commission for a hearing in accordance with Business Occupations and Professions Article, §17-326, Annotated Code of Maryland.</text> </paragraph> <paragraph num="E."> <text>The hearing panel shall hold a hearing within 60 days of the referral from the Committee, and issue a decision within 30 days after the hearing.</text> </paragraph> <paragraph num="F."> <text>An applicant or course provider may waive the right to a hearing and request the hearing panel to review the decision to deny, suspend, or withdraw approval based on documentary evidence.</text> </paragraph> <paragraph num="G."> <text>The decision of the hearing panel as to suspension or withdrawal of course provider approval shall be based on the seriousness of the offense charged, the good faith of the provider, and any prior history of violations by the provider.</text> </paragraph> <paragraph num="H."> <text>The decisions of the Committee as to course approval and the hearing panel as to approval of a course provider are the final decisions of the Commission.</text> </paragraph> <paragraph num="I."> <text>If a course provider makes a timely request for review of a decision to suspend or withdraw its approval to offer courses, that action shall be stayed until the final decision of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Course Providers."> <paragraph num="A."> <text>In order to qualify as an educational institution under Business Occupations and Professions Article, §17-315(c)(1), Annotated Code of Maryland, the institution shall provide the Commission with evidence of its approval by the Maryland Higher Education Commission as a career school eligible to provide the Real Estate Principles and Practices course at the currently mandated hours for prelicensing education.</text> </paragraph> <paragraph num="B."> <text>A completed application for approval as a course provider shall be submitted to the Commission at least 30 days prior to the first course offering date.</text> </paragraph> <paragraph num="C."> <text>Course providers shall have the following responsibilities:</text> <paragraph num="(1)"> <text>To provide instructors qualified to teach the subjects offered;</text> </paragraph> <paragraph num="(2)"> <text>To train all instructors and course monitors in course protocol, including classroom conduct and record keeping;</text> </paragraph> <paragraph num="(3)"> <text>To oversee all aspects of course provision and the format and content of all advertising of course offerings;</text> </paragraph> <paragraph num="(4)"> <text>To maintain all required records; and</text> </paragraph> <paragraph num="(5)"> <text>To respond to all inquiries from the Commission within 10 days.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A course provider who has not offered at least one Commission-approved course in a 12-month period shall requalify as a course provider.</text> </paragraph> <paragraph num="E."> <text>All payments for courses shall be made directly to the approved course provider or to the course provider’s third party payment processor.</text> </paragraph> <paragraph num="F."> <text>The course provider shall set and administer course cancellation and fee refund policies in a nondiscriminatory manner.</text> </paragraph> <paragraph num="G."> <text>The course provider shall maintain records of course attendees including sign-in sheets, detailed course outlines, instructor information including resumes and other background information, and, if required, final grades for at least 5 years after the expiration date of each course offering.</text> </paragraph> <paragraph num="H."> <text>The course provider shall give Commission representatives access to course records on request.</text> </paragraph> <paragraph num="I."> <text>The following situations could form the basis on which course provider approval is denied, suspended, or withdrawn:</text> <paragraph num="(1)"> <text>Submission of false information in an application for provider or course approval;</text> </paragraph> <paragraph num="(2)"> <text>Failure of the course provider to maintain its status as a professional association or educational institution under the laws of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>Discipline by the Commission of a course provider who holds a real estate license in a matter relating to the licensee’s provision of real estate brokerage services;</text> </paragraph> <paragraph num="(4)"> <text>Repeated cancellation of scheduled courses by the course provider;</text> </paragraph> <paragraph num="(5)"> <text>Failure of the course provider to reimburse prepaid fees to licensees after scheduled courses have been cancelled;</text> </paragraph> <paragraph num="(6)"> <text>Issuance of blank certificates of course completion;</text> </paragraph> <paragraph num="(7)"> <text>Repeated issuance of inaccurate certificates of course completion with regard to topic, course number, and course title;</text> </paragraph> <paragraph num="(8)"> <text>Submission of inaccurate course completion information to the Commission;</text> </paragraph> <paragraph num="(9)"> <text>Repeated issuance of certificates of course completion to licensees who were not entitled to them;</text> </paragraph> <paragraph num="(10)"> <text>Submission of course completion information to the Commission for licensees who were not entitled to obtain credits;</text> </paragraph> <paragraph num="(11)"> <text>Failure to maintain the records required by the Commission, including rosters of attendees and sign-in sheets;</text> </paragraph> <paragraph num="(12)"> <text>Failure to timely respond to inquiries and requests for records from the Commission; and</text> </paragraph> <paragraph num="(13)"> <text>Failure of the course provider or any representative of the course provider, including instructors and monitors, to comply with regulations governing continuing education.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Course Approval."> <paragraph num="A."> <text>The course provider shall submit an application for a class in a particular subject matter at least 30 days prior to the date of the first offering of the course.</text> </paragraph> <paragraph num="B."> <text>The Commission may request an outline of the course content as part of the approval process.</text> </paragraph> <paragraph num="C."> <text>The Commission shall approve or deny the application within 20 days of the submission of the completed application.</text> </paragraph> <paragraph num="D."> <text>The Commission may approve a course for up to 2 years from the approval date.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Course Content."> <paragraph num="A."> <text>The Commission may approve a continuing education course that meets all of the following five criteria:</text> <paragraph num="(1)"> <text>The course is a mandated or elective course designed for:</text> <paragraph num="(a)"> <text>Protecting the general public in their real estate transactions;</text> </paragraph> <paragraph num="(b)"> <text>Enabling the licensee to serve the objectives of the consumer in a real estate transaction; or</text> </paragraph> <paragraph num="(c)"> <text>Enabling the licensee to develop competency and professionalism in a changing marketplace;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The course covers the topic area cited in the application;</text> </paragraph> <paragraph num="(3)"> <text>The course is developed for a knowledge and ability level beyond the professional entry level;</text> </paragraph> <paragraph num="(4)"> <text>The course has an outline detailing the sequence of topics and the amount of time allotted to each topic; and</text> </paragraph> <paragraph num="(5)"> <text>The course consists of at least 1.5 clock hours.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A course provider may not materially change the content of an approved course without the prior written approval of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Advertising."> <paragraph num="A."> <text>Advertising related only to a specific course shall be in the name of the approved course provider. The name of a course sponsor may appear in the advertising, but may not be in a font size or format that exceeds that of the approved course provider. The role of the sponsor as to the course shall be included in the advertising.</text> </paragraph> <paragraph num="B."> <text>The course provider’s name as reflected in the application form, its telephone and electronic contact information, and its office address shall appear in all course advertising.</text> </paragraph> <paragraph num="C."> <text>Contact information for individuals or entities other than the approved course provider may not appear in the advertising material for a specific course.</text> </paragraph> <paragraph num="D."> <text>A course offered as part of an event such as a conference, convention, trade show, or education day may be advertised in the publication for that event. That publication may contain other information or advertising, including reference to event sponsors.</text> </paragraph> <paragraph num="E."> <text>The advertising material for a specific course shall include the title, topic, name of approved course provider, Commission approval number, number of approved hours, and cost of the course.</text> </paragraph> <paragraph num="F."> <text>For programs where the continuing education credits are less than the classroom hours, the course provider shall inform students in advance that the full program must be completed in order to receive the continuing education credits.</text> </paragraph> <paragraph num="G."> <text>A course pending approval by the Commission shall be advertised as “subject to Commission approval”.</text> </paragraph> <paragraph num="H."> <text>Course provider policies on refunds and cancellations shall be available to licensees prior to payment of the course fee.</text> </paragraph> <paragraph num="I."> <text>Advertising for all approved classroom courses offered by a course provider shall state that the course is open to all licensees based on availability.</text> </paragraph> <paragraph num="J."> <text>Prior to enrollment, the provider of distance learning courses shall:</text> <paragraph num="(1)"> <text>Provide to licensees information on course requirements, including minimum system needs for interactive programs, and availability of technical and instructor assistance; and</text> </paragraph> <paragraph num="(2)"> <text>Notify licensees that the time for completion of a distance learning course could exceed the credit hours received for the course.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Facilities."> <text>Each classroom in which courses are given shall:</text> <paragraph num="A."> <text>Meet all fire, safety, zoning, and Americans with Disabilities Act (ADA) requirements;</text> </paragraph> <paragraph num="B."> <text>Be of sufficient size to comfortably accommodate all enrolled students;</text> </paragraph> <paragraph num="C."> <text>Provide an appropriate learning environment; and</text> </paragraph> <paragraph num="D."> <text>Be free of distractions that would disrupt class sessions.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Conduct of Courses."> <paragraph num="A."> <text>Scheduling.</text> <paragraph num="(1)"> <text>The maximum permissible class session without a break is 90 minutes.</text> </paragraph> <paragraph num="(2)"> <text>A course scheduled for more than 4 hours in one day shall include a meal break of at least 30 minutes, but not more than 90 minutes.</text> </paragraph> <paragraph num="(3)"> <text>A course shall begin promptly at the scheduled time.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Records.</text> <paragraph num="(1)"> <text>The course provider shall require each licensee to show a picture ID in order to be admitted to a class for which the licensee has enrolled.</text> </paragraph> <paragraph num="(2)"> <text>The course provider shall maintain a sign-in sheet containing:</text> <paragraph num="(a)"> <text>The printed names and the signatures of all enrolled licensees on their arrival; and</text> </paragraph> <paragraph num="(b)"> <text>Notation by the instructor or monitor of the beginning and end times of any absences of the licensee from the class during the instructional period.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The course provider shall give each student at check-in a copy of the continuing education student information sheet furnished to the provider by the Commission unless the sheet has previously been made available to students electronically.</text> </paragraph> <paragraph num="(4)"> <text>The course provider shall require at the conclusion of the course that all enrolled licensees:</text> <paragraph num="(a)"> <text>Sign the sign-in sheet; or</text> </paragraph> <paragraph num="(b)"> <text>Verify their complete attendance through a system that includes some form of personal identification.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Classroom Conduct.</text> <paragraph num="(1)"> <text>Students may not take reading material unrelated to the course into the classroom.</text> </paragraph> <paragraph num="(2)"> <text>Instructors, monitors, and students may not consult any personal electronic communication devices (Blackberries or iPhones, for example) during a class session.</text> </paragraph> <paragraph num="(3)"> <text>Class time may not be used to promote or sell any materials or services or to solicit affiliation or membership in any business or organization.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Monitors.</text> <paragraph num="(1)"> <text>A monitor is not required if the class consists of 25 or fewer pre-registered students.</text> </paragraph> <paragraph num="(2)"> <text>Monitors in addition to the instructor are required under the following conditions:</text> <paragraph num="(a)"> <text>26 to 50 preregistered students — 1 monitor;</text> </paragraph> <paragraph num="(b)"> <text>51 to 100 preregistered students — 2 monitors;</text> </paragraph> <paragraph num="(c)"> <text>More than 100 preregistered students — 1 additional monitor for each additional 100 students.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Instructors. The instructor shall teach the course in substantially the same manner as that set forth in the outline submitted to the Commission.</text> </paragraph> <paragraph num="F."> <text>Course Credit.</text> <paragraph num="(1)"> <text>A student may not receive credit hours for a course if:</text> <paragraph num="(a)"> <text>The student arrives after the classroom instruction begins or departs prior to the class being dismissed; or</text> </paragraph> <paragraph num="(b)"> <text>The student is out of the classroom during the instruction period for more than 5 minutes during a 60-minute period.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A course provider, instructor, or monitor may not make an exception to the attendance requirements under any circumstances.</text> </paragraph> <paragraph num="(3)"> <text>A student may not receive partial credit for a course.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Certificate of Completion.</text> <paragraph num="(1)"> <text>A certificate of completion shall be distributed by the instructor at the end of the class, or mailed or electronically transmitted to the student at a later date.</text> </paragraph> <paragraph num="(2)"> <text>A course provider or instructor may not:</text> <paragraph num="(a)"> <text>Issue a certificate of completion to a student who has not complied with all regulations governing the conduct of the course, including the timeliness and attendance requirements; or</text> </paragraph> <paragraph num="(b)"> <text>Submit course completion information to the Commission for a student who has not complied with all regulations governing the conduct of the course, including the timeliness and attendance requirements.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Cancellation of Course. In the event of a course cancellation, the course provider shall:</text> <paragraph num="(1)"> <text>Make reasonable efforts to notify preregistered students of the cancellation; and</text> </paragraph> <paragraph num="(2)"> <text>Refund all prepaid fees within 30 days of the date of cancellation or, with the permission of the student, apply the fees to another course.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Licensee Credit Hours."> <paragraph num="A."> <text>Pre-approval. A course will qualify for continuing education credit only if the Commission has approved the form, substance, and subject matter of the course before the course is given.</text> </paragraph> <paragraph num="B."> <text>Prelicensing Courses. An instruction program for prelicensing examination preparation does not constitute qualifying credit hours for the continuing education requirement.</text> </paragraph> <paragraph num="C."> <text>Licenses Originating in Other Jurisdictions.</text> <paragraph num="(1)"> <text>Subject to §D(2) of this regulation, unless a licensee originally licensed in another jurisdiction has received the Maryland license pursuant to a written reciprocity agreement, the licensee shall meet all Maryland continuing education requirements.</text> </paragraph> <paragraph num="(2)"> <text>A licensee may receive credit for an elective course taken in a jurisdiction where the licensee holds a license if that course was approved for continuing education credit by the real estate licensing authority in that jurisdiction.</text> </paragraph> <paragraph num="(3)"> <text>All courses in subject areas mandated by Maryland law shall be taken from a course provider approved by the Commission.</text> </paragraph> <paragraph num="(4)"> <text>A licensee holding a reciprocal category license based on a reciprocity agreement with another jurisdiction is required to complete only the continuing education requirements set forth in the agreement.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Legislators. A member of the General Assembly who holds a current real estate license may receive credit for the 3-hour continuing education requirement for legislative update based on service in the General Assembly during that 2-year licensing period.</text> </paragraph> <paragraph num="E."> <text>Disciplinary Action. A licensee may not use continuing education course hour credit for course hours completed as part of the resolution of a Commission disciplinary action as credit hours toward renewal of license requirement.</text> </paragraph> <paragraph num="F."> <text>Instructors and Monitors. A course instructor and a monitor may receive continuing education credit for the first time an approved course is taught or monitored during each licensing cycle.</text> </paragraph> <paragraph num="G."> <text>Mandated Agency and Supervision Courses. Agency and supervision courses mandated by Business Occupations and Professions Article, §17-315(b)(2)(v) and (vi), Annotated Code of Maryland, must include the curriculum approved by the Commission and must be taught by course instructors who have completed the related training course provided by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Distance Learning."> <paragraph num="A."> <text>The provider of a distance learning course shall obtain approval of the technical aspects of a course from an entity recognized by the Commission in the field of technical expertise before submitting the course to the Commission for review of its substance and subject matter.</text> </paragraph> <paragraph num="B."> <text>In a distance learning course, if the course provider and the student are separated by space and time:</text> <paragraph num="(1)"> <text>The provider’s technical staff:</text> <paragraph num="(a)"> <text>May answer student questions about technical support and delivery method; but</text> </paragraph> <paragraph num="(b)"> <text>May not answer questions about content; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The assigned instructor shall respond to questions from students about course content within 2 business days.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The course provider shall be responsible for establishing guidelines for the completion of a distance learning course and any specific components of the course.</text> </paragraph> <paragraph num="D."> <text>A distance learning instruction course shall include the following requirements:</text> <paragraph num="(1)"> <text>The student shall complete the instructional module or modules and receive a passing grade on a final examination administered and graded by the approved provider;</text> </paragraph> <paragraph num="(2)"> <text>The passing grade shall be 70 percent or higher; and</text> </paragraph> <paragraph num="(3)"> <text>If a student fails initially to achieve a passing score on a final examination, the student shall successfully pass the examination within a time frame set by the course provider in order to use the course for credit toward the continuing education requirement.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Student Affirmation.</text> <paragraph num="(1)"> <text>The course provider shall be responsible for obtaining from students who have completed a distance learning course the following affirmation: "I (name of student) affirm that I have personally completed every requirement of the course and that I have not provided any aspect of the course to others.”</text> </paragraph> <paragraph num="(2)"> <text>The course provider may obtain the affirmation described in §E(1) of this regulation by electronic means.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§17-208 and 17-315, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 5, 1993 (20:13 Md. R. 1046)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective June 30, 1997 (24:13 Md. R. 930)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective June 30, 1997 (24:13 Md. R. 930)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective April 26, 2004 (31:8 Md. R. 646)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective April 18, 2011 (38:8 Md. R. 505)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08G amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10E amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10F repealed effective June 1, 2017 (44:8 Md. R. 402)</annotation> </annotations> </chapter> <chapter num="07" heading="Residential Property Disclosure/Disclaimer Statement"> <regulation prefix="Regulation" num=".01" heading="Residential Real Property Disclosure/Disclaimer Statement."> <text>In accordance with the provisions of the Real Property Article, §10-702, Annotated Code of Maryland the disclosure/disclaimer statement form provided by the Maryland Real Estate Commission shall be used in all applicable real property transactions.</text> <text>FORMS AT END OF CHAPTER.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Guidelines."> <paragraph num="A."> <text>A licensed broker, associate broker, or salesperson acting as a seller’s agent should obtain a written residential property condition disclosure statement or a written residential property disclaimer statement at the time the licensed broker, associate broker, or salesperson obtains the listing on the property.</text> </paragraph> <paragraph num="B."> <text>The seller’s agent should provide the disclosure statement or disclaimer statement to the prospective purchaser or to the buyer’s agent assisting the purchaser promptly upon notification that an offer is going to be made. If the seller’s agent does not know in advance that an offer is to be made, the seller’s agent should provide the disclosure statement or disclaimer statement at the time the seller’s agent receives the written offer.</text> </paragraph> <paragraph num="C."> <text>The buyer’s agent should make every effort to ensure that the prospective purchaser has the disclosure statement or the disclaimer statement in hand before submission of the offer to purchase the property.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §17-208; Real Property Article, §10-702; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 17, 1994 (21:1 Md. R. 29)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulation .01 adopted as an emergency provision effective October 16, 1995 (22:23 Md. R. 1795); adopted permanently effective April 8, 1996 (23:7 Md. R. 551)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective December 28, 2020 (47:26 Md. R. 1107)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted as an emergency provision effective January 6, 1994 (21:2 Md. R. 95); emergency status expired July 1, 1994; adopted permanently effective July 18, 1994 (21:14 Md. R. 1228)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> </annotations> </chapter> <chapter num="08" heading="Agency Relationship Disclosure/Dual Agency Consent"> <regulation prefix="Regulation" num=".01" heading="Agency Relationship Disclosure Form/Dual Agency Consent Form."> <text>In accordance with the provisions of Business Occupations and Professions Article, §17-530, Annotated Code of Maryland, model Agency Disclosure and Dual Agency Consent forms provided by the Maryland Real Estate Commission shall be used in all applicable real estate property transactions.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §17-530, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective January 1, 1995 (21:25 Md. R. 2092); emergency status extended at 22:12 Md. R. 897</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective December 23, 1995 (23:2 Md. R. 92); emergency status expired April 23, 1996; adopted permanently effective May 20, 1996 (23:10 Md. R. 731)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective June 1, 2017 (44:8 Md. R. 402)</annotation> </annotations> </chapter> <chapter num="09" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§2-106.3 and 2-106.4, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 17, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the Real Estate Commission.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Schedule of Fees."> <text>Fees charged by the Commission are as follows:</text> <paragraph num="A."> <text>Original license fees:</text> <paragraph num="(1)"> <text>Broker — $211;</text> </paragraph> <paragraph num="(2)"> <text>Associate broker —$143;</text> </paragraph> <paragraph num="(3)"> <text>Salesperson — $98;</text> </paragraph> </paragraph> <paragraph num="B."> <text>License renewal fees:</text> <paragraph num="(1)"> <text>Broker —$191;</text> </paragraph> <paragraph num="(2)"> <text>Associate broker — $123;</text> </paragraph> <paragraph num="(3)"> <text>Salesperson — $78;</text> </paragraph> </paragraph> <paragraph num="C."> <text>Reactivation of inactive license — $28;</text> </paragraph> <paragraph num="D."> <text>Reinstatement fees:</text> <paragraph num="(1)"> <text>Reinstatement of license—$168;</text> </paragraph> <paragraph num="(2)"> <text>CE Late fee—$75;</text> </paragraph> </paragraph> <paragraph num="E."> <text>Broker business name change, for broker and each license under broker — $28;</text> </paragraph> <paragraph num="F."> <text>Personal name change — $28;</text> </paragraph> <paragraph num="G."> <text>Transfer to another broker — $28;</text> </paragraph> <paragraph num="H."> <text>Certificate of license history:</text> <paragraph num="(1)"> <text>For 5-year history — $28;</text> </paragraph> <paragraph num="(2)"> <text>For full history — $84.</text> </paragraph> </paragraph> <paragraph num="I."> <text>CE Course Approval—$25.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§17-213, 17-314, 17-315, and 17-403; Business Regulation Article, §§2-106.3 and 2-106.4; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 1, 2009 (36:4 Md. R. 353)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective January 2, 2017 (43:26 Md. R. 1443); April 29, 2024 (51:8 Md. R. 366); April 28, 2025 (52:8 Md. R. 357)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, B amended effective January 11, 2016 (42:26 Md. R. 1594)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective April 27, 2026 (53:8 Md. R. 355)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02I adopted effective April 27, 2026 (53:8 Md. R. 355)</annotation> </annotations> </chapter> </subtitle> <subtitle num="12" heading="Division of Labor and Industry"> <chapter num="01" heading="Board of Boiler Rules"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In these regulations, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“ASME Code” means the “ASME Boiler and Pressure Vessel Code” of the American Society of Mechanical Engineers with revisions, amendments, and interpretations adopted by the Board of Boiler Rules.</text> </paragraph> <paragraph num="(2)"> <text>“Antique boiler” means a boiler that is:</text> <paragraph num="(a)"> <text>Fabricated and stamped:</text> <paragraph num="(i)"> <text>In accordance with the ASME Code or another nationally recognized boiler construction standard; and</text> </paragraph> <paragraph num="(ii)"> <text>More than 30 years before the date of the inspection;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Operated primarily for demonstration, exhibition, or instructional purposes and not for profit; or</text> </paragraph> <paragraph num="(c)"> <text>Constructed, inspected, and stamped in accordance with the ASME Code and registered with the National Board of Boiler and Pressure Vessels Inspectors to replace a historical boiler.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Approved” means approved by the Board of Boiler Rules.</text> </paragraph> <paragraph num="(4)"> <text>“Authorized Inspection Agency” means an entity that:</text> <paragraph num="(a)"> <text>Is accredited in accordance with the National Board of Boiler and Pressure Vessel Inspectors NB-369, Qualifications and Duties for Authorized Inspection Agencies Performing Inservice Inspection Activities and Qualifications for Inspectors of Boilers and Pressure Vessels;</text> </paragraph> <paragraph num="(b)"> <text>Is accredited in accordance with the National Board of Boiler and Pressure Vessel Inspectors NB-371, Accreditation of Owner-User Inspection Organizations (OUIO); or</text> </paragraph> <paragraph num="(c)"> <text>Meets the qualifications and definition of the National Board of Boiler and Pressure Vessel Inspectors NB-360, Criteria for Acceptance of Authorized Inspection Agencies for New Construction.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Authorized Insurer” means an authorized inspection agency licensed to insure boilers and pressure vessels in Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Board” means the Board of Boiler Rules.</text> </paragraph> <paragraph num="(7)"> <text>“Boiler external piping” means piping which:</text> <paragraph num="(a)"> <text>Begins where the boiler proper terminates at the:</text> <paragraph num="(i)"> <text>First circumferential joint for welded end connections;</text> </paragraph> <paragraph num="(ii)"> <text>Face of the first flange in bolted flanged connections; or</text> </paragraph> <paragraph num="(iii)"> <text>First threaded joint in threaded connections; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Extends up to and including the valve or valves required by Section I or Section IV of the ASME Code.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Certificate of Competency” means a certificate issued by the Chief Boiler Inspector indicating the suitability and fitness of an individual to inspect boilers and pressure vessels in Maryland.</text> </paragraph> <paragraph num="(9)"> <text>“Certificate inspection” means an inspection the report of which is used by the Chief Boiler Inspector to determine whether to issue a certificate.</text> </paragraph> <paragraph num="(10)"> <text>“Certificate of inspection for repair or alteration” means the certificate inspection performed after a repair or alteration to determine suitability of the object for return to service.</text> </paragraph> <paragraph num="(11)"> <text>“Commissioner” means the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(12)"> <text>“Condemned boiler or pressure vessel” means a boiler or pressure vessel that has been inspected and declared unsafe or declared disqualified under legal requirements by an inspector who is authorized to take such action and who has applied a stamp or mark designating condemnation.</text> </paragraph> <paragraph num="(13)"> <text>“Electric boiler” means a boiler in which the source of heat is electricity.</text> </paragraph> <paragraph num="(14)"> <text>“Existing boiler or pressure vessel installation” means:</text> <paragraph num="(a)"> <text>A boiler constructed, installed, placed in operation, or contracted for before July 1, 1969, excluding antique boilers, historical boilers or model steam boilers; or</text> </paragraph> <paragraph num="(b)"> <text>A pressure vessel constructed, installed, placed in operation, or contracted for before January 1, 1974, excluding antique boilers, historical boilers or model steam boilers.</text> </paragraph> </paragraph> <paragraph num="(15)"> <text>“External inspection” means an inspection made when a boiler or pressure vessel is in operation.</text> </paragraph> <paragraph num="(16)"> <text>“Follow up inspection” means an inspection performed after a boiler or pressure vessel has been determined to be nonconforming with applicable laws and regulations.</text> </paragraph> <paragraph num="(17)"> <text>Heating Boiler.</text> <paragraph num="(a)"> <text>“Heating boiler” means:</text> <paragraph num="(i)"> <text>A steam boiler that operates at pressures not exceeding 15 PSIG; or</text> </paragraph> <paragraph num="(ii)"> <text>A hot water boiler operated at pressures not exceeding 160PSIG or temperatures not exceeding 250°F at or near the boiler outlet.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Heating boiler” includes a vessel used in connection with it as an expansion tank.</text> </paragraph> </paragraph> <paragraph num="(18)"> <text>“High-pressure, high-temperature water boiler” means a water boiler that operates at pressures exceeding 160 PSIG or temperatures exceeding 250°F at or near the boiler outlet.</text> </paragraph> <paragraph num="(19)"> <text>“Historical boiler” means a boiler that is:</text> <paragraph num="(a)"> <text>Riveted and/or welded construction;</text> </paragraph> <paragraph num="(b)"> <text>Not under the jurisdiction of the Federal Railroad Administration;</text> </paragraph> <paragraph num="(c)"> <text>Not used for profit; and</text> </paragraph> <paragraph num="(d)"> <text>An antique boiler, steam tractor, traction engine, hobby steam boiler, or portable steam boiler that is preserved, restored, and maintained for demonstration, viewing, or educational purposes.</text> </paragraph> </paragraph> <paragraph num="(20)"> <text>“Hobby steam boiler” means a model steam boiler.</text> </paragraph> <paragraph num="(21)"> <text>“Hot water heating boiler” means a heating boiler furnishing hot water circulated to return to itself.</text> </paragraph> <paragraph num="(22)"> <text>“Hot water supply boiler” means a heating boiler furnishing hot water for use external to itself.</text> </paragraph> <paragraph num="(23)"> <text>“Individually fabricated” means constructed, inspected, and stamped in accordance with the ASME Code, or other standard accepted by the Chief Boiler Inspector.</text> </paragraph> <paragraph num="(24)"> <text>“Inspector” means the chief boiler inspector, a deputy boiler inspector, or a special inspector.</text> </paragraph> <paragraph num="(25)"> <text>"Installer” means an individual, firm, association, corporation, or other entity that installs or constructs boilers or pressure vessels.</text> </paragraph> <paragraph num="(26)"> <text>“Internal inspection” means an examination as complete as possible of the internal and external surfaces of a boiler or pressure vessel conducted while it is not in operation, and with all manhole plates, hand hole plates, and other coverings of inspection openings removed.</text> </paragraph> <paragraph num="(27)"> <text>“Kitchen” means an area used for the preparation or processing of food for human consumption.</text> </paragraph> <paragraph num="(28)"> <text>“Kitchen equipment boiler” means a boiler located in a kitchen, and used for cooking or related purposes.</text> </paragraph> <paragraph num="(29)"> <text>“Lap-seam crack” means a crack in a lap-seam of a boiler or pressure vessel parallel to a longitudinal joint, either between or adjacent to rivet holes.</text> </paragraph> <paragraph num="(30)"> <text>“Maryland inspection report form” means the form submitted by an inspector and available on the Department’s website.</text> </paragraph> <paragraph num="(31)"> <text>“Miniature boiler” means a boiler when none of the following limitations are exceeded:</text> <paragraph num="(a)"> <text>16 inches inside diameter of shell;</text> </paragraph> <paragraph num="(b)"> <text>20 square feet heating surface, except for an electric boiler;</text> </paragraph> <paragraph num="(c)"> <text>5 cubic feet gross volume, exclusive of casing and insulation; and</text> </paragraph> <paragraph num="(d)"> <text>100 psig maximum allowable working pressure.</text> </paragraph> </paragraph> <paragraph num="(32)"> <text>“Model steam boiler” means a boiler that is individually fabricated for non-commercial use and that is used primarily for demonstration, exhibition, or educational purposes, and not used for profit.</text> </paragraph> <paragraph num="(33)"> <text>“Maximum allowable operating pressure” means the maximum pressure at which a boiler or pressure vessel is permitted to operate as determined by an inspector after an inspection and which is equal to or less than the maximum allowable working pressure.</text> </paragraph> <paragraph num="(34)"> <text>“Maximum allowable working pressure” means the maximum pressure at which a boiler or pressure vessel is designed to operate as determined by the manufacturer in accordance with the construction code.</text> </paragraph> <paragraph num="(35)"> <text>“Modular boiler system” means a series of boiler units specifically designed to be used singularly or together in sequential operation.</text> </paragraph> <paragraph num="(36)"> <text>“National Board” means the National Board of Boiler and Pressure Vessel Inspectors.</text> </paragraph> <paragraph num="(37)"> <text>“NBIC” means the National Board Inspection Code.</text> </paragraph> <paragraph num="(38)"> <text>“New boiler or pressure vessel installation” means:</text> <paragraph num="(a)"> <text>A boiler constructed, installed, placed in operation, or contracted for after July 1, 1969; or</text> </paragraph> <paragraph num="(b)"> <text>A pressure vessel constructed, installed, placed in operation, or contracted for after January 1, 1974.</text> </paragraph> </paragraph> <paragraph num="(39)"> <text>“Nonstandard boiler or pressure vessel” means a boiler or pressure vessel that does not bear the stamp of:</text> <paragraph num="(a)"> <text>Maryland;</text> </paragraph> <paragraph num="(b)"> <text>Another jurisdiction which has adopted a standard of construction equivalent to that required by the Board of Boiler Rules;</text> </paragraph> <paragraph num="(c)"> <text>The ASME; or</text> </paragraph> <paragraph num="(d)"> <text>The National Board.</text> </paragraph> </paragraph> <paragraph num="(40)"> <text>“Owner” means a person, firm, or corporation owning or operating a boiler or pressure vessel within Maryland.</text> </paragraph> <paragraph num="(41)"> <text>“Owner-user inspection service” means an owner of a boiler or pressure vessel in Maryland, who maintains a regularly established inspection department whose inspection procedures meet the applicable requirements of the National Board of Boiler and Pressure Vessel Inspectors and are acceptable to the Board.</text> </paragraph> <paragraph num="(42)"> <text>“Person” means an installer, owner, or operator of a boiler or pressure vessel, a repair organization, or a company licensed to insure or inspect boilers and pressure vessels in the State.</text> </paragraph> <paragraph num="(43)"> <text>“Portable boiler or pressure vessel” means a boiler or pressure vessel that is not historical but meets the following requirements:</text> <paragraph num="(a)"> <text>Is set on a frame, platform or trailer; and</text> </paragraph> <paragraph num="(b)"> <text>Is designed to be moved to different locations for use.</text> </paragraph> </paragraph> <paragraph num="(44)"> <text>“Portable steam boiler” means a historical boiler that is:</text> <paragraph num="(a)"> <text>Not self-propelled;</text> </paragraph> <paragraph num="(b)"> <text>Set on a frame, platform, or trailer; and</text> </paragraph> <paragraph num="(c)"> <text>Designed to be moved to different locations for use.</text> </paragraph> </paragraph> <paragraph num="(45)"> <text>“Power boiler” means a boiler in which steam or other vapor is generated at a pressure of more than 15 PSIG, and includes a high-pressure, high-temperature water boiler.</text> </paragraph> <paragraph num="(46)"> <text>“PSIG” means pounds per square inch gauge.</text> </paragraph> <paragraph num="(47)"> <text>“Standard boiler or pressure vessel” means a boiler or pressure vessel that:</text> <paragraph num="(a)"> <text>Bears the stamp of Maryland;</text> </paragraph> <paragraph num="(b)"> <text>Bears the stamp of another jurisdiction which has adopted a standard of construction equivalent to that required by the Board of Boiler Rules;</text> </paragraph> <paragraph num="(c)"> <text>Bears the stamps of both ASME and the National Board; or</text> </paragraph> <paragraph num="(d)"> <text>Is of equivalent safe construction acceptable to the Board.</text> </paragraph> </paragraph> <paragraph num="(48)"> <text>“Used boiler or pressure vessel” means a boiler or pressure vessel which has been removed from its original setting and reinstalled at the same or different location.</text> </paragraph> <paragraph num="(49)"> <text>“Water heater” means a closed vessel with openings through which water may flow and includes:</text> <paragraph num="(a)"> <text>An apparatus by which heat is generated;</text> </paragraph> <paragraph num="(b)"> <text>Controls necessary to prevent pressures greater than 160 psig and water temperatures greater than 210 degrees F; and</text> </paragraph> <paragraph num="(c)"> <text>Potable water that is withdrawn for external use.</text> </paragraph> </paragraph> <paragraph num="(50)"> <text>“Workday” means a day that is not a Saturday, a Sunday, or a State holiday.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".01-1" heading="Incorporation by Reference."> <paragraph num="A."> <text>The following documents are incorporated by reference to the extent that they are referenced in this chapter:</text> <paragraph num="(1)"> <text>ASME 2019 Boiler and Pressure Vessel Code, an International Code; and</text> </paragraph> <paragraph num="(2)"> <text>National Board Inspection Code — NBIC, 2019 Edition.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The following documents are incorporated by reference in their entirety:</text> <paragraph num="(1)"> <text>ASME B31.1 — 2018 Edition, Power Piping (American Society of Mechanical Engineers);</text> </paragraph> <paragraph num="(2)"> <text>ASME B31.3 — 2018 Edition, Process Piping (American Society of Mechanical Engineers);</text> </paragraph> <paragraph num="(3)"> <text>ASME CSD-1 — 2018 Edition, Controls and Safety Devices for Automatically Fired Boilers (American Society of Mechanical Engineers) as amended in §C of this regulation; and</text> </paragraph> <paragraph num="(4)"> <text>NFPA 85, Boiler and Combustion Systems Hazards Code — 2019 Edition (National Fire Protection Association).</text> </paragraph> </paragraph> <paragraph num="C."> <text>Controls and Safety Devices for Automatically Fired Boilers (CSD-1) (American Society of Mechanical Engineers).</text> <paragraph num="(1)"> <text>The requirements of ASME CSD-1 in effect at the time a boiler is installed apply to:</text> <paragraph num="(a)"> <text>Power boilers regardless of fuel input;</text> </paragraph> <paragraph num="(b)"> <text>Other boilers with a fuel input of greater than 2,500,000 Btu per hour and less than 12,500,000 Btu per hour; and</text> </paragraph> <paragraph num="(c)"> <text>Other boilers with a fuel input of 2,500,000 Btu per hour or less, except that Section CF of CSD-1 does not apply to these boilers.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The following are exempt from the requirements of ASME CSD-1:</text> <paragraph num="(a)"> <text>Water heaters stamped either “H” or “HLW” and used as potable water heaters, if the water temperature is less than 210°F and the water pressure is less than 160 PSIG;</text> </paragraph> <paragraph num="(b)"> <text>Miniature boilers, except as required in Regulation .37 of this chapter;</text> </paragraph> <paragraph num="(c)"> <text>Kitchen equipment boilers, except as required in Regulation .38 of this chapter; and</text> </paragraph> <paragraph num="(d)"> <text>Historical boilers.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".01-2" heading="Compliance."> <text>In the event of a conflict between a regulation in this chapter and a code section incorporated by reference, the provisions of this chapter control.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Access and Egress."> <paragraph num="A."> <text>Clearance.</text> <paragraph num="(1)"> <text>Except for a water heater or a modular boiler system, a new or replacement boiler installed in a new or existing building shall be installed consistent with:</text> <paragraph num="(a)"> <text>Or exceeding, the manufacturer's recommendations for clearance; and</text> </paragraph> <paragraph num="(b)"> <text>The space requirements of §A(6) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In the event manufacturer recommendations for clearance are not provided, a new or replacement boiler installed in a new or existing building, shall:</text> <paragraph num="(a)"> <text>Have at least 3 feet between:</text> <paragraph num="(i)"> <text>The top of the boiler and the ceiling, and</text> </paragraph> <paragraph num="(ii)"> <text>Each side of the boiler and the adjacent wall or other structure; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Comply with the conditions of §A(6) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The distance between or around a new or replacement boiler in a modular boiler system installed in a new or existing building shall be in accordance with the manufacturer's recommendations while ensuring:</text> <paragraph num="(a)"> <text>There are 3 feet between each side of the perimeter of the boiler system and the adjacent wall or structure; and</text> </paragraph> <paragraph num="(b)"> <text>The conditions in §A(6) of this regulation are met.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The distance between or around a water heater installed in a new or existing building shall be in accordance with the manufacturer's recommendations while ensuring the conditions of §A(6) of this regulation are met.</text> </paragraph> <paragraph num="(5)"> <text>A boiler or pressure vessel having a manhole shall have 5 feet clearance from the manhole opening to any wall, ceiling, or piping that prevents entrance through the manhole.</text> </paragraph> <paragraph num="(6)"> <text>A boiler or pressure vessel shall be located to provide adequate space for:</text> <paragraph num="(a)"> <text>Proper operation of the boiler or pressure vessel and its appurtenances;</text> </paragraph> <paragraph num="(b)"> <text>Inspection of all surfaces, tubes, water-walls, economizers, piping, valves, and other equipment; and</text> </paragraph> <paragraph num="(c)"> <text>Required maintenance and the repair and replacement of tubes.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Ladders and Runways.</text> <paragraph num="(1)"> <text>When necessary to afford safe access, a steel runway or platform of standard construction shall be installed across the tops of adjacent boilers or pressure vessels, or at another convenient level.</text> </paragraph> <paragraph num="(2)"> <text>When a valve or appurtenance requiring frequent manipulation cannot be reached or operated from the floor, a platform or other safe means of operation shall be provided.</text> </paragraph> <paragraph num="(3)"> <text>A platform or runway shall:</text> <paragraph num="(a)"> <text>Be at least 24 inches wide;</text> </paragraph> <paragraph num="(b)"> <text>Have standard handrails and toe boards; and</text> </paragraph> <paragraph num="(c)"> <text>Provide at least 7 feet, 6 inches overhead clearance.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A runway shall:</text> <paragraph num="(a)"> <text>Have at least two means of exit, located remotely from each other; and</text> </paragraph> <paragraph num="(b)"> <text>Be connected to floor level by:</text> <paragraph num="(i)"> <text>A permanent stairway, or</text> </paragraph> <paragraph num="(ii)"> <text>An inclined ladder.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Each elevation in a boiler room shall have at least two exits, located remotely from each other, if the room:</text> <paragraph num="(1)"> <text>Exceeds 500 square feet floor area; and</text> </paragraph> <paragraph num="(2)"> <text>Contains one or more boilers having a fuel-burning capacity of 1,000,000 Btu per hour, or equivalent electrical heat input.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Air and Ventilation."> <paragraph num="A."> <text>A boiler room shall have a permanent source of outside air to:</text> <paragraph num="(1)"> <text>Permit satisfactory combustion of fuel; and</text> </paragraph> <paragraph num="(2)"> <text>Provide proper ventilation of the boiler under normal operating conditions.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Louvered area.</text> <paragraph num="(1)"> <text>The total requirements of all burners for all fired pressure vessels in a boiler room shall be used to determine the louver sizes, whether the pressure vessels are fired by coal, oil, or gas.</text> </paragraph> <paragraph num="(2)"> <text>The minimum net free louvered area shall be at least 1 square foot.</text> </paragraph> <paragraph num="(3)"> <text>The minimum dimension of air openings may not be less than 3 inches.</text> </paragraph> <paragraph num="(4)"> <text>Ducts, when used, shall be of the same cross-sectional area as the free area of the openings to which they connect.</text> </paragraph> <paragraph num="(5)"> <text>The following configurations shall be used:</text> <paragraph num="(a)"> <text>Two permanent openings:</text> <paragraph num="(i)"> <text>One opening shall start within 12 inches of the ceiling, and one opening shall start within 12 inches of the floor;</text> </paragraph> <paragraph num="(ii)"> <text>The openings shall connect directly, or by ducts, with the outdoors or with crawl or attic spaces that freely connect with the outdoors;</text> </paragraph> <paragraph num="(iii)"> <text>Where directly connecting with the outdoors or where connecting to the outdoors through vertical ducts, each opening shall have a minimum free area of 1 square inch per 4,000 Btu per hour of total input rating, or total relieving capacity, of all fired pressure vessels, whichever is greater; and</text> </paragraph> <paragraph num="(iv)"> <text>Where connecting to the outdoors through horizontal ducts, each opening shall have a minimum free area of 1 square inch per 2,000 Btu per hour of total input rating, or total relieving capacity, of all fired pressure vessels, whichever is greater; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>One permanent opening:</text> <paragraph num="(i)"> <text>The opening shall start within 12 inches of the ceiling;</text> </paragraph> <paragraph num="(ii)"> <text>The opening shall directly connect with the outdoors, or shall connect through a vertical or horizontal duct to the outdoors or with crawl or attic spaces that freely connect to the outdoors; and</text> </paragraph> <paragraph num="(iii)"> <text>The opening shall have a free open area of 1 square inch per 3,000 Btu per hour of total input rating, or total relieving capacity, of all fired pressure vessels, whichever is greater.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(6)"> <text>The following table shall be used to determine the net louvered area in square feet:</text> </paragraph> </paragraph> <paragraph num="C."> <text>Mechanical Combustion and Ventilation.</text> <paragraph num="(1)"> <text>Mechanical ventilation may be used to supply combustion air or ventilation air, or both, to a boiler room.</text> </paragraph> <paragraph num="(2)"> <text>When mechanical ventilation is used:</text> <paragraph num="(a)"> <text>The firing device shall be interlocked with the fan so that the firing device cannot operate without proven airflow;</text> </paragraph> <paragraph num="(b)"> <text>The velocity of the air passing through the louvers cannot exceed 500 feet per minute; and</text> </paragraph> <paragraph num="(c)"> <text>The total air delivered shall be equal to or exceed 0.5 CFM per 1,000 Btu per hour of total input rating or total required relieving capacity, whichever is greater.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Water Heater Combustion Air Ventilation Requirements.</text> <paragraph num="(1)"> <text>Hot water heaters in excess of 200,000 Btu per hour up to but not including 1,000,000 Btu per hour, that are located in their own equipment room, shall have at least:</text> <paragraph num="(a)"> <text>1 permanent source of outside air; and</text> </paragraph> <paragraph num="(b)"> <text>1 square foot of total net free louvered air space.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Hot water heaters of 1,000,000 Btu per hour or greater shall follow manufacturer's requirements.</text> </paragraph> <paragraph num="(3)"> <text>Hot water heaters with inputs and required relieving capacities less than 200,000 Btu per hour are not covered by this regulation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Equipment."> <paragraph num="A."> <text>Automatic Low Water Fuel Cutoff or Water Feeding Device.</text> <paragraph num="(1)"> <text>An automatically fired steam or vapor system boiler shall have a low water fuel cutoff that automatically cuts off the fuel supply when the water surface falls to the lowest safe level. The following apply:</text> <paragraph num="(a)"> <text>A water feeding device shall be:</text> <paragraph num="(i)"> <text>Constructed so that the water inlet valve cannot feed water into the boiler through the float chamber, and</text> </paragraph> <paragraph num="(ii)"> <text>Located to supply the necessary feedwater;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The lowest safe water line shall be not lower than the lowest visible part of the water glass.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A fuel or feedwater control device may be attached:</text> <paragraph num="(a)"> <text>Directly to a boiler; or</text> </paragraph> <paragraph num="(b)"> <text>To the tapped openings provided to attach a water glass directly to a boiler, provided that for low-pressure boilers:</text> <paragraph num="(i)"> <text>Connections from the boiler are made with nonferrous tees or Y's at least 1/2 inch pipe size between the boiler and the water glass, so that the water glass is attached directly and as close as possible to the boiler,</text> </paragraph> <paragraph num="(ii)"> <text>Straightaway tapping of the Y or tee takes the water glass fittings, and</text> </paragraph> <paragraph num="(iii)"> <text>The side outlet of the Y or tee takes the fuel cutoff or water feeding device.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>The ends of all nipples shall be reamed to full-size diameter.</text> </paragraph> <paragraph num="(4)"> <text>A design using a float and float bowl shall have a vertical straightway valve drain pipe located at the lowest point in the water-equalizing pipe connections by which the bowl and equalizing pipe can be flushed and the device tested.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Blowoff Equipment.</text> <paragraph num="(1)"> <text>Blowdown from a boiler that enters a sanitary sewer system, or blowdown that is a hazard to life or property, shall pass through blowoff equipment to ensure that the maximum:</text> <paragraph num="(a)"> <text>Temperature of water leaving the equipment is 150°F; and</text> </paragraph> <paragraph num="(b)"> <text>Pressure of blowdown leaving the equipment is 5 PSIG.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Blowoff equipment shall:</text> <paragraph num="(a)"> <text>Use piping and fittings between the boiler and the blowoff tank that comply with the ASME Code, Section I, paragraph PG-59;</text> </paragraph> <paragraph num="(b)"> <text>Be fabricated of material that complies with the ASME Code, Section II;</text> </paragraph> <paragraph num="(c)"> <text>Be fitted with openings that facilitate cleaning and inspection; and</text> </paragraph> <paragraph num="(d)"> <text>Conform to the rules for boiler blowoff equipment established by the National Board.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Discharge of safety valves, blowoff pipes, and other outlets shall be located to prevent injury to personnel.</text> </paragraph> <paragraph num="D."> <text>Boiler-Door Latches.</text> <paragraph num="(1)"> <text>Firing Doors.</text> <paragraph num="(a)"> <text>The firing doors on a watertube boiler shall:</text> <paragraph num="(i)"> <text>Open inward;</text> </paragraph> <paragraph num="(ii)"> <text>Be equipped with effective fastening devices; or</text> </paragraph> <paragraph num="(iii)"> <text>Be constructed to prevent the doors from being blown open by pressure on the furnace side.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Except for coal openings on a downdraft or similar furnace:</text> <paragraph num="(i)"> <text>Door fastenings shall be positive self-locking; and</text> </paragraph> <paragraph num="(ii)"> <text>Friction contacts, latches, or bolts actuated by springs may not be used.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>An explosion door, if used and located in a setting wall within 7 feet of a firing floor or operating platform, shall have substantial deflectors to divert a blast.</text> </paragraph> <paragraph num="(3)"> <text>Except for an explosion door, a door not used during boiler firing may be equipped with bolts or fastenings.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Pressure-Reducing Valve.</text> <paragraph num="(1)"> <text>When a pressure-reducing valve is used:</text> <paragraph num="(a)"> <text>If the piping or equipment on the low-pressure side of the reducing valve does not meet the requirements for full initial pressure, at least one relief or safety valve shall be installed on the low-pressure side of the reducing valve;</text> </paragraph> <paragraph num="(b)"> <text>The relief or safety valves shall adjoin or be as close as possible to the reducing valve;</text> </paragraph> <paragraph num="(c)"> <text>When a relief or safety valve is vented to the atmosphere, proper protection shall be provided to prevent escaping fluid from causing injury or damage;</text> </paragraph> <paragraph num="(d)"> <text>The combined discharge capacity of relief or safety valves shall be such that the pressure rating of the lowest pressure piping or equipment cannot be exceeded if the reducing valve sticks open.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Bypass Around Reducing Valves.</text> <paragraph num="(a)"> <text>A hand-controlled bypass around a reducing valve may be used.</text> </paragraph> <paragraph num="(b)"> <text>If a bypass is used around a reducing valve, the safety valve on the low-pressure side shall have sufficient relief capacity to prevent overpressuring the low-pressure side.</text> </paragraph> <aftertext>(3 ) A pressure gage shall be installed on the low-pressure side of a reducing valve.</aftertext> </paragraph> </paragraph> <paragraph num="F."> <text>A boiler or pressure vessel shall have masonry or structural supports of sufficient strength and rigidity to:</text> <paragraph num="(1)"> <text>Safely support the boiler or pressure vessel and its contents; and</text> </paragraph> <paragraph num="(2)"> <text>Prevent excessive vibration of the boiler, pressure vessel, or connecting piping.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Factor of Safety--Increase for Existing Installation."> <paragraph num="A."> <text>An inspector may increase the factor of safety of an existing installation if the condition of the boiler or pressure vessel warrants the increase.</text> </paragraph> <paragraph num="B."> <text>Appeal Procedure.</text> <paragraph num="(1)"> <text>An owner may appeal an increase in a factor of safety to the Board.</text> </paragraph> <paragraph num="(2)"> <text>Upon appeal, the Board may request that the chief boiler inspector and a deputy boiler inspector or special inspector conduct a joint inspection.</text> </paragraph> <paragraph num="(3)"> <text>Each inspector shall submit a report to the Board.</text> </paragraph> <paragraph num="(4)"> <text>Based on the reports submitted, the Board shall make a final determination of the appropriate factor of safety.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Fired Jacketed Steam Kettle."> <paragraph num="A."> <text>A fired jacketed steam kettle may be installed if it is:</text> <paragraph num="(1)"> <text>Constructed and stamped in accordance with the ASME Code, Section I, IV, or VIII, Division 1; and</text> </paragraph> <paragraph num="(2)"> <text>Registered with the National Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A gas-fired jacketed steam kettle may be constructed in accordance with the ASME Code, Section VIII, Division 1, provided that:</text> <paragraph num="(1)"> <text>Welded joints having contact with products of combustion are Type No. 1 of Table UW-12;</text> </paragraph> <paragraph num="(2)"> <text>The minimum thickness of a part subject to pressure is, for:</text> <paragraph num="(a)"> <text>Carbon steel, 1/4 inch, or</text> </paragraph> <paragraph num="(b)"> <text>Stainless steel or nonferrous pressure parts, as specified in the ASME Code, Section VIII, Division 1, Subsection C;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A part having contact with products of combustion is, for:</text> <paragraph num="(a)"> <text>Carbon steel, pressure vessel quality, and</text> </paragraph> <paragraph num="(b)"> <text>Austenitic stainless steel, either extra-low carbon or stabilized grade;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Structural grade carbon steel is not used for any pressure part;</text> </paragraph> <paragraph num="(5)"> <text>The operating pressure of the jacket does not exceed 50 PSI;</text> </paragraph> <paragraph num="(6)"> <text>A vessel constructed in accordance with this regulation:</text> <paragraph num="(a)"> <text>Is inspected by an authorized inspector, and</text> </paragraph> <paragraph num="(b)"> <text>Is not marked with the UM symbol;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Steam or water is not withdrawn from the jacket for use external to the vessel;</text> </paragraph> <paragraph num="(8)"> <text>The capacity of the safety valve in pounds of steam per hour is at least equal to the BTU rating of the burner divided by 1,000; and</text> </paragraph> <paragraph num="(9)"> <text>The jacket has:</text> <paragraph num="(a)"> <text>A pressure gage,</text> </paragraph> <paragraph num="(b)"> <text>A water gage glass,</text> </paragraph> <paragraph num="(c)"> <text>A separate connection, fitted with a check valve and stop valve, for adding water to the jacket while the vessel is not under pressure,</text> </paragraph> <paragraph num="(d)"> <text>An automatic gas valve controlled by pressure or temperature to maintain the steam pressure in the jacket below the safety valve setting,</text> </paragraph> <paragraph num="(e)"> <text>A low water cutoff to stop the flow of fuel to the burner if the water in the jacket drops below the lowest permissible water level as established by the manufacturer, and</text> </paragraph> <paragraph num="(f)"> <text>A safety pilot control to stop the flow of fuel to both the main burner and the pilot burner in case of pilot flame failure.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Gas-Fired Installations."> <paragraph num="A."> <text>A burner in a gas-fired installation shall be tested and certified by the American Gas Association.</text> </paragraph> <paragraph num="B."> <text>A gas-fired boiler shall have a vent or flue that terminates at an acceptable location outside the building.</text> </paragraph> <paragraph num="C."> <text>The size of the vent or flue shall be:</text> <paragraph num="(1)"> <text>That recommended by the boiler manufacturer;</text> </paragraph> <paragraph num="(2)"> <text>At least 4 inches in diameter or equivalent area; and</text> </paragraph> <paragraph num="(3)"> <text>If the horizontal run exceeds 10 feet, at least 6 inches in diameter or equivalent area.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Hazardous Condition."> <paragraph num="A."> <text>A special inspector who finds a hazardous condition affecting the safety of a boiler or pressure vessel shall notify the chief boiler inspector in accordance with Regulation .28 of this chapter.</text> </paragraph> <paragraph num="B."> <text>If a special inspector determines that a boiler or pressure vessel is unsafe for operation:</text> <paragraph num="(1)"> <text>The inspector shall:</text> <paragraph num="(a)"> <text>Notify the owner promptly;</text> </paragraph> <paragraph num="(b)"> <text>Specify the repair or corrective measure required to achieve compliance with regulations; and</text> </paragraph> <paragraph num="(c)"> <text>If the owner does not agree to take the required action promptly, notify the chief boiler inspector immediately;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Until the required repair or corrective measure is completed:</text> <paragraph num="(a)"> <text>Use of the boiler or pressure vessel is prohibited; and</text> </paragraph> <paragraph num="(b)"> <text>The chief boiler inspector shall suspend the inspection certificate, if any.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>If, upon inspection, the chief boiler inspector or a deputy boiler inspector declares a boiler or pressure vessel unsafe:</text> <paragraph num="(1)"> <text>The boiler or pressure vessel shall be condemned and stamped in accordance with Regulation .30 of this chapter; and</text> </paragraph> <paragraph num="(2)"> <text>Use or operation of the condemned boiler or pressure vessel shall subject the owner to the penalties provided by Public Safety Article, §12-915, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Hearings."> <paragraph num="A."> <text>A hearing shall be held in accordance with the requirements of the Administrative Procedure Act, Title 10, Subtitle 2, State Government Article, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>The Commissioner delegates the authority to issue a proposed decision on a citation or penalty to the Office of Administrative Hearings.</text> </paragraph> <paragraph num="C."> <text>A proposed decision of the Office of Administrative Hearings becomes a final order of the Commissioner 20 days after the date it is issued, unless:</text> <paragraph num="(1)"> <text>The person found to have violated Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, or a regulation or order issued to carry out this law, requests a review; or</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner orders review.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Review of Proceedings Before the Commissioner.</text> <paragraph num="(1)"> <text>A request for review by a person found to have violated Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, or a regulation or order issued to carry out this law, shall:</text> <paragraph num="(a)"> <text>Be in writing;</text> </paragraph> <paragraph num="(b)"> <text>Contain a concise statement identifying each portion of the determination for which a review is requested;</text> </paragraph> <paragraph num="(c)"> <text>Be filed with the Commissioner within 20 days after the date the determination is issued; and</text> </paragraph> <paragraph num="(d)"> <text>Be mailed by the requesting party to all other parties to the proceeding.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Affected parties have the opportunity to present argument to the Commissioner based on the record before the Office of Administrative Hearings.</text> </paragraph> <paragraph num="(3)"> <text>Order of the Commissioner.</text> <paragraph num="(a)"> <text>After review of the proceedings, with or without a hearing, the Commissioner shall:</text> <paragraph num="(i)"> <text>Issue an order based on findings of fact; and</text> </paragraph> <paragraph num="(ii)"> <text>Mail copies of the order to all affected parties.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The Commissioner’s order shall affirm, modify, or vacate the citation or proposed penalty, or direct other appropriate relief.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Hearings Before the Board of Boiler Rules.</text> <paragraph num="(1)"> <text>A hearing before the Board of Boiler Rules shall be held before at least four members of the Board.</text> </paragraph> <paragraph num="(2)"> <text>A request for postponement of a hearing may not be considered unless the presiding officer receives a request:</text> <paragraph num="(a)"> <text>In writing;</text> </paragraph> <paragraph num="(b)"> <text>At least 5 days before the scheduled hearing date; and</text> </paragraph> <paragraph num="(c)"> <text>Setting forth the reasons for the request.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Presiding Officer.</text> <paragraph num="(a)"> <text>At a hearing before the Board, the chairman of the Board or, in the chairman’s absence, the chairman’s designee, shall be the presiding officer.</text> </paragraph> <paragraph num="(b)"> <text>A presiding officer may:</text> <paragraph num="(i)"> <text>Administer oaths and affirmations;</text> </paragraph> <paragraph num="(ii)"> <text>Rule on offers of proof and procedural matters;</text> </paragraph> <paragraph num="(iii)"> <text>Regulate the course of the hearing, including the conduct of parties and counsel;</text> </paragraph> <paragraph num="(iv)"> <text>Receive relevant evidence;</text> </paragraph> <paragraph num="(v)"> <text>Examine a witness; and</text> </paragraph> <paragraph num="(vi)"> <text>Take other action authorized by statute or regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>A hearing shall be recorded verbatim.</text> </paragraph> <paragraph num="(5)"> <text>Hearing Procedure.</text> <paragraph num="(a)"> <text>The presiding officer shall:</text> <paragraph num="(i)"> <text>Call the title of the case;</text> </paragraph> <paragraph num="(ii)"> <text>Briefly explain the purpose and nature of the hearing;</text> </paragraph> <paragraph num="(iii)"> <text>Recite any charges, complaints, or other matters involved;</text> </paragraph> <paragraph num="(iv)"> <text>Administer the oath to all persons who are to testify; and</text> </paragraph> <paragraph num="(v)"> <text>Receive any stipulation entered into by the parties.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Counsel or a party may address any preliminary matter, exception, or motion.</text> </paragraph> <paragraph num="(c)"> <text>The following exhibits shall be introduced:</text> <paragraph num="(i)"> <text>A copy of the petition, complaint, or other matter involved in the hearing; and</text> </paragraph> <paragraph num="(ii)"> <text>A copy of the notice of hearing.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>In a hearing on an application for variance, the applicant shall proceed first and present evidence to demonstrate either that the subject regulation is unreasonable or that it imposes an undue burden on the applicant, and that equivalent safety can be maintained. The presenter of evidence shall then present information obtained as a result of the agency’s investigation of the application.</text> </paragraph> <paragraph num="(e)"> <text>Subject to statutes and rules governing the practice of law, a party or counsel representing a party may:</text> <paragraph num="(i)"> <text>Call witnesses;</text> </paragraph> <paragraph num="(ii)"> <text>Offer evidence, including rebuttal evidence;</text> </paragraph> <paragraph num="(iii)"> <text>Cross-examine a witness called by another party or the agency; and</text> </paragraph> <paragraph num="(iv)"> <text>Present argument and summation.</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>Any member of the Board may examine a witness.</text> </paragraph> <paragraph num="(g)"> <text>The Board may permit or require a party to file a written memorandum, which may include proposed findings of fact and conclusions of law.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>The Board shall:</text> <paragraph num="(1)"> <text>Issue a written determination which includes findings of fact and conclusions of law, and an order disposing of the proceedings; and</text> </paragraph> <paragraph num="(2)"> <text>Promptly serve a copy of the determination on each party or the party's counsel of record.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A party aggrieved by a final order issued pursuant to this regulation may obtain judicial review by filing a written petition with the appropriate circuit court within 30 days of issuance of the final order.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Heating Boiler — Existing Installation: Maximum Allowable Working Pressure"> <paragraph num="A."> <text>The maximum allowable working pressure on a standard boiler may not exceed the pressure stamped or cast by the manufacturer on:</text> <paragraph num="(1)"> <text>The boiler; or</text> </paragraph> <paragraph num="(2)"> <text>A plate secured to the boiler.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The maximum allowable working pressure on:</text> <paragraph num="(1)"> <text>The shell of a nonstandard riveted heating boiler shall be determined in accordance with Regulation .22 of this chapter, except that the maximum allowable working pressure on a:</text> <paragraph num="(a)"> <text>Steam heating boiler may not exceed 15 PSIG; and</text> </paragraph> <paragraph num="(b)"> <text>Hot water boiler may not exceed:</text> <paragraph num="(i)"> <text>160 PSIG, or</text> </paragraph> <paragraph num="(ii)"> <text>250°F.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>A nonstandard steel or wrought iron heating boiler of welded construction:</text> <paragraph num="(a)"> <text>May not exceed 15 PSIG for steam; and</text> </paragraph> <paragraph num="(b)"> <text>For service other than steam, shall be calculated in accordance with the ASME Code, Section IV.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A nonstandard boiler composed principally of cast iron, or having a cast iron shell or heads and steel or wrought iron tubes, may not exceed:</text> <paragraph num="(a)"> <text>15 PSIG for steam service; and</text> </paragraph> <paragraph num="(b)"> <text>30 PSIG for hot water service.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Heating Boiler — Existing Installation: Safety Valve."> <paragraph num="A."> <text>A steam boiler shall have at least one safety valve which is:</text> <paragraph num="(1)"> <text>Officially rated;</text> </paragraph> <paragraph num="(2)"> <text>Of the spring pop type; and</text> </paragraph> <paragraph num="(3)"> <text>Adjusted and sealed to discharge at a pressure not greater than 15 PSI.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A seal shall be attached in a manner to prevent the valve from being disassembled without breaking the seal.</text> </paragraph> <paragraph num="C."> <text>A safety valve shall be arranged so that it cannot be reset to relieve at a pressure higher than the maximum allowable working pressure of the boiler.</text> </paragraph> <paragraph num="D."> <text>Body Drain.</text> <paragraph num="(1)"> <text>The manufacturer shall provide a body drain connection below seat level.</text> </paragraph> <paragraph num="(2)"> <text>A body drain may not be plugged during or after field installation.</text> </paragraph> <paragraph num="(3)"> <text>If a valve exceeds 2 inch pipe size, the drain hole shall be tapped at least 3/8 inch pipe size.</text> </paragraph> <paragraph num="(4)"> <text>A valve less than 2 inches pipe size shall have a drain hole at least 1/4 inch in diameter.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Valve Size.</text> <paragraph num="(1)"> <text>A safety valve for a steam boiler shall be:</text> <paragraph num="(a)"> <text>At least 3/4 inches, unless the boiler and radiating surfaces are a self-contained unit; and</text> </paragraph> <paragraph num="(b)"> <text>Not larger than 4 1/2 inches.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An inlet opening shall have an inside diameter at least equal to the seat diameter.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The minimum relief capacity of a valve or valves is governed by the capacity marking on the boiler.</text> </paragraph> <paragraph num="G."> <text>Valve Capacity.</text> <paragraph num="(1)"> <text>Subject to the requirements of §H, below, the minimum valve capacity in pounds per hour is the greater of the capacity determined:</text> <paragraph num="(a)"> <text>By dividing the maximum BTU output at the boiler nozzle, obtained by firing any fuel for which the unit is installed, by 1,000; or</text> </paragraph> <paragraph num="(b)"> <text>In accordance with the following table:</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The minimum safety valve or safety relief valve relief capacity for an electric boiler shall be 3-1/2 pounds per hour per kilowatt input.</text> </paragraph> </paragraph> <paragraph num="H."> <text>The safety valve capacity for a steam boiler shall be sufficient to ensure that when fuel burning equipment is operated at maximum capacity, the pressure cannot exceed the maximum allowable working pressure by more than 5 PSI.</text> </paragraph> <paragraph num="I."> <text>When operating conditions change, or additional boiler heating surface is installed:</text> <paragraph num="(1)"> <text>Valve capacity shall be increased, if necessary, to:</text> <paragraph num="(a)"> <text>Meet the new conditions, and</text> </paragraph> <paragraph num="(b)"> <text>Comply with the requirements of this regulation;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Provided there is no intervening valve, any additional valves required because of changed conditions may be installed on the outlet piping.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If there is any doubt as to the capacity of a safety valve, an accumulation test shall be conducted in accordance with the ASME Code, Section VI, Recommended Rules for the Care and Operation of Heating Boilers.</text> </paragraph> <paragraph num="K."> <text>A valve of any type may not be placed:</text> <paragraph num="(1)"> <text>Between a safety valve and a boiler; or</text> </paragraph> <paragraph num="(2)"> <text>On a discharge pipe between a safety valve and the atmosphere.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Discharge Pipe.</text> <paragraph num="(1)"> <text>A discharge pipe shall be:</text> <paragraph num="(a)"> <text>At least full-size; and</text> </paragraph> <paragraph num="(b)"> <text>Fitted with an open drain to prevent water from lodging in the upper part of a safety valve or in the discharge pipe.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a safety valve discharge pipe has an elbow, the:</text> <paragraph num="(a)"> <text>Elbow shall be located near the safety valve outlet; or</text> </paragraph> <paragraph num="(b)"> <text>Discharge pipe shall be securely anchored and supported.</text> </paragraph> </paragraph> </paragraph> <paragraph num="M."> <text>Safety valve discharges shall be located or piped so as not to endanger workers.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Heating Boiler — Existing Installation: Miscellaneous."> <paragraph num="A."> <text>Feedwater Connection.</text> <paragraph num="(1)"> <text>Feedwater, make-up water, or water treatment:</text> <paragraph num="(a)"> <text>Shall be introduced into a boiler through:</text> <paragraph num="(i)"> <text>The return piping system, or</text> </paragraph> <paragraph num="(ii)"> <text>An independent feedwater connection that does not discharge against a part of the boiler exposed to direct radiant heat from the fire;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>May not be introduced through an opening or connection provided for:</text> <paragraph num="(i)"> <text>Inspection or cleaning,</text> </paragraph> <paragraph num="(ii)"> <text>Safety valve,</text> </paragraph> <paragraph num="(iii)"> <text>Safety relief valve,</text> </paragraph> <paragraph num="(iv)"> <text>Surface blowoff,</text> </paragraph> <paragraph num="(v)"> <text>Water column,</text> </paragraph> <paragraph num="(vi)"> <text>Water gage glass,</text> </paragraph> <paragraph num="(vii)"> <text>Pressure gage, or</text> </paragraph> <paragraph num="(viii)"> <text>Temperature gage.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Feedwater pipe shall have a:</text> <paragraph num="(a)"> <text>Check valve near the boiler; and</text> </paragraph> <paragraph num="(b)"> <text>Stop valve or cock between the check valve and the boiler or return pipe system.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Pressure or Altitude Gage.</text> <paragraph num="(1)"> <text>A hot water boiler shall have a pressure or altitude gage connected to the boiler or its flow connection so that it cannot be shut off from the boiler except by a cock with a tee or lever handle:</text> <paragraph num="(a)"> <text>Placed on the pipe near the gage; and</text> </paragraph> <paragraph num="(b)"> <text>With the handle parallel to the pipe in which it is located, when the cock is open.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The scale on the dial of a pressure or altitude gage shall be graduated to indicate pressures from 1-1/2 to 3 times the maximum allowable working pressure.</text> </paragraph> <paragraph num="(3)"> <text>Piping or tubing for a pressure or altitude gage connection smaller than 1 inch pipe size shall be of nonferrous metal.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Steam Gage.</text> <paragraph num="(1)"> <text>A steam boiler shall have a steam gage connected to its steam space, water column, or steam connection by a siphon or equivalent device on the exterior of the boiler.</text> </paragraph> <paragraph num="(2)"> <text>A siphon shall be:</text> <paragraph num="(a)"> <text>Of sufficient capacity to keep the gage tube filled with water; and</text> </paragraph> <paragraph num="(b)"> <text>Arranged so that the gage can be shut off from the boiler only by a cock with a tee or lever handle:</text> <paragraph num="(i)"> <text>Placed in the pipe near the gage, and</text> </paragraph> <paragraph num="(ii)"> <text>With the handle parallel to the pipe in which it is located, when the cock is open.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>Scale.</text> <paragraph num="(a)"> <text>The scale on the dial of a steam gage shall be graduated to at least 30 PSIG.</text> </paragraph> <paragraph num="(b)"> <text>The gage shall have effective stops for the indicating pointer at the:</text> <paragraph num="(i)"> <text>Zero point; and</text> </paragraph> <paragraph num="(ii)"> <text>Maximum pressure point.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The travel of the pointer from zero to 30 PSIG shall be at least 3 inches.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Stop Valve and Check Valve.</text> <paragraph num="(1)"> <text>A boiler which can be closed off from the heating system by closing a steam stop valve shall have a check valve in the condensate return line between the boiler and the system.</text> </paragraph> <paragraph num="(2)"> <text>Any part of a heating system that can be closed off from the remainder of the system by closing a steam stop valve shall have a check valve in the condensate return pipe from that part of the system.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A hot water boiler shall have a thermometer located and connected so that:</text> <paragraph num="(1)"> <text>A person observing the water pressure or altitude gage can read the thermometer easily; and</text> </paragraph> <paragraph num="(2)"> <text>The thermometer at all times indicates the temperature, in degrees Fahrenheit, of the water in the boiler at or near the outlet.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Water Gage Glass.</text> <paragraph num="(1)"> <text>A steam boiler shall have at least one water gage glass attached to the water column or boiler by valved fittings.</text> </paragraph> <paragraph num="(2)"> <text>The lower fitting shall have a straightway drain valve with an opening at least 1/4 inch diameter to facilitate cleaning.</text> </paragraph> <paragraph num="(3)"> <text>Gage glass replacement shall be possible while the boiler is under pressure.</text> </paragraph> <paragraph num="(4)"> <text>Transparent material other than glass may be used for a water gage if the material is suitable for the pressure, temperature, and corrosive conditions encountered in service.</text> </paragraph> </paragraph> <paragraph num="G."> <text>When practicable, a boiler equipped with a condensate return pump shall have a water level control that automatically maintains the water level in the boiler within the range of the gage glass.</text> </paragraph> <paragraph num="H."> <text>Repairs and replacements of fittings or appliances shall comply with the ASME Code for new construction, Section IV.</text> </paragraph> <paragraph num="I."> <text>The ASME Code, Section VI, Recommended Rules for the Care and Operation of Heating Boilers is recommended as a guide for proper and safe operating practices.</text> </paragraph> <paragraph num="J."> <text>It is recommended that a return water connection to a low-pressure steam heating boiler supplying a gravity return heating system be arranged to form a return pipe loop connection, so that water cannot be forced out of the boiler below the safe water level, as shown in Section IV, Figure HG-703.1 of the ASME Heating Boiler Code.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Hot Water Boiler—Existing Installation: Safety Relief Valve."> <paragraph num="A."> <text>Number of Valves.</text> <paragraph num="(1)"> <text>A hot water heating boiler shall have at least one safety relief valve which is:</text> <paragraph num="(a)"> <text>Officially rated; and</text> </paragraph> <paragraph num="(b)"> <text>Set to relieve at or below the maximum allowable working pressure of the boiler.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A hot water supply boiler shall have at least one safety relief valve which is:</text> <paragraph num="(a)"> <text>Officially rated;</text> </paragraph> <paragraph num="(b)"> <text>Automatically reseating; and</text> </paragraph> <paragraph num="(c)"> <text>Set to relieve at or below the maximum allowable working pressure of the boiler.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>A safety relief valve with an officially rated capacity shall have pop action when tested by steam.</text> </paragraph> <paragraph num="C."> <text>When more than one safety relief valve is used on a hot water heating or hot water supply boiler, each additional valve shall be:</text> <paragraph num="(1)"> <text>Officially rated; and</text> </paragraph> <paragraph num="(2)"> <text>Set at a maximum of:</text> <paragraph num="(a)"> <text>6 PSI above the maximum allowable working pressure of the boiler, for a boiler having a maximum allowable working pressure of 60 PSI or less, or</text> </paragraph> <paragraph num="(b)"> <text>10 percent above the maximum allowable working pressure, for a boiler having a maximum allowable working pressure exceeding 60 PSI.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>A safety relief valve shall be:</text> <paragraph num="(1)"> <text>Spring loaded; and</text> </paragraph> <paragraph num="(2)"> <text>Arranged so that it cannot be reset at a pressure higher than the maximum permitted by this regulation.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A material that can fail because of deterioration or vulcanization when subject to saturated steam temperature corresponding to capacity test pressure may not be used for any part.</text> </paragraph> <paragraph num="F."> <text>Size.</text> <paragraph num="(1)"> <text>Except as otherwise provided by this regulation, the standard pipe size of a safety relief valve may not be:</text> <paragraph num="(a)"> <text>Smaller than 3/4 inch; and</text> </paragraph> <paragraph num="(b)"> <text>Larger than 4-1/2 inches.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A boiler having a heat input of 15,000 BTU per hour or less may have a rated safety relief valve of 1/2 inch standard pipe size.</text> </paragraph> <paragraph num="(3)"> <text>An inlet opening shall have an inside diameter approximately equal to, or greater than, the seat diameter.</text> </paragraph> <paragraph num="(4)"> <text>The minimum opening through any part of a valve shall be at least 1/2 inch in diameter or the equivalent area.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Subject to the requirements of §I of this regulation, the minimum steam relief capacity of a pressure relief device on a boiler, in pounds per hour, shall be the greater of the capacity determined:</text> <paragraph num="(1)"> <text>By dividing by 1,000 the maximum BTU output at the boiler nozzle, obtained by firing any fuel for which the unit is installed; or</text> </paragraph> <paragraph num="(2)"> <text>In accordance with Table 09.12.01.11G.</text> </paragraph> </paragraph> <paragraph num="H."> <text>When operating conditions change or additional boiler heating surface is installed:</text> <paragraph num="(1)"> <text>Valve capacity shall be increased, if necessary, to:</text> <paragraph num="(a)"> <text>Meet the new conditions, and</text> </paragraph> <paragraph num="(b)"> <text>Comply with this regulation; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If there is no intervening valve, any additional valves required because of changed conditions may be installed on the outlet piping.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The safety relief valve capacity for a boiler shall be sufficient to ensure that, with fuel burning equipment operated at maximum capacity, pressure cannot exceed:</text> <paragraph num="(1)"> <text>6 PSI above the maximum allowable working pressure of the boiler, for a boiler having a maximum allowable working pressure of 60 PSI or less; and</text> </paragraph> <paragraph num="(2)"> <text>10 percent above the maximum allowable working pressure, for a boiler having a maximum allowable working pressure greater than 60 PSI.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If there is any doubt as to the capacity of a safety relief valve, an accumulation test shall be conducted in accordance with the ASME Code, Section VI, Recommended Rules for the Care and Operation of Heating Boilers.</text> </paragraph> <paragraph num="K."> <text>A valve of any type may not be placed:</text> <paragraph num="(1)"> <text>Between a safety relief valve and a boiler; or</text> </paragraph> <paragraph num="(2)"> <text>On a discharge pipe between a safety relief valve and the atmosphere.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Discharge Pipe.</text> <paragraph num="(1)"> <text>A discharge pipe shall be:</text> <paragraph num="(a)"> <text>At least full-size; and</text> </paragraph> <paragraph num="(b)"> <text>Fitted with an open drain to prevent water from lodging in the upper part of a safety relief valve or in the discharge pipe.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a safety relief valve discharge pipe has an elbow, the:</text> <paragraph num="(a)"> <text>Elbow shall be located near the safety relief valve outlet; or</text> </paragraph> <paragraph num="(b)"> <text>Discharge pipe shall be securely anchored and supported.</text> </paragraph> </paragraph> </paragraph> <paragraph num="M."> <text>Safety relief valve discharges shall be located or piped so as not to endanger workers.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Inspection Intervals."> <paragraph num="A."> <text>Boilers and pressure vessels subject to this regulation do not include power boilers, or high pressure or high temperature water boilers.</text> </paragraph> <paragraph num="B."> <text>Except as provided in §C of this regulation, boilers and pressure vessels shall receive a certificate inspection biennially.</text> </paragraph> <paragraph num="C."> <text>A boiler or pressure vessel that is part of an amusement attraction, as defined by Business Regulation Article, §3-101(b), Annotated Code of Maryland, shall receive a certificate inspection annually.</text> </paragraph> <paragraph num="D."> <text>A historical boiler shall be inspected at intervals specified in Regulation .34 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14-1" heading="Inspection."> <paragraph num="A."> <text>Internal Inspection.</text> <paragraph num="(1)"> <text>Unless an internal inspection is required by law or by an inspector at the inspector's discretion, a:</text> <paragraph num="(a)"> <text>Hot water boiler requires only an external inspection for certificate purposes; and</text> </paragraph> <paragraph num="(b)"> <text>Pressure vessel requires only an external inspection for certificate purposes.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>At least 7 days before an internal inspection, the inspector shall notify the owner of the inspection date.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The owner of a boiler shall prepare the boiler for internal inspection and hydrostatic test, if necessary, by:</text> <paragraph num="(1)"> <text>Drawing off water and washing the boiler thoroughly;</text> </paragraph> <paragraph num="(2)"> <text>Removing manhole and handhole plates, washout plugs, and inspection plugs in water column connections;</text> </paragraph> <paragraph num="(3)"> <text>Cooling and thoroughly cleaning furnace and combustion chambers;</text> </paragraph> <paragraph num="(4)"> <text>Removing all grates of internally fired boilers;</text> </paragraph> <paragraph num="(5)"> <text>Removing the pressure gage for testing;</text> </paragraph> <paragraph num="(6)"> <text>Disconnecting the pipe or valve at the most convenient point to prevent leakage of steam or hot water into the boiler;</text> </paragraph> <paragraph num="(7)"> <text>Performing the following procedures before opening a manhole or handhole cover and entering any part of a steam-generating unit connected to a common header with other boilers:</text> <paragraph num="(a)"> <text>Close, tag, and preferably padlock:</text> <paragraph num="(i)"> <text>Non return and steam stop valves; and</text> </paragraph> <paragraph num="(ii)"> <text>Feed and check valves;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Open drain valves or cocks between:</text> <paragraph num="(i)"> <text>Non return and steam stop valves; and</text> </paragraph> <paragraph num="(ii)"> <text>Feed and check valves; and</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>After draining the boiler:</text> <paragraph num="(i)"> <text>Close and padlock the blowoff valves;</text> </paragraph> <paragraph num="(ii)"> <text>Where practicable, disconnect blowoff lines at a point between pressure parts and valves; and</text> </paragraph> <paragraph num="(iii)"> <text>Open all drains and vent lines.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>The owner of a pressure vessel shall prepare the pressure vessel for inspection to the extent required by the inspector, using the applicable procedures set out in §B of this regulation.</text> </paragraph> <paragraph num="D."> <text>Removal of Covering During Inspection.</text> <paragraph num="(1)"> <text>At each annual inspection, brickwork shall be removed, as required by the inspector, to determine the condition of the boiler, headers, furnace, supports, or other parts.</text> </paragraph> <paragraph num="(2)"> <text>Unless the information can be obtained by other means, if boiler or pressure vessel jacketing conceals the longitudinal seams of a shell, drum, or dome, sufficient jacketing, setting wall, or other casing or housing shall be removed to permit:</text> <paragraph num="(a)"> <text>Reasonable inspection of the seams; and</text> </paragraph> <paragraph num="(b)"> <text>Determination of:</text> <paragraph num="(i)"> <text>The size and pitch of the rivets; and</text> </paragraph> <paragraph num="(ii)"> <text>Other data necessary to ascertain the safety of the boiler or pressure vessel.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>When an external inspection discloses evidence of a leak or crack:</text> <paragraph num="(a)"> <text>Sufficient covering shall be removed from the boiler or pressure vessel to permit the inspector to make a safety determination; and</text> </paragraph> <paragraph num="(b)"> <text>If the covering cannot be removed during the inspection, the inspector may order use of the boiler or pressure vessel discontinued until:</text> <paragraph num="(i)"> <text>The covering can be removed; and</text> </paragraph> <paragraph num="(ii)"> <text>Proper inspection can be made.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Hydrostatic Pressure Test.</text> <paragraph num="(1)"> <text>A hydrostatic pressure test of a boiler or pressure vessel may not exceed:</text> <paragraph num="(a)"> <text>1-1/2 times the maximum allowable working pressure; or</text> </paragraph> <paragraph num="(b)"> <text>The required test pressure by more than 2 percent.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>During a hydrostatic test:</text> <paragraph num="(a)"> <text>Each safety valve shall be removed; or</text> </paragraph> <paragraph num="(b)"> <text>Each valve disk shall be held to its seat by a testing clamp, and not by tightening the compression screw on the spring.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Water used to apply a hydrostatic test shall have a:</text> <paragraph num="(a)"> <text>Recommended minimum temperature of 70°F; and</text> </paragraph> <paragraph num="(b)"> <text>Maximum temperature of 140°F.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>When a hydrostatic test is applied to an existing installation to determine:</text> <paragraph num="(a)"> <text>Tightness, test pressure shall equal the release pressure of the safety valve having the lowest release setting; and</text> </paragraph> <paragraph num="(b)"> <text>Safety, test pressure shall equal 1-1/2 times the maximum allowable working pressure.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>If a boiler or pressure vessel is not properly prepared for internal inspection, or if the owner fails to comply with the requirements for a hydrostatic test as set out in this regulation:</text> <paragraph num="(1)"> <text>The inspector may refuse to conduct the inspection or test; and</text> </paragraph> <paragraph num="(2)"> <text>If the inspector refuses, the chief boiler inspector shall withhold the inspection certificate until the owner complies with the requirements.</text> </paragraph> </paragraph> <paragraph num="G."> <text>An inspector is authorized to:</text> <paragraph num="(1)"> <text>Conduct inspections in accordance with Public Safety Article, §12-909, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(2)"> <text>Review and verify records required by Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, and by Codes referenced in Regulation .01-1 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Inspection Certificate."> <paragraph num="A."> <text>Revocation or Suspension.</text> <paragraph num="(1)"> <text>Emergency Action.</text> <paragraph num="(a)"> <text>The chief boiler inspector or an authorized representative may order an inspection certificate suspended summarily if, in his opinion, public safety imperatively requires emergency action.</text> </paragraph> <paragraph num="(b)"> <text>If an inspection certificate is summarily suspended, the chief boiler inspector shall promptly give the owner of the boiler or pressure vessel for which the inspection certificate was issued:</text> <paragraph num="(i)"> <text>Written notice of the suspension, including the reason and facts that warrant the suspension; and</text> </paragraph> <paragraph num="(ii)"> <text>An opportunity to be heard.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>General.</text> <paragraph num="(a)"> <text>The chief boiler inspector shall suspend an inspection certificate if:</text> <paragraph num="(i)"> <text>An inspector determines that the condition of the boiler or pressure vessel makes continued operation unsafe;</text> </paragraph> <paragraph num="(ii)"> <text>A special inspector notifies the chief boiler inspector that an owner refuses to make promptly the repairs necessary to bring an unsafe boiler or pressure vessel into compliance with these regulations;</text> </paragraph> <paragraph num="(iii)"> <text>The owner refuses to permit inspection of a boiler or pressure vessel; or</text> </paragraph> <paragraph num="(iv)"> <text>The owner refuses to pay a fee required by the Boiler and Pressure Vessel Safety Act.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The chief boiler inspector or an authorized representative may suspend or revoke an inspection certificate if the boiler or pressure vessel for which it was issued:</text> <paragraph num="(i)"> <text>Cannot be operated consistent with public safety; or</text> </paragraph> <paragraph num="(ii)"> <text>Does not comply with applicable law or regulations.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Except as otherwise provided by this regulation, before suspending or revoking an inspection certificate, the chief boiler inspector shall give the owner of the boiler or pressure vessel:</text> <paragraph num="(i)"> <text>Written notice of the suspension or revocation which states the reasons and facts warranting the suspension or revocation; and</text> </paragraph> <paragraph num="(ii)"> <text>An opportunity to be heard.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>An inspection certificate becomes invalid:</text> <paragraph num="(1)"> <text>On its expiration date; or</text> </paragraph> <paragraph num="(2)"> <text>When the boiler or pressure vessel for which it was issued ceases to be:</text> <paragraph num="(a)"> <text>Insured by an authorized insurer; or</text> </paragraph> <paragraph num="(b)"> <text>Owned by an owner-user inspection service.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Inspector."> <paragraph num="A."> <text>An inspector:</text> <paragraph num="(1)"> <text>May not engage in the sale of boilers, pressure vessels, or any related item; and</text> </paragraph> <paragraph num="(2)"> <text>Shall be employed regularly in inspection work.</text> </paragraph> </paragraph> <paragraph num="B."> <text>To be eligible to take the examination for a Certificate of Competency as an inspector, an applicant shall have:</text> <paragraph num="(1)"> <text>A degree in mechanical engineering plus 1 year of experience in the design, construction, operation, or inspection of high pressure vessels;</text> </paragraph> <paragraph num="(2)"> <text>A degree in another branch of engineering, plus 2 years of experience in the design, construction, operation, or inspection of high pressure boilers and pressure vessels; or</text> </paragraph> <paragraph num="(3)"> <text>The equivalent of a high school education plus 3 years of experience:</text> <paragraph num="(a)"> <text>In high pressure boiler and pressure vessel construction or repair;</text> </paragraph> <paragraph num="(b)"> <text>As an operating engineer in charge of a high pressure boiler operation; or</text> </paragraph> <paragraph num="(c)"> <text>As an inspector of high pressure boilers and pressure vessels.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Application Procedure for Certificate of Competency.</text> <paragraph num="(1)"> <text>An applicant shall apply to take an examination:</text> <paragraph num="(a)"> <text>On the form furnished by the Chief Boiler Inspector; and</text> </paragraph> <paragraph num="(b)"> <text>At least 30 days before the examination date.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The applicant shall provide:</text> <paragraph num="(a)"> <text>A description of the applicant's education;</text> </paragraph> <paragraph num="(b)"> <text>A list of the applicant's past and present employers;</text> </paragraph> <paragraph num="(c)"> <text>The dates of the applicant's employment with each employer;</text> </paragraph> <paragraph num="(d)"> <text>The position the applicant held with each employer; and</text> </paragraph> <paragraph num="(e)"> <text>Upon approval of the application by the Chief Boiler Inspector, a $50 examination fee, payable to the Division of Labor and Industry.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An individual applying for a Certificate of Competency as a special inspector on the basis of a commission issued by the National Board of Boiler and Pressure Vessel Inspectors shall submit an application:</text> <paragraph num="(a)"> <text>On the form furnished by the Chief Boiler Inspector; and</text> </paragraph> <paragraph num="(b)"> <text>Accompanied by a copy of the commission and valid identification card issued by the National Board.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>An application containing false information shall be rejected.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The examination for Certificate of Competency shall:</text> <paragraph num="(1)"> <text>Be written;</text> </paragraph> <paragraph num="(2)"> <text>Cover the construction, installation, operation, maintenance, and repair of boilers and pressure vessels and their appurtenances;</text> </paragraph> <paragraph num="(3)"> <text>Be offered:</text> <paragraph num="(a)"> <text>At the office of the Board of Boiler Rules, or any other location that the Board selects; and</text> </paragraph> <paragraph num="(b)"> <text>On the first Wednesday of March, June, September, and December.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The chief boiler inspector shall issue a Certificate of Competency to an applicant who:</text> <paragraph num="(1)"> <text>Passes the examination or a subsequent re-examination; and</text> </paragraph> <paragraph num="(2)"> <text>Is a full-time employee of an authorized inspection agency.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Special Inspector Commission Application Procedure.</text> <paragraph num="(1)"> <text>An authorized inspection agency or an owner-user inspection service employing an individual applying for a special inspector commission shall:</text> <paragraph num="(a)"> <text>Submit a completed application form to the chief boiler inspector, setting forth the following:</text> <paragraph num="(i)"> <text>The applicant's name;</text> </paragraph> <paragraph num="(ii)"> <text>A description of the applicant's education;</text> </paragraph> <paragraph num="(iii)"> <text>A list of the applicant's past and present employers;</text> </paragraph> <paragraph num="(iv)"> <text>The dates of the applicant’s employment with each employer; and</text> </paragraph> <paragraph num="(v)"> <text>The position the applicant held with each employer.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Submit with the application for an individual who holds a commission or certificate of competency from a state with an equivalent examination or a commission issued by the National Board, a copy of:</text> <paragraph num="(i)"> <text>The commission or certificate; and</text> </paragraph> <paragraph num="(ii)"> <text>Any valid identification card issued by a state or the National Board.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>An application containing false information shall be rejected.</text> </paragraph> <paragraph num="(3)"> <text>Upon approval of the special inspector commission by the chief boiler inspector, the authorized inspection agency or owner-user inspection service shall pay a $50 special inspector commission fee, payable to the Division of Labor and Industry.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Unless the authorized inspection agency or owner-user inspection service complies with the renewal provisions of §H of this regulation, a special inspector commission expires:</text> <paragraph num="(1)"> <text>On the second March 1 after June 1, 2001, for special inspector commissions that were issued before June 1, 2001;</text> </paragraph> <paragraph num="(2)"> <text>On March 1 of the next odd number year after the initial issuance of the special inspector commission; or</text> </paragraph> <paragraph num="(3)"> <text>On March 1 of the next odd number year after renewal of the special inspector commission.</text> </paragraph> </paragraph> <paragraph num="H."> <text>To renew a special inspector commission, the authorized inspection agency or the owner-user inspection service employing the special inspector shall, at least 30 days before the special inspector commission is scheduled to expire, provide documentation that:</text> <paragraph num="(1)"> <text>The special inspector continues to be certified as a special inspector by the National Board;</text> </paragraph> <paragraph num="(2)"> <text>The special inspector has maintained sufficient proficiency during the past year by experience and training to qualify for renewal of the commission; and</text> </paragraph> <paragraph num="(3)"> <text>The special inspector remains in the employ of the authorized inspection agency or the owner-user inspection service.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Suspension of Special Inspector Commission.</text> <paragraph num="(1)"> <text>After due investigation and recommendation by the Board of Boiler Rules, the Commissioner may suspend a special inspector commission for:</text> <paragraph num="(a)"> <text>Incompetence;</text> </paragraph> <paragraph num="(b)"> <text>Untrustworthiness; or</text> </paragraph> <paragraph num="(c)"> <text>Willful falsification of information provided:</text> <paragraph num="(i)"> <text>On the application; or</text> </paragraph> <paragraph num="(ii)"> <text>In an inspection report.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Commissioner shall give the inspector and the inspector's employer written notice within 10 days of the suspension.</text> </paragraph> <paragraph num="(3)"> <text>An inspector whose special inspector commission is suspended may:</text> <paragraph num="(a)"> <text>Appeal the suspension to the Board of Boiler Rules; and</text> </paragraph> <paragraph num="(b)"> <text>Be present or be represented by counsel at any hearing of the appeal.</text> </paragraph> </paragraph> </paragraph> <paragraph num="J."> <text>An applicant who fails an examination may take another examination:</text> <paragraph num="(1)"> <text>After 90 days; and</text> </paragraph> <paragraph num="(2)"> <text>At the next regularly scheduled examination date.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16-1" heading="Authorized Inspection Agency Insurance Requirements."> <paragraph num="A."> <text>An authorized inspection agency shall have general liability insurance and professional liability insurance to cover its inspection activities.</text> </paragraph> <paragraph num="B."> <text>An insurance policy required by this section shall be issued by an insurance company authorized to do business in Maryland.</text> </paragraph> <paragraph num="C."> <text>The insurance policy shall be in the amount of at least $500,000 for injury or death for any number of individuals in any single occurrence, and $100,000 for property damage in any single occurrence.</text> </paragraph> <paragraph num="D."> <text>The authorized inspection agency shall notify the Commissioner of any alterations or cancellations within 5 business days.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Installation."> <paragraph num="A."> <text>A new or used boiler, pressure vessel, or piping installation or reinstallation shall be installed in accordance with this chapter.</text> </paragraph> <paragraph num="B."> <text>Notice of Installation.</text> <paragraph num="(1)"> <text>At least 30 days before installing or reinstalling a boiler or pressure vessel, the installer shall file with the chief boiler inspector written notice of the installation.</text> </paragraph> <paragraph num="(2)"> <text>The notice of installation shall contain the following information for each boiler or pressure vessel to be installed:</text> <paragraph num="(a)"> <text>Installer’s name, company name, contact person, address, telephone number, fax number, and email address;</text> </paragraph> <paragraph num="(b)"> <text>Owner’s name, company name, contact person, street address, telephone numbers, fax number, and email address;</text> </paragraph> <paragraph num="(c)"> <text>User’s name, company name, contact person, street address, telephone numbers, fax number, and email address;</text> </paragraph> <paragraph num="(d)"> <text>Name of the location where the boiler or pressure vessel is installed, company name, contact person, street address, telephone numbers, fax number, and email address;</text> </paragraph> <paragraph num="(e)"> <text>Type and use of boiler or pressure vessel;</text> </paragraph> <paragraph num="(f)"> <text>If a boiler, the type of fuel;</text> </paragraph> <paragraph num="(g)"> <text>If a pressure vessel, the pressurized fluid;</text> </paragraph> <paragraph num="(h)"> <text>The minimum required safety valve capacity;</text> </paragraph> <paragraph num="(i)"> <text>If the boiler or pressure vessel is greater than 30 boiler horsepower input or 1,000,000 Btu/hr minimum required safety valve capacity, and operates at greater than 15 psig, the name and Maryland license number of the stationary engineer responsible for the boiler or pressure vessel;</text> </paragraph> <paragraph num="(j)"> <text>Manufacturer, date of manufacture, National Board number, and manufacturer’s serial number;</text> </paragraph> <paragraph num="(k)"> <text>Construction code and section and stamp;</text> </paragraph> <paragraph num="(l)"> <text>Name and contact information of the authorized inspection agency for the installation;</text> </paragraph> <paragraph num="(m)"> <text>Planned date of installation, and planned date of startup; and</text> </paragraph> <paragraph num="(n)"> <text>Whether a waiver of the 30 day notice requirement under §C of this regulation is requested, with a detailed explanation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Waiver of 30-day Notice Requirement.</text> <paragraph num="(1)"> <text>If emergency or unusual circumstances are established by the installer, the chief boiler inspector shall waive the 30-day notice requirement.</text> </paragraph> <paragraph num="(2)"> <text>To obtain a waiver, the installer shall file a written waiver request with the Chief Boiler Inspector as soon as the emergency or unusual circumstances arise; and give a detailed explanation of the emergency or unusual circumstances.</text> </paragraph> <paragraph num="(3)"> <text>If the Chief Boiler Inspector grants a waiver under this section, the Chief Boiler Inspector shall also advise the installer of when the notice is due.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Except for an existing boiler or pressure vessel being reinstalled, or as otherwise provided by this regulation, a boiler or pressure vessel may not be installed unless:</text> <paragraph num="(1)"> <text>The boiler or pressure vessel has been constructed, inspected and stamped in accordance with the ASME Code and registered with the National Board;</text> </paragraph> <paragraph num="(2)"> <text>The boiler or pressure vessel has been:</text> <paragraph num="(a)"> <text>Constructed, inspected and stamped in accordance with the ASME Code;</text> </paragraph> <paragraph num="(b)"> <text>Inspected and the inspector recommends acceptance; and</text> </paragraph> <paragraph num="(c)"> <text>The Chief Boiler Inspector accepts the inspector’s recommendation; or</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The boiler or pressure vessel has been constructed equal to or greater than Maryland standards and:</text> <paragraph num="(a)"> <text>The person intending to construct or install the boiler or pressure vessel:</text> <paragraph num="(i)"> <text>Applies to the Chief Boiler Inspector for approval prior to installation; and</text> </paragraph> <paragraph num="(ii)"> <text>Together with the application files the manufacturer’s data report covering construction of the boiler or pressure vessel;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>An inspector inspects the boiler or pressure vessel during construction and approves the design, materials, fabrication, welding, welding specification, welder’s qualifications, processes and workmanship; and</text> </paragraph> <paragraph num="(c)"> <text>The Chief Boiler Inspector approves the boiler or pressure vessel and its installation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Reinstallation.</text> <paragraph num="(1)"> <text>A used boiler or pressure vessel not moved to another state for use, or repair, or alteration may be reinstalled if the:</text> <paragraph num="(a)"> <text>Owner applies to the Chief Boiler Inspector for permission;</text> </paragraph> <paragraph num="(b)"> <text>Owner submits documents required by the Chief Boiler Inspector; and</text> </paragraph> <paragraph num="(c)"> <text>Chief Boiler Inspector approves the reinstallation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A used standard boiler or pressure vessel, if moved outside the state for use, repair, or alteration, may be reinstalled if the:</text> <paragraph num="(a)"> <text>Owner applies to the Chief Boiler Inspector for permission;</text> </paragraph> <paragraph num="(b)"> <text>Owner submits documents required by the Chief Boiler Inspector; and</text> </paragraph> <paragraph num="(c)"> <text>Chief Boiler Inspector approves the reinstallation.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A used nonstandard boiler or pressure vessel, if moved outside the State for use, repair or alteration, may be reinstalled in Maryland if the:</text> <paragraph num="(a)"> <text>Owner applies to the Chief Boiler Inspector and the Board for permission;</text> </paragraph> <paragraph num="(b)"> <text>Owner submits documents required by the Chief Boiler Inspector and the Board; and</text> </paragraph> <paragraph num="(c)"> <text>The Board of Boiler Rules approves the reinstallation.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Fittings and appliances of a stationary boiler or pressure vessel which is moved and reinstalled shall comply with the requirements for new installations.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Lap-Seam Crack."> <paragraph num="A."> <text>If a boiler or pressure vessel has a lap-seam crack along a longitudinal riveted joint, use of the shell or drum shall be discontinued immediately.</text> </paragraph> <paragraph num="B."> <text>If the boiler is not more than 15 years old, a complete new course of the original thickness may be installed upon:</text> <paragraph num="(1)"> <text>Recommendation by the inspector; and</text> </paragraph> <paragraph num="(2)"> <text>Approval of the chief boiler inspector.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Patching a lap seam crack is prohibited.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Portable Boilers and Pressure Vessels."> <paragraph num="A."> <text>The installer and owner of a portable boiler or pressure vessel shall comply with all requirements of this chapter.</text> </paragraph> <paragraph num="B."> <text>While a portable boiler or pressure vessel is being moved, it shall not be operated.</text> </paragraph> <paragraph num="C."> <text>A portable boiler or pressure vessel shall receive an internal and external certificate inspection:</text> <paragraph num="(1)"> <text>Annually; and</text> </paragraph> <paragraph num="(2)"> <text>After it has been moved to a different location and installed before use.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Power Boiler — Existing Installation: Age Limit."> <paragraph num="A."> <text>Nonstandard Construction.</text> <paragraph num="(1)"> <text>Except as otherwise provided in this regulation, the age limit of a boiler of nonstandard construction installed before the Act became effective shall be 30 years.</text> </paragraph> <paragraph num="(2)"> <text>A boiler of nonstandard construction installed before the Act became effective, not having a lap-riveted longitudinal joint, may continue to operate for more than 30 years without reduction in working pressure after a:</text> <paragraph num="(a)"> <text>Thorough internal and external inspection; and</text> </paragraph> <paragraph num="(b)"> <text>Hydrostatic pressure test at 1-1/2 times the allowable working pressure, held for a period of at least 30 minutes, during which no distress or leakage develops.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A boiler having a lap-riveted longitudinal joint, which operates at a pressure greater than 50 PSI, has an age limit of 20 years.</text> </paragraph> <paragraph num="(4)"> <text>The chief boiler inspector may authorize a reasonable time for replacement, not to exceed 1 year.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Standard Construction.</text> <paragraph num="(1)"> <text>The age limit of a boiler of standard construction installed before July 1, 1969 shall be determined by a:</text> <paragraph num="(a)"> <text>Thorough internal and external inspection; and</text> </paragraph> <paragraph num="(b)"> <text>Hydrostatic pressure test conducted at 1-1/2 times the maximum allowable working pressure, with water temperature between 70°F and 140°F and not less than the nil ductility temperature of the material.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A boiler that exhibits no distress or leakage under test conditions may continue in operation at the same working pressure.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The shell or drum of a boiler having a lap-seam crack along a longitudinal riveted joint in either a butt seam or a lap joint may not be used under steam pressure.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Power Boiler — Existing Installation: Boiler Feed System."> <paragraph num="A."> <text>A boiler shall have a feed supply which permits it to be fed at any time while under pressure.</text> </paragraph> <paragraph num="B."> <text>A boiler having more than 500 square feet of water-heating surface shall have at least two means of feeding, as follows:</text> <paragraph num="(1)"> <text>One means shall be an approved feed pump, injector, or inspirator;</text> </paragraph> <paragraph num="(2)"> <text>The other source may be directly from a water main, at a pressure 6 percent greater than the set pressure of the safety valve having the highest setting.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A boiler conforming to the ASME Code, PG-61.1, and fired by gaseous, liquid, or solid fuel in suspension may have a single feed supply provided that means are furnished for the immediate shutoff of heat input if the water feed is interrupted.</text> </paragraph> <paragraph num="D."> <text>Feedwater shall be fed into a boiler so that it will not be introduced:</text> <paragraph num="(1)"> <text>Near a riveted joint of a shell or furnace sheet; or</text> </paragraph> <paragraph num="(2)"> <text>Directly against a surface exposed to:</text> <paragraph num="(a)"> <text>A product of combustion, or</text> </paragraph> <paragraph num="(b)"> <text>Direct radiation from the fire.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Feed Pipe.</text> <paragraph num="(1)"> <text>Feed pipe shall have a:</text> <paragraph num="(a)"> <text>Check valve near the boiler; and</text> </paragraph> <paragraph num="(b)"> <text>Valve or cock between the check valve and the boiler.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>When two or more boilers are fed from a common source, the branch to each boiler shall have a valve between the check valve and source of supply.</text> </paragraph> <paragraph num="(3)"> <text>The inlet of a globe valve on a feed pipe shall be under the disc of the valve.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Returns.</text> <paragraph num="(1)"> <text>When a return is fed back to a boiler by gravity, each return line shall have, as close as practicable to the boiler, a:</text> <paragraph num="(a)"> <text>Check valve; and</text> </paragraph> <paragraph num="(b)"> <text>Stop valve placed between the boiler and the check valve.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>It is recommended that no stop valve be placed in the supply and return pipe connection of a single boiler installation.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Deaerating Heater. When a deaerating heater is:</text> <paragraph num="(1)"> <text>Not used, the recommended minimum temperature for feedwater is 120°F to avoid creating localized stress.</text> </paragraph> <paragraph num="(2)"> <text>Used, the recommended minimum feedwater temperature is 215°F, so that dissolved gases can be released completely.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Power Boiler — Existing Installation: Maximum Allowable Working Pressure."> <paragraph num="A."> <text>The maximum allowable working pressure on a standard boiler shall be determined in accordance with the ASME Code under which it was constructed and stamped.</text> </paragraph> <paragraph num="B."> <text>The maximum allowable working pressure on the shell of a nonstandard boiler shall be determined by the strength of the weakest section of the structure computed by multiplying TS by t and E and dividing the product by R multiplied by FS:</text> <paragraph num="(1)"> <text>TS = ultimate tensile strength of the shell plate, PSI, which, if unknown, shall be:</text> <paragraph num="(a)"> <text>55,000 PSI for steel; and</text> </paragraph> <paragraph num="(b)"> <text>45,000 PSI for wrought iron;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>t = minimum thickness of the shell plate of the weakest course, in inches;</text> </paragraph> <paragraph num="(3)"> <text>E = efficiency of the longitudinal joint, which is, for:</text> <paragraph num="(a)"> <text>Tube ligaments and riveted construction, established by Section I of the ASME Code for power boilers; and</text> </paragraph> <paragraph num="(b)"> <text>Seamless construction, 100 percent;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>R = inside radius of the weakest course of the shell, in inches;</text> </paragraph> <paragraph num="(5)"> <text>FS = factor of safety required by this regulation;</text> </paragraph> <paragraph num="(6)"> <text>The resistance to crushing of mild steel is assumed to be 95,000 PSI of cross-sectional area;</text> </paragraph> <paragraph num="(7)"> <text>When computing the ultimate strength of rivets in shear, the following values, in pounds per square inch, of the cross-sectional area of the rivet shank shall be used:</text> <paragraph num="(a)"> <text>Iron rivets in single shear 38,000 PSI;</text> </paragraph> <paragraph num="(b)"> <text>Iron rivets in double shear 76,000 PSI;</text> </paragraph> <paragraph num="(c)"> <text>Steel rivets in single shear 44,000 PSI; and</text> </paragraph> <paragraph num="(d)"> <text>Steel rivets in double shear 88,000 PSI;</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>When the diameter of a rivet hole in a longitudinal joint of a boiler is not known, the diameter and cross-sectional area of the rivet, after driving, shall be:</text> <paragraph num="(a)"> <text>Ascertained by cutting out one rivet in the body of the joint; or</text> </paragraph> <paragraph num="(b)"> <text>As indicated in the following table:</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>The maximum allowable working pressure on a:</text> <paragraph num="(1)"> <text>Water-tube boiler having tubes secured to cast iron or malleable-iron headers, or having cast-iron mud drums, shall be 160 PSIG;</text> </paragraph> <paragraph num="(2)"> <text>Cast-iron boiler, except a hot-water boiler, shall be 15 PSIG;</text> </paragraph> <paragraph num="(3)"> <text>Boiler having lap-riveted longitudinal joints, operated at a pressure greater than 50 PSI, when removed from an existing setting and reinstalled, shall be 15 PSIG; and</text> </paragraph> <paragraph num="(4)"> <text>Reinstalled horizontal-return tubular boiler having a continuous longitudinal lap seam more than 12 feet long, shall be 15 PSIG.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Except as otherwise provided by this regulation, the lowest factor of safety shall be, for:</text> <paragraph num="(1)"> <text>An existing installation: 4.5;</text> </paragraph> <paragraph num="(2)"> <text>A horizontal-return tubular boiler having continuous longitudinal lap seams more than 12 feet long: 8;</text> </paragraph> <paragraph num="(3)"> <text>A reinstalled or secondhand boiler having longitudinal seams of lap-riveted construction: 6; and</text> </paragraph> <paragraph num="(4)"> <text>A reinstalled or secondhand boiler with longitudinal seams of butt and double-strap construction: 5.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Power Boiler — Existing Installation: Other Equipment."> <paragraph num="A."> <text>Blowoff Connection.</text> <paragraph num="(1)"> <text>A boiler shall have a blowoff pipe, fitted with a valve or cock, connected directly to the lowest water space. The following apply:</text> <paragraph num="(a)"> <text>A cock shall be of the gland or guard type, suitable for the pressure allowed;</text> </paragraph> <paragraph num="(b)"> <text>A globe valve may not be used.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Settings.</text> <paragraph num="(a)"> <text>The setting around a blowoff pipe shall permit free expansion and contraction.</text> </paragraph> <paragraph num="(b)"> <text>To the maximum extent practicable, setting openings shall be sealed without restricting the movement of the blowoff piping.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Blowoff piping exposed to furnace heat shall be:</text> <paragraph num="(a)"> <text>Protected by firebrick or other heat-resisting material; and</text> </paragraph> <paragraph num="(b)"> <text>Constructed so that the piping can be inspected readily.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>When the maximum allowable working pressure exceeds 100 PSIG:</text> <paragraph num="(a)"> <text>A blowoff pipe shall have two valves or a valve and cock of at least extra-heavy type;</text> </paragraph> <paragraph num="(b)"> <text>Blowoff piping shall:</text> <paragraph num="(i)"> <text>Be at least extra-heavy non-galvanized steel, and</text> </paragraph> <paragraph num="(ii)"> <text>Run full size without reducers or bushings.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>A fitting between the boiler and a blowoff valve shall be steel.</text> </paragraph> <paragraph num="(6)"> <text>A replacement blowoff pipe or fitting shall be installed in accordance with the ASME Code requirements for new installations.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Steam Gage.</text> <paragraph num="(1)"> <text>A steam boiler shall have a steam gage which:</text> <paragraph num="(a)"> <text>Has a dial range of at least 1-1/2 times the maximum allowable working pressure;</text> </paragraph> <paragraph num="(b)"> <text>Is connected to:</text> <paragraph num="(i)"> <text>The steam space or steam connection to the water column, and</text> </paragraph> <paragraph num="(ii)"> <text>A siphon or equivalent device of sufficient capacity to keep the gage tube filled with water;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Is arranged so that the gage can be shut off from the boiler only by a cock with a tee or lever handle:</text> <paragraph num="(i)"> <text>Placed near the gage, and</text> </paragraph> <paragraph num="(ii)"> <text>With the handle parallel to the pipe in which it is located, when the cock is open.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>When a steam gage connection longer than 8 feet is necessary, a shutoff valve near the boiler may be used if the:</text> <paragraph num="(a)"> <text>Valve is:</text> <paragraph num="(i)"> <text>The outside-screw-and-yolk type, and</text> </paragraph> <paragraph num="(ii)"> <text>Locked open; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Line is:</text> <paragraph num="(i)"> <text>Of ample size, and</text> </paragraph> <paragraph num="(ii)"> <text>Permits free blowing.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>A boiler shall have a 1/4 inch nipple and globe valve:</text> <paragraph num="(a)"> <text>Connected to the steam space; and</text> </paragraph> <paragraph num="(b)"> <text>Used only to attach a test gage while the boiler is in operation, to measure the accuracy of the boiler steam gage.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Stop Valves.</text> <paragraph num="(1)"> <text>Except for safety valve and water column connections, each steam outlet from a boiler shall have a stop valve as near as practicable to the boiler.</text> </paragraph> <paragraph num="(2)"> <text>Drainage.</text> <paragraph num="(a)"> <text>When a stop valve is located so water can accumulate, ample drains shall be provided.</text> </paragraph> <paragraph num="(b)"> <text>Drainage shall be piped to a safe location and may not be discharged on the top of the boiler or its setting.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Common Steam Mains.</text> <paragraph num="(a)"> <text>When boilers having manholes are connected to a common steam main, the steam connection from each boiler shall be fitted with two stop valves having an ample free blow drain between them.</text> </paragraph> <paragraph num="(b)"> <text>The discharge of the drain shall be:</text> <paragraph num="(i)"> <text>Visible to the operator while manipulating the valves; and</text> </paragraph> <paragraph num="(ii)"> <text>Piped clear of the boiler setting.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>A stop valve arrangement having one automatic non-return valve beside the boiler, and a second valve of the outside-screw-and-yoke-type, is recommended.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Water Level Indicator.</text> <paragraph num="(1)"> <text>Except for a damper regulator, feedwater regulator, low-water fuel cutout, drain, steam gage, or other apparatus that does not permit the escape of an appreciable amount of steam or water, no outlet connection shall be placed on piping that connects a water column to a boiler.</text> </paragraph> <paragraph num="(2)"> <text>A water column shall have a valved drain of at least 3/4 inch pipe size.</text> </paragraph> <paragraph num="(3)"> <text>The drain shall be piped to a safe location.</text> </paragraph> <paragraph num="(4)"> <text>Gage Cocks.</text> <paragraph num="(a)"> <text>Except as otherwise provided by this regulation, a boiler shall have at least three gage cocks within the visible length of the water glass.</text> </paragraph> <paragraph num="(b)"> <text>A boiler shall have at least two gage cocks if the boiler:</text> <paragraph num="(i)"> <text>Has two water glasses on the same horizontal line; or</text> </paragraph> <paragraph num="(ii)"> <text>Is 36 inches or less in diameter, and has a heating surface of 100 square feet or less.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>When a water gage glass is more than 30 feet above the boiler operating floor, remote water-level indicating or recording gages installed above the operating floor at eye level are recommended.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".24" heading="Power Boiler — Existing Installation: Safety Valve."> <paragraph num="A."> <text>A weighted-lever safety valve or a safety valve having a cast iron seat or disc:</text> <paragraph num="(1)"> <text>May not be used after October 15, 1975; and</text> </paragraph> <paragraph num="(2)"> <text>Shall be replaced by a direct, spring-loaded, pop-type valve that complies with the requirements of the ASME Code, Section I.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A boiler shall have at least one safety valve.</text> </paragraph> <paragraph num="C."> <text>A boiler shall have at least two safety valves if the boiler has:</text> <paragraph num="(1)"> <text>More than 500 square feet of water-heating surface; or</text> </paragraph> <paragraph num="(2)"> <text>An electric power input of more than 500 kw.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A safety valve shall be:</text> <paragraph num="(1)"> <text>Connected to the boiler, independent of any other steam connection;</text> </paragraph> <paragraph num="(2)"> <text>Attached:</text> <paragraph num="(a)"> <text>As close as possible to the boiler, without unnecessary intervening pipe or fittings; and</text> </paragraph> <paragraph num="(b)"> <text>With no valve of any type between the safety valve and the boiler; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Installed in a manner that protects walkways and platforms from discharges.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If an escape pipe is used:</text> <paragraph num="(1)"> <text>There may not be a valve of any type between a safety valve and the atmosphere;</text> </paragraph> <paragraph num="(2)"> <text>It shall be:</text> <paragraph num="(a)"> <text>At least the full size of the safety valve discharge; and</text> </paragraph> <paragraph num="(b)"> <text>Fitted with an open drain to prevent water from lodging in the upper part of a safety valve or escape pipe;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If a safety valve escape pipe has an elbow, the:</text> <paragraph num="(a)"> <text>Elbow shall be located near the safety valve outlet; or</text> </paragraph> <paragraph num="(b)"> <text>Escape pipe shall be anchored and supported securely.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>A boiler shall have sufficient safety valve capacity to discharge all steam the boiler can generate without allowing pressure to rise more than:</text> <paragraph num="(1)"> <text>6 percent above the highest pressure to which any valve is set; and</text> </paragraph> <paragraph num="(2)"> <text>6 percent above the maximum allowable working pressure.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Settings.</text> <paragraph num="(1)"> <text>At least one safety valve on a boiler shall be set at or below the maximum allowable working pressure.</text> </paragraph> <paragraph num="(2)"> <text>Additional valves shall be set not more than 3 percent above the maximum allowable working pressure.</text> </paragraph> <paragraph num="(3)"> <text>The range of settings of all safety valves on a boiler may not exceed 10 percent of the highest pressure to which any valve is set.</text> </paragraph> </paragraph> <paragraph num="H."> <text>When two or more boilers, operating at different pressures and safety valve settings, are interconnected, the lower pressure boilers or interconnected piping shall have safety valves of sufficient capacity to prevent over-pressure, considering the maximum generating capacity of all boilers.</text> </paragraph> <paragraph num="I."> <text>A boiler supplied with feedwater directly from a water main without the use of feeding apparatus other than a return trap, may not have a safety valve set at a pressure greater than 94 percent of the lowest pressure obtained in the supply main feeding the boiler.</text> </paragraph> <paragraph num="J."> <text>Relief Capacity.</text> <paragraph num="(1)"> <text>The relief capacity of a safety valve shall be tested by one of the following:</text> <paragraph num="(a)"> <text>An accumulation test (unless the valve is located on a boiler having a superheater or reheater), performed by shutting off all other steam-discharge outlets from the boiler and forcing fires to the maximum. The safety valve relief capacity shall be sufficient to prevent increased pressure in excess of 6 percent of the maximum allowable working pressure.</text> </paragraph> <paragraph num="(b)"> <text>Measuring the maximum amount of fuel that can be burned, and computing the corresponding evaporative capacity on the basis of the heating value of the fuel, as outlined in the appendix of the ASME Code, Section I.</text> </paragraph> <paragraph num="(c)"> <text>Measuring the maximum amount of feedwater that can be evaporated.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>When either method in §J(1)(b) or (c) is used, the sum of the safety valve capacities shall equal or exceed the maximum evaporative capacity of the boiler.</text> </paragraph> <paragraph num="(3)"> <text>If relief capacity is insufficient, additional valves shall be provided.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".25" heading="Power Boiler — Existing Installation: Miscellaneous."> <paragraph num="A."> <text>Repair or replacement of a fitting or appliance shall comply with the ASME Code.</text> </paragraph> <paragraph num="B."> <text>The ASME Code, Section VII, Recommended Guidelines for the Care of Power Boilers, is recommended as a guide for safe operating practices.</text> </paragraph> <paragraph num="C."> <text>A condition not specifically covered by this regulation:</text> <paragraph num="(1)"> <text>Shall be treated as a new installation; or</text> </paragraph> <paragraph num="(2)"> <text>May be referred to the chief boiler inspector for information about the requirements.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".26" heading="Pressure Vessel — Existing Installation."> <paragraph num="A."> <text>The maximum allowable working pressure for a standard pressure vessel:</text> <paragraph num="(1)"> <text>Shall be determined in accordance with the ASME Code under which it was constructed and stamped; and</text> </paragraph> <paragraph num="(2)"> <text>May not exceed the pressure shown on the manufacturer's name plate stamp and data report.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Nonstandard Pressure Vessel—Maximum Allowable Working Pressure.</text> <paragraph num="(1)"> <text>The maximum allowable working pressure on the shell of a nonstandard pressure vessel shall be determined by the strength of the weakest course computed by multiplying TS by t and E and dividing the product by R multiplied by FS:</text> <paragraph num="(a)"> <text>TS = ultimate tensile strength of the shell plate, PSI, which, if unknown, shall be 55,000 PSI for steel, for temperatures not exceeding 700°F;</text> </paragraph> <paragraph num="(b)"> <text>t = minimum thickness of the shell plate of the weakest course, in inches;</text> </paragraph> <paragraph num="(c)"> <text>E = efficiency of the longitudinal joint, which is, for:</text> <paragraph num="(i)"> <text>Riveted joints, the calculated riveted efficiency, and</text> </paragraph> <paragraph num="(ii)"> <text>Fusion-welded and brazed joints:</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>R = radius of the weakest course of the shell, in inches, using the:</text> <paragraph num="(i)"> <text>Inside radius, if the thickness is 10 percent or less of the radius, and</text> </paragraph> <paragraph num="(ii)"> <text>Outside radius, if the thickness is greater than 10 percent of the radius;</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>FS = factor of safety required by this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The maximum allowable working pressure for a cylindrical nonstandard pressure vessel subjected to external or collapsing pressure shall be determined by the ASME Code, Section VIII, paragraphs UG-28 and UG-29.</text> </paragraph> <paragraph num="(3)"> <text>Factor of Safety.</text> <paragraph num="(a)"> <text>For an existing installation, the minimum factor of safety shall be at least four.</text> </paragraph> <paragraph num="(b)"> <text>When necessary to ensure safe operation, the inspector may increase the factor of safety based on the:</text> <paragraph num="(i)"> <text>Condition of the vessel; and</text> </paragraph> <paragraph num="(ii)"> <text>Specific service to which it is subject.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>The maximum allowable working pressure for formed heads under pressure shall be determined by the:</text> <paragraph num="(a)"> <text>Appropriate formulas from the ASME Code, Section VIII, Division 1, Paragraphs UG-32, UG-33, and UG-35; and</text> </paragraph> <paragraph num="(b)"> <text>Tensile strength and factors of safety set out in this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>If the inspector determines, because of conditions disclosed during an inspection, that the interior or exterior lining, covering, or brickwork should be removed to expose parts of the vessel not normally visible, the owner shall remove the material to permit:</text> <paragraph num="(1)"> <text>Proper inspection; and</text> </paragraph> <paragraph num="(2)"> <text>Drilling any part of the vessel where necessary to ascertain thickness.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Safety Appliances.</text> <paragraph num="(1)"> <text>To ensure safe operation, a pressure vessel shall have:</text> <paragraph num="(a)"> <text>Safety and relief valves; and</text> </paragraph> <paragraph num="(b)"> <text>Indicating and controlling devices.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Safety appliances shall be constructed, located, and installed so that they cannot readily be rendered inoperative.</text> </paragraph> <paragraph num="(3)"> <text>The relief capacity of a safety valve shall be sufficient to prevent pressure in the vessel from rising more than 10 percent above the maximum allowable working pressure, with static head pressure factored into the calculation.</text> </paragraph> <paragraph num="(4)"> <text>Safety valve discharge shall be carried to a safe place.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Repairs and replacements of fittings and appliances shall comply with the requirements for new installations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".27" heading="Repair."> <paragraph num="A."> <text>All repairs and alterations of boilers and pressure vessels shall conform to the requirements of the NBIC.</text> </paragraph> <paragraph num="B."> <text>The person performing repairs and alterations on a boiler or pressure vessel shall provide the chief boiler inspector with reports related to the repair as required by Regulation .28 of this chapter.</text> </paragraph> <paragraph num="C."> <text>The person certifying that the repair or alteration is complete and in accordance with the NBIC shall be a special inspector, deputy boiler, or Chief Boiler Inspector.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".28" heading="Reporting Requirements."> <paragraph num="A."> <text>Accident or Explosion Report.</text> <paragraph num="(1)"> <text>After an accident or explosion the owner or operator shall notify the chief boiler inspector within 24 hours by email and by telephone.</text> </paragraph> <paragraph num="(2)"> <text>Notification under §A(1) of this regulation shall contain the following information regarding the accident or explosion:</text> <paragraph num="(a)"> <text>Name, address, telephone number, and other contact information of the individual reporting the incident;</text> </paragraph> <paragraph num="(b)"> <text>Location and address of the incident;</text> </paragraph> <paragraph num="(c)"> <text>Date and time of the incident;</text> </paragraph> <paragraph num="(d)"> <text>Description of the incident;</text> </paragraph> <paragraph num="(e)"> <text>Maryland registration number and National Board registration number;</text> </paragraph> <paragraph num="(f)"> <text>Manufacturer, year of manufacture, and serial number;</text> </paragraph> <paragraph num="(g)"> <text>Type of boiler or pressure vessel and maximum allowable working pressure;</text> </paragraph> <paragraph num="(h)"> <text>Injuries including fatalities; and</text> </paragraph> <paragraph num="(i)"> <text>Property damage.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A special inspector, immediately upon receiving a report of an accident or explosion, shall notify the chief boiler inspector.</text> </paragraph> <paragraph num="(4)"> <text>Unless necessary to save human life, the owner or operator, or both, shall ensure that the boiler, pressure vessel, or any part of the boiler or pressure vessel is not removed or disturbed before the inspector conducts an inspection.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An inspector shall file a report of a hazardous condition that affects the safe operation of a boiler or pressure vessel with the Chief Boiler Inspector within 24 hours by email.</text> </paragraph> <paragraph num="C."> <text>An authorized insurer shall file a report with the Chief Boiler Inspector by email within 24 hours if the insurance policy is cancelled, not renewed, or suspended due to an unsafe condition.</text> </paragraph> <paragraph num="D."> <text>An authorized insurer shall file a report with the Chief Boiler Inspector by email within 24 hours where the insurance coverage is denied as a result of an inspector’s first inspection.</text> </paragraph> <paragraph num="E."> <text>Inspection Report.</text> <paragraph num="(1)"> <text>Within 30 days of the inspection date, an authorized inspection agency shall submit to the Chief Boiler Inspector:</text> <paragraph num="(a)"> <text>A report of each certificate inspection; and</text> </paragraph> <paragraph num="(b)"> <text>A report of each inspection of a boiler or pressure vessel that did not have a valid certificate at the time of the inspection.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The inspection report shall include at least the following information:</text> <paragraph num="(a)"> <text>Date of the inspection;</text> </paragraph> <paragraph num="(b)"> <text>Maryland registration number;</text> </paragraph> <paragraph num="(c)"> <text>Owner’s identification number;</text> </paragraph> <paragraph num="(d)"> <text>Manufacturer, year of manufacture, National Board registration number, manufacturer’s serial number;</text> </paragraph> <paragraph num="(e)"> <text>Year of installation;</text> </paragraph> <paragraph num="(f)"> <text>Location and address of the boiler or pressure vessel;</text> </paragraph> <paragraph num="(g)"> <text>Name and address of the owner of the boiler or pressure vessel;</text> </paragraph> <paragraph num="(h)"> <text>Name and address of the primary contact of the boiler or pressure vessel;</text> </paragraph> <paragraph num="(i)"> <text>Name and address of the person to whom a certificate should be sent;</text> </paragraph> <paragraph num="(j)"> <text>Name and address of the person to whom an invoice should be sent;</text> </paragraph> <paragraph num="(k)"> <text>Specific location in the plant;</text> </paragraph> <paragraph num="(l)"> <text>Type and use of the boiler or pressure vessel;</text> </paragraph> <paragraph num="(m)"> <text>Whether a variance has been granted and if so, the terms of the variance;</text> </paragraph> <paragraph num="(n)"> <text>ASME symbol stamped on the boiler or pressure vessel;</text> </paragraph> <paragraph num="(o)"> <text>If a boiler, the fuel, the fuel train code, and the firing method;</text> </paragraph> <paragraph num="(p)"> <text>If a pressure vessel, the pressurized fluid;</text> </paragraph> <paragraph num="(q)"> <text>The stamped maximum allowable working pressure and the maximum allowable operating pressure and the set pressure of the pressure relief device;</text> </paragraph> <paragraph num="(r)"> <text>The minimum required capacity of the pressure relief device, and the total installed pressure relief capacity;</text> </paragraph> <paragraph num="(s)"> <text>The status of the boiler or pressure vessel;</text> </paragraph> <paragraph num="(t)"> <text>The inspection type;</text> </paragraph> <paragraph num="(u)"> <text>Whether a certificate is posted;</text> </paragraph> <paragraph num="(v)"> <text>Whether the pressure gage was tested;</text> </paragraph> <paragraph num="(w)"> <text>Whether the inspector recommends that a certificate be issued;</text> </paragraph> <paragraph num="(x)"> <text>Whether a hydrostatic pressure test was performed, and if so, at what pressure;</text> </paragraph> <paragraph num="(y)"> <text>Complete nameplate information or a photograph or rubbing of the nameplate;</text> </paragraph> <paragraph num="(z)"> <text>A statement of the condition of the boiler or pressure vessel, in general and specifically as needed, including violations;</text> </paragraph> <paragraph num="(aa)"> <text>If violations were noted, the recommended corrective action to take;</text> </paragraph> <paragraph num="(bb)"> <text>The name of the owner or owner’s representative to whom the report was explained, with contact information;</text> </paragraph> <paragraph num="(cc)"> <text>The name of the authorized inspection agency; and</text> </paragraph> <paragraph num="(dd)"> <text>The name of the inspector, the inspector’s National Board commission number, and the inspector’s Maryland commission number.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An inspection of a historical boiler shall be reported on:</text> <paragraph num="(a)"> <text>National Board Form C-1; and</text> </paragraph> <paragraph num="(b)"> <text>A Maryland inspection report form.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Method of Filing an Inspection Report.</text> <paragraph num="(a)"> <text>A report shall be submitted electronically in the format required by the Chief Boiler Inspector, unless to do so would create an undue burden.</text> </paragraph> <paragraph num="(b)"> <text>If a report is not submitted electronically in the format required by the Chief Boiler Inspector it shall be:</text> <paragraph num="(i)"> <text>Submitted on the Maryland inspection report form; and</text> </paragraph> <paragraph num="(ii)"> <text>Subject to a filing fee, payable by the authorized inspection agency.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>An authorized insurer shall file a report of insurance change with the Chief Boiler Inspector within 30 days after an insurance policy is issued, cancelled, not renewed, or suspended for any reason.</text> </paragraph> <paragraph num="G."> <text>A manufacturer shall file a manufacturer’s data report with the Chief Boiler Inspector through the National Board for each of its boilers and pressure vessels to be operated in Maryland.</text> </paragraph> <paragraph num="H."> <text>Repair and Alteration Reports.</text> <paragraph num="(1)"> <text>A person performing repairs or alterations on a boiler or pressure vessel shall provide the Chief Boiler Inspector and the owner with a written report of each repair or alteration within 30 days of the completion of the repair or alteration.</text> </paragraph> <paragraph num="(2)"> <text>The repair or alteration report shall include at least the following:</text> <paragraph num="(a)"> <text>Name and address of the company performing the repair or alteration;</text> </paragraph> <paragraph num="(b)"> <text>Owner and location, including the address of the boiler or pressure vessel;</text> </paragraph> <paragraph num="(c)"> <text>Maryland registration number and National Board registration number;</text> </paragraph> <paragraph num="(d)"> <text>Manufacturer and serial number;</text> </paragraph> <paragraph num="(e)"> <text>Description of the repair or alteration; and</text> </paragraph> <paragraph num="(f)"> <text>Completion of certificate of compliance and certificate inspection.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Inventory Report.</text> <paragraph num="(1)"> <text>Within 3 days of the first day of each month, each authorized insurer shall submit to the Chief Boiler Inspector an inventory report of each boiler and pressure vessel that it insures.</text> </paragraph> <paragraph num="(2)"> <text>Within 3 days of the first day of each month, each owner-user inspection service shall submit to the Chief Boiler Inspector an inventory report of each boiler and pressure vessel it owns.</text> </paragraph> <paragraph num="(3)"> <text>The inventory report shall contain at least the following information about each boiler and pressure vessel:</text> <paragraph num="(a)"> <text>Maryland registration number;</text> </paragraph> <paragraph num="(b)"> <text>Name of the manufacturer, year of manufacture, and National Board number;</text> </paragraph> <paragraph num="(c)"> <text>Manufacturer’s serial number;</text> </paragraph> <paragraph num="(d)"> <text>Owner’s identifying number;</text> </paragraph> <paragraph num="(e)"> <text>Type of boiler or pressure vessel;</text> </paragraph> <paragraph num="(f)"> <text>Location and address of the boiler or pressure vessel; and</text> </paragraph> <paragraph num="(g)"> <text>Name and address of the owner of the boiler or pressure vessel.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Method of Filing an Inventory Report.</text> <paragraph num="(a)"> <text>An inventory report shall be submitted electronically in the format required by the Chief Boiler Inspector, unless to do so would create an undue burden.</text> </paragraph> <paragraph num="(b)"> <text>If an inventory report is not submitted electronically in the format required by the Chief Boiler Inspector it shall be subject to a filing fee, payable by the authorized inspection agency.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".28-1" heading="Record Keeping."> <text>An owner or user of a boiler or pressure vessel shall maintain a legible copy of inspection, maintenance, repair, and alteration records.</text> <paragraph num="A."> <text>At a readily accessible central location in the building where the boiler or pressure vessel is located; and</text> </paragraph> <paragraph num="B."> <text>For the life of the boiler or pressure vessel.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".28-2" heading="Database Report of Boilers and Pressure Vessels."> <paragraph num="A."> <text>An authorized insurer shall develop a database report of boilers and pressure vessels that it insures.</text> </paragraph> <paragraph num="B."> <text>An owner-user inspection service shall develop a database report of the boilers and pressure vessels it owns.</text> </paragraph> <paragraph num="C."> <text>The database report required by §§A and B of this regulation shall contain the following information about each boiler and pressure vessel:</text> <paragraph num="(1)"> <text>Maryland registration number and National Board registration number;</text> </paragraph> <paragraph num="(2)"> <text>Name and address of the owner of the boiler or pressure vessel;</text> </paragraph> <paragraph num="(3)"> <text>Location and address of the boiler or pressure vessel;</text> </paragraph> <paragraph num="(4)"> <text>Type of boiler or pressure vessel;</text> </paragraph> <paragraph num="(5)"> <text>Name of the manufacturer and serial number;</text> </paragraph> <paragraph num="(6)"> <text>Date or dates the certificate inspection was completed;</text> </paragraph> <paragraph num="(7)"> <text>Name of the special inspector conducting the inspection; and</text> </paragraph> <paragraph num="(8)"> <text>Last inspection date.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Submission of Database Report.</text> <paragraph num="(1)"> <text>A copy of the database report required by §§A and B of this regulation shall be submitted to the chief boiler inspector by September 1, 2001.</text> </paragraph> <paragraph num="(2)"> <text>After September 1, 2001, the database report and annual updates to the database report shall be submitted to the chief boiler inspector by January 15 of each year.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Database reports submitted by an authorized insurer pursuant to §D of this regulation shall reflect all boilers and pressure vessels that the company insures including:</text> <paragraph num="(1)"> <text>Each certificate inspection; and</text> </paragraph> <paragraph num="(2)"> <text>Each time that the authorized insurer adds or drops a boiler or pressure vessel from coverage.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Filing Reports.</text> <paragraph num="(1)"> <text>Database reports shall be filed by an authorized insurer or owner-user inspection service in an electronic format that is acceptable to the chief boiler inspector.</text> </paragraph> <paragraph num="(2)"> <text>The chief boiler inspector shall notify authorized insurers and owner-user inspection services of the acceptable electronic formats.</text> </paragraph> <paragraph num="(3)"> <text>Database reports not submitted electronically by an authorized insurer or owner-user inspection service shall be submitted on the form provided by the chief boiler inspector.</text> </paragraph> <paragraph num="(4)"> <text>Database reports not submitted electronically by an authorized insurer are subject to the filing fee provisions of Public Safety Article, §12-910(a)(3), Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".28-3" heading="Quality Assurance Program."> <text>Each authorized inspection agency shall make available for review by the Chief Boiler Inspector, the quality assurance program documents that were submitted to the National Board for accreditation as an authorized inspection agency.</text> </regulation> <regulation prefix="Regulation" num=".29" heading="Safety Appliance Removal."> <paragraph num="A."> <text>When a boiler or pressure vessel is operating, a person may not remove, modify, alter, or repair a safety appliance required by these regulations.</text> </paragraph> <paragraph num="B."> <text>When a boiler or pressure vessel is not operating and a safety appliance is removed for modification, alteration, or repair the appliance shall be reinstalled in proper working order before the boiler or pressure vessel resumes operation.</text> </paragraph> <paragraph num="C."> <text>A safety valve may not be loaded to maintain a working pressure greater than the maximum allowable operating pressure.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".30" heading="Stamping."> <paragraph num="A."> <text>At the first post-installation internal or certificate inspection, the inspector shall assign to a boiler or pressure vessel a Maryland serial number that is:</text> <paragraph num="(1)"> <text>At least 5/16 of an inch in height;</text> </paragraph> <paragraph num="(2)"> <text>Configured as follows:</text> <paragraph num="(a)"> <text>For power boilers <MD> MD 0000;</text> </paragraph> <paragraph num="(b)"> <text>For heating boilers <MD> MD 0000H;</text> </paragraph> <paragraph num="(c)"> <text>For pressure vessels <MD> MD 0000V;</text> </paragraph> <paragraph num="(d)"> <text>For nuclear vessels <MD> MD 0000N; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Stamped on:</text> <paragraph num="(a)"> <text>The boiler or pressure vessel, or</text> </paragraph> <paragraph num="(b)"> <text>A metal tag at least 1 inch in height, securely attached to the front of:</text> <paragraph num="(i)"> <text>A low pressure heating boiler constructed of cast iron, or</text> </paragraph> <paragraph num="(ii)"> <text>A pressure vessel constructed of cast iron or other material of a thickness that should not be stamped.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Unless a record is kept showing the location of stamping so that the stamping can be uncovered readily, stamping:</text> <paragraph num="(1)"> <text>May not be concealed by lagging or paint; and</text> </paragraph> <paragraph num="(2)"> <text>Shall be exposed at all times.</text> </paragraph> </paragraph> <paragraph num="C."> <text>When a boiler or pressure vessel stamp is indistinct:</text> <paragraph num="(1)"> <text>An inspector shall direct the owner to have the boiler or pressure vessel restamped;</text> </paragraph> <paragraph num="(2)"> <text>The owner shall:</text> <paragraph num="(a)"> <text>Request from the chief boiler inspector permission to restamp, and</text> </paragraph> <paragraph num="(b)"> <text>Submit with the request, proof of the original stamp; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the chief boiler inspector authorizes restamping, an inspector shall:</text> <paragraph num="(a)"> <text>Observe the restamping, and</text> </paragraph> <paragraph num="(b)"> <text>File with the chief boiler inspector notice of the restamping, and a facsimile of the stamp applied.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>A condemned boiler or pressure vessel shall be stamped with:</text> <paragraph num="(1)"> <text>Letters 5/16 of an inch in height; and</text> </paragraph> <paragraph num="(2)"> <text>The configuration XXX MD XXX.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".31" heading="Variance from Regulation."> <paragraph num="A."> <text>A person who believes that a regulation is unreasonable or imposes an undue burden on an owner may request the Board of Boiler Rules to grant a variance from that regulation.</text> </paragraph> <paragraph num="B."> <text>An application for variance shall:</text> <paragraph num="(1)"> <text>Be in writing;</text> </paragraph> <paragraph num="(2)"> <text>Specify the:</text> <paragraph num="(a)"> <text>Name and address of the applicant,</text> </paragraph> <paragraph num="(b)"> <text>Regulation from which the applicant seeks a variance,</text> </paragraph> <paragraph num="(c)"> <text>Location, equipment, and practices involved;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>State:</text> <paragraph num="(a)"> <text>In detail, the reasons why the applicant requests the variance, and</text> </paragraph> <paragraph num="(b)"> <text>The steps the applicant has taken and will take, with specific dates when appropriate, to protect employees and the public against the hazard covered by the regulation;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Certify that the applicant has given appropriate notice of the application to:</text> <paragraph num="(a)"> <text>The applicant's employees affected by the variance,</text> </paragraph> <paragraph num="(b)"> <text>All authorized representatives of the affected employees, and</text> </paragraph> <paragraph num="(c)"> <text>Other persons affected by the condition for which a variance is sought;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Include a:</text> <paragraph num="(a)"> <text>Copy or description of the required notice, and</text> </paragraph> <paragraph num="(b)"> <text>List of the names and addresses of persons entitled to notice.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Order of Variance.</text> <paragraph num="(1)"> <text>After an investigation and such hearing as it may direct, the Board of Boiler Rules may grant a variance from a regulation.</text> </paragraph> <paragraph num="(2)"> <text>An order of variance may impose special conditions necessary to ensure equivalent safety.</text> </paragraph> </paragraph> <paragraph num="D."> <text>When there is reason to believe, or when a complaint is received, that a variance does not provide safety equivalent to the regulation, the Board of Boiler Rules may continue, suspend, revoke, or modify the conditions specified in a variance order after:</text> <paragraph num="(1)"> <text>Notice to the owner and to the complainant, if any; and</text> </paragraph> <paragraph num="(2)"> <text>Such investigation and hearing as the Board of Boiler Rules may direct.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A declaration, act, or omission of the Board of Boiler Rules, the chief boiler inspector, a deputy boiler inspector, or a special inspector, other than a written order authorizing a variance in accordance with this regulation, may not exempt an owner from full compliance with this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".32" heading="Vacant" /> <regulation prefix="Regulation" num=".33" heading="Model Steam Boilers."> <paragraph num="A."> <text>Model steam boilers are subject to the requirements of Regulations .01, .01-1, .05, .08, .09, .14—.16, .19, and .27—.31 of this chapter.</text> </paragraph> <paragraph num="B."> <text>Repealed.</text> </paragraph> <paragraph num="C."> <text>A model steam boiler may not be operated in Maryland unless it has a valid:</text> <paragraph num="(1)"> <text>Maryland inspection certificate; or</text> </paragraph> <paragraph num="(2)"> <text>Inspection or operating certificate issued by another state having standards equivalent to the requirements of this regulation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Inspection Certificate.</text> <paragraph num="(1)"> <text>Unless sooner suspended or revoked, an inspection certificate expires 1 year from date of issuance.</text> </paragraph> <paragraph num="(2)"> <text>An inspection certificate shall specify the maximum operating pressure of the model steam boiler, determined in accordance with this regulation.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Initial Test.</text> <paragraph num="(1)"> <text>Before an initial test of a model steam boiler:</text> <paragraph num="(a)"> <text>An owner shall provide the inspector with:</text> <paragraph num="(i)"> <text>Construction drawings,</text> </paragraph> <paragraph num="(ii)"> <text>Material specifications,</text> </paragraph> <paragraph num="(iii)"> <text>Welding and brazing information,</text> </paragraph> <paragraph num="(iv)"> <text>Stress calculations, in accordance with §H of this regulation,</text> </paragraph> <paragraph num="(v)"> <text>The calculated factor of safety,</text> </paragraph> <paragraph num="(vi)"> <text>Requested maximum operating pressure,</text> </paragraph> <paragraph num="(vii)"> <text>The name and qualifications of the manufacturer and assembler, and</text> </paragraph> <paragraph num="(viii)"> <text>The name and qualifications of the designer, if available; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>An inspector shall verify that the design of the model steam boiler is in accordance with the documents provided.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Before being put into operation, a new model steam boiler shall be tested hydrostatically to a pressure of at least two times the maximum operating pressure.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Inspection.</text> <paragraph num="(1)"> <text>A model steam boiler shall be tested:</text> <paragraph num="(a)"> <text>Annually; and</text> </paragraph> <paragraph num="(b)"> <text>After repair or modification.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An owner requesting an inspection of a model steam boiler shall supply test equipment, including:</text> <paragraph num="(a)"> <text>Water source, pump, pressure lines, and master test gage; and</text> </paragraph> <paragraph num="(b)"> <text>Plugs, gags, or caps to replace safety valves or other appurtenances, if needed to prevent damage by the required test pressure.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An inspector:</text> <paragraph num="(a)"> <text>Shall conduct an external inspection and, to the extent possible, an internal inspection, to ascertain the physical condition of the model steam boiler before the hydrostatic test is conducted;</text> </paragraph> <paragraph num="(b)"> <text>Shall witness the hydrostatic test;</text> </paragraph> <paragraph num="(c)"> <text>May require that:</text> <paragraph num="(i)"> <text>A model steam boiler be placed in operation so the inspector can make further observations and check safety valve operation, and</text> </paragraph> <paragraph num="(ii)"> <text>An accumulation test be conducted in accordance with Regulation .24J(1)(a) of this chapter; and</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>If the test is completed successfully, shall sign the test report and file it with the chief boiler inspector.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A hydrostatic test:</text> <paragraph num="(a)"> <text>Except as otherwise provided by this regulation, shall be applied at 1-1/2 times the maximum operating pressure;</text> </paragraph> <paragraph num="(b)"> <text>May be conducted using a model steam boiler's feed pump and pressure gage, if the:</text> <paragraph num="(i)"> <text>Range of the gage is sufficient, and</text> </paragraph> <paragraph num="(ii)"> <text>Gage has been calibrated in accordance with this regulation; and</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>May not be approved if the model steam boiler:</text> <paragraph num="(i)"> <text>Shows leakage, bulging or displacement of a sheet, firebox, barrel, or other surface exposed to pressure, or</text> </paragraph> <paragraph num="(ii)"> <text>While pressure is being increased or is at the maximum level, experiences a serious leak, unusual sound, or sudden drop in pressure.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Equipment.</text> <paragraph num="(1)"> <text>Safety Valve.</text> <paragraph num="(a)"> <text>A model steam boiler shall have two or more safety valves.</text> </paragraph> <paragraph num="(b)"> <text>Each safety valve shall be set at or below the maximum operating pressure.</text> </paragraph> <paragraph num="(c)"> <text>A model steam boiler shall:</text> <paragraph num="(i)"> <text>Have sufficient safety valve capacity to discharge all steam the model steam boiler can generate, without allowing pressure to rise more than 6 percent above the maximum operating pressure; and</text> </paragraph> <paragraph num="(ii)"> <text>Comply with the requirements of the ASME Code, Section I, Paragraph PG-70.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Steam Gage. If a steam gage:</text> <paragraph num="(a)"> <text>Has sufficient range:</text> <paragraph num="(i)"> <text>It may be left in place during a test,</text> </paragraph> <paragraph num="(ii)"> <text>A record shall be made of its readings and compared with the master test gage, and</text> </paragraph> <paragraph num="(iii)"> <text>If test readings conflict, the steam gage shall be recalibrated or replaced;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Does not have sufficient range for test pressure:</text> <paragraph num="(i)"> <text>The steam gage shall be removed and calibrated with the test gage or with a dead weight tester, and</text> </paragraph> <paragraph num="(ii)"> <text>A test gage shall be used to conduct the test.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Maximum operating pressure, as designated on the inspection certificate:</text> <paragraph num="(1)"> <text>For a model steam boiler on a locomotive, shall be that necessary to move the locomotive, considering cylinder dimension and weight on driving wheels;</text> </paragraph> <paragraph num="(2)"> <text>For other model steam boilers, shall be that necessary for optimum operation of the engine; and</text> </paragraph> <paragraph num="(3)"> <text>May not exceed the maximum allowable working pressure.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Maximum Allowable Working Pressure.</text> <paragraph num="(1)"> <text>Maximum allowable working pressure on:</text> <paragraph num="(a)"> <text>The shell of a model steam boiler shall be computed by the formula: (s X t X c)/r = maximum allowable working pressure, PSIG, where:</text> <paragraph num="(i)"> <text>s = maximum allowable material stress, PSI,</text> </paragraph> <paragraph num="(ii)"> <text>t = minimum thickness of the shell wall, in inches,</text> </paragraph> <paragraph num="(iii)"> <text>c = constant, which for a seamless shell shall be 1.0, and for a welded shell shall be 0.8, and</text> </paragraph> <paragraph num="(iv)"> <text>r = outside radius of the shell, in inches;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A stayed surface shall be computed by the formula: (t squared X s X c)/p squared = Maximum allowable working pressure, PSIG, where:</text> <paragraph num="(i)"> <text>c = constant, which for welded or silver soldered stay bolts without heads shall be 2.1, and for welded or silver soldered stay bolts with heads shall be 2.8,</text> </paragraph> <paragraph num="(ii)"> <text>p = stay bolt pitch, in inches, using the largest dimension if the spacing is not square,</text> </paragraph> <paragraph num="(iii)"> <text>s = maximum allowable material stress, PSI, and</text> </paragraph> <paragraph num="(iv)"> <text>t = minimum thickness of the wall, in inches;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>A stay bolt shall be computed by the formula: (a X s)/(h X v) = maximum allowable working pressure, PSIG, where:</text> <paragraph num="(i)"> <text>a = cross sectional area of stay bolt, root of thread, if threaded, in square inches,</text> </paragraph> <paragraph num="(ii)"> <text>h = stay bolt horizontal spacing, in inches,</text> </paragraph> <paragraph num="(iii)"> <text>s = maximum allowable material stress, PSI, and</text> </paragraph> <paragraph num="(iv)"> <text>v = stay bolt vertical spacing, in inches.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>The calculated factor of safety shall be computed by the formula: ((maximum allowable ASME Code calculated working pressure, PSIG)/(maximum operation pressure, PSIG)) X (ASME Code factor of safety) = calculated factor of safety</text> </paragraph> <paragraph num="(3)"> <text>The maximum allowable material stress shall be, for:</text> <paragraph num="(a)"> <text>Carbon steel:</text> <paragraph num="(i)"> <text>Ultimate tensile strength: 50,000 PSI;</text> </paragraph> <paragraph num="(ii)"> <text>ASME Code factor of safety: 4;</text> </paragraph> <paragraph num="(iii)"> <text>Allowable working stress: 12,500 PSI; and</text> </paragraph> <paragraph num="(iv)"> <text>A temperature allowance is not required for pressures up to 250 PSI. Allowable stress values for pressures above 250 PSI shall comply with the requirements of the ASME Code, Section I, Part PG-23.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Copper:</text> <paragraph num="(i)"> <text>Ultimate tensile strength: 30,000 PSI;</text> </paragraph> <paragraph num="(ii)"> <text>ASME Code factor of safety: 5; and</text> </paragraph> <paragraph num="(iii)"> <text>Allowable working stress, with temperature allowance:</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".34" heading="Historic Boilers."> <paragraph num="A."> <text>Except as provided for in this regulation, a historical boiler shall be installed, inspected, operated, repaired, or altered in accordance with the NBIC.</text> </paragraph> <paragraph num="B."> <text>Inspection.</text> <paragraph num="(1)"> <text>An initial inspection shall be conducted:</text> <paragraph num="(a)"> <text>To determine baseline criteria needed for the operating life of the boiler;</text> </paragraph> <paragraph num="(b)"> <text>In accordance with the requirements outlined in the NBIC;</text> </paragraph> <paragraph num="(c)"> <text>On any boiler not previously inspected in Maryland; and</text> </paragraph> <paragraph num="(d)"> <text>On any boiler which has not received a certificate inspection in Maryland in the previous 2 years.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Except as provided in this subsection, a historical boiler shall be inspected at the inspection intervals of the NBIC:</text> <paragraph num="(a)"> <text>An internal inspection shall be conducted annually;</text> </paragraph> <paragraph num="(b)"> <text>An external inspection shall be conducted annually;</text> </paragraph> <paragraph num="(c)"> <text>After a repair or alteration, a historical boiler shall be inspected before operation; and</text> </paragraph> <paragraph num="(d)"> <text>If an inspection detects a condition warranting further investigation, an inspector may require further investigation.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Before an inspection, an owner shall, upon request, provide the inspector with:</text> <paragraph num="(a)"> <text>Stress calculations in accordance with this regulation;</text> </paragraph> <paragraph num="(b)"> <text>The calculated factor of safety;</text> </paragraph> <paragraph num="(c)"> <text>Requested maximum allowable operating pressure;</text> </paragraph> <paragraph num="(d)"> <text>The two most recent ultrasonic thickness examination maps; and</text> </paragraph> <paragraph num="(e)"> <text>Any other documentation required by the NBIC.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>During an inspection, an inspector may:</text> <paragraph num="(a)"> <text>Examine all documents pertaining to the qualifications of the operator; and</text> </paragraph> <paragraph num="(b)"> <text>Assess an operator’s demonstrated understanding of the operational requirements of the historical boiler.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Hydrostatic Pressure Test.</text> <paragraph num="(1)"> <text>A historical boiler shall be hydrostatically tested to a pressure of not less than the maximum allowable operating pressure but no more than 1-1/4 times the maximum allowable operating pressure.</text> </paragraph> <paragraph num="(2)"> <text>After a repair or alteration, a historical boiler shall be tested hydrostatically to a pressure of not less than 1¼ times the maximum allowable operating pressure but no more than 1½ times the maximum allowable operating pressure.</text> </paragraph> <paragraph num="(3)"> <text>An owner shall supply the necessary test equipment required by the inspector for the hydrostatic test including:</text> <paragraph num="(a)"> <text>Water source, pump, pressure lines, and calibrated test gauge; and</text> </paragraph> <paragraph num="(b)"> <text>Plugs, gags, or caps to replace safety valves or other appurtenances if needed to prevent damage from the required test pressure.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Maximum Allowable Operating Pressure.</text> <paragraph num="(1)"> <text>The maximum allowable operating pressure shall be determined by the inspector in accordance with the NBIC and ASME Code.</text> </paragraph> <paragraph num="(2)"> <text>The maximum allowable operating pressure for objects containing wrought iron will be determined by considering the following:</text> <paragraph num="(a)"> <text>For pressures up to 250 psi a temperature allowance is not required; and</text> </paragraph> <paragraph num="(b)"> <text>For pressures above 250 psi the allowable stress values shall comply with the requirements of the ASME Code, Section I, Part PG-23.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The maximum allowable operating pressure for objects containing materials other than carbon steel or wrought iron shall be determined in accordance with the ASME Code.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Training.</text> <paragraph num="(1)"> <text>A person who operates a historical boiler shall retain a written record of their training.</text> </paragraph> <paragraph num="(2)"> <text>Upon request, a person who operates a historical boiler shall provide the Chief Boiler Inspector with a copy of their training record.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Historical boilers with a certificate of inspection issued by another jurisdiction may operate in Maryland under the following circumstances:</text> <paragraph num="(1)"> <text>An owner of a historical boiler may request that the Chief Boiler Inspector recognize a certificate of inspection issued by another jurisdiction;</text> </paragraph> <paragraph num="(2)"> <text>In evaluating a request for recognition of a certification of inspection by the other jurisdiction, the Chief Boiler Inspector may conduct an inspection of a historical boiler to verify:</text> <paragraph num="(a)"> <text>Compliance with the NBIC; and</text> </paragraph> <paragraph num="(b)"> <text>Satisfaction of safety requirements that are equal to or greater than Maryland’s requirements;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the Chief Boiler Inspector conducts an inspection to evaluate a historical boiler with a certificate of inspection from the other jurisdiction, the Chief Boiler Inspector shall examine the following:</text> <paragraph num="(a)"> <text>Verification and validation of the certificate of inspection from the other jurisdiction;</text> </paragraph> <paragraph num="(b)"> <text>Examination of all documents required by this regulation and by the NBIC;</text> </paragraph> <paragraph num="(c)"> <text>Examination of all documents pertaining to the qualifications of the operator;</text> </paragraph> <paragraph num="(d)"> <text>Demonstrated understanding of the operational requirements by the operator of the historical boiler; and</text> </paragraph> <paragraph num="(e)"> <text>Other tests at the discretion of the inspector including but not limited to:</text> <paragraph num="(i)"> <text>An external inspection;</text> </paragraph> <paragraph num="(ii)"> <text>A determination of the maximum allowable operating pressure in Maryland; and</text> </paragraph> <paragraph num="(iii)"> <text>Operation at the maximum allowable operating pressure in Maryland; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>If the Chief Boiler Inspector determines that a historical boiler with a certificate of inspection issued by another jurisdiction is in compliance with safety requirements that are equal to or greater than Maryland, the Chief Boiler Inspector shall issue a certificate of inspection.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A historical portable steam boiler shall not be operated at a pressure greater than:</text> <paragraph num="(1)"> <text>15 psig when being moved at a speed of 5 miles per hour or less; and</text> </paragraph> <paragraph num="(2)"> <text>Zero psig when being moved at a speed greater than 5 miles per hour.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".35" heading="Citations."> <paragraph num="A."> <text>If, after an inspection or investigation, the Commissioner finds that, within the immediately preceding 6 months, a person has violated Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, or a regulation or order issued to carry out this law, the Commissioner shall issue a citation to the person.</text> </paragraph> <paragraph num="B."> <text>Each citation shall:</text> <paragraph num="(1)"> <text>Be in writing;</text> </paragraph> <paragraph num="(2)"> <text>Describe, in detail, the nature of the alleged violation;</text> </paragraph> <paragraph num="(3)"> <text>Cite the provision or provisions of Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, regulation, or order that the person is alleged to have violated;</text> </paragraph> <paragraph num="(4)"> <text>Set a reasonable time for correction of the alleged violation;</text> </paragraph> <paragraph num="(5)"> <text>State the proposed civil penalty, if any, that the Commissioner intends to impose; and</text> </paragraph> <paragraph num="(6)"> <text>Inform the person of the right to a hearing under §E of this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Commissioner shall serve the citation on each named person by:</text> <paragraph num="(1)"> <text>Certified mail, return receipt requested; or</text> </paragraph> <paragraph num="(2)"> <text>Personal delivery, if the person serving the document certifies to the manner and date of service.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A person who receives a citation shall:</text> <paragraph num="(1)"> <text>Upon receipt of the citation, post the citation, or an unedited copy, conspicuously at or near each place where the citation alleges that a violation occurred;</text> </paragraph> <paragraph num="(2)"> <text>Post the citation, or an unedited copy, conspicuously at its place of business where:</text> <paragraph num="(a)"> <text>Notices to employees are usually posted; and</text> </paragraph> <paragraph num="(b)"> <text>Notices to the public are usually posted;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Ensure that the posted citation is not:</text> <paragraph num="(a)"> <text>Removed;</text> </paragraph> <paragraph num="(b)"> <text>Altered;</text> </paragraph> <paragraph num="(c)"> <text>Defaced; or</text> </paragraph> <paragraph num="(d)"> <text>Covered; and</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Ensure that the citation remains posted for the later of:</text> <paragraph num="(a)"> <text>The time the violation described in the citation is corrected; or</text> </paragraph> <paragraph num="(b)"> <text>3 workdays.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Within 15 workdays after a person receives notice of a citation under §C of this regulation, the person may submit to the Commissioner a written request for a hearing on the citation or proposed civil penalty.</text> </paragraph> <paragraph num="F."> <text>Unless a person requests a hearing as provided in §E of this regulation, a citation, including a notice of a proposed civil penalty, is considered a final order.</text> </paragraph> <paragraph num="G."> <text>The Commissioner, or the Commissioner’s designee, shall give notice of a hearing and hold the hearing under §E of this regulation in accordance with State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland, as supplemented by Regulation .09 of this chapter.</text> </paragraph> <paragraph num="H."> <text>A person shall correct each violation for which the Commissioner issues a citation within the time set for correction in the citation or a final order under this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".36" heading="Penalties."> <paragraph num="A."> <text>The Commissioner may impose a civil penalty, not exceeding $1,000 for each violation, against a person who violates Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, or a regulation or order issued to carry out this law, if:</text> <paragraph num="(1)"> <text>The violation involves recordkeeping, notice, filing, access, or posting requirements;</text> </paragraph> <paragraph num="(2)"> <text>An inspection is not conducted on time; or</text> </paragraph> <paragraph num="(3)"> <text>The Commissioner finds that the violation is less than serious.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Commissioner may impose a civil penalty, not exceeding $2,500 for each violation, against a person who violates Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, or a regulation or order issued to carry out this law, if a substantial probability of death, serious physical injury, or serious damage to property exists because of the violation, unless the person did not know and with reasonable diligence could not have known of the violation.</text> </paragraph> <paragraph num="C."> <text>The Commissioner may impose a civil penalty, not exceeding $5,000 for each violation, against a person who:</text> <paragraph num="(1)"> <text>Operates a boiler or pressure vessel without a certificate of inspection from the Commissioner;</text> </paragraph> <paragraph num="(2)"> <text>Operates a boiler or pressure vessel that has been prohibited from use; or</text> </paragraph> <paragraph num="(3)"> <text>Willfully or repeatedly violates Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland, or a regulation or order issued to carry out this law.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Before the Commissioner imposes a civil penalty, the Commissioner shall consider the appropriateness of the penalty in relation to:</text> <paragraph num="(1)"> <text>The size of the business of the person against whom the penalty is to be imposed;</text> </paragraph> <paragraph num="(2)"> <text>The nature or gravity of the violation for which the penalty is to be imposed;</text> </paragraph> <paragraph num="(3)"> <text>The good faith of the person; and</text> </paragraph> <paragraph num="(4)"> <text>Any previous violations by the person.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The Commissioner may impose a civil penalty, not exceeding $1,000 for each day a violation continues, against a person who fails to correct the violation in the time set for its correction.</text> </paragraph> <paragraph num="F."> <text>Each civil penalty shall be paid into the General Fund of the State.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".37" heading="Miniature Boilers."> <paragraph num="A."> <text>Miniature boilers are exempt from the requirements of CSD-1, except that they shall have:</text> <paragraph num="(1)"> <text>An emergency shut-off switch located outside of the main point of access and egress to the boiler room, unless the installer can establish that this location would allow access by the general public that could be detrimental to the operation of the boiler; and</text> </paragraph> <paragraph num="(2)"> <text>A lockable service disconnect.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Control and safety devices for miniature boilers shall comply with:</text> <paragraph num="(1)"> <text>The code under which they were constructed and stamped; and</text> </paragraph> <paragraph num="(2)"> <text>The recommendations and requirements in the manufacturer's installation manual.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If a conflict between §B(1) and (2) of this regulation occurs, the code under which they were constructed and stamped shall be followed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".38" heading="Kitchen Equipment Boilers."> <paragraph num="A."> <text>Kitchen equipment boilers are exempt from the requirements of CSD-1, except that they shall have:</text> <paragraph num="(1)"> <text>An emergency shut-off switch located outside of the main point of access and egress to the kitchen, unless the installer can establish that this location would allow access by the general public that could be detrimental to the operation of the boiler; and</text> </paragraph> <paragraph num="(2)"> <text>A lockable service disconnect.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Control and safety devices for kitchen equipment boilers shall comply with:</text> <paragraph num="(1)"> <text>The code under which they were constructed and stamped; and</text> </paragraph> <paragraph num="(2)"> <text>The recommendations and requirements in the manufacturer's installation manual.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If a conflict between §B(1) and (2) of this regulation occurs, the code under which they were constructed and stamped shall be followed.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, Title 12, Annotated Code of MarylandCh. 351, Acts of 2004</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 15, 1975 (2:23 Md. R. 1414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02CC amended and .02DD repealed effective June 1, 1982 (9:8 Md. R. 821)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02PP amended effective November 4, 1985 (12:22 Md. R. 2103)</annotation> <annotation type="History" subtype="Administrative History">Regulations .07—.08 adopted effective November 4, 1985 (12:22 Md. R. 2103)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.08 repealed and new Regulations .01—.32 adopted effective June 1, 1989 (16:10 Md. R. 1106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective September 1, 1989 (16:16 Md. R. 1749); April 16, 1990 (17:7 Md. R. 848); October 7, 1996 (23:20 Md. R. 1422); June 30, 1997 (24:13 Md. R. 930)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective July 14, 1999 (26:16 Md. R. 1237); amended permanently effective October 4, 1999 (26:20 Md. R. 1545)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective July 10, 2000 (27:13 Md. R. 1211)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1 amended effective January 31, 1994 (21:2 Md. R. 98); July 18, 1994 (12:14 Md. R. 1228); November 20, 1994 (21:25 Md. R. 1933); July 3, 1995 (22:13 Md. R. 966); January 15, 1996 (23:1 Md. R. 23); April 22, 1996 (23:8 Md. R. 604); August 12, 1996 (23:16 Md. R. 1175); June 30, 1997 (24:13 Md. R. 930); November 3, 1997 (24:22 Md. R. 1551); July 10, 2000 (27:13 Md. R. 1211); February 19, 2001 (28:3 Md. R. 205)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1A(1) amended as an emergency provision effective July 14, 1999 (26:16 Md. R. 1236); amended permanently effective October 4, 1999 (26:20 Md. R. 1545)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-2 adopted effective October 11, 1993 (20:20 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-2 amended effective June 30, 1997 (24:13 Md. R. 930)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective October 7, 1996 (23:20 Md. R. 1422); July 10, 2000 (27:13 Md. R. 1211); February 19, 2001 (28:3 Md. R. 205)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective July 3, 1995 (22:13 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective March 5, 1990 (17:4 Md. R. 496)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14G adopted effective October 11, 1993 (20:20 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 amended effective September 3, 1990 (17:17 Md. R. 2078)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17A amended effective October 11, 1993 (20:20 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17A amended as an emergency provision effective July 14. 1999 (26:16 Md. R. 1237); amended permanently effective October 4, 1999 (26:20 Md. R. 1545)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17E amended effective September 1, 1989 (16:16 Md. R. 1749)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22B amended effective July 3, 1995 (22:13 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25B amended as an emergency provision effective July 14, 1999 (26:16 Md. R. 1237); amended permanently effective October 4, 1999 (26:20 Md. R. 1545)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26B amended effective July 3, 1995 (22:13 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27 amended as an emergency provision effective July 14, 1999 (26:16 Md. R. 1237); amended permanently effective October 4, 1999 (26:20 Md. R. 1545)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27B amended effective August 5, 1991 (18:15 Md. R. 1725); November 20, 1994 (21:23 Md. R. 1933)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27C adopted effective August 5, 1991 (18:15 Md. R. 1725)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27C amended effective October 11, 1993 (20:20 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28A amended effective June 30, 1997 (24:13 Md. R. 930)</annotation> <annotation type="History" subtype="Administrative History">Regulation .31D amended effective November 20, 1994 (21:23 Md. R. 1933)</annotation> <annotation type="History" subtype="Administrative History">Regulation .32 amended and recodified to Regulation .01-1 effective October 11, 1993 (20:20 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .32A amended effective April 16, 1990 (17:7 Md. R. 848)</annotation> <annotation type="History" subtype="Administrative History">Regulation .33 adopted effective September 1, 1989 (16:16 Md. R. 1749)</annotation> <annotation type="History" subtype="Administrative History">Regulation .33A amended, B repealed effective June 30, 1997 (24:13 Md. R. 930)</annotation> <annotation type="History" subtype="Administrative History">Regulation .34 adopted effective June 30, 1997 (24:13 Md. R. 930)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised as an emergency provision effective August 10, 2001 (28:17 Md. R. 1551); revised permanently effective November 12, 2001 (28:22 Md. R. 1936)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective December 12, 2002 (29:24 Md. R. 1919); April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1 amended effective April 19, 2021 (48:8 Md. R. 308)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1A amended effective September 29, 2003 (30:19 Md. R. 1331); March 17, 2014 (41:5 Md. R. 342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1A, B amended effective September 2, 2002 (29:17 Md. R. 1380)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1A, C amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1B, C amended effective December 12, 2002 (29:24 Md. R. 1919)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-2 amended effective December 12, 2002 (29:24 Md. R. 1919); April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B, C amended and D adopted effective September 30, 2002 (29:19 Md. R. 1523)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 recodified to Regulation .14-1 and new Regulation .14 adopted as an emergency provision effective July 9, 2004 (31:18 Md. R. 1348); adopted permanently effective September 27, 2004 (31:19 Md. R. 1431)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14C amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14D adopted effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14-1G amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15B amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 amended as an emergency provision effective December 22, 2008 (36:2 Md. R. 96); emergency status extended at 36:17 Md. R. 1310; emergency status expired November 19, 2009</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16-1 adopted as an emergency provision effective December 22, 2008 (36:2 Md. R. 96); emergency status extended at 36:17 Md. R. 1310; emergency status expired November 19, 2009</annotation> <annotation type="History" subtype="Administrative History">Regulation .16-1 adopted effective December 26, 2011 (38:26 Md. R. 1696)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16-1 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17C amended effective December 12, 2002 (29:24 Md. R. 1919)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 repealed and new Regulation .19 adopted effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27A amended effective September 29, 2003 (30:19 Md. R. 1331); April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .27C adopted effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28G amended effective July 16, 2020 (47:14 Md. R. 675)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28-1 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28-2B, F amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .28-3 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .29 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .34 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .35 amended effective April 23, 2018 (45:8 Md. R. 419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .37 adopted effective December 12, 2002 (29:24 Md. R. 1919)</annotation> <annotation type="History" subtype="Administrative History">Regulation .38 adopted effective December 12, 2002 (29:24 Md. R. 1919)</annotation> </annotations> </chapter> <chapter num="02" heading="Equal Pay for Equal Work"> <annotations> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.02 adopted as an emergency provision effective November 4, 2008 (35:24 Md. R. 2068); emergency status extended at 36:13 Md. R. 897; emergency status expired October 20, 2009</annotation> </annotations> </chapter> <chapter num="03—10" heading="" reason="VACANT" /> <chapter num="11" heading="Fee Charging Employment Agencies"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>The following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Applicant” means a person, employed or unemployed, who either seeks employment or enters into an arrangement concerning employment through an employment agency. “Applicant” does not include either a person applying for an employment agency license or a prospective employee for an employment agency.</text> </paragraph> <paragraph num="(2)"> <text>“Commissioner” means the Commissioner of Labor and Industry, or a duly designated representative.</text> </paragraph> <paragraph num="(3)"> <text>“Employer” means any person, firm, corporation, partnership, or association that employs or seeks to enter into an arrangement to employ any person through an employment agency.</text> </paragraph> <paragraph num="(4)"> <text>“Method of payment” means the specific procedure for paying the employment agency's placement fee after placement is made.</text> </paragraph> <paragraph num="(5)"> <text>“Permanent placement fee” means the net fee charged by an employment agency for any placement after discounts or other fee reductions allowed by the agency.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Out-of-State Agency."> <paragraph num="A."> <text>Any out-of-State employment agency shall obtain an employment agency license and bond if the agents, managers, or counselors act as an employment agency in this State.</text> </paragraph> <paragraph num="B."> <text>This regulation applies to an out-of-State employment agency operating from either a permanent or a temporary place of business within the State.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Providing Copies of the Law."> <text>An employment agency shall provide each general manager and counselor with a current copy of the employment agency law and regulations.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Contracts."> <text>Each contract that an employment agency submits to an applicant shall:</text> <paragraph num="A."> <text>Be printed in 6-point type size or larger; and</text> </paragraph> <paragraph num="B."> <text>State:</text> <paragraph num="(1)"> <text>"Employment shall be considered to be temporary when within 90 days after employment commences the employment is terminated through 'no fault' of the applicant, or the employment is voluntarily terminated by the applicant with 'just cause.' A temporary placement fee may be charged to any such applicant for such temporary employment, such fee not to exceed twenty (20) percent of the total compensation received or seventy-five (75) percent of the permanent placement fee for the same position, whichever is the lesser.</text> </paragraph> <paragraph num="(2)"> <text>In bold face capital letters above signature line: “I HAVE READ AND UNDERSTAND THE ABOVE CONTRACT AND HAVE RECEIVED A DUPLICATE OF THE CONTRACT.”</text> </paragraph> <paragraph num="(3)"> <text>In a prominent place on the first page, “Licensed and regulated by the Commissioner of Labor and Industry, State of Maryland, telephone number, area code (301) 333-4211”.</text> </paragraph> <paragraph num="(4)"> <text>The method of payment.</text> </paragraph> <aftertext>In the event the employee is discharged 'for cause' or voluntarily leaves employment without 'just cause' within 90 days after employment commences, a fee not to exceed 75% of the permanent placement fee may be charged to any such applicant. "</aftertext> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Fee Statement."> <text>An employment agency shall provide to each applicant a separate document clearly stating the:</text> <paragraph num="A."> <text>Fee amount;</text> </paragraph> <paragraph num="B."> <text>Annual interest percentage rate; and</text> </paragraph> <paragraph num="C."> <text>Amount of any service charge or interest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Records."> <paragraph num="A."> <text>Each employment agency shall maintain a record of services provided to each employer and applicant.</text> </paragraph> <paragraph num="B."> <text>Each record shall:</text> <paragraph num="(1)"> <text>Be maintained for a period of 2 years;</text> </paragraph> <paragraph num="(2)"> <text>Contain the following:</text> <paragraph num="(a)"> <text>The name and address of the employer and the applicant;</text> </paragraph> <paragraph num="(b)"> <text>A description of the positions:</text> <paragraph num="(i)"> <text>Offered by the employer, and</text> </paragraph> <paragraph num="(ii)"> <text>Accepted by the applicant;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The wage or salary of the position accepted by the applicant;</text> </paragraph> <paragraph num="(d)"> <text>The permanent or temporary placement fee;</text> </paragraph> <paragraph num="(e)"> <text>The amount and date of any fee payment;</text> </paragraph> <paragraph num="(f)"> <text>The amount and date of any fee refund and the reason for it; and</text> </paragraph> <paragraph num="(g)"> <text>If the position accepted is not permanent, its expected duration.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Third Party Representative."> <paragraph num="A."> <text>When an employer requests a third party representative to recommend an individual for employment in the same, similar, or other affiliated place of employment, and the representative requests an employment agency to refer applicants to be interviewed, the representative shall be considered the agent of the employer.</text> </paragraph> <paragraph num="B."> <text>The request to the employment agency is considered to be a bona fide job order from the employer.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Refunds."> <paragraph num="A."> <text>An employment agency shall comply with the provisions concerning placement fee refunds set forth in Business Regulation Article, §9-318, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>When the Commissioner of Labor and Industry orders a refund to be made by an employment agency to an applicant, the refund shall be made within 14 calendar days from the date of the order.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Fee Payment."> <paragraph num="A."> <text>When an applicant is referred to the same position or employer by two employment agencies, the fee shall be paid to the employment agency which was instrumental in securing the position.</text> </paragraph> <paragraph num="B."> <text>An applicant who accepts an employer fee-paid position may be held liable for the fee only:</text> <paragraph num="(1)"> <text>Upon employer non-payment; and</text> </paragraph> <paragraph num="(2)"> <text>If the employment agency notified the applicant of the potential liability either in the contract or in a separate memorandum presented before the applicant accepted the position.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Prohibited Solicitations and Inducements."> <text>An employment agency may not solicit, persuade, or induce:</text> <paragraph num="A."> <text>After receiving a fee, any applicant to leave any employment in which the employment agency has placed the applicant; or</text> </paragraph> <paragraph num="B."> <text>An employer to discharge an employee placed by the employment agency.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Special Services Agreement."> <paragraph num="A."> <text>An employment agency may negotiate a separate agreement with an employer for special services regarding:</text> <paragraph num="(1)"> <text>Recruitment;</text> </paragraph> <paragraph num="(2)"> <text>Search;</text> </paragraph> <paragraph num="(3)"> <text>Screening;</text> </paragraph> <paragraph num="(4)"> <text>Referrals; and</text> </paragraph> <paragraph num="(5)"> <text>Placement.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Any separate agreement may not violate the law or these regulations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Job Order Number."> <text>An employment agency shall:</text> <paragraph num="A."> <text>Assign each employee fee-paid or employer fee-paid position a job order number;</text> </paragraph> <paragraph num="B."> <text>Include the job order number assigned to the position in:</text> <paragraph num="(1)"> <text>Any advertisement, and</text> </paragraph> <paragraph num="(2)"> <text>The file of the order; and</text> </paragraph> </paragraph> <paragraph num="C."> <text>Maintain job orders in numerical sequence by job order number.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Employment Counselor's License."> <text>A person licensed as an employment counselor by the Commissioner shall:</text> <paragraph num="A."> <text>Display the license in a prominent place at the employment agency where the counselor is employed; and</text> </paragraph> <paragraph num="B."> <text>When acting in the capacity of an employment counselor, use only the name in which the license is issued.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Rules of Procedure for Hearings."> <paragraph num="A."> <text>This regulation supplements the requirements of State Government Article, §10-208, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Hearing Procedure.</text> <paragraph num="(1)"> <text>During a hearing, a party in interest may make any relevant statement or argument either directly or through counsel.</text> </paragraph> <paragraph num="(2)"> <text>Presiding Officer.</text> <paragraph num="(a)"> <text>“Presiding officer” means the Commissioner or an individual authorized to conduct a hearing.</text> </paragraph> <paragraph num="(b)"> <text>The presiding officer shall:</text> <paragraph num="(i)"> <text>Call the title of the case;</text> </paragraph> <paragraph num="(ii)"> <text>Briefly explain the purpose and nature of the hearing;</text> </paragraph> <paragraph num="(iii)"> <text>Recite any charge, complaint, or other matter involved;</text> </paragraph> <paragraph num="(iv)"> <text>Receive stipulations entered into by the parties; and</text> </paragraph> <paragraph num="(v)"> <text>Administer the oath to all persons who are summoned or intend to testify.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The presiding officer may examine any witness.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Counsel for any interested party or a party may raise and address any preliminary objection, exception, or motion.</text> </paragraph> <paragraph num="(4)"> <text>The following exhibits shall be introduced:</text> <paragraph num="(a)"> <text>If the presiding officer is a designee, a copy of the letter designating the individual to preside at the hearing;</text> </paragraph> <paragraph num="(b)"> <text>A copy of the petition, complaint, or other matter involved in the hearing; and</text> </paragraph> <paragraph num="(c)"> <text>A copy of the notice of hearing.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Presentation of Evidence.</text> <paragraph num="(a)"> <text>“Presentor” means the assistant attorney general assigned to present evidence.</text> </paragraph> <paragraph num="(b)"> <text>The presentor shall introduce information obtained as a result of any investigation caused to be made by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(c)"> <text>Subject to applicable statutes and rules governing the practice of law, each party or counsel representing a party or presentor may:</text> <paragraph num="(i)"> <text>Present, examine, and cross-examine witnesses; and</text> </paragraph> <paragraph num="(ii)"> <text>Offer nontestimonial evidence.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Decision and Order.</text> <paragraph num="(1)"> <text>If the presiding officer at the hearing is a designee, the presiding officer shall make findings of fact and file them with the Commissioner.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner shall issue a decision and order containing:</text> <paragraph num="(a)"> <text>Findings of fact based on evidence presented at the hearing;</text> </paragraph> <paragraph num="(b)"> <text>Conclusions of law applying law to factual findings; and</text> </paragraph> <paragraph num="(c)"> <text>An order disposing of the case.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A copy of the decision and order shall be served on each party or the party's counsel of record.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §9-204, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—16 effective April 4, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulations .02 and .05 repealed, and .04, .09, .16—.18, and .22 amended effective February 13, 1984 (11:3 Md. R. 199)</annotation> <annotation type="History" subtype="Administrative History">Regulations .17—.22 effective April 16, 1975 (2:8 Md. R. 564)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22 amended effective September 14, 1977 (4:19 Md. R. 1467)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 adopted effective September 14, 1977 (4:19 Md. R. 1467)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 8, 1988 (15:16 Md. R. 1913)</annotation> </annotations> </chapter> <chapter num="12—19" heading="" reason="VACANT" /> <chapter num="20" heading="Occupational Safety and Health"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter and COMAR 09.12.21 and 09.12.22, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Act” means the Maryland Occupational Safety and Health Act, Labor and Employment Article, Title 5, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Establishment” means:</text> <paragraph num="(a)"> <text>A single physical location where business is conducted or where services or industrial operations are performed; and</text> </paragraph> <paragraph num="(b)"> <text>Each distinct activity, where distinctly separate activities are performed at a single physical location.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Inspection.</text> <paragraph num="(a)"> <text>“Inspection” means an inspection of an employer's factory, plant, establishment, construction site, other area, workplace, or environment where work is performed by an employee of an employer.</text> </paragraph> <paragraph num="(b)"> <text>“Inspection” includes:</text> <paragraph num="(i)"> <text>Complaint inspection;</text> </paragraph> <paragraph num="(ii)"> <text>Reinspection;</text> </paragraph> <paragraph num="(iii)"> <text>Followup inspection;</text> </paragraph> <paragraph num="(iv)"> <text>Accident investigation; or</text> </paragraph> <paragraph num="(v)"> <text>Other inspection conducted under the Act.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Inspector” means an individual authorized by the Commissioner to conduct an occupational safety and health inspection under Labor and Employment Article, §5-208, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>Work Days.</text> <paragraph num="(a)"> <text>“Work days” means Mondays through Fridays, excluding State holidays.</text> </paragraph> <paragraph num="(b)"> <text>“Work days” does not include the day a notice is received.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Posting Notice and Copies of the Act."> <paragraph num="A."> <text>An employer shall post a notice, available from the Commissioner, which informs employees:</text> <paragraph num="(1)"> <text>Of the protections and obligations provided for by the Act; and</text> </paragraph> <paragraph num="(2)"> <text>That for assistance and information, including copies of the Act and of specific occupational safety and health standards, to contact the employer or the Commissioner.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Location.</text> <paragraph num="(1)"> <text>An employer shall post the notice in:</text> <paragraph num="(a)"> <text>Each establishment; and</text> </paragraph> <paragraph num="(b)"> <text>A conspicuous place where employee notices are customarily posted.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An employer shall ensure that when:</text> <paragraph num="(a)"> <text>Distinctly separate activities are performed at a single physical location, each activity is treated as a separate physical establishment and a separate notice is posted in each establishment;</text> </paragraph> <paragraph num="(b)"> <text>Employers are engaged in activities which are physically dispersed, the notice is posted at the location to which employees report each day; and</text> </paragraph> <paragraph num="(c)"> <text>Employees do not usually work at, or report to, a single establishment, the notice is posted at the location from which the employees operate to carry out their activities.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>An employer shall ensure that the notice is kept posted and not altered, defaced, or covered by other material.</text> </paragraph> <paragraph num="D."> <text>If an employer has obtained a copy of the Act and of the regulations and applicable occupational safety and health standards, the employer shall, upon request, make them available to any employee or authorized employee representative for review in the establishment where the employee is employed:</text> <paragraph num="(1)"> <text>On the same day the request is made; or</text> </paragraph> <paragraph num="(2)"> <text>At the earliest mutually convenient time to the employee or authorized employee representative and the employer.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Inspection Procedures."> <paragraph num="A."> <text>Authority For Inspection. An inspector is authorized to:</text> <paragraph num="(1)"> <text>Conduct inspections in accordance with §5-208 of the Act; and</text> </paragraph> <paragraph num="(2)"> <text>Review:</text> <paragraph num="(a)"> <text>Records required by the Act, and by regulations and occupational safety and health standards adopted under the Act; and</text> </paragraph> <paragraph num="(b)"> <text>Other records which are directly related to the purpose of the inspection.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Objection to Inspection.</text> <paragraph num="(1)"> <text>If an employer refuses to permit an inspector to conduct an inspection in accordance with the Act and applicable regulations and standards, the inspector shall:</text> <paragraph num="(a)"> <text>Terminate the inspection, or confine the inspection to the area, machine, apparatus, condition, device, equipment, material, structure, record, or interview concerning which no objection is raised;</text> </paragraph> <paragraph num="(b)"> <text>Attempt to ascertain the reason for the refusal; and</text> </paragraph> <paragraph num="(c)"> <text>Immediately report the refusal and the reason for the refusal to the supervisor.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The supervisor shall immediately consult with the Commissioner or the Commissioner's authorized representative.</text> </paragraph> <paragraph num="(3)"> <text>The Commissioner or the Commissioner's authorized representative shall promptly take appropriate action, including compulsory process, if necessary.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Waiver.</text> <paragraph num="(1)"> <text>An employer may not condition the conduct of an inspection upon a waiver of a cause of action, citation, or penalty under the Act.</text> </paragraph> <paragraph num="(2)"> <text>An inspector may not grant a waiver.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Conduct of Inspections.</text> <paragraph num="(1)"> <text>Subject to the provisions of this regulation, an inspector shall conduct an inspection at the time and place directed by the Commissioner or the Commissioner's authorized representative.</text> </paragraph> <paragraph num="(2)"> <text>Opening Conference. At the beginning of an inspection, an inspector shall:</text> <paragraph num="(a)"> <text>Present the inspector's credentials to the owner, operator, or agent in charge of the establishment;</text> </paragraph> <paragraph num="(b)"> <text>Explain the nature and purpose of the inspection; and</text> </paragraph> <paragraph num="(c)"> <text>Indicate generally:</text> <paragraph num="(i)"> <text>The scope of the inspection,</text> </paragraph> <paragraph num="(ii)"> <text>The records which the inspector wants to review, and</text> </paragraph> <paragraph num="(iii)"> <text>That the designation of specific records does not preclude access to additional records.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>An inspector may:</text> <paragraph num="(a)"> <text>Take environmental samples;</text> </paragraph> <paragraph num="(b)"> <text>Take or obtain photographs relating to the purpose of the inspection;</text> </paragraph> <paragraph num="(c)"> <text>Question privately an employer, owner, operator, agent, or employee at an establishment; and</text> </paragraph> <paragraph num="(d)"> <text>Employ other reasonable investigative techniques, including but not limited to:</text> <paragraph num="(i)"> <text>Using devices to measure employee exposures, and</text> </paragraph> <paragraph num="(ii)"> <text>Attaching personal sampling equipment, such as a dosimeter, pump, badge, or other similar device, to an employee in order to monitor exposures.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>An inspector shall:</text> <paragraph num="(a)"> <text>Comply with all safety and health rules and practices at the establishment being inspected;</text> </paragraph> <paragraph num="(b)"> <text>Wear appropriate protective clothing and use appropriate protective equipment; and</text> </paragraph> <paragraph num="(c)"> <text>Take reasonable precaution to ensure that:</text> <paragraph num="(i)"> <text>When taking pictures and using sampling equipment, the equipment used does not pose a hazard, and</text> </paragraph> <paragraph num="(ii)"> <text>The operation of the employer's establishment is not unreasonably disrupted.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>Closing Conference. At the conclusion of an inspection, the inspector shall:</text> <paragraph num="(a)"> <text>Confer with the employer or the employer's representative, and informally advise the employer of any apparent safety or health violation disclosed by the inspection; and</text> </paragraph> <paragraph num="(b)"> <text>Provide the employer the opportunity to bring to the attention of the inspector pertinent information regarding conditions in the workplace.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Representatives of Employers and Employees.</text> <paragraph num="(1)"> <text>An inspector shall:</text> <paragraph num="(a)"> <text>Be in charge of inspections and of questioning persons; and</text> </paragraph> <paragraph num="(b)"> <text>Provide an opportunity for a representative of the employer and a representative chosen by employees to accompany the inspector during the physical inspection of a workplace for the purpose of aiding the inspection.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An inspector may permit:</text> <paragraph num="(a)"> <text>Additional employer or employee representatives to accompany the inspector, if the inspector determines that the additional representatives will further aid the inspection;</text> </paragraph> <paragraph num="(b)"> <text>A different employer and employee representative to accompany the inspector during each phase of an inspection if this does not interfere with the conduct of the inspection.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If there is no representative chosen by employees, or if the inspector is unable to determine with reasonable certainty who is the representative, the inspector shall consult with a reasonable number of employees concerning matters of safety and health in the workplace.</text> </paragraph> <paragraph num="(4)"> <text>Except as noted in §E(5) of this regulation, the representative chosen by employees shall be an employee of the employer.</text> </paragraph> <paragraph num="(5)"> <text>If the inspector determines that the inclusion of a third party, such as an industrial hygienist or a safety engineer, who is not an employee of the employer is reasonably necessary to conduct an effective and thorough physical inspection of the workplace, the inspector may permit that individual to participate in the inspection.</text> </paragraph> <paragraph num="(6)"> <text>An inspector may deny the right of accompaniment to an individual whose conduct interferes with a fair and orderly inspection.</text> </paragraph> <paragraph num="(7)"> <text>The right of accompaniment in areas containing trade secrets is subject to the provisions of §F of this regulation.</text> </paragraph> <paragraph num="(8)"> <text>With regard to information classified by an agency of the United States Government in the interest of national security, only an individual authorized to have access to the information may accompany the inspector.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Trade Secrets.</text> <paragraph num="(1)"> <text>At the beginning of an inspection, the employer may identify an area in the establishment which contains or which might reveal a trade secret.</text> </paragraph> <paragraph num="(2)"> <text>If the inspector has no clear reason to question the identification of the area as involving a trade secret, the inspector shall ensure that all information obtained in the identified area, including negatives and prints of photographs and environmental samples, is:</text> <paragraph num="(a)"> <text>Labeled “confidential—trade secret”; and</text> </paragraph> <paragraph num="(b)"> <text>Not disclosed, except in accordance with the provisions of §5-217 of the Act.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Employee Representative.</text> <paragraph num="(a)"> <text>Upon the request of an employer, the employee, or a representative chosen by employees to accompany the inspector in an area containing trade secrets, shall be an employee in that area or an employee authorized by the employer to enter the area;</text> </paragraph> <paragraph num="(b)"> <text>If there is no representative or employee, the inspector shall consult with a reasonable number of employees who work in the area concerning matters of safety and health.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Consultation With Employees.</text> <paragraph num="(1)"> <text>An inspector may consult with employees concerning matters of occupational safety and health to the extent the inspector considers necessary for the conduct of an effective and thorough inspection.</text> </paragraph> <paragraph num="(2)"> <text>During the course of the inspection, employees shall be afforded the opportunity to bring to the attention of the inspector any violation of the Act which the employees have reason to believe exists in the workplace.</text> </paragraph> </paragraph> <paragraph num="H."> <text>An employer shall provide the inspector with correct and truthful information including, but not limited to, company name, mailing address, federal employer identification number or other assigned identification number, and company ownership information, such as corporation, partnership, or sole owner.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Complaints by Employees."> <paragraph num="A."> <text>Complaint Inspection.</text> <paragraph num="(1)"> <text>If upon receipt of a complaint, the Commissioner or the Commissioner's authorized representative determines that the complaint meets the requirements in §5-209(a) of the Act and that there are reasonable grounds to believe that a threat or danger exists, the Commissioner or the Commissioner's authorized representative shall cause an inspection to be made as soon as practicable, to determine if the threat or danger exists.</text> </paragraph> <paragraph num="(2)"> <text>Inspections under this section are not limited to matters referred to in the complaint.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Before or during an inspection of a workplace, an employee or representative chosen by employees employed in the workplace may notify in writing the Commissioner or the Commissioner's authorized representative, in accordance with §5-209(b) of the Act, of any violation of the Act which the employee or representative of employees has reason to believe exists in the workplace.</text> </paragraph> <paragraph num="C."> <text>Inspection Not Warranted.</text> <paragraph num="(1)"> <text>If the Commissioner or the Commissioner's authorized representative determines that an inspection is not warranted because there are no reasonable grounds to believe that a violation, threat, or danger exists with respect to a complaint under §5-209 of the Act, the Commissioner or the Commissioner's authorized representative shall notify the complaining party in writing of the determination.</text> </paragraph> <paragraph num="(2)"> <text>The complaining party may obtain review of a determination by submitting a written statement of position to the Commissioner or the Commissioner's authorized representative, and, at the same time, providing the employer with a copy of the statement by certified mail.</text> </paragraph> <paragraph num="(3)"> <text>The employer may submit an opposing written statement of position to the Commissioner or the Commissioner's authorized representative, and, at the same time, shall provide the complaining party with a copy of the statement by certified mail.</text> </paragraph> <paragraph num="(4)"> <text>Upon request of the complaining party or the employer, the Commissioner, at the Commissioner's discretion, may convene an informal conference and permit the complaining party and the employer to present their positions orally.</text> </paragraph> <paragraph num="(5)"> <text>After considering all the positions, both written and oral, the Commissioner shall:</text> <paragraph num="(a)"> <text>Affirm, modify, or reverse the determination; and</text> </paragraph> <paragraph num="(b)"> <text>Furnish the complaining party and the employer with written notification of the decision and the reason for the decision.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Failure to Meet Requirements of the Act.</text> <paragraph num="(1)"> <text>If the Commissioner or the Commissioner's authorized representative determines that an inspection is not warranted because a complaint does not meet the requirements of §5-209(b) of the Act, the Commissioner or the Commissioner's authorized representative shall notify the complaining party in writing of this determination.</text> </paragraph> <paragraph num="(2)"> <text>The determination shall be without prejudice to the filing of a new complaint meeting the requirements of the Act.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Protection of Employees Under §5-604 of the Act."> <paragraph num="A."> <text>Employee Rights. With regard to §5-604 of the Act, the exercise of “a right under this title” includes a right:</text> <paragraph num="(1)"> <text>Explicitly provided in the Act, such as the right to participate as a party in an enforcement proceeding;</text> </paragraph> <paragraph num="(2)"> <text>Which exists by necessary implication, including the right of an employee to:</text> <paragraph num="(a)"> <text>Request information from the Commissioner, or</text> </paragraph> <paragraph num="(b)"> <text>Be interviewed by an inspector in the course of an inspection or investigation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Refusal to Perform a Job. Although the Act affords an employee no general right to refuse to perform a job because of potential unsafe conditions at the workplace, the protections of §5-604 of the Act apply when:</text> <paragraph num="(1)"> <text>An employee:</text> <paragraph num="(a)"> <text>Is confronted with a choice between not performing an assigned task or being subjected to serious injury or death arising from a hazardous condition at the workplace,</text> </paragraph> <paragraph num="(b)"> <text>Has no reasonable alternative, and</text> </paragraph> <paragraph num="(c)"> <text>Refuses in good faith to expose himself or herself to the dangerous condition; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The condition causing the employee's apprehension of death or injury is of such a nature that a reasonable individual, under the circumstances then confronting the employee, would conclude that:</text> <paragraph num="(a)"> <text>There is a real danger of death or serious injury,</text> </paragraph> <paragraph num="(b)"> <text>There is insufficient time, due to the urgency of the situation, to eliminate the danger through resort to regular MOSH statutory enforcement channels or to seek the assistance of another public agency which has responsibility in the field of safety and health, and</text> </paragraph> <paragraph num="(c)"> <text>The employee, if possible, has sought correction of the dangerous conditions from the employer, and has been unable to obtain a correction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Other Refusals. Except in the circumstances detailed in §B(1) and (2) of this regulation, the protections of §5-604 of the Act generally do not apply when an employer disciplines an employee for refusing to perform normal job activities because of alleged safety or health hazards.</text> </paragraph> <paragraph num="D."> <text>Complaints. With regard to §5-604(b) of the Act, a “complaint under or related to this title” includes but is not limited to:</text> <paragraph num="(1)"> <text>A request for inspection under §5-209;</text> </paragraph> <paragraph num="(2)"> <text>Complaints regarding conditions at the workplace registered with the Commissioner, with a federal, State, or local agency with authority regarding occupational safety and health conditions, or with such an agency that the employee, in good faith, believes has authority regarding occupational safety and health conditions; and</text> </paragraph> <paragraph num="(3)"> <text>Complaints regarding conditions at the workplace made in good faith to an employer, management supervisor, or other employee serving in a supervisory capacity.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Imminent Danger."> <paragraph num="A."> <text>In this regulation, “imminent danger” means a condition or practice which exists in a place of employment that reasonably could be expected to cause death or serious physical harm:</text> <paragraph num="(1)"> <text>Immediately; or</text> </paragraph> <paragraph num="(2)"> <text>Before the imminence of the danger can be eliminated through the enforcement procedures otherwise provided by the Act.</text> </paragraph> </paragraph> <paragraph num="B."> <text>When an inspector concludes on the basis of an inspection that an imminent danger exists, the inspector shall inform the affected employees and employer:</text> <paragraph num="(1)"> <text>Of the danger; and</text> </paragraph> <paragraph num="(2)"> <text>That the inspector may recommend to the Commissioner that relief be sought in accordance with the provisions of §5-216 of the Act.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Appropriate citations and notices of proposed penalties may be issued with respect to an imminent danger even if, after notification from the inspector, the employer immediately eliminates the imminence of the danger and initiates steps to abate the danger.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Issuance of a Citation and Notice of De Minimis Violations."> <paragraph num="A."> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Controlling employer” means the employer who is responsible, by contract or through actual practice, for safety and health conditions on the worksite, whether or not its own employees are exposed, such as an employer who has the authority for ensuring that hazardous conditions are corrected.</text> </paragraph> <paragraph num="(2)"> <text>“Correcting employer” means the employer who has the responsibility for actually correcting the hazard, whether or not its own employees are exposed.</text> </paragraph> <paragraph num="(3)"> <text>“Creating employer” means the employer who actually created the hazard through its action or inaction, whether or not its own employees are exposed.</text> </paragraph> <paragraph num="(4)"> <text>“Exposing employer” means the employer whose employees are exposed to the hazard or have access to the hazard.</text> </paragraph> </paragraph> <paragraph num="C."> <text>After an inspection, the Commissioner or the Commissioner's authorized representative shall review the inspector's inspection report.</text> </paragraph> <paragraph num="D."> <text>If, on the basis of the report, the Commissioner or the Commissioner's authorized representative is of the opinion that the employer has violated a provision of the Act, or of a standard, regulation, or an order promulgated under the Act, the Commissioner or the Commissioner's authorized representative shall issue to the employer either:</text> <paragraph num="(1)"> <text>A citation; or</text> </paragraph> <paragraph num="(2)"> <text>For a violation which has no direct or immediate relationship to safety or health, a notice of de minimis violations.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Issuance of Citations.</text> <paragraph num="(1)"> <text>On multiemployer worksites, more than one employer may be cited for a hazardous condition that violates a provision of the Act or of a standard, regulation, or order promulgated under the Act.</text> </paragraph> <paragraph num="(2)"> <text>The following employers may be cited:</text> <paragraph num="(a)"> <text>The exposing employer;</text> </paragraph> <paragraph num="(b)"> <text>The creating employer;</text> </paragraph> <paragraph num="(c)"> <text>The controlling employer; and</text> </paragraph> <paragraph num="(d)"> <text>The correcting employer.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>An appropriate citation or notice of de minimis violations may be issued even if, after being informed of an alleged violation by the inspector, the employer immediately abates, or initiates steps to abate, the alleged violation.</text> </paragraph> <paragraph num="G."> <text>The citation shall note that the issuance of a citation is not a finding that a violation of the Act has occurred unless:</text> <paragraph num="(1)"> <text>There is a failure to contest as provided for in the Act; or</text> </paragraph> <paragraph num="(2)"> <text>If contested, the citation is affirmed by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Complaint Inspections.</text> <paragraph num="(1)"> <text>After an inspection conducted in response to a request for inspection under Regulation .04A(1) of this chapter or a notification of violation under Regulation .04B of this chapter:</text> <paragraph num="(a)"> <text>If a citation is issued, a copy of the citation or notice of de minimis violations shall be sent to the employee or employee representative who made the request; and</text> </paragraph> <paragraph num="(b)"> <text>If a determination is made that a citation is not warranted with respect to a danger or violation alleged to exist, the Commissioner or the Commissioner's authorized representative shall notify the complaining party and the employer in writing of the determination.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>When a determination is made that a citation is not warranted under §H(1)(b) of this regulation:</text> <paragraph num="(a)"> <text>The informal review procedures in Regulation .04C(2)—(4) of this chapter are applicable;</text> </paragraph> <paragraph num="(b)"> <text>After considering all views presented in an informal review under Regulation .04C of this chapter, the Commissioner or the Commissioner's authorized representative may:</text> <paragraph num="(i)"> <text>Affirm the determination;</text> </paragraph> <paragraph num="(ii)"> <text>Order a reinspection; or</text> </paragraph> <paragraph num="(iii)"> <text>Issue a citation if the Commissioner believes that the inspection disclosed a violation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>The Commissioner or the Commissioner's authorized representative shall furnish the complaining party and the employer with written notification of the Commissioner's determination and the reason for it.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The citation shall include any notice of proposed penalty.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Posting of Notices and Citations."> <paragraph num="A."> <text>Posting of Citations.</text> <paragraph num="(1)"> <text>Upon receipt of a citation issued under the Act, an employer shall immediately post the citation, or an unedited copy, at or near the place the alleged violation referred to in the citation occurred, or if, because of the nature of the employer's operations, this is not practicable, in a prominent place readily observable to affected employees.</text> </paragraph> <paragraph num="(2)"> <text>When employers are engaged in activities which are physically dispersed, the citation may be posted at the location where the employees operate to carry out their activities.</text> </paragraph> <paragraph num="(3)"> <text>An employer shall take steps to ensure that a citation is not:</text> <paragraph num="(a)"> <text>Altered;</text> </paragraph> <paragraph num="(b)"> <text>Defaced; or</text> </paragraph> <paragraph num="(c)"> <text>Covered by other material.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>An employer is not required to post a notice of de minimis violations.</text> </paragraph> <paragraph num="(5)"> <text>A citation, or a copy of it, shall remain posted for the later of:</text> <paragraph num="(a)"> <text>The time the violation was abated; or</text> </paragraph> <paragraph num="(b)"> <text>3 work days.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The filing by an employer of a notice of intent to contest under Regulation .09 of this chapter does not affect the employer's posting responsibility.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Posting Notice of Contest.</text> <paragraph num="(1)"> <text>In the same location where a citation is posted, an employer may post a notice indicating that the citation is being contested before the Commissioner.</text> </paragraph> <paragraph num="(2)"> <text>The notice may state the:</text> <paragraph num="(a)"> <text>Reasons for contest; and</text> </paragraph> <paragraph num="(b)"> <text>Steps that have been taken to abate the violation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Posting of Notices.</text> <paragraph num="(1)"> <text>Upon receipt of a notice concerning a pending case, including a notice of hearing, an employer shall immediately post, where citations are required to be posted, a:</text> <paragraph num="(a)"> <text>Copy of the notice; and</text> </paragraph> <paragraph num="(b)"> <text>Notice informing affected employees of their right to participate in any proceeding in the notice.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A notice shall remain posted until:</text> <paragraph num="(a)"> <text>The proceeding stated in the notice begins; or</text> </paragraph> <paragraph num="(b)"> <text>Earlier disposition.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Posting of a Memorandum of Settlement. A memorandum of settlement shall be posted in the same manner as required by this regulation for the posting of citations and notices.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Employer and Employee Contests."> <paragraph num="A."> <text>“Notice of contest” includes a notice of intent to contest.</text> </paragraph> <paragraph num="B."> <text>Notification.</text> <paragraph num="(1)"> <text>An employer to whom a citation has been issued may, in accordance with §5-213 of the Act, notify the Commissioner in writing that the employer contests the citation or proposed penalty.</text> </paragraph> <paragraph num="(2)"> <text>The notice of contest shall be postmarked within 15 work days of the receipt by the employer of the citation.</text> </paragraph> <paragraph num="(3)"> <text>A notice of contest shall specify if it is directed to the citation, to the proposed penalty, or to both.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Notice from Employee.</text> <paragraph num="(1)"> <text>An employee or representative of employees may, in accordance with §5-213(b) of the Act, file with the Commissioner or the Commissioner's authorized representative a written notice alleging that the period of time provided for in the citation for the abatement of the violation is unreasonable.</text> </paragraph> <paragraph num="(2)"> <text>The notice shall be postmarked within 15 work days of the issuance of the citation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Failure to Correct a Cited Violation."> <paragraph num="A."> <text>If an inspection discloses that an employer has failed to correct a cited violation within the period permitted for its correction, the Commissioner or the Commissioner's authorized representative shall notify the employer by certified mail, or by personal service by an inspector, of this failure and the additional penalty proposed under §§5-213(d) and 5-809(d) of the Act for the failure.</text> </paragraph> <paragraph num="B."> <text>An employer receiving a notification of failure to correct a violation and proposed additional penalty may notify in writing, in accordance with §5-213(d) of the Act, the Commissioner or the Commissioner's authorized representative that the employer intends to contest the alleged failure to correct the violation, and proposed additional penalty, or both.</text> </paragraph> <paragraph num="C."> <text>The notice of contest shall be postmarked within 15 work days of the receipt by the employer of the notification of failure to correct a violation and proposed additional penalty.</text> </paragraph> <paragraph num="D."> <text>A notification of failure to correct a violation and proposed additional penalty shall state that it is a final order, unless a notice of contest in accordance with this regulation is filed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Informal Conferences."> <paragraph num="A."> <text>At the request of an affected employer, employee, or representative of employees, the Commissioner or the Commissioner's authorized representative may hold an informal conference to discuss issues raised by the inspection, citation, proposed penalty, or notice of contest.</text> </paragraph> <paragraph num="B."> <text>If the employer requests a conference, the Commissioner or the Commissioner's authorized representative may, at the discretion of the Commissioner, afford affected employees or a representative of employees an opportunity to participate.</text> </paragraph> <paragraph num="C."> <text>If an employee or representative of employees requests a conference, the Commissioner or the Commissioner's authorized representative may, at the discretion of the Commissioner, afford the employer an opportunity to participate.</text> </paragraph> <paragraph num="D."> <text>A party may be represented by counsel at a conference.</text> </paragraph> <paragraph num="E."> <text>Neither the request for a conference nor the conference shall operate as a stay of the 15-work-day period for filing a notice of contest under Regulation .09 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Penalties."> <paragraph num="A."> <text>Scope. This regulation applies to the assessment of civil penalties by the Commissioner under Labor and Employment Article, §§5-809 and 5-810, Annotated Code of Maryland, in all cases arising from inspections conducted on and after the effective date of this regulation.</text> </paragraph> <paragraph num="B."> <text>Definition. In this regulation, “Commissioner” means:</text> <paragraph num="(1)"> <text>The Commissioner of Labor and Industry;</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner's authorized representative; or</text> </paragraph> <paragraph num="(3)"> <text>A person acting pursuant to a delegation of authority from the Commissioner of Labor and Industry.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In assessing a penalty for a violation of the law, a regulation, or an order, the Commissioner shall consider the following factors in accordance with this regulation:</text> <paragraph num="(1)"> <text>Gravity of the violation for which the penalty is to be assessed;</text> </paragraph> <paragraph num="(2)"> <text>Good faith of the employer;</text> </paragraph> <paragraph num="(3)"> <text>Existence and quality of a safety and training program;</text> </paragraph> <paragraph num="(4)"> <text>Injury and illness experience of the employer;</text> </paragraph> <paragraph num="(5)"> <text>The extent to which the existence of the violation was known to the employer, but remained not corrected;</text> </paragraph> <paragraph num="(6)"> <text>History of violations by the employer;</text> </paragraph> <paragraph num="(7)"> <text>Extent to which the current violation is part of a recurrent pattern of the same or similar type of violation;</text> </paragraph> <paragraph num="(8)"> <text>Size of the business of the employer against whom the penalty is to be assessed; and</text> </paragraph> <paragraph num="(9)"> <text>Actual harm to human health, including injury or illness.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Gravity-Based Penalty.</text> <paragraph num="(1)"> <text>Gravity.</text> <paragraph num="(a)"> <text>Based on the gravity of a violation, the Commissioner shall assess up to $5,000.</text> </paragraph> <paragraph num="(b)"> <text>The Commissioner shall determine the amount to assess for the gravity of the violation by considering the:</text> <paragraph num="(i)"> <text>Severity of the most serious injury or illness that is reasonably predictable from the hazard; and</text> </paragraph> <paragraph num="(ii)"> <text>Probability that an injury or illness will arise from a hazard.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The Commissioner shall assign each hazard a severity assessment and a probability assessment in accordance with this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Severity Assessment. The Commissioner shall assign the most serious injury or illness which is reasonably predictable from the safety or health hazard cited, a severity assessment of 1 to 10 as follows:</text> <paragraph num="(a)"> <text>Death, injuries, or illness involving permanent disability or a chronic, irreversible condition—severity factor of 8 to 10;</text> </paragraph> <paragraph num="(b)"> <text>Injuries or temporary, reversible illnesses resulting in hospitalization, or a variable but limited period of disability—severity factor of 5 to 7;</text> </paragraph> <paragraph num="(c)"> <text>Injuries or temporary, reversible illnesses not resulting in hospitalization and requiring only minor supportive treatment—severity factor of 2 to 4; and</text> </paragraph> <paragraph num="(d)"> <text>Hazard violation characterized as other-than-serious—severity factor of 1.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Probability Assessment.</text> <paragraph num="(a)"> <text>Probability for Safety or Health Hazards When Samples are not Taken. For a safety or health hazard when samples are not taken, the Commissioner shall determine the probability that an injury or illness will arise from the apparent violation by assigning a value of 1 to 10 to each of the following factors:</text> <paragraph num="(i)"> <text>The number of employees exposed, with a value of 1 being the lowest number of employees exposed;</text> </paragraph> <paragraph num="(ii)"> <text>The frequency of exposure, with a value of 1 being the lowest frequency;</text> </paragraph> <paragraph num="(iii)"> <text>The proximity of the employee to the zone of danger, with a value of 1 being the lowest proximity; and</text> </paragraph> <paragraph num="(iv)"> <text>Working conditions, with a value of 1 being conditions least likely to contribute to injury or illness.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Probability for Safety and Health Hazards When Sampling is Conducted. For a safety or health hazard when sampling is conducted, the Commissioner shall determine the probability that an injury or illness will arise from the hazard by considering:</text> <paragraph num="(i)"> <text>The number of employees exposed with a value of 1 being the lowest number of employees exposed;</text> </paragraph> <paragraph num="(ii)"> <text>The duration of exposure with a value of 1 being the lowest duration of exposure;</text> </paragraph> <paragraph num="(iii)"> <text>The use of appropriate personal protective equipment with a value of 1 being the lowest; and</text> </paragraph> <paragraph num="(iv)"> <text>If applicable, an evaluation of the medical surveillance program.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Probability Assessment. The Commissioner shall total factors assigned pursuant to §D(3)(a) or (b) of this regulation and divide by the number of factors considered to determine the probability assessment.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Gravity Assessment. The Commissioner shall determine the gravity-based penalty for each violation by adding the severity assessment and the probability assessment, dividing by 2, and multiplying the quotient by $500.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Penalty Adjustment Factors.</text> <paragraph num="(1)"> <text>The Commissioner may reduce the gravity-based penalty on the basis of an employer's good faith, size of business, and history in accordance with §§F—H of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner shall calculate the penalty adjustment factor only once for each employer, after the gravity-based penalty has been determined for each violation and the general character of the employer's performance is apparent.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Good Faith.</text> <paragraph num="(1)"> <text>Based on the degree of employer good faith, the Commissioner may reduce the gravity-based penalty by a maximum of 25 percent.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner shall consider the following in determining whether to reduce the gravity-based penalty based on an employer's good faith factor:</text> <paragraph num="(a)"> <text>The existence and quality of a safety and health program and a training program, that:</text> <paragraph num="(i)"> <text>Provides for appropriate management commitment and employee involvement,</text> </paragraph> <paragraph num="(ii)"> <text>Provides for worksite analysis for the purpose of hazard identification,</text> </paragraph> <paragraph num="(iii)"> <text>Provides for hazard prevention and control measures,</text> </paragraph> <paragraph num="(iv)"> <text>Provides for employee training and instruction relative to the hazards of the work being performed, including hazard communication, lockout-tagout, hazardous materials and emergency responses, safety and health programs for construction, and trenching and excavation, and</text> </paragraph> <paragraph num="(v)"> <text>Has deficiencies that are only incidental;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The injury and illness experience of the employer;</text> </paragraph> <paragraph num="(c)"> <text>The level of supervision and of employer concern and knowledge about safety and health requirements;</text> </paragraph> <paragraph num="(d)"> <text>The extent to which the employer knew of the violation and failed to take action to correct it; and</text> </paragraph> <paragraph num="(e)"> <text>Employer action to abate an apparent violation or mitigate exposure during the inspection.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>History.</text> <paragraph num="(1)"> <text>Based on an employer's history of violations, the Commissioner may reduce the gravity-based penalty by a maximum of 10 percent.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner shall consider the following in determining whether to reduce the gravity-based penalty based on an employer's history:</text> <paragraph num="(a)"> <text>Nature and extent of the employer's history of prior MOSH violations; and</text> </paragraph> <paragraph num="(b)"> <text>Extent to which the violation at issue is part of a recurrent pattern of the same or similar type of violation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Size.</text> <paragraph num="(1)"> <text>“Size” means peak employment at all of an employer's establishments and work locations during the 12-month period preceding a violation.</text> </paragraph> <paragraph num="(2)"> <text>Based on the size of an employer, the Commissioner may reduce a gravity-based penalty by a maximum of 60 percent in accordance with the following schedule:</text> <paragraph num="(a)"> <text>1 to 25 employees, maximum 60 percent reduction;</text> </paragraph> <paragraph num="(b)"> <text>26 to 100 employees, maximum 40 percent reduction;</text> </paragraph> <paragraph num="(c)"> <text>101—250 employees, maximum 20 percent reduction; and</text> </paragraph> <paragraph num="(d)"> <text>251 or more employees, no reduction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Actual Harm to Human Health, Including Injury or Illness.</text> <paragraph num="(1)"> <text>Based on the actual harm to human health or well-being, arising from a hazard, the Commissioner shall assess up to $2,000.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner shall determine the amount to assess for the actual harm factor by considering the degree and nature of actual harm to an employee.</text> </paragraph> <paragraph num="(3)"> <text>The Commissioner may not apply an adjustment factor to a penalty assessed for actual harm.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Penalty Assessment.</text> <paragraph num="(1)"> <text>In determining the total penalty to assess for a violation, the Commissioner shall comply with this section.</text> </paragraph> <paragraph num="(2)"> <text>For a serious violation, the Commissioner shall:</text> <paragraph num="(a)"> <text>Determine the gravity-based penalty;</text> </paragraph> <paragraph num="(b)"> <text>Reduce the gravity-based penalty by the penalty adjustment factor; and</text> </paragraph> <paragraph num="(c)"> <text>Add to the adjusted gravity-based penalty any assessment for actual harm.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>For an other-than-serious violation, when the Commissioner determines to issue a penalty, the Commissioner shall assess the penalty by first determining the gravity-based penalty and adjusting it by the appropriate penalty adjustment factor, and then adding any assessment for actual harm.</text> </paragraph> <paragraph num="(4)"> <text>Willful Violation.</text> <paragraph num="(a)"> <text>When an employer willfully violates the law, a regulation, or an order, the Commissioner shall:</text> <paragraph num="(i)"> <text>Determine the gravity-based penalty;</text> </paragraph> <paragraph num="(ii)"> <text>Reduce the gravity-based penalty by the penalty adjustment factor determined for the employer;</text> </paragraph> <paragraph num="(iii)"> <text>Add any assessment for actual harm; and</text> </paragraph> <paragraph num="(iv)"> <text>Multiply the sum by 10.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>If the penalty determined under §J(4)(a) of this regulation is less than $5,000, the Commissioner shall propose a penalty of $5,000.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>When an employer repeatedly violates the law, a regulation, or an order, the Commissioner shall:</text> <paragraph num="(a)"> <text>Determine the gravity-based penalty;</text> </paragraph> <paragraph num="(b)"> <text>Reduce the gravity-based penalty by the penalty adjustment factor established for the employer;</text> </paragraph> <paragraph num="(c)"> <text>Add any actual harm assessment; and</text> </paragraph> <paragraph num="(d)"> <text>Multiply the total by:</text> <paragraph num="(i)"> <text>2, for the first repeat;</text> </paragraph> <paragraph num="(ii)"> <text>4, for the second repeat;</text> </paragraph> <paragraph num="(iii)"> <text>6, for the third repeat; and</text> </paragraph> <paragraph num="(iv)"> <text>10, for the fourth repeat.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(6)"> <text>In negotiating a bona fide settlement of a citation, the Commissioner may adjust a penalty assessed in accordance with this regulation in a manner appropriate under the relevant statutory factors and the facts and circumstances of the case.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Hearings — General."> <paragraph num="A."> <text>Application.</text> <paragraph num="(1)"> <text>This regulation supplements the notice and hearing requirements of the Administrative Procedure Act—Contested Cases, State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>In the event of a conflict with COMAR 28.02.01, the provisions set forth in this chapter control the conduct of a hearing conducted under the Act.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Discovery. Except as required by State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland, discovery, including a request for production of documents, interrogatories, and depositions, is not allowed.</text> </paragraph> <paragraph num="C."> <text>Service.</text> <paragraph num="(1)"> <text>A party may be served with a document by:</text> <paragraph num="(a)"> <text>Personal delivery; or</text> </paragraph> <paragraph num="(b)"> <text>Mail sent to the last known address of the party.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A person serving a document shall certify to the manner and date of service.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Notice of Hearing.</text> <paragraph num="(1)"> <text>The Commissioner shall serve notice of a hearing on all parties at least 10 days before the hearing, and ensure that the notice conforms to State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>When the Commissioner appoints a hearing examiner to hold a hearing under this chapter, the Commissioner or the Commissioner's authorized representative shall provide to the hearing examiner a copy of the notice of hearing, together with the citation and notice of contest or any written request for hearing.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Subpoena.</text> <paragraph num="(1)"> <text>On application of a party, the hearing examiner assigned the case shall immediately issue a subpoena requiring the:</text> <paragraph num="(a)"> <text>Attendance and testimony of a witness; and</text> </paragraph> <paragraph num="(b)"> <text>Production of evidence, including relevant books, records, correspondence, or documents in the possession or under control of the person subpoenaed.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An application for subpoena may be made ex parte.</text> </paragraph> <paragraph num="(3)"> <text>A subpoena shall show on its face the name and address of the party requesting the subpoena.</text> </paragraph> <paragraph num="(4)"> <text>A hearing examiner shall recommend to the Commissioner that proceedings be initiated to enforce the subpoena, if:</text> <paragraph num="(a)"> <text>A person fails to comply with a subpoena; and</text> </paragraph> <paragraph num="(b)"> <text>In the hearing examiner's opinion, the testimony of the witness is material to the proceedings.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Parties.</text> <paragraph num="(1)"> <text>Employee.</text> <paragraph num="(a)"> <text>An affected employee may elect to participate as a party by filing a written request for party status with the hearing examiner.</text> </paragraph> <paragraph num="(b)"> <text>A request for party status shall be filed:</text> <paragraph num="(i)"> <text>Before the hearing begins; or</text> </paragraph> <paragraph num="(ii)"> <text>For good cause shown, at a later date.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>If a hearing examiner denies a request for party status:</text> <paragraph num="(i)"> <text>An employee may file with the Commissioner a written request for review of the denial; and</text> </paragraph> <paragraph num="(ii)"> <text>The Commissioner immediately shall review the request.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Employer. If an employee files a notice of contest challenging the reasonableness of the period for abatement of a violation, the employer responsible for abating the violation may elect party status at any time before the hearing begins.</text> </paragraph> <paragraph num="(3)"> <text>Representatives of Parties.</text> <paragraph num="(a)"> <text>A party may appear in person or through a representative.</text> </paragraph> <paragraph num="(b)"> <text>An affected employee represented by an authorized representative may appear only through the representative.</text> </paragraph> <paragraph num="(c)"> <text>A party may withdraw the appearance of its representative by:</text> <paragraph num="(i)"> <text>Filing a written notice of withdrawal; and</text> </paragraph> <paragraph num="(ii)"> <text>Serving a copy of the notice on each party.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>A representative of a party shall control all matters affecting the party's interest in the proceeding.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Postponement.</text> <paragraph num="(1)"> <text>Postponement of a hearing generally is not allowed.</text> </paragraph> <paragraph num="(2)"> <text>Except in the case of an emergency or in unusual circumstances, a request for postponement may not be considered unless it is received in writing by the Commissioner or the hearing examiner at least 3 work days before the date set for the hearing.</text> </paragraph> <paragraph num="(3)"> <text>A postponement of more than 30 days is not allowed without the approval of the Commissioner.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Failure to Appear.</text> <paragraph num="(1)"> <text>Except as otherwise provided by this section, if a party filing a notice of contest fails to appear at a hearing of which that party has notice, the failure is considered:</text> <paragraph num="(a)"> <text>A waiver of the hearing; and</text> </paragraph> <paragraph num="(b)"> <text>Except for a hearing on a motion or other procedural matter, a withdrawal of the notice of contest.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>When a failure to appear at a hearing is considered a withdrawal of the notice of contest, the:</text> <paragraph num="(a)"> <text>Hearing examiner shall promptly serve on all parties notification that the notice of contest is considered to have been withdrawn; and</text> </paragraph> <paragraph num="(b)"> <text>Party filing the notice of contest has 15 work days from receipt of the notice of withdrawal to request the notice of contest be reinstated.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A request for reinstatement:</text> <paragraph num="(a)"> <text>Shall be filed in writing with the Commissioner; and</text> </paragraph> <paragraph num="(b)"> <text>May be granted by the Commissioner only upon a showing of good cause for the failure to appear for hearing.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Record of Hearing. A hearing, including a hearing on a motion, shall be recorded word for word.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Hearings — Prehearing Conference."> <paragraph num="A."> <text>A party may request a prehearing conference with the assistant attorney general assigned to the case to:</text> <paragraph num="(1)"> <text>Exchange information;</text> </paragraph> <paragraph num="(2)"> <text>Attempt to resolve or narrow the issues; or</text> </paragraph> <paragraph num="(3)"> <text>Discuss settlement of a case.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Request for Prehearing Conference.</text> <paragraph num="(1)"> <text>A party who seeks a prehearing conference shall:</text> <paragraph num="(a)"> <text>Request a prehearing conference well in advance of the scheduled hearing; and</text> </paragraph> <paragraph num="(b)"> <text>Direct the request to the assistant attorney general assigned to the case.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Unless all parties agree, a prehearing conference may not be held less than 10 days after the parties receive the notice of the conference.</text> </paragraph> <paragraph num="(3)"> <text>A scheduled hearing generally may not be postponed to allow the parties to have a prehearing conference.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Upon receipt of a request for a prehearing conference, the assistant attorney general assigned to the case shall:</text> <paragraph num="(1)"> <text>Schedule a conference for the earliest practicable time that is at least 10 days after the parties receive notice of the conference; and</text> </paragraph> <paragraph num="(2)"> <text>Serve on all parties a notice of the conference.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Notice of Prehearing Conference.</text> <paragraph num="(1)"> <text>A notice of prehearing conference shall:</text> <paragraph num="(a)"> <text>State the date, time, and place of the conference; and</text> </paragraph> <paragraph num="(b)"> <text>Inform affected employees of their right to participate in the conference.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Upon receipt of a notice of prehearing conference, an employer shall:</text> <paragraph num="(a)"> <text>Post the notice conspicuously at or near each place where a citation shall be posted; and</text> </paragraph> <paragraph num="(b)"> <text>Keep the notice posted until the conference begins.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>At a prehearing conference, the assistant attorney general shall verify that:</text> <paragraph num="(a)"> <text>All parties were notified of the conference; and</text> </paragraph> <paragraph num="(b)"> <text>The notice was posted as required by this chapter.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>If the prehearing conference results in an agreement between the parties that resolves or simplifies an issue or otherwise affects the conduct of the formal hearing, the agreement shall be stated on the record at the beginning of the hearing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Hearings — Conduct of Hearing."> <paragraph num="A."> <text>Powers and Duties of Hearing Examiner.</text> <paragraph num="(1)"> <text>A hearing examiner shall:</text> <paragraph num="(a)"> <text>Conduct a fair and impartial hearing to:</text> <paragraph num="(i)"> <text>Fully elicit all the facts,</text> </paragraph> <paragraph num="(ii)"> <text>Adjudicate all issues, and</text> </paragraph> <paragraph num="(iii)"> <text>Avoid delay; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Exclude evidence which is irrelevant, immaterial, or unduly repetitious.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Subject to applicable laws and regulations, a hearing examiner may:</text> <paragraph num="(a)"> <text>Administer oaths and affirmations;</text> </paragraph> <paragraph num="(b)"> <text>Rule on offers of proof and procedural matters;</text> </paragraph> <paragraph num="(c)"> <text>Postpone, continue, or reschedule a hearing;</text> </paragraph> <paragraph num="(d)"> <text>Regulate the course of a hearing, including the conduct of parties, their representatives, and witnesses;</text> </paragraph> <paragraph num="(e)"> <text>Receive relevant evidence;</text> </paragraph> <paragraph num="(f)"> <text>Accept a stipulation or agreed statement of facts if all parties agree to its admission;</text> </paragraph> <paragraph num="(g)"> <text>Admit an affidavit as evidence in place of testimony, if the matters in the affidavit are otherwise admissible and if all parties agree to its admission; and</text> </paragraph> <paragraph num="(h)"> <text>Take other action authorized by the Act, regulations adopted under the Act, or the Administrative Procedure Act, State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A hearing examiner may not grant a motion to dismiss, a motion for judgment, or any other dispositive motion without the concurrence of all parties.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A hearing examiner shall:</text> <paragraph num="(1)"> <text>Call the title of the case;</text> </paragraph> <paragraph num="(2)"> <text>Briefly explain the purpose and nature of the hearing; and</text> </paragraph> <paragraph num="(3)"> <text>Administer the oath to all who will testify.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Preliminary Matters. Counsel or a party may address a preliminary matter, exception, or motion.</text> </paragraph> <paragraph num="D."> <text>Order of Testimony.</text> <paragraph num="(1)"> <text>In a citation case, the presenter of evidence shall proceed first and shall present all evidence.</text> </paragraph> <paragraph num="(2)"> <text>In an abatement case, the employer or the employer's representative shall proceed first.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Oral Argument and Briefs.</text> <paragraph num="(1)"> <text>On request of a party before the close of a hearing, the hearing examiner shall allow each party a reasonable time at the close of the hearing, for oral argument.</text> </paragraph> <paragraph num="(2)"> <text>2Post hearing briefs are permitted if the hearing examiner determines that there is a need for guidance on an unresolved question of law.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Hearings — Determination and Review."> <paragraph num="A."> <text>Within a reasonable time after the hearing examiner has heard and considered all evidence, written briefs, and memoranda, the hearing examiner shall:</text> <paragraph num="(1)"> <text>Issue a written determination which:</text> <paragraph num="(a)"> <text>Is dated,</text> </paragraph> <paragraph num="(b)"> <text>Summarizes testimony and exhibits,</text> </paragraph> <paragraph num="(c)"> <text>Is the hearing examiner's final disposition of the proceedings, and</text> </paragraph> <paragraph num="(d)"> <text>Comports with the Act, regulations adopted under the Act, and State Government Article, §10-214, Annotated Code of Maryland; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Serve a copy of the determination on each party; and</text> </paragraph> <paragraph num="(3)"> <text>Return all documents and exhibits to the Commissioner.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The determination of the hearing examiner shall become the final order of the Commissioner unless, in accordance with the Act:</text> <paragraph num="(1)"> <text>The employer, or an employee or representative of an employee, requests a review; or</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner orders a review.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Review of Proceedings Before the Commissioner.</text> <paragraph num="(1)"> <text>A request for review filed by an affected employer, or an employee or representative of an employee, shall:</text> <paragraph num="(a)"> <text>Be in writing;</text> </paragraph> <paragraph num="(b)"> <text>Contain a concise statement identifying each portion of the hearing examiner's determination for which a review is requested;</text> </paragraph> <paragraph num="(c)"> <text>Be filed with the Commissioner within 15 work days after the date of the hearing examiner's determination; and</text> </paragraph> <paragraph num="(d)"> <text>Be mailed by the requesting party to all other parties to the proceeding.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Affected parties have the opportunity to present argument to the Commissioner.</text> </paragraph> <paragraph num="(3)"> <text>Order of the Commissioner.</text> <paragraph num="(a)"> <text>After review of the proceedings with or without a hearing, the Commissioner shall:</text> <paragraph num="(i)"> <text>Issue an order based on findings of fact;</text> </paragraph> <paragraph num="(ii)"> <text>Mail copies of the order to all affected parties.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The Commissioner's order shall:</text> <paragraph num="(i)"> <text>Affirm, modify, or vacate the citation or proposed penalty, or direct other appropriate relief; and</text> </paragraph> <paragraph num="(ii)"> <text>Become final 15 days after it is issued.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Variances."> <paragraph num="A."> <text>Effect of Variance. A variance granted under the Act and regulations adopted under the Act has only future effect.</text> </paragraph> <paragraph num="B."> <text>Temporary Variance.</text> <paragraph num="(1)"> <text>Application.</text> <paragraph num="(a)"> <text>An affected employer seeking a temporary variance shall file with the Commissioner, or the Commissioner's authorized representative, an application for variance before the effective date of the regulation or part of a regulation for which the temporary variance is sought.</text> </paragraph> <paragraph num="(b)"> <text>In addition to the requirements of §5-320 of the Act, an application for temporary variance shall be in writing and shall specify:</text> <paragraph num="(i)"> <text>The name and address of the applicant;</text> </paragraph> <paragraph num="(ii)"> <text>The address of each place of employment for which a variance is sought;</text> </paragraph> <paragraph num="(iii)"> <text>If the applicant seeks a hearing on the application, a request for hearing;</text> </paragraph> <paragraph num="(iv)"> <text>A statement of the facts the applicant would show to establish that the applicant is unable to comply with a regulation by its effective date because necessary professional or technical personnel or material and equipment are unavailable, or necessary construction or alteration of facilities cannot be completed by the effective date; and</text> </paragraph> <paragraph num="(v)"> <text>A description of how the employer provided the notice required by §5-321(a) of the Act.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Interim Order.</text> <paragraph num="(a)"> <text>An applicant for an order for temporary variance may also request an interim order of variance.</text> </paragraph> <paragraph num="(b)"> <text>A request for interim order may include a statement of facts and arguments as to why an interim order should be granted.</text> </paragraph> <paragraph num="(c)"> <text>The Commissioner may rule ex parte on an application for interim order.</text> </paragraph> <paragraph num="(d)"> <text>If the Commissioner grants an interim order, the Commissioner shall:</text> <paragraph num="(i)"> <text>Serve the order on the applicant and each other party; and</text> </paragraph> <paragraph num="(ii)"> <text>Require as a condition of the order that the applicant give notice of the interim order to affected employees by the same means used to inform employees of the application for variance.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>If the Commissioner denies the interim order, the Commissioner shall:</text> <paragraph num="(i)"> <text>Give prompt notice of the denial; and</text> </paragraph> <paragraph num="(ii)"> <text>Provide a brief statement of the grounds for the denial.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Permanent Variance. An application for permanent variance shall be in writing and shall specify:</text> <paragraph num="(1)"> <text>The name and address of the applicant;</text> </paragraph> <paragraph num="(2)"> <text>The address of each place of employment for which a variance is sought;</text> </paragraph> <paragraph num="(3)"> <text>If the applicant seeks a hearing on the application, a request for hearing;</text> </paragraph> <paragraph num="(4)"> <text>A description of the conditions, means, methods, practices, processes, or operations used or proposed to be used by the applicant;</text> </paragraph> <paragraph num="(5)"> <text>A statement showing how the conditions, means, methods, practices, processes, or operations used or proposed to be used would make employment and places of employment at least as safe and healthful for employees as they would be if the applicant complied with the regulation or standard from which the permanent variance is sought;</text> </paragraph> <paragraph num="(6)"> <text>A description of how the employer provided the notice required by §5-321(b) of the Act; and</text> </paragraph> <paragraph num="(7)"> <text>A certification that the employer has informed its employees of the application by:</text> <paragraph num="(a)"> <text>Giving a copy of the application for permanent variance to its employees or their authorized representative,</text> </paragraph> <paragraph num="(b)"> <text>Posting the application, or a statement summarizing the application and specifying where a copy may be examined, at each place where notices to employees normally are posted, and</text> </paragraph> <paragraph num="(c)"> <text>Other appropriate means.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Notice of Application for Variance.</text> <paragraph num="(1)"> <text>Upon receipt of a proper application for variance, the Commissioner shall publish in the Maryland Register a notice of the filing of the application.</text> </paragraph> <paragraph num="(2)"> <text>The notice shall:</text> <paragraph num="(a)"> <text>Accurately summarize the application;</text> </paragraph> <paragraph num="(b)"> <text>Specify the regulation or part of a regulation for which a variance is requested;</text> </paragraph> <paragraph num="(c)"> <text>Invite interested persons to submit, within a specified period of time, written data or recommendations regarding the application; and</text> </paragraph> <paragraph num="(d)"> <text>Inform affected employers, employees, and interested persons affected by the application of the right to request a hearing on the application.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Modification and Revocation.</text> <paragraph num="(1)"> <text>Application. An application filed by an affected employer or employee for modification or revocation of a permanent variance shall be in writing and shall specify:</text> <paragraph num="(a)"> <text>The name and address of the applicant;</text> </paragraph> <paragraph num="(b)"> <text>A description of the relief sought;</text> </paragraph> <paragraph num="(c)"> <text>A statement setting forth with particularity the grounds for the relief;</text> </paragraph> <paragraph num="(d)"> <text>If the applicant seeks a hearing on the application, a request for hearing;</text> </paragraph> <paragraph num="(e)"> <text>If the applicant is an employer, a certification that the employer has informed its affected employees of the application as required by this regulation; and</text> </paragraph> <paragraph num="(f)"> <text>If the applicant is an affected employee, a certification that the employee has furnished a copy of the application to the employer.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Commissioner may modify or revoke a permanent variance at any time, on the Commissioner's own initiative and after a hearing, after:</text> <paragraph num="(a)"> <text>Informing the affected employer and employees of the Commissioner's intention and of their right to request a hearing; and</text> </paragraph> <paragraph num="(b)"> <text>Affording affected employers and employees an opportunity to submit written data or arguments regarding the proposal.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Adoption, Amendment, or Repeal of a Regulation."> <paragraph num="A."> <text>An interested person may file with the Commissioner a petition for the adoption, amendment, or repeal of a regulation or standard.</text> </paragraph> <paragraph num="B."> <text>A petition shall be in writing and shall:</text> <paragraph num="(1)"> <text>Identify the regulation proposed for adoption, amendment, or repeal;</text> </paragraph> <paragraph num="(2)"> <text>State the reasons for the proposal; and</text> </paragraph> <paragraph num="(3)"> <text>State the intended effect of the proposal.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Repealed." /> <regulation prefix="Regulation" num=".20" heading="Petition for Modification of Abatement Date."> <paragraph num="A."> <text>An employer may file a petition for modification of abatement date (PMA) when the employer has:</text> <paragraph num="(1)"> <text>Made a good faith effort to comply with the abatement requirements of a citation; and</text> </paragraph> <paragraph num="(2)"> <text>Not completed abatement because of factors beyond the employer's reasonable control.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Content. A PMA shall be in writing and shall state:</text> <paragraph num="(1)"> <text>The actions the employer has taken in an effort to achieve compliance during the prescribed abatement period and the date of each action;</text> </paragraph> <paragraph num="(2)"> <text>The specific additional abatement time necessary in order to achieve compliance;</text> </paragraph> <paragraph num="(3)"> <text>The reason the additional time is necessary, including the:</text> <paragraph num="(a)"> <text>Unavailability of:</text> <paragraph num="(i)"> <text>Professional or technical personnel, or</text> </paragraph> <paragraph num="(ii)"> <text>Materials and equipment; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Inability to complete, by the original abatement date, necessary construction or alteration of facilities;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The available interim steps being taken to safeguard the employees against the cited hazard during the abatement period;</text> </paragraph> <paragraph num="(5)"> <text>A certification that a copy of the PMA has been:</text> <paragraph num="(a)"> <text>Posted; and</text> </paragraph> <paragraph num="(b)"> <text>If appropriate, served on the authorized representative of affected employees; and</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>A certification of the date upon which the petition was posted and service was made.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Filing.</text> <paragraph num="(1)"> <text>A PMA shall be filed with the Assistant Commissioner not later than the close of the next work day following the date on which abatement was originally required.</text> </paragraph> <paragraph num="(2)"> <text>An employer filing a PMA after the date set forth in §C(1) of this regulation shall include with it a statement setting forth the circumstances for the delay.</text> </paragraph> <paragraph num="(3)"> <text>The Assistant Commissioner may accept a late-filed PMA only if exceptional circumstances lead to the delay.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Posting and Service.</text> <paragraph num="(1)"> <text>The employer shall post a copy of the PMA in a conspicuous place:</text> <paragraph num="(a)"> <text>Where affected employees will have notice; or</text> </paragraph> <paragraph num="(b)"> <text>Near the location where the violation occurred.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The PMA shall remain posted for at least 10 work days.</text> </paragraph> <paragraph num="(3)"> <text>When affected employees have an authorized representative, the employer shall serve the representative with a copy of the petition.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Filing of Objections.</text> <paragraph num="(1)"> <text>Affected employees or their representatives may file an objection to the PMA in writing with the Assistant Commissioner.</text> </paragraph> <paragraph num="(2)"> <text>The objection shall be filed within 10 work days of the date that the PMA was:</text> <paragraph num="(a)"> <text>Posted; or</text> </paragraph> <paragraph num="(b)"> <text>Served upon an authorized representative.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Failure to file a timely objection constitutes a waiver of any further right to object to the petition.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Assistant Commissioner.</text> <paragraph num="(1)"> <text>The Assistant Commissioner has the authority to approve any PMA filed under this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The Assistant Commissioner may not grant a PMA until the expiration of 15 work days from the date the employer complies with §D of this regulation.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Objections and Denials.</text> <paragraph num="(1)"> <text>When either an affected employee objects to, or the Assistant Commissioner denies approval of, a PMA, the PMA, citation, and any objection shall be forwarded to the Commissioner within 3 work days after the expiration of the 15-day period set forth in §F(2) of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner shall treat a PMA so forwarded in the same manner as a contested case involving a citation.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Burden of Proof. To obtain modification of an abatement period, the employer filing a PMA has the burden of proving that it:</text> <paragraph num="(1)"> <text>Made a good faith effort to comply with the abatement requirements of the citation; and</text> </paragraph> <paragraph num="(2)"> <text>Has not completed abatement because of factors beyond its control.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Abatement Verification."> <paragraph num="A."> <text>In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Abatement” means action by an employer to:</text> <paragraph num="(a)"> <text>Comply with a cited standard or regulation; or</text> </paragraph> <paragraph num="(b)"> <text>Eliminate a recognized hazard identified by MOSH during an inspection.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Abatement date” means:</text> <paragraph num="(a)"> <text>For an uncontested citation item, the later of the date:</text> <paragraph num="(i)"> <text>In the citation for abatement of the violation,</text> </paragraph> <paragraph num="(ii)"> <text>Approved by MOSH or established in litigation as a result of a petition for modification of the abatement date (PMA), or</text> </paragraph> <paragraph num="(iii)"> <text>Established in a citation by an informal settlement agreement; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>For a contested citation item for which the Commissioner has issued a final order affirming the violation, the later of the date:</text> <paragraph num="(i)"> <text>Identified in the final order for abatement,</text> </paragraph> <paragraph num="(ii)"> <text>Computed by adding the period allowed in the citation for abatement to the final order date, or</text> </paragraph> <paragraph num="(iii)"> <text>Established by a formal settlement agreement.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Affected employees” means those employees who are exposed to a hazard identified as a violation in a citation.</text> </paragraph> <paragraph num="(4)"> <text>“Final order date” means:</text> <paragraph num="(a)"> <text>For an uncontested citation item, the 15th working day after the employer's receipt of the citation; and</text> </paragraph> <paragraph num="(b)"> <text>For a contested citation item:</text> <paragraph num="(i)"> <text>The 15th day after the date on which a proposed order of a hearing examiner has been docketed with the Commissioner, unless the Commissioner has directed review or an employee, or representative of an employee or employer whom the proposed order affects has requested review,</text> </paragraph> <paragraph num="(ii)"> <text>When review has been directed or requested, the 15th day after the date on which the Commissioner issues the final order disposing of all or a pertinent part of a case, or</text> </paragraph> <paragraph num="(iii)"> <text>The date on which a circuit court issues a decision affirming the violation in a case in which a final order of the Commissioner has been stayed.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Moveable equipment” means a hand-held or non-hand-held machine or device, powered or unpowered, that is used to do work and is moved within or between worksites.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Abatement Certification.</text> <paragraph num="(1)"> <text>Except as provided in §B(2) of this regulation, within 10 calendar days after the abatement date, the employer shall certify to the Commissioner or the Commissioner's authorized representative that each cited violation has been abated.</text> </paragraph> <paragraph num="(2)"> <text>The employer is not required to certify abatement if, during the on-site portion of the inspection, the Commissioner or the Commissioner's authorized representative:</text> <paragraph num="(a)"> <text>Observes, within 24 hours after a violation is identified, that abatement has occurred; and</text> </paragraph> <paragraph num="(b)"> <text>Notes in the citation that abatement has occurred.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>In addition to the information required by §G of this regulation, the employer's certification that abatement is complete for each cited violation shall include:</text> <paragraph num="(a)"> <text>The date and method of abatement; and</text> </paragraph> <paragraph num="(b)"> <text>A statement that affected employees and their representatives have been informed of the abatement.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Abatement Documentation.</text> <paragraph num="(1)"> <text>The employer shall submit to the Commissioner or the Commissioner's authorized representative the following:</text> <paragraph num="(a)"> <text>The information on abatement certification required by §B(3) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>The requisite documentation:</text> <paragraph num="(i)"> <text>Demonstrating that abatement is complete for each willful or repeat violation, and</text> </paragraph> <paragraph num="(ii)"> <text>For a serious violation for which the Commissioner or the Commissioner's authorized representative indicates in the citation that this abatement documentation is required.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Documents demonstrating that abatement is complete may include, but are not limited to:</text> <paragraph num="(a)"> <text>Evidence of the purchase or repair of equipment;</text> </paragraph> <paragraph num="(b)"> <text>Photographic or video evidence of abatement; or</text> </paragraph> <paragraph num="(c)"> <text>Other written records.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Abatement Plans.</text> <paragraph num="(1)"> <text>Except for an other-than serious violation, the Commissioner or the Commissioner's authorized representative may require an employer to submit an abatement plan for the cited violation when the time permitted for abatement is more than 90 calendar days.</text> </paragraph> <paragraph num="(2)"> <text>When an abatement plan is required:</text> <paragraph num="(a)"> <text>It shall be indicated on the citation;</text> </paragraph> <paragraph num="(b)"> <text>The employer shall submit an abatement plan for the cited violation within 25 calendar days from the final order date; and</text> </paragraph> <paragraph num="(c)"> <text>The abatement plan shall identify the violation and the steps to be taken to achieve abatement, including:</text> <paragraph num="(i)"> <text>A schedule for completing abatement, and</text> </paragraph> <paragraph num="(ii)"> <text>When necessary, how employees will be protected from exposure to the violative condition in the interim until abatement is complete.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Progress Reports.</text> <paragraph num="(1)"> <text>An employer who is required to submit an abatement plan may also be required to submit periodic progress reports for the cited violation.</text> </paragraph> <paragraph num="(2)"> <text>The citation shall indicate:</text> <paragraph num="(a)"> <text>If a periodic progress report is required and the citation item for which it is required;</text> </paragraph> <paragraph num="(b)"> <text>The date on which an initial progress report shall be submitted, which shall be at least 30 calendar days after submission of an abatement plan;</text> </paragraph> <paragraph num="(c)"> <text>Whether additional periodic progress reports are required; and</text> </paragraph> <paragraph num="(d)"> <text>The dates on which additional progress reports shall be submitted.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>For a violation, the periodic progress report shall identify, in a single sentence if possible, the:</text> <paragraph num="(a)"> <text>Action taken to achieve abatement; and</text> </paragraph> <paragraph num="(b)"> <text>Date action was taken.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Employee Notification.</text> <paragraph num="(1)"> <text>The employer shall inform affected employees and their representatives about abatement activities covered by this regulation by posting, near the place where the violation occurred, a copy or summary of the document submitted to the Commissioner or the Commissioner's authorized representative.</text> </paragraph> <paragraph num="(2)"> <text>If this posting does not effectively inform employees and their representatives about abatement activities, the employer shall:</text> <paragraph num="(a)"> <text>Post the document or a summary of the document in a location where it will be readily observable by affected employees and their representatives; or</text> </paragraph> <paragraph num="(b)"> <text>Take other steps to communicate fully to affected employees and their representatives about abatement activities.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The employer shall inform employees and their representatives of their right to examine and copy all abatement documents submitted to the Commissioner or the Commissioner's authorized representative.</text> </paragraph> <paragraph num="(4)"> <text>An employee or an employee representative shall submit a request to examine and copy abatement documents within 3 working days of receiving notice that the documents have been submitted.</text> </paragraph> <paragraph num="(5)"> <text>The employer shall comply with an employee's or employee representative's request to examine and copy abatement documents within 5 working days of receiving the request.</text> </paragraph> <paragraph num="(6)"> <text>The employer shall ensure that notice to employees and employee representatives is provided at the same time or before the information is provided to the Commissioner or the Commissioner's authorized representative and that abatement documents are:</text> <paragraph num="(a)"> <text>Not altered, defaced, or covered by other material; and</text> </paragraph> <paragraph num="(b)"> <text>Remain posted for 3 working days after submission to the Commissioner or the Commissioner's authorized representative.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Transmitting Abatement Documents.</text> <paragraph num="(1)"> <text>The employer shall include, in the submission of required abatement documents, the following:</text> <paragraph num="(a)"> <text>The employer's name and address;</text> </paragraph> <paragraph num="(b)"> <text>The inspection number to which the submission relates;</text> </paragraph> <paragraph num="(c)"> <text>The citation and item numbers to which the submission relates;</text> </paragraph> <paragraph num="(d)"> <text>A statement that the information submitted is accurate; and</text> </paragraph> <paragraph num="(e)"> <text>The signature of the employer or the employer's authorized representative.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Date of Submission. The date of submission for:</text> <paragraph num="(a)"> <text>Mailed documents is the date of postmark; and</text> </paragraph> <paragraph num="(b)"> <text>Documents transmitted by means other than by mail is the date the Commissioner receives the document.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Moveable Equipment.</text> <paragraph num="(1)"> <text>For serious, repeat, and willful violations involving movable equipment, the employer shall attach a warning tag or a copy of the citation to the operating controls or to the cited component of equipment that is moved within the worksite or between worksites.</text> </paragraph> <paragraph num="(2)"> <text>The employer shall use a warning tag that properly warns employees about the nature of the violation involving the equipment and identifies the location of the citation issued.</text> </paragraph> <paragraph num="(3)"> <text>If the violation has not already been abated, the warning tag or copy of the citation shall be attached to the equipment:</text> <paragraph num="(a)"> <text>For hand-held equipment, immediately after the employer receives the citation; or</text> </paragraph> <paragraph num="(b)"> <text>For non-hand-held equipment, before moving the equipment within or between worksites.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>For the construction industry, a tag that is designed and used in accordance with 29 CFR §§1926.20(b)(3) and 1926.200(h), is deemed to meet the requirements of this section when the information required by §H(2) of this regulation is included on the tag.</text> </paragraph> <paragraph num="(5)"> <text>The employer shall ensure that the tag or copy of the citation attached to movable equipment:</text> <paragraph num="(a)"> <text>Is not altered, defaced, rendered illegible, or covered by other opaque material;</text> </paragraph> <paragraph num="(b)"> <text>Is made of materials which will withstand the environmental conditions encountered in the workplace; and</text> </paragraph> <paragraph num="(c)"> <text>Remains attached until the:</text> <paragraph num="(i)"> <text>Violation has been abated and all abatement certification documents required by this regulation have been submitted to the Commissioner or the Commissioner's authorized representative,</text> </paragraph> <paragraph num="(ii)"> <text>Cited equipment has been permanently removed from service or is no longer within the employer's control, or</text> </paragraph> <paragraph num="(iii)"> <text>Commissioner issues a final order vacating the citation.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4), 5-212, 5-213, 5-312, and 5-702, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 5, 1993 (20:13 Md. R. 1047)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03H adopted effective October 23, 2006 (33:21 Md. R. 1675)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D adopted effective July 17, 2006 (33:14 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective February 25, 2008 (35:4 Md. R. 513)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective October 23, 1995 (22:21 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15A, E amended effective April 16, 2012 (39:7 Md. R. 490)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 amended effective October 23, 1995 (22:21 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 repealed as an emergency provision effective February 12, 2002 (29:5 Md. R. 499); repealed permanently effective May 13, 2002 (29:9 Md. R. 744)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21 adopted effective October 20, 1997 (24:21 Md. R. 1448)</annotation> </annotations> </chapter> <chapter num="21" heading="Employee Injury and Illness Records and Reports"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter establishes the requirements for employers in Maryland to record and report work-related fatalities, injuries, and illnesses in accordance with federal and State law, regulations, and procedures.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Incorporation by Reference."> <text>In this chapter, Recording and Reporting Occupational Injuries and Illnesses, 29 CFR Part 1904 (2019), is incorporated by reference as amended with the following changes.</text> <paragraph num="A."> <text>Wherever the words:</text> <paragraph num="(1)"> <text>“OSH Act” appear, substitute “Maryland Occupational Safety and Health Act”;</text> </paragraph> <paragraph num="(2)"> <text>“Occupational Safety and Health Administration (OSHA), U.S. Department of Labor” appear, substitute “MOSH”;</text> </paragraph> <paragraph num="(3)"> <text>“OSHA” appear, substitute “MOSH” for “OSHA” except for references to “OSHA injury and illness records”;</text> </paragraph> <paragraph num="(4)"> <text>“Section 11(c) of the Act” appear, substitute “§5-604 of the Maryland Occupational Safety and Health Act”;</text> </paragraph> <paragraph num="(5)"> <text>“OSHA Area Office” appear, substitute “MOSH Central Office”;</text> </paragraph> <paragraph num="(6)"> <text>“your local OSHA Area Office director” appear, substitute “the MOSH Assistant Commissioner”;</text> </paragraph> <paragraph num="(7)"> <text>“OSHA toll-free central telephone number, 1-800-321-OSHA (1-800-321- 6742)” appear, substitute “MOSH Central Office toll-free telephone number, 1-800-759-6297”; and</text> </paragraph> <paragraph num="(8)"> <text>“www.osha.gov” appear, substitute “www.labor.maryland.gov/labor/mosh/”.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In 29 CFR §1904.39(a)(2), where the words “an employee’s amputation” appear substitute “an employee’s amputation involving bone or cartilage loss”.</text> </paragraph> <paragraph num="C."> <text>In 29 CFR §1904 Subpart B – Scope, add “Note to Subpart B for Public Bodies: all exclusion or exemptions from the scope of 29 CFR §1904.1—.3, including Appendix A to Subpart B, only apply to private sector establishments; all public bodies, regardless of size or industry, shall comply with the recording and reporting requirements in 1904.”</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Survey."> <text>Upon receipt of an Occupational Injuries and Illnesses Survey form, an employer shall promptly complete and return the form in accordance with the instructions.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Variance Procedure for Record Keeping."> <text>Private Sector Employers. MOSH may not issue a variance to a private sector employer and shall recognize all variances issued by the federal Occupational Safety and Health Administration.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(5), 5-312, and 5-702—5-704, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 5, 1993 (20:13 Md. R. 1047)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A amended effective January 15, 1996 (23:1 Md. R. 23)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective August 29, 1994 (21:17 Md. R. 1439)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 adopted effective June 30, 1997 (24:13 Md. R. 930)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.10 repealed and new Regulations .01—.04 adopted as an emergency provision effective February 12, 2002 (29:5 Md. R. 499); adopted permanently effective May 13, 2002 (29:9 Md. R. 744)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective June 8, 2026 (53:11 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B, C amended effective February 17, 2003 (30:3 Md. R. 179); January 5, 2004 (30:26 Md. R. 1913); January 2, 2017 (43:26 Md. R. 1444)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 repealed and new Regulation .02 adopted effective September 7, 2020 (47:18 Md. R. 824)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C adopted effective June 8, 2026 (53:11 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective June 8, 2026 (53:11 Md. R. 484)</annotation> </annotations> </chapter> <chapter num="22" heading="Personally Identifiable Employee Medical Information"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of this chapter is to protect the substantial privacy interests involved in employee medical records by ensuring that:</text> <paragraph num="A."> <text>The Commissioner or the Commissioner's authorized representative will exercise authority to gain access to personally identifiable employee medical information only:</text> <paragraph num="(1)"> <text>After a careful determination of the need for this information, and</text> </paragraph> <paragraph num="(2)"> <text>With appropriate safeguards to protect individual privacy;</text> </paragraph> </paragraph> <paragraph num="B."> <text>Once the medical information is obtained, the examination and use of personally identifiable employee medical information obtained under this chapter is limited to only that information needed to accomplish the purpose for access;</text> </paragraph> <paragraph num="C."> <text>Personally identifiable employee medical information is:</text> <paragraph num="(1)"> <text>Retained only for the time needed to accomplish the purpose for access,</text> </paragraph> <paragraph num="(2)"> <text>Kept secure while being used, and</text> </paragraph> <paragraph num="(3)"> <text>Not disclosed to other agencies or members of the public, except in narrowly defined circumstances and as permitted or required by law; and</text> </paragraph> </paragraph> <paragraph num="D."> <text>Medically related information reported in a personally identifiable form, even if not specifically covered by the terms of this chapter, is handled with appropriate discretion and care befitting information concerning specific employees.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Scope and Application."> <paragraph num="A."> <text>Except as provided in §B of this regulation, this chapter applies to a request by MOSH inspection personnel to access records for the purpose of examining or copying personally identifiable employee medical information, whether or not the request is made under the access provisions of 29 CFR §1910.1020(e)(3).</text> </paragraph> <paragraph num="B."> <text>This regulation does not apply when:</text> <paragraph num="(1)"> <text>MOSH inspection personnel:</text> <paragraph num="(a)"> <text>Conduct an examination of employee medical records solely to verify employer compliance with the medical surveillance record-keeping requirements of an occupational safety and health standard or with 29 CFR §1910.1020;</text> </paragraph> <paragraph num="(b)"> <text>Conduct the examination:</text> <paragraph num="(i)"> <text>On-site, and</text> </paragraph> <paragraph num="(ii)"> <text>If requested, under the observation of the record holder; and</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Do not record and take offsite any information from medical records other than documentation of the fact of compliance or noncompliance; or</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A written directive by the Commissioner authorizes appropriately qualified personnel to conduct limited reviews of:</text> <paragraph num="(a)"> <text>Specific medical information mandated by an occupational safety and health standard; or</text> </paragraph> <paragraph num="(b)"> <text>Specific biological monitoring test results.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Definition."> <paragraph num="A."> <text>The definitions set forth in COMAR 09.12.20 apply to this chapter.</text> </paragraph> <paragraph num="B."> <text>For the purpose of this chapter, “personally identifiable employee medical information”:</text> <paragraph num="(1)"> <text>Means employee medical information accompanied by either:</text> <paragraph num="(a)"> <text>Direct identifiers, including:</text> <paragraph num="(i)"> <text>Name,</text> </paragraph> <paragraph num="(ii)"> <text>Address,</text> </paragraph> <paragraph num="(iii)"> <text>Social Security number,</text> </paragraph> <paragraph num="(iv)"> <text>Payroll number; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Information which could reasonably be used indirectly to identify specific employees, including:</text> <paragraph num="(i)"> <text>Exact age,</text> </paragraph> <paragraph num="(ii)"> <text>Height,</text> </paragraph> <paragraph num="(iii)"> <text>Weight,</text> </paragraph> <paragraph num="(iv)"> <text>Race,</text> </paragraph> <paragraph num="(v)"> <text>Sex,</text> </paragraph> <paragraph num="(vi)"> <text>Date of initial employment, or</text> </paragraph> <paragraph num="(vii)"> <text>Job title;</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Does not include:</text> <paragraph num="(a)"> <text>Aggregate employee medical information or medical records on individual employees not in a personally identifiable form;</text> </paragraph> <paragraph num="(b)"> <text>Personally identifiable employee medical information obtained in the course of litigation;</text> </paragraph> <paragraph num="(c)"> <text>Records required by COMAR 09.12.21;</text> </paragraph> <paragraph num="(d)"> <text>Death certificates; or</text> </paragraph> <paragraph num="(e)"> <text>Employee exposure records, including biological monitoring records which constitute exposure records under either 29 CFR §1910.1020(c)(5) or specific occupational safety and health standards.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Responsible Individuals."> <paragraph num="A."> <text>The Commissioner or the Commissioner's authorized representative is responsible for the overall administration and implementation of the procedures contained in this chapter, including making a final determination concerning:</text> <paragraph num="(1)"> <text>Access to personally identifiable employee medical information; and</text> </paragraph> <paragraph num="(2)"> <text>Interagency transfer or public disclosure of personally identifiable employee medical information.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Medical Records Officer.</text> <paragraph num="(1)"> <text>The Commissioner or the Commissioner's authorized representative shall designate a medical records officer with experience or training in the evaluation, use, and privacy protection of medical records.</text> </paragraph> <paragraph num="(2)"> <text>The medical records officer shall:</text> <paragraph num="(a)"> <text>Report directly to the Commissioner or the Commissioner's authorized representative on matters concerning this chapter; and</text> </paragraph> <paragraph num="(b)"> <text>Be responsible for:</text> <paragraph num="(i)"> <text>Making a recommendation to the Commissioner or the Commissioner's authorized representative regarding the approval or denial of a written access order,</text> </paragraph> <paragraph num="(ii)"> <text>Assuring that a written access order meets the requirements of Regulation .05B and C of this chapter,</text> </paragraph> <paragraph num="(iii)"> <text>Responding to an objection from an employee, collective bargaining agent, or employer concerning a written access order,</text> </paragraph> <paragraph num="(iv)"> <text>Regulating the use of direct personal identifiers,</text> </paragraph> <paragraph num="(v)"> <text>Regulating internal agency use and security of personally identifiable employee medical information,</text> </paragraph> <paragraph num="(vi)"> <text>Assuring that the results of an analysis of personally identifiable medical information are, when appropriate, communicated to employees,</text> </paragraph> <paragraph num="(vii)"> <text>Preparing an annual report of experience under Regulation .10 of this chapter, and</text> </paragraph> <paragraph num="(viii)"> <text>Assuring that advance notice is given of intended interagency transfer or public disclosure of personally identifiable employee medical information.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Principal Investigator.</text> <paragraph num="(1)"> <text>The principal investigator is the MOSH representative who, in each instance of access to personally identifiable employee medical information, is made primarily responsible for assuring that the examination and use of the information is performed in the manner prescribed by:</text> <paragraph num="(a)"> <text>A written access order; and</text> </paragraph> <paragraph num="(b)"> <text>The requirements of this chapter.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>When access is under a written access order, the principal investigator shall be professionally trained in medicine, public health, or allied fields such as epidemiology, toxicology, industrial hygiene, biostatistics, or environmental health.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Written Access Orders."> <paragraph num="A."> <text>Requirements.</text> <paragraph num="(1)"> <text>Except as provided in §D of this regulation, a request by a MOSH representative to examine or copy personally identifiable employee medical information contained in a record held by an employer or other record holder shall be made in accordance with a written access order approved by the Commissioner or the Commissioner's authorized representative upon the recommendation of the medical records officer.</text> </paragraph> <paragraph num="(2)"> <text>At the Commissioner's discretion, a written access order may constitute, or be accompanied by, an administrative subpoena.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Approval Criteria. Before issuing a written access order, the Commissioner or the Commissioner's authorized representative and the medical records officer shall determine that:</text> <paragraph num="(1)"> <text>The medical information to be examined or copied is relevant to a statutory purpose;</text> </paragraph> <paragraph num="(2)"> <text>There is a need to gain access to the personally identifiable information;</text> </paragraph> <paragraph num="(3)"> <text>The personally identifiable medical information to be examined or copied is limited to only the information needed to accomplish the purpose for access; and</text> </paragraph> <paragraph num="(4)"> <text>The personnel authorized to review and analyze the personally identifiable medical information are limited to those who have need for access and who have appropriate professional qualifications.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Content. A written access order shall state with reasonable particularity:</text> <paragraph num="(1)"> <text>The statutory purposes for which access is sought;</text> </paragraph> <paragraph num="(2)"> <text>A general description of the kind of employee medical information that will be examined;</text> </paragraph> <paragraph num="(3)"> <text>An explanation of the need to examine personally identifiable employee medical information;</text> </paragraph> <paragraph num="(4)"> <text>Whether medical information will be examined onsite;</text> </paragraph> <paragraph num="(5)"> <text>What type of information will be copied and removed offsite;</text> </paragraph> <paragraph num="(6)"> <text>The name, address, and telephone number of the principal investigator and medical records officer;</text> </paragraph> <paragraph num="(7)"> <text>The name of any other authorized individual who is expected to review and analyze the medical information; and</text> </paragraph> <paragraph num="(8)"> <text>The anticipated period of time during which the employee medical information in a personally identifiable form is expected to be retained.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Special Situations Not Requiring a Written Access Order.</text> <paragraph num="(1)"> <text>MOSH personnel are permitted to examine or copy personally identifiable employee medical information without a written access order if:</text> <paragraph num="(a)"> <text>The specific written consent of an employee is obtained under 29 CFR §1910.1020(e)(2)(ii), and MOSH or a MOSH employee is listed on the authorization as the designated representative to receive the medical information;</text> </paragraph> <paragraph num="(b)"> <text>When the information is taken offsite, the Commissioner or the Commissioner's authorized representative promptly:</text> <paragraph num="(i)"> <text>Names a principal investigator to ensure protection of the information, and</text> </paragraph> <paragraph num="(ii)"> <text>Notifies the medical records officer of the principal investigator's identity; and</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>MOSH handles the personally identifiable medical information in accordance with the use and security requirements of Regulations .06 and .07 of this chapter.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>MOSH Physician.</text> <paragraph num="(a)"> <text>A MOSH staff or contract physician shall be accorded access to personally identifiable employee medical information without a written access order, if the MOSH staff or contract physician:</text> <paragraph num="(i)"> <text>Is consulting with an employer's physician concerning an occupational safety or health issue;</text> </paragraph> <paragraph num="(ii)"> <text>Conducts an on-site evaluation of employee medical records in consultation with the employer's physician; and</text> </paragraph> <paragraph num="(iii)"> <text>Makes only necessary personal notes of the MOSH staff or contract physician's findings.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Employee medical records may not be taken offsite in the absence of a written access order or the specific written consent of an employee.</text> </paragraph> <paragraph num="(c)"> <text>Notes of personally identifiable employee medical information made by the MOSH physician may not leave the physician's control without the permission of the medical records officer.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Procedure for Presentation of Written Access Order.</text> <paragraph num="(1)"> <text>Presentation to Employer.</text> <paragraph num="(a)"> <text>Before examining or obtaining medical information subject to a written access order, the principal investigator, or a MOSH employee under the investigator's supervision, shall present to the employer:</text> <paragraph num="(i)"> <text>At least two copies of the written access order; and</text> </paragraph> <paragraph num="(ii)"> <text>An accompanying cover letter to the employer.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>At least one copy of the written access order may not identify specific employees by direct personal identifier.</text> </paragraph> <paragraph num="(c)"> <text>The accompanying cover letter shall:</text> <paragraph num="(i)"> <text>Summarize the requirements of this section; and</text> </paragraph> <paragraph num="(ii)"> <text>Indicate that questions or objections concerning the written access order may be directed to the principal investigator or to the medical records officer.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>The employer shall post promptly:</text> <paragraph num="(i)"> <text>A copy of the written access order which does not identify specific employees by direct personal identifier; and</text> </paragraph> <paragraph num="(ii)"> <text>The accompanying cover letter.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Presentation to Collective Bargaining Agent. The principal investigator shall present promptly to each collective bargaining agent representing employees whose medical records are subject to the written access order:</text> <paragraph num="(a)"> <text>A copy of the written access order which does not identify specific employees by direct personal identifier; and</text> </paragraph> <paragraph num="(b)"> <text>The accompanying cover letter.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Notice to Employees.</text> <paragraph num="(a)"> <text>After presentation of a written access order to an employer and a collective bargaining agent, if any, the principal investigator shall:</text> <paragraph num="(i)"> <text>Discuss with the collective bargaining agent, if any, and the employer whether to provide individual notice to employees affected by the written access order; and</text> </paragraph> <paragraph num="(ii)"> <text>If it is agreed that individual notice is appropriate, provide the employer an adequate number of copies of the written access order which does not identify specific employees by direct personal identifier, and the accompanying cover letter.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>An employer shall notify each affected employee by delivering the written access order or by placing a copy in each employee's medical file.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Objections Concerning a Written Access Order.</text> <paragraph num="(1)"> <text>An employee, collective bargaining agent, and employer may file a written objection to access to records under a written access order.</text> </paragraph> <paragraph num="(2)"> <text>A written objection shall be transmitted to the medical records officer.</text> </paragraph> <paragraph num="(3)"> <text>Unless the Commissioner or the Commissioner's authorized representative decides otherwise, access to the records shall proceed without delay, notwithstanding the filing of an objection.</text> </paragraph> <paragraph num="(4)"> <text>The medical records officer shall respond in writing to a written objection to access by MOSH.</text> </paragraph> <paragraph num="(5)"> <text>If appropriate, the medical records officer may:</text> <paragraph num="(a)"> <text>Revoke a written access order; and</text> </paragraph> <paragraph num="(b)"> <text>Direct that the medical information obtained under the revoked written access order be returned to the original record holder, or destroyed.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The principal investigator shall ensure that the instructions by the medical records officer are promptly implemented.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Removal of Direct Personal Identifiers.</text> <paragraph num="(1)"> <text>If employee medical information obtained under a written access order is taken offsite with direct personal identifiers included, and the investigator is not otherwise authorized by the medical records officer, the principal investigator shall:</text> <paragraph num="(a)"> <text>Separate promptly all direct personal identifiers from the medical information; and</text> </paragraph> <paragraph num="(b)"> <text>Code the medical information and the list of direct identifiers with a unique identifier for each employee.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The medical information with the code shall be used and kept secured as though still in a directly identifiable form.</text> </paragraph> <paragraph num="(3)"> <text>The principal investigator shall hand deliver or mail the list of direct personal identifiers with corresponding codes to the medical records officer.</text> </paragraph> <paragraph num="(4)"> <text>The medical records officer shall limit the use and distribution of the list of coded identifiers to individuals with a need to know its contents.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="MOSH Use of Personally Identifiable Employee Medical Information."> <paragraph num="A."> <text>Whenever practicable, the examination of personally identifiable employee medical information shall be performed onsite with a minimum of medical information taken offsite in a personally identifiable form.</text> </paragraph> <paragraph num="B."> <text>The principal investigator, in each instance of access, is primarily responsible for ensuring that personally identifiable employee medical information is used and kept secured in accordance with this chapter.</text> </paragraph> <paragraph num="C."> <text>The principal investigator, the medical records officer, the Commissioner or the Commissioner's authorized representative, and any other authorized individual listed on a written access order may permit the examination or use of personally identifiable employee medical information by MOSH personnel and contractors who have:</text> <paragraph num="(1)"> <text>A need for access; and</text> </paragraph> <paragraph num="(2)"> <text>Appropriate qualifications for the purpose for which they are using the information.</text> </paragraph> </paragraph> <paragraph num="D."> <text>MOSH personnel or contractors are not authorized to examine or otherwise use personally identifiable employee medical information unless so permitted.</text> </paragraph> <paragraph num="E."> <text>If a need exists, access to personally identifiable employee medical information may be provided to:</text> <paragraph num="(1)"> <text>An assistant attorney general assigned to MOSH; and</text> </paragraph> <paragraph num="(2)"> <text>A MOSH contractor who:</text> <paragraph num="(a)"> <text>Is a physician, or</text> </paragraph> <paragraph num="(b)"> <text>Has contractually agreed to abide by the requirements of this chapter and to implement directives and instructions regarding them.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>MOSH personnel and contractors are authorized to use personally identifiable employee medical information only for the purposes for which it was obtained unless the:</text> <paragraph num="(1)"> <text>Specific written consent of the affected employee is obtained to permit information to be used for another purpose; or</text> </paragraph> <paragraph num="(2)"> <text>Procedures in Regulation .05 of this chapter are repeated with respect to using the information for another purpose.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Security Procedures."> <paragraph num="A."> <text>MOSH Files.</text> <paragraph num="(1)"> <text>MOSH files containing personally identifiable employee medical information shall be segregated from other MOSH files.</text> </paragraph> <paragraph num="(2)"> <text>When not in active use, files containing personally identifiable employee medical information shall be kept secured in a locked cabinet or vault.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Except for necessary use by staff under their direct personal supervision, both the medical records officer and the principal investigator shall maintain a log of:</text> <paragraph num="(1)"> <text>Uses and transfers of personally identifiable employee medical information; and</text> </paragraph> <paragraph num="(2)"> <text>Lists of coded direct personal identifiers.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Photocopying or other duplication of personally identifiable employee medical information shall be kept to the minimum necessary to accomplish the purposes for which the information was obtained.</text> </paragraph> <paragraph num="D."> <text>The protective measures established by this regulation apply to all:</text> <paragraph num="(1)"> <text>Worksheets;</text> </paragraph> <paragraph num="(2)"> <text>Duplicate copies; or</text> </paragraph> <paragraph num="(3)"> <text>Other documents containing personally identifiable employee medical information.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Intra-Agency Transfers.</text> <paragraph num="(1)"> <text>Intra-agency transfers of personally identifiable employee medical information shall be by:</text> <paragraph num="(a)"> <text>Hand delivery;</text> </paragraph> <paragraph num="(b)"> <text>United States mail; or</text> </paragraph> <paragraph num="(c)"> <text>An equally protective means.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Inter-office mailing channels may not be used.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Retention and Destruction of Records."> <paragraph num="A."> <text>Consistent with Maryland records retention programs, personally identifiable employee medical information and lists of coded direct personal identifiers shall be destroyed or returned to the original record holder when they are no longer needed for the purposes for which they were obtained.</text> </paragraph> <paragraph num="B."> <text>The medical records officer shall:</text> <paragraph num="(1)"> <text>Maintain custody of personally identifiable employee medical information which is currently not being used actively but may be needed for future use; and</text> </paragraph> <paragraph num="(2)"> <text>Conduct an annual review of all centrally held information to determine which information is no longer needed for the purposes for which it was obtained.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Results of Analysis Using Personally Identifiable Employee Medical Information."> <text>If appropriate, the medical records officer shall communicate the results of a MOSH analysis using personally identifiable employee medical information to employees whose personal medical information was used as part of the analysis.</text> </regulation> <regulation prefix="Regulation" num=".10" heading="Annual Report."> <paragraph num="A."> <text>On an annual basis, the medical records officer shall review MOSH experience under this chapter during the previous year, and prepare a report to the Commissioner, which shall be made available to the public.</text> </paragraph> <paragraph num="B."> <text>The report shall discuss:</text> <paragraph num="(1)"> <text>The number of written access orders approved and a summary of the purposes for access;</text> </paragraph> <paragraph num="(2)"> <text>The nature and disposition of employee, collective bargaining agent, and employer written objections concerning access to personally identifiable employee medical information; and</text> </paragraph> <paragraph num="(3)"> <text>The nature and disposition of requests for inter-agency transfer or public disclosure of personally identifiable employee medical information.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Inter-Agency Transfer and Public Disclosure."> <paragraph num="A."> <text>Except when required by law or when approved by the Commissioner, personally identifiable employee medical information may not be:</text> <paragraph num="(1)"> <text>Transferred to an agency or office other than MOSH, except to an assistant attorney general assigned to MOSH; or</text> </paragraph> <paragraph num="(2)"> <text>Disclosed to the public, other than to the affected employee or the original record holder.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Except as provided in §C of this regulation, without the consent of the affected employee, the Commissioner or the Commissioner's authorized representative may not approve a request for an inter-agency transfer of personally identifiable employee medical information, unless the request is from a public health agency which:</text> <paragraph num="(1)"> <text>Needs the requested information in a personally identifiable form for a substantial public health purpose;</text> </paragraph> <paragraph num="(2)"> <text>Will not use the requested information to make individual determinations concerning an affected employee which could be to the employee's detriment;</text> </paragraph> <paragraph num="(3)"> <text>Has regulations or established written procedures providing protection for personally identifiable medical information substantially equivalent to that of this chapter; and</text> </paragraph> <paragraph num="(4)"> <text>Satisfies an exemption to the Maryland Public Information Act, State Government Article, Title 10, Subtitle 6, Annotated Code of Maryland, to the extent that the Maryland Public Information Act applies to the requested information.</text> </paragraph> </paragraph> <paragraph num="C."> <text>To the extent permitted by State Government Article, Title 10, Subtitle 6, Annotated Code of Maryland, and upon the approval of the Commissioner or the Commissioner's authorized representative, personally identifiable employee medical information may be transferred to the:</text> <paragraph num="(1)"> <text>National Institute for Occupational Safety and Health (NIOSH); and</text> </paragraph> <paragraph num="(2)"> <text>When necessary with respect to a specific action under the Act, Office of the Maryland Attorney General, or the State's Attorney for Baltimore City or a Maryland county.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Commissioner may not approve a request for public disclosure of employee medical information containing:</text> <paragraph num="(1)"> <text>Direct personal identifiers unless there are compelling circumstances affecting the health or safety of an individual; or</text> </paragraph> <paragraph num="(2)"> <text>Information which could reasonably be used indirectly to identify a specific employee when the disclosure would constitute a clearly unwarranted invasion of personal privacy.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Advance Notice.</text> <paragraph num="(1)"> <text>Except for an interagency transfer under §C of this regulation, when MOSH intends to release personally identifiable employee medical information to another agency or a member of the public other than an affected employee, the medical records officer shall ensure advance notice is provided to:</text> <paragraph num="(a)"> <text>A collective bargaining agent representing affected employees; and</text> </paragraph> <paragraph num="(b)"> <text>The employer.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>When the employee medical information to be transferred or disclosed contains direct personal identifiers, the medical records officer shall take reasonable steps to ensure that advance notice is provided to affected employees, when feasible.</text> </paragraph> <paragraph num="(3)"> <text>A release made under this section shall comply with State Government Article, Title 10, Subtitle 6, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4) and 5-312, Annotated Code of Maryland; 29 CFR §1913.10(d) and 29 U.S.C. §668</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 5, 1993 (20:13 Md. R. 1047)</annotation> </annotations> </chapter> <chapter num="23" heading="Prohibition on Smoking in an Indoor Place of Employment"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Indoor place of employment” includes, but is not limited to:</text> <paragraph num="(a)"> <text>An indoor work area;</text> </paragraph> <paragraph num="(b)"> <text>A vehicle other than a private vehicle as used in Health-General Article, §24-505(1), Annotated Code of Maryland, when an employee uses it in the course of employment;</text> </paragraph> <paragraph num="(c)"> <text>An employee lounge or restroom;</text> </paragraph> <paragraph num="(d)"> <text>A conference and meeting room;</text> </paragraph> <paragraph num="(e)"> <text>A classroom;</text> </paragraph> <paragraph num="(f)"> <text>A cafeteria operated by an employer for use by its employees;</text> </paragraph> <paragraph num="(g)"> <text>A hallway;</text> </paragraph> <paragraph num="(h)"> <text>A restaurant;</text> </paragraph> <paragraph num="(i)"> <text>A bar or tavern;</text> </paragraph> <paragraph num="(j)"> <text>A sleeping room in a hotel or motel; and</text> </paragraph> <paragraph num="(k)"> <text>An assembly, conference, convention, or meeting establishment or enclosed portion of the establishment.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Private vehicle”, as used in Health-General Article, §24-505(1), Annotated Code of Maryland, means:</text> <paragraph num="(a)"> <text>An individual's own vehicle being used for nonemployment purposes; or</text> </paragraph> <paragraph num="(b)"> <text>An individual's own vehicle, when used in the course of employment and occupied by only one individual.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Smoking” means the burning of a lighted cigarette, cigar, pipe, or any other matter or substance that contains tobacco.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Exclusions."> <text>This chapter does not apply to:</text> <paragraph num="A."> <text>Private homes;</text> </paragraph> <paragraph num="B."> <text>Residences, including residences used as a business or place of employment, unless being used by a person who is licensed or registered under Family Law Article, Title 5, Subtitle 5, Annotated Code of Maryland, to provide day care or child care;</text> </paragraph> <paragraph num="C."> <text>Private vehicles, unless being used for the public transportation of children, or as part of health care or day care transportation;</text> </paragraph> <paragraph num="D."> <text>A hotel or motel room rented to one or more guests as long as the total percent of hotel or motel rooms being so used does not exceed 25 percent;</text> </paragraph> <paragraph num="E."> <text>A retail tobacco business that is a sole proprietorship, limited liability company, corporation, partnership, or other enterprise, in which:</text> <paragraph num="(1)"> <text>The primary activity is the retail sale of tobacco products and accessories; and</text> </paragraph> <paragraph num="(2)"> <text>The sale of other products is incidental;</text> </paragraph> </paragraph> <paragraph num="F."> <text>Any facility of a manufacturer, importer, wholesaler, or distributor of tobacco products or of any tobacco leaf dealer or processor in which employees of the manufacturer, importer, wholesaler, distributor, or processor work or congregate; or</text> </paragraph> <paragraph num="G."> <text>A research or educational laboratory for the purpose of conducting scientific research into the health effects of tobacco smoke.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Employer Requirements."> <text>An employer shall:</text> <paragraph num="A."> <text>Ensure that in an indoor place of employment there is no smoking; and</text> </paragraph> <paragraph num="B."> <text>Post at each entrance to an indoor place of employment a sign stating that smoking is not permitted.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Interpretation."> <text>This chapter may not be construed to prevent an employer from prohibiting smoking in areas not covered by Labor and Employment Article §5-608(a), Annotated Code of Maryland.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4), 5-312, and 5-608(b), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 1, 1994 (21:15 Md. R. 1304)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised as an emergency provision effective September 17, 2007 (34:21 Md. R. 1910); revised permanently effective February 25, 2008 (35:4 Md. R. 513)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective February 9, 2009 (36:3 Md. R. 208)</annotation> <annotation type="History" subtype="Administrative History">Annotation: On July 22, 1994, judicial action stayed the enforcement of COMAR 09.12.23. H & G Restaurant, Inc., et al. v. William A. Fogle, et al., Case No. CG 2460, Circuit Court for Talbot County. On February 24, 1995, the Court of Appeals vacated the stay. William A. Fogle, et al. v. H & G Restaurant, Inc., et al., Case No. 69, September Term. At the time this supplement went to press, subject to additional legislative or judicial action, these regulations are scheduled to take effect on March 28, 1995.</annotation> </annotations> </chapter> <chapter num="24" heading="MOSH Consultation Education and Training Program"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <paragraph num="A."> <text>This chapter provides for the conduct of Maryland's Occupational Safety and Health (MOSH) Consultation Program in accordance with federal law, regulations, and procedures.</text> </paragraph> <paragraph num="B."> <text>This chapter establishes the conditions under which an employer may be granted an exemption from certain MOSH inspections.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Establishment."> <paragraph num="A."> <text>There is in the Occupational Safety and Health unit of the Division of Labor and Industry a MOSH Consultation Program.</text> </paragraph> <paragraph num="B."> <text>Service of the Program is available only upon request by the employer.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Scope of Request."> <paragraph num="A."> <text>Availability of Services.</text> <paragraph num="(1)"> <text>The MOSH Consultation Program shall provide on-site and off-site consultation services in accordance with this chapter.</text> </paragraph> <paragraph num="(2)"> <text>Consultation services are available from the Division of Labor and Industry only through the MOSH Consultation Program.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Prioritization. In allocating resources, the Division shall assign priority as follows:</text> <paragraph num="(1)"> <text>To businesses with fewer than 250 employees on site and fewer than 500 corporate-wide; and</text> </paragraph> <paragraph num="(2)"> <text>In accordance with 29 CFR §1908.5(c).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Incorporation by Reference."> <paragraph num="A."> <text>In this chapter, the following documents are incorporated by reference.</text> </paragraph> <paragraph num="B."> <text>Documents Incorporated.</text> <paragraph num="(1)"> <text>The following sections of Consultation Agreements, 29 CFR 1908 (October 26, 2000):</text> <paragraph num="(a)"> <text>29 CFR §1908.2;</text> </paragraph> <paragraph num="(b)"> <text>29 CFR §1908.4;</text> </paragraph> <paragraph num="(c)"> <text>29 CFR §1908.5, except in (b)(2), the last sentence, change the word “insight” to “initial”;</text> </paragraph> <paragraph num="(d)"> <text>29 CFR §1908.6; and</text> </paragraph> <paragraph num="(e)"> <text>29 CFR §1908.7, except:</text> <paragraph num="(i)"> <text>In paragraph(a)(1), substitute the following for the existing text, “Consultative activity shall be conducted independently of any MOSH enforcement activity”;</text> </paragraph> <paragraph num="(ii)"> <text>In paragraph (b)(2), after (iv), insert: “Accident investigations”; and “(v)”.</text> </paragraph> <paragraph num="(iii)"> <text>In paragraph (b)(4), after the word “employers” insert “at fixed worksites”;</text> </paragraph> <paragraph num="(iv)"> <text>In paragraph (b)(4)(i)(B), substitute the words “Commissioner of Labor and Industry” for “Regional Office”; and</text> </paragraph> <paragraph num="(v)"> <text>In paragraph (b)(4)(ii), add the following criteria:</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>The following amendments apply to the documents incorporated by reference in §B(1) of this regulation, except 29 CFR §1908.2:</text> <paragraph num="(a)"> <text>Wherever the words “Assistant Secretary” appear, substitute “Commissioner of Labor and Industry”, except in 29 CFR §1908.6(g)(1);</text> </paragraph> <paragraph num="(b)"> <text>Wherever the words “RA” or “Area Director” appear, substitute “Assistant Commissioner”;</text> </paragraph> <paragraph num="(c)"> <text>Wherever the words “compliance officer” or “OSHA compliance officer” appear, substitute “MOSH compliance officer”;</text> </paragraph> <paragraph num="(d)"> <text>Wherever the word “employee” appears, it means an employee as defined in §5-101(c) of the MOSH Act;</text> </paragraph> <paragraph num="(e)"> <text>Wherever the word “employer” appears, it means employer as defined in §5-101(d) of the MOSH Act;</text> </paragraph> <paragraph num="(f)"> <text>Wherever the words “Section 5(a)(1) of the OSHA Act” appear, it means §5-104 of the MOSH Act; and</text> </paragraph> <paragraph num="(g)"> <text>Substitute “Assistant Commissioner” for:</text> <paragraph num="(i)"> <text>“appropriate OSHA enforcement authority” in 29 CFR §1908.6(f)(1); and</text> </paragraph> <paragraph num="(ii)"> <text>“OSHA enforcement authority” in 29 CFR §1908.6(f)(4).</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>Safety and Health Program Management Guidelines, 54 FR 3904—3916 (1989); and</text> </paragraph> <paragraph num="(4)"> <text>Safety and Health Program Assessment Worksheet (OSHA Form 33) (Revised October 2000).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Recognition and Exemption."> <paragraph num="A."> <text>The recognition and exemption program shall be known as the Safety and Health Achievement Recognition Program (SHARP).</text> </paragraph> <paragraph num="B."> <text>The authority to approve an employer for SHARP rests with the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="C."> <text>To be eligible for consideration for participation in SHARP, an employer shall:</text> <paragraph num="(1)"> <text>Be a single, fixed worksite;</text> </paragraph> <paragraph num="(2)"> <text>Have at least 1 year of operating history, in order to have established a days away from work, days of restricted work activity, or job transfer (DART) Rate and a Total Recordable Case (TRC) Rate using the calculation formulas in Regulations .08 and .09 of this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Have reduced the DART Rate and TRC Rate at the worksite to below the industry average using the method permitted in §D of this regulation and the calculation formulas in Regulations .08 and .09 of this chapter;</text> </paragraph> <paragraph num="(4)"> <text>Request, in writing, a complete safety and health hazard assessment of all working conditions, equipment, and processes at the worksite and correct all hazards, including serious and other-than-serious hazards, identified by the MOSH consultant;</text> </paragraph> <paragraph num="(5)"> <text>Have implemented and maintained a safety and health management system, preferably in writing, that addresses, at a minimum, the major elements of the 1989 Safety and Health Program Management Guidelines;</text> </paragraph> <paragraph num="(6)"> <text>Score at least two on all 50 basic attributes of the Safety and Health Program Assessment Worksheet;</text> </paragraph> <paragraph num="(7)"> <text>Agree to notify the consultation project manager and request a subsequent on-site consultation visit when making any changes in working conditions or work processes that might introduce new hazards into the workplace;</text> </paragraph> <paragraph num="(8)"> <text>At the time the employer requests the complete safety and health hazard assessment, post a notice that it intends to participate in SHARP;</text> </paragraph> <paragraph num="(9)"> <text>Keep the notice required under §C(8) of this regulation posted until all hazards have been corrected; and</text> </paragraph> <paragraph num="(10)"> <text>Mutually agree with the consultation project manager on an achievement plan, which provides an outline for the continuous improvement of the employer's safety and health management system.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Injury and Illness Rates.</text> <paragraph num="(1)"> <text>Annual Rate Formula.</text> <paragraph num="(a)"> <text>The DART and TRC Rate calculations shall be based on the Occupational Safety and Health Act (OSHA) Form 300 information for the last full calendar year preceding the on-site evaluation using the annual rate formula in Regulations .08 and .09 of this chapter.</text> </paragraph> <paragraph num="(b)"> <text>The calculated DART and TRC Rates shall be compared against the most recently published Bureau of Labor Statistics (BLS) average rates for the industry.</text> </paragraph> <paragraph num="(c)"> <text>To qualify for SHARP, the employer's DART and TRC Rates shall be below the published BLS industry average rates.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Three-Year Rate Formula.</text> <paragraph num="(a)"> <text>Employers not qualifying using the annual rate formula may qualify if:</text> <paragraph num="(i)"> <text>The employer has at least 3 years of operating history; and</text> </paragraph> <paragraph num="(ii)"> <text>The calculated average DART Rate, based on the OSHA Form 300 information for the most recent 3 full calendar years preceding the on-site evaluation, and the calculated average TRC Rate based on the OSHA Form 300 information for the most recent 3 full calendar years preceding the on-site evaluation are below the most recently published BLS national average rates for that industry.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The calculations shall be made in accordance with the 3-year rate formula in Regulations .08 and .09 of this chapter.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Best 3 Out of 4 Years Rate Calculation.</text> <paragraph num="(a)"> <text>Employers not qualifying with rates calculated in accordance with the annual rate formula or the 3-year rate formula are eligible to use the best 3 out of 4 years calculation method if:</text> <paragraph num="(i)"> <text>A hypothetical TRC Rate is calculated assuming two recordable injuries and using the hours worked at the site in the most recent calendar year; and</text> </paragraph> <paragraph num="(ii)"> <text>The hypothetical TRC Rate is equal to or higher than the BLS average rate for any of the 3 most recently published years for the employer's industry.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Employers meeting the criteria under §D(3)(a)(i) and (ii) of this regulation may use the 3-year rate formula and the best DART and TRC Rates from 3 of the 4 years preceding the on-site evaluation.</text> </paragraph> <paragraph num="(c)"> <text>The calculation shall be made in accordance with the best 3 out of 4 years rate calculation method in Regulations .08 and .09 of this chapter.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The Commissioner of Labor and Industry may approve SHARP status if an employer has rates equal to or slightly greater than the industry average after using the calculation methods set forth in §D(1), (2), and (3) of this regulation if:</text> <paragraph num="(a)"> <text>The employer is currently a SHARP participant;</text> </paragraph> <paragraph num="(b)"> <text>The employer has a score of at least two on all 50 basic attributes of the Form 33; and</text> </paragraph> <paragraph num="(c)"> <text>The employer qualifies for the rate calculation under §D(3)(a)(ii) of this regulation, but fails to meet either the DART or TRC Rate requirements.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>To maintain participation in SHARP, an employer shall continue to meet the requirements described in §C of this regulation.</text> </paragraph> <paragraph num="F."> <text>Employer sites meeting all of the SHARP criteria described in §C of this regulation may be approved for SHARP by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="G."> <text>Duration of SHARP Status and Exemption Period.</text> <paragraph num="(1)"> <text>The initial approval period and all renewals of SHARP status shall be for a period of up to 2 years, beginning from the date of approval by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(2)"> <text>SHARP employers are exempt from MOSH programmed inspections. The exemption period shall begin on the date that the Commissioner of Labor and Industry approves the employer's participation in SHARP.</text> </paragraph> <paragraph num="(3)"> <text>If the initial or renewal period is for 2 years, participating employers shall submit the following to the consultation project manager during the interim year:</text> <paragraph num="(a)"> <text>A copy of requested worksite OSHA 300 Logs;</text> </paragraph> <paragraph num="(b)"> <text>A copy of the worksite's injury and illness incident reports; and</text> </paragraph> <paragraph num="(c)"> <text>Information regarding the completion of items set forth in the achievement plan described in §C(10) of this regulation.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Pre-SHARP Status."> <paragraph num="A."> <text>Employers that do not meet the SHARP requirements, but that exhibit a reasonable promise of achieving agreed upon milestones and time frames for SHARP participation, may be granted pre-SHARP status by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="B."> <text>Pre-SHARP status may be granted to an employer that:</text> <paragraph num="(1)"> <text>Meets the eligibility requirements of Regulation .05C(1) and (2) of this chapter;</text> </paragraph> <paragraph num="(2)"> <text>Requests, in writing, a safety and health management system assessment, and a complete safety and health hazard assessment of all working conditions, equipment, and processes at the worksite;</text> </paragraph> <paragraph num="(3)"> <text>Shows reasonable promise of achieving milestones and time frames agreed upon with the consultation project manager;</text> </paragraph> <paragraph num="(4)"> <text>Posts the list of hazards identified by the consultant;</text> </paragraph> <paragraph num="(5)"> <text>Provides information on all serious hazards identified by the consultant to employees;</text> </paragraph> <paragraph num="(6)"> <text>Corrects all serious and other-than-serious hazards identified by the consultant;</text> </paragraph> <paragraph num="(7)"> <text>Informs employees when hazards are corrected;</text> </paragraph> <paragraph num="(8)"> <text>Shows evidence of having the foundation of a safety and health management system;</text> </paragraph> <paragraph num="(9)"> <text>Implements the action plan developed by the consultant outlining the necessary achievement and time frames required for the employer to achieve SHARP status;</text> </paragraph> <paragraph num="(10)"> <text>Provides progress reports on implementation of the action plan referred to in §B(9) of this regulation to the consultation project manager;</text> </paragraph> <paragraph num="(11)"> <text>Posts a letter from the Commissioner of Labor and Industry approving pre-SHARP status;</text> </paragraph> <paragraph num="(12)"> <text>Involves employees in the safety and health management system, including implementation of the action plan referred to in §B(9) of this regulation;</text> </paragraph> <paragraph num="(13)"> <text>At sites having a recognized employee representative:</text> <paragraph num="(a)"> <text>Notifies the recognized employee representative of the employer's intention to participate in SHARP and pre-SHARP; and</text> </paragraph> <paragraph num="(b)"> <text>Involves the recognized employee representative in the process;</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Agrees to a complete safety and health hazard assessment of all working conditions, equipment, and processes at the worksite at the end of the pre-SHARP period;</text> </paragraph> <paragraph num="(15)"> <text>Notifies the Commissioner of Labor and Industry before making any changes in working conditions or work processes that might introduce new hazards into the workplace; and</text> </paragraph> <paragraph num="(16)"> <text>Demonstrates the capability of reducing the site's DART Rate and TRC Rate to below the industry national average within the pre-SHARP period using the calculation formulas in Regulations .08 and .09 of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An employer meeting the requirements of §B(1)—(16) of this regulation may be granted a deferral from MOSH programmed inspections by the Commissioner of Labor and Industry while working to achieve SHARP status. The period of deferral, including extensions, may not exceed a total of 18 months from the expiration of the correction due date or due dates, including extensions.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Participation in SHARP and Pre-SHARP."> <paragraph num="A."> <text>Relocation and Change in Ownership.</text> <paragraph num="(1)"> <text>Eligibility for participation in SHARP and pre-SHARP may be affected by relocation and change in ownership.</text> </paragraph> <paragraph num="(2)"> <text>Employers planning to relocate their facilities within the State shall notify the consultation project manager in writing 60 days before the move and permit a MOSH consultation visit within 30 days after the move.</text> </paragraph> <paragraph num="(3)"> <text>If the requirements of §A(2) of this regulation are not met, the consultation project manager shall ask the employer to withdraw from SHARP or pre-SHARP.</text> </paragraph> <paragraph num="(4)"> <text>Employers undergoing ownership or other major organizational changes that may impact the safety and health management system shall discuss these changes with the consultation project manager who may schedule an on-site visit.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Inspection of SHARP or Pre-SHARP sites by MOSH may be triggered by:</text> <paragraph num="(1)"> <text>Imminent danger;</text> </paragraph> <paragraph num="(2)"> <text>Fatality or catastrophe;</text> </paragraph> <paragraph num="(3)"> <text>Formal complaints;</text> </paragraph> <paragraph num="(4)"> <text>Follow-up on a previously cited violation;</text> </paragraph> <paragraph num="(5)"> <text>Accident; or</text> </paragraph> <paragraph num="(6)"> <text>Referral from a MOSH safety compliance officer to a MOSH health compliance officer, or from a MOSH health compliance officer to a MOSH safety compliance officer.</text> </paragraph> </paragraph> <paragraph num="C."> <text>SHARP Renewal. To renew for SHARP, an employer shall:</text> <paragraph num="(1)"> <text>Apply to the consultation project manager for SHARP renewal, in writing, within 180 days of expiration of the exemption status;</text> </paragraph> <paragraph num="(2)"> <text>Post a copy of the renewal request required in §C(1) of this regulation, and keep the notice posted until all hazards identified during the full service safety and health hazard assessment have been corrected;</text> </paragraph> <paragraph num="(3)"> <text>Establish that the employer has:</text> <paragraph num="(a)"> <text>Maintained or improved its safety and health management system through a safety and health management system assessment; and</text> </paragraph> <paragraph num="(b)"> <text>Completed a safety and health hazard assessment of all working conditions, equipment, and processes at the worksite conducted by the consultation project manager, or the consultation project manager's designee; and</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Continue to meet all the eligibility and qualifying criteria described in §C of this regulation, including calculating the site's injury and illness data using the appropriate method described in Regulations .05D, .08, and .09 of this chapter.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Voluntary Withdrawal from SHARP or Pre-SHARP.</text> <paragraph num="(1)"> <text>The consultation project manager shall give an employer that fails to maintain the eligibility criteria in Regulation .05C of this chapter the opportunity to voluntarily withdraw from SHARP. The consultation project manager shall give an employer that fails to maintain the eligibility criteria in Regulation .06 of this chapter the opportunity to voluntarily withdraw from pre-SHARP.</text> </paragraph> <paragraph num="(2)"> <text>An employer may withdraw from SHARP or pre-SHARP at any time.</text> </paragraph> <paragraph num="(3)"> <text>To withdraw from SHARP or pre-SHARP, the employer shall provide the consultation project manager with:</text> <paragraph num="(a)"> <text>A written notice of withdrawal; and</text> </paragraph> <paragraph num="(b)"> <text>The SHARP certificate, if the employer had been granted SHARP status.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Withdrawal from SHARP or pre-SHARP is effective immediately upon the employer's compliance with §D(3) of this regulation.</text> </paragraph> <paragraph num="(5)"> <text>The consultation project manager shall notify the Commissioner of Labor and Industry of a SHARP or pre-SHARP withdrawal.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Termination from SHARP or Pre-SHARP.</text> <paragraph num="(1)"> <text>The Commissioner of Labor and Industry may terminate from SHARP an employer that fails to maintain the eligibility criteria in Regulation .05C of this chapter and fails to voluntarily withdraw from SHARP.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner of Labor and Industry may terminate from pre-SHARP an employer that fails to maintain the eligibility criteria in Regulation .06 of this chapter, and fails to voluntarily withdraw from pre-SHARP.</text> </paragraph> <paragraph num="(3)"> <text>Notice of termination shall:</text> <paragraph num="(a)"> <text>Be in writing;</text> </paragraph> <paragraph num="(b)"> <text>Contain the reasons for termination;</text> </paragraph> <paragraph num="(c)"> <text>Outline the requirements for reentry into the program; and</text> </paragraph> <paragraph num="(d)"> <text>Be sent to the employer.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Rate Calculations."> <paragraph num="A."> <text>Annual Rate Formula.</text> <paragraph num="(1)"> <text>Annual rates are calculated by the formula (N/EH) × 200,000 where:</text> <paragraph num="(a)"> <text>N = Sum of the number of recordable injuries and illnesses in the year;</text> </paragraph> <paragraph num="(b)"> <text>EH = Total number of hours worked by all employees in the year; and</text> </paragraph> <paragraph num="(c)"> <text>200,000 = Equivalent of 100 full time employees working 40 hours per week, 50 weeks per year.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>For the TRC Rate, in the formula N = H + I + J, use the total number of cases listed on the OSHA 300 Log in columns:</text> <paragraph num="(a)"> <text>Column H (Days away from work);</text> </paragraph> <paragraph num="(b)"> <text>Column I (Job transfer or restriction); and</text> </paragraph> <paragraph num="(c)"> <text>Column J (Other recordable cases).</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>For the DART Rate, in the formula N = H + I, use the total number of cases resulting in days away from work, restricted work activity, or job transfer, or all of these, listed on the OSHA 300 Log in columns:</text> <paragraph num="(a)"> <text>Column H (Days away from work); and</text> </paragraph> <paragraph num="(b)"> <text>Column I (Job transfer or restriction).</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Alternate Calculation Methods.</text> <paragraph num="(1)"> <text>Three-Year Rate Formulas.</text> <paragraph num="(a)"> <text>Three-Year TRC Rate Formula. (Year 1 OSHA 300 Log columns H + I + J) + (Year 2 OSHA 300 Log columns H + I + J) + (Year 3 OSHA 300 Log columns H + I + J) / (Year 1 hours + Year 2 hours + Year 3 hours) × 200,000.</text> </paragraph> <paragraph num="(b)"> <text>Three-Year DART Rate Formula. (Year 1 OSHA 300 Log columns H + I) + (Year 2 OSHA 300 Log columns H + I) + (Year 3 OSHA 300 Log columns H + I) / (Year 1 hours + Year 2 hours + Year 3 hours) × 200,000.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Best 3 Out of 4 Years Rate Calculation Method. To determine whether an employer qualifies for the best 3 out of 4 years calculation method, do the following:</text> <paragraph num="(a)"> <text>Using the hours worked at the site in the most recent calendar year, including overtime hours, calculate a hypothetical TRC Rate for the employer assuming that the employer had two cases during the year;</text> </paragraph> <paragraph num="(b)"> <text>Compare that hypothetical rate to the 3 most recently published years of BLS combined injury/illness rates for the industry; and</text> </paragraph> <paragraph num="(c)"> <text>If the hypothetical rate, based on two cases, is equal to or higher than the national average for the employer's industry for any of the most current BLS published rates, the employer qualifies for the best 3 out of 4 years calculation method. The DART and TRC Rates may be calculated using the best 3 out of the most current 4 full calendar years of OSHA Form 300 data.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Rounding Instructions. You must round the rates to the nearest tenth following traditional mathematical rounding rules such as round 5.88 up to 5.9, round 5.82 down to 5.8, and round 5.85 up to 5.9.</text> </paragraph> <paragraph num="D."> <text>Comparison to National Averages.</text> <paragraph num="(1)"> <text>Compare the 3-year TRC and DART Rate to the most recently published BLS national average for the NAICS Code for the industry in which the applicant is classified;</text> </paragraph> <paragraph num="(2)"> <text>In the multi-year calculations, both the DART and TRC Rates have to be below the BLS rates for the same year;</text> </paragraph> <paragraph num="(3)"> <text>If BLS rates are not available for both the DART and TRC Rates, use the next smallest NAICS Code such as a six-digit NAICS to a five-digit NAICS; and</text> </paragraph> <paragraph num="(4)"> <text>If BLS rates are available for either the DART or TRC Rate, use the BLS rate that is available.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Sample Calculations."> <paragraph num="A."> <text>Scenario.</text> <paragraph num="(1)"> <text>A safety and health consultant visited a machine shop, NAICS 33271 and SICS 3599, and recorded the following OSHA 300 Log information:</text> </paragraph> <paragraph num="(2)"> <text>This data is used throughout the examples that follow.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Calculations.</text> <paragraph num="(1)"> <text>Annual Rate Formula Calculations (Year 2005).</text> <paragraph num="(a)"> <text>DART.</text> <paragraph num="(i)"> <text>DART = [[(COLUMN H) 2005 + (COLUMN I) 2005] X [200,000 HOURS]] / [HOURS WORKED2005]</text> </paragraph> <paragraph num="(ii)"> <text>DART = [[(0) +(1)] X [200,000 HOURS]] / [10,000 HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>DART = [[(1)] X [200,000 HOURS]] / [10,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>DART = 20.00 = 20.0</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>TRC.</text> <paragraph num="(i)"> <text>TRC = [[(COLUMN H) 2005 + (COLUMN I) 2005 + (COLUMN J) 2005] X [200,000 HOURS]] / [HOURS WORKED2005]</text> </paragraph> <paragraph num="(ii)"> <text>TRC = [[(0) +(1) + (0)] X [200,000 HOURS]] / [10,000 HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>TRC = [[(1)] X [200,000 HOURS]] / [10,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>TRC = 20.00 = 20.0</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Conclusion. The employer's 2005 DART and TRC Rates of 20.0 are above the 2004 BLS DART and TRC data shown as follows:.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Three-Year Rate Formula Calculations (Years 2005, 2004, and 2003).</text> <paragraph num="(a)"> <text>DART.</text> <paragraph num="(i)"> <text>DART = [[(COLUMNS H + I) 2005 + (COLUMNS H + I) 2004 + (COLUMNS H + I) 2003] X [200,000 HOURS]] / [(HOURS WORKED) 2005 + (HOURS WORKED) 2004 + (HOURS WORKED) 2003]</text> </paragraph> <paragraph num="(ii)"> <text>DART = [[(0 + 1) + (0 + 0) + (0 + 0)] X [200,000 HOURS]] / [[(10,000) + (14,000) + (12,000)] HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>DART = [[(1)] X [200,000 HOURS]] / [36,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>DART = 5.56 = 5.6</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>TRC.</text> <paragraph num="(i)"> <text>TRC = [[(COLUMNS H + I + J) 2005 + (COLUMNS H + I + J) 2004 + (COLUMNS H + I + J) 2003] X [200,000 HOURS]] / [(HOURS WORKED) 2005 + (HOURS WORKED) 2004 + (HOURS WORKED) 2003]</text> </paragraph> <paragraph num="(ii)"> <text>TRC = [[(0 + 1 + 0) + (0 + 0 + 0) + (0 + 0 + 1)] X [200,000 HOURS]] / [[(10,000) + (14,000) + (12,000)] HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>TRC = [[(2)] X [200,000 HOURS]] / [36,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>TRC = 11.11 = 11.1</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Conclusion. Using the 3-year calculation, the employer's DART and TRC Rates of 5.6 and 11.1, respectively, are above the most recently available BLS data shown as follows:</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Determining eligibility to use the best 3 out of 4 years rate calculations.</text> <paragraph num="(a)"> <text>Calculate hypothetical TRC:</text> <paragraph num="(i)"> <text>TRC Hypothetical = [[(SUM OF (2) FOR COLUMNS H + I + J FOR 2005)] X [200,000 HOURS]] / [HOURS WORKED2005]</text> </paragraph> <paragraph num="(ii)"> <text>TRC Hypothetical = [[(2)] X [200,000 HOURS]] / [10,000 HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>TRC Hypothetical = 40.00 = 40.0</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Employer's hypothetical TRC Rate of 40.0 is equal to or higher than the BLS industry average for at least 1 of the past 3 years published; therefore, the employer would be eligible for the best 3 out of 4 years rate calculations.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Best 3 Out of 4 Years Rate Calculations (Years 2005, 2004, and 2002).</text> <paragraph num="(a)"> <text>DART.</text> <paragraph num="(i)"> <text>DART = [[(COLUMNS H + I) 2005 + (COLUMNS H + I) 2004 + (COLUMNS H + I) 2002] X [200,000 HOURS]] / [(HOURS WORKED) 2005 + (HOURS WORKED) 2004 + (HOURS WORKED) 2002]</text> </paragraph> <paragraph num="(ii)"> <text>DART = [[(0 + 1) + (0 + 0) + (0 + 0)] X [200,000 HOURS]] / [[(10,000) + (14,000) + (16,000)] HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>DART = [[(1)] X [200,000 HOURS]] / [40,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>DART = 5.00 = 5.0</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>TRC.</text> <paragraph num="(i)"> <text>TRC = [[(COLUMNS H + I + J) 2005 + (COLUMNS H + I + J) 2004 + (COLUMNS H + I + J) 2002] X [200,000 HOURS]] / [(HOURS WORKED) 2005 + (HOURS WORKED) 2004 + (HOURS WORKED) 2002]</text> </paragraph> <paragraph num="(ii)"> <text>TRC = [[(0 + 1 + 0) + (0 + 0 + 0) + (0 + 0 + 0)] X [200,000 HOURS]] / [[(10,000) + (14,000) + (16,000)] HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>TRC = [[(1)] X [200,000 HOURS]] / [40,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>TRC = 5.00 = 5.0</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Conclusion. The employer's DART Rate of 5.0 is above the 2004 BLS DART Rate of 2.9. The employer's TRC Rate of 5.0 is below the 2004 BLS TRC Rate of 6.9. Because at least one of the employer's injury and illness rates is above the BLS data, this combination of years would not make the employer eligible for SHARP, as shown as follows:</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Best 3 out of 4 years Rate Calculations (Years 2005, 2003, and 2002).</text> <paragraph num="(a)"> <text>DART.</text> <paragraph num="(i)"> <text>DART = [[(COLUMNS H + I) 2005 + (COLUMNS H + I) 2003 + (COLUMNS H + I) 2002] X [200,000 HOURS]] / [(HOURS WORKED) 2005 + (HOURS WORKED) 2003 + (HOURS WORKED) 2002]</text> </paragraph> <paragraph num="(ii)"> <text>DART = [[(0 + 1) + (0 + 0) + (0 + 0)] X [200,000 HOURS]] / [[(10,000) + (12,000) + (16,000)] HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>DART = [[(1)] X [200,000 HOURS]] / [38,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>DART = 5.26 = 5.3</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>TRC.</text> <paragraph num="(i)"> <text>TRC = [[(COLUMNS H + I + J) 2005 + (COLUMNS H + I + J) 2003 + (COLUMNS H + I + J) 2002] X [200,000 HOURS]] / [(HOURS WORKED) 2005 + (HOURS WORKED) 2003 + (HOURS WORKED) 2002]</text> </paragraph> <paragraph num="(ii)"> <text>TRC = [[(0 + 1 + 0) + (0 + 0 + 1) + (0 + 0 + 0)] X [200,000 HOURS]] / [[(10,000) + (12,000) + (16,000)] HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>TRC = [[(2)] X [200,000 HOURS]] / [38,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>TRC = 10.53 = 10.5</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Conclusion. The employer's DART and TRC Rates of 5.3 and 10.5, respectively, are both above the most recently available BLS data. Therefore, this combination of years would not make the employer eligible for SHARP, as shown as follows:</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Best 3 out of 4 Years Rate Calculations (Years 2004, 2003, and 2002).</text> <paragraph num="(a)"> <text>DART.</text> <paragraph num="(i)"> <text>DART = [[(COLUMNS H + I) 2004 + (COLUMNS H + I) 2003 + (COLUMNS H + I) 2002] X [200,000 HOURS]] / [(HOURS WORKED) 2004 + (HOURS WORKED) 2003 + (HOURS WORKED) 2002]</text> </paragraph> <paragraph num="(ii)"> <text>DART = [[(0 + 0) + (0 + 0) + (0 + 0)] X [200,000 HOURS]] / [[(14,000) + (12,000) + (16,000)] HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>DART = [[(0)] X [200,000 HOURS]] / [42,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>DART = 0.00 = 0.0</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>TRC.</text> <paragraph num="(i)"> <text>TRC = [[(COLUMNS H + I + J) 2004 + (COLUMNS H + I + J) 2003 + (COLUMNS H + I + J) 2002] X [200,000 HOURS]] / [(HOURS WORKED) 2004 + (HOURS WORKED) 2003 + (HOURS WORKED) 2002]</text> </paragraph> <paragraph num="(ii)"> <text>TRC = [[(0 + 0 + 0) + (0 + 0 + 1) + (0 + 0 + 0)] X [200,000 HOURS]] / [[(14,000) + (12,000) + (16,000)] HOURS]</text> </paragraph> <paragraph num="(iii)"> <text>TRC = [[(1)] X [200,000 HOURS]] / [42,000 HOURS]</text> </paragraph> <paragraph num="(iv)"> <text>TRC = 4.76 = 4.8</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Conclusion. The employer's DART and TRC Rates are both below the most recently published BLS data. This combination of years would make the employer eligible for SHARP, as follows:</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>For purposes of this section, 200,000 Hours = Base for 100 equivalent full-time employees (working 40 hours per week, 50 weeks per year).</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4), 5-312, and 5-328, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 13, 1995 (22:3 Md. R. 153)</annotation> <annotation type="History" subtype="Administrative History">Regulations .03—.06 repealed and new Regulations .03—.08 adopted as an emergency provision effective March 29, 2002 (29:8 Md. R. 695); adopted permanently effective June 24, 2002 (29:12 Md. R. 926)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective August 11, 2008 (35:16 Md. R. 1391)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective August 11, 2008 (35:16 Md. R. 1391)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective August 11, 2008 (35:16 Md. R. 1391)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 repealed and new Regulation .07 adopted effective August 11, 2008 (35:16 Md. R. 1391)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 repealed and new Regulation .08 adopted effective August 11, 2008 (35:16 Md. R. 1391)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 adopted effective August 11, 2008 (35:16 Md. R. 1391)</annotation> </annotations> </chapter> <chapter num="25" heading="Maryland Occupational Safety and Health—Fall Protection in Steel Erection"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter applies to the steel erection activities set forth in 29 CFR §1926.750.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Requirements."> <text>Except for connectors and employees performing leading edge work in a controlled decking zone, fall protection requirements for employees performing steel erection activities, from a location between 10 feet up to and including 15 feet in height are provided for in 29 CFR §1926.28(a). Fall protection requirements for employees performing steel erection activities above 15 feet are provided for in Subpart R, 29 CFR §§1926.760 and 1926.761. Fall protection requirements for connectors and employees performing leading edge work in a controlled decking zone are provided for in Subpart R, 29 CFR §§1926.760 and 1926.761.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4) and 5-312, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: June 25, 2001 (28:12 Md. R. 1105)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 repealed and new Regulations .01, .02 adopted effective September 30, 2002 (29:19 Md. R. 1524)</annotation> </annotations> </chapter> <chapter num="26" heading="Crane Safety"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of this chapter is to prevent incidents that result in property damage, injury, and death, related to the operation of cranes when used in construction and demolition.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Scope."> <paragraph num="A."> <text>Except as provided in §C of this regulation, this chapter applies to power operated equipment, when used in construction and demolition, that can hoist, lower, and horizontally move a suspended load.</text> </paragraph> <paragraph num="B."> <text>This chapter applies to all crane operators, signal persons, riggers, and crane operator trainees, and to the erection, operation, and dismantling of cranes used in construction and demolition.</text> </paragraph> <paragraph num="C."> <text>This chapter does not apply to the following equipment:</text> <paragraph num="(1)"> <text>Machinery included in §A of this regulation while it has been converted or adapted for a non-hoisting/lifting use, and when used with chains, slings, or other rigging to lift suspended loads. Such conversions/adaptations include, but are not limited to, power shovels, excavators, and concrete pumps;</text> </paragraph> <paragraph num="(2)"> <text>Automotive wreckers and tow trucks when used to clear wrecks and haul vehicles;</text> </paragraph> <paragraph num="(3)"> <text>Digger derricks:</text> <paragraph num="(a)"> <text>Used for auguring holes for poles carrying electric and telecommunication lines, placing and removing the poles, and for handling associated materials to be installed on or removed from the poles;</text> </paragraph> <paragraph num="(b)"> <text>Used in electric power generation, transmission, and distribution work subject to 29 CFR Part 1926, Subpart V, which shall comply with 29 CFR §1926.950; and</text> </paragraph> <paragraph num="(c)"> <text>Used in construction work for telecommunication service, as defined at 29 CFR §1910.268(s)(40), which shall comply with 29 CFR §1910.268;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Machinery originally designed as vehicle-mounted aerial devices such as the type used for lifting personnel and self-propelled elevating work platforms;</text> </paragraph> <paragraph num="(5)"> <text>Powered industrial trucks, such as forklifts, except when configured to hoist and lower by means of a winch or hook and horizontally move a suspended load;</text> </paragraph> <paragraph num="(6)"> <text>Mechanic's truck with a hoisting device when used in activities related to equipment maintenance and repair;</text> </paragraph> <paragraph num="(7)"> <text>Machinery that hoists by using a come-along or chainfall;</text> </paragraph> <paragraph num="(8)"> <text>Telescopic/hydraulic gantry systems;</text> </paragraph> <paragraph num="(9)"> <text>Stacker cranes;</text> </paragraph> <paragraph num="(10)"> <text>Dedicated drilling rigs;</text> </paragraph> <paragraph num="(11)"> <text>Gin poles when used for the erection of communication towers;</text> </paragraph> <paragraph num="(12)"> <text>Tree trimming and tree removal work; and</text> </paragraph> <paragraph num="(13)"> <text>Except as provided in §D of this regulation, articulating/knuckle-boom truck cranes when:</text> <paragraph num="(a)"> <text>Delivering material to a construction site when used to transfer materials from the truck crane to the ground, without arranging the materials in a particular sequence for hoisting; and</text> </paragraph> <paragraph num="(b)"> <text>Delivering material to a construction site when the crane is used to transfer building supply sheet goods, including sheets of sheetrock, plywood, and roofing shingles, or building supply packaged materials, including bags of cement, packages of roofing shingles, and rolls of roofing felt, from the truck crane onto a structure using a fork/cradle at the end of the boom, but only when the truck crane is equipped with a properly functioning automatic overload prevention device.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>This chapter applies to articulating/knuckle-boom truck cranes when:</text> <paragraph num="(1)"> <text>The articulating/knuckle-boom crane is used to hold, support, or stabilize the material to facilitate a construction activity, such as holding material in place while it is attached to the structure;</text> </paragraph> <paragraph num="(2)"> <text>The material being handled by the articulating/knuckle-boom crane is a prefabricated component including, but not limited to, precast concrete members or panels, roof trusses such as wooden, cold-formed metal, steel, or other material, prefabricated building sections such as, but not limited to, floor panels, wall panels, roof panels, roof structures, or similar items;</text> </paragraph> <paragraph num="(3)"> <text>The material being handled by the articulating/knuckle-boom crane is a structural steel member such as steel joists, beams, columns, steel decking, bundled or unbundled, or a component of a systems-engineered metal building as defined in 29 CFR Part 1926, Subpart R; or</text> </paragraph> <paragraph num="(4)"> <text>The activity is not specifically excluded under COMAR 09.12.26.02C(13)(a)(b).</text> </paragraph> </paragraph> <paragraph num="E."> <text>This chapter applies to the equipment covered by this standard unless specified otherwise.</text> </paragraph> <paragraph num="F."> <text>The duties of controlling entities under this chapter include, but are not limited to, the duties specified in 29 CFR §1926.1402(c) and (e) and 29 CFR §1926.1424(b).</text> </paragraph> <paragraph num="G."> <text>Where provisions of this chapter direct an operator, crewmember, or other employee to take certain actions, the employer shall establish, effectively communicate to the relevant persons, and enforce work rules to ensure compliance with such provisions.</text> </paragraph> <paragraph num="H."> <text>For work covered by 29 CFR §1926.950, compliance with 29 CFR §1910.269(p) is deemed compliance with 29 CFR §§1926.1407—1926.1411.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>The definitions set forth in 29 CFR §1926.1401 apply to this chapter.</text> </paragraph> <paragraph num="B."> <text>For the purpose of this chapter, the following terms have the meanings indicated.</text> <paragraph num="(1)"> <text>“ANSI” means the American National Standards Institute.</text> </paragraph> <paragraph num="(2)"> <text>“ASME” means the American Society of Mechanical Engineers.</text> </paragraph> <paragraph num="(3)"> <text>“ASSE” means the American Society of Safety Engineers.</text> </paragraph> <paragraph num="(4)"> <text>“Commissioner” means the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(5)"> <text>“Crane” includes all equipment covered by this regulation.</text> </paragraph> <paragraph num="(6)"> <text>“Crane operator” means a person who operates powered equipment covered by this regulation.</text> </paragraph> <paragraph num="(7)"> <text>“Crane operator trainee” means a person who is engaged in a structured training program under the direct supervision of a crane operator who meets the requirements of this chapter.</text> </paragraph> <paragraph num="(8)"> <text>“Crew member” means one or more employees of an employer who performs work in a given operation.</text> </paragraph> <paragraph num="(9)"> <text>“Direct supervision” means that the supervisor:</text> <paragraph num="(a)"> <text>Is in the immediate area of the operation;</text> </paragraph> <paragraph num="(b)"> <text>Is within visual sighting distance of the operation;</text> </paragraph> <paragraph num="(c)"> <text>Is able to effectively communicate with the persons engaged in the operation; and</text> </paragraph> <paragraph num="(d)"> <text>Has no duties other than to observe and supervise the operation.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Level I rigger” means an individual who works under the supervision of a competent person and on a routine basis performs rigging work engaged in lifting loads, other than rigging for special lifts, and the erection, dismantling, jumping, or reconfiguring of cranes.</text> </paragraph> <paragraph num="(11)"> <text>“Level II rigger” means an individual who has accumulated 2 or more years of experience working as a level I rigger and performs rigging work engaged in lifting loads for special lifts, or the erection, dismantling, jumping, or reconfiguring of cranes, or all of these.</text> </paragraph> <paragraph num="(12)"> <text>“Master/lead rigger” means an individual who has accumulated 5 or more years of experience rigging loads and is authorized by the employer to take prompt corrective action to eliminate hazards.</text> </paragraph> <paragraph num="(13)"> <text>“NCCA” means the National Commission for Certifying Agencies.</text> </paragraph> <paragraph num="(14)"> <text>“Qualified person” means a person who, by possession of a recognized degree in an applicable field or certificate of professional standing, or who, by extensive knowledge, training, and experience, has successfully demonstrated the ability to solve problems relating to the subject crane operations.</text> </paragraph> <paragraph num="(15)"> <text>“Qualified rigging evaluator” means a person employed by the rigger’s employer who has demonstrated that he or she is competent in accurately assessing whether individuals meet the qualification requirements of this chapter for riggers.</text> </paragraph> <paragraph num="(16)"> <text>“Rigger” means an individual who is engaged in the process of lifting, moving, and rigging loads with hardware and equipment used to attach a load to a crane.</text> </paragraph> <paragraph num="(17)"> <text>“Rigging” means the hardware, equipment, and means used to safely attach a load to a crane by means of adequately rated and properly applied slings or other devices.</text> </paragraph> <paragraph num="(18)"> <text>“Safety sensitive position” means a position subject to drug and alcohol testing because the nature of the employee's duties and responsibilities indicate a potential that impaired performance due to drugs or alcohol, or both, could result in injury or death to the employee or others.</text> </paragraph> <paragraph num="(19)"> <text>“Signal person” means an individual who communicates guidance and direction to a crane operator in lifting, hoisting, moving, or releasing a load.</text> </paragraph> <paragraph num="(20)"> <text>“Special lift” means a lift using multiple cranes or the erection, dismantling, or jumping of a tower crane.</text> </paragraph> <paragraph num="(21)"> <text>“Third party qualified rigging evaluator” means an entity that, due to its independence and expertise, has demonstrated that it is competent in accurately assessing whether individuals meet the qualification requirements of this chapter for riggers.</text> </paragraph> <paragraph num="(22)"> <text>“Tower crane” means a type of lifting structure which utilizes a vertical mast or tower to support a working boom (jib) in an elevated position. Loads are suspended from the working boom. While the working boom may be of a fixed type, horizontal or angled, or have luffing capability, it can always rotate to swing loads, either by rotating on the top of the tower such as top slewing or by the rotation of the tower such as bottom slewing. The tower base may be fixed in one location or ballasted and moveable between locations. Mobile cranes that are configured with luffing jib or tower attachments, or both, are not considered tower cranes under this section.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Incorporation by Reference."> <paragraph num="A."> <text>In this chapter, the following documents are incorporated by reference.</text> </paragraph> <paragraph num="B."> <text>Documents Incorporated.</text> <paragraph num="(1)"> <text>29 CFR §1926.1402, except (f);</text> </paragraph> <paragraph num="(2)"> <text>29 CFR §1926.1403;</text> </paragraph> <paragraph num="(3)"> <text>29 CFR §1926.1404;</text> </paragraph> <paragraph num="(4)"> <text>29 CFR §§1926.1405 and 1926.1406;</text> </paragraph> <paragraph num="(5)"> <text>29 CFR §1926.1407;</text> </paragraph> <paragraph num="(6)"> <text>29 CFR §§1926.1408—1926.1411;</text> </paragraph> <paragraph num="(7)"> <text>29 CFR §1926.1412, except delete second sentence of (d)(1)(x) that provides, “This paragraph does not apply to the inspection of ground conditions for railroad tracks and their underlying support when the railroad tracks are part of the general railroad system of transportation that is regulated pursuant to the Federal Railroad Administration under 49 CFR Part 213”;</text> </paragraph> <paragraph num="(8)"> <text>29 CFR §1926.1412(e)(3)(ii), except delete “3 months” and substitute “1 year”;</text> </paragraph> <paragraph num="(9)"> <text>29 CFR §1926.1412, except in (f)(7) delete “12 months” and substitute “3 years”;</text> </paragraph> <paragraph num="(10)"> <text>29 CFR §§1926.1413—1926.1426;</text> </paragraph> <paragraph num="(11)"> <text>29 CFR §1926.1427(f)(1), (f)(2), and (f)(3)(i), (iii), and (iv), and (j)(1) and (2);</text> </paragraph> <paragraph num="(12)"> <text>29 CFR §§1926.1428—1926.1430, except (c)(2);</text> </paragraph> <paragraph num="(13)"> <text>29 CFR §1926.1431;</text> </paragraph> <paragraph num="(14)"> <text>29 CFR §1926.1432;</text> </paragraph> <paragraph num="(15)"> <text>29 CFR §§1926.1433 and 1926.1434;</text> </paragraph> <paragraph num="(16)"> <text>29 CFR §1926.1435;</text> </paragraph> <paragraph num="(17)"> <text>29 CFR §1926.1436;</text> </paragraph> <paragraph num="(18)"> <text>29 CFR §1926.1437, except in(a) delete “unless specified otherwise” and insert “on non-navigable waters, lakes and streams”;</text> </paragraph> <paragraph num="(19)"> <text>29 CFR §§1926.1438—1926.1441;</text> </paragraph> <paragraph num="(20)"> <text>Appendix A to Subpart CC of Part 1926—Standard Hand Signals;</text> </paragraph> <paragraph num="(21)"> <text>Appendix B to Subpart CC of Part 1926—Assembly/Disassembly—Sample Procedures for Minimizing the Risk of Unintended Dangerous Boom Movement; and</text> </paragraph> <paragraph num="(22)"> <text>Appendix C to Subpart CC of Part 1926—Operator Certification—Written Examination—Technical Knowledge Criteria;</text> </paragraph> <paragraph num="(23)"> <text>ASME B30.3-2004 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Construction Tower Cranes;</text> </paragraph> <paragraph num="(24)"> <text>ASME B30.5-2007 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Mobile and Locomotive Cranes;</text> </paragraph> <paragraph num="(25)"> <text>ASME B30.6-2003 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Derricks;</text> </paragraph> <paragraph num="(26)"> <text>ANSI/ASSE A10.42-2000 Safety Requirements for Rigging Qualifications and Responsibilities—American National Standard for Construction and Demolition Operations; and</text> </paragraph> <paragraph num="(27)"> <text>Standards for Educational and Psychological Testing (American Educational Research Association, American Psychological Association, National Council on Measurement in Education, 1999).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Drug and Alcohol Free Workplace and Substance Abuse Policy."> <paragraph num="A."> <text>An employer who employs individuals within a safety sensitive position shall have a drug and alcohol free workplace and substance abuse policy as required by this regulation.</text> </paragraph> <paragraph num="B."> <text>The Commissioner designates crane operators, signal persons, riggers, and crane operator trainees as safety sensitive positions.</text> </paragraph> <paragraph num="C."> <text>In addition to the positions designated by the Commissioner, an employer may designate other employees who work with or around cranes as being safety sensitive positions.</text> </paragraph> <paragraph num="D."> <text>An employer's drug and alcohol free workplace and substance abuse policy shall, at a minimum, require:</text> <paragraph num="(1)"> <text>Mandatory drug or controlled substance and alcohol testing for all safety sensitive positions under the following circumstances:</text> <paragraph num="(a)"> <text>At the commencement of employment in a safety sensitive position;</text> </paragraph> <paragraph num="(b)"> <text>Under reasonable suspicion by the employer;</text> </paragraph> <paragraph num="(c)"> <text>Randomly; and</text> </paragraph> <paragraph num="(d)"> <text>Unless the medical condition of the employee does not permit it, immediately or not later than 24 hours following any incident for which crane operations were a direct or indirect cause and which involve:</text> <paragraph num="(i)"> <text>Property damage greater than $5,000;</text> </paragraph> <paragraph num="(ii)"> <text>Bodily injury; or</text> </paragraph> <paragraph num="(iii)"> <text>A fatality;</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Testing requirements that are consistent with 49 CFR Part 40, U.S. Department of Transportation, and Health-General Article, §17-214, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>A prohibition on employees working in a safety sensitive position while under the influence of alcohol, drugs, or a controlled substance, unless:</text> <paragraph num="(a)"> <text>An employee is using a controlled substance under the direction of a licensed physician who has advised the employee that the substance will not adversely affect the employee's ability to safely perform the duties assigned;</text> </paragraph> <paragraph num="(b)"> <text>The employee notifies their supervisor and provides written medical documentation from their physician; and</text> </paragraph> <paragraph num="(c)"> <text>The employer consents; and</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A prohibition on the use, possession, or manufacture of any unlawful drug or use of alcohol while at work.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Crane Operator Requirements."> <paragraph num="A."> <text>Except as provided in §B of this regulation, an employer shall ensure that prior to operating equipment under this chapter, a person is qualified or certified in accordance with this regulation.</text> </paragraph> <paragraph num="B."> <text>The crane operator qualification or certification requirements do not apply to operators of equipment with a maximum manufacturer-rated hoisting/lifting capacity of 2,000 pounds or less.</text> </paragraph> <paragraph num="C."> <text>An employer is required to provide the training and qualification or certification at no cost to the employee consistent with §D or E of this regulation.</text> </paragraph> <paragraph num="D."> <text>Requirements for Certification Through an Accredited Crane Operator Testing Organization.</text> <paragraph num="(1)"> <text>An employer can provide certification through an accredited crane operator testing organization.</text> </paragraph> <paragraph num="(2)"> <text>For a testing organization to be considered accredited to certify crane operators under this regulation, it shall:</text> <paragraph num="(a)"> <text>Be accredited by a nationally recognized accrediting agency based on that agency’s determination that industry recognized criteria for written testing materials, physical examinations, test administration, grading, facilities/equipment, and personnel have been met;</text> </paragraph> <paragraph num="(b)"> <text>Administer written and practical tests that:</text> <paragraph num="(i)"> <text>Assess the crane operator applicant regarding, at a minimum, the knowledge and skills listed in 29 CFR §1926.1427(j)(1) and (2);</text> </paragraph> <paragraph num="(ii)"> <text>Provide different levels of certification based on equipment capacity and type;</text> </paragraph> <paragraph num="(iii)"> <text>Have procedures for crane operators to reapply and be retested in the event a crane operator applicant fails a test or is decertified; and</text> </paragraph> <paragraph num="(iv)"> <text>Have testing procedures for recertification designed to ensure that the crane operator continues to meet the technical knowledge and skill requirements in 29 CFR §1926.1427(j)(1) and (2); and</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Have its accreditation reviewed by the nationally recognized accrediting agency at least every 3 years.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A crane operator shall be deemed qualified to operate a particular piece of equipment if:</text> <paragraph num="(a)"> <text>The crane operator is certified under this section for that type and capacity of equipment or for higher-capacity equipment of that type; or</text> </paragraph> <paragraph num="(b)"> <text>When no accredited testing agency offers certification examinations for a particular type or capacity of equipment, or both:</text> <paragraph num="(i)"> <text>The operator has been certified for equipment that is most similar;</text> </paragraph> <paragraph num="(ii)"> <text>A certification examination is available for the most similar equipment; and</text> </paragraph> <paragraph num="(iii)"> <text>Where applicable, the operator’s certificate states the type or capacity of equipment, or both, for which the operator is certified.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>A certification issued under this section:</text> <paragraph num="(a)"> <text>Is portable;</text> </paragraph> <paragraph num="(b)"> <text>Meets the requirements of §A of this regulation; and</text> </paragraph> <paragraph num="(c)"> <text>Is valid for 5 years.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Audited Employer Program.</text> <paragraph num="(1)"> <text>An employer can provide qualification through an audited employer program.</text> </paragraph> <paragraph num="(2)"> <text>Requirements for Qualification.</text> <paragraph num="(a)"> <text>The written and practical tests shall be either:</text> <paragraph num="(i)"> <text>Developed by an accredited crane operator testing organization which is accredited by a nationally recognized accrediting agency based on that agency’s determination that industry recognized criteria for written testing materials, practical examinations, test administration, grading, facilities/equipment, and personnel have been met; or</text> </paragraph> <paragraph num="(ii)"> <text>Approved by an auditor who is certified to evaluate such tests by an accredited crane operator testing organization consistent with this regulation.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>If approved by an auditor as provided in §E(2)(a)(ii) of this regulation, the auditor’s approval process shall be based on the following:</text> <paragraph num="(i)"> <text>The auditor shall determine whether the written and practical tests meet nationally recognized test development criteria that are valid and reliable in assessing the crane operator applicants regarding, at a minimum, the knowledge and skills listed in 29 CFR §1926.1427(j)(1) and (2) of this regulation; and</text> </paragraph> <paragraph num="(ii)"> <text>The audit shall be conducted in accordance with nationally recognized auditing standards.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Administration of Tests.</text> <paragraph num="(i)"> <text>The written and practical tests shall be administered under circumstances approved by the auditor as meeting nationally recognized test administration standards.</text> </paragraph> <paragraph num="(ii)"> <text>The auditor shall be certified to evaluate the administration of the written and practical tests by an accredited crane operator testing organization consistent with this regulation.</text> </paragraph> <paragraph num="(iii)"> <text>The auditor may not be an employee of the employer.</text> </paragraph> <paragraph num="(iv)"> <text>The audit shall be conducted in accordance with nationally recognized auditing standards.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>The employer program must be audited within 3 months of the beginning of the program and at least every 3 years thereafter.</text> </paragraph> <paragraph num="(4)"> <text>Requalification Testing Procedures.</text> <paragraph num="(a)"> <text>The employer program shall have testing procedures for requalification designed to ensure that the crane operator continues to meet the technical knowledge and skills requirements in 29 CFR §1926.1427(j)(1) and (2) and this section.</text> </paragraph> <paragraph num="(b)"> <text>The requalification procedures shall be audited in accordance with nationally recognized auditing standards and this section.</text> </paragraph> <paragraph num="(c)"> <text>Within 3 months of the beginning of the employer program, the requalification procedures shall be audited.</text> </paragraph> <paragraph num="(d)"> <text>The audit process shall be conducted at least every 3 years thereafter.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>If the auditor determines that there is a significant deficiency in the program, the employer shall ensure that:</text> <paragraph num="(a)"> <text>No crane operator is qualified until the auditor confirms that the significant deficiency has been corrected;</text> </paragraph> <paragraph num="(b)"> <text>The program is audited again within 180 days of the confirmation that the significant deficiency was corrected;</text> </paragraph> <paragraph num="(c)"> <text>The auditor files a documented report of the significant deficiency with the Maryland Occupational Safety and Health program of the Division of Labor and Industry within 15 days of the auditor’s determination that there is a deficiency; and</text> </paragraph> <paragraph num="(d)"> <text>Records of the audits of the employer’s program are maintained by the auditor for 3 years and are made available by the auditor to the Commissioner or the Commissioner’s designated representative upon request.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>A qualification under this paragraph:</text> <paragraph num="(a)"> <text>Is not portable;</text> </paragraph> <paragraph num="(b)"> <text>Is valid for the crane operator while the operator is employed by the employer that issued the qualification;</text> </paragraph> <paragraph num="(c)"> <text>Is valid for 5 years; and</text> </paragraph> <paragraph num="(d)"> <text>Meets the requirements of §A of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>A testing entity is permitted to provide training as well as testing services if the criteria of an accrediting crane operator testing organization set forth in §D(2) of this regulation are met.</text> </paragraph> <paragraph num="G."> <text>Language and Literacy Requirements.</text> <paragraph num="(1)"> <text>Tests under this section may be administered verbally, with answers given verbally, if the crane operator candidate:</text> <paragraph num="(a)"> <text>Passes a written demonstration of literacy relevant to the work; and</text> </paragraph> <paragraph num="(b)"> <text>Demonstrates the ability to use the type of written manufacturer procedures applicable to the class/type of equipment for which the crane operator is seeking certification.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Tests under this section may be administered in any language the crane operator candidate understands, and the crane operator’s certificate shall note the language in which the test was given.</text> </paragraph> <paragraph num="(3)"> <text>The crane operator is qualified under §A of this regulation to operate equipment that is furnished with materials required by this chapter and 29 CFR §1926.1407 et seq. that are written in the language of the certification. The crane operator may only operate equipment furnished with such materials.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Certification Criteria. Qualifications and certifications shall be based, at a minimum, on the following:</text> <paragraph num="(1)"> <text>A determination through a written test that the person has the knowledge necessary for safe operation of the specific type of equipment the individual will operate, including all of the following:</text> <paragraph num="(a)"> <text>Operational characteristics and controls, limitations and use, rated load capacities, and special hazards, including characteristic and performance questions appropriate to the crane type for which qualification is sought;</text> </paragraph> <paragraph num="(b)"> <text>Emergency control skills, such as a response to fire, power line contact, loss of stability, or control malfunction;</text> </paragraph> <paragraph num="(c)"> <text>Demonstrated ability to use arithmetic and load capacity charts to calculate load capacity information on a variety of configurations necessary for safe crane operation;</text> </paragraph> <paragraph num="(d)"> <text>The ability to read and comprehend the crane manufacturer’s operation and maintenance instruction materials, including load capacity charts, for the crane for which qualification or certification is sought;</text> </paragraph> <paragraph num="(e)"> <text>Depending upon the type of crane the operator intends to operate:</text> <paragraph num="(i)"> <text>Knowledge of Chapter 3-3 of the ASME B30.3-2004 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Construction Tower Cranes;</text> </paragraph> <paragraph num="(ii)"> <text>Knowledge of Chapters 5-0—5-3 of the ASME B30.5-2007 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Mobile and Locomotive Cranes; or</text> </paragraph> <paragraph num="(iii)"> <text>Knowledge of Chapters 6-0—6-3 of the ASME B30.6-2003 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Derricks;</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>Technical knowledge applicable to:</text> <paragraph num="(i)"> <text>Operating the specific type of crane;</text> </paragraph> <paragraph num="(ii)"> <text>Pre-start and post-start inspection, maneuvering skills, shutdowns, and securing procedures;</text> </paragraph> <paragraph num="(iii)"> <text>Voice and radio communication methods;</text> </paragraph> <paragraph num="(iv)"> <text>Site hazards and personal fall protection methods;</text> </paragraph> <paragraph num="(v)"> <text>The suitability of the supporting ground, surface, or structure to handle expected load;</text> </paragraph> <paragraph num="(vi)"> <text>The hazards and restrictions associated with working adjacent to overhead electric lines and equipment;</text> </paragraph> <paragraph num="(vii)"> <text>The procedures for preventing and responding to fire, power line contact, loss of stability, or control malfunction; and</text> </paragraph> <paragraph num="(viii)"> <text>This regulation, including technical knowledge criteria contained in Appendix C to Subpart CC of Part 1926—Operator Certification—Written Examination—Technical Knowledge Criteria; and</text> </paragraph> </paragraph> <paragraph num="(g)"> <text>The ability to read and locate relevant information in the equipment manual and other materials containing information relative to safe operation; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A determination through a practical test that the individual has the skills necessary for safe operation of the equipment, including the following:</text> <paragraph num="(a)"> <text>Ability to recognize, from visual and auditory observation, the items listed in 29 CFR §1926.1412(d);</text> </paragraph> <paragraph num="(b)"> <text>Operational and maneuvering skills;</text> </paragraph> <paragraph num="(c)"> <text>Application of load chart information; and</text> </paragraph> <paragraph num="(d)"> <text>Application of safe shut-down and securing procedures.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Every 2 years, an employer shall ensure that a crane operator provides the employer with the following current medical documentation:</text> <paragraph num="(1)"> <text>Proof of successful completion of a physical examination conducted by a licensed physician that includes, at a minimum, the examination criteria specified in Paragraph 3.1.2 of the ASME B30.5-2007 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Mobile and Locomotive Cranes; or</text> </paragraph> <paragraph num="(2)"> <text>A certificate of medical examination as required for a commercial driver's license that would be acceptable to the U.S. Department of Transportation, unless the employee provides documentation from a licensed physician that the failure to meet these qualifications will not affect the individual's operation of a crane.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Crane Operator Trainee Requirements."> <paragraph num="A."> <text>An employee who is not qualified or certified under Regulation .06 of this chapter is permitted to operate a crane as a crane operator trainee only where the requirements of this section are met.</text> </paragraph> <paragraph num="B."> <text>An employer shall ensure compliance with the following:</text> <paragraph num="(1)"> <text>The crane operator trainee is familiar with and understands 29 CFR §1926.1427(f)(1), (f)(2), and (f)(3)(i), (iii), and (iv);</text> </paragraph> <paragraph num="(2)"> <text>The crane operator trainer is qualified or certified under Regulation .06 of this chapter and is familiar with the proper use of the equipment’s controls; and</text> </paragraph> <paragraph num="(3)"> <text>The crane operator trainee is directly supervised by the crane operator trainer at all times.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The employer shall provide each crane operator trainee with sufficient training prior to operating the equipment to enable the crane operator trainee to operate the equipment safely under limitations established by this section, including direct supervision, and ensure that the crane operator trainee has a basic understanding of:</text> <paragraph num="(1)"> <text>Crane limitations;</text> </paragraph> <paragraph num="(2)"> <text>Standard hand signals as defined in ASME B30.5-2007 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Mobile and Locomotive Cranes;</text> </paragraph> <paragraph num="(3)"> <text>Voice and radio communications;</text> </paragraph> <paragraph num="(4)"> <text>Crane dynamics involved in swinging, controlling, and stopping loads;</text> </paragraph> <paragraph num="(5)"> <text>Boom deflection from hoisting loads;</text> </paragraph> <paragraph num="(6)"> <text>Personal fall protection methods; and</text> </paragraph> <paragraph num="(7)"> <text>Hazards and restrictions associated with working adjacent to overhead electric lines and equipment.</text> </paragraph> </paragraph> <paragraph num="D."> <text>In lieu of compliance with §C of this regulation, an employer may accept proof of completion of training through an operating engineer apprenticeship program that has been approved by the Maryland Apprenticeship and Training Council.</text> </paragraph> <paragraph num="E."> <text>The crane operator trainee shall not operate the equipment under any of the following circumstances:</text> <paragraph num="(1)"> <text>If any part of the equipment, load line or load, including rigging and lifting accessories, is operated up to the equipment’s maximum working radius in the work zone so that the load line or load could get within 20 feet of a power line that is up to 350 kV, or within 50 feet of a power line that is over 350 kV;</text> </paragraph> <paragraph num="(2)"> <text>If the equipment is used to hoist personnel;</text> </paragraph> <paragraph num="(3)"> <text>In lifts where 75 percent of the crane’s capacity may be exceeded;</text> </paragraph> <paragraph num="(4)"> <text>If the equipment is used over a shaft or cofferdam or in a tank farm; and</text> </paragraph> <paragraph num="(5)"> <text>Special-lift rigging operations, except where the crane operator trainer determines that the crane operator trainee skills are sufficient for this high-skill work.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Every 2 years, an employer shall ensure that a crane operator trainee provides the employer with the following current medical documentation:</text> <paragraph num="(1)"> <text>Proof of successful completion of a physical examination conducted by a licensed physician that includes, at a minimum, the examination criteria specified in Paragraph 3.1.2 of the ASME B30.5-2007 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings—Mobile and Locomotive Cranes; or</text> </paragraph> <paragraph num="(2)"> <text>A certificate of medical examination as required for a commercial driver's license that would be acceptable to the U.S. Department of Transportation, unless the employee provides documentation from a licensed physician that the failure to meet these qualifications will not affect the individual's operation of a crane.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The employer shall require that each crane operator trainee has successfully passed a substance abuse test pursuant to the employer’s drug and alcohol free workplace and substance abuse policy.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Rigger and Rigging Requirements."> <paragraph num="A."> <text>An employer shall ensure that all rigging has been inspected and is used in accordance with the rigging manufacturer’s limitations and requirements.</text> </paragraph> <paragraph num="B."> <text>An employer shall ensure the following:</text> <paragraph num="(1)"> <text>That each rigger is trained and meets the qualification requirements of §G, H, or I of this regulation depending upon the work to be performed; and</text> </paragraph> <paragraph num="(2)"> <text>That the rigger is trained to satisfy the qualification requirements of this section at no cost to the employee.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Ensuring Compliance.</text> <paragraph num="(1)"> <text>Except as provided in §C(2) of this regulation, an employer shall ensure compliance with the qualification requirements of this section by using either a third-party qualified rigging evaluator or a qualified rigging evaluator.</text> </paragraph> <paragraph num="(2)"> <text>An employer may ensure compliance with the qualification requirements for §D of this regulation with written proof of an employee’s successful completion of training through an apprenticeship program for riggers that has been approved by the Maryland Apprenticeship and Training Council.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A third-party qualified rigging evaluator or a qualified rigging evaluator shall:</text> <paragraph num="(1)"> <text>Provide written documentation of his or her determination that the individual has been trained and meets the qualification requirements for the work to be performed; and</text> </paragraph> <paragraph num="(2)"> <text>Provide in the written documentation the level of qualification of the employee.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A determination by a qualified rigging evaluator is not portable.</text> </paragraph> <paragraph num="F."> <text>A determination by a third-party qualified rigging evaluator is portable.</text> </paragraph> <paragraph num="G."> <text>The qualification requirements for a level I rigger are:</text> <paragraph num="(1)"> <text>Basic understanding of the equipment operation and limitations, including the dynamics related to equipment movement when swinging and stopping loads and crane boom deflection when hoisting loads;</text> </paragraph> <paragraph num="(2)"> <text>Basic understanding related to the use and inspection of rigging hardware and equipment applicable to work that is performed, including common load configurations and positioning, and the use of taglines to control loads;</text> </paragraph> <paragraph num="(3)"> <text>Knowledge and understanding of and competence in the application of the Standard Method for Hand Signals as outlined in ANSI/ASSE A10.42-2000 Safety Requirements for Rigging Qualifications and Responsibilities—American National Standard for Construction and Demolition Operations;</text> </paragraph> <paragraph num="(4)"> <text>Knowledge and understanding of the emergency procedures to address fire, power line contact, loss of stability, or control malfunction;</text> </paragraph> <paragraph num="(5)"> <text>Knowledge and understanding of the relevant requirements of 29 CFR §§1926.1419—1926.1422;</text> </paragraph> <paragraph num="(6)"> <text>Knowledge and understanding of the personal fall protection requirements contained in 29 CFR §1926.1423;</text> </paragraph> <paragraph num="(7)"> <text>Knowledge and understanding of the hazards and restrictions associated with working adjacent to overhead electric lines, including 29 CFR §§1926.1407—1926.1411, and the Maryland High Voltage Line Act;</text> </paragraph> <paragraph num="(8)"> <text>Demonstration of the requirements of this subsection through an oral or written test and through a practical test.</text> </paragraph> </paragraph> <paragraph num="H."> <text>In addition to the qualification requirements of §G of this regulation, a level II rigger shall:</text> <paragraph num="(1)"> <text>Have working knowledge of the equipment operation and limitations, including the dynamics related to equipment movement when swinging and stopping loads and crane boom deflection when hoisting loads;</text> </paragraph> <paragraph num="(2)"> <text>Have working knowledge related to the use and inspection of rigging hardware and equipment applicable to work that is performed, including common load configurations and positioning, and the use of taglines to control loads; and</text> </paragraph> <paragraph num="(3)"> <text>Have completed training in the safe application, use, and limitations of rigging equipment, as applicable to the work performed, including:</text> <paragraph num="(a)"> <text>Knowledge and understanding of the implementation methods for blind hoists and lifts;</text> </paragraph> <paragraph num="(b)"> <text>Knowledge and understanding of a wide range of rigging hitches and knots;</text> </paragraph> <paragraph num="(c)"> <text>Knowledge and understanding of the effective and safe use of anchor points;</text> </paragraph> <paragraph num="(d)"> <text>Knowledge and understanding of the effective and safe use of synthetic ropes in rigging applications;</text> </paragraph> <paragraph num="(e)"> <text>Knowledge and understanding of and the ability to apply the requirements of 29 CFR §§1926.1402—1926.1406 as they relate to ground conditions and crane and equipment assembly and disassembly;</text> </paragraph> <paragraph num="(f)"> <text>Knowledge and understanding of and the ability to apply the requirements of 29 CFR §§1926.1424—1926.1426 as they relate to hazards that may be created by crane and equipment operations; and</text> </paragraph> <paragraph num="(g)"> <text>Knowledge and understanding of and the ability to apply and provide direction in the use and limitation of rigging equipment outlined in ANSI/ASSE A10.42-2000 Safety Requirements for Rigging Qualifications and Responsibilities—American National Standard for Construction and Demolition Operations that may be applicable to the work performed.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>In addition to the qualification requirements of §§G and H of this regulation, a master/lead rigger shall have completed training in safe application, use, and limitations of rigging as applicable to the work performed, including:</text> <paragraph num="(1)"> <text>The hazards associated with cranes and equipment traveling with a suspended load;</text> </paragraph> <paragraph num="(2)"> <text>The requirements of 29 CFR §1926.1431 as they relate to hazards that may be created by hoisting and lifting of personnel;</text> </paragraph> <paragraph num="(3)"> <text>Specific criteria from the manufacturer or equipment representative in the safe and appropriate methods of erection, dismantling, jumping, and reconfiguring of cranes and the relevant requirements of 29 CFR §1926.1435;</text> </paragraph> <paragraph num="(4)"> <text>Specific criteria for lifting a single load with multiple cranes and the relevant requirements of 29 CFR §1926.1432;</text> </paragraph> <paragraph num="(5)"> <text>The use and limitations of load indicating devices and the relevant requirements of 29 CFR §1926.1415;</text> </paragraph> <paragraph num="(6)"> <text>The hazards that may be created by effects of angles or indirect pulling of loads;</text> </paragraph> <paragraph num="(7)"> <text>The drum/diameter (D/d) ratios; and</text> </paragraph> <paragraph num="(8)"> <text>Vectors and angles.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If the work performance of a level I, level 2, or master/lead rigger indicates that the employee does not meet the qualification requirements of this section, the employer may not allow the employee to continue to work as a rigger until retraining is provided and there is a reassessment that confirms the employee’s qualifications.</text> </paragraph> <paragraph num="K."> <text>All riggers shall successfully pass a substance abuse test pursuant to the employer’s drug and alcohol free workplace and substance abuse policy.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Record Keeping."> <paragraph num="A."> <text>An employer shall maintain a written record of the training for each crane operator, signal person, rigger, and crane operator trainee.</text> </paragraph> <paragraph num="B."> <text>Training Records.</text> <paragraph num="(1)"> <text>All training records shall be maintained for 3 years after the end of the individual’s employment in the employer’s principal office of the business in Maryland.</text> </paragraph> <paragraph num="(2)"> <text>An employer shall make the training records available to the Commissioner of Labor and Industry or the Commissioner’s representative for examination and copying upon request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Special Lifts."> <paragraph num="A."> <text>An employer shall ensure that each time a special lift occurs all rigging operations are under the direct supervision of a master/lead rigger.</text> </paragraph> <paragraph num="B."> <text>An employer shall ensure that, prior to the commencement of work, all rigging used in special lifts is inspected for compliance with all requirements by the master/lead rigger.</text> </paragraph> <paragraph num="C."> <text>Forty-eight hours prior to the commencement of any special lift, an employer shall notify the Commissioner of Labor and Industry by e-mail to the address located on the Department’s website for special lifts, or fax to 410-767-2986, with the following information:</text> <paragraph num="(1)"> <text>Name of employer;</text> </paragraph> <paragraph num="(2)"> <text>General or managing contractor;</text> </paragraph> <paragraph num="(3)"> <text>Type of special lift;</text> </paragraph> <paragraph num="(4)"> <text>Site location;</text> </paragraph> <paragraph num="(5)"> <text>Specific site of special lift within the location;</text> </paragraph> <paragraph num="(6)"> <text>Site contact person and phone number;</text> </paragraph> <paragraph num="(7)"> <text>Equipment involved; and</text> </paragraph> <paragraph num="(8)"> <text>Scheduled time of special lift.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If an employer is unable to provide 48 hours notice to the Commissioner of Labor and Industry prior to the commencement of any special lift, the employer shall provide the Commissioner with notice as soon as practical and a written explanation why 48 hours notice was not provided along with the required information in §C(1)—(8) of this regulation, not later than 24 hours after the special lift.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Tower Cranes."> <paragraph num="A."> <text>An employer shall ensure that prior to the erection or modification of any tower crane or supporting structure, a qualified person shall determine the appropriate and safe method to integrate, assemble, and erect the tower crane for that site.</text> </paragraph> <paragraph num="B."> <text>The employer shall ensure that when a tower crane is erected, dismantled, jumped, or reconfigured the following are maintained at the site where the work is performed:</text> <paragraph num="(1)"> <text>Written instructions by the manufacturer or a qualified person; and</text> </paragraph> <paragraph num="(2)"> <text>A list of the weights of each subassembly to be erected, dismantled, jumped, or reconfigured.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Except when approved and documented by a qualified person, prior to the commencement of work on the tower crane, the employer shall establish procedures for the particular site for the erection, dismantling, jumping, or reconfiguration work.</text> </paragraph> <paragraph num="D."> <text>An employer shall ensure that rigging operations during the erection, dismantling, jumping, or reconfiguring of a tower crane is performed under the direct supervision of a master/lead rigger.</text> </paragraph> <paragraph num="E."> <text>An employer shall ensure that a daily job safety briefing is conducted before the commencement of work with all persons working on or around the crane in the following circumstances:</text> <paragraph num="(1)"> <text>Prior to each jumping operation;</text> </paragraph> <paragraph num="(2)"> <text>Prior to when the boom, jib, or counter-jib is to be reconfigured; or</text> </paragraph> <paragraph num="(3)"> <text>Prior to when a tower crane is to be dismantled.</text> </paragraph> </paragraph> <paragraph num="F."> <text>An employer shall ensure that the master/lead rigger discuss the following at the daily job safety briefing:</text> <paragraph num="(1)"> <text>The site-specific procedures;</text> </paragraph> <paragraph num="(2)"> <text>The manufacturer's recommendations and precautions;</text> </paragraph> <paragraph num="(3)"> <text>Any concerns related to the process that is to be undertaken;</text> </paragraph> <paragraph num="(4)"> <text>The communication methods and procedures to be used; and</text> </paragraph> <paragraph num="(5)"> <text>The process workload for the work shift, including the individual tasks to be performed by each person.</text> </paragraph> </paragraph> <paragraph num="G."> <text>An employer shall ensure that erection, dismantling, and inspections shall be conducted in accordance with Chapters 3-1 and 3-2 of the ASME B30.3-2004 Safety Standard for Cableways, Cranes, Derricks, Hoists, Hooks, Jacks, and Slings — Construction Tower Cranes.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4), 5-104, and 5-312, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 6, 2009 (36:7 Md. R. 522)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective December 28, 2009 (36:26 Md. R. 1994)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective December 28, 2009 (36:26 Md. R. 1994)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective December 28, 2009 (36:26 Md. R. 1994)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective December 28, 2009 (36:26 Md. R. 1994)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective December 28, 2009 (36:26 Md. R. 1994)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12B amended effective December 28, 2009 (36:26 Md. R. 1994)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective June 27, 2011 (38:13 Md. R. 754)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective November 24, 2016 (43:23 Md. R. 1279)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10A amended effective November 24, 2016 (43:23 Md. R. 1279)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11D amended effective November 24, 2016 (43:23 Md. R. 1279)</annotation> </annotations> </chapter> <chapter num="27" heading="Tower Crane Operator Certification"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter applies to tower crane operators.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Certificate of competence” means certification that is obtained by a person through any organization accredited by the American National Standards Institute or the National Commission for Certifying Agencies and that states the holder of the certificate demonstrates knowledge of and training in safe crane operating procedures.</text> </paragraph> <paragraph num="(2)"> <text>“Commissioner” means the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(3)"> <text>“Crane operator” means an individual who operates a crane.</text> </paragraph> <paragraph num="(4)"> <text>“Digger derrick truck” means a mobile derrick truck with a mast or equivalent member for drilling.</text> </paragraph> <paragraph num="(5)"> <text>“Hydraulic crane” means a crane that has a revolving superstructure, boom, and hoisting machine that is operated, extended, retracted, rotated, raised, and lowered hydraulically.</text> </paragraph> <paragraph num="(6)"> <text>“Inspection of a crane” means a thorough examination of the operation of mechanisms to determine functionality and control of hoisting systems, power transmission equipment, braking, superstructure movement, boom operation, and travel.</text> </paragraph> <paragraph num="(7)"> <text>“Knuckle boom crane” means a hydraulically powered articulating arm fitted to a truck or trailer that is used for loading and unloading the vehicle. It is also known as a loader crane.</text> </paragraph> <paragraph num="(8)"> <text>“Power-operated derrick” means an apparatus consisting of a mast or equivalent member held at the end by guys or braces, with or without a boom, including conventional lattice boom cranes.</text> </paragraph> <paragraph num="(9)"> <text>“Tower crane” means a power-operated hoisting machine in which a boom or structural member is mounted upon a vertical mast or tower structure with the function of hoisting, lowering, and swinging loads at various radii, but does not include a conventional boom, including mobile and track.</text> </paragraph> <paragraph num="(10)"> <text>“Trolley boom” means a crane having a hoist/trolley assembly that runs horizontally along rails.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Tower Crane Operations."> <text>To operate a tower crane, a crane operator is required to have a certificate of competence.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Written Notice of Violation."> <paragraph num="A."> <text>The Commissioner or the agent of the Commissioner shall issue a written notice to any person who operates a tower crane without a certificate of competence.</text> </paragraph> <paragraph num="B."> <text>The notice shall:</text> <paragraph num="(1)"> <text>Be in writing;</text> </paragraph> <paragraph num="(2)"> <text>Describe with particularity the nature of the alleged violation; and</text> </paragraph> <paragraph num="(3)"> <text>Include a statement signed by the employer that the employer will not allow the particular crane to operate unless there is an operator with a certificate of competence.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Commissioner's written notice or a copy of the written notice shall be posted conspicuously at or near the crane where the alleged violation occurred.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, Title 9.5; Labor and Employment Article, §§2-106(b)(4) and 5-312; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 adopted as an emergency provision effective November 16, 2009 (36:26 Md. R. 1993); adopted permanently effective February 8, 2010 (37:3 Md. R. 175)</annotation> </annotations> </chapter> <chapter num="28" heading="Tree Care and Removal"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of this chapter is to provide a safe work environment for employees engaged in tree care including, but not limited to, cutting, pruning, or other work on a standing tree as well as tree removal.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Scope."> <paragraph num="A."> <text>This chapter covers safety requirements for tools and equipment and the safe work practices used in tree care and the removal of trees, including any portion thereof.</text> </paragraph> <paragraph num="B."> <text>This chapter applies to construction, demolition, and general industry.</text> </paragraph> <paragraph num="C."> <text>Where provisions of this chapter direct an employee to take certain actions, an employer shall establish, effectively communicate to the relevant persons, and enforce work rules to ensure compliance with such provisions.</text> </paragraph> <paragraph num="D."> <text>This chapter does not apply to:</text> <paragraph num="(1)"> <text>Work covered by 29 CFR §§1910.268 and 1910.269;</text> </paragraph> <paragraph num="(2)"> <text>Logging operations; or</text> </paragraph> <paragraph num="(3)"> <text>Land clearing operations for construction when heavy equipment is used to remove the trees and no trees are manually felled.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Anti-two block device” means a device attached to a crane which prevents the lower load block or hook assembly from contacting the upper load block or boom point sheave assembly.</text> </paragraph> <paragraph num="(2)"> <text>“Apex” means the point at which two saw cuts meet to form a notch.</text> </paragraph> <paragraph num="(3)"> <text>“Approved” means is certified, labeled, or listed by a nationally recognized testing laboratory.</text> </paragraph> <paragraph num="(4)"> <text>“Arborist climbing line” means a line designated to support the employee while aloft in a tree or attached to a crane.</text> </paragraph> <paragraph num="(5)"> <text>“Arborist saddle” means an arrangement of straps, fittings, and buckles or other elements that form a waist belt with a low attachment element or elements and connecting support by encircling the legs suitably arranged to support the body in a sitting position.</text> </paragraph> <paragraph num="(6)"> <text>“Back cut” means the cut made in a tree limb or trunk on the side opposite of the intended direction of fall.</text> </paragraph> <paragraph num="(7)"> <text>“Carabiner” means a connector generally composed of a trapezoidal or oval-shaped body with a closed gate or similar arrangement that may be opened to receive an object and, when released, automatically closes to retain the object.</text> </paragraph> <paragraph num="(8)"> <text>“Chopping tool” means a wooden-, fiberglass-, or steel-handled tool with a sharp, single- or double-edged steel head or blade mounted to it that is used to cut or split wood such as an ax or machete.</text> </paragraph> <paragraph num="(9)"> <text>“Competent person” means an employee who is capable of identifying existing and predictable hazards and who has authorization to take prompt corrective measures.</text> </paragraph> <paragraph num="(10)"> <text>“Conventional notch” means a directional felling cut into the side of a tree, facing the intended direction of fall and consisting of a horizontal face cut and an angled cut above it, creating a notch of approximately 45 degrees.</text> </paragraph> <paragraph num="(11)"> <text>“Crotch” means a branch union where an angle is formed by two branches in the tree.</text> </paragraph> <paragraph num="(12)"> <text>“Drop zone” means the area beneath an employee working aloft where there is the potential hazard of a falling object on another employee.</text> </paragraph> <paragraph num="(13)"> <text>“Electrical conductor” means any overhead or underground electrical component capable of carrying an electric current, including communications wires and cables, power lines, and other such fixtures or apparatus.</text> </paragraph> <paragraph num="(14)"> <text>“Ferrule” means a metal ring placed around the handle to prevent splitting.</text> </paragraph> <paragraph num="(15)"> <text>“Licensed tree expert” means a person who has received from the Maryland Department of Natural Resources a license to allow their entity to perform tree care and tree removal.</text> </paragraph> <paragraph num="(16)"> <text>“Person being lifted” means an employee who has been trained in fall prevention methods and the requirements of this regulation, and is capable of identifying existing and predictable hazards related to the tree care operations.</text> </paragraph> <paragraph num="(17)"> <text>“Prusik loop” means an endless loop of rope used to fashion a Prusik knot.</text> </paragraph> <paragraph num="(18)"> <text>“Qualified line-clearance tree trimmer” means an employee who, through related training and on-the-job experience, is familiar with the equipment and hazards in line clearance and has demonstrated the ability to perform the special techniques involved.</text> </paragraph> <paragraph num="(19)"> <text>“Qualified person” means one who, by possession of a recognized degree, certificate, or professional standing, or who by extensive knowledge, training, and experience, has successfully demonstrated the person’s ability to solve or resolve problems relating to recognized and predictable hazards within the tree care industry.</text> </paragraph> <paragraph num="(20)"> <text>“Secured” means made firm, tight, or fastened or when an employee is safeguarded from unintended movement by utilizing a climbing system that is attached to the employee and connected to a tree or other stable support, or both. Examples include, but are not limited to, being tied in, using a work-positioning lanyard, being on belay, and ascending the arborist climbing line using the foot lock technique while utilizing a Prusik loop or ascenders.</text> </paragraph> <paragraph num="(21)"> <text>“Snap hook” means a connector composed of a hook-shaped member with a normally closed keeper, or similar arrangement, which may be opened to permit the hook to receive an object and, when released, automatically closes to retain the object.</text> </paragraph> <paragraph num="(22)"> <text>“Tool lanyard” means a short line or strap used to secure a tool while working aloft.</text> </paragraph> <paragraph num="(23)"> <text>“Tree care” means cutting, pruning, or other work on a standing tree.</text> </paragraph> <paragraph num="(24)"> <text>“Tree removal” means the act of tree elimination whether cut down by sectioning or felling.</text> </paragraph> <paragraph num="(25)"> <text>“Vehicle” means a car, bus, or truck that is owned, leased, or rented by the employer and is used for transportation of employees.</text> </paragraph> <paragraph num="(26)"> <text>“Wedge” means a piece of material with two sides meeting at an angle that is used to raise or split objects by applying a driving force.</text> </paragraph> <paragraph num="(27)"> <text>“Workline” means a rope used for lifting, lowering, or guiding limbs or equipment, or both, into or out of the tree.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Incorporation by Reference."> <paragraph num="A."> <text>In this chapter, the following documents are incorporated by reference.</text> </paragraph> <paragraph num="B."> <text>Documents Incorporated.</text> <paragraph num="(1)"> <text>ANSI Z133.1-2006 American National Standard for Arboricultural Operations—Safety Requirements, as amended.</text> </paragraph> <paragraph num="(2)"> <text>ANSI/ASSE Z359.0-2007 Definitions and Nomenclature Used for Fall Protection and Fall Arrest, Part of the Fall Protection Code, as amended.</text> </paragraph> <paragraph num="(3)"> <text>ANSI/ASSE Z359.1-2007 Safety Requirements for Personal Fall Arrest Systems, Subsystems and Components, Part of the Fall Protection Code, as amended.</text> </paragraph> <paragraph num="(4)"> <text>ANSI/ASSE Z359.2-2007 Minimum Requirements for a Comprehensive Managed Fall Protection Program, Part of the Fall Protection Code, as amended.</text> </paragraph> <paragraph num="(5)"> <text>ANSI/ASSE Z359.3-2007 Safety Requirements for Positioning and Travel Restraint Systems, Part of the Fall Protection Code, as amended.</text> </paragraph> <paragraph num="(6)"> <text>ANSI/ASSE Z359.4-2007 Safety Requirements for Assisted-Rescue and Self-Rescue Systems, Subsystems and Components, Part of the Fall Protection Code, as amended.</text> </paragraph> <paragraph num="(7)"> <text>ANSI/ASSE Z359.6-2009 Specifications and Design Requirements for Active Fall Protection Systems, Part of the Fall Protection Code, Version 2, as amended.</text> </paragraph> <paragraph num="(8)"> <text>ANSI/ASSE Z359.12-2009 Connecting Components for Personal Fall Arrest Systems, Part of the Fall Protection Code, Version 2, as amended.</text> </paragraph> <paragraph num="(9)"> <text>ANSI/ASSE Z359.13-2009 Personal Energy Absorbers and Energy Absorbing Lanyards, Part of the Fall Protection Code, Version 2, as amended.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="General Requirements."> <paragraph num="A."> <text>All work to be performed shall be consistent with the Maryland Department of Natural Resources licensing requirements for a licensed tree expert.</text> </paragraph> <paragraph num="B."> <text>All equipment used in tree care and tree removal shall be used consistent with the manufacturer’s specifications and limitations.</text> </paragraph> <paragraph num="C."> <text>An employer shall have a workplace hazard assessment conducted for all work activities to be performed in compliance with 29 CFR §1910.132(d)(2) that includes the following:</text> <paragraph num="(1)"> <text>A written certification that identifies the workplace evaluated;</text> </paragraph> <paragraph num="(2)"> <text>The name of the person certifying that the evaluation has been performed;</text> </paragraph> <paragraph num="(3)"> <text>The date or dates of the hazard assessment; and</text> </paragraph> <paragraph num="(4)"> <text>A document that is identified as a certification of hazard assessment.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Appropriate personal protective equipment shall be provided, used, and maintained at no cost to the employee, including:</text> <paragraph num="(1)"> <text>Leg protection constructed with cut-resistant material, such as ballistic nylon that covers the full length of the thigh to the top of the boot on each leg, except when:</text> <paragraph num="(a)"> <text>The employer can demonstrate that a greater hazard is posed by wearing leg protection;</text> </paragraph> <paragraph num="(b)"> <text>The work is being performed from a vehicular-mounted elevating and rotating work platform; or</text> </paragraph> <paragraph num="(c)"> <text>An employee is aloft in the tree;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Head protection that meets the requirements of 29 CFR §1910.135; and</text> </paragraph> <paragraph num="(3)"> <text>Eye protection that meets the requirements of 29 CFR §1910.133 for each affected employee.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The employer shall ensure that each affected employee wears foot protection that complies with 29 CFR §1910.136.</text> </paragraph> <paragraph num="F."> <text>An employer shall maintain the necessary first-aid supplies at each work site to address the potential hazards from the work to be performed.</text> </paragraph> <paragraph num="G."> <text>Fire Prevention.</text> <paragraph num="(1)"> <text>An employer shall assure that the following fire prevention measures are followed:</text> <paragraph num="(a)"> <text>Provide and maintain portable fire extinguishers on each vehicle in accordance with 29 CFR §1910.157;</text> </paragraph> <paragraph num="(b)"> <text>Store, handle, and dispense flammable liquids from approved containers;</text> </paragraph> <paragraph num="(c)"> <text>Prohibit smoking when handling or working in close proximity to flammable liquids;</text> </paragraph> <paragraph num="(d)"> <text>Change clothing contaminated by flammable liquids as soon as possible; and</text> </paragraph> <paragraph num="(e)"> <text>Avoid open flame and other sources of ignition.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An employer shall have the following procedures in place during fueling operations:</text> <paragraph num="(a)"> <text>Equipment may not be operated within 10 feet of fueling operations or areas where refueling has recently taken place;</text> </paragraph> <paragraph num="(b)"> <text>Equipment shall be refueled only after the engine has stopped; and</text> </paragraph> <paragraph num="(c)"> <text>Spilled fuel shall be removed from equipment before restarting an engine.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>An employer shall have a qualified person conduct a visual assessment of the work area prior to the start of any activity which shall include determining potential hazards, including the location of overhead wires, loose limbs, and debris.</text> </paragraph> <paragraph num="I."> <text>Job Briefing.</text> <paragraph num="(1)"> <text>An employer shall have a job briefing at the start of each work shift with all employees involved in the operation in attendance.</text> </paragraph> <paragraph num="(2)"> <text>The job briefing shall communicate the following:</text> <paragraph num="(a)"> <text>The hazards associated with the job, the work procedures involved, special precautions, job assignments, and the proper use of personal protective equipment;</text> </paragraph> <paragraph num="(b)"> <text>The work plans for tree care and tree removal operations before commencing work;</text> </paragraph> <paragraph num="(c)"> <text>Any electrical hazards, including electrical conductors or communication lines, shall be considered energized; and</text> </paragraph> <paragraph num="(d)"> <text>The location of underground utilities if subsurface work is involved.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An employer shall assure that at the job briefing the method of verbal and visual communication is established in compliance with §K of this regulation and is fully explained to all employees.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Traffic Control Requirements.</text> <paragraph num="(1)"> <text>When exposed to vehicular traffic on a public road, an effective means for controlling hazards created by vehicular traffic shall be instituted on every job site where necessary, in accordance with the U.S. Department of Transportation Manual on Uniform Traffic Control Devices.</text> </paragraph> <paragraph num="(2)"> <text>When exposed to vehicular traffic on a public road, each employee shall wear as a minimum a Class II reflective garment when the employee will be exposed to vehicular traffic.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Communication and Signaling.</text> <paragraph num="(1)"> <text>At each work site, every effort shall be made to assure that there is communication with outside emergency facilities at all times such as, but not limited to, 911 call centers.</text> </paragraph> <paragraph num="(2)"> <text>Hand signals or audible contact such as, but not limited to, whistles, horns, or radios shall be used whenever noise, distance, restricted visibility, or other factors prevent clear understanding of normal voice communication between employees.</text> </paragraph> <paragraph num="(3)"> <text>Except in an emergency, one person shall be designated to give hand signals during crane operations.</text> </paragraph> <paragraph num="(4)"> <text>Engine noise, such as from a chain saw, may not be used as a means of signaling.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Electrical.</text> <paragraph num="(1)"> <text>Except where tree care is performed adjacent to electrical power generation, transmission, and distribution lines and equipment pursuant to 29 CFR §§1910.268 and 1910.269, a distance of 10 feet shall be maintained between an employee’s body and tools and an energized conductor.</text> </paragraph> <paragraph num="(2)"> <text>If it is determined that the 10-foot distance cannot be maintained prior to commencing work, the employer:</text> <paragraph num="(a)"> <text>Shall contact the system operator or owner, or both, of the energized conductor to de-energize the conductor; and</text> </paragraph> <paragraph num="(b)"> <text>May not perform the work if the system operator or owner of the energized conductor, or both, are unavailable.</text> </paragraph> </paragraph> </paragraph> <paragraph num="M."> <text>All operations at the work site shall cease if weather conditions indicate or the weather forecast calls for imminent hazardous weather such as, but not limited to, electrical storms and strong winds.</text> </paragraph> <paragraph num="N."> <text>Fall Protection.</text> <paragraph num="(1)"> <text>General Requirements.</text> <paragraph num="(a)"> <text>Prior to each use, a competent person shall inspect the climbing lines, worklines, lanyards, and other climbing equipment for damage, cuts, abrasion, or deterioration.</text> </paragraph> <paragraph num="(b)"> <text>Equipment shall be removed from service if there are signs of excessive wear or damage as provided for in the manufacturer’s specifications.</text> </paragraph> <paragraph num="(c)"> <text>Except as provided in §N(1)(d) of this regulation, all equipment used to secure an employee in a tree or from an aerial lift shall be used for its intended purpose only.</text> </paragraph> <paragraph num="(d)"> <text>An arborist climbing line may be used to raise and lower tools.</text> </paragraph> <paragraph num="(e)"> <text>Rope and climbing equipment shall be stored and transported in such a manner to prevent damage through contact with sharp tools, cutting edges, gas, oil, or other environmental factors.</text> </paragraph> <paragraph num="(f)"> <text>An employee shall be secured for the duration of the work until the employee returns to the ground.</text> </paragraph> <paragraph num="(g)"> <text>While ascending the ladder to gain access to a tree, no work shall be performed until the ladder is secured.</text> </paragraph> <paragraph num="(h)"> <text>Employees shall be instructed to the extent possible that their tie-in position should be positioned to prevent the employee from being subject to a pendulum swing in the event of a slip.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Arborist Saddles.</text> <paragraph num="(a)"> <text>Arborist saddles used for work positioning shall be identified by the manufacturer as suitable for tree climbing.</text> </paragraph> <paragraph num="(b)"> <text>An arborist saddle shall meet the hardware material, strength, and testing requirements outlined in ANSI/ASSE Z359 Fall Protection Code.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Climbing Lines.</text> <paragraph num="(a)"> <text>Climbing lines shall meet the following requirements:</text> <paragraph num="(i)"> <text>Constructed from a synthetic fiber, with a minimum breaking strength of 5,400 pounds (24.02 kilonewton); and</text> </paragraph> <paragraph num="(ii)"> <text>Identified by the manufacturer as suitable for tree climbing.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Climbing lines shall never be left in trees unattended.</text> </paragraph> <paragraph num="(c)"> <text>A climbing line and at least one other means of being secured while working aloft shall be made available.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Climbing Equipment.</text> <paragraph num="(a)"> <text>Prusik loops, split-tails, and work-positioning lanyards used in a climbing system shall meet the minimum strength of 5,000 pounds (22.24 kilonewton).</text> </paragraph> <paragraph num="(b)"> <text>A snap hook used in climbing shall be self-closing and self-locking, and comply with ANSI/ASSE Z359 Fall Protection Code.</text> </paragraph> <paragraph num="(c)"> <text>Carabiners used in climbing shall be self-closing and self-locking, and comply with ANSI/ASSE Z359 Fall Protection Code.</text> </paragraph> <paragraph num="(d)"> <text>Carabiners shall be designed to release the load by requiring at least two consecutive, deliberate actions to prepare the gate for opening.</text> </paragraph> <paragraph num="(e)"> <text>The following shall be assured:</text> <paragraph num="(i)"> <text>An employee shall be secured while ascending a tree;</text> </paragraph> <paragraph num="(ii)"> <text>An employee shall be tied in once the work begins and shall be tied in until the work is completed and the employee is returned to the ground;</text> </paragraph> <paragraph num="(iii)"> <text>An employee shall be secured when repositioning the climbing line;</text> </paragraph> <paragraph num="(iv)"> <text>While ascending a ladder to gain access to a tree, an employee may not work from or leave the ladder until the employee is tied in or otherwise secured;</text> </paragraph> <paragraph num="(v)"> <text>To the extent possible, an employee’s tie-in position shall be located in such a manner so that the employee will not be subjected to a pendulum swing in the event of a slip; and</text> </paragraph> <paragraph num="(vi)"> <text>When an employee is working at heights greater than 1/2 the length of the employee’s climbing line, a figure-eight knot shall be tied in the end of the climbing line to prevent pulling the rope through the climbing hitch.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="O."> <text>Vehicles, Tools, and Mobile Equipment.</text> <paragraph num="(1)"> <text>General Requirements.</text> <paragraph num="(a)"> <text>Prior to daily use of any vehicles and mobile equipment, a visual walk-around inspection and operational check shall be conducted in accordance with the manufacturer’s and owner’s instructions.</text> </paragraph> <paragraph num="(b)"> <text>Prior to operating a vehicle, an employer shall assure that an employee operating a vehicle meets the following requirements:</text> <paragraph num="(i)"> <text>Training and experience to perform the assigned duties; and</text> </paragraph> <paragraph num="(ii)"> <text>Licensed in accordance with federal, State, and local requirements.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Step surfaces and platforms on mobile equipment shall be skid-resistant.</text> </paragraph> <paragraph num="(d)"> <text>Safety chains shall be crossed under the tongue of the mobile equipment being towed and connected to the towing vehicle.</text> </paragraph> <paragraph num="(e)"> <text>All vehicles and mobile equipment shall be chocked when unattended.</text> </paragraph> <paragraph num="(f)"> <text>When a manufacturer provides a seat belt, the seat belt shall be used.</text> </paragraph> <paragraph num="(g)"> <text>Material and equipment carried on vehicles or mobile equipment shall be properly secured to prevent movement.</text> </paragraph> <paragraph num="(h)"> <text>Vehicles with obscured rear vision shall be backed up only when necessary and when there is:</text> <paragraph num="(i)"> <text>A reverse signal alarm; or</text> </paragraph> <paragraph num="(ii)"> <text>Another employee who is in constant eyesight of the driver providing direction.</text> </paragraph> </paragraph> <paragraph num="(i)"> <text>One-person crews are exempt from §O(1)(h)(ii) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Brush Chippers.</text> <paragraph num="(a)"> <text>Rotary drum or disc brush chippers not equipped with a mechanical infeed system shall be equipped with an infeed hopper not less than 85 inches (2.15 meters) measured from the blades or knives to ground level over the center line of the hopper.</text> </paragraph> <paragraph num="(b)"> <text>The side members of the infeed hopper shall have sufficient height so as to prevent employee contact with the blades or knives during operations.</text> </paragraph> <paragraph num="(c)"> <text>The rotary drum or disc brush chippers not equipped with a mechanical infeed system shall have a flexible anti-kickback device installed in the infeed hopper to reduce the risk of injury from flying chips and debris.</text> </paragraph> <paragraph num="(d)"> <text>Chippers equipped with a mechanical infeed system shall have a quick-stop and reversing device on the infeed system.</text> </paragraph> <paragraph num="(e)"> <text>The activating mechanism for the quick-stop and reversing device shall be located across the top, along each side, and close to the feed end of the infeed hopper, within easy reach.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Cranes and Related Hoisting Equipment.</text> <paragraph num="(a)"> <text>The use of a crane to lift an employee is prohibited except as provided in this subsection.</text> </paragraph> <paragraph num="(b)"> <text>An employer shall have a qualified person assess whether there are possible alternative methods of lifting an employee other than using a crane to determine the least hazardous means of lifting.</text> </paragraph> <paragraph num="(c)"> <text>An employer shall document the alternative methods considered by the qualified person in writing and with an explanation why lifting with a crane is the least hazardous method of lifting for each project.</text> </paragraph> <paragraph num="(d)"> <text>If an employer after consultation with the qualified person determines that lifting with a crane is the least hazardous means of lifting, the following shall be complied with:</text> <paragraph num="(i)"> <text>Only employees trained in this regulation shall be lifted by a crane;</text> </paragraph> <paragraph num="(ii)"> <text>The crane operator performing the tree care work shall be familiar with potential hazards;</text> </paragraph> <paragraph num="(iii)"> <text>The crane operator, qualified person, person being lifted, and other employees involved in performing the work shall meet prior to commencing work to review the procedures to be followed;</text> </paragraph> <paragraph num="(iv)"> <text>Cranes with telescoping booms shall be equipped with an anti-two block device;</text> </paragraph> <paragraph num="(v)"> <text>Tree sections shall be rigged to minimize load shifting, control load lowering, and prevent shock-loading;</text> </paragraph> <paragraph num="(vi)"> <text>A green log weight chart, such as Annex E of ANSI Z133.1-2006 American National Standard for Arboricultural Operations—Safety Requirements, shall be used to estimate the load being handled; and</text> </paragraph> <paragraph num="(vii)"> <text>Side loading of the crane and free fall of the load is prohibited.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>The following procedures shall be followed by a person being lifted in a crane:</text> <paragraph num="(i)"> <text>The person being lifted shall use a second point of attachment to the crane hoist line or lifting line;</text> </paragraph> <paragraph num="(ii)"> <text>The person being lifted shall secure the climbing line to the tree and disconnect from the crane as soon as possible;</text> </paragraph> <paragraph num="(iii)"> <text>The arborist climbing line shall be secured to the crane in such a way that it does not interfere with the function of any damage prevention or warning device on the crane;</text> </paragraph> <paragraph num="(iv)"> <text>No part of the crane shall compromise the climbing line or any component of the climbing system;</text> </paragraph> <paragraph num="(v)"> <text>Lifting or lowering speed may not exceed 100 feet per minute.</text> </paragraph> <paragraph num="(vi)"> <text>The load-line hoist drum shall have a system or other device on the power train, other than the load hoist brake, that regulates the speed of the hoist mechanism up and down; and</text> </paragraph> <paragraph num="(vii)"> <text>Except as provided in §O(3)(f) of this regulation, the person being lifted shall be detached from the crane any time it comes under load tension.</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>When the qualified person determines that reasonably possible alternate methods are inaccessible and attachment to the subject tree would create a greater safety risk due to its hazardous condition, the employer shall allow the person being lifted to remain attached to the crane while under load.</text> </paragraph> <paragraph num="(g)"> <text>In assessing alternative methods, the following shall be considered:</text> <paragraph num="(i)"> <text>Securing the person being lifted to the tree and detaching from the crane before it comes under load;</text> </paragraph> <paragraph num="(ii)"> <text>Using a second crane;</text> </paragraph> <paragraph num="(iii)"> <text>Using an aerial lift device; and</text> </paragraph> <paragraph num="(iv)"> <text>Using an adjacent tree.</text> </paragraph> </paragraph> <paragraph num="(h)"> <text>When the person being lifted is attached to the crane while it is under load, the total weight may not exceed 50 percent of the load capacity for the radius and configuration of the crane.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Equipment-Mounted Winches.</text> <paragraph num="(a)"> <text>Winches, hoisting, or lifting equipment on vehicles shall be used within rated capacities as stated by the manufacturer’s specifications.</text> </paragraph> <paragraph num="(b)"> <text>The winch cable shall be inspected prior to each use for broken or worn strands, bird caging, major kinks, and damaged cables and shall be taken out of service.</text> </paragraph> <paragraph num="(c)"> <text>Cable hooks and attachment points shall be inspected for damage, and damaged hooks or attachment assemblies shall be taken out of service.</text> </paragraph> <paragraph num="(d)"> <text>All loads shall be pulled in such a manner as to avoid angles that may result in tipping, causing a vehicle to become unstable, or unintended movement of the vehicle.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Chain Saws.</text> <paragraph num="(a)"> <text>Chain saw safety devices may not be removed or modified and shall be operational.</text> </paragraph> <paragraph num="(b)"> <text>When an employee starts a chain saw, the chain saw shall be held firmly in place on the ground or otherwise supported to minimize the movement of the chain saw when the starter handle is pulled.</text> </paragraph> <paragraph num="(c)"> <text>If the chain saw has a chain brake, the chain brake shall be engaged when the chain saw is started.</text> </paragraph> <paragraph num="(d)"> <text>The chain saw shall be started and operated only when other employees are clear of the chain saw.</text> </paragraph> <paragraph num="(e)"> <text>When the chain saw is operating, it shall be held firmly with both hands with the thumb and fingers wrapped around the handle.</text> </paragraph> <paragraph num="(f)"> <text>Chain saw mufflers and, if provided, spark arresters shall be maintained in good condition.</text> </paragraph> <paragraph num="(g)"> <text>When an employee is working in a tree other than from an aerial device, chain saws weighing more than 15 pounds (6.8 kilograms) shall be secured from falling, for example, supported by a separate line or tool lanyard.</text> </paragraph> <paragraph num="(h)"> <text>A second point of attachment shall be used when operating a chain saw in a tree, unless the employer demonstrates that a greater hazard is posed by using a second point of attachment.</text> </paragraph> <paragraph num="(i)"> <text>The chain brake shall be engaged, or the engine shut off, before setting a chain saw down.</text> </paragraph> <paragraph num="(j)"> <text>If a chain saw is being carried more than two steps, the chain brake shall be engaged or the engine shut off.</text> </paragraph> <paragraph num="(k)"> <text>Secure footing shall be maintained while starting and operating a chain saw.</text> </paragraph> <paragraph num="(l)"> <text>A chain saw may not be used in a position or at a distance that could cause an employee to become off balance, have insecure footing, or relinquish a firm grip on the saw.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Wedges, Chisels, and Gouges.</text> <paragraph num="(a)"> <text>Only wood, plastic, or soft-metal wedges shall be used while operating chain saws.</text> </paragraph> <paragraph num="(b)"> <text>Wood-handled chisels shall be protected with a ferrule on the striking end.</text> </paragraph> <paragraph num="(c)"> <text>Wood, rubber, or high-impact plastic mauls, sledges, or hammers shall be used when striking wood-handled chisels or gouges.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Chopping Tools.</text> <paragraph num="(a)"> <text>An employer shall ensure that chopping tools are not used while working aloft.</text> </paragraph> <paragraph num="(b)"> <text>Chopping tools may not be used as wedges or used to drive metal wedges.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Work Practices."> <paragraph num="A."> <text>The following work practices shall be implemented:</text> <paragraph num="(1)"> <text>Communication between employees aloft and on the ground shall be established before cutting and dropping limbs;</text> </paragraph> <paragraph num="(2)"> <text>Scabbards or sheaths shall be used to carry handsaws when not in use;</text> </paragraph> <paragraph num="(3)"> <text>Folding saws, when not in use, shall be closed and hooked to the arborist saddle;</text> </paragraph> <paragraph num="(4)"> <text>A separate workline shall be attached to limbs that cannot be dropped safely or controlled by hand;</text> </paragraph> <paragraph num="(5)"> <text>Arborist climbing lines and worklines may not be secured to the same crotch; and</text> </paragraph> <paragraph num="(6)"> <text>Cut branches shall be removed from the canopy of the tree upon completion of work.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Cabling.</text> <paragraph num="(1)"> <text>Employees on the ground may not enter under the drop zone of a tree when a cabling system is being installed, unless the employee aloft has established it is safe to do so.</text> </paragraph> <paragraph num="(2)"> <text>Tools used for cabling, bark tracing, and cavity work shall be carried in a bag, on a belt designed to hold such tools, or attached to a tool lanyard.</text> </paragraph> <paragraph num="(3)"> <text>Employees installing cabling systems in trees shall be positioned off to one side in order to avoid injury in case of cable system failure that could occur when a block and tackle or a hand winch is released.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Tree Removal.</text> <paragraph num="(1)"> <text>Before beginning any tree removal operation, the employer shall carefully consider all relevant factors pertaining to the tree and site and shall take appropriate actions to assure a safe removal operation, including the following factors:</text> <paragraph num="(a)"> <text>The area surrounding the tree to be removed, including nearby trees;</text> </paragraph> <paragraph num="(b)"> <text>Species and shape of the tree;</text> </paragraph> <paragraph num="(c)"> <text>Lean of the tree;</text> </paragraph> <paragraph num="(d)"> <text>Loose limbs, chunks, or other overhead material;</text> </paragraph> <paragraph num="(e)"> <text>Wind force and direction;</text> </paragraph> <paragraph num="(f)"> <text>Decayed or weak spots throughout the tree, including awareness of additional hazards if these conditions exist in the hinge area;</text> </paragraph> <paragraph num="(g)"> <text>Location and means to protect other persons, property, and electrical conductors;</text> </paragraph> <paragraph num="(h)"> <text>Size and terrain characteristics or limitations of the work area; and</text> </paragraph> <paragraph num="(i)"> <text>Evidence of bees or wildlife habitation in the tree.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Employees not directly involved in the removal operation shall be beyond the area where the tree could fall and at a minimum distance of twice the tree’s height as practicable.</text> </paragraph> <paragraph num="(3)"> <text>An escape route free from debris and other obstructions for employees shall be established before cutting any standing tree or trunk.</text> </paragraph> <paragraph num="(4)"> <text>The following shall be implemented:</text> <paragraph num="(a)"> <text>Notches shall be used on all trees and trunks greater than 5 inches (12.7 centimeters) in diameter;</text> </paragraph> <paragraph num="(b)"> <text>Notches and back cuts shall be made at a height that enables the chain saw operator to safely begin the cut, control the tree or trunk, and allows for escape;</text> </paragraph> <paragraph num="(c)"> <text>Notches shall be 45 degrees or greater and large enough to guide the fall of the tree or trunk to prevent splitting;</text> </paragraph> <paragraph num="(d)"> <text>Notch depth may not exceed 1/3 the diameter of the tree;</text> </paragraph> <paragraph num="(e)"> <text>The back cut may not penetrate into the predetermined hinge area;</text> </paragraph> <paragraph num="(f)"> <text>Any back cut shall be 1 to 2 inches (2.5 to 5 centimeters) above the apex of the notch to provide an adequate platform to prevent kickback of the tree or trunk;</text> </paragraph> <paragraph num="(g)"> <text>An open-face notch greater than 70 degrees shall have a back cut at the same level as the apex of the notch;</text> </paragraph> <paragraph num="(h)"> <text>The two cuts that form the notch may not cross at the point where they meet;</text> </paragraph> <paragraph num="(i)"> <text>In accordance with the job briefing requirements of Regulation .05I of this chapter, the designated employee shall give a command such as “stand clear” before the back cut is made; and</text> </paragraph> <paragraph num="(j)"> <text>When the back cut has been completed, the employee operating the chain saw shall immediately move a safe distance away from the tree or trunk using the planned escape route.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Brush Removal and Chipping.</text> <paragraph num="(1)"> <text>Loose clothing, climbing equipment, body belts, harnesses, lanyards, or gauntlet-type gloves may not be worn while operating chippers.</text> </paragraph> <paragraph num="(2)"> <text>Brush and logs shall be fed into chippers, butt or cut end first, from the side of the feed table center line, and the employee shall immediately turn away from the feed table when brush is taken into the rotor or feed rollers.</text> </paragraph> <paragraph num="(3)"> <text>Chippers shall be fed from the curbside whenever practical.</text> </paragraph> <paragraph num="(4)"> <text>Foreign material, such as stones, nails, sweepings, and rakings, may not be fed into chippers.</text> </paragraph> <paragraph num="(5)"> <text>Small branches shall be fed into chippers with longer branches or by being pushed with a long stick.</text> </paragraph> <paragraph num="(6)"> <text>Hands or other parts of the body may not be placed into the infeed hopper.</text> </paragraph> <paragraph num="(7)"> <text>Leaning into or pushing material into the infeed hopper with feet is prohibited;</text> </paragraph> <paragraph num="(8)"> <text>The winch cable used in chipper operations shall be properly stored before initiating chipper operations.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The following pesticide measures shall be followed during the pesticide application:</text> <paragraph num="(1)"> <text>Pesticides shall be used and applied in strict accordance with the Pesticide Applicator’s Law, Agriculture Article, §§5-201—5-211, Annotated Code of Maryland, and COMAR 15.05.01.01—15.05.01.20;</text> </paragraph> <paragraph num="(2)"> <text>An adequate potable water source shall be provided at the work site for emergency personal decontamination; and</text> </paragraph> <paragraph num="(3)"> <text>Water for decontamination and drinking shall be kept in separate containers.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Training."> <paragraph num="A."> <text>Training shall be provided for each employee at no cost.</text> </paragraph> <paragraph num="B."> <text>The training shall be provided:</text> <paragraph num="(1)"> <text>As soon as possible, but not later than 6 months from the effective date of this chapter, for initial training for each current and new employee;</text> </paragraph> <paragraph num="(2)"> <text>Prior to initial assignment for each new employee;</text> </paragraph> <paragraph num="(3)"> <text>Whenever an employee is assigned new work tasks, tools, equipment, machines, or vehicles; and</text> </paragraph> <paragraph num="(4)"> <text>Whenever an employee demonstrates unsafe job performance.</text> </paragraph> </paragraph> <paragraph num="C."> <text>At a minimum, training shall consist of the following elements:</text> <paragraph num="(1)"> <text>Safe performance of assigned work tasks;</text> </paragraph> <paragraph num="(2)"> <text>Safe use, operation, and maintenance of tools, machines, and vehicles that an employee will be using or operating, including emphasis on understanding and following the manufacturer’s operating and maintenance instructions, warnings, and precautions;</text> </paragraph> <paragraph num="(3)"> <text>Recognition of safety and health hazards associated with the employee’s specific work tasks, including the use of measures and work practices to prevent or control those hazards;</text> </paragraph> <paragraph num="(4)"> <text>Recognition, prevention, and control of other safety and health hazards in tree care and tree removal;</text> </paragraph> <paragraph num="(5)"> <text>Procedures, practices, and requirements of the employer’s work site; and</text> </paragraph> <paragraph num="(6)"> <text>The requirements of this chapter.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Each new employee and each employee who is required to be trained as specified in §B of this regulation shall work under the close supervision of a designated employee until the employee demonstrates to the employer the ability to safely perform new duties independently.</text> </paragraph> <paragraph num="E."> <text>Portability of Training.</text> <paragraph num="(1)"> <text>Each current employee who has received training in the particular elements specified in §C of this regulation may not be required to be retrained in those elements.</text> </paragraph> <paragraph num="(2)"> <text>Prior to initial assignment, an employer shall conduct an assessment of the elements in §C of this regulation for each new employee who has previously received training to determine if the employee is competent to safely perform the work tasks.</text> </paragraph> <paragraph num="(3)"> <text>If an employer determines that an employee is not competent in certain elements of §C of this regulation, the employer shall retrain in those elements.</text> </paragraph> </paragraph> <paragraph num="F."> <text>First Aid and Rescue Training.</text> <paragraph num="(1)"> <text>All employees shall be trained in basic first aid, including controlled bleeding and immobilization.</text> </paragraph> <paragraph num="(2)"> <text>Each employee’s first-aid training shall remain current.</text> </paragraph> </paragraph> <paragraph num="G."> <text>All training shall be conducted by a qualified person.</text> </paragraph> <paragraph num="H."> <text>The employer shall ensure that all training materials used are appropriate in content and language of the employee and where the competent person observes behavior not consistent with the training, retraining shall be provided.</text> </paragraph> <paragraph num="I."> <text>Certification of Training.</text> <paragraph num="(1)"> <text>The employer shall verify that each employee has received and understands the required training through a written certification that contains the name of each employee trained and the date or dates of training and that identifies the subject of the certification.</text> </paragraph> <paragraph num="(2)"> <text>The most recent training certification shall be maintained for as long as the employee is in the employment of the employer.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4), 5-104, and 5-312; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 3, 2012 (39:17 Md. R. 1147)</annotation> </annotations> </chapter> <chapter num="29" heading="Emergency Temporary Standards"> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(5), 5-309(a)(1), 5-312, and 5-314, Annotated Code of Maryland;Ch.736, §2, Acts of 2021</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.02 adopted as an emergency provision effective August 16, 2021 (48:18 Md. R. 690); emergency status expired January 30.2022</annotation> </annotations> </chapter> <chapter num="30" heading="" reason="VACANT" /> <chapter num="31" heading="Maryland Occupational Safety and Health Regulations .01—.09" reason="Repealed — See COMAR 09.12.20"> <regulation prefix="Regulation" num=".01" heading="Documents Incorporated by Reference."> <paragraph num="A."> <text>In General.</text> <paragraph num="(1)"> <text>All provisions of 29 CFR §§1910 and 1926 that appear in the Federal Register through February 2, 1973 are adopted by reference. Effective date: March 7, 1973</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §§1910 and 29 CFR 1926 that appear in the Federal Register from February 8, 1973 through December 4, 1973 are adopted by reference. Effective date: May 23, 1974</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910 and 29 CFR §1926 that appear in the Federal Register on the following dates: January 9, 1974 (39 FR 1437); January 29, 1974 (39 FR 3755); February 19, 1974 (39 FR 6109); March 15, 1974 (39 FR 9957, 9959); June 3, 1974 (39 FR 19468, 19470); July 2, 1974 (39 FR 24360); and October 4, 1974 (39 FR 35890) are adopted by reference. Effective date: March 5, 1975 (2:5 Md. R. 313)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §§1910 and 29 CFR §§1928, Agricultural Tractors, National Fire Protection Association, Lavatories for Industrial Employment, Telecommunications, and Vinyl Chloride, that appear in the Federal Register on the following dates: March 25, 1975 (40 FR 13211); March 26, 1975 (40 FR 13435); April 25, 1975 (40 FR 18254); and April 28, 1975 (40 FR 18426, 18445) are adopted by reference. Effective date: August 6, 1975 (2:17 Md. R. 1188)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR §§1910 and 29 CFR §§1926 that appear in the Federal Register on the following dates: May 28, 1975 (40 FR 23073); June 9, 1975 (40 FR 28792); June 27, 1975 (40 FR 27367); and July 28, 1975 (40 FR 31598) are adopted by reference. Effective date: October 15, 1975 (2:23 Md. R. 1414)</text> </paragraph> <paragraph num="(6)"> <text>All amendments and revisions to 29 CFR §§1910 and 29 CFR §§1928 that appear in the Federal Register on the following dates: March 9, 1976 (41 FR 10189); March 16, 1976 (41 FR 11022); March 19, 1976 (41 FR 11504); March 30, 1976 (41 FR 13352); and June 2, 1976 (41 FR 22267) are adopted by reference. Effective date: July 21, 1976 (3:15 Md. R. 790)</text> </paragraph> <paragraph num="(7)"> <text>All amendments and revisions to 29 CFR §§1910, specifically §§1910.35(i) and (j); §§1910.37(n); §§1910.38; §§1910.107(f)(1); §§1910.108(g)(1)—(g)(5); §§1910.109(i)(7)(i) and(i)(7)(ii)(a); §§1910.155—1910.165; §1910.165a; §1910.165b; Appendix to Subpart E; Appendix A to Subpart L; Appendix B to Subpart L; Appendix C to Subpart L; Appendix D to Subpart L; Appendix E to Subpart L; that appear in the Federal Register on September 12, 1980 (45 FR 60703—60727) are adopted by reference with the change indicated at 8:7 Md. R. 658. Effective date: May 29, 1981 (8:11 Md. R. 973)</text> </paragraph> <paragraph num="(8)"> <text>All amendments and revisions to 29 CFR 1910 and 29 CFR 1926 that appear in the Federal Register on June 30, 1993 (58 FR 35308—35311), except for the amendment to 29 CFR §1910.15, are adopted by reference. Effective date: December 20, 1993 (20:25 Md. R. 1945)</text> </paragraph> <paragraph num="(9)"> <text>All amendments and revisions to 29 CFR 1910, 29 CFR 1926, and 29 CFR 1928 that appear in the Federal Register on March 7, 1996 (61 FR 9230—9245 and 9248—9255) are adopted by reference. Effective date: July 29, 1996 (23:15 Md. R. 1087)</text> </paragraph> <paragraph num="(10)"> <text>All amendments and revisions to 29 CFR 1910 and 29 CFR 1926 that appear in the Federal Register on June 20, 1996 (61 FR 31249—31434) are adopted by reference. Effective date: October 21, 1996 (23:21 Md. R. 1466)</text> </paragraph> <paragraph num="(11)"> <text>Mechanical Power—Transmission Apparatus; Mechanical Power Presses; Telecommunications; and Hydrogen. All amendments and revisions to 29 CFR §1910.103, 29 CFR §1910.217, 29 CFR §1910.219, 29 CFR §1910.268, and 29 CFR §1926.307 that appear in the Federal Register on June 8, 2004 (69 FR 31880—31882) are adopted by reference. Effective date: February 14, 2005 (32:3 Md. R. 290)</text> </paragraph> <paragraph num="(12)"> <text>Standards Improvement Project—Phase II. All amendments and revisions to 29 CFR Parts 1910 and 1926 (excluding Part 1915) that appear in the Federal Register on January 5, 2005 (70 FR 1112—1144) are adopted by reference. Effective date: September 12, 2005 (32:18 Md. R. 1518)</text> </paragraph> <paragraph num="(13)"> <text>All amendments and revisions to 29 CFR 1910, specifically §1910.6; §1910.106; §1910.142; §1910.243; §1910.254; and §1910.265; that appear in the Federal Register on September 13, 2005 (70 FR 53925—53929) are adopted by reference. Effective date: July 17, 2006 (33:14 Md. R. 1163)</text> </paragraph> <paragraph num="(14)"> <text>All amendments and revisions to 29 CFR 1910 and 1926, excluding Parts 1913 and 1915, that appear in the Federal Register on April 3, 2006 (71 FR 16669—16675) are adopted by reference. Effective date: November 23, 2006 (33:23 Md. R. 1794)</text> </paragraph> <paragraph num="(15)"> <text>All amendments and revisions to 29 CFR 1910, that appear in the Federal Register on August 11, 2009 (74 FR 40441—40447) are adopted by reference, as amended. Effective date: November 29, 2010 (37:24 Md. R. 1658)</text> </paragraph> <paragraph num="(16)"> <text>All amendments and revisions to 29 CFR Parts 1910, 1926, and 1928 (excluding Parts 1915, 1917, 1918, and 1919) that appear in the Federal Register on June 8, 2011 (76 FR 33590—33612) are adopted by reference. Effective date: February 20, 2012 (39:3 Md. R. 259)</text> </paragraph> <paragraph num="(17)"> <text>All amendments and revisions to 29 CFR Parts 1910 and 1926 that appear in the Federal Register on August 7, 2012 (77 FR 46948—46950) are adopted by reference, as amended. Effective date: May 27, 2013 (40:10 Md. R. 916)</text> </paragraph> <paragraph num="(18)"> <text>All amendments and revisions to 29 CFR Part 1910 that appear in the Federal Register on November 18, 2016 (81 FR 82981—83006) are incorporated by reference, as amended. Effective date: April 23, 2018 (45:8 Md. R. 419)</text> </paragraph> <paragraph num="(19)"> <text>All amendments and revisions to 29 CFR Parts 1910, 1915, and 1926 that appear in the Federal Register on March 25, 2016 (81 FR 16286—16890) are incorporated by reference, as amended.</text> </paragraph> <paragraph num="(20)"> <text>Standards Improvement Project—Phase IV. All amendments and revisions to 29 CFR Parts 1904, 1910, 1915, and 1926 that appear in the Federal Register on May 14, 2019 (84 FR 21416—21598) are adopted by reference.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Accident Prevention Tags. All amendments and revisions that appear in the Federal Register on September 19, 1986 (51 FR 33260—33261) are adopted by reference. Effective date: February 23, 1987 (14:4 Md. R. 416)</text> </paragraph> <paragraph num="C."> <text>Acrylonitrile (Vinyl Cyanide). All amendments and revisions to 29 CFR §1910.19(c), 29 CFR §1910.1000, and 29 CFR §1910.1045 that appear in the Federal Register on October 3, 1978 (43 FR 45809) are adopted by reference with the changes indicated at 5:24 Md. R. 1802. Effective date: April 20, 1979 (6:8 Md. R. 655); amended effective August 22, 1980 (7:17 Md. R. 1671)</text> </paragraph> <paragraph num="D."> <text>Advisory and Repetitive Standards. All amendments and revisions to 29 CFR 1910 that appear in the Federal Register on February 10, 1984 (49 FR 5321—5324) are adopted by reference. Effective date: November 5, 1984 (11:22 Md. R. 1897)</text> </paragraph> <paragraph num="E."> <text>Agriculture. All amendments and revisions to 29 CFR §1928.21(b), Applicability of General Industry Standards for Agriculture (Correction), that appear in the Federal Register on July 29, 1977 (42 FR 38569) are adopted by reference. Effective date: March 10, 1978 (5:5 Md. R. 324)</text> </paragraph> <paragraph num="F."> <text>Air Contaminants.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.1000 and 29 CFR §1910.1500, Occupational Exposure to Air Contaminants, that appear in the Federal Register on December 8, 1979 (43 FR 57602) are adopted by reference. Effective date: May 2, 1980 (7:9 Md. R. 847)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1000, Subpart Z, including Tables Z-1, Z-1-A, Z-2, and Z-3, and the Appendix that appear in the Federal Register on January 19, 1989 (54 FR 2920—2960) are adopted by reference. Effective date: July 10, 1989 (16:13 Md. R. 1420)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910.1000, changes numbered 139—217, that appear in the Federal Register on July 5, 1989 (54 FR 28059—28061) are adopted by reference. Effective date: November 27, 1989 (16:23 Md. R. 2505)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §1910.1000, Subpart Z, including Table Z-1-A that appear in the Federal Register on November 15, 1989 (54 FR 47513) are adopted by reference. Effective date: April 16, 1990 (17:7 Md. R. 849)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR §1910.1000(a)(3) and Tables Z-1-A and Z-3 that appear in the Federal Register on July 1, 1992 (57 FR 29205—29206) are adopted by reference. Effective date: November 23, 1992 (19:23 Md. R. 2040)</text> </paragraph> <paragraph num="(6)"> <text>All amendments and revisions to 29 CFR 1910.1000 that appear in the Federal Register on June 30, 1993 (58 FR 35340—35341) and a correction that appears in the Federal Register on July 27, 1993 (58 FR 40191) are adopted by reference. Effective date: December 20, 1993 (20:25 Md. R. 1944)</text> </paragraph> <paragraph num="(7)"> <text>All amendments and revisions to 29 CFR §1910.1000, Tables Z-1 and Z-3, that appear in the Federal Register on August 4, 1997 (62 FR 42018) are adopted by reference. Effective date: January 26, 1998 (25:2 Md. R. 76)</text> </paragraph> </paragraph> <paragraph num="G."> <text>Air Contaminants (Asbestos). All amendments and revisions to 29 CFR §1910.1001 that appear in the Federal Register on November 4, 1983 (48 FR 51139—51140) are adopted by reference. Effective date: December 1, 1983 (10:26 Md. R. 2336) as an emergency provision; emergency status extended at 11:7 Md. R. 621; emergency status expired May 3, 1984</text> </paragraph> <paragraph num="H."> <text>Asbestos, Tremolite, Anthophyllite, and Actinolite.</text> <paragraph num="(1)"> <text>All amendments and revisions that appear in the Federal Register on June 20, 1986 (51 FR 22756—22790) are adopted by reference. Effective date: September 7, 1987 (14:18 Md. R. 1965)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions that appear in the Federal Register on June 20, 1986 (51 FR 22732—22756) are adopted by reference. Effective date: September 7, 1987 (14:18 Md. R. 1965)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions that appear in the Federal Register on October 17, 1986 (51 FR 37004—37007) are adopted by reference. Effective date: September 7, 1987 (14:18 Md. R. 1965)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions that appear in the Federal Register on April 30, 1987 (52 FR 15722—15723) and May 12, 1987 (52 FR 17752—17756) are adopted by reference. Effective date: January 14, 1988 (15:1 Md. R. 19)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR §1926.58 that appear in the Federal Register on September 14, 1988 (53 FR 35627—35629) are adopted by reference. Effective date: March 20, 1989 (16:5 Md. R. 628)</text> </paragraph> <paragraph num="(6)"> <text>All amendments and revisions to 29 CFR §1910.1001 that appear in the Federal Register on September 14, 1988 (53 FR 35625—35627) are adopted by reference. Effective date: March 20, 1989 (16:5 Md. R. 628)</text> </paragraph> <paragraph num="(7)"> <text>All amendments and revisions to 29 CFR §1926.58, Subpart D, that appear in the Federal Register on December 20, 1989 (54 FR 52027—52028) are adopted by reference. Effective date: May 14, 1990 (17:9 Md. R. 1089)</text> </paragraph> <paragraph num="(8)"> <text>All amendments and revisions to 29 CFR §1910.1001, Subpart Z, that appear in the Federal Register on December 20, 1989 (54 FR 52027) are adopted by reference. Effective date: May 14, 1990 (17:9 Md. R. 1089)</text> </paragraph> <paragraph num="(9)"> <text>All amendments and revisions to 29 CFR §1926.58, Subpart D, and Appendix J, that appear in the Federal Register on February 5, 1990 (55 FR 3732) are adopted by reference. Effective date: May 28, 1990 (17:10 Md. R. 1218)</text> </paragraph> <paragraph num="(10)"> <text>All amendments and revisions to 29 CFR §1910.1001, Subpart Z, and Appendix I, that appear in the Federal Register on February 5, 1990 (55 FR 3731—3732) are adopted by reference. Effective date: May 28, 1990 (17:10 Md. R. 1218)</text> </paragraph> <paragraph num="(11)"> <text>All amendments and revisions to 29 CFR §1926.58 that appear in the Federal Register on June 8, 1992 (57 FR 24330—24331) are adopted by reference. Effective date: October 12, 1992 (19:20 Md. R. 1814)</text> </paragraph> <paragraph num="(12)"> <text>All amendments and revisions to CFR §1910.1001 and the removal of 29 CFR §1910.1101 that appear in the Federal Register on June 8, 1992 (57 FR 24330—24331) are adopted by reference. Effective date: October 12, 1992 (19:20 Md. R. 1814)</text> </paragraph> <paragraph num="(13)"> <text>All the amendments and revisions to 29 CFR §1926.1101, including Appendices A, B, D, F, H, I, and K, that appear in the Federal Register on August 10, 1994 (59 FR 41131—41162) are adopted by reference with the changes indicated at 21:24 Md. R. 1999—2000. Effective date: January 30, 1995 (22:2 Md. R. 76)</text> </paragraph> <paragraph num="(14)"> <text>All amendments and revisions to 29 CFR §1910.1001, including mandatory Appendices A, C, D, and E and nonmandatory Appendices B, F, H, I, J, and K, together with related amendments and revisions to 29 CFR §1910.19 that appear in the Federal Register on August 10, 1994 (59 FR 41057—41080) are adopted by reference with the changes indicated at 21:24 Md. R. 2000—2002. Effective date: January 30, 1995 (22:2 Md. R. 76)</text> </paragraph> <paragraph num="(15)"> <text>All amendments and revisions to 29 CFR §§1910.0110 and 1926.1101 that appear in the Federal Register on February 21, 1995 (60 FR 9624—9626), together with a correction that appears in the Federal Register on March 1, 1995 (60 FR 11194), are adopted by reference. Effective date: August 14, 1995 (22:16 Md. R. 1220)</text> </paragraph> <paragraph num="(16)"> <text>All amendments and revisions to 29 CFR §§1910.1001 and 1926.1101 that appear in the Federal Register on June 28, 1995 (60 FR 33344—33345); changes 39—130 and 324—478 that appear in the Federal Register on June 29, 1995 (60 FR 33984—33987 and 33995—34002); and the changes that appear in the Federal Register on July 13, 1995 (60 FR 36043—36044) are adopted by reference. Effective date: January 15, 1996 (23:1 Md. R. 24)</text> </paragraph> <paragraph num="(17)"> <text>All amendments and revisions to 29 CFR §1926.1101(g)(7)(iii), (g)(8)(iv)(B), (g)(8)(iv)(C), (g)(11), (g)(11)(iv), (h)(2)(v), and (o)(4) that appear in the Federal Register on September 29, 1995 (60 FR 50411—50413) are adopted by reference. Effective date: January 29, 1996 (23:2 Md. R. 95)</text> </paragraph> <paragraph num="(18)"> <text>All amendments and revisions to 29 CFR §§1910.1001(j)(3)(v) and 1926.1101(h)(2)(iii), (k)(6), (k)(8)(vii), (k)(9)(iii)—(v), and (m)(1)(i)(A), that appear in the Federal Register on August 23, 1996 (61 FR 43456—43459) are adopted by reference. Effective date: January 27, 1997 (24:2 Md. R. 115)</text> </paragraph> <paragraph num="(19)"> <text>All amendments and revisions to 29 CFR §1926.1101 that appear in the Federal Register on June 29, 1998 (63 FR 35137—35138) are incorporated by reference. Effective date: November 30, 1998 (25:24 Md. R. 1773)</text> </paragraph> </paragraph> <paragraph num="I."> <text>Bakery Equipment.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.214, Cooperage and Machinery, 29 CFR §1910.263, Bakery Equipment, and 29 CFR §1910.264, Laundry Machinery and Operations, that appear in the Federal Register on October 24, 1978 (43 FR 49764) with corrections proposed in 43 FR 51760 (November 7, 1978) are adopted by reference. Effective date: May 4, 1979 (6:9 Md. R. 727)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR 1910 that appear in the Federal Register on October 24, 1978 (43 FR 49744) with corrections proposed in 43 FR 51759 (November 7, 1978) are adopted by reference. Effective date: May 4, 1979 (6:9 Md. R. 727)</text> </paragraph> </paragraph> <paragraph num="J."> <text>Benzene. All amendments and revisions to 29 CFR §1910.1028, including Appendices A—E, that appear in the Federal Register on September 11, 1987 (52 FR 34562—34578) are adopted by reference with the changes indicated at 14:26 Md. R. 2753. Effective date: March 21, 1988 (15:6 Md. R. 740)</text> </paragraph> <paragraph num="J-1."> <text>Beryllium.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR Parts 1910, 1915, and 1926 that appear in the Federal Register on January 9, 2017 (82 FR 2470—2757) “Occupational Exposure to Beryllium” are adopted by reference, as amended.</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR Part 1910 that appear in the Federal Register on July 14, 2020 (85 FR 42582— 42628) “Revising the Beryllium Standard for General Industry” are adopted by reference, as amended.</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR Parts 1915 and 1926 that appear in the Federal Register on August 31, 2020 (85 FR 53910—53999) “Occupational Exposure to Beryllium and Beryllium Compounds in Construction and Shipyard Sectors” are adopted by reference, as amended.</text> </paragraph> </paragraph> <paragraph num="J-2."> <text>Bloodborne Pathogens.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.1030, including Appendix A, that appear in the Federal Register on December 6, 1991 (56 FR 64174—64182) are adopted by reference with the changes indicated at 19:6 Md. R. 684. Effective date: May 31, 1992 (19:10 Md. R. 930)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1030 that appear in the Federal Register on July 1, 1992 (57 FR 29206) are adopted by reference with the changes indicated at 19:19 Md. R. 1721. Effective date: November 23, 1992 (19:23 Md. R. 2040)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910.1030 that appear in the Federal Register on January 18, 2001 (66 FR 5318—5325) are adopted by reference. Effective date: November 12, 2001 (28:22 Md. R. 1936)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §1910.1030 that appear in the Federal Register on April 3, 2012 (77 FR 19933—19934) are adopted by reference, as amended. Effective date: May 27, 2013 (40:10 Md. R. 916)</text> </paragraph> </paragraph> <paragraph num="J-3."> <text>Butadiene. All amendments and revisions to 29CFR §§1910.19(1), 1910.1000, and 1910.1051, including Appendices A—F; and 29 CFR 1926, Subpart Z and Appendix A, that appear in the Federal Register on November 4, 1996 (61 FR 56831—56856) are adopted by reference with the changes indicated at 24:4 Md. R. 298. Effective date: April 21, 1997 (24:8 Md. R. 616)</text> </paragraph> <paragraph num="J-4."> <text>Cadmium.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.1027, including Appendices A—F, and related amendments to 29 CFR §§1910.19 and 1910.1000, that appear in the Federal Register on September 14, 1992 (57 FR 42389—42452) are adopted by reference with the changes indicated at 19:26 Md. R. 2337—2338. Effective date: March 1, 1993 (20:4 Md. R. 370)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1926.63, including Appendices A—F, that appear in the Federal Register on September 14, 1993 (58 FR 42399—42463) are adopted by reference with the changes indicated at 19:26 Md. R. 2339—2340. Effective date: March 1, 1993 (20:4 Md. R. 370)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1928.1027, including Appendices A—F, that appear in the Federal Register on April 23, 1993 (58 FR 21787—21850) are adopted by reference with the changes indicated at 20:13 Md. R. 1065. Effective date: September 13, 1993 (20:18 Md. R. 1428)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §1926.63 that appear in the Federal Register on April 23, 1993 (58 FR 21787), changes 152—168, are adopted by reference. Effective date: September 13, 1993 (20:18 Md. R. 1428)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR §1910.1027, and Appendices A—F, that appear in the Federal Register on April 23, 1993 (58 FR 21780—21787, changes 61—151, are adopted by reference. Effective date: September 13, 1993 (20:18 Md. R. 1429)</text> </paragraph> <paragraph num="(6)"> <text>All amendments and revisions to 29 CFR §1926.63 that appear in the Federal Register on January 3, 1994 (59 FR 215) are adopted by reference. Effective date: May 9, 1994 (21:9 Md. R. 750)</text> </paragraph> </paragraph> <paragraph num="K."> <text>Chlordecone (Kepone). All amendments and revisions to 29 CFR 1910 that appear in the Federal Register on August 20, 1976 (41 FR 35184) are adopted by reference. Effective date: January 19, 1977 (4:2 Md. R. 87)</text> </paragraph> <paragraph num="L."> <text>Coal Tar Pitch Volatiles. All amendments and revisions to 29 CFR §1910.1002 that appear in the Federal Register on January 21, 1983 (48 FR 2768) are adopted by reference. Effective date: August 1, 1983 (10:15 Md. R. 1349)</text> </paragraph> <paragraph num="M."> <text>Coke Oven Emissions.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.1029 and 29 CFR §1928.57 that appear in the Federal Register on the following dates: October 22, 1976 (41:206 FR) and January 18, 1977 (42:12 FR) are adopted by reference. Effective date: April 27, 1977 (4:9 Md. R. 713)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions that appear in the Federal Register on September 13, 1985 (50 FR 37353—37354) are adopted by reference. Effective date: March 24, 1986 (13:6 Md. R. 682)</text> </paragraph> </paragraph> <paragraph num="N."> <text>Commercial Diving Operations.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910, Subpart T, that appear in the Federal Register on July 22, 1977 (42 FR 37668) are adopted by reference. Effective date: March 10, 1978 (5:5 Md. R. 324)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1926.605(e), Commercial Diving Operations (Construction), that appear in the Federal Register on July 22, 1977 (42 FR 37674) are adopted by reference. Effective date: March 10, 1978 (5:5 Md. R. 324)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1928.21(b), Commercial Diving Operations (Agriculture), that appear in the Federal Register on July 22, 1977 (42 FR 37674) are adopted by reference. Effective date: March 10, 1978 (5:5 Md. R. 324)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §1910.423 that appear in the Federal Register on June 20, 1980 (45 FR 41634) are adopted by reference. Effective date: February 20, 1981 (8:4 Md. R. 340)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR §§1910.402 and 1910.401(a)(2)(iv), Subpart T, that appear in the Federal Register on November 26, 1982 (47 FR 53365) are adopted by reference. Effective date: May 9, 1983 (10:9 Md. R. 789)</text> </paragraph> <paragraph num="(6)"> <text>All amendments and revisions to 29 CFR §1910.411, Subpart T, that appear in the Federal Register on January 6, 1984 (49 FR 881) are adopted by reference. Effective date: June 18, 1984 (11:12 Md. R. 1063)</text> </paragraph> <paragraph num="(7)"> <text>All amendments and revisions to 29 CFR 1910, Subpart T, Commercial Diving Operations (Educational/Scientific Diving), that appear in the Federal Register on January 9, 1985 (50 FR 1050) are adopted by reference. Effective date: July 29, 1985 (12:15 Md. R. 1515)</text> </paragraph> <paragraph num="(8)"> <text>All amendments and revisions to 29 CFR §1910.430 that appear in the Federal Register on September 18, 1986 (51 FR 33033—33034) are adopted by reference. Effective date: February 23, 1987 (14:4 Md. R. 416)</text> </paragraph> </paragraph> <paragraph num="O."> <text>Concrete and Masonry Construction.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §§1926.700—1926.706 and Appendix to 29 CFR §1926.705, Subpart Q, that appear in the Federal Register on June 16, 1988 (53 FR 22643—22646) are adopted by reference. Effective date: November 28, 1988 (15:24 Md. R. 2768)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §§1926.700—1926.706, Subpart Q, that appear in the Federal Register on October 5, 1989 (54 FR 41088) are adopted by reference. Effective date: March 19, 1990 (17:5 Md. R. 637)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §§1926.305, 1926.700, 1926.705, and the Appendix to 29 CFR §1926.705 that appear in the Federal Register on October 19, 1990 (55 FR 42327—42330) are adopted by reference. Effective date: February 18, 1991 (18:3 Md. R. 304)</text> </paragraph> </paragraph> <paragraph num="O-1."> <text>Confined Spaces for General Industry, Permit-Required.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.146 that appear in the Federal Register on January 14, 1993 (58 FR 4549—4563) are adopted by reference with the changes indicated at 20:9 Md. R. 799—801. Effective date: July 5, 1993 (20:13 Md. R. 1048)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.146, including Appendices A—E, that appear in the Federal Register on June 29, 1993 (58 FR 34845—34851) are adopted by reference. Effective date: December 20, 1993 (20:25 Md. R. 1945)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revision to 29 CFR §1910.146 that appear in the Federal Register on May 19, 1994 (59 FR 26115—26116) are adopted by reference. Effective date: September 26, 1994 (21:19 Md. R. 1634)</text> </paragraph> </paragraph> <paragraph num="O-2."> <text>Confined Spaces in Construction. All amendments and revisions to 29 CFR §1926 that appear in the Federal Register on May 4, 2015 (80 FR 25366—25526) are adopted by reference. Effective date: January 2, 2017 (43:26 Md. R. 1444)</text> </paragraph> <paragraph num="P."> <text>Construction Industry Test and Inspection Records. All amendments and revisions to 29 CFR 1926.550, 1926.552, and 1926.903 that appear in the Federal Register on September 28, 1987 (52 FR 36381—36382) are adopted by reference. Effective date: February 22, 1988 (15:4 Md. R. 471)</text> </paragraph> <paragraph num="P-1."> <text>Construction Work.</text> <paragraph num="(1)"> <text>A compilation that sets forth the text of all standards applicable to construction work, that appears in the Federal Register on June 30, 1993 (58 FR 35077—35306), together with amendments and a correction that appear in the Federal Register on July 28, 1993 (58 FR 40468), are adopted by reference with the changes indicated at 20:21 Md. R. 1667—1668. Effective date: December 20, 1993 (20:25 Md. R. 1945)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR§§1926.416 and 1926.417 that appear in the Federal Register on August 12, 1996 (61 FR 41738—41739) are adopted by reference. Effective date: January 27, 1997 (24:2 Md. R. 115)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1926.251 that appear in the Federal Register on April 18, 2012 (77 FR 23117—23118) are adopted by reference, as amended. Effective date: May 27, 2013 (40:10 Md. R. 917)</text> </paragraph> </paragraph> <paragraph num="P-2."> <text>Controlled Negative Pressure REDON Fit Testing Protocol. All amendments and revisions to 29 CFR §1910.134 that appear in the Federal Register on August 4, 2004 (69 FR 46986—46994) are adopted by reference. Effective date: February 14, 2005 (32:3 Md. R. 289)</text> </paragraph> <paragraph num="Q."> <text>Cooperage and Machinery (see I, Bakery Equipment).</text> </paragraph> <paragraph num="R."> <text>Cotton Dust.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.19(f), 29 CFR §1910.1000, and 29 CFR §1910.1043 that appear in the Federal Register on June 23, 1978 (43 FR 27394—27463) and February 26, 1980 (45 FR 12417) are adopted by reference with the changes indicated at 7:9 Md. R. 877—878. Effective date: August 22, 1980 (7:17 Md. R. 1671)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1043, Appendix A, that appear in the Federal Register on October 10, 1980 (45 FR 67339—67340) are adopted by reference. Effective date: February 25, 1985 (12:4 Md. R. 360)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions that appear in the Federal Register on December 13, 1985 (50 FR 51173—51179) are adopted by reference. Effective date: June 16, 1986 (13:12 Md. R. 1373)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions that appear in the Federal Register on July 3, 1986 (51 FR 24325), changes numbered 17—27, are adopted by reference. Effective date: December 1, 1986 (13:24 Md. R. 2558)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR §1910.1043 that appear in the Federal Register on December 7, 2000 (65 FR 76563—76567) are adopted by reference. Effective date: December 24, 2001 (28:25 Md. R. 2189)</text> </paragraph> </paragraph> <paragraph num="S."> <text>Crane or Derrick Suspended Personnel Platforms in Construction.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1926.550(g), Subpart N, that appear in the Federal Register on August 2, 1988 (53 FR 29139—29141) and April 18, 1989 (54 FR 15405—15406) are adopted by reference with the changes indicated at 16:22 Md. R. 2364. Effective date: November 13, 1989 (16:22 Md. R. 2364)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1926.550(g) that appear in 20:14 Md. R. 1172—1173 and 21:4 Md. R. 274—275 are adopted effective February 28, 1994 (21:4 Md. R. 274)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1926.550(g) that appear in 21:7 Md. R. 540—541 are adopted effective June 6, 1994 (21:11 Md. R. 950)</text> </paragraph> </paragraph> <paragraph num="T."> <text>1,2-Dibromo-3-chloropropane (DBCP). All amendments and revisions to 29 CFR §1910.1044 that appear in the Federal Register on March 17, 1978 (43 FR 11527) are adopted by reference with the changes indicated at 5:9 Md. R. 707. Effective date: August 25, 1978 (5:17 Md. R. 1328)</text> </paragraph> <paragraph num="T-1."> <text>Dipping and Coating Operations. All amendments and revisions related to Dipping and Coating Operations previously codified under 29 CFR §§1910.108 and 1910.94(d) and revised to 29 CFR §§1910.6 and 1910.122—1910.126 that appear in the Federal Register on March 23, 1999 (64 FR 13908—13912) are adopted by reference. Effective date: July 26, 1999 (26:15 Md. R. 1148)</text> </paragraph> <paragraph num="T-2."> <text>DOT Markings, Placards, and Labels. All amendments and revisions to 29 CFR §§1910.1201, 1926.61, and 1928.21 that appear in the Federal Register on July 19, 1994 (59 FR 36700) are adopted by reference. Effective date: January 2, 1995 (21:26 Md. R. 2186)</text> </paragraph> <paragraph num="U."> <text>Electrical Safety — Related Work Practices.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §§1910.331—1910.335, 29 CFR §§1910.26, 1910.67, 1910.68, 1910.94, 1910.103, 1910.106, 1910.110, 1910.178—1910.181, 1910.252, 1910.261, 1910.265, 1910.266, 1910.304, and 1910.399 that appear in the Federal Register on August 6, 1990 (55 FR 32014—32020) are adopted by reference with the changes indicated at 17:25 Md. R. 2919. Effective date: February 18, 1991 (18:3 Md. R. 303)</text> </paragraph> <paragraph num="(2)"> <text>Corrections 2—8 and portions of Correction 1, other than the preamble, relating to Electrical Safety—Related Work Practices, to 29 CFR §§1910.252, 1910.331, 1910.333 including Table 5, 1910.334, and 1910.399, that appear in the Federal Register on November 1, 1990 (55 FR 46052—46054) are adopted by reference. Effective date: June 24, 1991 (18:12 Md. R. 1337)</text> </paragraph> </paragraph> <paragraph num="U-1."> <text>Electrical Standards.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR 1910, Subpart S, that appear in the Federal Register on January 16, 1981 (46 FR 4055—4076) are adopted by reference. Effective date: November 9, 1981 (8:22 Md. R. 1783)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR 1910, Subpart S, that appear in the Federal Register on August 7, 1981 (46 FR 40184—40185) are adopted by reference. Effective date: August 16, 1982 (9:16 Md. R. 1604)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR Part 1910, Subpart S, that appear in the Federal Register on February 14, 2007 (72 FR 7135—7221) are adopted by reference, as amended. Effective date: September 24, 2007 (34:19 Md. R. 1649)</text> </paragraph> </paragraph> <paragraph num="V."> <text>Electrical Standards for Construction. All amendments and revisions that appear in the Federal Register on July 11, 1986 (51 FR 25318—25335) are adopted by reference. Effective date: January 26, 1987 (14:2 Md. R. 127)</text> </paragraph> <paragraph num="V-1."> <text>Electric Power Generation, Transmission, and Distribution; Electrical Protective Equipment.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.269, including Appendices A—E, and related amendments to 29 CFR §1910.137, 29 CFR §1910.331, and 29 CFR §1910.333, that appear in the Federal Register on January 31, 1994 (59 FR 4435—4476) are adopted by reference with the changes indicated at 21:9 Md. R. 759—760. Effective date: July 4, 1994 (21:13 Md. R. 1156)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §§1910.137 and 1910.269 that appear in the Federal Register on June 30, 1994 (59 FR 33660—33663) are adopted by reference as an emergency provision effective November 18, 1994 (21:25 Md. R. 2093); adopted permanently with the changes indicated at 21:22 Md. R. 1885—1886 effective January 2, 1995 (21:26 Md. R. 2185)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR Parts 1910 and 1926 that appear in the Federal Register on April 11, 2014 (79 FR 20629—20743) are incorporated by reference, as amended. Effective date: April 23, 2018 (45:8 Md. R. 419)</text> </paragraph> </paragraph> <paragraph num="W."> <text>Employee Exposure and Medical Records.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §§1910.20, 1910.440(b)(2) and (b)(4), 1910.1001(i)(2) and (j)(6)(ii), 1910.1003(g)(2)(ii), 1910.1004(g)(2)(ii), 1910.1006(g)(2)(ii), 1910.1007(g)(2)(ii), 1910.1008(g)(2)(ii), 1910.1009(g)(2)(ii), 1910.1010(g)(2)(ii), 1910.1011(g)(2)(ii), 1910.1012(g)(2)(ii), 1910.1013(g)(2)(ii), 1910.1014(g)(2)(ii), 1910.1015(g)(2)(ii), 1910.1016(g)(2)(ii), 1910.1017(m)(2)—(m)(6), 1910.1018(q)(3)(ii), (q)(3)(iii), (q)(4)(iv), and Appendix A Section VIII, 1910.1025(n)(4)(ii), (n)(4)(iii), and (n)(5)(iv), 1910.1028(l)(3)(ii)—(l)(3)(iv), and (l)(4)(iv), and Appendix A Section VII, 1910.1029(m)(3)(ii)—(m)(3)(iv), and (m)(4)(iv), 1910.1043(k)(3)(ii)—(k)(3)(iv), and (k)(4)(iv), 1910.1044(p)(3)(ii)—(p)(3)(iv), and (p)(4)(iv), 1910.1045(q)(4)(ii), (q)(4)(iii), (q)(5)(iv), and Appendix A Section VI, D, 1910.1046(h)(2)(ii) and (h)(3)(iv), that appear in the Federal Register on May 23, 1980 (45 FR 35277—35284) and August 15, 1980 (45 FR 54333—54334) are adopted by reference. Effective date: February 20, 1981 (8:4 Md. R. 340)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.20 and Appendices A and B that appear in the Federal Register on September 29, 1988 (53 FR 38162—38168) are adopted by reference. Effective date: April 17, 1989 (16:7 Md. R. 811)</text> </paragraph> </paragraph> <paragraph num="X."> <text>Employer Certifications of Equipment Maintenance, Inspections, and Checks. All amendments and revisions that appear in the Federal Register on September 29, 1986 (51 FR 34560—34562) are adopted by reference. Effective date: February 23, 1987 (14:4 Md. R. 416)</text> </paragraph> <paragraph num="Y."> <text>Ethylene Oxide.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.19, 29 CFR §1910.1000, 29 CFR §1910.1047, and Appendices A, B, C, and D, that appear in the Federal Register on June 22, 1984 (49 FR 25795—25809) are adopted by reference. Effective date: February 25, 1985 (12:4 Md. R. 359)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions that appear in the Federal Register on October 11, 1985 (50 FR 41494) pertaining to Labeling Requirements, are adopted by reference. Effective date: March 24, 1986 (13:6 Md. R. 682)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions that appear in the Federal Register on July 10, 1986 (51 FR 25053) are adopted by reference. Effective date: December 1, 1986 (13:24 Md. R. 2557)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §1910.1047, Subpart Z, that appear in the Federal Register on April 6, 1988 (53 FR 11436—11438) are adopted by reference with the changes indicated at 15:14 Md. R. 1708—1709. Effective date: September 5, 1988 (15:18 Md. R. 2146)</text> </paragraph> </paragraph> <paragraph num="Z."> <text>Excavations. All amendments and revisions to 29 CFR §§1926.650—1926.652, Subpart P, and Appendices A—F, that appear in the Federal Register on October 31, 1989 (54 FR 45958—45991) are adopted by reference with the changes indicated at 17:6 Md. R. 746. Effective date: May 28, 1990 (17:10 Md. R. 1218)</text> </paragraph> <paragraph num="Z-2."> <text>Fall Protection in the Construction Industry (For fall protection in steel erection, see COMAR 09.12.25).</text> </paragraph> <paragraph num="AA."> <text>Fire Protection. All amendments and revisions to 29 CFR 1910, Fire Protection, Means of Egress, Hazardous Materials, that appear in the Federal Register on May 1, 1981 (46 FR 24556—24558) are adopted by reference. Effective date: November 9, 1981 (8:22 Md. R. 1783)</text> </paragraph> <paragraph num="BB."> <text>Formaldehyde.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §§1910.19, 1910.1000, 1910.1048, including Appendices A—E, and 29 CFR §1926.55, that appear in the Federal Register on December 4, 1987 (52 FR 46291—46312) are adopted by reference with the changes indicated at 15:8 Md. R. 1016. Effective date: June 13, 1988 (15:12 Md. R. 1445)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1048, Subpart Z, that appear in the Federal Register on July 13, 1989 (54 FR 29545—29546) and August 1, 1989 (54 FR 31765) are adopted by reference. Effective date: January 22, 1990 (17:1 Md. R. 68)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910.1048 that appear in the Federal Register on May 27, 1992 (57 FR 22307—22328) and June 10, 1992 (57 FR 24701); and correction number four on June 18, 1992 (57 FR 27161) are adopted by reference with the changes indicated at 19:16 Md. R. 1487. Effective date: October 12, 1992 (19:20 Md. R. 1814)</text> </paragraph> </paragraph> <paragraph num="BB-1."> <text>General Industry. Standards Improvement (Miscellaneous Charges) for General Industry and Construction Standards; Paperwork Collection for Coke Oven Emissions and Inorganic Arsenic. All amendments and revisions to 29 CFR §§1910.109, 1910.110, 1910.111, 1910.141, 1910.142, 1910.151, 1910.156, 1910.183, 1910.261, 1910.262, 1910.265, 1910.267, 1910.268, 1910.1017, 1910.1018, and 1910.1029, and 29 CFR §§1926.31, 1926.50, 1926.152, and 1926.906 that appear in the Federal Register on June 18, 1998 (63 FR 33466—33469) are adopted by reference. Effective date: December 28, 1998 (25:26 Md. R. 1920)</text> </paragraph> <paragraph num="CC."> <text>Grain Handling Facilities.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.272, including Appendices A, B, and C, that appear in the Federal Register on December 31, 1987 (52 FR 49624—49631) are adopted by reference. Effective date: June 13, 1988 (15:12 Md. R. 1445)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.272, including Appendices A and C, that appear in the Federal Register on May 18, 1988 (53 FR 17695—17696) are adopted by reference. Effective date: September 5, 1988 (15:18 Md. R. 2146)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910.272 that appear in the Federal Register on March 8, 1996 (61 FR 9583—9584) are adopted by reference. Effective date: July 29, 1996 (23:15 Md. R. 1087)</text> </paragraph> </paragraph> <paragraph num="DD."> <text>Ground Fault Protection. All amendments and revisions to 29 CFR §1910.309(c) and 29 CFR §1926.400(h) that appear in the Federal Register on December 21, 1976 (41 FR 55702—55704) are adopted by reference. Effective date July 6, 1977 (4:14 Md. R. 1082).</text> </paragraph> <paragraph num="EE."> <text>Guarding of Low-Pitched Roof Perimeters During the Performance of Built-Up Roofing Work. All amendments and revisions to 29 CFR §1926.500(g), 29 CFR §1926.502(p), and Appendix A to Subpart M, that appear in the Federal Register on November 14, 1980 (45 FR 75624—75631) are adopted by reference. Effective date: May 29, 1981 (8:11 Md. R. 973)</text> </paragraph> <paragraph num="FF."> <text>Guarding of Portable Powered Tools. All amendments and revisions to 29 CFR §1910.243 that appear in the Federal Register on February 1, 1985 (50 FR 4649) are adopted by reference. Effective date: July 29, 1985 (12:15 Md. R. 1515)</text> </paragraph> <paragraph num="GG."> <text>Hazard Communication and Safety Data Sheets.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.1200(g)(1)—(g)(5) that appear in the Federal Register on November 25, 1983 (48 FR 53343—53344) are adopted by reference with the changes indicated at 11:20 Md. R. 1748—1749. Effective date: December 17, 1984 (11:25 Md. R. 2132)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1200, including Appendices A—D and new Appendix E, that appear in the Federal Register on February 9, 1994 (59 FR 6169—6184) are adopted by reference with the changes indicated at 21:9 Md. R. 760—761. Effective date: July 4, 1994 (21:13 Md. R. 1156)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §§1910.1200 and 1926.59 that appear in the Federal Register on December 22, 1994 (59 CFR 65947—65948) are adopted by reference. Effective date: July 3, 1995 (22:13 Md. R. 966)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §§1910 and 1926, including Appendices A—F, and excluding Part 1915 and 29 CFR §1910.1200(b)(6)(iv) that appear in the Federal Register on March 26, 2012 (77 FR 17574—17896) are adopted by reference, as amended. Effective date: September 2, 2013 (40:17 Md. R. 1420)</text> </paragraph> </paragraph> <paragraph num="GG-1."> <text>Hazardous Chemicals, Explosives and Blasting Agents Standard, Process Safety Management of Highly. All amendments and revisions to 29 CFR §1910.119 and Appendices A—D and related amendments to 29 CFR §1910.109 that appear in the Federal Register on February 24, 1992 (57 FR 6403—6417) and corrections to 29 CFR §1910.119 that appear in the Federal Register on March 4, 1992 (57 FR 7847) are adopted by reference. Effective date: July 20, 1992, except for paragraphs f, h, j, and l under §1910.119 effective August 26, 1992 (19:14 Md. R. 1283)</text> </paragraph> <paragraph num="HH."> <text>Hazardous Chemicals in Laboratories.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.1450, Subpart Z and Appendices A and B, that appear in the Federal Register on January 31, 1990 (55 FR 3327—3335), March 6, 1990 (55 FR 7967), and March 30, 1990 (55 FR 12110—12111) are adopted by reference. Effective date: September 3, 1990 (17:17 Md. R. 2079)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1450 and 29 CFR §1910.1500, that appear in the Federal Register on July 1, 1992 (57 FR 29204) are adopted by reference. Effective date: November 23, 1992 (19:23 Md. R. 2040)</text> </paragraph> </paragraph> <paragraph num="II."> <text>Hazardous Energy Source (Lockout/Tagout).</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.147 that appear in the Federal Register on September 1, 1989 (54 FR 36687—36696) are adopted by reference. Effective date: April 16, 1990 (17:7 Md. R. 849)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.147 that appear in the Federal Register on September 20, 1990 (55 FR 38685—38687) are adopted by reference. Effective date: February 18, 1991 (18:3 Md. R. 303)</text> </paragraph> </paragraph> <paragraph num="JJ."> <text>Hazardous Materials (see also AA, Fire Protection). All amendments and revisions to 29 CFR §1910.106(g)(2) and (g)(3)(vi), Subpart H, Hazardous Materials; Attendant Exemption and Latch-Open Devices, that appear in the Federal Register on September 7, 1982 (47 FR 39164) are adopted by reference. Effective date: May 9, 1983 (10:9 Md. R. 789)</text> </paragraph> <paragraph num="KK."> <text>Hazardous Waste Operations and Emergency Response.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.120, Subpart H and Appendices A—D, that appear in the Federal Register on March 6, 1989 (54 FR 9317—9336) are adopted by reference. Effective date: November 27, 1989 (16:23 Md. R. 2505)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.120 and Appendices A—D that appear in the Federal Register on April 13, 1990 (55 FR 14037—14075), changes numbered 13—37, are adopted by reference. Effective date: August 20, 1990 (17:16 Md. R. 1991)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910.120(a)(3) and (e)(9) that appear in the Federal Register on April 18, 1991 (56 FR 15832—15833) are adopted by reference. Effective date: September 30, 1991 (18:19 Md. R. 2099)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §1910.120 that appear in the Federal Register on August 22, 1994 (59 FR 43270—43275) are adopted by reference. Effective date: January 2, 1995 (21:26 Md. R. 2185)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR §1926.65 that appear in the Federal Register on August 22, 1994 (59 FR 43275—43280) are adopted by reference. Effective date: January 2, 1995 (21:26 Md. R. 2186)</text> </paragraph> </paragraph> <paragraph num="KK-1."> <text>Hexavalent Chromium, Occupational Exposure to. All amendments and revisions to 29 CFR Parts 1910 and 1926, excluding Parts 1915, 1917, and 1918, that appear in the Federal Register on February 28, 2006 (71 FR 10100—10385) are adopted by reference, as amended. Effective date: April 23, 2007 (34:8 Md. R. 767). The requirements proposed in 71 FR 38085—38087 have been specifically excluded from incorporation by reference. Effective date: September 24, 2007 (34:19 Md. R. 1650)</text> </paragraph> <paragraph num="LL."> <text>Inorganic Arsenic. All amendments and revisions to 29 CFR §1910.19(e), 29 CFR §1910.1000, and 29 CFR §1910.1918 that appear in the Federal Register on May 5, 1978 (43 FR 19624) are adopted by reference with the changes indicated at 5:13 Md. R. 1069. Effective date: April 20, 1979 (6:8 Md. R. 655); amended effective August 22, 1980 (7:17 Md. R. 1671)</text> </paragraph> <paragraph num="MM."> <text>Laundry Machinery and Operations (see I, Bakery Equipment).</text> </paragraph> <paragraph num="NN."> <text>Lavatories for Industrial Employment (see A, In General).</text> </paragraph> <paragraph num="OO."> <text>Lead.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.19(g), 29 CFR §1910.1000, and 29 CFR §1910.1025 that appear in the Federal Register on November 14, 1978 (43 FR 53007—53014) and January 26, 1979 (44 FR 5447—5448) are adopted by reference with the changes indicated at 7:13 Md. R. 1294. Effective date: December 12, 1980 (7:25 Md. R. 2336)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1025(e)(1) and Table 1 that appear in the Federal Register on December 1, 1981 (46 FR 60775—60776) are adopted by reference. Effective date: August 16, 1982 (9:16 Md. R. 1604)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910.1025(f)(3)(ii), Appendix B, Sections IV and XV, and Appendix D (Respirator Fit Testing), that appear in the Federal Register on November 12, 1982 (47 FR 51117—51119) are adopted by reference. Effective date: May 9, 1983 (10:9 Md. R. 790)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR §1910.1025, Appendix D (Respirator Fit Testing), that appear in the Federal Register on March 8, 1983 (48 FR 9641—9642) are adopted by reference. Effective date: September 26, 1983 (10:19 Md. R. 1690)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR §1910.1025, Subpart Z, that appear in the Federal Register on July 11, 1989 (54 FR 29274—29275) are adopted by reference. Effective date: May 14, 1990 (17:9 Md. R. 1089)</text> </paragraph> <paragraph num="(6)"> <text>All amendments and revisions to 29 CFR §1910.1025, Appendices A, B, and C, that appear in the Federal Register on October 23, 1979 (44 FR 60981—60995) and November 12, 1982 (47 FR 51117), corrections 1—25 published on November 30, 1979 (44 FR 68827—68828), amendments 1 and 2 published on February 13, 1990 (55 FR 4998—4999) and May 31, 1991 (56 FR 24686) are adopted by reference with the changes indicated at 18:20 Md. R. 2207. Effective date: December 9, 1991 (18:24 Md. R. 2643)</text> </paragraph> <paragraph num="(7)"> <text>All amendments and revisions to 29 CFR §1910.1025 that appear in the Federal Register on January 30, 1990 (55 FR 3166—3167) are adopted by reference. Effective date: June 8, 1992 (19:11 Md. R. 1015)</text> </paragraph> <paragraph num="(8)"> <text>All amendments and revisions to 29 CFR §1926.62, including Appendices A—D, that appear in the Federal Register on May 4, 1993 (58 FR 26627—26649) are adopted by reference with the changes indicated at 21:2 Md. R. 109—112. Effective date: March 28, 1994 (21:6 Md. R. 466)</text> </paragraph> <paragraph num="(9)"> <text>All amendments and revisions to 29 CFR 1926.62(1) that appear in the Federal Register on May 4, 1993 (58 FR 26627—26649) are adopted by reference with the changes indicated at 21:15 Md. R. 1313—1314. Effective date: September 26, 1994 (21:19 Md. R. 1634)</text> </paragraph> <paragraph num="(10)"> <text>All amendments and revisions to 29 CFR §1910.1025(e)(1)(ii), (f)(1)(i), (j)(2)(ii), (k)(1)(i), (e)(4), (k)(1)(i)(A) and (B), (k)(1)(iii)(A)(1) and (2), and Appendices B and C, that appear in the Federal Register on October 11, 1995 (60 FR 52858—52859 are adopted by reference. Effective date: February 26, 1996 (23:4 Md. R. 272)</text> </paragraph> </paragraph> <paragraph num="PP."> <text>Lift Slab Construction Operations (see O(3), Concrete and Masonry Construction).</text> </paragraph> <paragraph num="PP-1."> <text>Liquified Petroleum Bases, Storage and Handling of. All amendments and revisions to 29 CFR §1910.110(d)(11) that appear in the Federal Register on March 19, 1993 (58 FR 15089) are adopted by reference. Effective date: July 5, 1993 (20:13 Md. R. 1048)</text> </paragraph> <paragraph num="PP-2."> <text>Longshoring and Marine Terminals. All amendments and revisions to 29 CFR §1910.16 that appear in the Federal Register on July 25, 1997 (62 FR 40195) are adopted by reference. Effective date: January 26, 1998 (25:2 Md.R . 75)</text> </paragraph> <paragraph num="PP-3."> <text>Logging Operations.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.266, Appendices A, B, and C, and related amendments to 29 CFR §1926.269(r) and 29 CFR §1928.21(a)(3) that appear in the Federal Register on October 12, 1994 (59 FR 51741—51748) are adopted by reference. Efffective date: April 24, 1995 (22:8 Md. R. 595)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.266 that appear in the Federal Register on February 8, 1995 (60 FR 7447—7449) are adopted by reference. Effective date: April 27, 1995 (22:10 Md. R. 704) as an emergency provision. Emergency status expired August 9, 1995.</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910.266(c), (d)(1)(iii), (d)(1)(iv), (d)(1)(vii), (d)(2)(i), (d)(2)(iii), (d)(5), (d)(6)(iii), (d)(9)(iii), (d)(9)(iv), (e)(2)(iv), (e)(2)(vi), (e)(2)(xiii), (f)(2)(iv), (f)(2)(x), (f)(2)(xi), (f)(3)(i), (f)(3)(ii), (f)(3)(vii), (f)(3)(viii), (f)(7)(i), (f)(7)(ii), (g)(1), (g)(2), (h)(1)(iii), (h)(1)(ix), (h)(2)(i), (h)(2)(vi), (h)(2)(vii), (h)(3), (h)(3)(i), (h)(5)(v), (h)(5)(viii), (h)(6)(ii),(i)(7)(ii),(i)(7)(iii), and Appendix A that appear in the Federal Register on September 8, 1995 (60 FR 47035—47037) are adopted by reference. Effective date: February 12, 1996 (23:3 Md. R. 166)</text> </paragraph> </paragraph> <paragraph num="QQ."> <text>Mechanical Power Presses.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR 1910 that appear in the Federal Register on December 3, 1974 (39 FR 41841) and January 27, 1975 (40 FR 3982) are adopted by reference. Effective date: June 11, 1975 (2:13 Md. R. 929)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.217 that appear in the Federal Register on February 8, 1980 (45 FR 8593—8594) are adopted by reference. Effective date: November 9, 1981 (8:22 Md. R. 1783)</text> </paragraph> </paragraph> <paragraph num="QQ-1."> <text>Methylene Chloride.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §§1910.19, 1910.1000, 1910.1052, and 1926.1152 that appear in the Federal Register on January 10, 1997 (62 FR 1600—1619) are adopted by reference with the changes indicated at 24:9 Md. R. 667. Effective date: June 30, 1997 (24:13 Md. R. 931)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1052 that appear in the Federal Register on December 18, 1997 (62 FR 66276—66277) are incorporated by reference. Effective date: June 29, 1998 (25:13 Md. R. 993)</text> </paragraph> </paragraph> <paragraph num="QQ-2."> <text>4,4'-Methylenedianiline (MDA).</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1926.60 and Appendices A—E that appear in the Federal Register on August 10, 1992 (57 FR 35681—35696) are adopted by reference with the changes indicated at 19:22 Md. R. 1994. Effective date: January 2, 1993 (19:26 Md. R. 2286)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.1050 and Appendices A—E and related additions and revisions to 29 CFR §1910.19(i) that appear in the Federal Register on August 10, 1992 (57 FR 35666—35681) are adopted by reference with the changes indicated at 19:22 Md. R. 1996. Effective date: January 2, 1993 (19:26 Md. R. 2287)</text> </paragraph> <paragraph num="(3)"> <text>Methylenedianiline (MDA) Standard for Construction. All amendments and revisions to 29 CFR §1926.60 that appear in the Federal Register on December 6, 2004 (69 FR 70373) are adopted by reference. Effective date: August 1, 2005 (32:15 Md. R. 1319)</text> </paragraph> </paragraph> <paragraph num="QQ-3."> <text>National Consensus Standards. All amendments and revisions to 29 CFR Parts 1910 that appear in the Federal Register on December 14, 2007 (72 FR 71061—71070) are adopted by reference. Effective date: July 17, 2008 (35:14 Md. R. 1246).</text> </paragraph> <paragraph num="RR."> <text>Noise; Hearing Conservation.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §§1910.95(b)(3), 1910.95(c)—(p), and Appendices A—I, that appear in the Federal Register on January 16, 1981 (46 FR 4161) and March 8, 1983 (48 FR 9776—9785) are adopted by reference. Effective date: September 26, 1981 (10:19 Md. R. 1690)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.95(c)—(p) and Appendices A—I, that appear in the Federal Register on June 28, 1983 (48 FR 29687) are adopted by reference. Effective date: June 18, 1984 (11:12 Md. R. 1062)</text> </paragraph> </paragraph> <paragraph num="SS."> <text>Occupational Health and Environmental Matters. All amendments and revisions to 29 CFR §1910.99, Subpart G, that appear in the Federal Register on June 11, 1982 (47 FR 25323) are adopted by reference. Effective date: August 1, 1983 (10:15 Md. R. 1349)</text> </paragraph> <paragraph num="SS-1."> <text>Personal Protective Equipment for General Industry and Construction.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §§1910.132, 1910.133, 1910.136, and 1910.138, including nonmandatory Appendices A and B to Subpart I, that appear in the Federal Register on April 6, 1994 (59 FR 16360—16364) are adopted by reference with the changes indicated at 21:13 Md. R. 1167—1168. Effective date: August 29, 1994 (21:17 Md. R. 1439)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §§1910.132, 1910.133, 1910.136, and 1910.138 that appear in the Federal Register on July 1, 1994 (59 FR 33910—33911) are adopted by reference. Effective date: January 2, 1995 (21:26 Md. R. 2186)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §§1910.133, 1910.135, and 1910.136 that appear in the Federal Register on May 2, 1996 (61 FR 19548) and May 9, 1996 (61 FR 21228) are adopted by reference. Effective date: October 21, 1996 (23:21 Md. R. 1466)</text> </paragraph> <paragraph num="(4)"> <text>All amendments and revisions to 29 CFR Parts 1910 and 1926, excluding Parts 1915, 1917, and 1918, that appear in the Federal Register on November 15, 2007 (72 FR 64342—64430) are adopted by reference, as amended. Effective date: July 17, 2008 (35:14 Md. R. 1246)</text> </paragraph> <paragraph num="(5)"> <text>All amendments and revisions to 29 CFR Parts 1910 and 1926, excluding Parts 1915, 1917, and 1918, that appear in the Federal Register on December 12, 2008 (73 FR 75568—75589) are adopted by reference, as amended. Effective date: March 7, 2011 (38:5 Md. R. 317)</text> </paragraph> <paragraph num="(6)"> <text>All amendments and revisions to 29 CFR Part 1910, excluding Parts 1915, 1917, and 1918, that appear in the Federal Register on September 9, 2009 (74 FR 46350—46361) are adopted by reference. Effective date: May 2, 2011 (38:9 Md. R. 552)</text> </paragraph> <paragraph num="(7)"> <text>All amendments and revisions to 29 CFR Parts 1910 and 1926, excluding Parts 1915, 1917, and 1918, that appear in the Federal Register on June 22, 2012 (77 FR 37587—37600) are adopted by reference, as amended. Effective date: August 5, 2013 (40:15 Md. R. 1229)</text> </paragraph> </paragraph> <paragraph num="SS-2."> <text>Powered Industrial Trucks. All amendments and revisions to 29 CFR §1910.178 that appear in the Federal Register on June 2, 2003 (68 FR 32637—32638) are adopted by reference. Effective date: January 5, 2004 (30:26 Md. R. 1913)</text> </paragraph> <paragraph num="TT."> <text>Powered Industrial Truck Operator Training. All amendments and revisions to 29 CFR §§1910.16; 1910.178, including Appendix A; and 1926.602 that appear in the Federal Register on December 1, 1998 (63 FR 66270—66274) are adopted by reference. Effective date: May 31, 1999 (26:11 Md. R. 854)</text> </paragraph> <paragraph num="TT-1."> <text>Powered Platforms for Building Maintenance. All amendments and revisions to 29 CFR §1910.66, Subpart F, that appear in the Federal Register on July 28, 1989 (54 FR 31456—31477) are adopted by reference with the changes indicated at 16:23 Md. R. 2507. Effective date: January 22, 1990 (17:1 Md. R. 68)</text> </paragraph> <paragraph num="UU."> <text>Presence Sensing Device Initiation (PSDI) of Mechanical Power Presses.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.211, 29 CFR §1910.217(c)(3)(iii)(b), new paragraph (h), and new Appendices A, B, C, and D, that appear in the Federal Register on March 14, 1988 (53 FR 8352—8365) are adopted by reference with the changes indicated at 15:13 Md. R. 1562. Effective date: August 22, 1988 (15:17 Md. R. 2048)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.211 and 29 CFR §1910.217 and Appendices A—D, that appear in the Federal Register on March 14, 1988 (53 FR 8352—8365) are adopted by reference with the changes indicated at 16:23 Md. R. 2509. Effective date: January 22, 1990 (17:1 Md. R. 69)</text> </paragraph> </paragraph> <paragraph num="UU-1."> <text>Respiratory Protection.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.134, together with Appendices A—D; amendments and revisions to 29 CFR §§1910.94, 1910.111, 1910.156, 1910.252, 1910.261, 1910.1001, 1910.1003, 1910.1017, 1910.1018, 1910.1025, 1910.1027, 1910.1028, 1910.1029, 1910.1043, 1910.1044, 1910.1045, 1910.1047, 1910.1048, 1910.1050, 1910.1051, and 1910.1052; 29 CFR 1926.57, 1926.60, 1926.62, 1926.103, 1926.800, 1926.1101, and 1926.1127; and the redesignation of 29 CFR §1910.134 to 29 CFR §1910.139 that appear in the Federal Register on January 8, 1998 (63 FR 1260—1299) are adopted by reference with the change indicated at 25:11 Md. R. 830—833. Effective date: July 27, 1998 (25:15 Md. R. 1190)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §§1910.134, 1910.1003, 1910.1025, 1910.1028, 1910.1045, 1910.1048, and 1910.1050, and 29 CFR §1926.1101 that appear in the Federal Register on April 23, 1998 (63 FR 20098—20099) are adopted by reference. Effective date: October 5, 1998 (25:20 Md. R. 1528)</text> </paragraph> <paragraph num="(3)"> <text>The revocation of “Respiratory Protection for M. Tuberculosis”, 29 CFR §1910.139, thereby applying the more protective General Industry Standard in 29 CFR §1910.134, that appears in the Federal Register on December 31, 2003 (68 FR 75776—75780) is adopted by reference. Effective date: July 19, 2004 (31:14 Md. R. 1078)</text> </paragraph> <paragraph num="(4)"> <text>Assigned Protection Factors. All amendments and revisions to 29 CFR Parts 1910 and 1926, excluding Part 1915, that appear in the Federal Register on August 24, 2006 (71 FR 50122—50192) are adopted by reference, as amended. Effective date: April 9, 2007 (34:7 Md. R. 697)</text> </paragraph> </paragraph> <paragraph num="UU-2."> <text>Roll-Over Protective Structures. All amendments and revisions to 29 CFR 1926 and 1928, specifically §1926.1002; §1926.1003; Appendix A to Subpart W, §1928.51; §1928.52; §1928.53; and Appendix B to Subpart C that appear in the Federal Register on December 29, 2005 (70 FR 76979—77025) are adopted by reference, as amended. Effective date: September 25, 2006 (33:19 Md. R. 1559)</text> </paragraph> <paragraph num="UU-3."> <text>Signs, Signals, and Barricades. All amendments and revisions to 29 CFR §§1926.200—1926-203 that appear in the Federal Register on September 12, 2002 (67 FR 57722—57736) are adopted by reference. Effective date: January 10, 2003 (30:5 Md. R. 363; 30:7 Md. R. 486)</text> </paragraph> <paragraph num="VV."> <text>Single-Piece and Multi-Piece Rim Wheels.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1910.177 that appear in the Federal Register on January 29, 1980 (45 FR 6713—6716) are adopted by reference. Effective date: August 22, 1980 (7:17 Md. R. 1671)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1910.177 that appear in the Federal Register on February 3, 1984 (49 FR 4349—4352) are adopted by reference. Effective date: November 5, 1984 (11:22 Md. R. 1898)</text> </paragraph> <paragraph num="(3)"> <text>All amendments and revisions to 29 CFR §1910.177 and Appendix B, that appear in the Federal Register on September 8, 1988 (53 FR 34737) are adopted by reference. Effective date: February 20, 1989 (16:3 Md. R. 342)</text> </paragraph> </paragraph> <paragraph num="WW."> <text>Stairways and Ladders Used in the Construction Industry.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §1926.450 and 1926.452 of Subpart L, §1926.500 and 1926.501 pf Subpart M, and Subpart X, §1926.1050—1926.1060, and Appendix A to Subpart X, that appear in the Federal Register on November 14, 1990 (55 FR 47687—47691); corrections to 29 CFR §§1926.1050, 1926.1051, and 1926.1053 that appear in the Federal Register on January 23, 1991 (56 FR 2585), and 29 CFR §1926.1052 on February 7, 1991 (56 FR 5061) are adopted by reference. Effective date: June 24, 1991 (18:12 Md. R. 1338)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §1926.1052(c)(1) and 1926.1053(a)(3) that appear in the Federal Register on August 23, 1991 (56 FR 41793—41794) are adopted by reference. Effective date: December 23, 1991 (18:25 Md. R. 2750)</text> </paragraph> </paragraph> <paragraph num="WW-1."> <text>Steel Erection; Slip Resistance of Skeletal Structural Steel. All amendments and revisions of 29 CFR 1926, specifically §1926.754 and Appendix B, that appear in the Federal Register on January 18, 2006 (71 FR 2879—2885) are adopted by reference, as amended. Effective date: January 1, 2007 (33:26 Md. R. 1996)</text> </paragraph> <paragraph num="XX."> <text>Telecommunications (see also A, In General); Telecommunications Training Records. All amendments and revisions to 29 CFR §1910.268(c), that appear in the Federal Register on September 28, 1987 (52 FR 36387) are adopted by reference with the changes indicated at 14:25 Md. R. 2671. Effective date: February 22, 1988 (15:4 Md. R. 471)</text> </paragraph> <paragraph num="YY."> <text>Underground Construction, Caisson, Cofferdams, and Compressed Air. All amendments and revisions to 29 CFR §1926.800, Subpart S, that appear in the Federal Register on June 2, 1989 (54 FR 23850—23857) are adopted by reference with the changes indicated at 16:23 Md. R. 2508. Effective date: January 22, 1990 (17:1 Md. R. 69)</text> </paragraph> <paragraph num="ZZ."> <text>Vinyl Chloride (see A, In General, and QQ, Mechanical Power Presses).</text> </paragraph> <paragraph num="ZZ-1."> <text>Welding, Cutting, and Brazing.</text> <paragraph num="(1)"> <text>All amendments and revisions to 29 CFR §§1910.251—1910.257 that appear in the Federal Register on April 11, 1990 (55 FR 13696—13711) are adopted by reference. Effective date: August 20, 1990 (17:16 Md. R. 1991)</text> </paragraph> <paragraph num="(2)"> <text>All amendments and revisions to 29 CFR §§1910.110, 1910.272, and Appendix A of 1910.272, that appear in the Federal Register on June 20, 1990 (55 FR 25094) are adopted by reference. Effective date: November 12, 1990 (17:22 Md. R. 2655)</text> </paragraph> </paragraph> <paragraph num="ZZ-2."> <text>Workplace Equipment and Materials — +Safety Testing or Certification. All amendments and revisions to 29 CFR §1910; 29 CFR §1910.7 and Appendix A, Subpart A; 29 CFR §1910.28, Subpart D; 29 CFR §1910.35, Subpart E; 29 CFR §§1910.103, 1910.106—.111, Subpart H; 29 CFR §1910.155, Subpart L; 29 CFR §1910.178, .180, and .181, Subpart N; 29 CFR §1910.251, Subpart Q; 29 CFR §1910.265 and .266, Subpart R; and 29 CFR §1910.399, Subpart S, that appear in the Federal Register on April 12, 1988 (53 FR 12120—12125), together with the technical correction to 29 CFR §1910.7(b)(2)(i) that appears in the Federal Register on May 11, 1988 (53 FR 16838), are adopted by reference. Effective date: September 5, 1988 (15:18 Md. R. 2146)</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(5), 5-309(a)(1), and 5-312(b), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: June 1, 1974</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.07 amended effective January 13, 1978 (5:1 Md. R. 18)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective August 6, 1975 (2:17 Md. R. 1188)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D amended effective August 1, 1983 (10:15 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03H amended effective August 22, 1980 (7:17 Md. R. 1672)</annotation> <annotation type="History" subtype="Administrative History">Regulations .03I, .04G, .07A, C, D, E, J, L amended effective August 25, 1978 (5:17 Md. R. 1328)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective December 23, 1991 (18:25 Md. R. 2750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04G adopted effective August 6, 1975 (2:17 Md. R. 1188)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04-1 adopted effective December 23, 1991 (18:25 Md. R. 2750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04-1 amended as an emergency provision effective November 25, 1992 (19:25 Md. R. 2196)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04-1 amended effective April 26, 1993 (20:8 Md. R. 722)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05C, D, E, G amended effective May 29, 1981 (8:11 Md. R. 973)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D amended effective November 9, 1981 (8:22 Md. R. 1784)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05H—J adopted effective May 29, 1981 (8:11 Md. R. 973)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06E and F adopted effective August 6, 1975 (2:17 Md. R. 1188)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07F amended effective May 2, 1980 (7:9 Md. R. 847)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07K adopted effective August 6, 1975 (2:17 Md. R. 1188)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07M adopted effective May 29, 1981 (8:11 Md. R. 973)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07N, O adopted effective August 1, 1983 (10:15 Md. R. 1350)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 adopted effective August 25, 1978 (5:17 Md. R. 1328)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 adopted effective May 29, 1981 (8:11 Md. R. 974)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.09 repealed effective July 5, 1993 (20:13 Md. R. 1048)</annotation> <annotation type="History" subtype="Administrative History">Chapter 31 Maryland Occupational Safety and Health Act — Incorporation by Reference of Federal Standards.</annotation> </annotations> </chapter> <chapter num="32" heading="Heat Stress Standards"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of this chapter is to establish minimum requirements for employers to protect employees from heat-related illness caused by heat stress in the workplace.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Scope."> <paragraph num="A."> <text>This chapter applies to an employer with employees whose employment activities, indoor or outdoor, expose employees to a heat index in the area where the employee is working that equals or exceeds 80 degrees Fahrenheit.</text> </paragraph> <paragraph num="B."> <text>This chapter does not apply to:</text> <paragraph num="(1)"> <text>Emergency operations and essential services as defined in Regulation .03B(4) of this chapter that involve protecting life or property;</text> </paragraph> <paragraph num="(2)"> <text>Incidental exposures when an employee is not required to perform work activities for more than 15 consecutive minutes per hour; or</text> </paragraph> <paragraph num="(3)"> <text>Buildings, structures, and vehicles that have a mechanical ventilation system or fan that maintains the heat index below 80 degrees.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Acclimatization” means the body's temporary adaptation to work in heat that occurs as a person is exposed over time.</text> </paragraph> <paragraph num="(2)"> <text>“Alternative cooling and control measures” means engineering, work-practice, administrative, or other controls to manage heat, including job rotation, mechanical ventilation systems, misting equipment, cooling vests, air-cooled or water-cooled garments, and access to recreational water.</text> </paragraph> <paragraph num="(3)"> <text>“Drinking water” means potable water that is safe to drink and cool in temperature.</text> </paragraph> <paragraph num="(4)"> <text>“Emergency operations and essential service” means work in connection with an emergency that requires the involvement of law enforcement, emergency medical services, firefighting, rescue and evacuation operations, or emergency restoration of essential utilities or telecommunications.</text> </paragraph> <paragraph num="(5)"> <text>“Heat index” means a measure of how hot it feels when relative humidity is taken into account along with the actual air temperature, which can be extrapolated from temperature and relative humidity using the National Weather Service Heat Index Calculator.</text> </paragraph> <paragraph num="(6)"> <text>“High-heat conditions” means working conditions where the heat index of the work area equals or exceeds 90 degrees Fahrenheit.</text> </paragraph> <paragraph num="(7)"> <text>“Shade or shaded areas” means blockage of direct sunlight.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Heat-Related Illness Prevention and Management Plan."> <paragraph num="A."> <text>An employer shall monitor the heat index throughout the work shift in areas where employees perform work using one of the following methods:</text> <paragraph num="(1)"> <text>Direct measurement of the temperature and humidity at the same time and location in the areas where employees perform work;</text> </paragraph> <paragraph num="(2)"> <text>Use of local weather data reported by the National Weather Service or other recognized source to determine the heat index; or</text> </paragraph> <paragraph num="(3)"> <text>Use of the National Institute for Occupational Safety and Health’s Heat Safety Tool application to determine the heat index.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An employer whose employees work in buildings and structures that do not have a mechanical ventilation system shall directly measure the temperature and humidity at the same time and location in areas where employees perform work.</text> </paragraph> <paragraph num="C."> <text>An employer shall develop, implement, and maintain an effective heat-related illness prevention and management plan in writing.</text> </paragraph> <paragraph num="D."> <text>The heat-related illness prevention and management plan shall contain the following elements:</text> <paragraph num="(1)"> <text>How sufficient amounts of drinking water will be provided;</text> </paragraph> <paragraph num="(2)"> <text>How employees will be provided sufficient opportunities and encouragement to stay hydrated by drinking water;</text> </paragraph> <paragraph num="(3)"> <text>How to recognize the symptoms of heat-related illness, including heat exhaustion and heat stroke;</text> </paragraph> <paragraph num="(4)"> <text>How to respond to suspected heat-related illness, including heat exhaustion and heat stroke;</text> </paragraph> <paragraph num="(5)"> <text>How employees will be provided with sufficient time and space to rest in shaded or cool, climate-controlled areas to cool off;</text> </paragraph> <paragraph num="(6)"> <text>How the employer will implement rest break schedules as necessary;</text> </paragraph> <paragraph num="(7)"> <text>How the employer will consider environmental conditions, workload, required clothing, personal protective equipment, and alternative cooling and control measures when determining rest break schedules;</text> </paragraph> <paragraph num="(8)"> <text>How employees will be encouraged to take rest breaks as needed to prevent heat-related illness;</text> </paragraph> <paragraph num="(9)"> <text>How employees will be trained on the hazards of heat exposure and the necessary steps to prevent heat-related illness;</text> </paragraph> <paragraph num="(10)"> <text>The use and maintenance of alternative cooling and control measures used to manage heat;</text> </paragraph> <paragraph num="(11)"> <text>Procedures for heat acclimatization in accordance with Regulation .05 of this chapter;</text> </paragraph> <paragraph num="(12)"> <text>Procedures for high-heat conditions in accordance with Regulation .08 of this chapter; and</text> </paragraph> <paragraph num="(13)"> <text>The emergency response plan in accordance with Regulation .09 of this chapter.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The written plan shall be made available and accessible to:</text> <paragraph num="(1)"> <text>Employees; and</text> </paragraph> <paragraph num="(2)"> <text>MOSH upon request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Acclimatization."> <paragraph num="A."> <text>An employer shall provide for acclimatization of exposed employees for a period of up to 14 days:</text> <paragraph num="(1)"> <text>When an employee is newly exposed to heat in the workplace; and</text> </paragraph> <paragraph num="(2)"> <text>When an employee returns to work after 7 or more consecutive days of absence from the workplace.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An employer shall monitor employees during the acclimatization period for signs of heat-related illness through regular communication via:</text> <paragraph num="(1)"> <text>Phone or radio;</text> </paragraph> <paragraph num="(2)"> <text>A buddy system; or</text> </paragraph> <paragraph num="(3)"> <text>Other effective means of observation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An employer shall develop and implement an acclimatization schedule which complies with one of the following:</text> <paragraph num="(1)"> <text>A schedule which gradually increases exposure time over a 5—14 day period, with a maximum 20 percent increase each day;</text> </paragraph> <paragraph num="(2)"> <text>A schedule which uses the current National Institute for Occupational Safety and Health’s recommendations for acclimatization; or</text> </paragraph> <paragraph num="(3)"> <text>A schedule which uses a combination of gradual introduction and alternative cooling and control measures that acclimate an employee to the heat.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The acclimatization schedule shall be in writing and consider the following elements:</text> <paragraph num="(1)"> <text>Acclimated and unacclimated employees;</text> </paragraph> <paragraph num="(2)"> <text>The environmental conditions and anticipated workload;</text> </paragraph> <paragraph num="(3)"> <text>The impact of required clothing and personal protective equipment to the heat burden on employees;</text> </paragraph> <paragraph num="(4)"> <text>The personal risk factors that put an employee at a higher risk of heat-related illness;</text> </paragraph> <paragraph num="(5)"> <text>Re-acclimatizing employees as necessary, in accordance with §A of this regulation; and</text> </paragraph> <paragraph num="(6)"> <text>The use of alternative cooling and control measures.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Shade Access."> <paragraph num="A."> <text>Except as provided in §§C and D of this regulation, an employer shall provide shaded areas to exposed employees as close to the work area as practicable.</text> </paragraph> <paragraph num="B."> <text>Shaded areas shall:</text> <paragraph num="(1)"> <text>Be outside, open, and exposed to air on at least three sides;</text> </paragraph> <paragraph num="(2)"> <text>Prevent contributing heat sources from reducing effectiveness;</text> </paragraph> <paragraph num="(3)"> <text>Be sufficiently sized for the number of employees utilizing the shaded area;</text> </paragraph> <paragraph num="(4)"> <text>Be arranged in a configuration that allows employees to sit in normal posture; and</text> </paragraph> <paragraph num="(5)"> <text>Accommodate the removal and storage of personal protective equipment during periods of use.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If creating outdoor shade is demonstrably infeasible or unsafe in the work area, the employer shall implement alternative cooling and control measures that provide equivalent protection to shade.</text> </paragraph> <paragraph num="D."> <text>An employer may provide cooling with an indoor mechanical ventilation system as an alternative to outdoor shade provided that the indoor space satisfies the requirements of §B(2)—(5) of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Drinking Water."> <paragraph num="A."> <text>An employer shall:</text> <paragraph num="(1)"> <text>Provide drinking water at no cost to exposed employees as close to the work area as practicable; and</text> </paragraph> <paragraph num="(2)"> <text>Make available at least 32 ounces of drinking water per hour to each exposed employee per work day.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An employer is not required to provide the entire drinking water supply at the beginning of an employee’s shift but shall make drinking water available at all times while work is being performed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="High-Heat Procedures."> <paragraph num="A."> <text>An employer shall implement high-heat procedures when the heat index reaches or exceeds 90 degrees Fahrenheit in the area where the work is being performed.</text> </paragraph> <paragraph num="B."> <text>The high-heat procedures shall include a work and rest schedule to protect employees from heat-related illness that is adjusted for environmental conditions, workload, and impact of required clothing or personal protective equipment.</text> </paragraph> <paragraph num="C."> <text>Except as provided in §D of this regulation, the high-heat procedures shall include:</text> <paragraph num="(1)"> <text>Both:</text> <paragraph num="(a)"> <text>A minimum rest period of 10 minutes for every 2 hours worked where employees are exposed to a heat index above 90 and below 100 degrees Fahrenheit; and</text> </paragraph> <paragraph num="(b)"> <text>A minimum rest period of 15 minutes for every hour worked where employees are exposed to a heat index above 100 degrees Fahrenheit; or</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A rest period as provided for in the current National Institute for Occupational Safety and Health recommendations for work and rest schedules to manage heat exposures.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If an employer can demonstrate effective heat management and protection from heat-related illness through alternative cooling and control measures, the work and rest schedules set forth in §C of this regulation may not be required.</text> </paragraph> <paragraph num="E."> <text>If an employer utilizes alternative cooling and control measures under §D of this regulation, the measures:</text> <paragraph num="(1)"> <text>Shall be readily available and accessible to employees at all times work is being performed;</text> </paragraph> <paragraph num="(2)"> <text>Shall be documented in writing; and</text> </paragraph> <paragraph num="(3)"> <text>May not supersede any other requirements of this chapter.</text> </paragraph> </paragraph> <paragraph num="F."> <text>An employer may coincide rest periods with a scheduled rest or meal period.</text> </paragraph> <paragraph num="G."> <text>Rest periods shall be taken in the shade in accordance with Regulation .06 of this chapter.</text> </paragraph> <paragraph num="H."> <text>An employer may not discourage employees from taking rest breaks as needed to prevent heat-related illness.</text> </paragraph> <paragraph num="I."> <text>When high-heat procedures are in effect, an employer shall monitor exposed employees for signs of heat-related illness with regular communication via:</text> <paragraph num="(1)"> <text>Phone or radio;</text> </paragraph> <paragraph num="(2)"> <text>A buddy system; or</text> </paragraph> <paragraph num="(3)"> <text>Other effective means of observation.</text> </paragraph> </paragraph> <paragraph num="J."> <text>An employer shall make high-heat procedures available in writing in a language and manner that all employees can understand.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Emergency Response."> <text>An employer shall implement an emergency response plan that includes procedures for:\</text> <paragraph num="A."> <text>Ensuring effective and accessible means of communication at all times at the worksite to enable an employee to contact a supervisor or emergency medical services;</text> </paragraph> <paragraph num="B."> <text>Responding to signs and symptoms of possible heat-related illness in employees;</text> </paragraph> <paragraph num="C."> <text>Monitoring and providing care to employees who are exhibiting symptoms of heat-related illness; and</text> </paragraph> <paragraph num="D."> <text>Contacting emergency medical services and, if necessary, transporting employees to a location accessible to emergency medical services.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Training."> <paragraph num="A."> <text>An employer shall:</text> <paragraph num="(1)"> <text>Provide initial heat stress training to employees and supervisors covered by this chapter prior to an employee’s first exposure to heat;</text> </paragraph> <paragraph num="(2)"> <text>Re-train employees and supervisors at least:</text> <paragraph num="(a)"> <text>Annually prior to exposure; and</text> </paragraph> <paragraph num="(b)"> <text>Immediately following any incident at the worksite involving a suspected or confirmed heat-related illness;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Present training in a language and manner that all employees and supervisors can understand;</text> </paragraph> <paragraph num="(4)"> <text>Ensure that training includes at least:</text> <paragraph num="(a)"> <text>The work and environmental conditions that affect heat-related illness;</text> </paragraph> <paragraph num="(b)"> <text>The personal risk factors that affect heat-related illness;</text> </paragraph> <paragraph num="(c)"> <text>The concept, importance, and methods of acclimatization;</text> </paragraph> <paragraph num="(d)"> <text>The importance of frequent consumption of water and rest breaks in preventing heat-related illness;</text> </paragraph> <paragraph num="(e)"> <text>The types of heat-related illness, signs and symptoms of heat-related illness, and the appropriate first aid and emergency response measures;</text> </paragraph> <paragraph num="(f)"> <text>The importance of and procedures for employees immediately reporting to the employer signs and symptoms of heat-related illness; and</text> </paragraph> <paragraph num="(g)"> <text>The employer’s procedures and the requirements for complying with this chapter; and</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>maintain training records for one year from the date on which the training occurred.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The training records required by this regulation shall include:</text> <paragraph num="(1)"> <text>The names of the persons trained;</text> </paragraph> <paragraph num="(2)"> <text>The dates of the training sessions; and</text> </paragraph> <paragraph num="(3)"> <text>A summary or outline of the content of the training sessions.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The training records shall be made available to MOSH upon request.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(5) and 5-1201(b), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 16, 1984 (11:1 Md. R. 43)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 09.12.32C to 09.12.32 (13:11 Md. R. 1272)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective November 28, 1988 (15:24 Md. R. 2768)</annotation> <annotation type="History" subtype="Administrative History">Regulations 01-.16 under 09.12.32 Maryland Occupational Safety and Health Standard for Occupational Exposure to Lead in Construction Work, repealed effective March 28, 1994 (21:6 Md. R. 466)</annotation> <annotation type="History" subtype="Administrative History">New Regulations .01—.10 under Heat Stress Standards adopted effective September 30, 2024 (51:19 Md. R. 854)</annotation> </annotations> </chapter> <chapter num="33" heading="Maryland Occupational Safety and Health Regulations for Access to Information about Hazardous and Toxic Substances"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The requirements in this chapter supplement the provisions of Labor and Employment Article, § 5-401--5-410, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Chemical Information List."> <paragraph num="A."> <text>The employer compiling a chemical information list shall ensure that:</text> <paragraph num="(1)"> <text>The complete name and business address of the employer submitting the list, the name and telephone number of a contact person, and the date of preparation or revision is noted on the first page of the list;</text> </paragraph> <paragraph num="(2)"> <text>Either the chemical or common name on the list is the identity shown on the MSDS and label;</text> </paragraph> <paragraph num="(3)"> <text>When a chemical is added to the list, the date of addition appears next to the addition.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If symbols, letters, or numbers are used to identify work areas, the employer shall also provide a key, map, or other descriptive identification.</text> </paragraph> <paragraph num="C."> <text>The employer shall, upon request, assure the immediate access of the Commissioner of Labor and Industry to the chemical information list.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4) and 5-312, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 25, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective November 27, 1989 (16:23 Md. R. 2505)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective November 27, 1989 (16:23 Md. R. 2505)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C, D amended effective November 27, 1989 (16:23 Md. R. 2505)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective November 27, 1989 (16:23 Md. R. 2505)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.05 repealed, new Regulation .01 adopted, and Regulation .06 recodified to be Regulation .02 effective December 24, 1990 (17:25 Md. R. 2907)</annotation> </annotations> </chapter> <chapter num="34" heading="" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: January 19, 1977 (4:2 Md. R. 87)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 09.12.32A to 09.12.34 (13:11 Md. R. 1272)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective October 17, 1988 (15:21 Md. R. 2468)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective July 5, 1993 (20:13 Md. R. 1048)</annotation> </annotations> </chapter> <chapter num="35" heading="Maryland Occupational Safety and Health Standard for Confined Spaces" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: June 2, 1978 (5:11 Md. R. 883)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 09.12.32B to 09.12.35 (13:11 Md. R. 1272)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective November 28, 1988 (15:24 Md. R. 2769)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective July 5, 1993 (20:13 Md. R. 1048)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.05 repealed effective January 2, 2017 (43:26 Md. R. 1444)</annotation> </annotations> </chapter> <chapter num="36" heading="Maryland Occupational Safety and Health Standard for Field Sanitation"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter applies to any agricultural establishment where employees perform hand-labor operations in the field.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>The following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Agricultural employer” means any person, corporation, association, or other legal entity that:</text> <paragraph num="(a)"> <text>Owns or operates an agricultural establishment;</text> </paragraph> <paragraph num="(b)"> <text>Contracts with the owner or operator of an agricultural establishment in advance of production for the purchase of a crop and exercises substantial control over production; or</text> </paragraph> <paragraph num="(c)"> <text>Recruits and supervises employees or is responsible for the management and condition of an agricultural establishment.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Agricultural establishment” means any business operation which uses paid employees in the production of food, fiber, materials such as seed, seedlings, and plants, or other agricultural or horticultural commodities.</text> </paragraph> <paragraph num="(3)"> <text>“Employee” means an employee as defined in Labor and Employment Article, §5-101(c), Annotated Code of Maryland, and includes any person engaged in hand-labor operations in the field.</text> </paragraph> <paragraph num="(4)"> <text>Hand-Labor Operations. “Hand-labor operations”:</text> <paragraph num="(a)"> <text>Means agricultural activities or operations performed by hand or with hand tools, including the:</text> <paragraph num="(i)"> <text>Harvest of vegetables, nuts, and fruit,</text> </paragraph> <paragraph num="(ii)"> <text>Weeding of crops,</text> </paragraph> <paragraph num="(iii)"> <text>Planting of seedlings, and</text> </paragraph> <paragraph num="(iv)"> <text>Except for the purposes of Regulation .03C(5)(a), other activities or operations performed in conjunction with hand-labor in the field;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Does not include:</text> <paragraph num="(i)"> <text>Activities such as logging operations and the care or feeding of livestock, or</text> </paragraph> <paragraph num="(ii)"> <text>Hand-labor operations in permanent structures including poultry operations, canning facilities, or packing houses.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Handwashing facility” means a facility consisting of a basin, container, or outlet, and an adequate supply of potable water, soap, and single-use towels.</text> </paragraph> <paragraph num="(6)"> <text>“Potable water” means water that meets the quality standards for drinking purposes prescribed by the State or local authority having jurisdiction, or the U.S. Environmental Protection Agency's National Interim Primary Drinking Water Regulations, 40 CFR Part 141, here incorporated by reference.</text> </paragraph> <paragraph num="(7)"> <text>Toilet Facility. “Toilet facility”:</text> <paragraph num="(a)"> <text>Means either a fixed, portable, or transportable facility designed for the purpose of defecation and urination; and</text> </paragraph> <paragraph num="(b)"> <text>May include biological or chemical toilets, combustion toilets, or sanitary privies, when allowed by the Maryland Department of Health.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements."> <paragraph num="A."> <text>Agricultural employers shall provide potable drinking water and toilet and handwashing facilities in accordance with this standard for employees engaged in hand-labor operations in the field, without cost to the employee.</text> </paragraph> <paragraph num="B."> <text>Potable Drinking Water.</text> <paragraph num="(1)"> <text>The agricultural employer shall provide potable drinking water in locations readily accessible to all employees.</text> </paragraph> <paragraph num="(2)"> <text>The agricultural employer, taking into account the air temperature, humidity, and the nature of the work performed, shall ensure that the water is suitably cool and in sufficient amounts to meet the needs of employees.</text> </paragraph> <paragraph num="(3)"> <text>Dispensing.</text> <paragraph num="(a)"> <text>Common drinking cups or dippers may not be used.</text> </paragraph> <paragraph num="(b)"> <text>The water shall be dispensed in single use drinking cups or by fountains.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Toilet and Handwashing Facilities.</text> <paragraph num="(1)"> <text>The requirements in this section apply to agricultural establishments where 11 or more employees perform hand-labor operations in the field on any given day.</text> </paragraph> <paragraph num="(2)"> <text>Toilet and handwashing facilities are not required for employees who perform field work for a period of 3 hours or less during the day, including transportation time to and from the field.</text> </paragraph> <paragraph num="(3)"> <text>Ratio.</text> <paragraph num="(a)"> <text>One toilet facility and one handwashing facility shall be provided for each 20 employees or fraction of that amount.</text> </paragraph> <paragraph num="(b)"> <text>The ratio of toilet facilities to employees may be increased to one facility for every 30 employees when the frequency of servicing is increased to ensure that the facility is maintained in a clean and sanitary condition.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Toilet facilities shall:</text> <paragraph num="(a)"> <text>Be constructed to ensure privacy;</text> </paragraph> <paragraph num="(b)"> <text>Have self-closing doors which can be closed and latched from the inside;</text> </paragraph> <paragraph num="(c)"> <text>Be supplied with toilet paper adequate to meet employee needs;</text> </paragraph> <paragraph num="(d)"> <text>Be adequately ventilated; and</text> </paragraph> <paragraph num="(e)"> <text>Appropriately screened.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Location.</text> <paragraph num="(a)"> <text>Toilet and handwashing facilities shall be:</text> <paragraph num="(i)"> <text>Accessibly located; and</text> </paragraph> <paragraph num="(ii)"> <text>Within 1/4 mile of each employee's place of work in the field.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>When it is not feasible to locate facilities accessibly and within the required distance due to the terrain, the facilities shall be located at the point of closest vehicular access.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Maintenance. Potable drinking water and toilet and handwashing facilities shall be maintained in accordance with appropriate public health sanitation practices, including the following:</text> <paragraph num="(1)"> <text>Drinking water containers shall be:</text> <paragraph num="(a)"> <text>Constructed of materials that maintain water quality,</text> </paragraph> <paragraph num="(b)"> <text>Kept covered, and</text> </paragraph> <paragraph num="(c)"> <text>Refilled daily or more often as necessary;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Toilet facilities shall be operational and maintained in a clean and sanitary condition;</text> </paragraph> <paragraph num="(3)"> <text>Handwashing facilities shall be maintained in a clean and sanitary condition; and</text> </paragraph> <paragraph num="(4)"> <text>Disposal of wastes from facilities may not cause unsanitary conditions.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Reasonable Use. Employees shall be allowed reasonable opportunities during the workday to use the facilities.</text> </paragraph> <paragraph num="F."> <text>Informational Program. To minimize exposure to hazards of heat, communicable diseases, retention of urine, and agrichemical residues, the employer shall inform each employee of the importance of each of the following good hygiene practices:</text> <paragraph num="(1)"> <text>Use the water provided for drinking and handwashing;</text> </paragraph> <paragraph num="(2)"> <text>Use the toilet for elimination;</text> </paragraph> <paragraph num="(3)"> <text>Drink water frequently and especially on hot days;</text> </paragraph> <paragraph num="(4)"> <text>Urinate as frequently as necessary; and</text> </paragraph> <paragraph num="(5)"> <text>Wash hands:</text> <paragraph num="(a)"> <text>Both before and after using the toilet,</text> </paragraph> <paragraph num="(b)"> <text>Before eating and smoking.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4) and 5-312, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 1, 1986 (13:24 Md. R. 2558)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective October 15, 1988 (15:17 Md. R. 2048)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended effective October 15, 1988 (15:17 Md. R. 2048)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D amended effective October 15, 1988 (15:17 Md. R. 2048)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03F adopted effective October 15, 1988 (15:17 Md. R. 2048)</annotation> </annotations> </chapter> <chapter num="37" heading="" reason="VACANT" /> <chapter num="38" heading="General Industry Standard for Personnel Platforms Suspended from Cranes, Derricks, and Hoists"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter applies to the design, construction, testing, use, and maintenance of personnel platforms, and the hoisting of personnel platforms on the load lines of cranes, derricks, and hoists.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In these regulations, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Competent designated person” means a knowledgeable person approved or assigned by the employer who has the authority to take prompt corrective measures to eliminate identified existing or predictable hazards in the surroundings, working conditions, or equipment which may be dangerous to employees.</text> </paragraph> <paragraph num="(2)"> <text>Crane.</text> <paragraph num="(a)"> <text>“Crane” means a machine driven manually or by power for lifting and lowering a load and moving it horizontally, with the hoisting mechanism an integral part of the machine.</text> </paragraph> <paragraph num="(b)"> <text>“Crane” also includes derricks.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Failure” means load refusal, breakage, or separation of components.</text> </paragraph> <paragraph num="(4)"> <text>“Hoist” means a device used to lift or lower a load.</text> </paragraph> <paragraph num="(5)"> <text>“Hoisting” or “to hoist” means all crane or derrick functions, such as lowering, lifting, swinging, booming in and out or up and down, or suspending a personnel platform.</text> </paragraph> <paragraph num="(6)"> <text>“Jib” means a structural extension added to the boom tip for the purpose of handling loads at higher elevations than they would otherwise be handled by the main boom.</text> </paragraph> <paragraph num="(7)"> <text>“Live boom” means a boom in which lowering is controlled by a brake without aid from other devices which slow the lowering speeds.</text> </paragraph> <paragraph num="(8)"> <text>“Load refusal” means the point where the ultimate strength is exceeded.</text> </paragraph> <paragraph num="(9)"> <text>“Main boom” means the structural component as designed by the manufacturer which enables cranes or derricks to handle loads at various radii.</text> </paragraph> <paragraph num="(10)"> <text>“Maximum intended load” means the total load of all employees, tools, and materials reasonably anticipated to be applied to a personnel platform or personnel platform component at any one time.</text> </paragraph> <paragraph num="(11)"> <text>“Qualified” means one who, by possession of a recognized degree, certificate, or professional standing, has successfully demonstrated their ability to design mechanical or structural objects.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Restricted Use."> <paragraph num="A."> <text>Except when the erection, use, and dismantling of conventional means of reaching the worksite, such as a personnel hoist, ladder, stairway, aerial lift, elevating work platform, or scaffold either would be more hazardous, or is not possible because of structural design or worksite conditions, the use of a crane, derrick, or hoist to hoist employees on a personnel platform is prohibited.</text> </paragraph> <paragraph num="B."> <text>When used, a personnel platform shall meet the applicable requirements of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Operational Criteria."> <paragraph num="A."> <text>Free fall is prohibited.</text> </paragraph> <paragraph num="B."> <text>The use of machines having live booms is prohibited.</text> </paragraph> <paragraph num="C."> <text>A jib, boom extension, or similar attachment may not be used to hoist a personnel platform.</text> </paragraph> <paragraph num="D."> <text>Except where the electrical distribution, transmission, and service lines have been deenergized and visibly grounded at the point of work or where insulating barriers not a part of or an attachment to the cranes and hoists have been erected to prevent physical contact with the lines, cranes and hoists shall be operated proximate to, under, over, by, or near powerlines only in accordance with the following:</text> <paragraph num="(1)"> <text>For a line rated 50 kilovolts or below, the minimum clearance between the line and any part of the crane, hoist, or load shall be 10 feet;</text> </paragraph> <paragraph num="(2)"> <text>For a line rated over 50 kilovolts, the minimum clearance between the line and any part of the crane, hoist, or load shall be either 10 feet plus 0.4 inch for each 1.0 kilovolt over 50 kilovolts or twice the length of the line insulator, but never less than 10 feet.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Hoisting of the personnel platform shall be performed in a slow, controlled, cautious manner with no sudden movements of the crane, hoist, or the platform.</text> </paragraph> <paragraph num="F."> <text>Load lines shall be capable of supporting, without failure, at least double the current safety factor for the specific type of crane being used by applying the 50 percent derating of the crane and hoist capacity.</text> </paragraph> <paragraph num="G."> <text>Load and boom hoist drum brakes, swing brakes, and locking devices, such as pawls or dogs, shall be engaged when the occupied personnel platform is in a stationary working position.</text> </paragraph> <paragraph num="H."> <text>Mobile cranes shall comply with the following:</text> <paragraph num="(1)"> <text>Only the main boom shall be used to hoist a personnel platform;</text> </paragraph> <paragraph num="(2)"> <text>The crane shall be uniformly level within 1 percent of level grade and located on firm footing;</text> </paragraph> <paragraph num="(3)"> <text>All pneumatic tired cranes used to lift or lower personnel platforms shall be equipped with outriggers or stabilizers;</text> </paragraph> <paragraph num="(4)"> <text>All outriggers or stabilizers, or both, shall be fully extended and set;</text> </paragraph> <paragraph num="(5)"> <text>Carrier wheels within the boundary of the outriggers shall be relieved of their weight;</text> </paragraph> <paragraph num="(6)"> <text>On a crawler crane, the track shall be fully extended.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The total weight of the loaded personnel platform and related rigging may not exceed 50 percent of the rated capacity for the radius and configuration of the crane.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Instruments and Components."> <paragraph num="A."> <text>A crane with variable angle booms shall be equipped with a boom angle indicator, readily visible to the operator.</text> </paragraph> <paragraph num="B."> <text>A crane with telescoping booms shall be marked or equipped with a device to indicate clearly to the operator at all times the boom's extended length.</text> </paragraph> <paragraph num="C."> <text>Except for an electric crane, the load line hoist drum shall have a system or device on the power train, other than the load hoist brake, that:</text> <paragraph num="(1)"> <text>Regulates the lowering rate of speed of the hoist mechanism; and</text> </paragraph> <paragraph num="(2)"> <text>Prevents free fall.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An electrical crane shall meet the requirements of 29 CFR §1910.179(f)(1), (2), and (3)(ii).</text> </paragraph> <paragraph num="E."> <text>Damage Prevention Device. A crane and hoist shall be equipped with a:</text> <paragraph num="(1)"> <text>Positive acting device, such as anti-two block, which prevents contact between the load block or overhaul ball and the boom tip; or</text> </paragraph> <paragraph num="(2)"> <text>System, such as a two block damage prevention feature, which deactivates the hoisting action before damage may occur to the load block, overhaul ball, or boom tip.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Personnel Platforms."> <paragraph num="A."> <text>Design Criteria.</text> <paragraph num="(1)"> <text>A personnel platform and suspension system shall be designed by a qualified engineer or a qualified person competent in structural design.</text> </paragraph> <paragraph num="(2)"> <text>Before a rigid suspension system is used with a personnel platform, the suspension system shall be approved by a qualified engineer.</text> </paragraph> <paragraph num="(3)"> <text>The suspension system shall be designed to minimize tipping of the platform due to movement of employees occupying the platform.</text> </paragraph> <paragraph num="(4)"> <text>The personnel platform shall be capable of supporting, without failure, its own weight and at least five times the maximum intended load.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Platform Specifications.</text> <paragraph num="(1)"> <text>Each personnel platform shall be equipped with a fall protection guardrail system which meets the requirements of 29 CFR §1910.23(e), and shall be enclosed at least from the toeboard to midrail with either solid construction or expanded metal, having openings no greater than 1/2 inch (1.27 centimeters).</text> </paragraph> <paragraph num="(2)"> <text>A grab rail shall be installed inside the entire perimeter of the personnel platform.</text> </paragraph> <paragraph num="(3)"> <text>A point of attachment for a lanyard shall be:</text> <paragraph num="(a)"> <text>Provided for each employee occupying the platform; and</text> </paragraph> <paragraph num="(b)"> <text>Appropriate for the hardware of the particular lanyard being used.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Access gates, if installed, may not swing outward.</text> </paragraph> <paragraph num="(5)"> <text>Access gates, including sliding or folding gates, shall be equipped with a restraining device to prevent accidental opening.</text> </paragraph> <paragraph num="(6)"> <text>Headroom shall be provided which allows employees to stand upright in the platform.</text> </paragraph> <paragraph num="(7)"> <text>Except over water, when employees are exposed to falling objects, in addition to the use of head protection, employees shall be protected by an overhead structure on the personnel platform.</text> </paragraph> <paragraph num="(8)"> <text>All rough edges exposed to contact by employees shall be surfaced or smoothed in order to prevent injury to employees from punctures or lacerations.</text> </paragraph> <paragraph num="(9)"> <text>All welding of the personnel platform and its components shall be performed by a qualified welder familiar with the weld grades, types, and material specified in the platform design.</text> </paragraph> <paragraph num="(10)"> <text>Identification Plate.</text> <paragraph num="(a)"> <text>The personnel platform shall be conspicuously posted with a plate or other permanent marking which indicates the following:</text> <paragraph num="(i)"> <text>Occupancy is limited to four persons;</text> </paragraph> <paragraph num="(ii)"> <text>Weight of the platform;</text> </paragraph> <paragraph num="(iii)"> <text>Rated load capacity or maximum intended load; and</text> </paragraph> <paragraph num="(iv)"> <text>Platform identifying number.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The identification plate or marking shall remain legible.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Safety Belts, Lifelines, and Lanyards.</text> <paragraph num="(1)"> <text>A lifeline, safety belt, and lanyard shall be used only for employee safeguarding.</text> </paragraph> <paragraph num="(2)"> <text>A lifeline, safety belt, or lanyard subjected to impact as a result of a full restraint of an employee's weight during a fall:</text> <paragraph num="(a)"> <text>Shall be immediately removed from service; and</text> </paragraph> <paragraph num="(b)"> <text>May not be used again for employee safeguarding.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A lifeline or lanyard attached to a safety belt shall be secured to a structural member capable of supplying a sufficient safety factor of 5,400 pounds per person secured to that structural member.</text> </paragraph> <paragraph num="(4)"> <text>Safety Belt Lanyard.</text> <paragraph num="(a)"> <text>A safety belt lanyard shall be a minimum of 1/2 inch diameter nylon, or equivalent, with a maximum length to provide for a fall of no greater than 6 feet.</text> </paragraph> <paragraph num="(b)"> <text>The lanyard shall have a nominal breaking strength of 5,400 pounds.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Safety Belt and Lanyard Hardware.</text> <paragraph num="(a)"> <text>All safety belt and lanyard hardware shall be drop-forged or pressed steel, and cadmium plated in a commercially accepted manner.</text> </paragraph> <paragraph num="(b)"> <text>Surfaces shall be smooth and free of sharp edges.</text> </paragraph> <paragraph num="(c)"> <text>All safety belt and lanyard hardware, except rivets, shall be capable of withstanding a tensile loading of 4,000 pounds without cracking, breaking, or becoming permanently deformed.</text> </paragraph> <paragraph num="(d)"> <text>A lanyard hook shall be:</text> <paragraph num="(i)"> <text>Of a self-closing design; and</text> </paragraph> <paragraph num="(ii)"> <text>Used only in accordance with manufacturer specifications.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Personnel Platform Loading.</text> <paragraph num="(1)"> <text>The personnel platform may not be loaded in excess of its rated load capacity.</text> </paragraph> <paragraph num="(2)"> <text>When a personnel platform does not have a rated load capacity, then the personnel platform may not be loaded in excess of its maximum intended load.</text> </paragraph> <paragraph num="(3)"> <text>The number of persons occupying the personnel platform shall be limited to:</text> <paragraph num="(a)"> <text>The number of employees required for the work being performed; and</text> </paragraph> <paragraph num="(b)"> <text>A maximum of four persons.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A personnel platform:</text> <paragraph num="(a)"> <text>Shall be used only to move or transport the employees, tools, and materials necessary to perform the work; and</text> </paragraph> <paragraph num="(b)"> <text>When not hoisting employees, may not be used to hoist materials or tools.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Personnel Lift.</text> <paragraph num="(a)"> <text>Before a personnel lift, materials and tools shall be:</text> <paragraph num="(i)"> <text>Evenly distributed within the confines of the platform to ensure the platform remains level while suspended; and</text> </paragraph> <paragraph num="(ii)"> <text>Secured to prevent displacement.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>During a personnel lift, materials and tools shall remain secured.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Rigging."> <paragraph num="A."> <text>When a wire rope bridle is used to connect the personnel platform to the load line, each bridle leg shall be connected to a master link or shackle in such a manner to ensure that the load is evenly divided among the bridle legs.</text> </paragraph> <paragraph num="B."> <text>A hook on an overhaul ball assembly, a lower load block, or other attachment assembly shall be:</text> <paragraph num="(1)"> <text>Of a type that can be closed and locked, eliminating the hook throat opening; or</text> </paragraph> <paragraph num="(2)"> <text>A forged steel anchor type shackle with either a forged alloy steel bolt with nut and retaining clip, or a forged alloy steel pin with retaining clip.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Wire rope, shackles, rings, master links, and other rigging hardware shall be capable of supporting, without failure, at least five times the maximum intended load applied or transmitted to that component.</text> </paragraph> <paragraph num="D."> <text>When rotation resistant rope is used, the slings shall be capable of supporting, without failure, at least ten times the maximum intended load.</text> </paragraph> <paragraph num="E."> <text>An eye in a wire rope sling shall be fabricated with thimbles.</text> </paragraph> <paragraph num="F."> <text>A bridle and associated rigging for attaching the personnel platform to the hoist line:</text> <paragraph num="(1)"> <text>Shall be used only for the platform and the necessary employees, their tools, and the materials necessary for them to perform their work; and</text> </paragraph> <paragraph num="(2)"> <text>When not hoisting personnel, may not be used for any other purpose.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Trial Lift."> <paragraph num="A."> <text>Mobile Cranes.</text> <paragraph num="(1)"> <text>A trial lift with the unoccupied personnel platform loaded at least to the weight of the maximum intended load shall be:</text> <paragraph num="(a)"> <text>Made from ground level, or any other location where employees will enter the platform, to each location to which the personnel platform will be hoisted and positioned; and</text> </paragraph> <paragraph num="(b)"> <text>Performed immediately before placing employees on the platform.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A trial lift may be performed at one time for all locations that are to be reached from a single set up position.</text> </paragraph> <paragraph num="(3)"> <text>When the crane or derrick is moved and set up in a new location or returned to a previously used location, a trial lift shall be repeated before hoisting employees.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Fixed-Track Mounted Cranes.</text> <paragraph num="(1)"> <text>A trial lift with the unoccupied personnel platform loaded at least to the weight of the maximum intended load shall be:</text> <paragraph num="(a)"> <text>Made from ground level or any other location where employees will enter the platform, to the location at which the personnel platform will be hoisted and positioned once along the route of the track; and</text> </paragraph> <paragraph num="(b)"> <text>Performed during each shift when employees will be lifted, immediately before the first lift.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A trial lift may be performed at one time for all locations that are to be reached from a single set up position.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Fixed Cranes and Hoists. A trial lift with the unoccupied personnel platform loaded at least to the weight of the maximum intended load shall be:</text> <paragraph num="(1)"> <text>Made from ground level at each location at which the personnel platform is to be hoisted and positioned; and</text> </paragraph> <paragraph num="(2)"> <text>Performed during each shift, immediately before the first lift.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Operator Requirements. For each trial lift performed under §§A, B, and C of this regulation, the employer shall ensure that the operator determines that:</text> <paragraph num="(1)"> <text>All systems, controls, and safety devices are activated and functioning properly;</text> </paragraph> <paragraph num="(2)"> <text>No interferences exist; and</text> </paragraph> <paragraph num="(3)"> <text>All configurations necessary to reach each work location will allow the operator to remain under the 50 percent limit of the rated capacity of the crane or hoist, as provided in Regulation .04F of this chapter.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Materials and tools to be used during the actual lift may be loaded in the platform as provided, in Regulation .06D(5) of this chapter, for the trial lift.</text> </paragraph> <paragraph num="F."> <text>Inspections.</text> <paragraph num="(1)"> <text>Before each personnel lift, the platform, with maximum intended load, shall be hoisted a few inches and inspected to ensure that it is secure and properly balanced.</text> </paragraph> <paragraph num="(2)"> <text>Before an employee is hoisted, the employer shall ensure that:</text> <paragraph num="(a)"> <text>Hoist ropes shall be free of kinks;</text> </paragraph> <paragraph num="(b)"> <text>Multiple part lines may not be twisted around each other;</text> </paragraph> <paragraph num="(c)"> <text>The primary attachment shall be centered over the platform; and</text> </paragraph> <paragraph num="(d)"> <text>If the load rope is slack, the hoisting system is inspected to ensure all ropes are properly seated on drums and in sheaves.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Visual Inspection.</text> <paragraph num="(a)"> <text>Immediately after the trial lift, a visual inspection of the crane, hoist, rigging, personnel platform, and the base support or ground shall be conducted by a competent designated person to determine whether the testing has exposed any defect or produced any adverse effect upon any component or structure.</text> </paragraph> <paragraph num="(b)"> <text>The inspection shall include, but not be limited to, all wire rope, hooks, brakes, the boom, safety devices, and other mechanical, structural, and rigging equipment.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Any defect found during the trial lift or inspection which creates a safety hazard shall be corrected before hoisting personnel.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Prooftesting of Platform and Rigging."> <paragraph num="A."> <text>An employer may not hoist employees on a personnel platform until the following prooftesting requirements are satisfied.</text> </paragraph> <paragraph num="B."> <text>The platform and rigging shall be prooftested to 125 percent of the platform's rated capacity.</text> </paragraph> <paragraph num="C."> <text>Prooftesting shall be performed by holding the platform in a suspended position for 5 minutes with the test load evenly distributed on the platform.</text> </paragraph> <paragraph num="D."> <text>After prooftesting:</text> <paragraph num="(1)"> <text>A competent designated person shall inspect the platform and rigging; and</text> </paragraph> <paragraph num="(2)"> <text>If any deficiency is found, then before employees are hoisted:</text> <paragraph num="(a)"> <text>It shall be corrected, and</text> </paragraph> <paragraph num="(b)"> <text>Another prooftest shall be conducted.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The platform and rigging shall be prooftested:</text> <paragraph num="(1)"> <text>Before the first use to lift personnel;</text> </paragraph> <paragraph num="(2)"> <text>Annually after that; and</text> </paragraph> <paragraph num="(3)"> <text>After any repair or modification.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The prooftesting may be performed concurrently with any trial lift conducted at a time set forth in Regulation .08A, B, or C of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Certification Record."> <paragraph num="A."> <text>The employer shall prepare a certification record which includes:</text> <paragraph num="(1)"> <text>The date the personnel platform items were inspected;</text> </paragraph> <paragraph num="(2)"> <text>The signature of the person who inspected the personnel platform items;</text> </paragraph> <paragraph num="(3)"> <text>A serial number, or other identifier, for the personnel platform inspected; and</text> </paragraph> <paragraph num="(4)"> <text>The date of the prooftest.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The most recent certification record shall be maintained on file until a new one is prepared.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Work Practices."> <paragraph num="A."> <text>Except for an occupant of the platform performing the duties of a signal person, employees shall keep all parts of the body inside the platform during raising, lowering, and positioning.</text> </paragraph> <paragraph num="B."> <text>When employees are to exit or enter a hoisted personnel platform that is not landed, the platform shall first be secured to the structure where access or egress is to take place, unless securing to the structure creates an unsafe situation.</text> </paragraph> <paragraph num="C."> <text>When employees work from the platform, the platform may not be secured to any structure other than the crane, derrick, or hoist.</text> </paragraph> <paragraph num="D."> <text>Tag lines shall be used unless their use creates an unsafe condition.</text> </paragraph> <paragraph num="E."> <text>The crane operator shall remain at the controls at all times when the platform is occupied.</text> </paragraph> <paragraph num="F."> <text>The hoisting of employees shall be promptly discontinued upon indication of any weather condition or other impending condition which could adversely affect the safe hoisting of personnel on a platform.</text> </paragraph> <paragraph num="G."> <text>Except as noted in §H, of this regulation, employees being hoisted shall remain in continuous sight of, and in direct communication with, the operator or signal person.</text> </paragraph> <paragraph num="H."> <text>When direct visual contact with the operator is not possible and the use of a signal person would create a greater hazard for that person, direct communication alone, such as a two-way radio system, may be used.</text> </paragraph> <paragraph num="I."> <text>Except over water, employees occupying the personnel platform shall use a body belt/harness system with lanyard appropriately attached to the lower load block or overhaul ball, or to a structural member within the personnel platform capable of sustaining a fall impact.</text> </paragraph> <paragraph num="J."> <text>While personnel are suspended on a platform, a lift may not be made on any other loadline of the crane or hoist.</text> </paragraph> <paragraph num="K."> <text>An employee shall be permitted to stand on or to work from only the floor of the platform.</text> </paragraph> <paragraph num="L."> <text>Head protection shall be worn by all employees while using personnel platforms.</text> </paragraph> <paragraph num="M."> <text>When employees are working over or adjacent to water, an employer shall comply with the following requirements:</text> <paragraph num="(1)"> <text>Totally enclosed personnel platforms or platforms with overhead structures are prohibited;</text> </paragraph> <paragraph num="(2)"> <text>Personal flotation devices:</text> <paragraph num="(a)"> <text>Coast Guard approved personal flotation devices shall be:</text> <paragraph num="(i)"> <text>Provided by the employer, and</text> </paragraph> <paragraph num="(ii)"> <text>Worn by all employees while using the personnel platform;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Before and after each use, personal flotation devices shall be inspected for defects which would alter their strength or buoyancy;</text> </paragraph> <paragraph num="(c)"> <text>A defective personal flotation device may not be used;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Ring buoys:</text> <paragraph num="(a)"> <text>Ring buoys with at least 90 feet of line shall be provided and readily available for emergency rescue operations;</text> </paragraph> <paragraph num="(b)"> <text>The distance between ring buoys and the work being performed may not exceed 200 feet;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>At least one lifesaving skiff shall be immediately available.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Traveling."> <paragraph num="A."> <text>Except for a crane which travels on a fixed track, while a crane is traveling it may not be used to hoist an employee.</text> </paragraph> <paragraph num="B."> <text>When using a crane that travels on a fixed track, an employer may hoist employees on a personnel platform while the crane is traveling, upon implementing the following procedures to safeguard employees:</text> <paragraph num="(1)"> <text>The boom shall be parallel to the direction of travel;</text> </paragraph> <paragraph num="(2)"> <text>A complete trial run to test the route of travel:</text> <paragraph num="(a)"> <text>Shall be performed before employees are allowed to occupy the platform, and</text> </paragraph> <paragraph num="(b)"> <text>May be performed at the time of the trial lift required by Regulation .08 of this chapter.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Prelift Meeting."> <text>A prelift meeting shall be:</text> <paragraph num="A."> <text>Held to review the appropriate requirements of this chapter and the procedures to be followed;</text> </paragraph> <paragraph num="B."> <text>Held before each trial lift;</text> </paragraph> <paragraph num="C."> <text>Repeated for any employee newly assigned to the operation; and</text> </paragraph> <paragraph num="D."> <text>Attended by the crane or hoist operator, signal person, employee or employees to be lifted, and the person responsible for the task to be performed.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(4) and 5-312, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 14, 1990 (17:9 Md. R. 1089)</annotation> </annotations> </chapter> <chapter num="39" heading="Lien for Unpaid Wages"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Employer Complaint to Dispute Lien for Unpaid Wages” means the complaint filed by an employer in circuit court to dispute a Notice to Employer of Intent to Claim Lien for Unpaid Wages.</text> </paragraph> <paragraph num="(2)"> <text>“Notice to Employer of Intent to Claim Lien for Unpaid Wages” means the written form or comparable notice that an employee serves on an employer stating the employee’s intent to claim a lien for unpaid wages.</text> </paragraph> <paragraph num="(3)"> <text>“Wage Lien Statement” means the form that may be recorded by an employee after a lien for unpaid wages has been established pursuant to Labor and Employment Article, §3-1104, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Notice of Claim for Unpaid Wages."> <paragraph num="A."> <text>An employee shall serve his or her employer with a Notice to Employer of Intent to Claim Lien for Unpaid Wages on a form that contains the information specified in §B of this regulation, a sample of which may be found on the Department’s website.</text> </paragraph> <paragraph num="B."> <text>The form shall include the following:</text> <paragraph num="(1)"> <text>The name and address of the individual seeking a lien;</text> </paragraph> <paragraph num="(2)"> <text>The name of the business or individual for whom the employee performed work;</text> </paragraph> <paragraph num="(3)"> <text>The dates of employment;</text> </paragraph> <paragraph num="(4)"> <text>The dates for which wages are due but were not paid;</text> </paragraph> <paragraph num="(5)"> <text>The basis for the claim that wages were due but were not paid;</text> </paragraph> <paragraph num="(6)"> <text>The monetary amount of the lien sought;</text> </paragraph> <paragraph num="(7)"> <text>The real or personal property, or both, against which the lien is sought along with a description adequate to identify the property, name of owner, and location; and</text> </paragraph> <paragraph num="(8)"> <text>Notice to the employer of their right to dispute the lien by filing a complaint within 30 days of receipt of the notice.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An employee shall serve the employer by:</text> <paragraph num="(1)"> <text>Delivering personally a copy of the Notice to Employer of Intent to Claim Lien for Unpaid Wages to the employer;</text> </paragraph> <paragraph num="(2)"> <text>Leaving a copy of the Notice to Employer of Intent to Claim Lien for Unpaid Wages at the employer’s home or place of dwelling with a resident of suitable age and discretion; or</text> </paragraph> <paragraph num="(3)"> <text>Mailing a copy of the Notice to Employer of Intent to Claim Lien for Unpaid Wages to the employer by certified mail requesting, “Restricted Delivery—Show to whom, date, and address of delivery”.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Employer Complaint to Dispute Notice to Employer of Intent to Claim Lien for Unpaid Wages."> <paragraph num="A."> <text>An employer may dispute a lien for unpaid wages by filing a complaint in the circuit court for the county where the property of the employer is located.</text> </paragraph> <paragraph num="B."> <text>The complaint disputing a lien for unpaid wages shall include the following:</text> <paragraph num="(1)"> <text>The date that the employee served the Notice to Employer of Intent to Claim Lien for Unpaid Wages on the employer;</text> </paragraph> <paragraph num="(2)"> <text>An explanation of why the wages claimed by the employee are not due and owing by the employer;</text> </paragraph> <paragraph num="(3)"> <text>A description of supporting documents with the supporting documents attached; and</text> </paragraph> <paragraph num="(4)"> <text>A certificate of service reflecting service upon the employee.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Wage Lien Statement."> <text>A Wage Lien Statement shall include the following:</text> <paragraph num="A."> <text>A description of the property;</text> </paragraph> <paragraph num="B."> <text>The name of the property owner;</text> </paragraph> <paragraph num="C."> <text>The monetary amount of the lien;</text> </paragraph> <paragraph num="D."> <text>A copy of the Notice to Employer of Intent to Claim Lien for Unpaid Wages and proof of service of the notice; and</text> </paragraph> <paragraph num="E."> <text>A copy of a court order establishing the lien for unpaid wages if the lien for unpaid wages is established in a court.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Recording Lien."> <text>If an employer does not dispute a Notice to Employer of Intent to Claim Lien for Unpaid Wages or if a court orders the establishment of a lien, an employee may record the Wage Lien Statement together with proof of service.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §3-1110, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 7, 2014 (41:13 Md. R. 751)</annotation> </annotations> </chapter> <chapter num="40" heading="Workplace Fraud"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter applies to construction services and landscaping services.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Notice."> <paragraph num="A."> <text>If an employer contracts with an individual and classifies that individual as an independent contractor or an exempt person, the employer shall complete the information required by §A(9) of this regulation and provide the individual with a “Notice to Independent Contractors and Exempt Persons” that contains the following information:</text> <paragraph num="(1)"> <text>Notification to the individual that they have been hired as an independent contractor or exempt person;</text> </paragraph> <paragraph num="(2)"> <text>A statement by the employer that the independent contractor will perform the work according to their own means and methods, free from control of the employer in all details connected with the performance of the work, except as to its product and result;</text> </paragraph> <paragraph num="(3)"> <text>Notification that the individual's classification as an independent contractor or exempt person means the individual will be responsible for all tax obligations, including, but not limited to, the filing of business or self-employment income tax returns with the U.S. Internal Revenue Service;</text> </paragraph> <paragraph num="(4)"> <text>Notification that the individual's classification as an independent contractor or exempt person means that they are not eligible for protection under protective laws, including, but not limited to, employment discrimination and anti-retaliation laws, occupational safety and health laws, living wage and prevailing wage laws, and wage and hour laws;</text> </paragraph> <paragraph num="(5)"> <text>Notification that, if the independent contractor or exempt person hires employees to perform work, the independent contractor or exempt person is responsible as an employer for all tax, unemployment insurance, workers' compensation insurance, and labor and employment law obligations on behalf of those employees;</text> </paragraph> <paragraph num="(6)"> <text>Notification that the independent contractor or exempt person is obligated to provide a “Notice to Independent Contractors and Exempt Persons” for independent contractors or exempt person with whom they contract;</text> </paragraph> <paragraph num="(7)"> <text>Notification that the individual is required to provide copies of any licenses or registrations issued to the individual related to the work to be performed to the employer;</text> </paragraph> <paragraph num="(8)"> <text>The name, address, telephone number and email address of the Commissioner of Labor and Industry if the individual has any questions; and</text> </paragraph> <paragraph num="(9)"> <text>A detailed statement of the work to be performed by the independent contractor or exempt person or the appropriate provisions of the contract between the parties, which shall be attached to the notice.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An employer shall use the Commissioner's “Notice to Independent Contractors and Exempt Persons”, which is available for download on the Maryland Department of Labor's website.</text> </paragraph> <paragraph num="C."> <text>An employer shall post the Commissioner's “Notice to Independent Contractors and Exempt Persons” in English and Spanish in a conspicuous location at places where notices to employees are normally posted at each job site and at the office of the employer.</text> </paragraph> <paragraph num="D."> <text>An employer shall retain proof that the independent contractor or exempt person was provided a copy of the “Notice to Independent Contractors and Exempt Persons” with an acknowledgement signed by the individual.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Record Keeping."> <paragraph num="A."> <text>For each independent contractor and exempt person hired, an employer shall retain the following records at the work site or at its place of business:</text> <paragraph num="(1)"> <text>A statement with a description of the employer's usual course of business or a fully executed copy of the contract between the employer and the independent contractor or exempt person;</text> </paragraph> <paragraph num="(2)"> <text>Acknowledgement forms signed by the independent contractor and exempt person; and</text> </paragraph> <paragraph num="(3)"> <text>Licenses or registrations provided by an individual classified as an independent contractor or exempt person.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An employer shall retain each record for 3 years.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Evidence of a Knowing Violation."> <paragraph num="A."> <text>The Commissioner may consider evidence, as provided in §B of this regulation, that an employer knowingly failed to properly classify an employee.</text> </paragraph> <paragraph num="B."> <text>The evidence shall include the following:</text> <paragraph num="(1)"> <text>Any previous violation of the Workplace Fraud Act or a violation of any other state or federal law that involves similar issues related to the classification of employees;</text> </paragraph> <paragraph num="(2)"> <text>Refusal or failure of the employer to produce records requested pursuant to Labor and Employment Article, §3-905(d)(1), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>Refusal or failure of the employer to cooperate with an investigation authorized under Labor and Employment Article, §3-905, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(4)"> <text>Evidence that the employer classifies differently individuals who perform substantially the same tasks, allowing for the business model described in Labor and Employment Article, §3-903(c)(3), Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(5)"> <text>Any other credible evidence of the employer's actual knowledge of, deliberate ignorance of, or reckless disregard for whether or not the worker is misclassified.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Landscaping Illustrations."> <paragraph num="A."> <text>The illustrations in this regulation provide guidance under the Workplace Fraud Act only and do not apply to any other State or federal law.</text> </paragraph> <paragraph num="B."> <text>The illustrations in §§C—E of this regulation, provide guidance for the landscaping services industry in the application of Labor and Employment Article, §3-903(c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>The JB Landscaping Company (JB) is hired to install the landscaping for a new large housing development. After JB commences work, it determines that it does not have enough employees to complete the job. JB subcontracts some of its work to the Red Company (Red), a smaller landscape company. JB sets the work hours for all workers on the job. Red provides the plants and other necessary tools and equipment for the job. Red maintains its own place of business but does not perform service for more than one person or company at a time. Either JB or Red can end the services at any time. Red pays federal employee taxes. Red is an independent contractor.</text> </paragraph> <paragraph num="D."> <text>While working on a large landscaping job with a Friday deadline, the Tree Company (Tree) determines that it needs additional workers to meet that deadline. On Wednesday afternoon, Tree contacts Keith Brown to see if he knows at least five workers who can report to the landscaping job in the morning. Keith Brown engages five other workers to assist with the Tree job. Tree sets the hours, provides the tools and equipment, and frequently inspects the work during the day. Keith Brown does landscaping work but does not have his own business. Tree pays Keith Brown a lump sum, which he distributes to the other workers. Keith Brown and the five other workers are employees of Tree.</text> </paragraph> <paragraph num="E."> <text>The Green Company (Green), a landscaping company, is hired to landscape a building complex. Once the work is underway, the owner of the building complex decides to install a pond with a waterfall. Green does not build ponds and waterfalls so it subcontracts that work to the Water Company (Water). Water is licensed to build ponds with waterfalls, and it carries workers' compensation and liability insurance under the company name. Water performs services for more than one person at a time. All equipment and tools necessary for the pond installation are owned by Green. Because of Water's experience in the area, there is no oversight of the daily work by Green. Water is paid by Green at the completion of the job. However, Green is ultimately responsible for the final product if there are any faults or defects in the construction. Water is an independent contractor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Construction Illustrations."> <paragraph num="A."> <text>The illustrations in this regulation provide guidance under the Workplace Fraud Act only and do not apply to any other State or federal law.</text> </paragraph> <paragraph num="B."> <text>The illustrations in §§C—J of this regulation provide guidance for the construction services industry in the application of Labor and Employment Article, §3-903(c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>John Brown has an oral agreement with ACE Building Company (ACE) to do carpentry work on houses in a development designated by ACE. John Brown supplies his own hand tools. ACE supplies the material for each job. He has to do the work himself and he works on a full time basis for the company. For some work he is paid on a piecework basis and for some work he is paid on an hourly basis. He does not have assistants, does not have an office, and does not advertise in newspapers or otherwise hold himself out to the public as being in the carpentry business. ACE can fire him any time before he finishes a job without contractual liability. John Brown is an employee of ACE.</text> </paragraph> <paragraph num="D."> <text>HVAC, Inc. (HVAC) is the mechanical subcontractor on a large hospital construction contract. There is so much work to perform that HVAC contracts with two other companies, Air Supply, Inc. (Air Supply) and Kool and the Gang, Inc. (Kool), to assist with the work. Air Supply and Kool each have their own employees. HVAC retains some supervisory control over the employees of the other companies to make sure that the job is being done to the specifications of the overall mechanical contract. Air Supply and Kool exercise supervision over the installation methods of their respective workforces. Even though the two subcontractors are in the same business as HVAC and they perform the same type of work at the same location as HVAC, there is no employer-employee relationship between the contracting companies, and there is no employee-employer relationship between the subcontractors' employees and HVAC.</text> </paragraph> <paragraph num="E."> <text>Sarah Green is a painting subcontractor who has contracted with XYZ General Contracting, Inc. (XYZ) to paint 264 houses. She hired 40 painters to do the work for her, although only about 15 are on the job at any one time. She supplies all the paint, brushes, and ladders. She designates the house to be painted and either pays the painters per house or by the hour. Detailed instructions about the work are not necessary because of the painters' skill in their trade. Sarah Green inspects the work and requires them to repaint any unsatisfactory work. The painters cannot engage helpers without her consent. She can discharge them for any reason, and they are free to resign at any time. The painters assume no business risks and have no capital investment. None of them has an established business. The painters are employees of Sarah Green, not XYZ, and Sarah Green is an independent contractor, not an employee of XYZ.</text> </paragraph> <paragraph num="F."> <text>Milton Manning, an experienced tile and terrazzo journeyman, orally agreed with MEGA, Inc. (MEGA) to perform full-time services at construction sites. He uses his own tools and performs services in the order designated by MEGA and according to its specifications. MEGA supplies all materials, makes frequent inspections of his work, pays him on a piecework basis, and carries workers' compensation insurance on him. He does not have a place of business or hold himself out to perform similar services for others. Either party can end the services at any time. Milton Manning is an employee of MEGA.</text> </paragraph> <paragraph num="G."> <text>Wallace Black agreed with the Sawdust Company (Sawdust) to supply the construction labor for a group of houses. The company agreed to pay all construction costs. However, Wallace Black supplies all the tools and the equipment. He performs personal services as a carpenter and mechanic for an hourly wage. He also acts as superintendent and foreman, and engages other individuals to assist him. Sawdust has the right to select, approve, or discharge any helper. A company representative makes frequent inspections of the construction site. When a house is finished, Wallace Black is paid a certain percentage of its costs. He is not responsible for faults, defects of construction, or wasteful operation. At the end of each week, he presents the company with a statement of the amount he has spent, including the payroll. Sawdust gives him a check for that amount from which he pays the assistants, two of whom are day laborers although he is not personally liable for their wages. Wallace Black and all of his assistants are employees of Sawdust.</text> </paragraph> <paragraph num="H."> <text>Trisha Gold; Pristine; Painters.</text> <paragraph num="(1)"> <text>Trisha Gold is a painting contractor who has been subcontracted by Pristine Construction, Inc. (Pristine), the general contractor responsible for painting 20 individual cottages. Prior to entering the contract, Pristine seeks and obtains proof from Trisha Gold of payroll withholdings, payment of unemployment insurance and workers' compensation with respect to Trisha Gold's employees. Pristine also provides Trisha Gold with a written notice of her status as an independent contractor and the rights and obligations pursuant to that status. Per the terms of their written contract, Trisha Gold is to complete ten cottages.</text> </paragraph> <paragraph num="(2)"> <text>Trisha Gold hires Painters, LLC (Painters) to assist in the completion of this contract. Painters is responsible for delivery of five completed cottages. In order to ensure that the cottages are completed with matching colors, Pristine provides all of the paint. However, Trisha Gold and Painters each provide their own ladders and brushes. Painters work under Trisha Gold's direction and control and she sets the work hours for the job. Trisha Gold inspects Painters' work to ensure satisfactory performance and she is responsible for paying for any repairs for inadequate work. Trisha Gold is an independent contractor of Pristine. Painters' workers are employees of Trisha Gold. Painters and their workers are not employees of Pristine.</text> </paragraph> </paragraph> <paragraph num="I."> <text>ABC Company (ABC) hires three crews of workers to do the siding on new houses in a residential development. ABC pays each of the crews per square foot of siding installed. ABC tells each crew leader that they are independent contractors responsible for their own workers' compensation premiums and any taxes. None of the crew leaders appears to have their own business, and they fail to get any workers' compensation coverage. One of the crew leaders is designated as general foreman and has been given total responsibility for running the job, but ABC has a superintendent who periodically walks the site to make sure the work is done properly. ABC also provides safety equipment for each worker. At the end of each week, ABC pays the crew leaders a lump sum based on the square footage of siding installed. The crew leader then pays each worker based on how much siding they installed. The workers doing the siding are employees of ABC.</text> </paragraph> <paragraph num="J."> <text>POP; DIG. POP General Contracting (POP) leases two employees and a backhoe from DIG Excavators, Inc. (DIG). The DIG workers are engaged to open a trench, lay some pipe, and backfill the trench. Both POP and DIG contend that neither of them is the employer of the workers, that for purposes of these lend/lease type jobs, they are independent contractors for POP. None of the workers has his own business or pays his own workers' compensation. The workers always consider DIG to be their employer and if they have questions about how to do the job, they ask their boss at DIG. The workers are employees of DIG, even while they are leased-loaned to POP.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§3-903(d), 3-904, 3-914, and 3-917, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 2, 2009 (36:22 Md. R. 1723)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective February 22, 2010 (37:4 Md. R. 340)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective February 22, 2010 (37:4 Md. R. 340)</annotation> </annotations> </chapter> <chapter num="41" heading="Wage and Hour Law"> <regulation prefix="Regulation" num=".01" heading="Administrative Capacity."> <text>“Administrative capacity” has the meaning stated in 29 CFR §541.200 et seq.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Agriculture."> <text>“Agriculture” means work performed by a farmer or on a farm as an incident to or in conjunction with farming operations, such as:</text> <paragraph num="A."> <text>The cultivation and tillage of soil, including grading, rock removal, building terraces, irrigation, and fertilization;</text> </paragraph> <paragraph num="B."> <text>The production, growing, cultivation, or harvesting of agricultural or horticultural products or commodities;</text> </paragraph> <paragraph num="C."> <text>Breeding, fattening, feeding, or the general care of livestock, bees, fur-bearing animals whose fur has marketable value, or poultry, including poultry hatchery operations;</text> </paragraph> <paragraph num="D."> <text>Dairying, including:</text> <paragraph num="(1)"> <text>Caring for and milking of milk-giving animals,</text> </paragraph> <paragraph num="(2)"> <text>Containing, cooling, and storage of milk when done on the farm, and</text> </paragraph> <paragraph num="(3)"> <text>Farm-based manufacturing operations directly and closely related to dairying, such as separating cream or making butter;</text> </paragraph> </paragraph> <paragraph num="E."> <text>Farming activities on experimental farms or nurseries, or in greenhouses or mushroom cellars; or</text> </paragraph> <paragraph num="F."> <text>Duties directly and closely related to farming operations, including the:</text> <paragraph num="(1)"> <text>Preparation of products or commodities for market, or</text> </paragraph> <paragraph num="(2)"> <text>Delivery of products or commodities to storage, market, or carriers for transportation to market.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Complaints."> <text>Before the Commissioner of Labor and Industry initiates an investigation, the Commissioner may require the employee to submit a written complaint.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Directly and Closely Related."> <text>“Directly and closely related” has the meaning stated in 29 CFR §541.703 et seq.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Executive Capacity."> <text>“Executive capacity” has the meaning stated in 29 CFR §541.100 et seq.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="First Processing."> <paragraph num="A."> <text>“First processing” means the procedure by which the form of a product or commodity is changed from its original state.</text> </paragraph> <paragraph num="B."> <text>“First processing” does not refer to an employer who acts as a wholesaler, broker, factor, or other middleman in the chain from producer to consumer.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Food and Drink Establishment."> <paragraph num="A."> <text>“Annual gross income”:</text> <paragraph num="(1)"> <text>Means the total of all receipts from all sales made during the preceding four calendar quarters; and</text> </paragraph> <paragraph num="(2)"> <text>Is the sole basis for determining the annual gross income for all subsequent quarters.</text> </paragraph> </paragraph> <paragraph num="B."> <text>“Cafe” means a combination of a restaurant and a tavern.</text> </paragraph> <paragraph num="C."> <text>“Drive-in” means an establishment:</text> <paragraph num="(1)"> <text>Which sells prepared food items for consumption on the premises or in the purchaser's car;</text> </paragraph> <paragraph num="(2)"> <text>Which is characterized by a parking lot adjacent to the establishment; and</text> </paragraph> <paragraph num="(3)"> <text>To which purchasers generally drive to consummate a purchase.</text> </paragraph> </paragraph> <paragraph num="D."> <text>“Restaurant” means an establishment which:</text> <paragraph num="(1)"> <text>Is primarily engaged in selling and serving prepared food and beverages for consumption on the premises;</text> </paragraph> <paragraph num="(2)"> <text>Provides characteristic employee services and dining facilities; and</text> </paragraph> <paragraph num="(3)"> <text>Contains physical and functional equipment and facilities required for the consumption of a meal.</text> </paragraph> </paragraph> <paragraph num="E."> <text>“Similar establishment” means an establishment which has the characteristics of a restaurant, drive-in, tavern, or cafe.</text> </paragraph> <paragraph num="F."> <text>“Tavern” means an establishment whose primary sales consist of alcoholic beverages for consumption on the premises on a drink-by-drink basis.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Gasoline Service Station."> <paragraph num="A."> <text>“Gasoline service station” means an establishment primarily engaged in selling gasoline and lubricating oils to the general public.</text> </paragraph> <paragraph num="B."> <text>A gasoline service station may be part of a larger enterprise which also repairs automobiles.</text> </paragraph> <paragraph num="C."> <text>An establishment which derives the greater part of its net income from the sale of goods other than gasoline, lubricating oils, and related services is not a gasoline service station.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Hotel or Motel."> <paragraph num="A."> <text>“Hotel” or “motel” for purposes of Labor and Employment Article, §3-415, Annotated Code of Maryland, means an establishment engaged primarily in providing lodging or lodging and meals to the general public.</text> </paragraph> <paragraph num="B."> <text>“Hotel” or “motel” includes an apartment or residential establishment that derives more than half of its annual gross income from providing transient guests with lodging or lodging and meals.</text> </paragraph> <paragraph num="C."> <text>“Hotel” or “motel” does not mean an establishment whose income is derived primarily from providing bedroom and kitchen facilities for leased periods of longer than 3 months.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Hours of Work."> <paragraph num="A."> <text>“Hours of work” means the time during a workweek that an individual employed by an employer is required by the employer to be on the employer's premises, on duty, or at a prescribed workplace.</text> </paragraph> <paragraph num="B."> <text>Meal periods are included in computing hours of work if the individual is required to perform any duties during the meal period.</text> </paragraph> <paragraph num="C."> <text>Travel time is included in computing hours of work if the individual:</text> <paragraph num="(1)"> <text>Travels during regular work hours;</text> </paragraph> <paragraph num="(2)"> <text>Travels from one worksite to another; or</text> </paragraph> <paragraph num="(3)"> <text>Is called out after work hours in emergency situations.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Immediate Family."> <paragraph num="A."> <text>“Immediate family” means an employer's parent, spouse, child, brother, sister, grandchild, or grandparent who:</text> <paragraph num="(1)"> <text>Resides with the employer; and</text> </paragraph> <paragraph num="(2)"> <text>Enjoys the same privileges as other members of the family.</text> </paragraph> </paragraph> <paragraph num="B."> <text>“Immediate family” does not include anyone living outside the employer's household, except the employer's parent, spouse, or child.</text> </paragraph> <paragraph num="C."> <text>“Child” means a natural child, adopted child, or stepchild but does not mean the spouse of that child.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Mechanic."> <paragraph num="A."> <text>“Mechanic” means an employee whose primary function is to put automobiles, trailers, trucks, or farm machinery in working order by making necessary repairs or adjustments.</text> </paragraph> <paragraph num="B."> <text>The following employees are not mechanics:</text> <paragraph num="(1)"> <text>An employee whose primary duty is to wash, clean, polish, lubricate packing wheel bearings, change oil or oil filters, change tires, paint, perform carpentry, dispatch, or install or repair seat covers;</text> </paragraph> <paragraph num="(2)"> <text>An employee whose primary duty is to record a vehicle's condition or to write a report detailing necessary parts and mechanical work.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Outside Salesman."> <text>“Outside salesman” has the meaning stated in 29 CFR §541.500 et seq.</text> </regulation> <regulation prefix="Regulation" num=".14" heading="Overtime Compensation."> <paragraph num="A."> <text>An employee subject to the Minimum Wage Act of Maryland shall be paid overtime compensation for each hour worked in excess of 40 hours per workweek. This includes the following:</text> <paragraph num="(1)"> <text>All hours worked by an employee for an employer are included, even though the employee may perform work in two or more unrelated jobs;</text> </paragraph> <paragraph num="(2)"> <text>If the total workweek hours do not exceed 40, an employee is not entitled to overtime compensation for hours worked in excess of 8 on any day, including Saturday, Sunday, and holidays.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Compensation for hours worked in excess of 40 hours per workweek is computed at 1-1/2 times the regular hourly rate at which the employee is employed. This includes the following:</text> <paragraph num="(1)"> <text>The regular hourly rate may not be less than the statutory minimum;</text> </paragraph> <paragraph num="(2)"> <text>If the employee's regular hourly rate is higher than the statutory minimum, overtime compensation is computed at 1-1/2 times the higher rate.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Packing."> <text>“Packing” means the physical operation by which a product or commodity is placed in a container which is then closed and sealed.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="Partsman."> <paragraph num="A."> <text>“Partsman” means an employee whose primary function is to:</text> <paragraph num="(1)"> <text>Sell or dispense parts for automobiles, trailers, trucks, or farm machinery; or</text> </paragraph> <paragraph num="(2)"> <text>Requisition, stock, or dispense those parts for an establishment's mechanical service department.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A partsman's duties may include incidental clerical or cleaning work necessary to keep stockrooms, bins, and shelves in order.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Professional Capacity."> <text>“Professional capacity” has the meaning stated in 29 CFR §541.300 et seq.</text> </regulation> <regulation prefix="Regulation" num=".18" heading="Reasonable Cost."> <paragraph num="A."> <text>The reasonable cost of board, lodging, or other facilities may be included as part of an employee's wage if the:</text> <paragraph num="(1)"> <text>Facilities are customarily and regularly available to all similarly situated employees;</text> </paragraph> <paragraph num="(2)"> <text>Employee's acceptance of the facility is voluntary and uncoerced; and</text> </paragraph> <paragraph num="(3)"> <text>Employee receives the benefits of the facility for which he or she is charged.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The reasonable cost of board, lodging, or other facilities included as part of the wage paid to an employee may not:</text> <paragraph num="(1)"> <text>Exceed the actual cost to the employer; and</text> </paragraph> <paragraph num="(2)"> <text>Include profit to the employer or to any person or establishment affiliated with the employer.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The reasonable cost of furnishing board, lodging, or other facilities may include the cost of operation and maintenance.</text> </paragraph> <paragraph num="D."> <text>The employer shall demonstrate the actual cost of the board, lodging, or facilities furnished.</text> </paragraph> <paragraph num="E."> <text>In a food and drink establishment, if the actual cost of food consumed by an employee cannot be determined, the reasonable cost is half the price customarily and regularly charged a member of the general public.</text> </paragraph> <paragraph num="F."> <text>The cost of furnishing board, lodging, or other facilities primarily for the benefit or convenience of the employer may not be included as part of an employee's wage.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Regular Hourly Rate."> <paragraph num="A."> <text>“Regular hourly rate” means the usual hourly rate.</text> </paragraph> <paragraph num="B."> <text>The regular hourly rate is determined by dividing the total compensation for employment in any workweek by the total number of hours worked in that workweek.</text> </paragraph> <paragraph num="C."> <text>Any commission or bonus, if:</text> <paragraph num="(1)"> <text>Paid weekly, is added to the employee's total compensation in order to determine the regular hourly rate;</text> </paragraph> <paragraph num="(2)"> <text>Paid other than weekly, is allocated to the particular workweek in which it was earned; or</text> </paragraph> <paragraph num="(3)"> <text>Allocation is not practical, may be apportioned in equal amounts to each workweek during the period in which it was earned.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Gratuities and Tips.</text> <paragraph num="(1)"> <text>Compensation derived from tips in accordance with Labor and Employment Article, §3-419, Annotated Code of Maryland, is allocated to the particular workweek in which the employee is a tipped employee.</text> </paragraph> <paragraph num="(2)"> <text>A compulsory monetary charge for service, even if retained by the employee, is not a tip.</text> </paragraph> <paragraph num="(3)"> <text>A tipped employee’s wages must equal at least the minimum wage when direct wages and tips are combined.</text> </paragraph> <paragraph num="(4)"> <text>A tipped employee who spends more than 20 percent of the employee’s work time performing non-tip producing duties directly related to their tipped occupation shall be paid by the employer at least the minimum wage for that time.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The following amounts are not included in determining the regular hourly rate:</text> <paragraph num="(1)"> <text>Sums paid as a gift or reward for service, the amounts of which are not measured by or dependent on hours worked, production, or efficiency;</text> </paragraph> <paragraph num="(2)"> <text>Payments for occasional periods when no work is performed, such as vacation, sick leave, holidays, or jury duty;</text> </paragraph> <paragraph num="(3)"> <text>Payments for reimbursement purposes, such as travel, equipment, or meal expenses;</text> </paragraph> <paragraph num="(4)"> <text>Payments made in recognition of services if the payment is:</text> <paragraph num="(a)"> <text>Within the sole discretion of the employer and not pursuant to any agreement, or</text> </paragraph> <paragraph num="(b)"> <text>Made pursuant to a bona fide profit-sharing trust, savings, or thrift plan;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Contributions irrevocably made by an employer to a trustee or third person under a bona fide retirement, insurance, or similar employee benefit plan;</text> </paragraph> <paragraph num="(6)"> <text>Extra compensation paid at a premium rate pursuant to a statutorily valid employer-employee agreement; and</text> </paragraph> <paragraph num="(7)"> <text>Tips received by the employee in excess of the tip credit.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Restaurant Tip Credit Wage Statement."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Reported tips” means tips retained by the employee and disclosed to the employer, tips distributed to the employee by the employer, or tips obtained through a valid tip pooling arrangement or tip sharing arrangement.</text> </paragraph> <paragraph num="(b)"> <text>“Restaurant” has the meaning stated in Regulation .07D of this chapter.</text> </paragraph> <paragraph num="(c)"> <text>“Tip credit wage statement” means a written or electronic statement that shows the employee’s effective hourly rate of pay, including employer paid cash wages plus all reported tips, for all tip credit hours worked for each workweek in the pay period.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>No later than 2 weeks following the end of the pay period, a restaurant employer shall provide each employee for whom the employer utilizes a tip credit with a tip credit wage statement for each pay period that reflects all reported tips for tip credit hours for each workweek of the pay period.</text> </paragraph> <paragraph num="C."> <text>A restaurant employer may satisfy the requirement in §B of this regulation by providing an online system through which an employee may obtain the employee’s tip credit wage statement.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Salesman."> <paragraph num="A."> <text>“Salesman” for purposes of Labor and Employment Article, §3-415, Annotated Code of Maryland, means an employee whose primary duty is to sell or obtain orders or contracts for the sale of automobiles, trailers, trucks, or farm machinery.</text> </paragraph> <paragraph num="B."> <text>The sales work may be performed in the establishment or elsewhere.</text> </paragraph> <paragraph num="C."> <text>A salesman may perform work incidental to and in conjunction with the employee's regular sales or solicitations, including incidental deliveries and collections.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Work-Study Programs."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>A “work-study program” is a program in which the period of normal public or private school attendance is divided between school attendance and employment in industry or business.</text> </paragraph> <paragraph num="(2)"> <text>A “work-study coordinator” is the individual assigned to supervise or administer a work-study program.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Application.</text> <paragraph num="(1)"> <text>Upon application by a work-study coordinator, the Commissioner may authorize payment to a student of an hourly rate less than the statutory minimum.</text> </paragraph> <paragraph num="(2)"> <text>The application shall state the:</text> <paragraph num="(a)"> <text>Title of the work-study coordinator;</text> </paragraph> <paragraph num="(b)"> <text>Name and address of the school attended by the student;</text> </paragraph> <paragraph num="(c)"> <text>Name and address of the student;</text> </paragraph> <paragraph num="(d)"> <text>Name and address of the employer;</text> </paragraph> <paragraph num="(e)"> <text>Type of work to be performed by the student;</text> </paragraph> <paragraph num="(f)"> <text>Hourly rate to be paid; and</text> </paragraph> <paragraph num="(g)"> <text>Duration of time that the student will be paid less than the statutory minimum.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The employer and the work-study coordinator shall sign the application.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The work-study coordinator shall:</text> <paragraph num="(1)"> <text>Obtain, through his or her efforts, all work-study program employment opportunities;</text> </paragraph> <paragraph num="(2)"> <text>Supervise, on a continuing basis, the progress of each student in a work-study program; and</text> </paragraph> <paragraph num="(3)"> <text>Notify the Commissioner upon termination of a student's employment in the job designated on the application.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Workweek."> <text>“Workweek” means a fixed and regularly recurring period of 168 consecutive hours beginning on any hour of the day.</text> </regulation> <regulation prefix="Regulation" num=".24" heading="Computer-Related Occupations: Exemptions from Minimum Wage and Overtime Compensation."> <text>A computer systems analyst, computer programmer, software engineer, or other similarly skilled professional employee in the computer field is eligible for classification as an employee in a professional capacity if the employee meets the standard set forth in 29 CFR §541.400 et seq.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(c), 3-410, and 3-419, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 14, 1974 (1:1 Md. R. 70)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.16 repealed and new regulations .01—.22 adopted effective December 17, 1984 (11:25 Md. R. 2132)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulation .01 adopted effective February 13, 2006 (33:3 Md. R. 240)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 repealed and new Regulation .04 adopted effective February 13, 2006 (33:3 Md. R. 240)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 repealed and new Regulation .05 adopted effective February 13, 2006 (33:3 Md. R. 240)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 repealed and new Regulation .13 adopted effective February 13, 2006 (33:3 Md. R. 240)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 repealed and new Regulation .17 adopted effective February 13, 2006 (33:3 Md. R. 240)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19D amended effective January 20, 2014 (41:1 Md. R. 12)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 adopted effective June 8, 1992 (19:11 Md. R. 1015)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 repealed and new Regulation .23 adopted effective February 13, 2006 (33:3 Md. R. 240)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective October 1, 2020 (47:8 Md. R. 435)</annotation> </annotations> </chapter> <chapter num="42" heading="Equal Employment Opportunity"> <regulation prefix="Regulation" num=".01" heading="Scope and Purpose."> <paragraph num="A."> <text>Scope.</text> <paragraph num="(1)"> <text>Except as provided in COMAR 09.01.12.01C, these regulations do not apply to youth apprenticeship under Apprenticeship Maryland.</text> </paragraph> <paragraph num="(2)"> <text>These regulations set forth policies and procedures to promote equality of opportunity in apprenticeship programs registered with the Maryland Apprenticeship and Training Council.</text> </paragraph> <paragraph num="(3)"> <text>These policies and procedures apply to the recruitment and selection of apprentices, and to all conditions of employment and training during apprenticeship.</text> </paragraph> <paragraph num="(4)"> <text>The procedures established provide for review of apprenticeship programs, for registering apprenticeship programs, for processing complaints, and for deregistering noncomplying apprenticeship programs.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Purpose. The purpose of these regulations is to promote equality of opportunity in apprenticeship and encourage the fullest development of the interests and aptitudes of apprentices by prohibiting discrimination based on political or religious opinion or affiliation, marital status, race, color, creed, national origin, sex, or age, unless sex or age constitutes a bona fide occupational qualification, or the physical or mental disability of a qualified individual with a disability in apprenticeship programs, by requiring affirmative action to provide equal opportunity in apprenticeship programs, and by coordinating these regulations with other equal opportunity programs.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Apprenticeship program” means a program registered with the Maryland Apprenticeship and Training Council and evidenced by a certificate of registration or other appropriate document as meeting the apprenticeship standards of the Council.</text> </paragraph> <paragraph num="(2)"> <text>“Council” means the Maryland Apprenticeship and Training Council.</text> </paragraph> <paragraph num="(3)"> <text>“Employer” means any person or organization employing an apprentice whether the apprentice is enrolled with this person or organization or with some other person or organization.</text> </paragraph> <paragraph num="(4)"> <text>“Minority” means an individual male or female member of a group that has historically been under-utilized in apprenticeship programs due to discrimination based on race, color, or national origin.</text> </paragraph> <paragraph num="(5)"> <text>“Sponsor” means any person or organization operating an apprenticeship program, irrespective of whether this person or organization is an employer.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Equal Opportunity Standards."> <paragraph num="A."> <text>Obligation of Sponsors. Each sponsor of an apprenticeship program shall:</text> <paragraph num="(1)"> <text>Recruit, select, employ, and train apprentices during their apprenticeship without discrimination based on political or religious opinion or affiliation, marital status, race, color, creed, national origin, sex, or age, unless sex or age constitutes a bona fide occupational qualification, or the physical or mental disability of a qualified individual with a disability;</text> </paragraph> <paragraph num="(2)"> <text>Uniformly apply regulations concerning apprentices, including but not limited to equality of wages, periodic advancement, promotion, assignment of work, job performance, rotation among all work processes of the trade, imposition of penalties or other disciplinary action, and all other aspects of the apprenticeship program administered by the program sponsor; and</text> </paragraph> <paragraph num="(3)"> <text>Take affirmative action to provide equal opportunity in apprenticeship, including adoption of an affirmative action plan as required by these regulations.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Equal Opportunity Pledge. Each sponsor of an apprenticeship program shall include in its standards the following equal opportunity pledge: The recruitment, selection, employment, and training of apprentices during their apprenticeship, shall be without discrimination based on political or religious opinion or affiliation, marital status, race, color, creed, national origin, sex, or age, unless sex or age constitutes a bona fide occupational qualification, or the physical or mental disability of a qualified individual with a disability. The sponsor will take affirmative action to provide equal opportunity in apprenticeship and will operate the apprenticeship program as required by these regulations and 29 CFR 30.</text> </paragraph> <paragraph num="C."> <text>Programs Presently Registered. Each sponsor of a program registered with the Council as of the effective date of these regulations shall within 90 days of that date take the following action:</text> <paragraph num="(1)"> <text>Include in the standards of its apprenticeship program the equal opportunity pledge prescribed by §B of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>Adopt an affirmative action plan required by Regulation .04 of this chapter; and</text> </paragraph> <paragraph num="(3)"> <text>Adopt a selection procedure required by Regulation .05 of this chapter. A sponsor adopting a selection method under Regulation .05B(1), (2), or (3) shall prepare, and have available for submission upon request, copies of its amended standards, affirmative action plans, and selection procedure. A sponsor adopting a selection method under Regulation .05B(4) shall submit to the Council copies of its standards, affirmative action plan, and selection procedure in accordance with the requirements of Regulation .05B(4)(a)(i).</text> </paragraph> </paragraph> <paragraph num="D."> <text>Sponsors Seeking New Registration. A sponsor of a program seeking new registration with the Council shall submit copies of its proposed standards, affirmative action plans, selection procedures, and other information that may be required. The program shall be registered if the standards, affirmative action plan, and selection procedure meet the requirements of these regulations.</text> </paragraph> <paragraph num="E."> <text>Programs Subject to Approved Equal Employment Opportunity Programs. A sponsor may not be required to adopt an affirmative action plan under Regulation .04 of this chapter or a selection procedure under Regulation .05 of this chapter if it submits to the Council satisfactory evidence that it is in compliance with an equal employment opportunity program providing for the selection of apprentices and for affirmative action in apprenticeship including goals and timetables for women and minorities which has been approved as meeting the requirements of Title VII of the Civil Rights Act of 1964, as amended (42 U.S.C. §2000e et seq.) and its implementing regulations published in Title 29 of the Code of Federal Regulations, Chapter XIV or Executive Order 11246, as amended, and its implementing regulations at Title 41 of the Code of Federal Regulations, Chapter 60; provided that programs approved, modified, or renewed after the effective date of these regulations will qualify for this exemption only if the goals and timetables for minorities and women for the selection of apprentices provided for in these programs are equal to or greater than the goals required under these regulations.</text> </paragraph> <paragraph num="F."> <text>Programs with Fewer than Five Apprentices. A sponsor of a program in which fewer than five apprentices are indentured may not be required to adopt an affirmative action plan under Regulation .04 of this chapter or a selection procedure under Regulation .05 of this chapter, provided that the program was not adopted to circumvent the requirements of these regulations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Affirmative Action Plans."> <paragraph num="A."> <text>Adoption of Affirmative Action Plans. A sponsor's commitment to equal opportunity in recruitment, selection, employment, and training of apprentices shall include the adoption of a written affirmative action plan.</text> </paragraph> <paragraph num="B."> <text>Definition of Affirmative Action. Affirmative action is not mere passive nondiscrimination. It includes procedures, methods, and programs for the identification, positive recruitment, training, and motivation of present and potential minority and female (minority and nonminority) apprentices including the establishment of goals and timetables. It is action which will equalize opportunity in apprenticeships so as to allow full use of the work potential of minorities and women. The overall result to be sought is equal opportunity in apprenticeships for all individuals participating in or seeking entrance to the State labor force.</text> </paragraph> <paragraph num="C."> <text>Outreach and Positive Recruitment.</text> <paragraph num="(1)"> <text>An acceptable affirmative action plan shall also include adequate provision for outreach and positive recruitment that would reasonably be expected to increase minority and female participation in apprenticeship by expanding the opportunity for minorities and women to become eligible for apprenticeship selection. To achieve these objectives, sponsors shall undertake activities such as those listed below. It is not contemplated that each sponsor necessarily will include all of the listed activities in its affirmative action program. The scope of the affirmative action program will depend on all the circumstances including the size and type of the program and its resources. However, the sponsor will be required to undertake a significant number of appropriate activities in order to enable it to meet its obligations under these regulations. The affirmative action plan shall set forth the specific steps the sponsor intends to take in the areas listed below. Whenever special circumstances warrant, the Council may provide the assistance it deems necessary to implement the requirements of this section.</text> </paragraph> <paragraph num="(2)"> <text>Activities for Acceptable Affirmative Action Plan.</text> <paragraph num="(a)"> <text>Dissemination of information concerning the nature of the apprenticeship, requirements for admission to apprenticeship, availability of apprenticeship opportunities, sources of apprenticeship applications, and the equal opportunity policy of the sponsor. For programs accepting applications only at specified intervals, the information shall be disseminated at least 30 days in advance of the earliest date for application at each interval. For programs customarily receiving applications throughout the year, the information shall be regularly disseminated but not less than semiannually. The information shall be given to the Council, local schools, employment service offices, women's centers, outreach programs and community organizations which can effectively reach minorities and women, and shall be published in newspapers which are circulated in the minority community and among women, as well as in the general areas in which the program sponsor operates.</text> </paragraph> <paragraph num="(b)"> <text>Participation in annual workshops conducted by employment service agencies for the purpose of familiarizing school, employment service, and other appropriate personnel with the apprenticeship system and current opportunities therein.</text> </paragraph> <paragraph num="(c)"> <text>Cooperation with local school boards and vocational education systems to develop programs for preparing students to meet the standards and criteria required to qualify for entry into apprenticeship programs.</text> </paragraph> <paragraph num="(d)"> <text>Internal communication of the sponsor's equal opportunity policy in such a manner as to foster understanding, acceptance, and support among the sponsor's various officers, supervisors, employees, and members, and to encourage these persons to take the necessary action to aid the sponsor in meeting its obligations under these regulations.</text> </paragraph> <paragraph num="(e)"> <text>Engaging in programs such as outreach for the positive recruitment and preparation of potential applicants for apprenticeships. When appropriate and feasible, these programs shall provide for pretesting experience and training. If no such programs are in existence the sponsor shall seek to initiate these programs, or, when available, to obtain financial assistance from the U.S. Department of Labor. In initiating and conducting these programs the sponsor may be required to work with other sponsors and appropriate community organizations. The sponsor shall also initiate programs to prepare women and encourage women to enter traditionally male programs.</text> </paragraph> <paragraph num="(f)"> <text>To encourage the establishment and utilization of programs of preapprenticeship, preparatory trade training, or others designed to afford related work experience or to prepare candidates for apprenticeship, a sponsor shall make appropriate provision in its affirmative action plan to assure that those who complete these programs are afforded full and equal opportunity for admission into the apprenticeship program.</text> </paragraph> <paragraph num="(g)"> <text>Utilization of journeypersons to assist in the implementation of the sponsor's affirmative action program.</text> </paragraph> <paragraph num="(h)"> <text>Granting advanced standing or credit on the basis of previously acquired experience, training, skills, or aptitude for all applicants equally.</text> </paragraph> <paragraph num="(i)"> <text>Other appropriate action to ensure that the recruitment, selection, employment, and training of apprentices during apprenticeship shall be without discrimination based on political or religious opinion or affiliation, marital status, race, color, creed, national origin, sex, or age, unless sex or age constitutes a bona fide occupational qualification, or the physical or mental disability of a qualified individual with a disability (for example, general publication of apprenticeship opportunities and advantages in advertisements, industry reports, articles; use of present minority and female apprentices and journeypersons as recruiters; career counseling; periodic auditing of affirmative action programs and activities; and development of reasonable procedures between the sponsor and employers of apprentices to ensure that equal opportunity is being granted, including reporting systems, on-site reviews, briefing sessions). The affirmative action program shall set forth specific steps the sponsor intends to take, in the above areas under this section. Whenever special circumstances warrant, the Council may provide the assistance it deems necessary to implement the above requirements.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Goals and Timetables.</text> <paragraph num="(1)"> <text>A sponsor adopting a selection method under Regulation .05B(1) or (2) of this chapter, which determines on the basis of the analysis described in §E of this regulation that it has deficiencies in terms of under-utilization of minorities or women (minority and nonminority) in the craft or crafts represented by the program, shall include in its affirmative action plan percentage goals and timetables for the admission of minority or female (minority and nonminority) applicants, as applicable, into the eligibility pool.</text> </paragraph> <paragraph num="(2)"> <text>A sponsor adopting a selection method under Regulation .05B(3) or (4) of this chapter, which determines on the basis of the analysis described in §E of this regulation that it has deficiencies in terms of the under-utilization of minorities or women in the craft or crafts represented by the program, shall include in its affirmative action plan percentage goals and timetables for the selection of minority or female (minority and nonminority) applicants, as applicable, for the apprenticeship program.</text> </paragraph> <paragraph num="(3)"> <text>“Under-utilization” as used in this section refers to the situation where there are fewer minorities or women (minority and nonminority) in the particular craft or crafts represented by the program than would reasonably be expected in view of an analysis of the specific factors in §E(1)—(5) of this regulation. When, on the basis of the analysis, the sponsor determines that it has no deficiencies, no goals or timetables need be established. However, if no goals and timetables are established, the affirmative action plan shall include a detailed explanation of why no goals and timetables have been established.</text> </paragraph> <paragraph num="(4)"> <text>If the sponsor fails to submit goals and timetables as part of its affirmative action plan or submits goals and timetables which are unacceptable, and the Council determines that the sponsor has deficiencies in terms of under-utilization of minorities or women (minority and nonminority) within the meaning of this section, the Council shall establish goals and timetables applicable to the sponsor for the admission of minority and female (minority and nonminority) applicants into the eligibility pool or selection of apprentices, as appropriate. The sponsor shall make good-faith efforts to attain these goals and timetables in accordance with the requirements of this section.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Analysis to Determine Whether Deficiencies Exist. The sponsor's determination as to whether goals and timetables shall be established shall be based on an analysis of at least the following factors, which analysis shall be set forth in writing as part of the affirmative action plan:</text> <paragraph num="(1)"> <text>The size of the working age minority and female (minority and nonminority) population in the program sponsor's labor market area;</text> </paragraph> <paragraph num="(2)"> <text>The size of the minority and female (minority and nonminority) labor force in the program sponsor's labor market area;</text> </paragraph> <paragraph num="(3)"> <text>The percentage of minority and female (minority and nonminority) participation as apprentices in the particular craft as compared with the percentage of minorities and women (minority and nonminority) in the labor force in the program sponsor's labor market area;</text> </paragraph> <paragraph num="(4)"> <text>The percentage of minority and female (minority and nonminority) participation as journeypersons employed by the employer or employers participating in the program as compared with the percentage of minorities and women (minority and nonminority) in the sponsor's labor market area and the extent to which the sponsor should be expected to correct any deficiencies through the achievement of goals and timetables for the selection of apprentices; and</text> </paragraph> <paragraph num="(5)"> <text>The general availability of minorities and women (minority and nonminority) with present or potential capacity for apprenticeships in the program sponsor's labor market area.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Establishment and Attainment of Goals and Timetables.</text> <paragraph num="(1)"> <text>The goals and timetables shall be established on the basis of the sponsor's analysis of its under-utilization of minorities and women and its entire affirmative action program. A single goal for minorities and a separate single goal for women is acceptable unless a particular group is employed in a substantially disparate manner in which case separate goals shall be established for the group. Separate goals would be required, for example, if a specific minority group of women were under-utilized even though the sponsor had achieved its standards for women generally.</text> </paragraph> <paragraph num="(2)"> <text>In establishing the goals, the sponsor should consider the results which could be reasonably expected from its good faith efforts to make its overall affirmative action program work. Compliance with these requirements shall be determined by whether the sponsor has met its goals within its timetable, or failing that, whether it has made good-faith efforts to meet its goals and timetables. Its good-faith efforts shall be judged by whether it is following its affirmative action program and attempting to make it work, including evaluation and changes in its program when necessary to obtain the maximum effectiveness toward the attainment of its goals.</text> </paragraph> <paragraph num="(3)"> <text>However, in order to deal fairly with program sponsors, and with women who are entitled to protection under the goals and timetables requirements, during the first 12 months after the effective date of these regulations, the program sponsor would generally be expected to set a goal for women for the entering year class at a rate which is not less than 50 percent of the proportion women are of the workforce in the program sponsor's labor market area and set a percentage goal for women in each class beyond the entering class which is not less than the participation rate of women currently in the preceding class. At the end of the first 12 months after the effective date of these regulations, sponsors are expected to make appropriate adjustment in goal levels. (See Regulation .07B of this chapter).</text> </paragraph> </paragraph> <paragraph num="G."> <text>Data and Information. 29 CFR §30.4(g) provides that the Secretary of Labor, U.S. Department of Labor, or a person designated by the Secretary of Labor, shall make available to program sponsors data and information on minority and female (minority and nonminority) population and labor force characteristics for each Standard Metropolitan Statistical Area (SMSA), and for other special areas as appropriate.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Selection of Apprentices."> <paragraph num="A."> <text>Obligation of Sponsors. In addition to the development of a written affirmative action plan to ensure that minorities and women have an equal opportunity for selection as apprentices and otherwise ensure the prompt achievement of full and equal opportunity in apprenticeship, each sponsor shall further provide in its affirmative action program that the selection of apprentices shall be made under one of the methods specified in §B(1)—(4) of this regulation.</text> </paragraph> <paragraph num="B."> <text>Selection Methods. The sponsor shall adopt one of the following methods for selecting apprentices:</text> <paragraph num="(1)"> <text>Selection on the Basis of Rank from a Pool of Eligible Applicants.</text> <paragraph num="(a)"> <text>Selection. A sponsor may select apprentices from a pool of eligible applicants created in accordance with the requirements of §B(1)(c) of this regulation on the basis of the rank order of scores of applicants on one or more qualification standards when there is a significant statistical relationship between rank order of scores and performance in the apprenticeship program. In demonstrating the relationship the sponsor shall follow the procedures set forth in “Guidelines on Employee Selection Procedures”, published at 41 CFR 60-3.</text> </paragraph> <paragraph num="(b)"> <text>Requirements. The sponsor adopting this method of selecting apprentices shall meet the requirements of §B(1)(c)—(g) of this regulation.</text> </paragraph> <paragraph num="(c)"> <text>Creation of Pool of Eligibles. A pool of eligibles shall be created from applicants who meet the qualifications of minimum legal working age, or from applicants who meet qualification standards in addition to minimum legal working age, provided that any additional qualification standards conform with the following requirements:</text> <paragraph num="(i)"> <text>Qualification Standards. The qualification standards and the procedures for determining the qualification standards shall be stated in detail and shall provide criteria for the specific factors and attributes to be considered in evaluating applicants for admission to the pool. The score required under each qualification standard for admission to the pool shall also be specified. All qualification standards and the score required on any standard for admission to the pool shall be directly related to job performance, as shown by a significant statistical relationship between the score required for admission to the pool and performance in the apprenticeship program. In demonstrating these relationships, the sponsor shall follow the procedures set forth in 41 CFR 60-3. Qualifications shall be considered as separately required so that the failure of an applicant to attain the specified score under a single qualification standard shall disqualify the applicant from admission to the pool.</text> </paragraph> <paragraph num="(ii)"> <text>Aptitude Tests. Any qualification standard for admission to the pool consisting of aptitude test scores shall be directly related to job performance, as shown by significant statistical relationships between the score on the aptitude tests required for admission to the pool, and performance in the apprenticeship program. In determining the relationship, the sponsor shall follow the procedures set forth in 41 CFR 60-3. The requirements of this subparagraph shall also be applicable to aptitude tests used by a program sponsor which are administered by a State employment service agency, or any other person, agency, or organization engaged in the selection or evaluation of personnel. A national test developed and administered by a national joint apprenticeship committee will not be approved by the Council unless the test meets the requirements of this subunit.</text> </paragraph> <paragraph num="(iii)"> <text>Educational Attainments. All educational attainments or achievements as qualifications for admission to the pool shall be directly related to job performance as shown by a significant statistical relationship between the score required for admission to the pool and performance in the apprenticeship program. In demonstrating the relationship, the sponsor shall meet the requirements of 41 CFR 60-3. School records or a passing grade on the general education development tests recognized by the State or local public instruction authority shall be evidence of educational achievement. Education requirements shall be applied uniformly to all applicants.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Oral Interviews. Oral interviews may not be used as a qualification standard for admission into an eligibility pool. However, once an applicant is placed in the eligibility pool, and before selection for apprenticeship from the pool, he or she may be required to submit to an oral interview. Oral interviews shall be limited only to objective questions that may be required to determine the fitness of applicants to enter the apprenticeship program, but may not include questions relating to qualifications previously determined in gaining entrance to the eligibility pool. When an oral interview is used, each interviewer shall record the questions and the general nature of the applicant's answers, and shall prepare a summary of any conclusions. Each applicant rejected from the pool of eligibles on the basis of an oral interview shall be given a written statement of the rejection, the reasons for it, and the appeal rights available to the applicant.</text> </paragraph> <paragraph num="(e)"> <text>Notification of Applicants. All applicants who meet the requirements for admission shall be notified and placed in the eligibility pool. The program sponsor shall give each rejected applicant who is not selected for the pool or the program notice of his or her rejection, including the reasons for the rejection, the requirements for admission to the pool of eligibles, and the appeal rights available to the applicant.</text> </paragraph> <paragraph num="(f)"> <text>Goals and Timetables. The sponsor shall establish, when required by Regulation .04D of this chapter, percentage goals and timetables for the admission of minorities and women (minority and nonminority) into the pool of eligibles in accordance with the provisions of Regulation .04D, E, and F of this chapter.</text> </paragraph> <paragraph num="(g)"> <text>Compliance. A sponsor shall be considered to be in compliance with its commitments under §B(1)(f) of this regulation if it meets its goals or timetables or if it makes a good-faith effort to meet these goals and timetables. If the sponsor fails to meet its goals and timetables, it shall be given an opportunity to demonstrate that it has made every good-faith effort to meet its commitments (see Regulation .04F of this chapter). All the actions of the sponsor shall be reviewed and evaluated in determining whether good-faith efforts have been made.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Random Selection from a Pool of Eligible Applicants.</text> <paragraph num="(a)"> <text>Selection. A sponsor may select apprentices from a pool of eligible applicants on a random basis. The method of random selection is subject to approval by the Council. Supervision of the random selection process shall be by an impartial person or persons selected by the sponsor, but not associated with the administration of the apprenticeship program. The time and place of the selection, and the number of apprentices to be selected, shall be announced. The place of the selection shall be open to all applicants and the public. The names of apprentices drawn by this method shall be posted immediately following the selection at the program sponsor's place of business.</text> </paragraph> <paragraph num="(b)"> <text>Requirements. The sponsor adopting this method of selecting apprentices shall meet the requirements of §B(1)(c)—(e) of this regulation relating to the creation of a pool of eligibles, oral interviews, and notification of applicants.</text> </paragraph> <paragraph num="(c)"> <text>Goals and Timetables. The sponsor shall establish, when required by Regulation .04D of this chapter, percentage goals and timetables for the admission of minorities and women (minority and nonminority) into the pool of eligibles in accordance with the provisions of Regulation .04D, E, and F of this chapter.</text> </paragraph> <paragraph num="(d)"> <text>Compliance. Determinations as to the sponsor's compliance with its obligations under these regulations shall be in accordance with the provisions of §B(1)(g) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Selection from a Pool of Current Employees.</text> <paragraph num="(a)"> <text>Selection. A sponsor may select apprentices from an eligibility pool of the workers already employed by the program sponsor in a manner prescribed by a collective bargaining agreement when it exists, or by the sponsor's established promotion policy. The sponsor adopting this method of selecting apprentices shall establish goals and timetables for the selection of minority and female apprentices, unless the sponsor concludes, in accordance with the provisions of Regulation .04D, E, and F of this chapter, that it does not have deficiencies in terms of under-utilization of minorities or women (minority or nonminority) in the apprenticeship of journeyperson crafts represented by the program.</text> </paragraph> <paragraph num="(b)"> <text>Compliance. Determinations as to the sponsor's compliance with obligations under these regulations shall be in accordance with the provisions of §B(1)(g) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Alternative Selection Methods.</text> <paragraph num="(a)"> <text>Selection. A sponsor may select apprentices by means of any other method, including its present selection method, provided that the sponsor meets the following requirements:</text> <paragraph num="(i)"> <text>Selection Method and Goals and Timetables. Within 90 days of the effective date of these regulations, the sponsor shall complete development of the revised selection method it proposes to use along with the rest of its written affirmative action program including, when required by Regulation .04D of this chapter, its percentage goals and timetables for the selection of minority and female (minority and nonminority) applicants for apprenticeship and its written analysis, upon which these goals and timetables, or lack of them, are based. The establishment of goals and timetables shall be in accordance with the provisions of Regulation .04D, E, and F of this chapter. The sponsor may not implement any selection method until the Council has approved the selection method as meeting the requirements of §B(4)(a)(ii) of this regulation and has approved the remainder of its affirmative action program including its goals and timetables. If the Council fails to act upon the selection method and the affirmative action program within 90 days of its submission, the sponsor may implement the selection method.</text> </paragraph> <paragraph num="(ii)"> <text>Qualification standards. Apprentices shall be selected on the basis of objective and specific qualification standards. Examples of these standards are fair aptitude tests, school diplomas or equivalent, occupationally essential health requirements, fair interviews, school grades, and previous work experience. When interviews are used, adequate records shall be kept including a brief summary of each interview and the conclusions on each of the specific factors, for example, motivation, ambition, and willingness to accept direction, which are part of the total judgment. In applying these standards, the sponsor shall meet the requirements of 41 CFR 60-3.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Compliance. Determinations as to the sponsor's compliance with its obligations under these regulations shall be in accordance with the provisions of §B(1)(g) of this regulation. When a sponsor, despite its good-faith efforts, fails to meet its goals and timetables within a reasonable period of time, the sponsor may be required to make appropriate changes in its affirmative action program to the extent necessary to obtain maximum effectiveness toward the attainment of its goals. The sponsor may also be required to develop and adopt an alternative selection method, including a method prescribed by the Council, when it is determined that the failure of the sponsor to meet its goals is attributable in substantial part to the selection method. When the sponsor's failure to meet its goals is attributable in substantial part to its use of a qualification standard which has adversely affected the opportunities of minorities and women (minority and nonminority) for apprenticeship, the sponsor may be required to demonstrate that this qualification standard is directly related to job performance in accordance with the provisions of §B(1)(c)(i) of this regulation.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Existing List of Eligibles and Public Notice."> <paragraph num="A."> <text>A sponsor adopting a selection method under Regulation .05B(1) or (2) of this chapter, and a sponsor adopting a selection method under Regulation .05B(4) who determines that there are fewer minorities and women (minority and nonminority) on its existing lists of eligibles than would reasonably be expected in view of the analysis described in Regulation .04E of this chapter shall discard all existing eligibility lists upon adoption of the selection methods required by these regulations.</text> </paragraph> <paragraph num="B."> <text>New eligibility pools shall be established and lists of eligibility pools shall be posted at the sponsor's place of business. Sponsors shall establish a reasonable period of not less than 2 weeks for accepting applications for admission to an apprenticeship program. There will be at least 30 days of public notice in advance of the earliest date for application for admission to the apprenticeship program (see Regulation .04C of this chapter on affirmative action with respect to dissemination of information). Applicants who have been placed in a pool of eligibles shall be retained on lists of eligibles subject to selection for a period of 2 years. Applicants may be removed from the list at an earlier date by their request or following their failure to respond to an apprentice job opportunity given by certified mail, return receipt requested.</text> </paragraph> <paragraph num="C."> <text>Applicants who have been accepted in the program shall be afforded a reasonable period of time in light of the customs and practices of the industry for reporting for work. All applicants shall be treated equally in determining this period of time. It shall be the responsibility of the applicant to keep the sponsor informed of his or her current mailing address. Upon request, a sponsor may restore to the list of eligibles applicants who have been removed from the list or who have failed to respond to an apprenticeship job opportunity.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Records."> <paragraph num="A."> <text>Obligations of Sponsors. Each sponsor shall keep adequate records including a summary of the qualifications of each applicant; the basis for evaluation and for selection or rejection of each applicant; the records pertaining to interviews of applicants; the original application for each applicant; information relative to the operation of the apprenticeship program, including but not limited to job assignment, promotion, demotion, layoff, or termination, rates of pay, or other forms of compensation or conditions of work, hours including hours of work and separately, hours of training provided; and any other records pertinent to a determination of compliance with these regulations, as may be required by the Council. The records pertaining to individual applicants, selected or rejected, shall be maintained in such manner as to permit identification of minority and female (minority and nonminority) participants.</text> </paragraph> <paragraph num="B."> <text>Affirmative Action Plans. Each sponsor shall retain a statement of its affirmative action plan required by Regulation .04 of this chapter for the prompt achievement of full and equal opportunity in apprenticeship, including all data and analyses made pursuant to the requirements of Regulation .04. Sponsors shall review their affirmative action plans annually and update them when necessary, including the goals and timetables.</text> </paragraph> <paragraph num="C."> <text>Qualification Standards. Each sponsor shall maintain evidence that its qualification standards have been validated in accordance with the requirements set forth in Regulation .05B of this chapter.</text> </paragraph> <paragraph num="D."> <text>Records of the Council. The Council shall keep adequate records, including registration requirements, individual program standards and registration records, program compliance reviews and investigations, and any other records pertinent to a determination of compliance with these regulations as may be required by the U.S. Department of Labor and shall report to the Department as may be required by it.</text> </paragraph> <paragraph num="E."> <text>Maintenance of Records. The records required by these regulations and any other information relevant to compliance with these regulations shall be maintained for 5 years and made available upon request to the Council or its authorized representative.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Compliance Reviews."> <paragraph num="A."> <text>Conduct of Compliance Reviews. The Council will regularly conduct systematic reviews of apprenticeship programs in order to determine the extent to which sponsors are complying with these regulations and will also conduct compliance reviews when circumstances, including receipt of complaints not referred to a private review body pursuant to Regulation .10B(1) of this chapter, so warrant, and take appropriate action regarding programs which are not in compliance with the requirements of these regulations. Compliance reviews will consist of comprehensive analyses and evaluations of each aspect of the apprenticeship program, including on-site investigations and audits.</text> </paragraph> <paragraph num="B."> <text>Reregistration. Sponsors seeking reregistration shall be subject to a compliance review as described in §A of this regulation by the Council as part of the reregistration process.</text> </paragraph> <paragraph num="C."> <text>New Registrations. Sponsors seeking new registrations shall be subject to a compliance review as described in §A of this regulation by the Council as part of the registration process.</text> </paragraph> <paragraph num="D."> <text>Voluntary Compliance. When the compliance review indicates that the sponsor is not operating in accordance with these regulations, the Council shall notify the sponsor in writing of the results of the review and make a reasonable effort to secure voluntary compliance on the part of the program sponsor within a reasonable time before undertaking sanctions under Regulation .12 of this chapter. In the case of sponsors seeking new registration, the Council will provide appropriate recommendations to the sponsor to enable it to achieve compliance for registration purposes.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Noncompliance with Federal and State Equal Opportunity Requirements."> <text>A pattern or practice of noncompliance by a sponsor (or when the sponsor is a joint apprenticeship committee, by one of the parties represented on this committee) with federal and State laws or regulations requiring equal opportunity may be grounds for the imposition of sanctions in accordance with Regulation .12 of this chapter if this noncompliance is related to the equal employment opportunity of apprentices and graduates of an apprenticeship program under these regulations. The sponsor shall take affirmative steps to assist and cooperate with employers and unions in fulfilling their equal employment opportunity obligations.</text> </regulation> <regulation prefix="Regulation" num=".10" heading="Complaint Procedure."> <paragraph num="A."> <text>Filing.</text> <paragraph num="(1)"> <text>Any apprentice or applicant for apprenticeship who believes that he or she has been discriminated against on the basis of political or religious opinion or affiliation, marital status, race, color, creed, national origin, sex, or age, unless sex or age constitutes a bona fide occupational qualification, or the physical or mental disability of a qualified individual with a disability with regard to apprenticeship or that the equal opportunity standards with respect to his or her selection have not been followed in the operation of an apprenticeship program may, personally or through an authorized representative, file a complaint with the Council, or, at the apprentice's or applicant's election, with a private review body established pursuant to §A(3) of this regulation. The complaint shall be in writing and shall be signed by the complainant. It shall include the name, address, and telephone number of the person allegedly discriminated against, the program sponsor involved, and a brief description of the circumstances of the failure to apply the equal opportunity standards provided for in this chapter.</text> </paragraph> <paragraph num="(2)"> <text>The complaint shall be filed not later than 180 days from the date of the alleged discrimination or specified failure to follow the equal opportunity standards; and, in the case of complaints filed directly with review bodies designated by program sponsors to review these complaints, any referral of this complaint by the complainant to the Council shall occur within the time limitation stated above or 30 days from the final decision of the review body, whichever is later. The time may be extended by the Council for good cause shown.</text> </paragraph> <paragraph num="(3)"> <text>Sponsors are encouraged to establish fair, speedy, and effective procedures for a review body to consider complaints of failure to follow the equal opportunity standards. A private review body established by the program sponsor for this purpose should number three or more responsible persons from the community serving in this capacity without compensation. Members of the review body should not be directly associated with the administration of an apprenticeship program. Sponsors may join together in establishing a review body to serve the needs of programs within the community.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Processing of Complaints.</text> <paragraph num="(1)"> <text>When the sponsor has designated a review body for reviewing complaints, the Council, unless the complainant has indicated otherwise or unless the Council has determined that the review body will not effectively enforce the equal opportunity standards, shall upon receiving a complaint refer it to the review body. The Council shall, within 30 days following the referral of a complaint to the review body, obtain reports from the complainant and the review body as to the disposition of the complaint. If the complaint has been satisfactorily adjusted, and there is no other indication of failure to apply equal opportunity standards, the case shall be closed and the parties appropriately informed. When a complaint has not been resolved by the review body within 90 days or when, despite satisfactory resolution of the particular complaint by the review body, there is evidence that the equal opportunity practices of the apprenticeship program are not in accordance with this chapter, the Council may conduct such compliance review as found necessary and will take all necessary steps to resolve the complaint.</text> </paragraph> <paragraph num="(2)"> <text>If no review body exists, the Council may conduct a compliance review as found necessary in order to determine the facts of the complaint, and obtain such other information relating to compliance with these regulations as the circumstances warrant.</text> </paragraph> <paragraph num="(3)"> <text>Sponsors shall provide written notice of the above complaint procedure to all applicants for apprenticeship and all apprentices.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Adjustments in Schedule for Compliance Review or Complaint Processing."> <text>If, in the judgment of the Council, a particular situation warrants and requires special processing and either expedited or extended determination, it shall take the steps necessary to permit this determination if it finds that no person or party affected by the determination will be prejudiced by the special processing.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Sanctions."> <paragraph num="A."> <text>When the Council, as a result of a compliance review or other reason, determines that there is reasonable cause to believe that an apprenticeship program is not operating in accordance with this chapter and voluntary corrective action has not been taken by the program sponsor, the Council shall institute proceedings to deregister the program or it shall refer the matter to the Attorney General for the institution of a court action as authorized by law.</text> </paragraph> <paragraph num="B."> <text>The Council delegates to the Office of Administrative Hearings the authority to conduct deregistration hearings and submit in writing to the Council proposed findings of fact and recommended decisions.</text> </paragraph> <paragraph num="C."> <text>Deregistration proceedings shall be conducted in accordance with the following procedures:</text> <paragraph num="(1)"> <text>The Council shall notify the sponsor, in writing, that a determination of reasonable cause has been made under §A of this regulation and that the apprenticeship program may be deregistered unless, within 15 days of the receipt of the notice, the sponsor requests a hearing. The notification shall specify the facts on which the determination is based.</text> </paragraph> <paragraph num="(2)"> <text>If, within 15 days of the receipt of the notice provided for in §C(1) of this regulation, the sponsor mails a request for a hearing, the Council shall request that the Office of Administrative Hearings convene a hearing in accordance with Regulation .14 of this chapter.</text> </paragraph> <paragraph num="(3)"> <text>The Council shall make a final decision on the basis of the record, which shall consist of the compliance review file and other evidence presented and, if a hearing was conducted pursuant to Regulation .14 of this chapter, the proposed findings and recommended decision of the administrative law judge. The Council may allow the sponsor a reasonable time to achieve voluntary corrective action. If, after any time allowed by the Council in its discretion for voluntary corrective action, the Council's decision is that the apprenticeship program is not operating in accordance with these regulations, the apprenticeship program shall be deregistered. In each case in which deregistration is ordered, the Council shall make public notice of the order and shall notify the sponsor and the complainant, if any, and the U.S. Department of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Reinstatement of Program Registration."> <text>Any apprenticeship program deregistered pursuant to this chapter may be reinstated upon presentation of adequate evidence to the Council that the apprenticeship program is operating in accordance with this chapter.</text> </regulation> <regulation prefix="Regulation" num=".14" heading="Hearings."> <paragraph num="A."> <text>Procedure for Hearings.</text> <paragraph num="(1)"> <text>Within 10 days after receiving a request for a hearing, the Council shall request that the Office of Administrative Hearings designate an administrative law judge.</text> </paragraph> <paragraph num="(2)"> <text>The administrative law judge shall give reasonable notice of the hearing by certified mail, return receipt requested, to the sponsor.</text> </paragraph> <paragraph num="(3)"> <text>The notice shall include a:</text> <paragraph num="(a)"> <text>Reasonable time and place of hearing;</text> </paragraph> <paragraph num="(b)"> <text>Statement of the provisions of this chapter pursuant to which the hearing is to be held; and</text> </paragraph> <paragraph num="(c)"> <text>Concise statement of the matters pursuant to which the action forming the basis of the hearing is proposed to be taken.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>The administrative law judge shall regulate the course of the hearing. Hearings shall be informally conducted. Every party shall have the right to counsel, and a fair opportunity to present his or her case including such cross-examination as may be appropriate in the circumstances. The administrative law judge shall make proposed findings and recommended decisions to the Council upon the basis of the record.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Intimidatory or Retaliatory Acts."> <text>Any intimidation, threat, coercion, or retaliation by or with the approval of any sponsor against any person for the purpose of interfering with any right or privilege secured by Title VII of the Civil Rights Act of 1964, as amended, Executive Order 11246, as amended, or because he or she has made a complaint, testified, assisted, or participated in any manner in an investigation, proceeding, or hearing under this chapter shall be considered noncompliance with the equal opportunity standards of this chapter. The identity of complainants shall be kept confidential except to the extent necessary to carry out the purpose of this chapter including the conduct of any investigation, hearing, or judicial proceeding arising therefrom.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="Nondiscrimination."> <text>The commitments contained in the sponsor's affirmative action program are not intended and may not be used to discriminate against any qualified applicant or apprentice on the basis of political or religious opinion or affiliation, marital status, race, color, creed, national origin, sex, or age, unless sex or age constitutes a bona fide occupational qualification, or the physical or mental disability of a qualified individual with a disability.</text> </regulation> <regulation prefix="Regulation" num=".17" heading="Exemptions."> <text>Requests for exemption from this chapter, or any part of it, shall be made in writing to the Council and shall contain a statement or reasons supporting the request. Exemptions may be granted by the Council or the Secretary of Labor for good cause. The Council shall notify the U.S. Department of Labor of any exemptions granted affecting a substantial number of employees and the reasons for them.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §11-405, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 1, 1971</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 8, 1978 (5:18 Md. R. 1387)</annotation> <annotation type="History" subtype="Administrative History">(Transferred from Department of Licensing and Regulation to Department of Employment and Training, effective October 1, 1983; recodified from COMAR 09.12.21 to 24.04.01)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 21, 1992 (19:25 Md. R. 2208)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.04.01 to COMAR 09.12.42, May 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 11, 2016 (43:7 Md. R. 448)</annotation> </annotations> </chapter> <chapter num="43" heading="Maryland Apprenticeship and Training"> <regulation prefix="Regulation" num=".01" heading="Scope and Purpose."> <paragraph num="A."> <text>Except as provided in COMAR 09.01.12.01C, these regulations do not apply to youth apprenticeship under Apprenticeship Maryland.</text> </paragraph> <paragraph num="B."> <text>The purpose of this chapter is to:</text> <paragraph num="(1)"> <text>Establish guidelines and standards necessary for the development of skilled apprenticeship programs;</text> </paragraph> <paragraph num="(2)"> <text>Establish guidelines to protect workers who participate in apprenticeship programs;</text> </paragraph> <paragraph num="(3)"> <text>Establish labor standards to safeguard the welfare of apprentices; and</text> </paragraph> <paragraph num="(4)"> <text>Prescribe policies and procedures concerning the registration for State and federal purposes of acceptable apprenticeship and training programs with the Council which is recognized as a registration agency for federal purposes by the Bureau of Apprenticeship and Training, Employment and Training Administration, U.S. Department of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Apprentice” means a worker 16 years old or older, who has entered into a voluntary written agreement with a sponsor who has agreed to teach the worker a skilled trade under terms defined in Regulations .04 and .05 of this chapter.</text> </paragraph> <paragraph num="(2)"> <text>“Apprenticeship agreement” means a written agreement between an apprentice and the sponsor that defines the relationship and is registered by the Maryland Apprenticeship and Training Council.</text> </paragraph> <paragraph num="(3)"> <text>“Apprenticeship program” means a written plan containing, at a minimum, the standards set forth in Regulation .05 of this chapter.</text> </paragraph> <paragraph num="(4)"> <text>“Cancellation” means:</text> <paragraph num="(a)"> <text>The deregistration by the Council of an apprenticeship program at the request of the program sponsor;</text> </paragraph> <paragraph num="(b)"> <text>The termination of an apprenticeship agreement at the request of the apprentice or sponsor; or</text> </paragraph> <paragraph num="(c)"> <text>Formal deregistration proceedings when the action is involuntary.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Competency” means the attainment of manual, mechanical, or technical skills and knowledge as specified by an occupational standard and demonstrated by an appropriate written and hands-on proficiency measurement.</text> </paragraph> <paragraph num="(6)"> <text>Competency-Based Approach.</text> <paragraph num="(a)"> <text>“Competency-based approach” means a method to measure skill acquisition through the individual apprentice’s successful demonstration of acquired skills and knowledge, as verified by the program sponsor.</text> </paragraph> <paragraph num="(b)"> <text>“Competency-based approach” includes requiring an apprentice to complete an on-the-job learning component of registered apprenticeship with the program standards addressing:</text> <paragraph num="(i)"> <text>How on-the-job learning will be integrated into the program;</text> </paragraph> <paragraph num="(ii)"> <text>Describing competencies; and</text> </paragraph> <paragraph num="(iii)"> <text>Identifying an appropriate means of testing and evaluation for such competencies.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(7)"> <text>“Council” means the Maryland Apprenticeship and Training Council.</text> </paragraph> <paragraph num="(8)"> <text>“Director” means the Director of the Maryland Apprenticeship and Training Program.</text> </paragraph> <paragraph num="(9)"> <text>“Employer” means an individual or organization located or operating in Maryland that employs an apprentice on a work site whether or not that individual or organization is a party to an apprenticeship agreement.</text> </paragraph> <paragraph num="(10)"> <text>“Hybrid approach” means a method to measure an individual apprentice’s skill acquisition through a combination of a specified minimum number of hours of on-the-job learning and the successful demonstration of competency as described in a work process schedule.</text> </paragraph> <paragraph num="(11)"> <text>“Joint apprenticeship committee” means a committee, composed of an equal number of representatives of employers and employees, that has been jointly established by an employer or group of employers and a bona fide collective bargaining agent or agents to:</text> <paragraph num="(a)"> <text>Conduct, operate, or administer an apprenticeship program; and</text> </paragraph> <paragraph num="(b)"> <text>Enter into apprenticeship agreements with apprentices selected for employment under the particular program.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Journeyperson” means an individual who has completed:</text> <paragraph num="(a)"> <text>A registered apprenticeship in a craft; or</text> </paragraph> <paragraph num="(b)"> <text>The equivalent of an apprenticeship in length and content of work experience and all requirements in the apprenticeship standards for a craft.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>Nonjoint Apprenticeship Sponsor.</text> <paragraph num="(a)"> <text>“Nonjoint apprenticeship sponsor” means an apprenticeship program sponsor in which a bona fide collective bargaining agent does not participate.</text> </paragraph> <paragraph num="(b)"> <text>“Nonjoint apprenticeship sponsor” includes:</text> <paragraph num="(i)"> <text>An individual nonjoint sponsor which is an apprenticeship program sponsored by one employer without participation of a union; and</text> </paragraph> <paragraph num="(ii)"> <text>A group nonjoint sponsor which is an apprenticeship program sponsored by two or more employers without the participation of a union.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(14)"> <text>“On-the-job training” means that segment of apprenticeship which can be obtained only on the job site.</text> </paragraph> <paragraph num="(15)"> <text>“Probationary period” means the period of time in an apprenticeship contract in which a party to the apprenticeship agreement may cancel the contract without cause.</text> </paragraph> <paragraph num="(16)"> <text>“Registration of an apprenticeship program” means the acceptance and recording of the program and issuance of a certificate of registration by the Maryland Apprenticeship and Training Council as meeting the basic standards and requirements of the Council.</text> </paragraph> <paragraph num="(17)"> <text>“Related instruction” means an organized and systematic form of instruction designed to provide knowledge of the theoretical and technical subjects related to the trade.</text> </paragraph> <paragraph num="(18)"> <text>“Secretary” means the Secretary of Labor or a person specifically designated by the Secretary.</text> </paragraph> <paragraph num="(19)"> <text>“Sponsor” means an individual, association, committee, organization, or employer in whose name or title the program is or is to be registered.</text> </paragraph> <paragraph num="(20)"> <text>“State purposes” means:</text> <paragraph num="(a)"> <text>A State contract, grant, agreement, or arrangement dealing with apprenticeship; and</text> </paragraph> <paragraph num="(b)"> <text>State financial or other assistance, benefit, privilege, contribution, allowance, exemption, preference, or right pertaining to apprenticeship.</text> </paragraph> </paragraph> <paragraph num="(21)"> <text>“Time-based approach” means a method that measures skill acquisition through the individual apprentice’s completion of at least 2,000 hours of on-the-job learning as described in a work process schedule.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Eligibility and Procedure for Registration."> <paragraph num="A."> <text>Registration of Apprenticeship Program.</text> <paragraph num="(1)"> <text>An apprenticeship program is eligible for registration by the Council if the:</text> <paragraph num="(a)"> <text>Apprenticeship program conforms with apprenticeship program standards published by the Council;</text> </paragraph> <paragraph num="(b)"> <text>Apprenticeship program provides for training in an apprenticeable occupation meeting the requirements of Regulations .04 and .05 of this chapter;</text> </paragraph> <paragraph num="(c)"> <text>Apprenticeship program conforms with the requirements of the Maryland State Plan for Equal Employment Opportunity in Apprenticeship and Training; and</text> </paragraph> <paragraph num="(d)"> <text>Request for registration is:</text> <paragraph num="(i)"> <text>In writing,</text> </paragraph> <paragraph num="(ii)"> <text>Made by the applicant sponsor,</text> </paragraph> <paragraph num="(iii)"> <text>Addressed to the Director, and</text> </paragraph> <paragraph num="(iv)"> <text>Submitted with all required documents and data, as required by the Council.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>An approved apprenticeship program shall be registered and issued a certificate of registration.</text> </paragraph> <paragraph num="(3)"> <text>An apprenticeship program is considered registered upon approval of the Council.</text> </paragraph> <paragraph num="(4)"> <text>If the employees to be trained have no collective bargaining agent, an apprenticeship program may be proposed for registration by a nonjoint apprenticeship sponsor.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Registration of Apprentices.</text> <paragraph num="(1)"> <text>An apprentice shall be individually registered under a registered apprenticeship program.</text> </paragraph> <paragraph num="(2)"> <text>To register an apprentice, a sponsor shall file copies of an apprenticeship agreement for approval by the Council.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Sponsor Responsibilities.</text> <paragraph num="(1)"> <text>A sponsor may not register more apprentices than permitted in the sponsor's approved and registered standards of apprenticeship.</text> </paragraph> <paragraph num="(2)"> <text>Apprentices working on the sponsor's premises, and at each individual job site away from the sponsor's premises, shall work in accordance with the sponsor's approved ratio of apprentices to journeypersons except that the first apprentice may be worked at a job site immediately after the first journeyperson at a job site.</text> </paragraph> <paragraph num="(3)"> <text>A sponsor that is participating in a group nonjoint apprenticeship program registered with the Council may not register an individual program in the same Metropolitan Statistical Area unless the sponsor:</text> <paragraph num="(a)"> <text>Shows just cause that an individual program is needed; and</text> </paragraph> <paragraph num="(b)"> <text>Is starting an apprenticeship program in an occupation not covered by the group nonjoint apprenticeship program, or terminating the sponsor's participation in the group nonjoint apprenticeship program.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A sponsor shall agree that, in order to determine compliance, any Council member, the Director, or any designee of the Director, with proper notice, may visit a job site or other location where apprentices work or are trained.</text> </paragraph> <paragraph num="(5)"> <text>All individual participating employers in a group nonjoint apprenticeship program shall agree in writing to all registered provisions of the apprenticeship program standards.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Change to Registered Program.</text> <paragraph num="(1)"> <text>A sponsor shall promptly submit any change to a registered apprenticeship program in writing to the Council for approval.</text> </paragraph> <paragraph num="(2)"> <text>An approved change shall be recorded as an amendment to the apprenticeship program.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Collective Bargaining Agreements. For an apprenticeship program proposed for registration by a joint apprenticeship committee where the standard, collective bargaining agreements, or other instruments, provide for participation by a union in the operation of the substantive matters of the apprenticeship program, the following apply:</text> <paragraph num="(1)"> <text>Where the participation is exercised, written acknowledgment of union agreement or “no objection” to the registration is required; and</text> </paragraph> <paragraph num="(2)"> <text>Where no participation is evidenced and practiced:</text> <paragraph num="(a)"> <text>The employer or employers' association shall furnish to a union local, which is the collective bargaining agent of the employees to be trained, a copy of its application for registration and of the apprenticeship program,</text> </paragraph> <paragraph num="(b)"> <text>The Council, upon receipt of the application and apprenticeship program, shall send, by certified mail to the union local, a copy of the application and the apprenticeship program,</text> </paragraph> <paragraph num="(c)"> <text>An opportunity is provided for the union local to review, comment, approve, or reject the content of the apprenticeship program within 30 days, and</text> </paragraph> <paragraph num="(d)"> <text>Notice is given that union comments of the union local are accepted for 30 days after the date of the Council transmittal.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Temporary Staffing Agencies. A temporary staffing agency that offers temporary staffing services and does not have day-to-day control of work assignments and supervision of employees is not eligible for registration as a sponsor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Criteria for an Apprenticeable Occupation."> <text>An apprenticeable occupation is a skilled trade that:</text> <paragraph num="A."> <text>Is customarily learned in a practical way through on-the-job training;</text> </paragraph> <paragraph num="B."> <text>Can be clearly identified and commonly recognized throughout an industry;</text> </paragraph> <paragraph num="C."> <text>Is not a part of an occupation previously recognized by the Council as apprenticeable unless that part is practiced industrywide as an identifiable and distinct trade;</text> </paragraph> <paragraph num="D."> <text>Involves manual, mechanical, or technical skills and knowledge, which require a minimum of 2,000 hours of work and on-the-job training, not including the hours spent on related instruction;</text> </paragraph> <paragraph num="E."> <text>Requires related instruction supplemental to the on-the-job training which may be given:</text> <paragraph num="(1)"> <text>In a classroom,</text> </paragraph> <paragraph num="(2)"> <text>Through correspondence courses,</text> </paragraph> <paragraph num="(3)"> <text>By self-study, or</text> </paragraph> <paragraph num="(4)"> <text>By other means of instruction approved by the Council; and</text> </paragraph> </paragraph> <paragraph num="F."> <text>Involves the development of a skill which is not restricted in application to the products of any one company, but which is broad enough to be applied in similar occupations throughout an industry.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Standards of an Apprenticeship Program."> <paragraph num="A."> <text>The apprenticeship program shall be an organized, written plan which includes the terms and conditions of employment, training, and supervision of one or more apprentices in an apprenticeable occupation.</text> </paragraph> <paragraph num="B."> <text>A sponsor of an apprenticeship program shall operate in accordance with or abide by the standards of the apprenticeship program.</text> </paragraph> <paragraph num="C."> <text>Apprenticeship program standards shall include the following:</text> <paragraph num="(1)"> <text>The equal opportunity pledge prescribed in the Maryland State Plan for Equal Employment Opportunity in accordance with COMAR 09.12.42.04A;</text> </paragraph> <paragraph num="(2)"> <text>If applicable, an affirmative action plan in accordance with COMAR 09.12.42.04A;</text> </paragraph> <paragraph num="(3)"> <text>A selection method authorized in COMAR 09.12.42.06; and</text> </paragraph> <paragraph num="(4)"> <text>The requirements of an apprenticeship program in accordance with §D of this regulation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An apprenticeship program shall include the following provisions:</text> <paragraph num="(1)"> <text>The employment and training of the apprentice in a skilled occupation;</text> </paragraph> <paragraph num="(2)"> <text>A term of apprenticeship, which for an individual apprentice:</text> <paragraph num="(a)"> <text>May be measured through either a time-based approach, a competency-based approach, or a hybrid approach; and</text> </paragraph> <paragraph num="(b)"> <text>Is determined by the program sponsor, subject to approval by the Division, with the advice of the Council, depending on which approach is appropriate for the apprenticeable occupation for which the program standards are registered;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A work processes outline which:</text> <paragraph num="(a)"> <text>Includes the allocation of the approximate time to be spent in each major work process, and</text> </paragraph> <paragraph num="(b)"> <text>Is an organized syllabus of operations and manual manipulative practices which shall be arranged in a logical manner and assigned sufficient time frames for these practices to equip an apprentice with a comprehensive basic skill development background to qualify for journeyperson or another stated training objective;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Related instruction requirements as described in §E of this regulation;</text> </paragraph> <paragraph num="(5)"> <text>Apprentice wage rates as described in §F of this regulation;</text> </paragraph> <paragraph num="(6)"> <text>Progress records as described in §G of this regulation;</text> </paragraph> <paragraph num="(7)"> <text>Ratio of journeypersons to apprentices as described in §H of this regulation;</text> </paragraph> <paragraph num="(8)"> <text>Probationary period requirements as described in §I of this regulation;</text> </paragraph> <paragraph num="(9)"> <text>Safety equipment practices as described in §J of this regulation;</text> </paragraph> <paragraph num="(10)"> <text>Minimum age requirements as described in §K of this regulation;</text> </paragraph> <paragraph num="(11)"> <text>Placement of an apprentice under an apprenticeship agreement as required by law, with the apprenticeship agreement incorporating the registered standards;</text> </paragraph> <paragraph num="(12)"> <text>Credit for experience requirements as described in §L of this regulation;</text> </paragraph> <paragraph num="(13)"> <text>Transfer of employer's training obligation to another employer, when warranted, with full credit to apprentice for satisfactory time and training earned;</text> </paragraph> <paragraph num="(14)"> <text>Assurance of qualified training personnel;</text> </paragraph> <paragraph num="(15)"> <text>Recognition for successful completion of apprenticeship evidenced by a certificate of completion issued by the Council;</text> </paragraph> <paragraph num="(16)"> <text>Identification of the Council;</text> </paragraph> <paragraph num="(17)"> <text>The registration and cancellation of the apprenticeship program and the prompt submission of any modification or amendment to the apprenticeship program;</text> </paragraph> <paragraph num="(18)"> <text>Registration of an apprenticeship agreement, modification, and amendment;</text> </paragraph> <paragraph num="(19)"> <text>Notice to the Council of persons who have successfully completed apprenticeship programs and notice and cause of cancellations, suspensions, and termination of apprenticeship agreements;</text> </paragraph> <paragraph num="(20)"> <text>A statement that the program will be conducted, operated, and administered in conformity with the Maryland State Plan for Equal Employment Opportunity;</text> </paragraph> <paragraph num="(21)"> <text>Name and address of the appropriate authority under the program to receive, process, and make disposition of complaints; and</text> </paragraph> <paragraph num="(22)"> <text>Recording and maintenance of all records concerning apprenticeship required by the Council and other applicable law.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Related Instruction.</text> <paragraph num="(1)"> <text>A minimum of 144 hours of instruction for each year of apprenticeship or the numbers of hours necessary to cover related courses required by the program sponsor is required.</text> </paragraph> <paragraph num="(2)"> <text>Instruction may be provided:</text> <paragraph num="(a)"> <text>In a classroom;</text> </paragraph> <paragraph num="(b)"> <text>Through trade, industrial, or correspondence courses of equivalent value; or</text> </paragraph> <paragraph num="(c)"> <text>Through other forms of approved self-study.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Apprentice Wage Rates.</text> <paragraph num="(1)"> <text>A progressively increasing schedule of wages shall be paid to the apprentice.</text> </paragraph> <paragraph num="(2)"> <text>Apprentice wage rates established by a collective bargaining agreement shall be accepted by the Council for apprentices covered by the agreement.</text> </paragraph> <paragraph num="(3)"> <text>For a program where wage rates are not established by collective bargaining agreements:</text> <paragraph num="(a)"> <text>The progressively increasing schedule of apprentice wage rates shall be expressed in percentages of the journeyperson hourly rate;</text> </paragraph> <paragraph num="(b)"> <text>Rates shall represent the minimum for each incremental period of apprenticeship;</text> </paragraph> <paragraph num="(c)"> <text>The journeyperson hourly rate for each trade included in a registered program shall be the average journeyperson hourly rate applicable to the participant employer and shall be stated in dollars and cents;</text> </paragraph> <paragraph num="(d)"> <text>The entry wage may not be less than the State minimum wage, if applicable, unless a higher wage is required by other applicable federal law, State law, or respective regulations; and</text> </paragraph> <paragraph num="(e)"> <text>Any modification of wage progression or journeyperson wage shall be promptly reported to the Council.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Progress Records.</text> <paragraph num="(1)"> <text>Periodic review and evaluation of an apprentice's progress in job performance and related instruction shall be conducted.</text> </paragraph> <paragraph num="(2)"> <text>Appropriate progress records shall be maintained.</text> </paragraph> <paragraph num="(3)"> <text>Upon request, progress records shall be submitted to the Council for review.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Ratio of Journeypersons to Apprentices.</text> <paragraph num="(1)"> <text>Each program shall have a minimum ratio of one journeyperson regularly employed for one apprentice consistent with proper supervision, training, and continuity of employment and applicable provisions in collective bargaining agreements.</text> </paragraph> <paragraph num="(2)"> <text>Deviation from the minimum ratio, including the bargaining agreements, is not permitted unless first submitted to the Council in writing for its approval.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Probationary Period.</text> <paragraph num="(1)"> <text>A probationary period covering employment and instruction shall be reasonable in relation to the full apprenticeship term with full credit for the period toward completion of the apprenticeship agreement.</text> </paragraph> <paragraph num="(2)"> <text>The probationary period may not exceed 1/4 of the full term of the apprenticeship agreement.</text> </paragraph> <paragraph num="(3)"> <text>During the probationary period, upon written notice to the Council, the apprenticeship agreement may be terminated without cause by either party to the agreement.</text> </paragraph> <paragraph num="(4)"> <text>After the probationary period, the apprenticeship agreement may be suspended, canceled, or terminated for good cause provided:</text> <paragraph num="(a)"> <text>Due notice is given to the apprentice;</text> </paragraph> <paragraph num="(b)"> <text>A reasonable opportunity for corrective action is provided; and</text> </paragraph> <paragraph num="(c)"> <text>Written notice of the final action is given to the apprentice and the Council.</text> </paragraph> </paragraph> </paragraph> <paragraph num="J."> <text>Safety Equipment Practices.</text> <paragraph num="(1)"> <text>The program sponsor shall provide:</text> <paragraph num="(a)"> <text>Adequate and safe equipment and facilities for training and supervision; and</text> </paragraph> <paragraph num="(b)"> <text>Safety training for apprentices on the job and in related instruction.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The standards of the apprenticeship program shall include a statement that the instructor, supervisor, journeyperson, or master who is supervising the work of the apprentice is responsible for giving instruction in safe working methods and techniques in each operation as it is encountered in accordance with the Maryland Occupational Safety and Health Law and operating codes for the trade.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Minimum Age.</text> <paragraph num="(1)"> <text>An individual entering an apprenticeship agreement shall be 16 years old or older.</text> </paragraph> <paragraph num="(2)"> <text>An apprentice younger than 18 years old shall have a work permit.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Advanced Standing or Credit for Previously Acquired Experience, Training, Skills, or Aptitude.</text> <paragraph num="(1)"> <text>Upon a showing of satisfactory evidence, advanced standing or credit up to 50 percent of on-the-job training or related instruction, or both, may be granted to an apprentice for previously acquired experience, training, skills, or aptitude, provided that wages shall be commensurate for any progression step of advanced standing or credit awarded.</text> </paragraph> <paragraph num="(2)"> <text>In order for a specific apprentice to obtain credit for more than 50 percent of these requirements, the sponsor shall:</text> <paragraph num="(a)"> <text>Send a written request to the Council detailing why the credit should be granted; and</text> </paragraph> <paragraph num="(b)"> <text>Obtain the explicit written approval of the Council to grant the credit to the apprentice.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the request is based on the apprentice's previous experience, training, skills, or aptitude, the request shall detail:</text> <paragraph num="(a)"> <text>The number of years of experience, training, skills, or aptitude in the trade; and</text> </paragraph> <paragraph num="(b)"> <text>The sponsor's judgment regarding the quality of the apprentice's experience, training, skills, or aptitude in relation to the sponsor's requirements.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>If the request is based on the fact that the apprentice has already completed more than 50 percent of the program but has not been registered, the sponsor shall make an adequate showing of good cause as to why the apprentice was not registered in a timely fashion.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Certificate of Completion of Apprenticeship."> <text>To receive a certificate of completion of apprenticeship, an apprentice shall successfully complete both the required related instruction and the on-the-job training while in the employ of and under the supervision of a registered apprenticeship program sponsor.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Apprenticeship Agreement."> <paragraph num="A."> <text>The apprenticeship agreement shall be on a form approved by the Council and shall contain:</text> <paragraph num="(1)"> <text>The name and signature of the:</text> <paragraph num="(a)"> <text>Apprentice;</text> </paragraph> <paragraph num="(b)"> <text>Program sponsor; and</text> </paragraph> <paragraph num="(c)"> <text>Parent or guardian, if the apprentice is a minor;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The date of birth of the apprentice;</text> </paragraph> <paragraph num="(3)"> <text>The name and address of the program sponsor and registration agency;</text> </paragraph> <paragraph num="(4)"> <text>A statement of the trade or craft which the apprentice is to be taught;</text> </paragraph> <paragraph num="(5)"> <text>The beginning date and term of apprenticeship;</text> </paragraph> <paragraph num="(6)"> <text>A statement showing the number of hours to be spent by the apprentice in:</text> <paragraph num="(a)"> <text>Work on the job; and</text> </paragraph> <paragraph num="(b)"> <text>Related and supplemental instruction;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>A statement setting forth:</text> <paragraph num="(a)"> <text>A schedule of work processes in the trade or industry divisions which the apprentice is to be taught; and</text> </paragraph> <paragraph num="(b)"> <text>The approximate time to be spent at each process;</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>When the program sponsor has granted credit toward work experience, the credit in relation to the respective work processes;</text> </paragraph> <paragraph num="(9)"> <text>The progressive scale of wages to be paid the apprentice and a statement as to whether or not the required time spent at related instruction is compensated;</text> </paragraph> <paragraph num="(10)"> <text>Statements providing for a reasonable period of probation in relation to the apprenticeship term;</text> </paragraph> <paragraph num="(11)"> <text>A reference incorporating, as part of the agreement, the standards of the apprenticeship program as it exists on the date of the agreement and as it may be amended during the period of the agreement;</text> </paragraph> <paragraph num="(12)"> <text>A statement that the apprentice shall be given equal opportunity in all phases of apprenticeship employment and training without discrimination because of political or religious opinion or affiliation, marital status, race, color, creed, national origin, sex or age, unless sex or age constitutes a bona fide occupational qualification, or the physical or mental disability of a qualified individual with a disability;</text> </paragraph> <paragraph num="(13)"> <text>A statement that the Council is the appropriate authority designated under the program to receive, process, and make disposition of controversies or differences arising out of the apprenticeship agreement when the controversies or differences cannot be adjusted locally or resolved in accordance with the established trade procedure or applicable collective bargaining provisions; and</text> </paragraph> <paragraph num="(14)"> <text>A statement that, if the registration of the program has been canceled or revoked, the apprentice shall be notified by the sponsor within 15 days of the cancellation or revocation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The apprentice shall be given an opportunity to read the sponsor's approved standards before signing the apprenticeship agreement.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Standards for Hours of Work, Working Conditions, and Related Instruction Facilities."> <paragraph num="A."> <text>Hours of Work.</text> <paragraph num="(1)"> <text>The regular work day and work week for apprentices shall conform to all applicable laws and regulations.</text> </paragraph> <paragraph num="(2)"> <text>Overtime may not:</text> <paragraph num="(a)"> <text>Interfere with or impair training; or</text> </paragraph> <paragraph num="(b)"> <text>Be detrimental to the health and safety of an apprentice.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Working Conditions.</text> <paragraph num="(1)"> <text>Working and all other conditions of employment for an apprentice shall conform with all laws and regulations affecting the health, welfare, and safety of the apprentice.</text> </paragraph> <paragraph num="(2)"> <text>An apprentice shall:</text> <paragraph num="(a)"> <text>Work under and with competent journeypersons or instructors; and</text> </paragraph> <paragraph num="(b)"> <text>Be assigned to work and learn tasks so that the apprentice obtains the diversified training on the job provided for in the apprenticeship standards.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Related Instruction Facilities.</text> <paragraph num="(1)"> <text>Program sponsors are encouraged to use existing local public vocational school facilities in formulating and establishing courses of related instruction.</text> </paragraph> <paragraph num="(2)"> <text>Alternative facilities are acceptable as meeting the related instruction requirement if:</text> <paragraph num="(a)"> <text>Public vocational school facilities are not available or not suitable; or</text> </paragraph> <paragraph num="(b)"> <text>The sponsors prefer to use:</text> <paragraph num="(i)"> <text>Private educational facilities existing within a trade or an industry,</text> </paragraph> <paragraph num="(ii)"> <text>Supervised self-study courses, or</text> </paragraph> <paragraph num="(iii)"> <text>The facilities of a private or public institution of higher learning.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Responsibilities of the Sponsor."> <text>The sponsor shall:</text> <paragraph num="A."> <text>Recruit and interview applicants, schedule testing, instruct applicants on completing applications, and brief applicants for interviews;</text> </paragraph> <paragraph num="B."> <text>Keep application records up to date;</text> </paragraph> <paragraph num="C."> <text>Indoctrinate new apprentices, assign apprentices for training, and recommend remedial work, if needed;</text> </paragraph> <paragraph num="D."> <text>Arrange for related instruction;</text> </paragraph> <paragraph num="E."> <text>Assist in the selection of and supervise classroom instructors, supervise the in-class instruction, and conduct workshops for instructors, if applicable;</text> </paragraph> <paragraph num="F."> <text>Prepare and disburse course materials, and revise or update course materials for apprentices, journeypersons, and instructors, if applicable;</text> </paragraph> <paragraph num="G."> <text>Develop, purchase, assemble, and keep in repair all training aids and instructional materials for the classroom, if applicable;</text> </paragraph> <paragraph num="H."> <text>Maintain accurate records on apprentice grades, progress, attendance, and work experience;</text> </paragraph> <paragraph num="I."> <text>Evaluate journeyperson's and employer's reports on apprentices for the full duration of the apprenticeship; and</text> </paragraph> <paragraph num="J."> <text>Evaluate the progress of apprentice work experience and verify and certify work hours, progress, and payroll for those apprentices who are entitled to benefits under the G.I. Bill and other local, State, and federal employment and training programs.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Apprenticeship Training."> <paragraph num="A."> <text>Apprentice training shall be provided by a qualified individual who is in a position to relate directly to the apprentice's work.</text> </paragraph> <paragraph num="B."> <text>The arrangement shall be made known to both the apprentice and the individual to whom supervisory responsibility is delegated.</text> </paragraph> <paragraph num="C."> <text>Qualifications of an Instructor.</text> <paragraph num="(1)"> <text>An instructor shall be a capable, practical individual, who is selected or approved by the sponsor or one who is designated with this authority by the apprenticeship committee for the trade.</text> </paragraph> <paragraph num="(2)"> <text>The individual conducting the training may be a supervisor, a journeyperson, or the owner.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Records and Reports."> <paragraph num="A."> <text>A program sponsor shall keep, in a manner and form as required by the Council, adequate records of all phases of the operation of the apprenticeship program, including, but not limited to:</text> <paragraph num="(1)"> <text>Job assignments;</text> </paragraph> <paragraph num="(2)"> <text>Promotion;</text> </paragraph> <paragraph num="(3)"> <text>Demotion;</text> </paragraph> <paragraph num="(4)"> <text>Layoff or termination;</text> </paragraph> <paragraph num="(5)"> <text>Rates of pay or other forms of compensation or conditions of work; and</text> </paragraph> <paragraph num="(6)"> <text>Any other records pertinent to a determination of compliance with Labor and Employment Article, Title 11, Subtitle 4, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In addition to information provided during regular field inspections, each program sponsor and each apprentice shall promptly submit reports to the Director as the Council in its discretion may require.</text> </paragraph> <paragraph num="C."> <text>Reports shall be made on forms prescribed by the Council.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Financial Aspects of the Program Sponsor."> <text>The Council shall have reasonable proof and assurance that the program sponsor has adequate financial means to ensure the successful completion of the apprenticeship.</text> </regulation> <regulation prefix="Regulation" num=".13" heading="Inactive Program Status."> <paragraph num="A."> <text>If a registered program sponsor does not have a registered apprentice involved in an on-the-job training or related instruction activity for a 1-year period, the Council shall:</text> <paragraph num="(1)"> <text>Place the program in inactive status; and</text> </paragraph> <paragraph num="(2)"> <text>Notify the sponsor of the inactive status.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An inactive program may be reactivated:</text> <paragraph num="(1)"> <text>Within a 1-year period after placement in inactive status, by the sponsor registering a new apprentice; or</text> </paragraph> <paragraph num="(2)"> <text>After a 1-year period, by the Council, after a review to ensure that the following are current with industry practice:</text> <paragraph num="(a)"> <text>Standards,</text> </paragraph> <paragraph num="(b)"> <text>Work processes, and</text> </paragraph> <paragraph num="(c)"> <text>Related instruction.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Deregistration of a Registered Program."> <text>Deregistration of a program may be carried out on:</text> <paragraph num="A."> <text>The voluntary action of the sponsor by a request for cancellation of the registration; or</text> </paragraph> <paragraph num="B."> <text>Reasonable cause by the Council instituting formal deregistration proceedings in accordance with this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Request for Cancellation of Registration."> <text>Upon written request for cancellation by the sponsor, the Council may cancel, in writing, the registration of an apprenticeship program subject to, but not limited to, the following:</text> <paragraph num="A."> <text>The registration is canceled at the sponsor's request with the effective date of the cancellation determined by the Council;</text> </paragraph> <paragraph num="B."> <text>Within 15 days of the date of receipt of cancellation from the Council, the sponsor shall:</text> <paragraph num="(1)"> <text>Notify all apprentices:</text> <paragraph num="(a)"> <text>Of the cancellation and its effective date,</text> </paragraph> <paragraph num="(b)"> <text>That the cancellation automatically deprives the apprentice of individual registration, and</text> </paragraph> <paragraph num="(c)"> <text>That the deregistration of the program removes the apprentice from coverage for State and federal purposes; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Submit the names and addresses of the apprentices affected in writing to the Council.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Formal Deregistration."> <paragraph num="A."> <text>Reasonable Cause. Deregistration proceedings may be undertaken when the apprenticeship program is not conducted, operated, and administered in accordance with the registered provisions or the requirements of this chapter. Deregistration proceedings for violation of equal opportunity requirements are processed in accordance with the provisions of COMAR 09.12.42.</text> </paragraph> <paragraph num="B."> <text>Voluntary Correction.</text> <paragraph num="(1)"> <text>In its discretion, the Council may allow the sponsor a reasonable time to achieve voluntary corrective action.</text> </paragraph> <paragraph num="(2)"> <text>If, after the time allowed by the Council, the apprenticeship program is not operating in accordance with the registered provisions or requirements, the apprenticeship program shall be deregistered.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Notice of Violations.</text> <paragraph num="(1)"> <text>When there is evidence a program is not being operated in accordance with the registered standards, the Council shall notify the program sponsor in writing.</text> </paragraph> <paragraph num="(2)"> <text>The notice shall be sent by certified mail with return receipt requested and shall state:</text> <paragraph num="(a)"> <text>The violations;</text> </paragraph> <paragraph num="(b)"> <text>The remedy required; and</text> </paragraph> <paragraph num="(c)"> <text>That a determination of reasonable cause for deregistration will be made unless corrective action is taken within 30 days.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Extension.</text> <paragraph num="(1)"> <text>Upon request by the sponsor for cause, the 30-day term may be extended for another 30 to 60 days, as the Council considers reasonable.</text> </paragraph> <paragraph num="(2)"> <text>During the period for correction, the sponsor shall be assisted in every reasonable way to achieve conformity.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Failure to Correct. If the required correction is not carried out within the allotted time, the Council shall issue a notice to the sponsor by certified mail, return receipt requested, which specifies:</text> <paragraph num="(1)"> <text>That notice is being sent under this subsection;</text> </paragraph> <paragraph num="(2)"> <text>That the sponsor has failed or refused to correct certain deficiencies and requested remedial measures;</text> </paragraph> <paragraph num="(3)"> <text>The date of the occasions and letters; and</text> </paragraph> <paragraph num="(4)"> <text>That based on the stated deficiencies and failure of remedy, a determination of reasonable cause has been made and the program may be deregistered, unless, within 15 days of the receipt of the notice, the sponsor requests a hearing.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If a sponsor does not request a hearing under §E(4) of this regulation, the:</text> <paragraph num="(1)"> <text>Director shall transmit to the Council a report containing:</text> <paragraph num="(a)"> <text>Pertinent facts and circumstances concerning the nonconformity, including findings and recommendation for deregistration,</text> </paragraph> <paragraph num="(b)"> <text>A copy of relevant documents and records, and</text> </paragraph> <paragraph num="(c)"> <text>A statement concerning any interview, meeting, or conference, including the time, date, place, and persons present; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Council shall make a final order on the basis of the record before them.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Request for Hearing.</text> <paragraph num="(1)"> <text>If the sponsor requests a hearing within the time period in §E(4) of this regulation:</text> <paragraph num="(a)"> <text>The Director shall submit a report containing the data listed in §F(1) of this regulation to the Office of Administrative Hearings;</text> </paragraph> <paragraph num="(b)"> <text>The Council shall request that the Office of Administrative Hearings convene a hearing in accordance with Regulation .19 of this chapter; and</text> </paragraph> <paragraph num="(c)"> <text>An administrative law judge shall conduct the deregistration hearing and submit proposed findings of fact and recommended decisions in writing to the Council.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Council shall make a final decision on the basis of the record before it.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Notice of Deregistration. In each case in which deregistration is ordered, the Council shall:</text> <paragraph num="(1)"> <text>Give public notice of the order; and</text> </paragraph> <paragraph num="(2)"> <text>Notify:</text> <paragraph num="(a)"> <text>The sponsor,</text> </paragraph> <paragraph num="(b)"> <text>All registered apprentices participating in the program, and</text> </paragraph> <paragraph num="(c)"> <text>All federal, State, and local agencies involved.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>The order of deregistration shall contain a provision that the sponsor, within 15 days of the effective date of the order, shall notify all registered apprentices:</text> <paragraph num="(1)"> <text>Of the deregistration of the program;</text> </paragraph> <paragraph num="(2)"> <text>Of the effective date;</text> </paragraph> <paragraph num="(3)"> <text>That the cancellation automatically deprives the apprentice of individual registration; and</text> </paragraph> <paragraph num="(4)"> <text>That the deregistration removes the apprentice from coverage for State and federal purposes.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Deregistration of Defunct Programs."> <paragraph num="A."> <text>A sponsor that has ceased operation of an apprenticeship program without having notified the Council and requested voluntary deregistration in accordance with Regulation .15 of this chapter may be deregistered in accordance with this section.</text> </paragraph> <paragraph num="B."> <text>Verification of Operation.</text> <paragraph num="(1)"> <text>If it appears that a program sponsor has ceased operations, gone out of business, or moved out of the State, the Director shall make reasonable efforts to ascertain whether the program sponsor is operating an apprenticeship program.</text> </paragraph> <paragraph num="(2)"> <text>The Director shall submit to the Council:</text> <paragraph num="(a)"> <text>A report containing all pertinent facts and circumstances concerning the Director's efforts to ascertain whether the program sponsor has ceased operating an apprenticeship program; and</text> </paragraph> <paragraph num="(b)"> <text>Copies of all relevant documents and records substantiating the Director's efforts.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Notice to Program Sponsor.</text> <paragraph num="(1)"> <text>If, based upon the Director's report, the Council determines that the program sponsor has ceased operation, the Council shall notify the program sponsor in writing of the Council's:</text> <paragraph num="(a)"> <text>Determination of reasonable cause; and</text> </paragraph> <paragraph num="(b)"> <text>Intent to deregister the apprenticeship program.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Notice of deregistration from the Council shall:</text> <paragraph num="(a)"> <text>Be sent by certified mail with return receipt requested to the sponsor's last known address; and</text> </paragraph> <paragraph num="(b)"> <text>State that the:</text> <paragraph num="(i)"> <text>Program sponsor appears to have ceased operation,</text> </paragraph> <paragraph num="(ii)"> <text>Council has made a determination of reasonable cause to deregister the program, and</text> </paragraph> <paragraph num="(iii)"> <text>Apprenticeship program is automatically deregistered within 30 days of the date of the notice unless the sponsor, within 15 days of receipt of the notice, requests a hearing under §E of this regulation or provides the Council with evidence of continued business operation in the State, including, but not limited to, a current business address and telephone number as to where the apprenticeship program is being conducted.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Automatic Deregistration.</text> <paragraph num="(1)"> <text>If a request for a hearing is not made and evidence of continued business operation in the State is not provided, the apprenticeship program shall be automatically deregistered 30 days from the date of the notice.</text> </paragraph> <paragraph num="(2)"> <text>The Council shall:</text> <paragraph num="(a)"> <text>Give public notice of the deregistration; and</text> </paragraph> <paragraph num="(b)"> <text>Notify all federal, State, and local agencies involved together with any registered apprentices remaining in the apprenticeship program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Request for Hearing. If the sponsor requests a hearing:</text> <paragraph num="(1)"> <text>The Director shall transmit to the Office of Administrative Hearings a report containing all the information listed in §B(2) of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>The Council shall request that the Office of Administrative Hearings convene a hearing in accordance with Regulation .19 of this chapter;</text> </paragraph> <paragraph num="(3)"> <text>An administrative law judge shall:</text> <paragraph num="(a)"> <text>Conduct a deregistration hearing, and</text> </paragraph> <paragraph num="(b)"> <text>Submit, in writing to the Council, proposed findings of fact and a recommended decision; and</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The Council shall make a final decision on the basis of the record before it.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Evidence of Continued Operation.</text> <paragraph num="(1)"> <text>Instead of requesting a hearing, the sponsor may, within 15 days of receipt of the notice, provide the Council with evidence of continued operation in the State.</text> </paragraph> <paragraph num="(2)"> <text>The timely submission of evidence of continued operation in the State is considered a request for a hearing.</text> </paragraph> <paragraph num="(3)"> <text>If, after reviewing the evidence presented, the Council determines that the evidence of continued operation is insufficient, the Council shall refer the matter to the Office of Administrative Hearings for a deregistration hearing in accordance with this regulation.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Notice of Deregistration. If, after a hearing, deregistration is ordered, the Council shall:</text> <paragraph num="(1)"> <text>Give public notice of the order; and</text> </paragraph> <paragraph num="(2)"> <text>Notify:</text> <paragraph num="(a)"> <text>The sponsor, and</text> </paragraph> <paragraph num="(b)"> <text>All federal, State, and local agencies involved together with any registered apprentices remaining in the apprenticeship program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Applicable Deregistration Proceedings.</text> <paragraph num="(1)"> <text>The deregistration proceedings of this section apply when the Council has reasonable cause to believe the program sponsor is no longer operating.</text> </paragraph> <paragraph num="(2)"> <text>If the Council's determination of reasonable cause is made based upon other grounds, deregistration proceedings shall follow the procedures of Regulation .15 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Reinstatement of Program Registration."> <text>An apprenticeship program deregistered under Regulations .14—.17 of this chapter may be reinstated upon presentation of adequate evidence that the apprenticeship program is operating in accordance with this chapter.</text> </regulation> <regulation prefix="Regulation" num=".19" heading="Hearings."> <paragraph num="A."> <text>Notice of Hearing.</text> <paragraph num="(1)"> <text>Within 10 days of receipt of a request for hearing, the Council shall request that the Office of Administrative Hearings designate an administrative law judge.</text> </paragraph> <paragraph num="(2)"> <text>The administrative law judge shall give reasonable notice of the hearing by certified mail, return receipt requested, to the appropriate sponsor.</text> </paragraph> <paragraph num="(3)"> <text>The notice shall include:</text> <paragraph num="(a)"> <text>A reasonable date, time, and place of the hearing;</text> </paragraph> <paragraph num="(b)"> <text>Reference to the provisions of this subtitle under which the hearing is being held; and</text> </paragraph> <paragraph num="(c)"> <text>A concise statement of the matters under which the action forming the basis of the hearing is proposed to be taken.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Conduct of Hearings.</text> <paragraph num="(1)"> <text>The administrative law judge shall:</text> <paragraph num="(a)"> <text>Regulate the course of the hearing; and</text> </paragraph> <paragraph num="(b)"> <text>On the basis of the record:</text> <paragraph num="(i)"> <text>Make proposed findings, and</text> </paragraph> <paragraph num="(ii)"> <text>Recommend decisions.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Hearings shall be informally conducted.</text> </paragraph> <paragraph num="(3)"> <text>All parties have the right to counsel and a fair opportunity to present the case, including cross-examination as may be appropriate in the circumstances.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Rules of Procedure.</text> <paragraph num="(1)"> <text>All hearings shall be public.</text> </paragraph> <paragraph num="(2)"> <text>The administrative law judge shall explain the purpose and nature of the hearing.</text> </paragraph> <paragraph num="(3)"> <text>The following exhibits shall be introduced:</text> <paragraph num="(a)"> <text>The written complaint;</text> </paragraph> <paragraph num="(b)"> <text>Acknowledgment of complaint;</text> </paragraph> <paragraph num="(c)"> <text>Preliminary investigation; and</text> </paragraph> <paragraph num="(d)"> <text>Written request for hearing.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Rules of evidence in all hearings shall be as set forth in State Government Article, §§10-213 and 10-214, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>A party involved in the complaint may appear at the hearing in person or by counsel.</text> </paragraph> <paragraph num="(6)"> <text>All decisions of the Council shall be in writing and given to each party involved.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Limitation."> <text>Nothing in this chapter or in an apprenticeship agreement shall operate to invalidate:</text> <paragraph num="A."> <text>An apprenticeship provision in any collective bargaining agreement between employers and employees setting up higher apprenticeship standards; or</text> </paragraph> <paragraph num="B."> <text>Special provisions for veterans, minority persons, or females in the standards, apprentice qualifications, or operation of the program or in the apprenticeship agreement, which is not otherwise prohibited by law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Complaints."> <paragraph num="A."> <text>A complaint concerning discrimination or other equal opportunity matter shall be submitted, processed, and resolved in accordance with the applicable provisions of COMAR 09.12.42.</text> </paragraph> <paragraph num="B."> <text>Except for matters covered under this regulation, any controversy or difference arising under an apprenticeship agreement which cannot be adjusted locally, or which is not covered by a collective bargaining agreement, may be submitted by an apprentice or an authorized representative to the Council for review.</text> </paragraph> <paragraph num="C."> <text>Matters covered by a collective bargaining agreement shall be submitted and processed in accordance with the procedures provided in the agreement.</text> </paragraph> <paragraph num="D."> <text>The complaint shall:</text> <paragraph num="(1)"> <text>Be in writing;</text> </paragraph> <paragraph num="(2)"> <text>Be signed by the complainant or an authorized representative;</text> </paragraph> <paragraph num="(3)"> <text>State specific matters complained of, together with all relevant facts and circumstances;</text> </paragraph> <paragraph num="(4)"> <text>Include copies of all pertinent documents and correspondence; and</text> </paragraph> <paragraph num="(5)"> <text>Be submitted within 60 days of the final local decision.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Opinion of the Council.</text> <paragraph num="(1)"> <text>Based upon investigation of the matters submitted as may be found necessary and the record before it, the Council shall issue an opinion within 90 days after receipt of the complaint.</text> </paragraph> <paragraph num="(2)"> <text>During the 90-day period, the Director shall make a reasonable effort to obtain a satisfactory resolution between the parties involved.</text> </paragraph> <paragraph num="(3)"> <text>If the complaint is resolved by the Director during the 90-day period, the parties shall be notified that the case is closed.</text> </paragraph> <paragraph num="(4)"> <text>If an opinion is issued, copies shall be sent to all interested parties.</text> </paragraph> </paragraph> <paragraph num="F."> <text>This regulation does not prohibit the apprentice from electing to resort to any forum or procedure, other than that of the registration agency, that may be available for the disposition of the complaint, or to institute appropriate court proceedings.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Waiver."> <text>The Council or the Secretary may waive or vary particular provisions of this chapter to the extent that the waiver is not inconsistent with applicable law.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §11-405, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 16, 1975 (2:8 Md. R. 565)</annotation> <annotation type="History" subtype="Administrative History">Transferred from Department of Licensing and Regulation to Department of Employment and Training, effective October 1, 1983; recodified from COMAR 09.12.22 to COMAR 24.04.02</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 21, 1992 (19:25 Md. R. 2208)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.04.02 to COMAR 09.12.43, May 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective August 24, 1998 (25:17 Md. R. 1359)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.19 repealed and new Regulations .01—.22 adopted effective March 22, 1999 (26:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 11, 2016 (43:7 Md. R. 448)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective April 24, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D amended effective April 24, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05H amended effective April 10, 2006 (33:7 Md. R. 668)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05L amended effective December 11, 2000 (27:24 Md. R. 2199)</annotation> </annotations> </chapter> <chapter num="44" heading="" reason="VACANT" /> <chapter num="45" heading="Farm Labor Contractor Registration"> <regulation prefix="Regulation" num=".01" heading="Resident Agent."> <text>A resident agent shall be an adult or other person as required by Labor and Employment Article, §7-302(b)(9), Annotated Code of Maryland, who:</text> <paragraph num="A."> <text>Is a domiciliary of Maryland; and</text> </paragraph> <paragraph num="B."> <text>Has agreed to serve as resident agent for the farm labor contractor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Security to Assure Compliance."> <paragraph num="A."> <text>After receipt of a certified record of violation pursuant to Labor and Employment Article, §7-312, Annotated Code of Maryland, the Commissioner may require a farm labor contractor to post a surety bond or other security:</text> <paragraph num="(1)"> <text>Maintained in the sum of $10,000 for each farm labor contractor required to post security;</text> </paragraph> <paragraph num="(2)"> <text>Signed by the farm labor contractor as principal;</text> </paragraph> <paragraph num="(3)"> <text>Signed by a surety company authorized to do business in this State as surety;</text> </paragraph> <paragraph num="(4)"> <text>Payable to the State of Maryland as obligee; and</text> </paragraph> <paragraph num="(5)"> <text>Conditioned on the compliance of the farm labor contractor with the provisions of the laws and regulations of this State.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The bond shall provide the required coverage for the full period during which the farm labor contractor's license is valid.</text> </paragraph> <paragraph num="C."> <text>The surety company which has issued the bond shall notify the Commissioner of the cancellation of the bond at least 30 days before the cancellation.</text> </paragraph> <paragraph num="D."> <text>The Commissioner may certify the record of a proceeding in which a farm labor contractor has been found to have violated the provisions of the Farm Labor Contractor Act, Labor and Employment Article, Title 7, Annotated Code of Maryland, or of any rule, regulation, or order of the Commissioner.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Vehicle Liability Insurance."> <paragraph num="A."> <text>A farm labor contractor may not use, or cause to be used, a vehicle to transport migrant agricultural workers in this State unless the farm labor contractor has purchased an insurance policy in amounts not less than the following:</text> </paragraph> <paragraph num="B."> <text>The insurance policy shall be obtained from a company authorized to do business as an insurance company in this State.</text> </paragraph> <paragraph num="C."> <text>A certificate of insurance in the required amounts shall be filed with the Commissioner before the issuance of a license.</text> </paragraph> <paragraph num="D."> <text>The insurance company which has issued the insurance policy shall notify the Commissioner of the cancellation of the policy at least 30 days before the cancellation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Citations."> <paragraph num="A."> <text>Issuance.</text> <paragraph num="(1)"> <text>If, after investigation, the Commissioner believes a farm labor contractor or agricultural operation has violated a provision of either the Farm Labor Contractor Act, Labor and Employment Article, Title 7, Annotated Code of Maryland, or a regulation adopted to carry out this Act, the Commissioner shall, with reasonable promptness, issue a citation to the farm labor contractor or agricultural operation.</text> </paragraph> <paragraph num="(2)"> <text>A citation shall:</text> <paragraph num="(a)"> <text>Be in writing;</text> </paragraph> <paragraph num="(b)"> <text>Describe with particularity the nature of the alleged violation;</text> </paragraph> <paragraph num="(c)"> <text>Reference the provision of law or regulation allegedly violated; and</text> </paragraph> <paragraph num="(d)"> <text>State the penalty, if any, that the Commissioner proposes to assess under the Farm Labor Contractor Act, Labor and Employment Article, Title 7, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A citation shall be accompanied by a notice that informs a party cited that, within 15 working days after receipt of the citation, the party may submit to the Commissioner a written notice of contest to the citation or penalty.</text> </paragraph> <paragraph num="(4)"> <text>A citation may not be issued after the expiration of 6 months following the occurrence of an alleged violation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Enforcement.</text> <paragraph num="(1)"> <text>A party to whom a citation is issued may file with the Commissioner a written notice of contest to the citation or proposed penalty. The notice shall be:</text> <paragraph num="(a)"> <text>In writing; and</text> </paragraph> <paragraph num="(b)"> <text>Postmarked within 15 working days of the date on which the party received the citation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a party does not file proper notice of contest, the citation and any penalty proposed in it become final upon the expiration of 15 working days following the party's receipt of the citation.</text> </paragraph> <paragraph num="(3)"> <text>If a party files a notice of contest in accordance with this regulation, the Commissioner shall set and conduct a hearing and issue a written determination in accordance with the requirements of the Administrative Procedure Act, State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§2-106(b)(6) and 7-403; State Government Article, §10-206; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 20, 1985 (12:10 Md. R. 960)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective March 2, 1992 (19:4 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 2, 1992 (19:4 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A, B, and D amended effective March 2, 1992 (19:4 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06C amended effective March 2, 1992 (19:4 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective March 2, 1992 (19:4 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 3, 2012 (39:17 Md. R. 1148)</annotation> </annotations> </chapter> <chapter num="46—49" heading="" reason="VACANT" /> <chapter num="50" heading="Model Performance Code"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(2)"> <text>“ICC” means the organization known as the International Code Council.</text> </paragraph> <paragraph num="(3)"> <text>“High performance home” has the meaning stated in Public Safety Article, §12-509(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>Hotel.</text> <paragraph num="(a)"> <text>“Hotel” means an establishment that offers sleeping accommodations for compensation.</text> </paragraph> <paragraph num="(b)"> <text>“Hotel” does not include a bed and breakfast establishment.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Industrialized building” has the meaning stated in Public Safety Article, §12-301(d), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Master control device” means:</text> <paragraph num="(a)"> <text>A control that is activated when a person enters the room through the primary room-access method; or</text> </paragraph> <paragraph num="(b)"> <text>An occupancy sensor control that is activated by a person’s presence in the room.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>“Model Performance Code” or “Model Code” means the Model Performance Code for building construction as detailed in Regulation .03 of this chapter.</text> </paragraph> <paragraph num="(8)"> <text>“NFPA” means National Fire Protection Association, Inc.</text> </paragraph> <paragraph num="(9)"> <text>“Person” means any private individual, firm, or corporation and any public officer or agency.</text> </paragraph> <paragraph num="(10)"> <text>“Regulations” means the regulations as defined in Regulation .02 of this chapter.</text> </paragraph> <paragraph num="(11)"> <text>“Secretary” means the Secretary of Labor or a designated representative.</text> </paragraph> <paragraph num="(12)"> <text>“State certified inspector” means an individual qualified by reason of experience, training, and/or examination, to inspect buildings for compliance with the State Model Performance Code, and certified pursuant to Regulation .07 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="General."> <paragraph num="A."> <text>Title. These regulations shall be known and may be cited as the Model Performance Code. Except as otherwise indicated, “regulations” as used in this chapter shall mean the Model Performance Code.</text> </paragraph> <paragraph num="B."> <text>Application.</text> <paragraph num="(1)"> <text>These regulations may not be binding upon any subdivision of the State unless the subdivision adopts the Model Performance Code, by law, ordinance, or resolution of its governing body referring to the Model Performance Code.</text> </paragraph> <paragraph num="(2)"> <text>For industrialized buildings approved by an approved testing facility under COMAR 09.12.52 after the effective date of these regulations:</text> <paragraph num="(a)"> <text>This chapter and the codes incorporated by reference apply to any approved building provided that construction begins within 6 months after the Department’s adoption of the 2024 edition of the International Building Code; and</text> </paragraph> <paragraph num="(b)"> <text>The approved testing facility shall state in its approval letter to the Department and the manufacturer of the building:</text> <paragraph num="(i)"> <text>(text unchanged)</text> </paragraph> <paragraph num="(ii)"> <text>That approval will expire for a building unless construction begins within 6 months after Department’s adoption of the 2024 edition of the International Building Code.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>For industrialized buildings approved by an approved testing facility under COMAR 09.12.52 prior to the effective date of these regulations, the previous version of this chapter and the 2018 International Building Code shall apply provided that construction begins prior to 6 months after the effective date of these regulations</text> </paragraph> </paragraph> <paragraph num="C."> <text>Equivalency. Nothing in the Model Performance Code is intended to prevent the use of systems, methods, or devices of equivalent or superior quality, strength, fire resistance, effectiveness, durability, and safety to those prescribed by the Model Code, providing technical documentation is submitted to the authority having jurisdiction to demonstrate equivalency, and the system, method, or device is approved for the intended purpose.</text> </paragraph> <paragraph num="D."> <text>The Department encourages home builders to construct new high performance homes.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02-1" heading="Incorporation by Reference."> <paragraph num="A."> <text>In this chapter, the following documents are incorporated by reference.</text> </paragraph> <paragraph num="B."> <text>Documents Incorporated.</text> <paragraph num="(1)"> <text>2021 International Building Code (International Code Council), which is incorporated by reference in COMAR 09.12.51.04A(1) and as modified in COMAR 09.12.51.04B.</text> </paragraph> <paragraph num="(2)"> <text>2021 International Plumbing Code (International Code Council) modified as follows:</text> <paragraph num="(a)"> <text>For industrialized building construction delete §404 and replace with COMAR 09.12.53 Maryland Accessibility Code; and</text> </paragraph> <paragraph num="(b)"> <text>For all other building construction, the plumbing code requirements and modifications adopted under Business Occupations and Professions Article, §§12-101—12-702, Annotated Code of Maryland, apply.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>National Electric Code, 2020 Edition (NFPA 70), except in Article 210.8(F) Ground-Fault Circuit Interrupter Protection for Personnel, Outdoor Outlets Exception include “and heating, air-conditioning, and refrigeration equipment that serve the dwelling.”</text> </paragraph> <paragraph num="(4)"> <text>2021 International Residential Code for One- and Two-Family Dwellings (International Code Council), which is incorporated by reference in COMAR 09.12.51.04A(2) and as modified in COMAR 09.12.51.04C.</text> </paragraph> <paragraph num="(5)"> <text>2021 International Mechanical Code (International Code Council).</text> </paragraph> <paragraph num="(6)"> <text>2021 International Energy Conservation Code (International Code Council), which is incorporated by reference in COMAR 09.12.51.04A(3) and as modified in COMAR 09.12.51.04D.</text> </paragraph> <paragraph num="(7)"> <text>2012 International Green Construction Code (International Code Council, 500 New Jersey Avenue, N.W., 6th Floor, Washington DC 20001).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Model Performance Code."> <paragraph num="A."> <text>The standards incorporated by reference in Regulation .02-1 of this chapter constitute the Model Performance Code for building construction in the State.</text> </paragraph> <paragraph num="B."> <text>If a builder desires to or has been requested to construct a building to the International Green Construction Code (IGCC) standards they may use the IGCC in addition to the other codes in this regulation.</text> </paragraph> <paragraph num="C."> <text>The Department encourages home builders to construct new high-performance homes.</text> </paragraph> <paragraph num="D."> <text>Copies of these documents are filed in special public depositories located throughout the State. A list of these depositories is available online at dsd.maryland.gov.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Modifications to Model Performance Code."> <paragraph num="A."> <text>As stated in Regulation .02B of this chapter, the Model Performance Code is not binding on any subdivision of the State unless specifically adopted by it. A copy of the law, ordinance, or resolution adopting the Model Code shall be sent by the governing body of the adopting subdivision to the Secretary. Copies of all subsequent laws, ordinances, or resolutions pertaining to the Model Code shall similarly be sent by the governing body to the Secretary.</text> </paragraph> <paragraph num="B."> <text>After adoption by a subdivision, alteration or modification of the Model Code is prohibited without prior concurrence of the Secretary.</text> </paragraph> <paragraph num="C."> <text>The Department will regularly consult with local officials to review the application and effectiveness of the Model Code in each adopting subdivision.</text> </paragraph> <paragraph num="D."> <text>Requests for Changes.</text> <paragraph num="(1)"> <text>Requests for changes, modifications, or exceptions to make the Model Code more effective and useful in any subdivision shall be submitted in writing by certified mail, return receipt requested, to the Secretary by the appropriate authority in the subdivision, together with the reasons for the request.</text> </paragraph> <paragraph num="(2)"> <text>Upon receipt of a request, the Secretary may:</text> <paragraph num="(a)"> <text>Concur with it;</text> </paragraph> <paragraph num="(b)"> <text>Take no action for a period of 30 days after receipt of the request, which shall be deemed concurrence; or</text> </paragraph> <paragraph num="(c)"> <text>Deny the request and notify the requesting subdivision in writing. The Secretary may utilize the 30-day period provided hereby for informal consultation with the requesting subdivision and with any other individuals or groups.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Concurrence with requests for special Model Code provisions to meet local conditions will not be unreasonably withheld.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The administrative sections of Article 1 of the International Building Code are entirely administrative and may require alteration to adapt them to local use. Alterations to these sections of Article 1 are therefore excluded from the requirement of concurrence by the Secretary. However, any alterations shall be forwarded to the Secretary for the Department’s records.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Appeals of Code Interpretations or Applications."> <paragraph num="A."> <text>If a subdivision provides for a body and procedures to hear building appeals, any person aggrieved by any application or interpretation of the Model Code may obtain review under the procedures.</text> </paragraph> <paragraph num="B."> <text>Review by this Department shall be granted:</text> <paragraph num="(1)"> <text>If requested by the appeals body referred to in §A.</text> </paragraph> <paragraph num="(2)"> <text>If requested by the aggrieved party before commencement of appeal procedures provided by the subdivision. In that case, the Director of the Building Codes Administration may, in the Director’s discretion, decline to review the question of interpretation or application and remand the question to the subdivision, because the question is of insufficient importance or can be resolved more readily at a local level, or for other reasons. The action is not reviewable.</text> </paragraph> <paragraph num="(3)"> <text>When a building appeals procedure is not provided by the subdivision.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An aggrieved person requesting review by the Department of an application or interpretation of the Model Code shall do so in writing, addressed to the Director of the Building Codes Administration in the Department, together with a full statement of the circumstances and the reasons for challenge.</text> </paragraph> <paragraph num="D."> <text>The Director of the Building Codes Administration will normally refer the question of interpretation or application to ICC or NFPA, as the case may be, for answer by their respective interpretation services. The Director is not required to refer the question to ICC or NFPA. The Director shall notify the parties of the referral.</text> </paragraph> <paragraph num="E."> <text>Within 10 days from the receipt by the Director of the Building Codes Administration of the request for review, or within 10 days from receipt by the Director of an answer from ICC or NFPA when the question has been referred, the Director shall notify the parties of the Director’s decision, with a statement of the reasons for it, including a copy of any communication from ICC or NFPA.</text> </paragraph> <paragraph num="F."> <text>Review of an adverse decision of the Director of the Building Codes Administration shall be by appeal to the Secretary, filed within 30 days after issuance of the decision by the Director.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Code Improvements."> <text>Any recommendations for changes to improve these regulations should be submitted to the Secretary with an explanation of the modification desired.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Training and Certification of Building Inspectors."> <text>In order to assist local jurisdictions to effectively administer the Model Performance Code, the Department has the responsibility to train and certify building code enforcement officials in any jurisdiction where the Model Performance Code is in effect.</text> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §12-201(f), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective December 30, 1985 (12:26 Md. R. 2542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C adopted effective December 30, 1985 (12:26 Md. R. 2542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective August 6, 1975 (2:17 Md. R. 1188); March 3, 1976 (3:5 Md. R. 295); June 29, 1979 (6:13 Md. R. 1124); March 1, 1983 (10:3 Md. R. 208); December 30, 1985 (12:26 Md. R. 2542)</annotation> <annotation type="History" subtype="Administrative History">Regulations .04 and .05 amended effective November 3, 1978 (5:22 Md. R. 1671)</annotation> <annotation type="History" subtype="Administrative History">Regulations .04E and .05C amended effective December 30, 1985 (12:26 Md. R. 2542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective December 30, 1985 (12:26 Md. R. 2542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07B amended effective August 6, 1975 (2:17 Md. R. 1188) and November 3, 1978 (5:22 Md. R. 1671); repealed effective December 30, 1985 (12:26 Md. R. 2542)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.01.03 to COMAR 05.02.01</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective June 1, 1988 (15:11 Md. R. 1329); July 28, 1997 (24:15 Md. R. 1061); October 15, 2001 (28:1 Md. R. 25); September 20, 2004 (31:6 Md. R. 507); January 1, 2012 (38:24 Md. R. 1499); January 7, 2013 (39:26 Md. R. 1663)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective January 1, 2012 (38:24 Md. R. 1499); January 1, 2015 (41:25 Md. R. 1476)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D adopted effective January 1, 2012 (38:24 Md. R. 1499)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02-1 adopted effective July 28, 1997 (24:15 Md. R. 1061)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02-1B amended effective October 15, 2001 (28:1 Md. R. 25); September 20, 2004 (31:6 Md. R. 507); July 1, 2007 (34:7 Md. R. 696); January 1, 2010 (36:22 Md. R. 1722); January 1, 2012 (38:24 Md. R. 1499); January 7, 2013 (39:26 Md. R. 1663); January 1, 2015 (41:25 Md. R. 1476)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective June 1, 1988 (15:11 Md. R. 1329); July 22, 1991 (18:14 Md. R. 1609); July 28, 1997 (24:15 Md. R. 1061); October 15, 2001 (28:1 Md. R. 25)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective January 1, 2010 (36:22 Md. R. 1722); January 1, 2012 (38:24 Md. R. 1499); January 7, 2013 (39:26 Md. R. 1663); January 1, 2015 (41:25 Md. R. 1476)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D amended effective July 1, 2007 (34:7 Md. R. 696)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04E amended effective June 1, 1988 (15:11 Md. R. 1329); October 15, 2001 (28:1 Md. R. 25); September 20, 2004 (31:6 Md. R. 507); July 1, 2007 (34:7 Md. R. 696); January 1, 2012 (38:24 Md. R. 1499); January 1, 2015 (41:25 Md. R. 1476)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D, E amended effective October 15, 2001 (28:1 Md. R. 25)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.02.01 to COMAR 09.12.50 effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective May 29, 2023 (50:10 Md. R. 407)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02-1 amended effective May 29, 2023 (50:10 Md. R. 407)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02-1B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 25, 2019 (46:6 Md. R. 345); May 29, 2023 (50:10 Md. R. 407)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A, E amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> </annotations> </chapter> <chapter num="51" heading="Maryland Building Performance Standards"> <regulation prefix="Regulation" num=".01" heading="Title."> <text>This chapter shall be known and may be cited as the Maryland Building Performance Standards Regulations.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Purpose and Scope."> <text>The purpose of this chapter is to adopt the International Building Code (IBC), the International Residential Code (IRC), and the International Energy Conservation Code (IECC), as may be modified by the Department, as the Maryland Building Performance Standards, which will provide reasonable protection to the public against hazards to life, health, and property, and to establish the policies and procedures associated with the operation of a data base that contains the Standards, the local amendments, and other related information.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>Agricultural Building.</text> <paragraph num="(a)"> <text>“Agricultural building”, for purposes of Regulation .06B of this chapter only, means a structure designed and constructed to house farm implements, hay, grain, poultry, livestock, or other horticultural products.</text> </paragraph> <paragraph num="(b)"> <text>“Agricultural building” does not include a place of human residence.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Agritourism.</text> <paragraph num="(a)"> <text>“Agritourism” means tourism of agricultural farms and buildings by members of the general public for recreational, entertainment, or educational purposes for which tourists may or may not pay fees.</text> </paragraph> <paragraph num="(b)"> <text>Agritourism includes the following activities, when performed by a tourist:</text> <paragraph num="(i)"> <text>Viewing rural activities, farming, ranching, and wine making;</text> </paragraph> <paragraph num="(ii)"> <text>Viewing natural, historical, and cultural resources; and</text> </paragraph> <paragraph num="(iii)"> <text>Harvesting agricultural products.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Building” has the meaning and interpretation set forth in the International Building Code.</text> </paragraph> <paragraph num="(4)"> <text>“Codes Administration” means the Building Codes Administration, an administration within the Department.</text> </paragraph> <paragraph num="(5)"> <text>“County” means any of the 23 counties of the State and the Mayor and City Council of Baltimore.</text> </paragraph> <paragraph num="(6)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(7)"> <text>“High performance home” has the meaning stated in Public Safety Article, §12-509(a), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(8)"> <text>Hotel.</text> <paragraph num="(a)"> <text>“Hotel” means an establishment that offers sleeping accommodations for compensation.</text> </paragraph> <paragraph num="(b)"> <text>“Hotel” does not include a bed and breakfast establishment.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>“IBC” means the International Building Code, as incorporated by reference in this chapter.</text> </paragraph> <paragraph num="(10)"> <text>“ICC” means the organization known as the International Code Council.</text> </paragraph> <paragraph num="(11)"> <text>“Local amendment” means:</text> <paragraph num="(a)"> <text>An amendment to the Standards that has been adopted by a local jurisdiction in accordance with applicable local laws and regulations; and</text> </paragraph> <paragraph num="(b)"> <text>A copy of the amendment has been provided to the Department for inclusion in the data base within the following time period:</text> <paragraph num="(i)"> <text>At least 15 days before the effective date of the amendment, or</text> </paragraph> <paragraph num="(ii)"> <text>In the case of an emergency adoption of an amendment, within 5 days of the emergency amendment's adoption.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Local jurisdiction” means the county or municipality responsible for implementation and enforcement of the Maryland Building Performance Standards.</text> </paragraph> <paragraph num="(13)"> <text>“Master control device” means:</text> <paragraph num="(a)"> <text>A control that is activated when a person enters the room through the primary room–access method; or</text> </paragraph> <paragraph num="(b)"> <text>An occupancy sensor control that is activated by a person’s presence in the room.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>“MBPS” or “Standards” means the Maryland Building Performance Standards established by these regulations.</text> </paragraph> <paragraph num="(15)"> <text>“Municipality” means a municipal corporation subject to the provisions of Article XI-E of the State Constitution.</text> </paragraph> <paragraph num="(16)"> <text>“Person” means an individual, corporation, partnership, association, or any other legal entity authorized to do business in the State.</text> </paragraph> <paragraph num="(17)"> <text>“Structure” has the meaning and interpretation set forth in the IBC.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Incorporation by Reference."> <paragraph num="A."> <text>In this chapter, the following documents are incorporated by reference:</text> <paragraph num="(1)"> <text>2021 International Building Code (International Code Council);</text> </paragraph> <paragraph num="(2)"> <text>2021 International Residential Code for One- and Two-Family Dwellings (International Code Council); and</text> </paragraph> <paragraph num="(3)"> <text>2021 International Energy Conservation Code (International Code Council).</text> </paragraph> </paragraph> <paragraph num="B."> <text>Modifications to the International Building Code.</text> <paragraph num="(1)"> <text>Chapter 1. Add note to Chapter 1 of the IBC: Local jurisdictions are responsible for the implementation and enforcement of the Maryland Building Performance Standards. Refer to each local jurisdiction for local amendments to Chapter 1 of the IBC. Each local jurisdiction having authority shall establish, on or before the application date in Regulation .06 of this chapter, implementation and enforcement procedures that include:</text> <paragraph num="(a)"> <text>Review and acceptance of appropriate plans;</text> </paragraph> <paragraph num="(b)"> <text>Issuance of building permits;</text> </paragraph> <paragraph num="(c)"> <text>Inspection of the work authorized by the building permits; and</text> </paragraph> <paragraph num="(d)"> <text>Issuance of use and occupancy certificates.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Chapter 1. Add to Exception in Section 101.2 Scope the following:</text> <paragraph num="(a)"> <text>Exception: 2. Existing buildings undergoing repair, alterations or additions, and change of occupancy shall comply with the Maryland Building Rehabilitation Code set forth in COMAR 09.12.58; and</text> </paragraph> <paragraph num="(b)"> <text>Exception: 3. Maintenance of residential structures and premises shall comply with the Minimum Livability Code COMAR 09.12.54.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Chapter 1. Delete the Section 101.2.1 Appendices and replace with the following:</text> </paragraph> <paragraph num="(4)"> <text>Chapter 9. Add note to Section 901.1 Scope Fire protection system requirements of Chapter 9 may be concurrently covered in the State Fire Prevention Code, Public Safety Article Title 6 and Title 9, Annotated Code of Maryland, and COMAR 29.06.01. The State Fire Prevention Code is enforced by the State Fire Marshal or authorized fire official.</text> </paragraph> <paragraph num="(5)"> <text>Chapter 10. Add note to Section 1001.1 General: Means of egress requirements of Chapter 10 may be concurrently covered in the State Fire Prevention Code, Public Safety Article, Title 6, Annotated Code of Maryland, and COMAR 29.06.01. The State Fire Prevention Code is enforced by the State Fire Marshal or authorized fire official.</text> </paragraph> <paragraph num="(6)"> <text>Chapter 11. Chapter 11 of the IBC related to accessibility requirements is hereby replaced with the Maryland Accessibility Code set forth in COMAR 09.12.53. A local jurisdiction may adopt and enforce the requirements of Chapter 11 of the IBC to the extent the requirements meet or exceed the requirements set forth in COMAR 09.12.53.</text> </paragraph> <paragraph num="(7)"> <text>Chapter 24. The requirements for safety glazing set forth in Public Safety Article, Title 12, Subtitle 4, Annotated Code of Maryland, are in addition to Chapter 24, Section 2406 of the IBC related to safety glazing. In the event of a conflict between Chapter 24 of the IBC and the Annotated Code of Maryland, the requirements of the Annotated Code of Maryland prevail.</text> </paragraph> <paragraph num="(8)"> <text>Chapter 27. ELECTRICAL. Add note to Section 2701.1 Scope: The subject matter of this chapter is not within the scope of the Maryland Building Performance Standards. For the applicable electrical requirements, refer to the local electrical code and the National Electrical Code as adopted and enforced by the State Fire Marshal, authorized fire officials, or building officials pursuant to the provisions of Public Safety Article, Title 12, Subtitle 6, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(9)"> <text>Chapter 28. MECHANICAL SYSTEMS. Add note to Section 2801.1 Scope: The subject matter of this chapter is not within the scope of the Maryland Building Performance Standards. For the applicable requirements concerning the mechanical systems, refer to the local mechanical code and the mechanical code adopted pursuant to the provision of Business Regulation Article, §9A-205, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(10)"> <text>Chapter 29. PLUMBING SYSTEMS. Add note to Section 2901.1 Scope: The subject matter of this chapter is not within the scope of the Maryland Building Performance Standards. For the applicable requirements concerning the plumbing systems, refer to the local plumbing code and the plumbing code adopted pursuant to the provisions of Business Occupations and Professions Article, Title 12, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(11)"> <text>Chapter 30. The provisions of Chapter 30 of the IBC relate to elevators and conveying systems and are in addition to and not instead of the requirements set forth in Public Safety Article, Title 12, Subtitle 8, Annotated Code of Maryland. In the event of a conflict between the IBC and the Annotated Code of Maryland, the provisions of the Annotated Code of Maryland prevail.</text> </paragraph> <paragraph num="(12)"> <text>Any rehabilitation work undertaken in an existing building as defined in COMAR 9.12.58 shall comply with the requirements of Maryland Building Rehabilitation Code set forth in COMAR 09.12.58.</text> </paragraph> <paragraph num="(13)"> <text>Modify Section 308.5.1 Classification as Group E. At the end of Section 308.5.1, add “Exception: A childcare facility may be classified as I-4 when the facility is classified as a day care occupancy under the State Fire Prevention Code.”</text> </paragraph> <paragraph num="(14)"> <text>Modify Section 406.2.7 Electric vehicle charging stations and systems. Delete “Accessibility to electric vehicle charging stations shall be provided in accordance with Section 1107.”</text> </paragraph> <paragraph num="(15)"> <text>Modify Section 411.5 Puzzle room exiting. Delete item 3 and replace with “3. All exits and exit access doors from each puzzle room shall be open and readily available upon activation by the automatic fire alarm system, automatic sprinkler system, a manual control at a constantly attended location and shall have a readily accessible control located inside each puzzle room.”</text> </paragraph> <paragraph num="(16)"> <text>Modify Section 510.2 Horizontal building separation allowance with the following:</text> <paragraph num="(a)"> <text>Delete condition 4; and</text> </paragraph> <paragraph num="(b)"> <text>Condition 7. Replace “grade plane” with “lowest level of fire department vehicle access”.</text> </paragraph> </paragraph> <paragraph num="(17)"> <text>Modify Section 907.2.1.1 System initiation in Group A occupancies with an occupant load of 1,000 or more with the following:</text> <paragraph num="(a)"> <text>Replace section title with “System initiation in Group A occupancies with an occupant load of 300 or more; and</text> </paragraph> <paragraph num="(b)"> <text>Replace “1,000” with “300”.</text> </paragraph> </paragraph> <paragraph num="(18)"> <text>Modify Section 1004.8 Concentrated business use areas. Add “nail salons,” after “call centers,” and before “trading floors,”.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Modifications to the International Residential Code for One- and Two-Family Dwellings:</text> <paragraph num="(1)"> <text>Chapter 1. Scope and Administration:</text> <paragraph num="(a)"> <text>Delete the Section 102.5 Appendices and replace with the following:</text> </paragraph> <paragraph num="(b)"> <text>Add to Exception in Section 101.2 Scope the following:</text> <paragraph num="(i)"> <text>Exception: 2. Existing buildings undergoing repair, alterations or additions, and change of occupancy that comply complies with the Maryland Building Rehabilitation Code set forth in COMAR 09.12.58; and</text> </paragraph> <paragraph num="(ii)"> <text>Exception: 3. Maintenance of residential structures and premises shall comply with the Minimum Livability Code COMAR 09.12.54.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>ENERGY. Chapter 11. ENERGY EFFICIENCY.</text> <paragraph num="(a)"> <text>Modify Section N1101.13.15 Additional energy efficiency, add “4. For buildings complying with Section N1102.1.3.1, the structure shall also comply with the additional energy features in Section N1108.3.”</text> </paragraph> <paragraph num="(b)"> <text>Modify Section N1102.1.1 Above code programs. Add to the end of Section N1102.1.1, “Compliance with the Silver Rating of the ICC/ASHRAE 700-2015 National Green Building Standard as codified in §12-509(a) of the Annotated Code of Maryland shall be considered to be in compliance with this code.”</text> </paragraph> <paragraph num="(c)"> <text>Modify Section N1102.1.3:</text> <paragraph num="(i)"> <text>Add new “N1101.1.3.1 Maryland Alternative R-value. Assemblies with R-value of insulation materials equal to or greater than that specified in Table N1102.1.3.1 shall be an alternative to the U-factor in Table N1102.1 when combined with Section N1108.3. The provisions of Section N1108.2.1 shall be applied to the base model house to establish the reference base design establishing energy efficiency.”; and</text> </paragraph> <paragraph num="(ii)"> <text>Add the following table:</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Modify Section N1102.2.1 Ceilings with attic spaces with the following:</text> <paragraph num="(i)"> <text>Add “or Section N1102.1.3.1” after “N1102.1.3” and before “requires R-49 insulation”; and</text> </paragraph> <paragraph num="(ii)"> <text>Add “or Section N1102.1.3.1” after “N1102.1.3” and before “requires R-60 insulation”.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Modify Section N1102.2.2 Ceilings without attics with the following:</text> <paragraph num="(i)"> <text>Add “or Section N1102.1.3.1” after “N1102.1.3” and before “requires insulation R-values greater than R-30”; and</text> </paragraph> <paragraph num="(ii)"> <text>Add “or N1102.1.3.1” after “N1102.1.3” and before “shall be limited to”.</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>Modify Section N1108 Additional Efficiency Package Options:</text> <paragraph num="(i)"> <text>Add new Section “N1108.3 Maryland Alternative Additional Energy Efficiency Package Options. The provisions of this Section shall be applied as part of the prescriptive compliance path of Section N1102.1.3.1. Additional energy efficiencies from Table N1108.3 must be selected to meet or exceed a minimum percentage increase of 6% for climate Zone 4 and 6% for Climate Zone 5.”; and</text> </paragraph> <paragraph num="(ii)"> <text>Add the following table:</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>MECHANICAL. Chapter 12. MECHANICAL ADMINISTRATION. Add note to Section M1201.1 Scope: The subject matter of chapters 12 through 24 is not within the scope of the Maryland Building Performance Standards. For the applicable requirements concerning the mechanical systems, refer to the local mechanical code and the mechanical code adopted pursuant to the provisions of Business Regulation Article, §9A-205, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>PLUMBING. Chapter 25. PLUMBING ADMINISTRATION. Add note to Section P2501.1 Scope: The subject matter of chapters 25 through 33 is not within the scope of the Maryland Building Performance Standards. For the applicable requirements concerning the plumbing systems, refer to the local plumbing code and the plumbing code adopted pursuant to the provisions of Business Occupations and Professions Article, Title 12, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>ELECTRICAL. Chapter 34. GENERAL REQUIREMENTS. Add note to Section E3401.1 Applicability: The subject matter of chapters 34 through 43 is not within the scope of the Maryland Building Performance Standards. For the applicable electrical requirements, refer to the local electrical code and the National Electrical Code as adopted and enforced by the State Fire Marshal, authorized fire officials, or building officials pursuant to the provisions of Public Safety Article, Title 12, Subtitle 6, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>Modify Section P2904.1 by deleting “A backflow preventer shall not be required to separate a sprinkler system from the water distribution system, provided that the sprinkler system complies with all of the following:</text> <paragraph num="(a)"> <text>The system complies with NFPA 13D or Section P2904;</text> </paragraph> <paragraph num="(b)"> <text>The piping material complies with Section P2906;</text> </paragraph> <paragraph num="(c)"> <text>The system does not contain antifreeze; and</text> </paragraph> <paragraph num="(d)"> <text>The system does not have a fire department connection.”</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Modifications to the International Energy Conservation Code.</text> <paragraph num="(1)"> <text>Add a note to Section C101, Scope and General Requirements: Additional requirements concerning energy conservation for buildings and structures may be required by the Energy Conservation Building Standards, Public Utilities Article, §§7-401—7-408, Annotated Code of Maryland, as amended.</text> </paragraph> <paragraph num="(2)"> <text>Add a note to Section C405.2.5 Specific Application Controls: For the new construction of hotels:</text> <paragraph num="(a)"> <text>Each hotel guest room shall be equipped with a master control device that automatically turns off the power to all of the lighting fixtures in the guest room no more than 30 minutes after the room has been vacated; and</text> </paragraph> <paragraph num="(b)"> <text>A master control device may also control the heating, ventilation, or air conditioning default settings in hotel guest rooms 30 minutes after a room has been vacated by:</text> <paragraph num="(i)"> <text>Increasing the set temperature by at least 3 degrees Fahrenheit when in the air conditioning mode; or</text> </paragraph> <paragraph num="(ii)"> <text>Decreasing the set temperature by at least 3 degrees Fahrenheit when in the heating mode.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>Modify Section R102.1.1 Above code programs. Add to the end of Section R102.1.1, “Compliance with the Silver Rating of the ICC/ASHRAE 700-2015 National Green Building Standard as codified in §12-509(a) of the Annotated Code of Maryland shall be considered to be in compliance with this code.”</text> </paragraph> <paragraph num="(4)"> <text>Modify Section R401.2.5 Additional energy efficiency add “4. For buildings complying with Section R402.1.3.1, the structure shall also comply with the additional energy features in Section R408.3.”</text> </paragraph> <paragraph num="(5)"> <text>Modify Section R402.1.3 R-Value Alternative with the following:</text> <paragraph num="(a)"> <text>Add new “R402.1.3.1 Maryland Alternative R-value. Assemblies with R-value of insulation materials equal to or greater than that specified in Table R402.1.3.1 shall be an alternative to the U-factor in Table R402.1.2 when combined with Section R408.3. The provisions of Section R408.2.1 shall be applied to the base model house to establish the reference base design establishing energy efficiency.”; and</text> </paragraph> <paragraph num="(b)"> <text>Add the following table:</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Modify Section R402.2.1 Ceilings with attic spaces with the following:</text> <paragraph num="(a)"> <text>Add “or Section R402.1.3.1” after “R402.1.3” and before “requires R-49 insulation”; and</text> </paragraph> <paragraph num="(b)"> <text>Add “or Section R402.1.3.1” after “R402.1.3” and before “requires R-60 insulation”.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Modify Section R402.2.2 Ceilings without attics with the following:</text> <paragraph num="(a)"> <text>Add “or Section R402.1.3.1” after “R402.1.3” and before “requires insulation R-values greater than R-30”; and</text> </paragraph> <paragraph num="(b)"> <text>Add “or R402.1.3.1” after “R402.1.3” and before “shall be limited to”.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>Modify Section R408 Additional Efficiency Package Options:</text> <paragraph num="(a)"> <text>Add new Section “R408.3 Maryland Alternative Additional Energy Efficiency Package Options. The provisions of this Section shall be applied as part of the prescriptive compliance path of Section R402.1.3.1. Additional energy efficiencies from Table R408.3 must be selected to meet or exceed a minimum percentage increase of 6% for climate Zone 4 and 6% for Climate Zone 5.”; and</text> </paragraph> <paragraph num="(b)"> <text>Add the following table: Table R408.3 Additional Energy Features1:</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The Department encourages:</text> <paragraph num="(1)"> <text>Home builders to construct new high performance homes; and</text> </paragraph> <paragraph num="(2)"> <text>Local jurisdictions to amend these standards to allow builders to construct high performance homes.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Maryland Building Performance Standards."> <paragraph num="A."> <text>The IBC, IRC, and IECC, as modified in Regulation .04 of this chapter, shall constitute the Maryland Building Performance Standards.</text> </paragraph> <paragraph num="B."> <text>Local Amendments.</text> <paragraph num="(1)"> <text>Each local jurisdiction:</text> <paragraph num="(a)"> <text>May by local amendment modify the provisions of the Standards to address conditions peculiar to the local jurisdiction's community;</text> </paragraph> <paragraph num="(b)"> <text>May adopt and amend the IGCC to be part of the Standards applicable in the local jurisdiction.</text> </paragraph> <paragraph num="(c)"> <text>May not adopt any amendments that weaken the requirements of the IECC or Chapter 13 of the IBC;</text> </paragraph> <paragraph num="(d)"> <text>Except as set forth in Public Safety Article, §12-504(a)(1)(iii), Annotated Code of Maryland, may not adopt any amendments that weaken the automatic fire sprinkler systems provisions for townhouses and one- and two-family dwellings contained in the Standards; and</text> </paragraph> <paragraph num="(e)"> <text>May not adopt amendments that weaken the wind design and wind–borne debris provisions contained in the Standards.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a local jurisdiction adopts a local amendment, the Standards as amended by the local jurisdiction shall apply in that local jurisdiction.</text> </paragraph> <paragraph num="(3)"> <text>If a local amendment conflicts with the provisions of the Standards, the provisions of the local amendment shall prevail in the local jurisdiction.</text> </paragraph> <paragraph num="(4)"> <text>Local amendments shall be submitted to the Department:</text> <paragraph num="(a)"> <text>At least 15 days before the effective date of the amendment; or</text> </paragraph> <paragraph num="(b)"> <text>In the case of an emergency adoption of a local amendment, within 5 days after the local amendment's adoption.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Application of the Standards."> <paragraph num="A."> <text>Except as provided in §§B and C of this regulation, the Standards shall apply to all buildings and structures within the State for which a building permit application is received by a local jurisdiction.</text> </paragraph> <paragraph num="B."> <text>A local jurisdiction shall implement and enforce the Standards and any local amendments within 12 months of the effective date of any amendments by the Department to this chapter.</text> </paragraph> <paragraph num="C."> <text>The provisions of Public Safety Article, §12-508, Annotated Code of Maryland, modify and determine the applicability of the Standards to agritourism.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Utilization of Standards."> <paragraph num="A."> <text>Central Data Base.</text> <paragraph num="(1)"> <text>The Department shall establish an automated central data base which shall contain or provide a link to access the following information:</text> <paragraph num="(a)"> <text>The Standards;</text> </paragraph> <paragraph num="(b)"> <text>Local amendments;</text> </paragraph> <paragraph num="(c)"> <text>State Fire Prevention Code and amendments to the State Fire Prevention Code promulgated by the State Fire Prevention Commission, or the State Fire Prevention Commission's successor;</text> </paragraph> <paragraph num="(d)"> <text>The fire codes adopted by the local jurisdictions and any amendments to them;</text> </paragraph> <paragraph num="(e)"> <text>The electrical code required under Public Safety Article, §12-603, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(f)"> <text>Local amendments to the electrical code required under Public Safety Article, §12-603, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(g)"> <text>Local code provisions that are more restrictive than the IECC as modified in Regulation .04 of this chapter and the energy code defined under Public Utilities Article, §7-401, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(h)"> <text>The Maryland Building Rehabilitation Code; and</text> </paragraph> <paragraph num="(i)"> <text>Local amendments to the Maryland Building Rehabilitation Code.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Department may compile and include in the central data base:</text> <paragraph num="(a)"> <text>Any information provided by the local jurisdiction on the implementation and interpretation of the Standards by the local jurisdiction;</text> </paragraph> <paragraph num="(b)"> <text>Interim amendments to the IBC and IRC, including subsequent printing of the most recent edition; and</text> </paragraph> <paragraph num="(c)"> <text>Any other information the Department determines is relevant to the construction or rehabilitation of buildings and structures in the State.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Software.</text> <paragraph num="(a)"> <text>The Department shall be responsible for the development and distribution among the local jurisdictions of software related to the operation of the central data base.</text> </paragraph> <paragraph num="(b)"> <text>Any software developed by or on behalf of the Department shall be owned by the Department, or the developer of the software.</text> </paragraph> <paragraph num="(c)"> <text>Neither the local jurisdiction nor any other user acquires any proprietary right in any of the ICC copyrighted material or ICC trademark contained in the software.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Voluntary Dispute Resolution.</text> <paragraph num="(1)"> <text>Upon the written request of a local jurisdiction and any person aggrieved by the Standards or any local amendments to them, the Codes Administration shall conduct an informal mediation or conciliation with the local jurisdiction and any person aggrieved by the Standards or any local amendments to them.</text> </paragraph> <paragraph num="(2)"> <text>The aggrieved person and the local jurisdiction shall each submit to the Codes Administration a written statement of the dispute and include any related material either party feels is appropriate. In addition to the written statement, either party may request a meeting with the other party and the Codes Administration to discuss the dispute.</text> </paragraph> <paragraph num="(3)"> <text>Within the latter to occur of 30 days of receipt of both statements of the disputed and any related material, or 30 days after a meeting conducted in accordance with §B(2) of this regulation, the Director of the Codes Administration shall issue a decision on behalf of the Department regarding resolution of the dispute.</text> </paragraph> <paragraph num="(4)"> <text>Within 15 days of the date of the decision of the Director of the Codes Administration, either party may appeal to the Secretary of the Department or the Secretary's designee, in writing. The Secretary of the Department or the Secretary's designee shall respond to the appeal within 15 days of receipt of the appeal.</text> </paragraph> <paragraph num="(5)"> <text>Neither a decision by the Codes Administration nor the Department under §B(3) or (4) of this regulation shall constitute a contested case proceeding under the Maryland Administrative Procedure Act and is not subject to the provisions of COMAR 09.01.02.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Enforcement of the Standards."> <text>Enforcement of the Standards shall be the responsibility of the local jurisdiction in which the building or structure is located.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Enforcement of State Fire Code Requirements."> <text>There is a State Fire Code, Public Safety Article 38A, §§6-101—6-602, Annotated Code of Maryland, and COMAR 29.06.01, which requires enforcement of the Fire Code by the State Fire Marshal or authorized fire official.</text> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-503, 12-507(a)(2), 12-508(g), and 12-510(d), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.09 adopted as an emergency provision effective January 13, 1995 (22:3 Md. R. 148); adopted permanently effective June 5, 1995 (22:11 Md. R. 818)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective October 15, 2001 (28:5 Md. R. 548); September 20, 2004 (31:6 Md. R. 507); January 1, 2010 (36:22 Md. R. 1722)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective April 7, 1997 (24:7 Md. R. 552); October 15, 2001 (28:5 Md. R. 548); September 20, 2004 (31:6 Md. R. 507); July 16, 2007 (34:14 Md. R. 1245); January 1, 2012 (38:24 Md. R. 1500)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective October 15, 2001 (28:5 Md. R. 548); September 20, 2004 (31:6 Md. R. 507); July 1, 2007 (34:7 Md. R. 696); January 1, 2010 (36:22 Md. R. 1722); January 1, 2012 (38:24 Md. R. 1500); October 29, 2012 (39:21 Md. R. 1377); January 1, 2015 (41:25 Md. R. 1476)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A, B amended and C adopted effective April 7, 1997 (24:7 Md. R. 552)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A, D amended effective October 29, 2012 (39:21 Md. R. 1377)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective March 15, 2001 (28:5 Md. R. 548); September 20, 2004 (31:6 Md. R. 507); January 1, 2010 (36:22 Md. R. 1722)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B amended effective October 29, 2012 (39:21 Md. R. 1377); January 1, 2015 (41:25 Md. R. 1476)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05C adopted effective October 29, 2012 (39:21 Md. R. 1377)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05C repealed effective January 1, 2015 (41:25 Md. R. 1476)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective April 7, 1997 (24:7 Md. R. 552); October 15, 2001 (28:5 Md. R. 548); September 20, 2004 (31:6 Md. R. 507); July 16, 2007 (34:14 Md. R. 1245)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective January 1, 2010 (36:22 Md. R. 1722)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective April 7, 1997 (24:7 Md. R. 552); October 15, 2001 (28:5 Md. R. 548); September 20, 2004 (31:6 Md. R. 507)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective January 1, 2010 (36:22 Md. R. 1722)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective April 7, 1997 (24:7 Md. R. 552)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.02.07 to COMAR 09.12.51 effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective March 25, 2019 (46:6 Md. R. 345); May 29, 2023 (50:10 Md. R. 407)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B, C amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> </annotations> </chapter> <chapter num="52" heading="Industrialized Buildings and Manufactured Homes"> <regulation prefix="Regulation" num=".01" heading="Authority and Scope."> <paragraph num="A."> <text>This chapter is adopted pursuant to Public Safety Article, §12-305, Annotated Code of Maryland, in order to implement, interpret, make specific, and otherwise carry out the provisions of Public Safety Article, Title 12, Subtitle 3, Annotated Code of Maryland, known as the Industrialized Building and Manufactured Homes Act.</text> </paragraph> <paragraph num="B."> <text>Former regulations as originally adopted effective July 1, 1972, included industrialized buildings and manufactured homes. The HUD Manufactured Home Construction and Safety Standards superseded the State standards for manufactured homes on June 15, 1976. Approval of manufactured home inspection agencies and manufactured home plans is also now a responsibility of HUD or its agent, so these regulations pertain primarily to industrialized buildings. Regulation .15 does, however, cover the functions of the Department as a State Administrative Agency under HUD programs. Related manufactured home functions, such as handling of consumer complaints and monitoring of primary inspection agencies, are not covered by this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Act” means the Industrialized Buildings and Manufactured Homes Act, Public Safety Article, Title 12, Subtitle 3, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Add-on” means any structure (except a structure designed or produced as an integral part of a manufactured home) that, when attached to the basic manufactured home unit, increases the area, either living or storage, of the manufactured home.</text> </paragraph> <paragraph num="(3)"> <text>Alteration.</text> <paragraph num="(a)"> <text>“Alteration” means the installation, replacement, addition, modification, or removal of any equipment after sale by a manufacturer to a dealer or distributor, but before sale by a dealer to a purchaser, that may affect the construction, fire safety, occupancy, plumbing, heat producing, or electrical system.</text> </paragraph> <paragraph num="(b)"> <text>“Alteration” includes any modification made in the manufactured home that may affect the compliance of the home with the standards.</text> </paragraph> <paragraph num="(c)"> <text>“Alteration” does not include the:</text> <paragraph num="(i)"> <text>Repair or replacement of a component or appliance requiring plug-in to an electrical receptacle when the replaced item is of the same configuration and ratings as the one being replaced; or</text> </paragraph> <paragraph num="(ii)"> <text>Addition of an appliance, not provided with the manufactured home by the manufacturer, requiring plug-in to an electrical receptacle, if the rating of the appliance does not exceed the rating of the receptacle to which it is connected.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Federal Act” means the National Manufactured Housing Construction and Safety Standards Act of 1974, codified as 42 U.S.C. §5401 et seq., as amended.</text> </paragraph> <paragraph num="(5)"> <text>“Federal Regulations” means the Manufactured Home Construction and Safety Standards, 24 CFR Part 3280, the Manufactured Home Procedural and Enforcement Regulations, 24 CFR Part 3282, and the Manufactured Home Consumer Manual Requirements, 24 CFR Part 3283.</text> </paragraph> <paragraph num="(6)"> <text>“HUD label” means the approved form of certification by the manufacturer that, under the federal regulations, is permanently affixed to each transportable section of each manufactured home manufactured for sale to a purchaser in the United States.</text> </paragraph> <paragraph num="(7)"> <text>Manufactured Home.</text> <paragraph num="(a)"> <text>“Manufactured home” (formerly called a mobile home in the Act and in the Federal Act) means a structure, transportable in one or more sections, that is:</text> <paragraph num="(i)"> <text>In the traveling mode, 8 body feet or more in width or 40 body feet or more in length;</text> </paragraph> <paragraph num="(ii)"> <text>When erected on site, 320 or more square feet;</text> </paragraph> <paragraph num="(iii)"> <text>Built on a permanent chassis;</text> </paragraph> <paragraph num="(iv)"> <text>Designed to be used as a dwelling with or without a permanent foundation when connected to the required utilities; and</text> </paragraph> <paragraph num="(v)"> <text>Includes the plumbing, heating, air-conditioning, and electrical systems contained in it.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Manufactured home” includes any structure that meets all the requirements of §B(7)(a) of this regulation except the size requirements, with respect to which the manufacturer voluntarily:</text> <paragraph num="(i)"> <text>Files a certification required by the Secretary of HUD; and</text> </paragraph> <paragraph num="(ii)"> <text>Complies with the standards established under the Federal Act.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Model” means a specific design, as designated by the producers of an industrialized building unit and submitted for approval to the Department.</text> </paragraph> <paragraph num="(9)"> <text>“Open frame construction” means any building, building component, assembly, or system manufactured in such manner that all portions can be readily inspected at the building site without disassembly, damage, or destruction and to which no more than one fixed interior or exterior surface has been applied.</text> </paragraph> <paragraph num="(10)"> <text>“Regulations” means the Industrialized Buildings and Manufactured Homes Regulations (COMAR 09.12.52.01—.18).</text> </paragraph> <paragraph num="(11)"> <text>“Stabilizing devices” means all components of the anchoring and support systems, such as:</text> <paragraph num="(a)"> <text>Piers;</text> </paragraph> <paragraph num="(b)"> <text>Footing;</text> </paragraph> <paragraph num="(c)"> <text>Ties;</text> </paragraph> <paragraph num="(d)"> <text>Anchoring equipment;</text> </paragraph> <paragraph num="(e)"> <text>Ground anchors; and</text> </paragraph> <paragraph num="(f)"> <text>Any other equipment that supports the manufactured home and secures it to the ground.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>The terms “approved testing facility”, “Department”, “first user”, “industrialized building”, “installed”, “local enforcement agency”, “manufactured home”, “Manufactured Home Construction and Safety Standards Act”, “Secretary”, and “site” have the meanings stated in Public Safety Article, §12-301, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Enforcement Generally."> <paragraph num="A."> <text>General. These regulations shall be enforced as prescribed by the Act.</text> </paragraph> <paragraph num="B."> <text>Inspection by Department. The Department may enter any industrialized building unit or manufactured home, at a reasonable time and manner, to inspect it for compliance with this chapter. If the inspection shows a violation, the Department may order the responsible person to bring the unit into compliance within a reasonable time fixed in the order. The order may be appealed to the Secretary who will investigate promptly and affirm, revoke, or modify the order.</text> </paragraph> <paragraph num="C."> <text>Failure to Comply with Department Order. If the Department has determined, under Regulation .03B, that a violation exists, and the responsible person fails to bring the unit into compliance, the Secretary may refer the violation to the appropriate state's attorney, or suspend or cancel the manufacturer's approval, or both, as necessary to ensure compliance.</text> </paragraph> <paragraph num="D."> <text>Limitation of Manufacturer's Liability. The manufacturer of the unit may not be required to remedy violations caused by on-site work by others not under his control or violations involving components and material furnished by others and not included with the unit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Enforcement in Localities."> <paragraph num="A."> <text>Reports to the Secretary. Each governmental jurisdiction shall furnish monthly notice to the Department, on forms supplied by the Department, of each industrialized building being erected or installed in its jurisdiction, giving the State insignia number, type or model, manufacturer's name, and any other data needed to properly identify each unit. In lieu of these reports, the jurisdiction may complete and forward the location report form shipped with each unit. Manufacturers shall also furnish this same information to the Department on a monthly basis, indicating the destination of all units shipped for erection or installation in the State. These reports shall be submitted no later than the 10th day of the following month.</text> </paragraph> <paragraph num="B."> <text>Unlabelled Industrialized Building Units. Any industrialized building which does not carry the insignia of the Department, but which by reason of date of manufacture, may lawfully be sold or installed, is subject to the control of the local governing body within whose jurisdiction it is to be installed. When this building is offered for sale, the person to whom it is offered shall be specifically advised in writing by the seller or manufacturer that the building does not carry State certification and, therefore, is subject to local building code requirements.</text> </paragraph> <paragraph num="C."> <text>Local Enforcement Requirements. In addition to the matters reserved to city and county government by Public Safety Article, §12-303, Annotated Code of Maryland, the local enforcement agency shall verify that the unit bears the required insignia and inspect the unit for damage in transit. Local enforcement agencies shall be responsible for inspecting all the work to be done at site, including, but not limited to the installation, erection, foundation, site work, and utilities connections, for compliance with the terms of certification and applicable law. If local enforcement agencies find violations of the Department's requirements, either due to transit damage or improper construction in the factory, they shall forward notice of these violations to the Department. If violations or defects are created by the on-site builder, the local enforcement agency is responsible for insuring that the unit is brought back into compliance, or for bringing the violation to the attention of the Department.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Variance from Regulations."> <text>The Department shall have the power to authorize variances from the regulations to permit specified alternative methods of construction which will fulfill the objectives of the Act. Requests for variances shall be in writing and shall be accompanied by the plans, specifications, and other information necessary for adequate evaluation. Before any variance is authorized, the local building officer having jurisdiction may be afforded an opportunity to present his views and recommendations.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Requirements."> <text>Industrialized building units shall be reasonably safe for the users, shall be designed to conserve energy, and shall provide reasonable protection to the public against hazards to life, health, and property. Compliance with all applicable requirements of the standards and codes specified in Regulations .07 and .08 shall be acceptable evidence of compliance with this provision. When industrialized building units are combined with each other or with other components, compliance of the entire resulting building with all applicable requirements of the standards and codes specified in Regulations .07 and .08 shall be acceptable evidence of compliance with this provision.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Reference Standards."> <text>The standards identified in the Model Performance Code which are incorporated by reference in COMAR 09.12.50 shall constitute the reference standards for industrialized building construction in the State.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Energy Conservation Standards."> <text>All industrialized buildings shall be designed to meet all the applicable energy conservation standards as identified in the State Model Performance Code (COMAR 09.12.50). In using these standards, the design shall be based on a minimum of 5,200 degree days.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Application for Plan Approval by Manufacturers."> <paragraph num="A."> <text>General. A plan approval shall be obtained from the Department for each model of industrialized building which is subject to these regulations. Approved models shall be accepted by the local enforcement agency as approved for the purpose of granting an installation permit when the design loads are safe for the locality as determined by the local enforcement agency. Installation permits shall be issued subject to compliance with Public Safety Article, §12-305, Annotated Code of Maryland, and provisions of this regulation.</text> </paragraph> <paragraph num="B."> <text>Application. An application to the Department for plan approval shall include:</text> <paragraph num="(1)"> <text>A completed application in duplicate on forms obtainable from the Department.</text> </paragraph> <paragraph num="(2)"> <text>Two complete sets of plans and specifications for the prototype model. When additional models use the same systems as in the prototype, two sets of the floor plans only must be submitted for each of the additional models. Calculations and any required test results will be submitted through the approved test facility or may be prepared by the approved test facility and included in their submission.</text> </paragraph> <paragraph num="(3)"> <text>Quality control procedures manual or manuals pursuant to §C of this regulation.</text> </paragraph> <paragraph num="(4)"> <text>Plan filing fee pursuant to Regulation .12 of this chapter.</text> </paragraph> <paragraph num="(5)"> <text>Certificate by Approved Test Facility. The manufacturer shall contract with an approved testing facility to review his plans for code compliance and to monitor his factory operations and quality assurance program. To save processing time, the application, plans, specifications, and quality control manual may be submitted directly to the Department. However, before approval can be given, the approved test facility, which has been selected by the manufacturer, shall submit a letter certifying that the manufacturer's designs, plans, factory operations, specifications, and quality control practices have been reviewed and are approved as complying with all the current code requirements of the Department. A design analysis of critical features will be included with the certification letter. In special situations such as a newly approved manufacturer on a temporary basis, or a limited production manufacturer, the Department may waive the requirement of the contract with an approved testing facility and provide plan review and monitoring for factory operations and the quality assurance program directly, charging the fees prescribed in Regulation .12 of this chapter.</text> </paragraph> <paragraph num="(6)"> <text>New Models and Changes. When new models or alterations are desired to be manufactured after the initial application approval, a request for approval for the new model or modification in the prototype unit shall be submitted before any production of these models for shipment to this State. Two copies of the plans or changes shall be provided. A certification letter shall also be received from the approved testing facility showing its review and approval for code compliance of the new models or alterations. The fee prescribed in Regulation .12C of this chapter shall be paid.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In-Plant Quality Assurance.</text> <paragraph num="(1)"> <text>The quality control manual required by §B(3) of this regulation, will outline the manufacturer's program to insure compliance with his approved plans and specifications. It will list the various tests and checks that must be recorded for each unit being manufactured. The manufacturer and approved testing facility shall maintain records for not less than 2 years after shipment to verify that each unit has been inspected and complies with the plans as approved by the Department.</text> </paragraph> <paragraph num="(2)"> <text>In order to assure an independent check on the units being produced for use in this State, the manufacturer's approved testing facility shall check the units being produced. For dwelling units, or larger structures, the approved testing facility inspector shall check some phase of each unit being fabricated for delivery in the State. He shall also observe the entire production line for compliance with approved plans, materials, and test requirements including required unit records. For subsystems or components, the approved testing facility may recommend a lesser frequency of inspection and submit its recommendation to the Department for approval. The State insignias will be issued and controlled by the approved testing facility. The approved testing facility inspector shall apply insignias to completed units, or, if the units are incomplete, he may leave the insignias with the plant quality control inspector for application upon completion of the units.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Unannounced Inspections. In accordance with Public Safety Article, §12-311, Annotated Code of Maryland, the Department shall make periodic unannounced inspections, in addition to those of the approved testing facility, to verify that the units produced comply with the plans, inspection procedures and quality assurance program as approved by the Department. The cost of two of these inspections per year may be charged to the manufacturer in accordance with the fee schedule specified in Regulation .12 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Label."> <paragraph num="A."> <text>Approved Testing Facility Label. Every approved industrialized building unit shall be marked with a label identifying the approved testing facility which performed the inspection. Each label shall bear the following information directly or by reference:</text> <paragraph num="(1)"> <text>Name of approved testing facility;</text> </paragraph> <paragraph num="(2)"> <text>Type of industrialized building unit;</text> </paragraph> <paragraph num="(3)"> <text>Serial number of the label;</text> </paragraph> <paragraph num="(4)"> <text>“See Data Plate for Special Instructions”.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Manufacturer's Data Plate and Other Markings. The information listed below shall be placed on one or more permanent manufacturer's data plates in the vicinity of the electrical distribution panel or in some other location that is readily accessible for inspection. The approved testing facility shall approve the form, completeness, and location of the data plate.</text> <paragraph num="(1)"> <text>Manufacturer's name and address.</text> </paragraph> <paragraph num="(2)"> <text>Manufacturer's serial number for the unit and model name.</text> </paragraph> <paragraph num="(3)"> <text>Name of manufacturer and model designation of major factory installed appliances.</text> </paragraph> <paragraph num="(4)"> <text>Wind, snow and floor loads, and any other special use limitations will be shown. Also, if any unit requires additional on-site work, the data plate will show the specific features which were inspected and those which shall be inspected locally.</text> </paragraph> <paragraph num="(5)"> <text>Where applicable, identification of permissible type of gas or fuel for appliances, designation of electrical ratings, direction for water and drain connection and pressures.</text> </paragraph> <paragraph num="(6)"> <text>List of codes and standards for which the unit has been evaluated, inspected and found in compliance by the approved testing facility.</text> </paragraph> </paragraph> <paragraph num="C."> <text>State Certification Insignia. In addition to the approved testing facility label and the manufacturer’s data plate, each unit shall be marked by a State certification insignia secured from the Maryland Department of Labor which shall identify the unit by State serial number. This serial number shall be the control number for location in the State.</text> </paragraph> <paragraph num="D."> <text>Mounting of Labels and State Certification Insignias. To the extent practicable, the labels and insignias shall be so installed that they cannot be removed without being destroyed. They shall be applied in the vicinity of the electrical distribution panel or other location that is readily accessible for inspection. They may not be placed on the panel cover or any other readily removable feature. When the unit comprises a system of sub-assemblies, the required label and insignia may be applied using one of each type and the data plate for the system, provided each sub-assembly is listed on or with the approved testing facility label and is marked by the approved testing facility in some clearly identifiable manner that relates it to the label.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="State Certification Insignias."> <paragraph num="A."> <text>Effect of Affixing State Certification Insignias. The approved testing facility shall affix a State certification insignia to every industrialized building unit which has been found to be in full compliance with all applicable standards of the Department. The manner of affixing is prescribed in Regulation .10 of this chapter. The legal effect of affixing the State certification insignia is a certification by the approved testing facility, additional to the certification represented by the label of the approved testing facility, that the unit has been inspected and complies in all respects with the requirements of these regulations.</text> </paragraph> <paragraph num="B."> <text>Issue of Certification Insignias. Approved State certification insignias shall be purchased from the Department. The insignias will be issued to the approved testing facilities only upon written request, accompanied by advance payment.</text> </paragraph> <paragraph num="C."> <text>Control of Insignias. Each approved testing facility shall maintain close control of the State certification insignias to insure their proper use. The facility shall submit to the Department a monthly report itemizing the insignias issued to the manufacturers by serial numbers, and stating the number of State insignias on hand at the end of each month.</text> </paragraph> <paragraph num="D."> <text>Report of Shipments. The manufacturer shall send to the Department a monthly report of units shipped, showing the State certification insignia numbers, manufacturer's serial numbers, approved testing facilities' serial numbers, type or model, and destination in the State. The report shall be sent no later than the 10th day of the following month.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Fees."> <paragraph num="A."> <text>The annual application fee is $500. When a manufacturer has more than one plant producing approved models, an additional $500 application fee for each additional plant, with details on each plant as part of the quality control manuals, will be required.</text> </paragraph> <paragraph num="B."> <text>When a design is unusual, and involves special analysis, the Department will also charge a rate of $25 per man-hour to cover its added costs. When practical, the Department will estimate costs before submittal and provide a report on hourly activities. If the complexity or sophistication of the system requires, or if the applicant so chooses, the Department may submit the plan for the system to an approved independent testing agency or consulting engineer for evaluation. In this case, the applicant will be required to pay whatever costs the agency may charge. If the applicant chooses to obtain prior analysis by an approved testing agency before submission, the Secretary will consider this in determining the charges to be made by the Department. However, test reports from the approved agency shall be submitted with the original application.</text> </paragraph> <paragraph num="C."> <text>State Insignia Fees.</text> <paragraph num="(1)"> <text>Insignia fees for the certification of industrialized building construction at the manufacturing facility are as follows:</text> <paragraph num="(a)"> <text>Residential structures — $50 for each insignia;</text> </paragraph> <paragraph num="(b)"> <text>Other structures — $90 for each insignia.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The number of “insignias of approval” required are as follows:</text> <paragraph num="(a)"> <text>Modular construction — one insignia for each individual module which is transported in a separate frame to the site;</text> </paragraph> <paragraph num="(b)"> <text>Panelized closed construction — one insignia for each increment (or part of it) of 1,000 square feet of building floor area.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>For residential structures, instead of the $50 insignia fee described in §C(1)(a) and (2)(a) of this regulation, the manufacturer, at the time of filing of a new or annual application with the Department, may elect a $65 insignia fee for a floor area of 1,200 square feet or less, plus an additional $65 insignia fee for each increment of 500 square feet, or part of it, over 1,200 square feet.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Department reserves the right to establish separate fees where the product is produced in such a volume or has unique features that would, in the Department's opinion, warrant individual consideration.</text> </paragraph> <paragraph num="E."> <text>When the Department is directly providing services for plan review and monitoring for factory operations and quality assurance programs:</text> <paragraph num="(1)"> <text>Plan review — $25 per hour ($100 minimum fee);</text> </paragraph> <paragraph num="(2)"> <text>Inspection fees and field services as in §F of this regulation.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Inspection fees and field services per man-hour:</text> <paragraph num="(1)"> <text>$10 per half man-hour, including travel time.</text> </paragraph> <paragraph num="(2)"> <text>Travel Expense. Where travel by auto is used to make inspections, cost will be charged at the current State allowance for mileage, meals and lodging, incidental expenses, and car rental where applicable. For air travel, the fee will be the total travel cost based on published air fare, or equivalent rate, between Baltimore, Maryland and the location of the factory, plus necessary supplemental surface transportation, and reimbursement for food and lodging consistent with State allowances.</text> </paragraph> </paragraph> <paragraph num="G."> <text>When the Department is directly providing services for monitoring of industrialized building installation at sites, the fee for these services will be $20 per hour, including travel time ($50 minimum fee).</text> </paragraph> <paragraph num="H."> <text>Unannounced Inspection Fees. The cost of unannounced inspections as provided by Regulation .09D of this chapter may be charged to the manufacturer. The fee for these inspections will be as prescribed in §F, of this regulation. The minimum fee will be $100.</text> </paragraph> <paragraph num="I."> <text>Application Fee for Approved Testing Facilities.</text> <paragraph num="(1)"> <text>Each testing facility requesting approval by the Secretary shall submit a fee of $100 with its application. This fee will be non-returnable.</text> </paragraph> <paragraph num="(2)"> <text>Each approved testing facility shall file an annual request for renewal of its approval, accompanied by a non-returnable fee of $100. This request shall include information concerning changes in personnel, operating procedures, and any other matters pertinent to its capability to continue performing as an approved testing facility.</text> </paragraph> <paragraph num="(3)"> <text>Each application for approval or renewal shall be accompanied by a list of all current clients for whom they are performing services as a State approved testing facility, showing the location of and estimated production capacity of each plant of each client. A fee of $50 per client shall be submitted with the application for approval or renewal. The names of additional clients added during the period of approval shall be submitted at the time that a contract for services is signed, accompanied by a payment of $50 per client. No returns will be made for clients that sever their contractual relationship during the approval period.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Approval of Testing Facilities."> <paragraph num="A."> <text>Application and Criteria. A testing facility shall apply to the Department to be designated an approved testing facility. The application shall be verified and shall contain information enabling the Department to determine whether the applicant is specially qualified by reason of facilities, personnel, experience, and demonstrated reliability to investigate, test, and evaluate industrialized building units for compliance with these regulations, and to provide adequate follow-up and quality assurance services at the point of manufacture. This information shall include:</text> <paragraph num="(1)"> <text>Names of officers and location of offices;</text> </paragraph> <paragraph num="(2)"> <text>Specification and description of services proposed to be furnished under these regulations;</text> </paragraph> <paragraph num="(3)"> <text>Description of qualifications of personnel and their responsibilities;</text> </paragraph> <paragraph num="(4)"> <text>Summary of organization experience;</text> </paragraph> <paragraph num="(5)"> <text>General description of procedures and facilities to be used in proposed services, including evaluation of the model unit, factory follow-up, quality assurance, labeling of production units, and specific information to be furnished on or with labels;</text> </paragraph> <paragraph num="(6)"> <text>How defective units resulting from oversight are to be dealt with;</text> </paragraph> <paragraph num="(7)"> <text>Acceptance of these services by independent accrediting organizations and by other jurisdictions;</text> </paragraph> <paragraph num="(8)"> <text>Proof of independence and absence of conflict of interest;</text> </paragraph> <paragraph num="(9)"> <text>Compliance with federal and State requirements concerning equal employment opportunities.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Fees. Fees for approval and annual renewal are stated in Regulation .12 of this chapter.</text> </paragraph> <paragraph num="C."> <text>Independence and Absence of Conflicts. An approved testing facility may not be affiliated with or influenced or controlled by producers, suppliers, or vendors of products in any manner which might affect its capacity to render reports of findings objectively without bias. An approved testing facility is judged to be free of affiliation, influence and control if it complies with all of the following:</text> <paragraph num="(1)"> <text>Has no managerial affiliation with producers, suppliers, or vendors and is not engaged in the sale or promotion of any product or material;</text> </paragraph> <paragraph num="(2)"> <text>The results of its work accrue no financial benefit to the agency via stock ownership, and the like, of any producers, supplier, or vendors of the products involved;</text> </paragraph> <paragraph num="(3)"> <text>Its directors and other management personnel, in those capacities, receive no stock option, or other financial benefits from any producer, supplier, or vendor of the product involved;</text> </paragraph> <paragraph num="(4)"> <text>Has sufficient breadth of interest or activity that the loss or award of a specific contract to determine compliance of a producer's, supplier's, or vendor's product with these regulations would not be a determinative factor in its financial well-being;</text> </paragraph> <paragraph num="(5)"> <text>The employment security status of its personnel is free of influence or control of producers, suppliers, or vendors.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Reciprocity with Other States."> <text>Upon the application of another state for reciprocity, or upon his own initiative, the Secretary shall investigate if the other state has adopted and promulgated a code and enforcement procedures which establish standards and safeguards at least equal to those contained in these regulations. He will hold a public hearing to state the findings of his investigation and give interested parties the opportunity to submit their comments both for and against the adoption of a reciprocity agreement with the other state. Following the hearing, the Secretary shall decide whether a reciprocity agreement will be granted. As part of the finding by the Secretary granting reciprocity to another state, the Department shall set out the specific terms and conditions of the reciprocity agreement as it applies to that state and manufacturers of industrialized buildings under that state's program. As part of the reciprocity agreement, each state will keep the other informed of any changes in its regulations and maintain a current list of manufacturers that have been approved under its program. Upon application by any person adversely affected by the reciprocity agreement, the Secretary may investigate the allegations, and if necessary, hold a public hearing. Based on the results of his investigation, the Secretary may rescind, modify, or continue in effect the reciprocity agreement.</text> </regulation> <regulation prefix="Regulation" num=".15" heading="Manufactured Home Procedures."> <paragraph num="A."> <text>General. The Federal Act gives the U.S. Department of Housing and Urban Development (HUD) complete jurisdiction over the design and construction of manufactured homes, effective June 15, 1976. The Federal Act supersedes all state laws on this subject. All manufactured home units manufactured after the effective date of the Federal Act shall bear the HUD label to be lawfully sold anywhere in the United States.</text> </paragraph> <paragraph num="B."> <text>Authority of the Department. The Department is a State Administrative Agency pursuant to the Federal Act, authorized to administer and enforce the federal program in the State. The powers and responsibilities of the Department are set forth in Public Safety Article, §12-312, Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>Manufactured Homes Not Bearing HUD Label. A person may not sell or offer for sale to the first user in Maryland any manufactured home that is manufactured after January 1, 1973, unless it bears the insignia of the Department or is certified and labeled under the Federal Act.</text> </paragraph> <paragraph num="D."> <text>Repealed.</text> </paragraph> <paragraph num="E."> <text>Manufactured Home Installation.</text> <paragraph num="(1)"> <text>Stabilizing devices for manufactured homes bearing HUD labels shall be installed in accordance with the manufacturer's installation instructions provided with the unit pursuant to §3280.306 of the federal regulations.</text> </paragraph> <paragraph num="(2)"> <text>When the information for stabilizing device materials is not provided in the manufacturer's installation instructions, the materials shall be as approved by the local enforcement agency.</text> </paragraph> <paragraph num="(3)"> <text>When a manufactured home is located in an area subjected to frost heave, the footings and load-carrying portion of the ground anchors shall extend below the frost line or as per the requirements established by the local enforcement agency.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Enforcement Generally. Enforcement shall be in accordance with the Federal Regulations, codified at 24 CFR Part 3282, Subpart G.</text> </paragraph> <paragraph num="G."> <text>Enforcement in Localities.</text> <paragraph num="(1)"> <text>Manufactured homes bearing the HUD label shall be acceptable in all localities as meeting the requirements of the Act, and shall be acceptable as meeting the requirements of safety to life, health, and property imposed by any local enforcement agency in this State without further investigation, testing, or inspection.</text> </paragraph> <paragraph num="(2)"> <text>Notwithstanding §G(1) of this regulation, local enforcement agencies are responsible for the following functions with respect to manufactured homes bearing the HUD labels:</text> <paragraph num="(a)"> <text>Verification that the unit has not been damaged in transit;</text> </paragraph> <paragraph num="(b)"> <text>Verification that the unit bears the HUD label and all other pertinent documents, including consumer manuals, installation manuals, and record of purchase cards provided with the unit pursuant to the Federal Regulations;</text> </paragraph> <paragraph num="(c)"> <text>Inspection and verification to assure that the unit is installed in accordance with these regulations; and</text> </paragraph> <paragraph num="(d)"> <text>Inspection of manufactured home alteration and add-ons to ensure that they do not cause a failure of the manufactured home to conform with the Federal Regulations.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Local enforcement agencies may enforce local requirements for zoning, fire limits or fire districts, utility connections, site preparation and issuance of all required permits.</text> </paragraph> <paragraph num="(4)"> <text>Action Upon Violation.</text> <paragraph num="(a)"> <text>When the local enforcement agencies find violations of the Federal Regulations concerning construction of the manufactured homes, they shall forward notice of these violations to the Department.</text> </paragraph> <paragraph num="(b)"> <text>When damage is discovered or suspected, local enforcement agencies may require tests on plumbing, fuel burning, and electrical systems to determine the extent of damage.</text> </paragraph> <paragraph num="(c)"> <text>If it is determined that manufactured home installations, alterations, or add-ons are not in accordance with this chapter, local enforcement agencies are responsible for ensuring that the unit is brought into compliance. Local enforcement agencies may refer apparent violations of this chapter to the appropriate State's attorney for enforcement of the Act.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Restrictions on Distributors and Dealers.</text> <paragraph num="(1)"> <text>Alterations. A distributor or dealer may not perform or cause to be performed any alteration affecting any requirements of the Federal Regulations, without approval of the local enforcement agency. In handling and approving dealer requests for alterations, the local enforcement agency may be assisted by the Department.</text> </paragraph> <paragraph num="(2)"> <text>Prohibited Sale. A distributor or dealer may not offer for sale any manufactured home containing any violation of the Federal Act or Federal Regulations.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Vacant." /> <regulation prefix="Regulation" num=".17" heading="Code Enforcement Certification Board."> <paragraph num="A."> <text>The Secretary shall appoint the members of the Code Enforcement Certification Board, to serve at the Secretary’s pleasure. There are nine members of the Board, including four certified code enforcement officials, and one from each of the following areas: licensed architect; registered engineer; representative of the Maryland Department of Labor; educator; building industry representative. Members of the Board shall be citizens and residents of the United States and the State.</text> </paragraph> <paragraph num="B."> <text>The responsibilities of the Board are: To recommend standards for certification of code enforcement; to examine and certify applicants as code enforcement officials; to review qualifications for certification; to revoke certification where warranted; to keep records of all its proceedings; to maintain a current list of certified code enforcement officials; to make an annual report to the Secretary. The Board shall meet at least once each year for the purpose of examining applicants. The members shall serve without compensation, but shall reimbursed for out-of-pocket expenses and travel in accordance with the Standard State Travel Regulations.</text> </paragraph> <paragraph num="C."> <text>An applicant for certification shall submit to the Board written evidence, in verified form, that he is of good moral character and has work experience, education or training meeting the requirements of the Department. An applicant shall take and pass a written examination on pertinent building codes. The Board shall recommend to the Secretary that certification be denied, revoked, or suspended when in the opinion of the Board the person is unfit by reason of incompetence or habitual neglect or has been guilty of fraud or deceit in procuring or attempting to procure certification.</text> </paragraph> <paragraph num="D."> <text>The Board shall cooperate with any educational or training institution desiring to conduct a code enforcement training program, so that the program will:</text> <paragraph num="(1)"> <text>Meet standards recommended by the Board;</text> </paragraph> <paragraph num="(2)"> <text>Upgrade the code enforcement program; or</text> </paragraph> <paragraph num="(3)"> <text>Serve as an entrance training program for persons not presently involved in the building trades.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="NCSBCS Reciprocity."> <paragraph num="A."> <text>General. The National Conference of States on Building Codes and Standards, Inc. (NCSBCS) has established a program for voluntary reciprocity between the states in the regulation of industrialized buildings for use as one- or two-family dwellings. States electing to participate in this program agree to accept any one- or two-family dwelling which bears the NCSBCS label and the label of the state where the dwelling is to be erected as complying with the state's design and construction standards for manufactured dwellings. Under the program, NCSBCS will accredit System Analysis Agencies and Compliance Assurance Agencies. System Analysis Agencies will evaluate manufacturer's Building System Certification Documents (BSCD's). Compliance Assurance Agencies will perform ongoing inspections to determine whether dwellings are built to BSCD requirements, including conformance to an approved Compliance Assurance Manual.</text> </paragraph> <paragraph num="B."> <text>Determination. The Secretary determines, after public hearings, that it would be in the State's best interest to participate in the NCSBCS program, and adopts the standards established by the program, as they pertain to the evaluation, testing, and quality control of one- or two-family dwellings built by manufacturers participating in the program.</text> </paragraph> <paragraph num="C."> <text>Reference Standards. The reference standards set forth in Regulation .07 of this chapter, are modified to the extent necessary to comport with the design and construction standards established by the program for one- and two-family dwellings built by manufacturers participating in the program.</text> </paragraph> <paragraph num="D."> <text>Approved Testing Facilities. NCSBCS and those agencies accredited by it for participation in the program are designated as approved testing facilities, authorized to act as the Department's agents for the purpose of determining whether or not a one- or two-family dwelling built by a manufacturer participating in the program meets the standards of the Department.</text> </paragraph> <paragraph num="E."> <text>Exemptions.</text> <paragraph num="(1)"> <text>Manufacturers participating in the program will be exempted from the provisions of Regulations .09 and .12 of this chapter, provided they file an application with the Department, on forms obtainable from the Department, and pay an annual administration fee of $300.</text> </paragraph> <paragraph num="(2)"> <text>Any one- or two-family dwelling built by a manufacturer participating in the program to be sold, offered for sale, or installed in Maryland shall be exempt from the provisions of Regulation .10 of this chapter, provided it contains a Maryland State Certification Insignia, available from the Department for a $25 fee, and a NCSBCS label, both of which shall be mounted in the manner specified by Regulation .10D of this chapter.</text> </paragraph> <paragraph num="(3)"> <text>NCSBCS and any inspection agency approved by NCSBCS for participation in the program is exempted from the requirements of Regulations .12K and .13 of this chapter, for the purposes of §D of this regulation, but is subject to those requirements if it acts as an Approved Testing Facility for any other purpose.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §12-305, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 1, 1972</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.10 amended effective July 23, 1975 (2:16 Md. R. 1137)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 amended effective March 3, 1976 (3:5 Md. R. 295)</annotation> <annotation type="History" subtype="Administrative History">Regulations .11 —.14 adopted effective July 23, 1975 (2:16 Md. R. 1137)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective April 13, 1977 (4:8 Md. R. 632)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 adopted effective July 23, 1975 (2:16 Md. R. 1137)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 11, 1978 (5:16 Md. R. 1254)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B and C amended effective January 1, 1984 (10:20 Md. R. 1783)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective June 29, 1979 (6:13 Md. R. 1124); March 1, 1983 (10:3 Md. R. 208); February 1, 1986 (13:1 Md. R. 14)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective January 7, 1982 (8:26 Md. R. 2104)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective February 1, 1986 (13:1 Md. R. 14)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective March 1, 1983 (10:3 Md. R. 208)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12E amended effective March 6, 1981 (8:5 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 amended effective July 9, 1990 (17:13 Md. R. 1610)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15B—H amended effective January 1, 1984 (10:20 Md. R. 1783)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 adopted effective September 21, 1979 (6:19 Md. R. 1518)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.01.01 to COMAR 05.02.04</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective July 17, 2006 (33:14 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective July 17, 2006 (33:14 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective July 17, 2006 (33:14 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10D amended effective July 1, 1993 (20:12 Md. R. 996)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12A amended effective July 17, 2006 (33:14 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12C amended effective July 9, 1990 (20:12 Md. R. 996)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 amended effective July 17, 2006 (33:14 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 repealed effective July 17, 2006 (33:14 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17A amended effective July 17, 2006 (33:14 Md. R. 1162)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.02.04 to COMAR 09.12.52 effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10C amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17A amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> </annotations> </chapter> <chapter num="53" heading="Maryland Accessibility Code"> <regulation prefix="Regulation" num=".01" heading="Title."> <text>This chapter shall be known as the Maryland Accessibility Code, and is referred to in these regulations as “this Code”.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Purpose."> <paragraph num="A."> <text>The purpose of this Code is to carry out the mandate of Public Safety Article, §12-202, Annotated Code of Maryland, as amended (the “Act”), which requires the Department to establish minimum requirements that will provide for the accessibility and usability of buildings and facilities by individuals with disabilities.</text> </paragraph> <paragraph num="B."> <text>The standards promulgated under this chapter are designed to carry out the purposes as set forth in §A of this regulation establishing minimum requirements for the construction, alteration, and changes in use of the buildings and facilities covered by this Code.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Scope."> <paragraph num="A."> <text>The following buildings and facilities are not covered by this Code:</text> <paragraph num="(1)"> <text>Residential buildings consisting of less than four dwelling units;</text> </paragraph> <paragraph num="(2)"> <text>Structures, sites, and equipment directly associated with the actual processes of construction, such as scaffolding, bridging, materials hoists, or construction trailers;</text> </paragraph> <paragraph num="(3)"> <text>Observation galleries less than 150 square feet and used primarily for security purposes;</text> </paragraph> <paragraph num="(4)"> <text>Nonoccupiable spaces accessed only by ladders, catwalks, crawl spaces, very narrow passageways, or nonpassenger freight elevators and frequented only by service personnel for repair purposes including, but not limited to, elevator pits, elevator penthouses, and piping or equipment catwalks;</text> </paragraph> <paragraph num="(5)"> <text>Transportation vehicles;</text> </paragraph> <paragraph num="(6)"> <text>Existing buildings or facilities not undergoing any addition, alteration, or change in use as defined in Regulation .05 of this chapter; and</text> </paragraph> <paragraph num="(7)"> <text>Existing buildings and facilities undergoing alteration for the sole purpose of complying with the Americans with Disabilities Act, which requires removal of architectural barriers in existing buildings and facilities where removal is readily achievable.</text> </paragraph> </paragraph> <paragraph num="B."> <text>This Code applies to all new construction, additions, alterations, and changes of use of certain buildings and facilities in Maryland, as follows:</text> <paragraph num="(1)"> <text>Covered multifamily dwellings as defined in Regulation .05 of this chapter;</text> </paragraph> <paragraph num="(2)"> <text>State and local government buildings and facilities, including transit facilities;</text> </paragraph> <paragraph num="(3)"> <text>All other buildings and facilities, including buildings and facilities used or owned by private clubs and religious organizations, except those listed in §A of this regulation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Relationship to Federal Law."> <paragraph num="A."> <text>There is also federal law governing many of the buildings and facilities covered by this Code, and to the extent federal law is more restrictive than this Code, federal law shall control. Federal law also governs some buildings and facilities which are not covered by this Code. For instance, the Americans with Disabilities Act requires owners of existing buildings to make changes that are “readily achievable to accommodate individuals with disabilities”.</text> </paragraph> <paragraph num="B."> <text>The Department has no authority to interpret federal law. When this Code is parallel with federal law, the Department may only interpret the Code as State law and its interpretations are not binding interpretations of the concurrent federal law.</text> </paragraph> <paragraph num="C."> <text>The Department has no authority to waive requirements imposed by federal law, and only where this Code is more restrictive than federal law can the Department exercise its waiver or exemption authority.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Accessible” means a site, building, facility, or portion of them that complies with these regulations and that can be approached, entered, and used by individuals with disabilities.</text> </paragraph> <paragraph num="(2)"> <text>“ADA” means the Americans with Disabilities Act of 1990, Public Law 101-336, 42 U.S.C. §12101 et seq.</text> </paragraph> <paragraph num="(3)"> <text>"2010 ADA Standards" means the Americans with Disabilities Act Accessibility Guidelines for Buildings and Facilities (ADAAG) developed by the United States Architectural and Transportation Barriers Compliance Board, and adopted by the United States Department of Justice in the 2010 Standards, including both the Title III regulations at 28 CFR Part 36, Subpart D, and the 2004 ADAAG at 36 CFR Part 1191, Appendices B and D.</text> </paragraph> <paragraph num="(4)"> <text>“Addition” means an expansion, extension, or increase in the gross floor area of a building or facility.</text> </paragraph> <paragraph num="(5)"> <text>Alteration.</text> <paragraph num="(a)"> <text>“Alteration” means a change to a building or facility made by, on behalf of, or for the use of a building or facility, that affects or could affect the usability of the building or facility or part of it.</text> </paragraph> <paragraph num="(b)"> <text>“Alteration” includes, but is not limited to, remodeling, renovation, rehabilitation, reconstruction, historic restoration, changes or rearrangement of the structural parts or elements, and changes in the plan configuration of walls and full-height partitions.</text> </paragraph> <paragraph num="(c)"> <text>“Alteration” does not include normal maintenance, reroofing, painting or wallpapering, or changes to mechanical and electrical systems unless they affect the usability of the building or facility.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“ANSI A117.1-1986” means the 1986 Edition of American National Standard for Buildings and Facilities Providing Accessibility and Usability for Physically Handicapped People, which is incorporated by reference.</text> </paragraph> <paragraph num="(7)"> <text>“Building” means any structure used and intended for supporting or sheltering any use or occupancy.</text> </paragraph> <paragraph num="(8)"> <text>“Change of use” means an alteration in an existing building to a new use group which imposes special provisions of law governing building construction, equipment, or means of egress.</text> </paragraph> <paragraph num="(9)"> <text>“Covered multifamily dwelling” means:</text> <paragraph num="(a)"> <text>Buildings consisting of four or more dwelling units if the buildings have one or more elevators; and</text> </paragraph> <paragraph num="(b)"> <text>Ground floor dwelling units in buildings consisting of four or more dwelling units if there are no elevators in the building, although dwelling units within a single structure separated by fire walls do not constitute separate buildings.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Designated disability advisory group” means an individual, group of individuals, agency, or organization designated in writing by a local government or, in the absence of a written designation of a local government, by the Secretary, to advise the Department with respect to standards substantially equivalent to the 2010 ADA Standards under Regulation .08 of this chapter and waiver requests under Regulation .09 of this chapter.</text> </paragraph> <paragraph num="(11)"> <text>Dwelling Unit.</text> <paragraph num="(a)"> <text>“Dwelling unit” means a single unit of residence for a household of one or more individuals.</text> </paragraph> <paragraph num="(b)"> <text>“Dwelling unit” includes:</text> <paragraph num="(i)"> <text>Condominiums;</text> </paragraph> <paragraph num="(ii)"> <text>An apartment unit within an apartment building; and</text> </paragraph> <paragraph num="(iii)"> <text>Other types of units in which sleeping accommodations are provided but toilet or cooking facilities are shared by occupants of more than one room or portion of the dwelling unit, with examples of this including dormitory rooms and sleeping accommodations in shelters intended for occupancy as a residence for homeless individuals.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Existing building” means a structure erected before the adoption of this Code, or one for which a legal building permit has been issued.</text> </paragraph> <paragraph num="(13)"> <text>“Facilities” means all or any portion of buildings, structures, site improvements, roads, walks, passageways, parking lots, or other real property, located on a site.</text> </paragraph> <paragraph num="(14)"> <text>“FHAA” means the Federal Fair Housing Amendments Act of 1988, 42 U.S.C. §3604 et seq.</text> </paragraph> <paragraph num="(15)"> <text>“FHAG” means Fair Housing Accessibility Guidelines, adopted by the United States Department of Housing and Urban Development in 24 CFR Ch. 1, Part IV, to provide technical guidance on how to comply with the Federal Fair Housing Amendments Act (FHAA).</text> </paragraph> <paragraph num="(16)"> <text>“Historic properties” means a qualified historic building or facility that is:</text> <paragraph num="(a)"> <text>Listed or eligible for listing in the National Register of Historic Places; or</text> </paragraph> <paragraph num="(b)"> <text>Designated as historic under State or local law.</text> </paragraph> </paragraph> <paragraph num="(17)"> <text>“Mezzanine or mezzanine floor” means that portion of a story which is an intermediate floor level placed within the story and having occupiable space above and below its floor. For the purpose of these regulations, mezzanine or mezzanine floor is considered as a story.</text> </paragraph> <paragraph num="(18)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> <paragraph num="(19)"> <text>“Site” means a parcel of land bounded by a property line or a designated portion of a public right-of-way.</text> </paragraph> <paragraph num="(20)"> <text>“Story” means that portion of a building between the upper surface of a floor and the upper surface of the floor next above, or the roof above.</text> </paragraph> <paragraph num="(21)"> <text>“Structure” means that which is built or constructed.</text> </paragraph> <paragraph num="(22)"> <text>“UFAS” means Uniform Federal Accessibility Standards developed in accordance with the Architectural Barriers Act of 1968, as amended, Public Law No. 90-40, 42 U.S.C. §§4151—4157, and adopted by the Department of Housing and Urban Development in 24 CFR 40.</text> </paragraph> <paragraph num="(23)"> <text>“Use group” means the classification of a building based on the purpose for which the building is used as listed in the building code of the jurisdiction.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Implementation."> <paragraph num="A."> <text>Application.</text> <paragraph num="(1)"> <text>Except as set forth in §A(2) of this regulation, application and enforcement of this Code is the responsibility of the local subdivision or other governmental agency having primary jurisdiction over a building, structure, facility, or site.</text> </paragraph> <paragraph num="(2)"> <text>The application and enforcement of this Code as it pertains to State and local government buildings and facilities including public transit facilities shall be delegated as the responsibility of the governmental agency having jurisdiction over the building or facility.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Interpretation. The Maryland Department of Labor shall decide all questions relating to interpretation of this Code and shall determine whether any requests for waivers or exemptions from this Code may be approved.</text> </paragraph> <paragraph num="C."> <text>Actions to Enforce.</text> <paragraph num="(1)"> <text>Except as provided in §C(3) of this regulation, the Secretary may institute in any court of competent jurisdiction an action for equitable relief, if the Secretary determines that a violation of this Code exists.</text> </paragraph> <paragraph num="(2)"> <text>The Secretary may not institute an action under §C(1) of this regulation until 5 working days after the Secretary has sought to seek a resolution of the violation through informal mediation and conciliation.</text> </paragraph> <paragraph num="(3)"> <text>Enforcement of this Code as it pertains to a covered multifamily dwelling as defined in Regulation .05B of this chapter is also under the jurisdiction of the Human Relations Commission under Article 49B, §22, Annotated Code of Maryland. The Department is required to cooperate with and provide technical assistance to the Human Relations Commission.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Applicable Standards."> <paragraph num="A."> <text>Dwelling Units.</text> <paragraph num="(1)"> <text>This section is not applicable to the dwelling units used on a transient basis and covered under §§B and C of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>New Construction — Covered Multifamily Dwellings. The design and construction of a newly constructed covered multifamily dwelling shall be in accordance with FHAG and subsequent federal standards issued in reference to FHAA.</text> </paragraph> <paragraph num="(3)"> <text>Additions, Alterations, or Change of Use of Existing Buildings of Four or More Dwelling Units. The alteration, change of use, or addition to an existing residential building of four or more units shall comply with this Code as follows:</text> <paragraph num="(a)"> <text>Dwelling units shall comply with this Code by either:</text> <paragraph num="(i)"> <text>Containing at least one dwelling unit for every 25 dwelling units, or fraction of dwelling units, in the structure that is accessible and usable according to the requirements pertaining to dwelling units in ANSI A117.1-1986, with the complying dwelling units proportionately distributed throughout all types of units, or</text> </paragraph> <paragraph num="(ii)"> <text>Having dwelling units at the accessible level comply with the standards under §A(2) of this regulation;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>If the addition or alteration involves common area facilities and parking, it shall be accessible in accordance with the standards under §A(2) of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>New Construction, Alterations, Additions, and Changes of Use of State and Local Government Buildings and Facilities.</text> <paragraph num="(1)"> <text>All State and local government-owned buildings and facilities, including public transit facilities, shall comply with the standards prescribed in Title II of ADA and 28 CFR 35.151, and the 2004 ADAAG at 36 CFR Part 1191, Appendices B and D.</text> </paragraph> <paragraph num="(2)"> <text>The federal regulations require that all State and local government-owned buildings comply with either:</text> <paragraph num="(a)"> <text>UFAS; or</text> </paragraph> <paragraph num="(b)"> <text>The 2010 ADA Standards, except that the elevator exemption set forth at §206.2.3 of the 2010 ADA Standards does not apply.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Additional Maryland accessibility requirements for State and local government buildings are as follows:</text> <paragraph num="(a)"> <text>One in every four accessible parking spaces, but not less than one, shall be:</text> <paragraph num="(i)"> <text>Served by an access aisle at least 96 inches wide; and</text> </paragraph> <paragraph num="(ii)"> <text>Designated “Van Accessible” as specified in §D(4) of this regulation; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Accessibility for toilet stalls shall be assured as follows:</text> <paragraph num="(i)"> <text>The size of a wheelchair-accessible toilet stall shall be a minimum of 60 inches wide and 56 inches deep for wallhung water closets, and 59 inches deep for floor-mounted water closets;</text> </paragraph> <paragraph num="(ii)"> <text>In instances of alteration work when provision of this minimum stall size is structurally impracticable or when plumbing code requirements prevent combining existing stalls to provide space, the minimum dimensions of the wheelchair accessible stall are 48 inches wide and 66 inches deep for wall-hung water closets and 69 inches deep for floor-mounted water closets.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>New Construction, Alterations, Additions, and Changes of Use of All Other Buildings and Facilities. The new construction of, alteration of, addition to, or change of use of buildings and facilities, including buildings and facilities owned or used by private entities such as private clubs and religious organizations, shall comply with:</text> <paragraph num="(1)"> <text>The 2010 ADA Standards and all federal accessibility regulations promulgated to carry out Title III of the ADA and set forth in 28 CFR Part 36, Subpart D, and the 2004 ADAAG at 36 CFR Part 1191, Appendices B and D; and</text> </paragraph> <paragraph num="(2)"> <text>The following additional Maryland requirements:</text> <paragraph num="(a)"> <text>For new construction, accessibility shall be assured for the second story of a two-story nonresidential building if the gross floor area of the second story exceeds 4,000 square feet;</text> </paragraph> <paragraph num="(b)"> <text>For alterations to an existing nonresidential building with a second story that has a gross floor area between 4,000 square feet and 8,000 square feet, existing accessibility to the second story shall be maintained;</text> </paragraph> <paragraph num="(c)"> <text>For alterations to an existing nonresidential building with a second story that has a gross floor area that exceeds 8,000 square feet, accessibility to the second story shall be assured;</text> </paragraph> <paragraph num="(d)"> <text>One in every four accessible parking spaces, but not less than one, shall be served by an access isle 96 inches minimum width and the accessible parking space shall be designated “van accessible” as specified in §D(4) of this regulation; and</text> </paragraph> <paragraph num="(e)"> <text>Accessibility for toilet stalls shall be assured as follows:</text> <paragraph num="(i)"> <text>The size of a wheelchair-accessible toilet stall shall be a minimum of 60 inches wide and 56 inches deep for wall-hung water closets, and 59 inches deep for floor-mounted water closets,</text> </paragraph> <paragraph num="(ii)"> <text>In instances of alteration work when provision of this minimum stall is structurally impracticable or when plumbing code requirements prevent combining existing stalls to provide space, the minimum dimensions of the wheelchair accessible stall shall be 48 inches wide and 66 inches deep for wall-hung water closets, and 69 inches deep for floor-mounted water closets.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Parking Space Signs — Public and Private Facilities.</text> <paragraph num="(1)"> <text>The parking areas of all buildings and facilities, including the buildings and facilities of State and local governments, shall identify each accessible parking space by a sign.</text> </paragraph> <paragraph num="(2)"> <text>If the sign in §D(1) of this regulation is:</text> <paragraph num="(a)"> <text>Not placed flush against a building, structure, or other location that does not obstruct vehicle or pedestrian traffic, it shall be at least 7 feet above the ground;</text> </paragraph> <paragraph num="(b)"> <text>Placed flush against a building structure or other location that does not obstruct vehicle or pedestrian traffic, it shall be at least 6 feet, and not more than 10 feet, above the ground.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Signs shall bear the international symbol of access and the words “Reserved Parking”, and shall be in conformance with the requirements for uniform traffic control devices under Transportation Article, §25-104, Annotated Code of Maryland. (See Regulation .12 of this chapter for explanatory material.)</text> </paragraph> <paragraph num="(4)"> <text>Each van-accessible parking space shall be identified with a supplemental “Van Accessible” sign in conformance with the requirements for uniform traffic control devices under Transportation Article, §25-104, Annotated Code of Maryland (See Regulation .12 of this chapter for explanatory material.)</text> </paragraph> <paragraph num="(5)"> <text>Each van-accessible parking space aisle shall be identified with a supplemental “No Parking” sign in conformance with the requirements for uniform traffic control devices under Transportation Article, §25-104, Annotated Code of Maryland (See Regulation .12 of this chapter for explanatory material.)</text> </paragraph> <paragraph num="(6)"> <text>A new sign posted after October 1, 2002, that designates a parking space or zone for the use of individuals with disabilities shall be identified with a supplemental “Maximum Fine” sign in conformance with the requirements for uniform traffic control devices under Transportation Article, §25-104, Annotated Code of Maryland. (See Regulation .12 of this chapter for explanatory material.)</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Standards Substantially Equivalent to 2010 ADA Standards."> <paragraph num="A."> <text>Applicability.</text> <paragraph num="(1)"> <text>Standards substantially equivalent to the 2010 ADA Standards may be used only when a building or facility elects to or is required by these regulations to comply with the 2010 ADA Standards.</text> </paragraph> <paragraph num="(2)"> <text>This regulation does not apply to the additional Maryland requirements set forth in Regulation .07A(3), B(3), and C(2) of this chapter. A request for a waiver of the additional Maryland requirements shall be submitted in accordance with the provisions of Regulation .09 of this chapter.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Substantially Equivalent Standards for State and Local Government Buildings and Facilities. A State-owned or government-owned building or facility which has elected to comply with the 2010 ADA Standards instead of the UFAS may depart from particular technical and scoping requirements of the 2010 ADA Standards by using alternative designs or technologies that are substantially equivalent to the 2010 ADA Standards, or that provide greater access to and usability of the building or facility.</text> </paragraph> <paragraph num="C."> <text>Substantially Equivalent Standards for Other Buildings and Facilities. Other buildings and facilities that are required to comply with the 2010 ADA Standards may depart from particular technical and scoping requirements of the 2010 ADA Standards by using alternative designs and technologies that are substantially equivalent to the 2010 ADA Standards, or that provide greater access to and usability of the building or facility.</text> </paragraph> <paragraph num="D."> <text>Determination of Substantial Equivalency.</text> <paragraph num="(1)"> <text>Proposed alternative designs or technologies shall be submitted to the Department before beginning construction, alteration, addition, or change of use of the building or facility by the owner or other person identified as the responsible person in the submission to the Department.</text> </paragraph> <paragraph num="(2)"> <text>The Department shall issue a written determination to the responsible party identified in the submission as to whether the Department considers that the alternative design or technology is substantially equivalent to the 2010 ADA Standards, or provides greater access to or usability of the building or facility than the applicable 2010 ADA Standards.</text> </paragraph> <paragraph num="(3)"> <text>Construction, alteration, addition, or change of use of the building or facility may not begin until the responsible person has received a favorable determination from the Department.</text> </paragraph> <paragraph num="(4)"> <text>A determination by the Department of substantially equivalent or greater access relates only to the requirements imposed under these regulations. The determination by the Department does not apply as to whether the building or facility complies with ADA.</text> </paragraph> <paragraph num="(5)"> <text>The Department may consult with public building officials, the designated disability advisory group, or the State historic preservation officer or the designee of the State historic preservation officer, in a determination of substantial equivalency.</text> </paragraph> <paragraph num="(6)"> <text>A request for a determination under this regulation does not constitute a contested case proceeding under the Maryland Administrative Procedure Act and is not subject to the provisions of COMAR 09.01.02.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Waiver Request."> <paragraph num="A."> <text>Standards Covered.</text> <paragraph num="(1)"> <text>If strict compliance with the additional Maryland requirements set forth in Regulation .07A(3), B(3), and C(2) of this chapter will cause undue hardship because of the nature of use, occupancy, or other factors, a waiver from these requirements may be requested.</text> </paragraph> <paragraph num="(2)"> <text>The Department has no authority to waive requirements imposed by federal law and shall only exercise its waiver authority when this Code is more restrictive than federal law in connection with the additional Maryland requirements set forth in Regulation .07A(3), B(3), and C(2) of this chapter.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Procedures.</text> <paragraph num="(1)"> <text>A written waiver request form and supporting documents shall be submitted in triplicate to the Director, Building Codes Administration, Maryland Department of Labor.</text> </paragraph> <paragraph num="(2)"> <text>The Building Codes Administration shall review the documents submitted for completeness, and shall contact the applicant promptly for any additional information needed to process the request.</text> </paragraph> <paragraph num="(3)"> <text>Upon receipt of all required documents, the Building Codes Administration shall send one copy of the waiver request documents to the local government officials and one copy to the designated disability advisory group.</text> </paragraph> <paragraph num="(4)"> <text>The local government officials and the designated disability advisory group may provide their written comments jointly or separately to the Building Codes Administration within 21 days of dated transmittal from the Building Codes Administration.</text> </paragraph> <paragraph num="(5)"> <text>The Building Codes Administration shall review the waiver documents and any comments received from the local building officials and the agency or organization advocating for individuals with disabilities. For historic properties, the Building Codes Administration shall make its decisions in consultation with the State historic preservation officer or the officer’s designee.</text> </paragraph> <paragraph num="(6)"> <text>The investigation may include a site visit by a State official, local government official, designated disability advisory group, and, for historic properties, the State historic preservation officer or the officer's designee.</text> </paragraph> <paragraph num="(7)"> <text>Upon completion of the investigation, the Director of the Building Codes Administration, or the Director’s designee, shall determine if a waiver should be granted or denied based upon factors such as, but not limited to:</text> <paragraph num="(a)"> <text>Feasibility hardship due to unusual building or site conditions which prevent the construction of access facilities as described in supporting documentation, such as plans, sketches, and site drawings provided for clarification by the applicant;</text> </paragraph> <paragraph num="(b)"> <text>Financial hardship when the cost of compliance is disproportionate to the cost of construction, if the applicant has provided financial statements; or</text> </paragraph> <paragraph num="(c)"> <text>The information supplied by the designated disability advisory group, State and local government officials, and, for historic properties, the State historic preservation officer or the officer's designee.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>Notice of the waiver determination shall be delivered to:</text> <paragraph num="(a)"> <text>The local government official;</text> </paragraph> <paragraph num="(b)"> <text>The designated disability advisory group;</text> </paragraph> <paragraph num="(c)"> <text>The waiver applicant; and</text> </paragraph> <paragraph num="(d)"> <text>For historic properties, the State historic preservation officer or the officer's designee.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>The applicant may request reconsideration of the decision of the Building Codes Administration within 45 days by writing to the Commissioner of the Division of Labor and Industry for a final administrative decision. The reconsideration review may include additional site visits and meetings with the applicants, the designated disability advisory group, and local building officials. The decision by the Commissioner of the Division of Labor and Industry is final and binding upon the parties.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A waiver request and decision on it under §B(7) or (9) of this regulation does not constitute a contested case proceeding under the Maryland Administrative Procedure Act and is not subject to the provisions of COMAR 09.01.02.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Private Action."> <text>This Code is not intended to grant or imply a private cause of action to an individual against the State, the Department, its employees, agents, or assignees for violations of this Code.</text> </regulation> <regulation prefix="Regulation" num=".11" heading="Copies of Standards and Code."> <text>Copies of these documents are filed in special public depositories located throughout the State. A list of these depositories is available online at www.dsd.state.md.us.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Explanatory Material."> <text>For purposes of Regulation .07D of this chapter, the following signs may be used:</text> <paragraph num="A."> <text>Parking Space Signs.</text> </paragraph> <paragraph num="B."> <text>Van Accessible Parking Space Sign.</text> </paragraph> <paragraph num="C."> <text>Access Aisle Sign.</text> </paragraph> <paragraph num="D."> <text>Reserved Parking Maximum Fine $XXX Sign.</text> </paragraph> <paragraph num="E."> <text>Maximum Fine $XXX Sign.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §12-202(b), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 16, 1975 (2:8 Md. R. 563)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.11 amended effective March 3, 1976 (3:5 Md. R. 295)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 5, 1980 (7:18 Md. R. 1736)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective January 1, 1985 (11:26 Md. R. 2277)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.01.07 to COMAR 05.02.02</annotation> <annotation type="History" subtype="Administrative History">Appendix A recodified as Regulation .07</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.07, Maryland Building Code for the Handicapped, repealed and new Regulations .01—.12, Maryland Accessibility Code, adopted effective February 1, 1995 (21:24 Md. R. 1986)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B amended effective January 1, 2012 (38:24 Md. R. 1499)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07B amended effective June 19, 2006 (33:12 Md. R. 996)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07B, C amended effective January 1, 2012 (38:24 Md. R. 1499)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07C amended effective March 18, 2002 (29:5 Md. R. 500)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07D amended effective March 18, 2002 (29:5 Md. R. 500); June 19, 2006 (33:12 Md. R. 996)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective January 1, 2012 (38:24 Md. R. 1499)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective September 6, 1999 (26:18 Md. R. 1373)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12C adopted effective March 18, 2002 (29:5 Md. R. 500)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12.D, E adopted effective June 19, 2006 (33:12 Md. R. 996)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.02.02 to COMAR 09.12.53 effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08D amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B, C amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> </annotations> </chapter> <chapter num="54" heading="Minimum Livability Code"> <regulation prefix="Regulation" num=".01" heading="General."> <paragraph num="A."> <text>Title. This chapter shall be known as the Minimum Livability Code or “the Code”.</text> </paragraph> <paragraph num="B."> <text>Scope. The Code is created to protect the public health, safety, and welfare in residential structures and premises by:</text> <paragraph num="(1)"> <text>Establishing minimum property maintenance standards for basic equipment and facilities used for light, ventilation, heating, and sanitation for residential structures and premises, and for safe and sanitary maintenance of residential structures and premises;</text> </paragraph> <paragraph num="(2)"> <text>Establishing minimum requirements for residential structures and premises for means of egress, fire protection systems, and other equipment and devices necessary for safety from fire;</text> </paragraph> <paragraph num="(3)"> <text>Fixing the responsibilities of property owners, operators, and tenants of residential structures and premises; and</text> </paragraph> <paragraph num="(4)"> <text>Providing for administration, enforcement, and penalties.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Intent. The Code shall be construed liberally and justly to protect public health, safety, and welfare insofar as they are affected by the continued use and maintenance of residential structures and premises.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Act” means Public Safety Article, §12-203, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Code” means the Minimum Livability Code Regulations.</text> </paragraph> <paragraph num="(3)"> <text>“Code official” means the official or any duly authorized agent or designee of the local political subdivision in which the housing is located who is authorized to enforce the Code.</text> </paragraph> <paragraph num="(4)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(5)"> <text>“IPMC” means the most recent version of the International Property Maintenance Code adopted by the Department and incorporated by reference in Regulation .03 of this chapter.</text> </paragraph> <paragraph num="(6)"> <text>“Person” includes an individual, partnership, limited partnership, trust, estate, association, or corporation or any other group acting as a unit.</text> </paragraph> <paragraph num="(7)"> <text>“Property owner” means a person having a legal or equitable interest in the premises, including the guardian of the estate of the person, or the executor or administrator of the estate of the person if ordered to take possession of the premises by a court.</text> </paragraph> <paragraph num="(8)"> <text>“Structure” means a residential structure used for human habitation.</text> </paragraph> <paragraph num="(9)"> <text>“Tenant” means an occupant other than a property owner.</text> </paragraph> <paragraph num="(10)"> <text>“Unit” means a single unit of a structure providing or intended to provide complete living and sleeping facilities for one or more persons.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Incorporation by Reference."> <paragraph num="A."> <text>The 2012 International Property Maintenance Code (International Code Council, 500 New Jersey Avenue, NW 6th Floor, Washington, DC 20001), as modified in this chapter, is incorporated by reference.</text> </paragraph> <paragraph num="B."> <text>Modifications to the IPMC.</text> <paragraph num="(1)"> <text>Chapter 1. Add the note to Chapter 1: Each local political subdivision is responsible for the implementation and enforcement of the Minimum Livability Code. Refer to each local political subdivision for local amendments to Chapter 1 of the IPMC.</text> </paragraph> <paragraph num="(2)"> <text>The following definitions in section 202 of the IPMC are deleted and replaced with the pertinent definitions in .02(B) of this chapter:</text> <paragraph num="(a)"> <text>Code official;</text> </paragraph> <paragraph num="(b)"> <text>Person; and</text> </paragraph> <paragraph num="(c)"> <text>Tenant.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Appendix A of the IPMC is adopted as part of the Code.</text> </paragraph> </paragraph> <paragraph num="C."> <text>This chapter and the IPMC, as modified in §B of this regulation, shall constitute the Minimum Livability Code.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Application."> <paragraph num="A."> <text>The Minimum Livability Code shall apply to residential structures used for human habitation except:</text> <paragraph num="(1)"> <text>Owner-occupied single family housing units;</text> </paragraph> <paragraph num="(2)"> <text>Housing located in a political subdivision that has adopted a local housing code containing provisions that substantially conform to the provisions of the Code; or</text> </paragraph> <paragraph num="(3)"> <text>Housing exempted by the Department.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In addition to any fire safety requirements contained in the IPMC, the State fire safety laws, Public Safety Article, Title 9, Annotated Code of Maryland, and the State Fire Prevention Code, COMAR 29.06.01, contain additional fire safety requirements. The State Fire Prevention Code is enforced by the State Fire Marshal or authorized fire official.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Code Enforcement."> <paragraph num="A."> <text>Local Enforcement. It shall be the duty and responsibility of the local political subdivision in which the housing is located to enforce the provisions of the Code.</text> </paragraph> <paragraph num="B."> <text>Local Waiver.</text> <paragraph num="(1)"> <text>A local political subdivision may waive applicability of the Code, in whole or part, to a unit of rental housing on application of the property owner if:</text> <paragraph num="(a)"> <text>Adequate notice in a form and manner specified by the subdivision is afforded a tenant of the unit;</text> </paragraph> <paragraph num="(b)"> <text>The tenant is afforded an opportunity to comment on the application either in writing or in person; and</text> </paragraph> <paragraph num="(c)"> <text>The waiver would not threaten the health or safety of a tenant.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A local political subdivision may waive applicability of the Code if the waiver is granted on the basis of the religious practices of the occupant of the unit of rental housing.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Departmental Authority. The Department shall decide questions of interpretation of the Code, including questions relating to uniform enforcement by political subdivisions, and may authorize any waiver or exemption requested by a local political subdivision.</text> </paragraph> <paragraph num="D."> <text>Departmental Waiver. Upon the written request of a local political subdivision, the Department may waive or vary particular provisions of the Code to the extent that the waiver is not inconsistent with the Act if:</text> <paragraph num="(1)"> <text>Geographic differences or unique local conditions justify the waiver;</text> </paragraph> <paragraph num="(2)"> <text>The waiver would not threaten the health or safety of any tenant; and</text> </paragraph> <paragraph num="(3)"> <text>The application of the particular provision to the local political subdivision would be inequitable or contrary to the purposes of the Act.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Displacement. A person may not be displaced by enforcement of the Minimum Livability Code unless alternate housing of comparable affordability is available within a reasonable distance of the vacated premises.</text> </paragraph> <paragraph num="F."> <text>Enforcement and waiver application are not intended to supersede any State laws pursuant to the Annotated Code of Maryland as follows:</text> <paragraph num="(1)"> <text>State fire laws, Public Safety Article, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>State elevator laws, Public Safety Article, Title 12, Subtitle 8, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(3)"> <text>State boiler laws, Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Violations."> <paragraph num="A."> <text>Penalty. A property owner who willfully violates any provision of the Code is guilty of a misdemeanor and on conviction for each violation is subject to a fine not exceeding $500 for each day that the violation exists or imprisonment not exceeding 3 months, or both.</text> </paragraph> <paragraph num="B."> <text>Other Penalties. A penalty ordered under the Code is in addition to and is not a substitute for any other penalty authorized under a federal, State, or local law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Right to Appeal."> <text>A person affected by a decision of the code official which has been made in connection with the enforcement of any provision of the Code, or of a regulation adopted pursuant to the Code, may request and may be granted a hearing in a manner prescribed by the local political subdivision.</text> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §12-203(c), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 6, 1987 (14:7 Md. R. 829)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.01.31 to COMAR 05.02.03</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective January 14, 2010 (37:1 Md. R. 14)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.12 repealed and new Regulations .01—.07 adopted effective September 17, 2012 (39:18 Md. R. 1196)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.02.03 to COMAR 09.12.54 effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> </annotations> </chapter> <chapter num="55" heading="Safety Glazing"> <regulation prefix="Regulation" num=".01" heading="Purpose and Authority."> <paragraph num="A."> <text>These regulations are adopted pursuant to Public Safety Article, Title 12, Subtitle 4, Annotated Code of Maryland. This law provides for determinations by the Secretary of Labor as to three subjects: Further requirements for standards of safety glazing material; additional glazed elements to be designated “hazardous locations”; and exceptions of certain panels from the definition of “hazardous locations”.</text> </paragraph> <paragraph num="B."> <text>These regulations are to be read in conjunction with the Safety Glazing Law, Public Safety Article, Title 12, Subtitle 4, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Reference Standards and Specific Hazardous Locations."> <paragraph num="A."> <text>The reference standards and specific hazardous locations applicable to safety glazing shall be those identified in COMAR 09.12.50 Maryland Model Performance Code.</text> </paragraph> <paragraph num="B."> <text>In addition to the specific hazardous locations indicated in the Maryland Model Performance Code, hazardous locations shall include the first fixed glazed panel on either or both sides of the door, or doors, which have a glazing less than 18 inches from the finished floor or whose least dimension is 18 inches or more, which may be mistaken as a means of egress or ingress.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-403 and 12-404, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1974 (1:1 Md. R. 22)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02—.05 repealed and new Regulation .02 adopted effective September 1, 1986 (13:12 Md. R. 1373)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.01.06 to COMAR 05.02.06</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.02.06 to COMAR 09.12.55 effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective March 25, 2019 (46:6 Md. R. 345)</annotation> </annotations> </chapter> <chapter num="56" heading="Maryland Swimming Pool and Spa Standards"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of this chapter is to adopt the International Swimming Pool and Spa Code (ISPSC).</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Scope."> <paragraph num="A."> <text>Except as provided in §B of this regulation, the Standards shall apply to all swimming pools and spas for which an application for a building permit is received by a local jurisdiction on or after December 31, 2023.</text> </paragraph> <paragraph num="B."> <text>The Standards adopted under this chapter do not apply to a swimming pool or spa built and in operation before December 31, 2023, unless there is an alteration or repair that results in a substantial and material structural change to the swimming pool or spa that occurs on or after December 31, 2023.</text> </paragraph> <paragraph num="C."> <text>If there is an alteration or repair to a swimming pool or spa built and in operation before December 31, 2023, that results in a substantial or material structural change, the alteration or repair shall conform to the Standards.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Incorporation by Reference."> <text>The 2024 International Swimming Pool and Spa Code (ISPSC), International Code Council, is incorporated by reference.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Definitions."> <text>“Substantial and material structural change” means an alteration or repair that:</text> <paragraph num="A."> <text>Increases the volume of the swimming pool or spa by 15 percent or more; or</text> </paragraph> <paragraph num="B."> <text>Decreases the flow capacity of the swimming pool or spa by 15 percent or more.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Amendments."> <paragraph num="A."> <text>In Section 305.1, replace the word “not” with “also” to read “The provisions of this section shall apply to the design of barriers for restricting entry into areas having pools and spas. Where spas or hot tubs are equipped with a lockable safety cover complying with ASTM F1346 and swimming pools are equipped with a powered safety cover that complies with ASTM F1346, the areas where those spas, hot tubs or pools are located shall also be required to comply with Sections 305.2 through 305.7”.</text> </paragraph> <paragraph num="B."> <text>Rename Section 305.2 to “Swimming pools and spas” and replace the text with the following:</text> <paragraph num="(1)"> <text>A public swimming pool or spa shall be surrounded by a barrier that complies with Sections 305.2.1 through 305.7, except that the top of the barrier where measured on the side of the barrier that faces away from the swimming pool or spa shall be not less than:</text> <paragraph num="(a)"> <text>72 inches (1828mm) above grade for a Class A, B, C that is considered an apartment complex, housing subdivision, or mobile home park with more than ten units, or D swimming pool or spa;</text> </paragraph> <paragraph num="(b)"> <text>60 inches (1524mm) above grade for a Class C that is considered a hotel, motel, or condominium or E swimming pool or spa; and</text> </paragraph> <paragraph num="(c)"> <text>36 inches (914.4mm) above grade for a wading pool.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Non-public swimming pools shall be surrounded by a barrier that complies with Sections 305.2.1 through 305.7.</text> </paragraph> <paragraph num="(3)"> <text>Except as provided in §B(4) of this regulation, Sections 305.2.4 - 305.2.5.1 shall only apply to non-public pools.</text> </paragraph> <paragraph num="(4)"> <text>Exception: For non-public spas or hot tubs equipped with a lockable safety cover complying with ASTM F1346, the areas where those spas or hot tubs are located shall not be required to comply with Sections 305.2.1 through 305.7.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In Section 307.1.5, where “International Building Code” appears, substitute “COMAR 09.12.53 Maryland Accessibility Code” and, where “ICC A117.1” appears, substitute “COMAR 09.12.53 Maryland Accessibility Code”.</text> </paragraph> <paragraph num="D."> <text>Replace Section 314.7 with the following:</text> <paragraph num="(a)"> <text>An emergency shutoff switch shall be provided to disconnect power to the recirculation systems.</text> </paragraph> <paragraph num="(b)"> <text>An emergency shutoff switch shall be provided to disconnect power to feature pump systems, jet system pumps, and air blowers. These shutoff switches shall be: provided with access; located within sight of the pool or spa; and located not less than 5 feet (1524 mm) horizontally from the inside walls of the pool or spa.</text> </paragraph> <paragraph num="(c)"> <text>Paragraphs (a) and (b) of this Section do not apply to onground storable pools, permanent inground residential swimming pools, residential spas and residential water features.”</text> </paragraph> </paragraph> <paragraph num="E."> <text>In Section 325.7.1, where “International Fire Code” appears, substitute “COMAR 29.06.01 Maryland State Fire Prevention Code.”</text> </paragraph> <paragraph num="F."> <text>Replace Section 410.1 “Toilet facilities” with the following:</text> </paragraph> <paragraph num="G."> <text>Add to Section 609.2.1 “Exception: This requirement shall not apply to Class C semipublic pools (if all units are within 500 feet).”</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-1203 and 12-1207(a)(2), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 22, 2024 (51:1 Md. R. 16)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 30, 2026 (53:6 Md. R. 287)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective March 30, 2026 (53:6 Md. R. 287)</annotation> </annotations> </chapter> <chapter num="57" heading="International Green Construction Code"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of this chapter is to adopt the International Green Construction Code (IgCC).</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Incorporation by Reference."> <text>The 2024 International Green Construction Code (IgCC), International Code Council, is incorporated by reference.</text> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §12-503(d), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 29, 2023 (50:10 Md. R. 407)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective May 25, 2026 (53:10 Md. R. 454)</annotation> </annotations> </chapter> <chapter num="58" heading="Maryland Building Rehabilitation Code Regulations"> <regulation prefix="Regulation" num=".01" heading="Title."> <text>This chapter shall be known and cited as the Maryland Building Rehabilitation Code Regulations.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Purpose and Applicability."> <paragraph num="A."> <text>The purpose of this chapter is to adopt the International Existing Building Code (IEBC), as described in this chapter, to encourage the continued use or reuse of legally existing buildings and structures.</text> </paragraph> <paragraph num="B."> <text>This chapter applies to all rehabilitation projects for which a construction permit application is received after the effective date of this chapter by:</text> <paragraph num="(1)"> <text>A local jurisdiction;</text> </paragraph> <paragraph num="(2)"> <text>The Maryland-National Capital Park and Planning Commission; or</text> </paragraph> <paragraph num="(3)"> <text>The Washington Suburban Sanitary Commission.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Incorporation by Reference."> <paragraph num="A."> <text>The 2021 International Existing Building Code (International Code Council), as described in this chapter, is incorporated by reference.</text> </paragraph> <paragraph num="B."> <text>The International Existing Building Code, as incorporated by reference under §A of this regulation and described in this chapter, shall constitute the Maryland Building Rehabilitation Code.</text> </paragraph> <paragraph num="C."> <text>Modifications to the International Existing Building Code.</text> <paragraph num="(1)"> <text>Chapter 1. Add note to Chapter 1 of the IEBC: Local jurisdictions are responsible for the implementation and enforcement of the Maryland Building Rehabilitation Code. Refer to each local jurisdiction for local amendments to Chapter 1 of the IEBC.</text> </paragraph> <paragraph num="(2)"> <text>Chapter 1. Delete Section 101.6 Appendices and replace with the following: 101.6 Appendices. The Appendices A and C and Resource A are adopted as part of this code.</text> </paragraph> <paragraph num="(3)"> <text>Chapter 2. Delete the definition of Addition in Section 202 and replace with the following: Addition has the meaning stated in Public Safety Article, §12-1001(b), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>Chapter 2. Delete the definition of Change of Occupancy in Section 202 and replace with the following: Change of Occupancy has the meaning stated in Public Safety Article, §12-1001(c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>Chapter 2. Delete the definition of Existing Building in Section 202 and replace with the following: Existing Building has the meaning stated in Public Safety Article, §12-1001(f), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>Chapter 3. Delete Section 306 and replace with the following: COMAR 09.12.53 shall be referenced for minimum requirements in providing accessibility and usability of buildings and facilities by individuals with disabilities.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Advisory Council” means the Maryland Building Rehabilitation Code Advisory Council established by Public Safety Article, §12-1003, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Complex rehabilitation project involving multiple codes” means a rehabilitation project or portion of a project that involves two or more construction codes listed in Regulation .06B of this chapter and is in:</text> <paragraph num="(a)"> <text>One of the following categories of work:</text> <paragraph num="(i)"> <text>Addition;</text> </paragraph> <paragraph num="(ii)"> <text>Change of occupancy; or</text> </paragraph> <paragraph num="(iii)"> <text>Reconstruction; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Any category of work and involves the installation of sprinklers.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Construction permit application” means an application made to a local jurisdiction for a permit or other governmental approval for a rehabilitation project.</text> </paragraph> <paragraph num="(4)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(5)"> <text>“International Existing Building Code (IEBC)” means the International Existing Building Code, as incorporated by reference under Regulation .03 of this chapter.</text> </paragraph> <paragraph num="(6)"> <text>“Local jurisdiction” means any of the 23 counties in Maryland, the City of Baltimore, and any municipal corporation in Maryland subject to the provisions of Article XI-E of the Maryland Constitution.</text> </paragraph> <paragraph num="(7)"> <text>“Minimum Livability Code” means COMAR 09.12.54, exclusive of any local amendments or codes that may have been adopted.</text> </paragraph> <paragraph num="(8)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Enforcement and Administration."> <paragraph num="A."> <text>The enforcement and administration of this chapter shall be the responsibility of local jurisdictions, using existing procedures.</text> </paragraph> <paragraph num="B."> <text>Refer to each local jurisdiction for the local administrative and enforcement procedures described in Chapters 1 and 15 of the IEBC.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Preliminary Meeting."> <paragraph num="A."> <text>If a building permit is required for a complex rehabilitation project involving multiple codes, at the request of the prospective permit applicant, after payment of a fee, if required, and before the submission of the construction permit application, the authority having jurisdiction, or the authority's designee, and individuals who are agency representatives in accordance with §B of this regulation, shall meet with the prospective applicant to discuss plans for any proposed work or change of occupancy under this chapter before the application for the permit is submitted.</text> </paragraph> <paragraph num="B."> <text>The preliminary meeting, to the extent possible, shall include the officials responsible for permit approval and enforcement in the following areas, as may be applicable to the rehabilitation project:</text> <paragraph num="(1)"> <text>Building code;</text> </paragraph> <paragraph num="(2)"> <text>Mechanical code;</text> </paragraph> <paragraph num="(3)"> <text>Plumbing code;</text> </paragraph> <paragraph num="(4)"> <text>Electrical code;</text> </paragraph> <paragraph num="(5)"> <text>Fire code;</text> </paragraph> <paragraph num="(6)"> <text>Boiler code;</text> </paragraph> <paragraph num="(7)"> <text>Energy code;</text> </paragraph> <paragraph num="(8)"> <text>Elevator code; and</text> </paragraph> <paragraph num="(9)"> <text>Local historic preservation ordinances.</text> </paragraph> </paragraph> <paragraph num="C."> <text>When possible, a single meeting of all the parties shall be arranged.</text> </paragraph> <paragraph num="D."> <text>The purpose of the preliminary meeting is for the prospective applicant to present its intentions for the proposed work to the responsible code officials so that together they can determine which specific requirements of this chapter and the codes listed in §B of this regulation are to be applied to the proposed project.</text> </paragraph> <paragraph num="E."> <text>Decisions made at the preliminary meeting regarding the specific requirements of this chapter and the codes listed in §B of this regulation that are to be applied to the proposed project are binding on the prospective applicant and the code officials, their respective agencies, and local jurisdictions unless circumstances arise that were unknown or could not be ascertained by the prospective applicant at the time of the preliminary meeting.</text> </paragraph> <paragraph num="F."> <text>For a rehabilitation project or portion of a project that is in the repair, renovation, or modification category of work, a preliminary meeting may be granted at the discretion of the authority having jurisdiction when a request for a preliminary meeting is made by the prospective applicant before the submission of the construction permit application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Maryland Building Rehabilitation Code Advisory Council."> <text>The responsibilities and duties of the Advisory Council are as follows:</text> <paragraph num="A."> <text>Advise the Department on development, adoption, and revisions to this chapter;</text> </paragraph> <paragraph num="B."> <text>Provide technical advice on the interpretation of this chapter to property owners, design professionals, contractors, local jurisdiction code officials, and local jurisdiction code appeal boards;</text> </paragraph> <paragraph num="C."> <text>To the extent possible, develop this chapter in a way that avoids increased costs to local jurisdictions arising from implementation of this chapter; and</text> </paragraph> <paragraph num="D."> <text>To the extent provided for in the State budget, provide training on this chapter to code officials and other public and private construction-related professionals.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Review Process for Proposed Amendments by Local Governments."> <paragraph num="A."> <text>A local government or an organization that represents a local government may propose an amendment to this chapter that will be applicable statewide.</text> </paragraph> <paragraph num="B."> <text>Proposed Amendment. A proposed amendment shall:</text> <paragraph num="(1)"> <text>Be submitted in writing to the Director of the Advisory Council;</text> </paragraph> <paragraph num="(2)"> <text>Identify the section or sections of this chapter involved; and</text> </paragraph> <paragraph num="(3)"> <text>Include proposed deletions or additions to this chapter, the reasons for the request, and any supporting documentation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Within 10 business days of receipt, the Director shall forward a proposed amendment to the Advisory Council and provide a copy to the Secretary.</text> </paragraph> <paragraph num="D."> <text>The Advisory Council shall consider a proposed amendment not later than at its next regular meeting that is at least 30 days after the Director forwards a proposed amendment.</text> </paragraph> <paragraph num="E."> <text>The Advisory Council may request additional information from:</text> <paragraph num="(1)"> <text>The local government or organization proposing an amendment;</text> </paragraph> <paragraph num="(2)"> <text>Staff of the Department;</text> </paragraph> <paragraph num="(3)"> <text>Other State agencies; or</text> </paragraph> <paragraph num="(4)"> <text>Others with experience in the subject matter of a proposed amendment.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Within 120 days of receipt by the Advisory Council of a proposed amendment or any requested additional information, whichever is later, the Advisory Council shall make a recommendation to the Secretary on whether to adopt, modify, or reject a proposed amendment.</text> </paragraph> <paragraph num="G."> <text>The Secretary shall decide whether to adopt, modify, or reject a proposed amendment and whether to adopt any change to this chapter necessary to implement that decision in accordance with the Administrative Procedure Act.</text> </paragraph> <paragraph num="H."> <text>Subject to Public Safety Article, §12-1007(d), Annotated Code of Maryland, a local jurisdiction may adopt amendments to the IEBC that apply only to the local jurisdiction without submitting the amendments to the Advisory Council for approval.</text> </paragraph> <paragraph num="I."> <text>A local jurisdiction that amends the IEBC shall provide a copy of the amendment to the Department:</text> <paragraph num="(1)"> <text>At least 15 days before the effective date of the amendment; or</text> </paragraph> <paragraph num="(2)"> <text>Within 5 days after the adoption of an emergency local amendment.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-1004 and 12-1007(a), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: June 1, 2001 (28:10 Md. R. 946)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.09 repealed and new Regulations .01—.13 adopted effective July 16, 2007 (34:14 Md. R. 1245)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective July 1, 2010 (37:13 Md. R. 851)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective July 1, 2010 (37:13 Md. R. 851)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.13 repealed and new Regulations .01—.08 adopted effective April 1, 2013 (40:6 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective April 11, 2016 (43:7 Md. R. 448)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective April 11, 2016 (43:7 Md. R. 448)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 05.16.01 to COMAR 09.12.58 effective March 25, 2019 (46:6 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective June 29, 2020 (47:13 Md. R. 641); May 29, 2023 (50:10 Md. R.407)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective March 25, 2019 (46:6 Md. R. 345); May 29, 2023 (50:10 Md. R.407)</annotation> </annotations> </chapter> <chapter num="59" heading="" reason="VACANT" /> <chapter num="60" heading="Amusement Attractions — General Provisions"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter establishes safety standards for the installation, assembly, repair, maintenance, use, operation, disassembly, and inspection of amusement attractions permanently or temporarily erected at amusement parks, carnivals, or fairs operated in the State.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Accepted engineering practice” means engineering practice that conforms to accepted principles, tests, or standards of nationally recognized technical or scientific authorities including, but not limited to, ASTM.</text> </paragraph> <paragraph num="(2)"> <text>“ASTM” means ASTM International, originally known as the American Society for Testing and Materials.</text> </paragraph> <paragraph num="(3)"> <text>“Attendant” means an employee assigned to assist the operator in attending to the safety needs of riders.</text> </paragraph> <paragraph num="(4)"> <text>“Containing device” means a strap, belt, bar, gate, or other safety device designed to prevent accidental or inadvertent dislodgement of a rider from an amusement attraction, that does not provide physical support.</text> </paragraph> <paragraph num="(5)"> <text>“Fail-safe” means a characteristic of an amusement attraction or component of an amusement attraction that is designed so that the normal and expected failure mode results in a safe condition.</text> </paragraph> <paragraph num="(6)"> <text>“Fire official” means:</text> <paragraph num="(a)"> <text>Except in Baltimore City, the State Fire Marshal or the State Fire Marshal's designee; and</text> </paragraph> <paragraph num="(b)"> <text>In Baltimore City, the Baltimore City Fire Prevention Bureau.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>“Major breakdown” means a stoppage of operation from any cause that results in damage, failure, or breakage of a structural or stress-bearing part of an amusement attraction.</text> </paragraph> <paragraph num="(8)"> <text>“Major modification” means any change in either the structural or operational characteristics of the amusement attraction that will alter its performance from that specified in the manufacturer's design criteria.</text> </paragraph> <paragraph num="(9)"> <text>“Nondestructive testing (NDT)” is testing, such as radiographic, magnetic particle, ultrasonic, liquid penetrant, electromagnetic, neutron radiographic, visual, and leak testing, to detect and locate defects to assess an amusement attraction's components.</text> </paragraph> <paragraph num="(10)"> <text>“Operator” means the person having direct control of the starting, stopping, or speed of an amusement attraction.</text> </paragraph> <paragraph num="(11)"> <text>“Owner” has the meaning stated in Business Regulation Article, §3-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(12)"> <text>“Qualified person” means a person who:</text> <paragraph num="(a)"> <text>By extensive knowledge, training, and experience has successfully demonstrated the ability to solve or resolve problems relating to the work; or</text> </paragraph> <paragraph num="(b)"> <text>Possesses a recognized degree, certificate, or professional standing.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>“Rated capacity” means a capacity:</text> <paragraph num="(a)"> <text>Established by the manufacturer for the normal loading and operation of an amusement attraction; or</text> </paragraph> <paragraph num="(b)"> <text>If the manufacturer has not established a capacity, as established by the Commissioner after inspection.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Rider.</text> <paragraph num="(a)"> <text>“Rider” means any person who is:</text> <paragraph num="(i)"> <text>Getting on an amusement attraction;</text> </paragraph> <paragraph num="(ii)"> <text>Using an amusement attraction; or</text> </paragraph> <paragraph num="(iii)"> <text>Getting off an amusement attraction.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Rider” does not include employees of the amusement attraction owner while engaged in the duties of their employment.</text> </paragraph> </paragraph> <paragraph num="(15)"> <text>“Special amusement structure” means a fun house, dark ride, glass house, walk through, haunted house, or any other similar amusement attraction.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Incorporation by Reference."> <text>In this chapter, the following documents are incorporated by reference to the extent that they are referenced in this chapter:</text> <paragraph num="A."> <text>The ASTM International Standards on Amusement Rides and Devices: 7th Edition, F2291—04 Standard Practice for Design of Amusement Rides and Devices (2004) (ASTM F 2291—04); and</text> </paragraph> <paragraph num="B."> <text>The National Electrical Code, ANSI/NFPA #70-2005, which is incorporated by reference in COMAR 20.50.02.02.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="General Responsibility for Compliance."> <paragraph num="A."> <text>Each owner of an amusement attraction permanently or temporarily erected at a carnival, fair, or amusement park in the State shall:</text> <paragraph num="(1)"> <text>Comply with the provisions of this chapter; and</text> </paragraph> <paragraph num="(2)"> <text>Ensure that the manufacturer's specifications are followed in the erection, operation, maintenance, repair, and disassembly of the amusement attraction.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In the event of a conflict between a regulation under this chapter and a manufacturer's specification, the owner shall comply with the provision that best ensures the safety of the public as determined by the Commissioner.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Inspection, Registration, and Certificate Inspection."> <paragraph num="A."> <text>An owner may not operate an amusement attraction unless the amusement attraction has been inspected and a certificate of inspection has been issued by the Commissioner.</text> </paragraph> <paragraph num="B."> <text>Annual Registration.</text> <paragraph num="(1)"> <text>Annually, by April 1, each owner shall register with the Commissioner all of the existing amusement attractions that were previously issued a certificate of inspection by the Commissioner that the owner intends to operate in Maryland that year.</text> </paragraph> <paragraph num="(2)"> <text>The owner of a new amusement attraction or an amusement attraction that was not previously registered or issued a certificate of inspection in Maryland shall register the amusement attraction with the Commissioner as soon as practical or at least 30 days before anticipated operation and shall include the documentation required in Regulation .10 of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Inspection Hours.</text> <paragraph num="(1)"> <text>Amusement attraction inspections will normally be conducted during the business hours of 7 a.m. through 6 p.m., Monday through Friday, excluding holidays.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner may schedule inspections at other times when the Commissioner determines that there are extenuating circumstances.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Request for Inspection.</text> <paragraph num="(1)"> <text>Each owner shall notify the Commissioner that the owner's amusement attraction is ready for inspection by submitting a completed inspection request form at least 30 days in advance of the anticipated operation date.</text> </paragraph> <paragraph num="(2)"> <text>If there is a cancellation or change in the schedule of location or dates after initial notification, an owner shall:</text> <paragraph num="(a)"> <text>Immediately notify the Commissioner by telephone; and</text> </paragraph> <paragraph num="(b)"> <text>Promptly confirm the change in writing.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If an owner is unable to provide the Commissioner with the required 30-day advance notice, the owner shall submit to the Commissioner an inspection request form along with a detailed explanation of the reason for the lack of advance notice. The Commissioner may grant the inspection request contingent upon the availability of State resources.</text> </paragraph> <paragraph num="(4)"> <text>The owner of a new amusement attraction, an amusement attraction that has undergone a major modification, or an amusement attraction that has never received a certificate of inspection allowing it to operate in Maryland shall:</text> <paragraph num="(a)"> <text>Submit all required records in compliance with Regulation .10 of this chapter; and</text> </paragraph> <paragraph num="(b)"> <text>After filing the required records, submit a request for inspection to the Commissioner at least 30 days in advance of the anticipated operation date.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The inspection request form shall be furnished by the Commissioner.</text> </paragraph> <paragraph num="(6)"> <text>The owner shall include with the inspection request form a certificate of insurance indicating that the owner has obtained insurance in the amount required by Business Regulation Article, §3-403, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Certificate of Inspection. A certificate of inspection shall be posted in public view on the amusement attraction for which the certificate is issued.</text> </paragraph> <paragraph num="F."> <text>Work Orders.</text> <paragraph num="(1)"> <text>The Commissioner may issue a work order that details required corrective action for an amusement attraction and the time allowed for abatement of each action.</text> </paragraph> <paragraph num="(2)"> <text>If the corrective action is not completed within the time allowed, the Commissioner may:</text> <paragraph num="(a)"> <text>Grant an extension of the time allowed; or</text> </paragraph> <paragraph num="(b)"> <text>Deny a certificate of inspection.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Special Amusement Structures.</text> <paragraph num="(1)"> <text>For a special amusement structure located in an amusement park, the owner shall make a request to the fire official for the jurisdiction where the amusement attraction is located for a fire safety inspection:</text> <paragraph num="(a)"> <text>Annually, before the start of operation in the State; and</text> </paragraph> <paragraph num="(b)"> <text>When there is a change in construction or decorative material.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>For a special amusement structure located in a carnival or fair, the owner shall make a request to the fire official for the jurisdiction where the amusement attraction is located for a fire safety inspection:</text> <paragraph num="(a)"> <text>Before operation at each location; and</text> </paragraph> <paragraph num="(b)"> <text>When there is a change in construction or decorative material.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A certificate of inspection issued by the Commissioner is valid for the amusement attraction only and does not address fire safety issues that may be required by the local fire official.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Exits.</text> <paragraph num="(1)"> <text>At least two exits remote from each other shall be provided for each floor, tier, room, or balcony in a structure that contains an amusement attraction.</text> </paragraph> <paragraph num="(2)"> <text>An exit may not be less than 22 inches wide.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Identification and State Registration Plates."> <paragraph num="A."> <text>Information Plate.</text> <paragraph num="(1)"> <text>An information plate:</text> <paragraph num="(a)"> <text>Is required for each amusement attraction;</text> </paragraph> <paragraph num="(b)"> <text>Shall be printed in English; and</text> </paragraph> <paragraph num="(c)"> <text>Shall be designed to remain legible for the expected life of the amusement attraction.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The information plate shall include the following, as applicable:</text> <paragraph num="(a)"> <text>Serial number, which is a manufacturer-issued or owner-issued unique identifying number;</text> </paragraph> <paragraph num="(b)"> <text>Name of the amusement attraction;</text> </paragraph> <paragraph num="(c)"> <text>Manufacturer of the amusement attraction;</text> </paragraph> <paragraph num="(d)"> <text>Date of manufacture, which is the month and year of manufacture, as determined by the manufacturer, if known;</text> </paragraph> <paragraph num="(e)"> <text>Speed, maximum, minimum, or both, revolutions per minute, feet per second, or miles per hour, as applicable;</text> </paragraph> <paragraph num="(f)"> <text>Direction of travel, if the direction of travel is essential to the safe operation of the amusement attraction; and</text> </paragraph> <paragraph num="(g)"> <text>Rated capacity.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>State Registration Plate.</text> <paragraph num="(1)"> <text>The Commissioner shall issue a State registration number and State registration plate to each registered amusement attraction.</text> </paragraph> <paragraph num="(2)"> <text>If the registration number is no longer legible, the owner shall notify the Commissioner for issuance of a replacement State registration plate.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Each amusement attraction shall have the information plate and State registration plate firmly attached in a readily visible location on the amusement attraction.</text> </paragraph> <paragraph num="D."> <text>Each individual sweep, carrier, car, tub, seat, train, kart, chair, element, or trampoline shall be individually identified by:</text> <paragraph num="(1)"> <text>Numbers (e.g. sweep 1, carrier 2, seat 3); or</text> </paragraph> <paragraph num="(2)"> <text>Letters or names (e.g. train B, car C, seat 1); or</text> </paragraph> <paragraph num="(3)"> <text>Color if only be used once per attraction (e.g. blue tub, seat 3).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Operation."> <paragraph num="A."> <text>Each owner shall read and become familiar with the contents of the manufacturer's recommended operating instructions and specifications.</text> </paragraph> <paragraph num="B."> <text>Operation Manual.</text> <paragraph num="(1)"> <text>The owner shall keep and maintain a manual documenting the operating requirements.</text> </paragraph> <paragraph num="(2)"> <text>The operation manual shall address the following issues:</text> <paragraph num="(a)"> <text>Ride cycle time;</text> </paragraph> <paragraph num="(b)"> <text>Proper loading and unloading procedures and proper rider distribution;</text> </paragraph> <paragraph num="(c)"> <text>Procedures for responding to emergencies and extreme environmental conditions;</text> </paragraph> <paragraph num="(d)"> <text>Rider limitations, such as height, age, and rider placement;</text> </paragraph> <paragraph num="(e)"> <text>Minimum electrical power required to safely operate the amusement attraction;</text> </paragraph> <paragraph num="(f)"> <text>Minimum and maximum water flow rates, if applicable;</text> </paragraph> <paragraph num="(g)"> <text>Specific amusement attraction operational procedures consistent with the manufacturer's instructions;</text> </paragraph> <paragraph num="(h)"> <text>Specific duties and responsibilities of the operator and attendant;</text> </paragraph> <paragraph num="(i)"> <text>Maintenance requirements and procedures;</text> </paragraph> <paragraph num="(j)"> <text>Testing requirements and procedures;</text> </paragraph> <paragraph num="(k)"> <text>General safety procedures; and</text> </paragraph> <paragraph num="(l)"> <text>Preopening inspection list and preopening inspection procedures.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The manual shall be kept on location with the amusement attraction or otherwise readily available.</text> </paragraph> <paragraph num="(4)"> <text>A copy of the manual, in English, shall be provided to the Commissioner on request.</text> </paragraph> <paragraph num="(5)"> <text>The owner shall ensure that all operators adhere to the provisions of the applicable operator’s manual.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Designated Operator.</text> <paragraph num="(1)"> <text>The owner shall ensure each amusement attraction is under the direct control of an operator with training specific to that amusement attraction.</text> </paragraph> <paragraph num="(2)"> <text>An operator shall operate only one amusement attraction at a time.</text> </paragraph> <paragraph num="(3)"> <text>When the amusement attraction is not in operation, the owner shall prevent operation by any unauthorized person.</text> </paragraph> <paragraph num="(4)"> <text>An operator:</text> <paragraph num="(a)"> <text>May not operate any amusement attraction while under the influence of drugs or alcohol;</text> </paragraph> <paragraph num="(b)"> <text>Shall know the use and function of all operating controls, signal systems, and safety devices applicable to the amusement attraction;</text> </paragraph> <paragraph num="(c)"> <text>Shall know the proper rider loading sequence, capacity, and speed of the particular amusement attraction being operated;</text> </paragraph> <paragraph num="(d)"> <text>Shall remain at the operating controls during operation;</text> </paragraph> <paragraph num="(e)"> <text>Shall have control of the amusement attraction at all times;</text> </paragraph> <paragraph num="(f)"> <text>Shall enforce applicable restrictions; and</text> </paragraph> <paragraph num="(g)"> <text>Whenever possible, shall be positioned at a location with a clear view of the rider loading and unloading areas.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>If a clear view under §C(4)(g) of this regulation cannot be maintained, operators or attendants shall ensure that the area is safe before operation.</text> </paragraph> <paragraph num="E."> <text>Operator and Attendant Identification.</text> <paragraph num="(1)"> <text>An owner shall issue to each operator and attendant identification, such as a uniform or badge that clearly identifies the person as an operator or attendant.</text> </paragraph> <paragraph num="(2)"> <text>Before issuing any identification, the owner shall train the employee in accordance with §F of this regulation.</text> </paragraph> <paragraph num="(3)"> <text>The identification shall clearly indicate the following:</text> <paragraph num="(a)"> <text>The employee title, that is, operator or attendant;</text> </paragraph> <paragraph num="(b)"> <text>Either the name of the employee or an employee identification number; and</text> </paragraph> <paragraph num="(c)"> <text>The name of the amusement attraction company.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>While operating an amusement attraction, the operator or attendant shall wear the operator or attendant identification in a readily visible location.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Operator and Attendant Training.</text> <paragraph num="(1)"> <text>The owner shall provide training for each operator and attendant of an amusement attraction.</text> </paragraph> <paragraph num="(2)"> <text>Operator and attendant training shall include, but not be limited to, the items specified in §§C(4) and D of this regulation.</text> </paragraph> <paragraph num="(3)"> <text>Operators and attendants shall be trained in the following:</text> <paragraph num="(a)"> <text>Specific amusement attraction operational policies and procedures consistent with the manufacturer's instructions;</text> </paragraph> <paragraph num="(b)"> <text>Specific duties and responsibilities of the operator and the attendant;</text> </paragraph> <paragraph num="(c)"> <text>Emergency procedures in the event of an abnormal condition, interruption of power, or severe environmental conditions;</text> </paragraph> <paragraph num="(d)"> <text>Instructions on general safety procedures; and</text> </paragraph> <paragraph num="(e)"> <text>Additional instructions considered necessary by the owner.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>As part of the training, the owner shall observe each operator's and attendant's ability to operate an amusement attraction safely, as demonstrated by the successful completion of the requirements of this section.</text> </paragraph> <paragraph num="(5)"> <text>The owner shall document that each operator and attendant has been trained and evaluated as required by this regulation with the following:</text> <paragraph num="(a)"> <text>Name of the operator or attendant;</text> </paragraph> <paragraph num="(b)"> <text>Date of training, date of evaluation; and</text> </paragraph> <paragraph num="(c)"> <text>The identity of the person or persons performing the training or evaluation.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The owner shall provide periodic refresher training, including an evaluation of the effectiveness of that training.</text> </paragraph> <paragraph num="(7)"> <text>The owner shall document the refresher training for each operator and attendant with the information set forth in §F(5) of this regulation.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Ride Safety Supervisor. An owner shall designate a ride safety supervisor to:</text> <paragraph num="(1)"> <text>Monitor amusement attraction operations at all times when in operation; and</text> </paragraph> <paragraph num="(2)"> <text>Ensure that the amusement attractions are operated safely and in accordance with this chapter.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Daily Inspection Program.</text> <paragraph num="(1)"> <text>The owner shall ensure that each amusement attraction is inspected and tested each day before operation, with a daily preopening inspection program under §H(2) of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The daily preopening inspection program shall include, but not be limited to, the following:</text> <paragraph num="(a)"> <text>Inspection and testing of all rider-carrying devices, including restraint, containing devices and latches;</text> </paragraph> <paragraph num="(b)"> <text>Inspection and testing of all automatic and manual safety devices;</text> </paragraph> <paragraph num="(c)"> <text>Inspection and testing of the brakes, including service brakes, emergency brakes, parking brakes, and antirollback devices;</text> </paragraph> <paragraph num="(d)"> <text>Inspection and testing of control devices, speed-limiting devices, and other equipment provided for safety;</text> </paragraph> <paragraph num="(e)"> <text>Visual inspection of all fencing, gates, and guardrails;</text> </paragraph> <paragraph num="(f)"> <text>Visual inspection of the amusement attraction structure, blocking and supports, electrical components, and wiring;</text> </paragraph> <paragraph num="(g)"> <text>Inspection of entrances, exits, stairways, and ramps;</text> </paragraph> <paragraph num="(h)"> <text>Functional testing of all communication equipment necessary for the operation of the amusement attraction; and</text> </paragraph> <paragraph num="(i)"> <text>Before carrying riders, operation of the amusement attraction for a minimum of one complete operating cycle.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A copy of the daily preopening inspection shall be provided to the Commissioner on request.</text> </paragraph> <paragraph num="(4)"> <text>Worn and damaged components shall be repaired or replaced immediately and before operation.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Voice Communication and Signal System.</text> <paragraph num="(1)"> <text>Voice communication or a signal system, or both, shall be provided if the operator does not have a clear view of the area where riders are loaded or unloaded.</text> </paragraph> <paragraph num="(2)"> <text>For amusement attractions that require a spoken message of instruction or warning prior to operation, the message shall be:</text> <paragraph num="(a)"> <text>Given in a manner that is clearly audible to all riders before the start of each ride cycle; and</text> </paragraph> <paragraph num="(b)"> <text>In writing in the operating manual.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Coded Signals.</text> <paragraph num="(a)"> <text>When coded signals are necessary for operation of an amusement attraction, the code shall be printed and kept posted at both the operator and signal-person stations.</text> </paragraph> <paragraph num="(b)"> <text>All persons using coded signals shall be instructed in their use and be trained to understand thoroughly their operation and meaning.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Signals for the movement or operation of an amusement attraction may not be given until all riders, operators, and other persons who may be endangered are in a position of safety.</text> </paragraph> <paragraph num="(5)"> <text>Voice communication and signal systems shall be tested daily before operation as part of the daily inspection program.</text> </paragraph> <paragraph num="(6)"> <text>An amusement attraction requiring voice communication or a signal system, or both, may be operated only if the system is functioning properly.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Injury Reporting and Recording."> <paragraph num="A."> <text>Injury Reporting.</text> <paragraph num="(1)"> <text>Whenever a death, in-patient hospitalization, amputation, compound fracture, broken tooth, or loss of an eye occurs during the use of an amusement attraction:</text> <paragraph num="(a)"> <text>The person who directly controls the operation of the amusement attraction shall immediately close the amusement attraction until it has been inspected by the Commissioner; and</text> </paragraph> <paragraph num="(b)"> <text>The amusement owner shall report orally or in writing to the Commissioner within 24 hours:</text> <paragraph num="(i)"> <text>Date and time of the incident;</text> </paragraph> <paragraph num="(ii)"> <text>Name, address, and telephone number of the injured person and parent or guardian information if the injured person is a minor;</text> </paragraph> <paragraph num="(iii)"> <text>Age of the injured person;</text> </paragraph> <paragraph num="(iv)"> <text>Name and manufacturer of the amusement attraction;</text> </paragraph> <paragraph num="(v)"> <text>Description of the injury;</text> </paragraph> <paragraph num="(vi)"> <text>Description of events related to the incident; and</text> </paragraph> <paragraph num="(vii)"> <text>Name, address, and phone number of the amusement attraction operator and attendants.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>If an owner is unaware of the condition of a member of the public injured during the operation of an amusement attraction who was transported away from the premises by an emergency response vehicle, the owner shall report verbally to the Commissioner within 24 hours the information required in §A(1)(b) of this regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Injury Recording.</text> <paragraph num="(1)"> <text>In addition to the reporting requirements of §A of this regulation, all owners shall maintain an injury log of all injuries to the public that occur during use of amusement attractions that require medical treatment by a physician other than one-time first aid and does not include:</text> <paragraph num="(a)"> <text>An injury that does not ordinarily require medical treatment, such as a minor burn, splinter, contusion, scratch, or cut not requiring stitches; or</text> </paragraph> <paragraph num="(b)"> <text>A diagnostic procedure, including examination and x-ray, even though provided by a physician or other licensed professional personnel.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The injury log shall contain the following information:</text> <paragraph num="(a)"> <text>Company name;</text> </paragraph> <paragraph num="(b)"> <text>Location;</text> </paragraph> <paragraph num="(c)"> <text>Date;</text> </paragraph> <paragraph num="(d)"> <text>Certificate number;</text> </paragraph> <paragraph num="(e)"> <text>Type of amusement attraction;</text> </paragraph> <paragraph num="(f)"> <text>Nature of incident;</text> </paragraph> <paragraph num="(g)"> <text>Description of injury;</text> </paragraph> <paragraph num="(h)"> <text>Age of injured person;</text> </paragraph> <paragraph num="(i)"> <text>Last known condition of injured person, including date information obtained; and</text> </paragraph> <paragraph num="(j)"> <text>Date added to log.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Each injury required under this section and §A of this regulation, shall be recorded on the injury log within 7 calendar days and updated as additional required information becomes available.</text> </paragraph> <paragraph num="(4)"> <text>A copy of a sample injury log is available on the Department’s webpage.</text> </paragraph> <paragraph num="(5)"> <text>An owner shall maintain injury logs on a calendar year basis beginning January 1, 2023.</text> </paragraph> <paragraph num="(6)"> <text>Beginning January 1, 2024, an owner shall certify the completeness and accuracy of the information contained on the injury log by January 15 of the following calendar year.</text> </paragraph> <paragraph num="(7)"> <text>Beginning January 1, 2023, an owner shall provide access to prior years’, and the portion completed for the current year, injury log to the Commissioner.</text> </paragraph> <paragraph num="(8)"> <text>Each owner shall maintain, and make available for inspection by the Commissioner, an injury log for 5 years.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Amusement Attraction Operating Records and Reports."> <paragraph num="A."> <text>Daily Inspection Reports.</text> <paragraph num="(1)"> <text>Daily inspection reports shall be:</text> <paragraph num="(a)"> <text>Signed by the person performing the inspection immediately upon completion of the inspection;</text> </paragraph> <paragraph num="(b)"> <text>Kept with the amusement attraction or at an on-site office; and</text> </paragraph> <paragraph num="(c)"> <text>Maintained for at least 30 days.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Copies of daily inspection reports shall be made available to the Commissioner on request.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Daily Electrical Inspection Report.</text> <paragraph num="(1)"> <text>The owner shall ensure that a qualified person performs an inspection of the electrical system each day before operation.</text> </paragraph> <paragraph num="(2)"> <text>A copy of the electrical inspection report shall be:</text> <paragraph num="(a)"> <text>Signed by the person performing the inspection;</text> </paragraph> <paragraph num="(b)"> <text>Kept with the amusement attraction or at an on-site office;</text> </paragraph> <paragraph num="(c)"> <text>Maintained for at least 30 days; and</text> </paragraph> <paragraph num="(d)"> <text>Provided to the Commissioner upon request.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>NDT Results.</text> <paragraph num="(1)"> <text>The owner shall maintain a copy of the NDT results if required by COMAR 09.12.62.05K for a period of 1 year:</text> <paragraph num="(a)"> <text>With the amusement attraction;</text> </paragraph> <paragraph num="(b)"> <text>At an on-site office; or</text> </paragraph> <paragraph num="(c)"> <text>Otherwise readily available.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A copy of the NDT results shall be provided to the Commissioner on request.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An owner shall immediately notify the Commissioner of a major breakdown.</text> </paragraph> <paragraph num="E."> <text>Written Log.</text> <paragraph num="(1)"> <text>An owner shall ensure that a written log is:</text> <paragraph num="(a)"> <text>Maintained containing any reports from riders complaining of adverse physical effects or operating inconsistencies occurring during the operation of an amusement attraction; and</text> </paragraph> <paragraph num="(b)"> <text>Submitted to the Commissioner when multiple reports of a particular nature that may indicate a pattern are shown on the log.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A copy of the log shall be made available to the Commissioner upon request.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Identification Records. An owner shall maintain a record of operator and attendant identification that includes the following for each operator and attendant:</text> <paragraph num="(1)"> <text>Name, address, and phone number; and</text> </paragraph> <paragraph num="(2)"> <text>Identification number, if any.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Record of Training.</text> <paragraph num="(1)"> <text>Each owner shall:</text> <paragraph num="(a)"> <text>Maintain a record of the training provided to each operator and attendant; and</text> </paragraph> <paragraph num="(b)"> <text>Provide the Commissioner with a copy of the record of training on request.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The training record shall indicate the following for each operator or attendant:</text> <paragraph num="(a)"> <text>The name or identification number;</text> </paragraph> <paragraph num="(b)"> <text>A detailed description of the training provided; and</text> </paragraph> <paragraph num="(c)"> <text>A list of all the amusement attractions for which the operator and attendant received training.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Design Criteria."> <paragraph num="A."> <text>Scope. This regulation does not apply to an amusement attraction that has operated in Maryland prior to January 2008 unless there is a major modification.</text> </paragraph> <paragraph num="B."> <text>Owners shall ensure that new amusement attractions and amusement attractions with major modifications that are operated in the State meet the criteria set forth in this regulation.</text> </paragraph> <paragraph num="C."> <text>Except as otherwise provided in this regulation, amusement attractions manufactured after January 2008 shall comply with ASTM F 2291—04 and conform to accepted engineering practices and standards.</text> </paragraph> <paragraph num="D."> <text>The owner of an amusement attraction subject to §C of this regulation shall provide the Commissioner with:</text> <paragraph num="(1)"> <text>A copy of the operations and maintenance manuals, assembly instructions, and testing requirements;</text> </paragraph> <paragraph num="(2)"> <text>Certification records from the manufacturer or a licensed professional engineer verifying that the amusement attraction is compliant with ASTM F 2291—04; and</text> </paragraph> <paragraph num="(3)"> <text>If requested, general design criteria as outlined in ASTM F 2291—04, Section 5.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Amusement attractions that are specifically excluded from ASTM F 2291—04 and manufactured after January 2008 shall conform to recognized engineering practices, procedures, standards, and specifications.</text> </paragraph> <paragraph num="F."> <text>The owner of an amusement attraction subject to §E of this regulation shall provide the Commissioner with:</text> <paragraph num="(1)"> <text>Certification from a licensed professional engineer verifying that design data specific to the amusement attraction, including, but not limited to, stress analysis and safety factors along with the materials and components being used, are structurally sound and conform to recognized engineering practices, procedures, standards, and specifications;</text> </paragraph> <paragraph num="(2)"> <text>A copy of the manufacturer's operating specifications, maintenance manuals, assembly instructions, and testing requirements; and</text> </paragraph> <paragraph num="(3)"> <text>If requested, other pertinent data considered necessary by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Amusement attractions that were previously registered and allowed to operate in Maryland and that have undergone a major modification subsequent to January 2008 shall be certified by a professional engineer that the modifications are consistent with accepted engineering practices and standards and ASTM F 2291—04.</text> </paragraph> <paragraph num="H."> <text>The owner of an amusement attraction subject to §G of this regulation shall provide the Commissioner with:</text> <paragraph num="(1)"> <text>Certification from a licensed professional engineer verifying that design data specific to the amusement attraction, including, but not limited to, stress analysis and safety factors along with the materials and components being used, are structurally sound and conform to recognized engineering practices, procedures, standards, and specifications;</text> </paragraph> <paragraph num="(2)"> <text>A copy of the manufacturer's operating specifications, maintenance manuals, assembly instructions, and testing requirements; and</text> </paragraph> <paragraph num="(3)"> <text>If requested, other pertinent data considered necessary by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The owner of an existing amusement attraction manufactured before January 2008 of a particular design that had not previously operated in Maryland shall provide the Commissioner with:</text> <paragraph num="(1)"> <text>Certification records from a licensed professional engineer verifying that the amusement attraction and the materials and components being used are structurally sound and conform to recognized engineering practices, procedures, standards, and specifications; and</text> </paragraph> <paragraph num="(2)"> <text>A copy of the manufacturer's operating specifications, maintenance manuals, assembly instructions, and testing requirements.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If the manufacturer's specifications of an amusement attraction subject to §I of this regulation are unavailable for good reason, the owner shall:</text> <paragraph num="(1)"> <text>Develop specifications that ensure safe assembly, operation, repair, maintenance, testing, and disassembly of the amusement attraction;</text> </paragraph> <paragraph num="(2)"> <text>Employ a licensed professional engineer to certify that the specifications are consistent with accepted engineering practices and standards and ASTM F 2291—04; and</text> </paragraph> <paragraph num="(3)"> <text>If requested, provide other pertinent data considered necessary by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Copies of all documents provided to the Commissioner shall be in English.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Signage."> <paragraph num="A."> <text>When a manufacturer or the Commissioner requires a restriction on the use of an amusement attraction, such as the age or weight of a rider, a legible sign indicating the restriction shall be posted in full view of individuals seeking admission to the amusement attraction:</text> <paragraph num="(1)"> <text>At the location specified by the manufacturer;</text> </paragraph> <paragraph num="(2)"> <text>At the entrance of the amusement attraction; or</text> </paragraph> <paragraph num="(3)"> <text>Close to the amusement attraction.</text> </paragraph> </paragraph> <paragraph num="B."> <text>All amusement attractions shall have a sign posted indicating the height or age restriction, or both, for that amusement attraction.</text> </paragraph> <paragraph num="C."> <text>Entrances to machinery rooms or restricted areas shall have a sign posted warning unauthorized persons not to enter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Fire Protection."> <paragraph num="A."> <text>Flammable and Combustible Liquids.</text> <paragraph num="(1)"> <text>An owner shall store and handle liquid petroleum gases and flammable liquids as required under the:</text> <paragraph num="(a)"> <text>Occupational Safety and Health Standards — 29 CFR §1910.106 (OSHA); and</text> </paragraph> <paragraph num="(b)"> <text>National Fire Protection Association (NFPA) standards adopted by the State Fire Marshal or designee or the Baltimore City Fire Prevention Bureau.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Gasoline and other flammable liquids or gases shall be stored in listed and labeled containers in a location that is:</text> <paragraph num="(a)"> <text>Reasonably cool and ventilated;</text> </paragraph> <paragraph num="(b)"> <text>Not accessible to the public; and</text> </paragraph> <paragraph num="(c)"> <text>At least 20 feet from an amusement attraction or other flammable material.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Flammable or combustible waste materials, such as oily rags, shall be stored in a covered metal container that is:</text> <paragraph num="(a)"> <text>Properly identified; and</text> </paragraph> <paragraph num="(b)"> <text>Kept at least 20 feet from an amusement attraction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Fire Extinguishers.</text> <paragraph num="(1)"> <text>An owner shall provide at least one portable fire extinguisher having an ABC rating, as defined by the National Electrical Code, ANSI/NFPA #70, of not less than 10 pound capacity.</text> </paragraph> <paragraph num="(2)"> <text>The fire extinguisher shall be located not less than 25 feet, or more than 75 feet, from any flammable or combustible:</text> <paragraph num="(a)"> <text>Liquid storage; or</text> </paragraph> <paragraph num="(b)"> <text>Liquid-powered amusement attraction or portable generator.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Electrical Requirements."> <paragraph num="A."> <text>Electrical systems, conductors, and equipment installed on or used in conjunction with amusement attractions shall comply with:</text> <paragraph num="(1)"> <text>The National Electrical Code, National Fire Protection Association 70 in effect at the time of the manufacture of the amusement attraction; or</text> </paragraph> <paragraph num="(2)"> <text>At a minimum, the National Fire Protection Association 70 (1987).</text> </paragraph> </paragraph> <paragraph num="B."> <text>Each owner shall ensure that electrical systems required to operate amusement attractions be installed and maintained by a qualified person.</text> </paragraph> <paragraph num="C."> <text>Electrical inspections shall be performed prior to public use by the qualified person responsible for the electrical installation.</text> </paragraph> <paragraph num="D."> <text>A copy of the electrical inspection report shall be:</text> <paragraph num="(1)"> <text>Signed by the person performing the inspection;</text> </paragraph> <paragraph num="(2)"> <text>Kept with the amusement attraction or at an on-site office;</text> </paragraph> <paragraph num="(3)"> <text>Maintained for at least 30 days; and</text> </paragraph> <paragraph num="(4)"> <text>Provided to the Commissioner on request.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Equipment Grounding and Bonding.</text> <paragraph num="(1)"> <text>Equipment grounding and bonding shall comply with the National Electrical Code.</text> </paragraph> <paragraph num="(2)"> <text>The continuity of the grounding conductor system shall be verified as part of the daily preopening electrical inspection.</text> </paragraph> <paragraph num="(3)"> <text>The neutral and equipment safety grounding conductors shall be continuous and separate throughout the entire system.</text> </paragraph> <paragraph num="(4)"> <text>Separate steel tracks or steel framework, such as roller coaster tracks or large slides, shall have grounding in accordance with Article 250 of the National Electrical Code.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Portable distribution or terminal boxes shall be:</text> <paragraph num="(1)"> <text>Designed so that no live parts are exposed to accidental contact;</text> </paragraph> <paragraph num="(2)"> <text>Of weatherproof construction and mounted so that the bottom of the box is not less than 6 inches above ground; and</text> </paragraph> <paragraph num="(3)"> <text>Protected against access from the general public and other unauthorized personnel.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Current Limiting Devices.</text> <paragraph num="(1)"> <text>A conductor shall be fused or protected to its current carrying capacity.</text> </paragraph> <paragraph num="(2)"> <text>A fuse or current limiting device may not be installed in neutral or grounding conductors.</text> </paragraph> <paragraph num="(3)"> <text>Motors and lighting circuits shall be fused separately.</text> </paragraph> <paragraph num="(4)"> <text>Each fuse or current limiting device shall be installed in accordance with the National Electrical Code.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Wiring Methods.</text> <paragraph num="(1)"> <text>Where flexible cords or cables are used, they shall be listed for extra hard usage.</text> </paragraph> <paragraph num="(2)"> <text>Where flexible cords or cables are used and are not subject to physical damage, they shall be permitted to be listed for hard usage.</text> </paragraph> <paragraph num="(3)"> <text>An elevated power line crossing a road within a carnival, fair, or amusement park shall be suspended to provide:</text> <paragraph num="(a)"> <text>Minimum vertical clearance of 15 feet from the road surface; and</text> </paragraph> <paragraph num="(b)"> <text>Minimum horizontal clearance of 3 feet on each side of normal vehicle passage space.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A flexible cord shall be connected to devices and fittings sufficient to ensure that tension of the cord is not transmitted to connectors or terminals.</text> </paragraph> <paragraph num="(5)"> <text>Flexible cords or cables shall be continuous without splice or tap between boxes or fittings.</text> </paragraph> <paragraph num="(6)"> <text>Cord connectors may not be laid on the ground unless listed for wet locations.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Amusement attractions may not be located:</text> <paragraph num="(1)"> <text>Less than 15 feet in any direction from overhead conductors operating at 600 volts or less, except for the conductors supplying the amusement attraction; or</text> </paragraph> <paragraph num="(2)"> <text>Under or within 15 feet of horizontal conductors operating in excess of 600 volts.</text> </paragraph> </paragraph> <paragraph num="J."> <text>An electrical power source, that is, a portable electrical generator, shall be:</text> <paragraph num="(1)"> <text>Positioned in a manner to permit proper maintenance; and</text> </paragraph> <paragraph num="(2)"> <text>Protected by either fencing or a secure enclosure to prevent public access and exposure to hazard.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Collector Rings.</text> <paragraph num="(1)"> <text>Collector rings and brush assemblies shall be sized to accommodate the rated load.</text> </paragraph> <paragraph num="(2)"> <text>A grounding collector ring or device capable of carrying the sum of the over-current devices feeding the slip ring set shall be provided.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Lighting Systems.</text> <paragraph num="(1)"> <text>Lighting systems shall be kept in good repair and protected against accidental contact and, if possible, breakage.</text> </paragraph> <paragraph num="(2)"> <text>All fluorescent lighting systems that are connected to moving components of an amusement attraction or within 7 feet, 6 inches, of a rider or spectator shall be:</text> <paragraph num="(a)"> <text>Properly secured and protected against accidental breakage; and</text> </paragraph> <paragraph num="(b)"> <text>Capable of containing the pieces of a broken light.</text> </paragraph> </paragraph> </paragraph> <paragraph num="M."> <text>Power Line Clearances.</text> <paragraph num="(1)"> <text>Power line clearances shall comply with the National Electrical Code, ANSI/NFPA #70, Article 525.5—2005.</text> </paragraph> <paragraph num="(2)"> <text>Amusement attractions may not be erected within 15 feet in any direction of overhead conductors operating at 600 volts or less.</text> </paragraph> <paragraph num="(3)"> <text>Amusement attractions may not be erected under or within 15 feet horizontally of conductors operating in excess of 600 volts.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Rules of Procedure for Hearings."> <text>All contested case hearings before the Commissioner shall be governed by COMAR 09.01.02.</text> </regulation> <regulation prefix="Regulation" num=".15" heading="Variances."> <paragraph num="A."> <text>Application for Variance.</text> <paragraph num="(1)"> <text>An affected owner may apply to the Commissioner for a variance from any regulation adopted under Business Regulation Article, Title 3, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>An application for variance shall be in writing and shall include:</text> <paragraph num="(a)"> <text>The name and address of the applicant;</text> </paragraph> <paragraph num="(b)"> <text>Identification of the regulation from which the applicant seeks a variance;</text> </paragraph> <paragraph num="(c)"> <text>The location, equipment, and practices involved;</text> </paragraph> <paragraph num="(d)"> <text>A detailed statement of the applicant's reasons for requesting a variance;</text> </paragraph> <paragraph num="(e)"> <text>A statement of the steps the applicant has taken and will take, with specific dates when appropriate, to protect the public against the specific hazard covered by the regulation; and</text> </paragraph> <paragraph num="(f)"> <text>Any request for a hearing.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Posting of Notice.</text> <paragraph num="(1)"> <text>Immediately on filing a request for a variance pursuant to Business Regulation Article, §3-314, Annotated Code of Maryland, an applicant shall post notice of the application at the place or places where a certificate of inspection is required to be posted.</text> </paragraph> <paragraph num="(2)"> <text>The notice shall include:</text> <paragraph num="(a)"> <text>The name and address of the applicant;</text> </paragraph> <paragraph num="(b)"> <text>The date on which the application was filed;</text> </paragraph> <paragraph num="(c)"> <text>Identification of the regulation from which the applicant seeks a variance;</text> </paragraph> <paragraph num="(d)"> <text>The location, equipment, and practices involved; and</text> </paragraph> <paragraph num="(e)"> <text>Notice to the public and affected employees of their right to participate in the proceeding.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The notice shall be maintained until the commencement of the proceedings.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Order of Variance.</text> <paragraph num="(1)"> <text>After investigation, on-site inspection, and such hearing as the Commissioner may direct, the Commissioner may grant a variance from a regulation under this chapter if:</text> <paragraph num="(a)"> <text>It is evident that action is necessary to prevent undue hardship; or</text> </paragraph> <paragraph num="(b)"> <text>Existing conditions prevent practical compliance and the reasonable safety of the public can, in the opinion of the Commissioner, be ensured.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An order of variance may require such special conditions as are reasonably necessary to ensure public safety.</text> </paragraph> <paragraph num="(3)"> <text>A declaration, act, or omission of the Commissioner or the Commissioner's authorized representative, other than a written order authorizing a variance as permitted above, may not be construed to exempt, either wholly or in part, expressly or implicitly, any owner from full compliance with the terms of any regulation under this chapter.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Modification, Revocation, and Renewal of Order of Variance.</text> <paragraph num="(1)"> <text>The Commissioner may modify, revoke, or renew an order of variance in the same manner prescribed for the issuance of an order of variance.</text> </paragraph> <paragraph num="(2)"> <text>An order of variance may not be modified or revoked unless affected parties are informed of the proposed action and afforded an opportunity to:</text> <paragraph num="(a)"> <text>Submit written data, views, or arguments regarding the proposed action; and</text> </paragraph> <paragraph num="(b)"> <text>Request a hearing on the proposal.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Additional Requirements — Attraction Specific Requirements."> <text>See COMAR 09.12.61 for additional requirements based on type of amusement attraction.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§3-204(c), 3-302, 3-307—3-313, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 1, 2022 (4921 Md. R. 951)</annotation> </annotations> </chapter> <chapter num="61" heading="Amusement Attractions — Attraction Specific Provisions"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter identifies specific provisions for ropeway-aerial lifts, towers and conveyors as well as challenge courses and canopy/zipline tours and trampolines, trampoline courts and trampoline parks in addition to providing cross references to specific provisions of other types of attractions.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Incorporation by Reference."> <text>In this chapter, the following documents are incorporated by reference to the extent that they are referenced in this chapter:</text> <paragraph num="A."> <text>The American National Standard for Passenger Ropeways — Aerial Tramways, Aerial Lifts, Surface Lifts, Tows and Conveyors — Safety Requirements, ANSI B77.1-1999, excluding Section 2.3.6.3;</text> </paragraph> <paragraph num="B."> <text>ANSI/ACCT 03-2016 Challenge Courses and Canopy/Zip Line Tours Standards; and</text> </paragraph> <paragraph num="C."> <text>American Society for Testing Materials, F2970-2022 Trampolines, Trampoline Courts/Trampoline Parks Standards, excluding the definition of “major modification” in Section 8.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Water Slides Erected Permanently or Temporarily in the State."> <text>In addition to the requirements in COMAR 09.12.60 and 09.12.62, water slides erected permanently or temporarily in the State shall comply with the requirements of COMAR 09.12.63.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Go-Kart Operations."> <text>In addition to the requirements in COMAR 09.12.60 and 09.12.62, go-kart operations shall comply with the requirements of COMAR 09.12.64.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Ropeways-Aerial Lifts, Surface Lifts, Towers, and Conveyors."> <text>In addition to the requirements in COMAR 09.12.60, passenger transportation systems that use cables, ropes, or other flexible elements for power transmission in the system shall conform to the American National Standard for Passenger Ropeways — Aerial Tramways, Aerial Lifts, Surface Lifts, Tows and Conveyors — Safety Requirements, which is incorporated by reference in COMAR 09.12.61.02.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Challenge Courses and Canopy/Zip Line Tours."> <text>In addition to the requirements in COMAR 09.12.60, Challenge Courses and Canopy/Zip Line Tours shall conform to the ANSI/ACCT 03-2016 Challenge Courses and Canopy/Zip Line Tours Standards, which is incorporated by reference in COMAR 09.12.61.02.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Inflatable Amusement Attractions."> <text>The requirements for inflatable amusement attractions are in COMAR 09.12.66 of this chapter.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="All Other Amusement Attractions."> <text>In addition to the requirements in COMAR 09.12.60, all other amusement attractions covered under this subtitle not included in Regulations .05—.07 of this chapter shall comply with the requirements under COMAR 09.12.62.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="All Other Amusement Attractions."> <text>In addition to the requirements in COMAR 09.12.60, all other amusement attractions covered under this subtitle not included in Regulations .05. — .08 of this chapter shall comply with the requirements under COMAR 09.12.62 Amusement Attractions Erected Permanently or Temporarily at Carnivals, Fairs, and Amusement Parks.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§3-302, 3-307—3-313, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 1, 2022 (4921 Md. R. 951)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 14, 2025 (52:7 Md. R. 321)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective April 14, 2025 (52:7 Md. R. 321)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective April 14, 2025 (52:7 Md. R. 321)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 recodified to Regulation .08 effective April 14, 2025 (52:7 Md. R. 321)</annotation> <annotation type="History" subtype="Administrative History">Regulation 08 recodified to Regulation .09 effective April 14, 2025 (52:7 Md. R. 321)</annotation> </annotations> </chapter> <chapter num="62" heading="Amusement Attractions Erected Permanently or Temporarily at Carnivals, Fairs, and Amusement Parks"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>In addition to the general requirements contained in COMAR 09.12.60, this chapter establishes specific requirements for the installation, assembly, repair, maintenance, use, operation, disassembly, and inspection of amusement attractions permanently or temporarily erected at amusement parks, carnivals, or fairs operated in the State with the exception of challenge courses, and ropeways-aerial lifts which are provided for in COMAR 09.12.61 and inflatable amusement attractions which are provided for in COMAR 09.12.66.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Accepted engineering practice” means engineering practice that conforms to accepted principles, tests, or standards of nationally recognized technical or scientific authorities including, but not limited to, ASTM.</text> </paragraph> <paragraph num="(2)"> <text>“ASTM” means ASTM International, originally known as the American Society for Testing and Materials.</text> </paragraph> <paragraph num="(3)"> <text>“Containing device” means a strap, belt, bar, gate, or other safety device designed to prevent accidental or inadvertent dislodgement of a rider from an amusement attraction, that does not provide physical support.</text> </paragraph> <paragraph num="(4)"> <text>“Design load” means the load established by the manufacturer for normal operation, with required factors of safety and design to withstand both static and dynamic loads, including dead, live, and wind loads and impact.</text> </paragraph> <paragraph num="(5)"> <text>“Fail-safe” means a characteristic of an amusement attraction or component of an amusement attraction that is designed so that the normal and expected failure mode results in a safe condition.</text> </paragraph> <paragraph num="(6)"> <text>“Fence” means a type of barrier:</text> <paragraph num="(a)"> <text>Consisting of, but not limited to, posts, boards, wire, stakes, or rails; and</text> </paragraph> <paragraph num="(b)"> <text>Used to inhibit an individual from coming into contact with the moving portion or restricted portion of an amusement attraction.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>“Owner” has the meaning stated in Business Regulation Article, §3-101, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(8)"> <text>“Qualified person” means a person who:</text> <paragraph num="(a)"> <text>By extensive knowledge, training, and experience has successfully demonstrated the ability to solve or resolve problems relating to the work; or</text> </paragraph> <paragraph num="(b)"> <text>Possesses a recognized degree, certificate, or professional standing.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>“Rated capacity” means a capacity:</text> <paragraph num="(a)"> <text>Established by the manufacturer for the normal loading and operation of an amusement attraction; or</text> </paragraph> <paragraph num="(b)"> <text>If the manufacturer has not established a capacity, as established by the Commissioner after inspection.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Restraining device” means a safety belt, harness, chain, bar, or other device that affords physical support, retention, or restraint to a rider on an amusement attraction.</text> </paragraph> <paragraph num="(11)"> <text>Rider.</text> <paragraph num="(a)"> <text>“Rider” means any person who is:</text> <paragraph num="(i)"> <text>Getting on an amusement attraction;</text> </paragraph> <paragraph num="(ii)"> <text>Using an amusement attraction; or</text> </paragraph> <paragraph num="(iii)"> <text>Getting off an amusement attraction.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Rider” does not include employees of the amusement attraction owner while engaged in the duties of their employment.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Safety retainer” means a secondary safety rope, bar, attachment, or other device designed to prevent parts of an amusement attraction from becoming disengaged from the mechanism or from tipping or tilting in a manner to cause hazard to a person near or riding on an amusement attraction.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Incorporation by Reference."> <text>The ASTM International Standards on Amusement Rides and Devices, is incorporated by reference in COMAR 09.12.60.03A to the extent referenced in this chapter.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Access, Egress, and Walking Surfaces."> <paragraph num="A."> <text>General Requirements.</text> <paragraph num="(1)"> <text>All amusement attractions shall have a safe and adequate means of access and egress.</text> </paragraph> <paragraph num="(2)"> <text>All walking surfaces, including, but not limited to, loading and unloading areas, platforms, landings, stairs, and ramps shall be stable, firm, and slip-resistant.</text> </paragraph> <paragraph num="(3)"> <text>If there is the potential for exposure to a fall distance exceeding 30 inches, the owner shall take action to inhibit such falls.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Stairways, Ramps, Landings, and Platforms.</text> <paragraph num="(1)"> <text>Adequate stairways, ramps, landings, and platforms shall be provided at the entrance to and exit from an amusement attraction that is above or below grade or floor level.</text> </paragraph> <paragraph num="(2)"> <text>Stairways, landings, and ramps shall be designed and constructed using a safety factor of 5 to safely sustain the load that may be imposed on it.</text> </paragraph> <paragraph num="(3)"> <text>Stairways and ramps shall be at least 22 inches wide.</text> </paragraph> <paragraph num="(4)"> <text>A stairway shall be provided at entrances and exits where there is a break in elevation of 19 inches or more, and no ramp, runway, or sloped embankment is provided.</text> </paragraph> <paragraph num="(5)"> <text>Stair treads shall be at least 10-1/2 inches deep, exclusive of nosing, and comply with the following:</text> <paragraph num="(a)"> <text>The height of rise may not exceed 9 inches; and</text> </paragraph> <paragraph num="(b)"> <text>Between any two levels, stair treads shall be of uniform depth and the risers of uniform height.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The maximum slope of any ramp may not exceed 1:12.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Passageways.</text> <paragraph num="(1)"> <text>Passageways shall be:</text> <paragraph num="(a)"> <text>At least 22 inches wide; and</text> </paragraph> <paragraph num="(b)"> <text>Kept free of debris, obstructions, projections, and other hazards.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Surfaces shall be constructed and maintained to prevent slipping and tripping.</text> </paragraph> <paragraph num="(3)"> <text>Floors shall be kept free of protruding nails, splinters, holes, or loose boards.</text> </paragraph> <paragraph num="(4)"> <text>When mechanical equipment is used, appropriate guarding and sufficient safe clearances shall be maintained.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Handrails and Guardrails.</text> <paragraph num="(1)"> <text>Regardless of width, ramps and all stairs with more than one step riser shall have, on both sides, a handrail of sufficient strength and structure to provide safe support.</text> </paragraph> <paragraph num="(2)"> <text>Handrails shall be continuous without interruption and shall be free of any sharp or abrasive elements.</text> </paragraph> <paragraph num="(3)"> <text>Stairways and ramps 88 inches or greater in width shall have a handrail placed approximately in the center, located not more than 4 feet from any point on the stair or ramp.</text> </paragraph> <paragraph num="(4)"> <text>Handrails may not encroach on the clearance envelope of the amusement attraction.</text> </paragraph> <paragraph num="(5)"> <text>When guardrails are used, they shall be capable of withstanding a load of at least 200 pounds applied in any direction at any point on the rail.</text> </paragraph> <paragraph num="(6)"> <text>Guardrails, except for barriers, guardrails, or similar means that were originally designed and manufactured as a component of the amusement attraction, shall be of a height at least 42 inches above the surface on which persons stand.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Fences and Gates.</text> <paragraph num="(1)"> <text>An owner shall ensure that each amusement attraction is protected in a manner sufficient to prevent the general public from coming in contact with an amusement attraction or gaining access to the path or course of the amusement attraction while the amusement attraction is in operation if such access or contact would present a hazard.</text> </paragraph> <paragraph num="(2)"> <text>Fences and gates shall be constructed to meet the following minimum requirements:</text> <paragraph num="(a)"> <text>Fences shall be designed and constructed of durable materials and erected to inhibit overturning by spectators or riders; and</text> </paragraph> <paragraph num="(b)"> <text>Fences and gates shall be constructed as to inhibit:</text> <paragraph num="(i)"> <text>Spectator contact with the amusement attraction;</text> </paragraph> <paragraph num="(ii)"> <text>Rider contact with fences or gates; and</text> </paragraph> <paragraph num="(iii)"> <text>Contact between a spectator and rider while the amusement attraction is in operation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>When fences and gates are provided, they shall be of a height at least 36 inches above the surface on which the spectators or riders stand.</text> </paragraph> <paragraph num="(4)"> <text>Gates shall:</text> <paragraph num="(a)"> <text>Be provided at each entrance and exit; and</text> </paragraph> <paragraph num="(b)"> <text>Unless equipped with a positive latching or holding device, open away from the amusement attraction.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>A gate shall be designed so that if opened during the operating cycle, the gate will not come in contact with the amusement attraction or cause a hazard to riders.</text> </paragraph> <paragraph num="(6)"> <text>Replacement fences, gates, and guardrails shall comply with ASTM F 2291—04, Section 14.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="General Environment."> <paragraph num="A."> <text>The following procedures shall be implemented during a lightning or high wind storm, tornado or severe storm warning, fire, or if violence, riot, or civil disturbance occurs or threatens to occur in an amusement park, carnival lot, or fair:</text> <paragraph num="(1)"> <text>The manufacturer's wind-related and weather-related restrictions shall be followed during periods of high wind or storm;</text> </paragraph> <paragraph num="(2)"> <text>Each rider shall be unloaded or evacuated safely from the amusement attraction immediately; and</text> </paragraph> <paragraph num="(3)"> <text>The amusement attraction shall be closed and secured immediately.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Illumination.</text> <paragraph num="(1)"> <text>Each amusement attraction, including entrances and exits, shall be adequately illuminated to ensure rider safety.</text> </paragraph> <paragraph num="(2)"> <text>For the assembly and disassembly of amusement attractions and temporary structures, all work areas shall be adequately illuminated to ensure public safety.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Equipment and Materials."> <paragraph num="A."> <text>If amusement attractions use mechanical, pneumatic, or hydraulic energy, these systems shall have a means of being locked out, when necessary, for performing maintenance or inspections.</text> </paragraph> <paragraph num="B."> <text>Pressure vessels and pressure vessel systems shall conform to the requirements of the Maryland Boiler and Pressure Vessel Safety Act, Public Safety Article, §§12-901—12-919, Annotated Code of Maryland, and COMAR 09.12.01, including the inspection requirements.</text> </paragraph> <paragraph num="C."> <text>Hydraulic Systems.</text> <paragraph num="(1)"> <text>Hydraulic systems and other related equipment used in connection with an amusement attraction shall be:</text> <paragraph num="(a)"> <text>Maintained to ensure safe operation at all times;</text> </paragraph> <paragraph num="(b)"> <text>Equipped with a relief valve;</text> </paragraph> <paragraph num="(c)"> <text>Equipped with a manual lowering valve, if applicable; and</text> </paragraph> <paragraph num="(d)"> <text>Inspected for leaks, damaged pipes, and worn or deteriorated hoses before each operation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A pressure gauge shall be required for all hydraulic systems and conspicuously marked with the maximum safe working pressure.</text> </paragraph> <paragraph num="(3)"> <text>A flexible hose shall be:</text> <paragraph num="(a)"> <text>Compliant with the manufacturer's specifications;</text> </paragraph> <paragraph num="(b)"> <text>Compatible with the fluid used in it; and</text> </paragraph> <paragraph num="(c)"> <text>Inspected to ensure proper installation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Welding. Welding, welding procedures, and welding procedure documentation shall comply with ASTM F 2291—04, Section 15.</text> </paragraph> <paragraph num="E."> <text>Fasteners.</text> <paragraph num="(1)"> <text>All fasteners shall conform to the manufacturer's specifications or accepted engineering practices.</text> </paragraph> <paragraph num="(2)"> <text>Owners shall comply with:</text> <paragraph num="(a)"> <text>The manufacturer's torque specifications and replacement schedules; or</text> </paragraph> <paragraph num="(b)"> <text>Accepted engineering practices.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Machinery and Machine Guarding.</text> <paragraph num="(1)"> <text>The owner shall install machine guards or apply other appropriate measures to protect persons from contact with belts, chains, pulleys, gears, and similar moving components.</text> </paragraph> <paragraph num="(2)"> <text>Guards shall be:</text> <paragraph num="(a)"> <text>Designed to perform a specific task;</text> </paragraph> <paragraph num="(b)"> <text>Properly secured; and</text> </paragraph> <paragraph num="(c)"> <text>Properly maintained in a condition consistent with the intent of the guards' design.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Before a guard is removed for maintenance purposes, the equipment shall be locked out or tagged out. The guard shall be replaced before normal operation is resumed.</text> </paragraph> <paragraph num="(4)"> <text>Power transmission devices and any associated moving parts shall be shielded, enclosed, or barricaded to provide proper protection.</text> </paragraph> <paragraph num="(5)"> <text>If it is reasonably foreseeable that parts can break free from a power transmission device, the owner shall make provisions to contain the components.</text> </paragraph> <paragraph num="(6)"> <text>Temporary guards shall be secured to prevent movement or tip-over if a person falls or stumbles against the temporary guard.</text> </paragraph> <paragraph num="(7)"> <text>A guard or barrier shall be designed so that it does not pose a hazard in itself.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Hair Guards. If it is reasonably foreseeable that a mounting on an amusement attraction can catch or entangle long hair, the amusement attraction shall be equipped with a hair guard.</text> </paragraph> <paragraph num="H."> <text>Seating.</text> <paragraph num="(1)"> <text>Tubs, cars, chairs, seats, gondolas, and other carriers used on an amusement attraction shall be designed, constructed, and maintained in accordance with this chapter and manufacturer's specifications.</text> </paragraph> <paragraph num="(2)"> <text>Parts of an amusement attraction that riders may reasonably be expected to come in contact with shall be smooth and free from unprotected protruding studs, bolts, screws, sharp edges, and rough or splintered surfaces.</text> </paragraph> <paragraph num="(3)"> <text>Parts on or against which a rider may be thrown by action of the amusement attraction shall be adequately padded to prevent or minimize the possibility of injury.</text> </paragraph> <paragraph num="(4)"> <text>Upholstery and padding shall be kept in good repair and free of loose portions.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Safety Retaining Devices.</text> <paragraph num="(1)"> <text>Safety retainers shall be provided, where possible, on tubs, cars, chairs, seats, gondolas, or other carriers that depend on a single means of attachment or support.</text> </paragraph> <paragraph num="(2)"> <text>Safety retainers shall be designed and installed to prevent a carrier from being catapulted if it becomes disengaged from its support or attachment.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Restraining and Containing Devices.</text> <paragraph num="(1)"> <text>A restraining or containing device, or a combination of the two, shall be provided on tubs, cars, chairs, seats, gondolas, or other carriers if:</text> <paragraph num="(a)"> <text>Forces resulting from operation, mechanical malfunction, or both, may unseat or dislodge a rider;</text> </paragraph> <paragraph num="(b)"> <text>Inadvertent movement of a rider may cause injury to the rider or another rider; or</text> </paragraph> <paragraph num="(c)"> <text>The speed of the amusement attraction may present a hazard to a rider.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A restraining or containing device shall be designed, constructed, installed, and maintained to withstand the intended forces produced by the amusement attraction and the reasonably foreseeable actions of the rider.</text> </paragraph> <paragraph num="(3)"> <text>Anchorage for a restraining or containing device shall have strength at least equal to the strength of the device.</text> </paragraph> <paragraph num="(4)"> <text>A restraining or containing device:</text> <paragraph num="(a)"> <text>Shall provide safe support for riders;</text> </paragraph> <paragraph num="(b)"> <text>Shall be designed to prevent inadvertent release by a rider or by accidental means while the amusement attraction is in motion; and</text> </paragraph> <paragraph num="(c)"> <text>May not pose a hazard in itself.</text> </paragraph> </paragraph> </paragraph> <paragraph num="K."> <text>Speeding and Overloading.</text> <paragraph num="(1)"> <text>An owner may not permit an amusement attraction to be:</text> <paragraph num="(a)"> <text>Loaded beyond its rated capacity; or</text> </paragraph> <paragraph num="(b)"> <text>Operated at an unsafe speed or at any speed other than that prescribed by the manufacturer's specifications.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Speed-Limiting Device. If the amusement attraction is capable of exceeding the maximum speed, then a speed-limiting device shall be installed and functional to ensure that the amusement attraction does not exceed the maximum prescribed speed.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Brake System.</text> <paragraph num="(1)"> <text>The owner shall ensure that a braking system is utilized if coasting renders the operation dangerous:</text> <paragraph num="(a)"> <text>During the period the amusement attraction is being loaded or unloaded;</text> </paragraph> <paragraph num="(b)"> <text>In the case of power failure; or</text> </paragraph> <paragraph num="(c)"> <text>In any other situation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the failure of the braking device results in an unsafe condition, the braking device shall be fail-safe.</text> </paragraph> <paragraph num="(3)"> <text>If cars or other components of an amusement attraction may collide and cause personal injuries on failure of normal controls, an emergency system sufficient to prevent these collisions shall be provided.</text> </paragraph> <paragraph num="(4)"> <text>An amusement attraction using inclined tracks, designed to operate in only one direction and having a lift hill with a vertical height exceeding 15 feet, shall have an automatic antirollback device sufficient to prevent rider-carrying units from moving backward if the propelling mechanism fails.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Internal Combustion Power Sources.</text> <paragraph num="(1)"> <text>Internal combustion power sources shall be:</text> <paragraph num="(a)"> <text>Of adequate type, design, and capacity to accommodate the design load;</text> </paragraph> <paragraph num="(b)"> <text>Located to permit proper maintenance; and</text> </paragraph> <paragraph num="(c)"> <text>Protected by guards, fencing, or an enclosure to prevent exposure to hazards and to secure the equipment.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Engine exhaust shall be discharged away from the public, so as not to create a hazard.</text> </paragraph> <paragraph num="(3)"> <text>Fire extinguishers shall be placed in locations that are readily accessible and compliant with COMAR 09.12.60.12B.</text> </paragraph> <paragraph num="(4)"> <text>Fuel Tanks.</text> <paragraph num="(a)"> <text>With the exception of go-kart operations as regulated under COMAR 09.12.64.10D, an amusement attraction shall be closed down and unloaded during refueling.</text> </paragraph> <paragraph num="(b)"> <text>Refueling shall be in an area remote from the public.</text> </paragraph> <paragraph num="(c)"> <text>Fuel supply may not be replenished while engines are operating.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Enclosed Areas.</text> <paragraph num="(a)"> <text>An enclosed area in which an internal combustion engine is operated shall be adequately ventilated.</text> </paragraph> <paragraph num="(b)"> <text>Engine exhaust fumes shall be discharged outside the enclosed area.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Location and Operation."> <paragraph num="A."> <text>Assembly and Disassembly.</text> <paragraph num="(1)"> <text>The assembly and disassembly of an amusement attraction shall be performed:</text> <paragraph num="(a)"> <text>In accordance with the manufacturer's procedures and specifications;</text> </paragraph> <paragraph num="(b)"> <text>Using only manufacturer specified components, fasteners, and tools;</text> </paragraph> <paragraph num="(c)"> <text>Under the immediate supervision of a person experienced and trained in the proper procedures; and</text> </paragraph> <paragraph num="(d)"> <text>In a professional manner.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The public shall be prevented from entering areas in which amusement attractions are being assembled or disassembled.</text> </paragraph> <paragraph num="(3)"> <text>Quality and Inspection of Parts.</text> <paragraph num="(a)"> <text>During assembly, parts shall be closely inspected to discover wear or damage.</text> </paragraph> <paragraph num="(b)"> <text>Excessively worn or damaged parts may not be used.</text> </paragraph> <paragraph num="(c)"> <text>Replacement parts shall comply with Regulation .08F of this chapter.</text> </paragraph> <paragraph num="(d)"> <text>Immediately after assembly, all fastening devices shall be inspected to ensure proper installation and compliance with the manufacturer's specifications.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Location.</text> <paragraph num="(1)"> <text>Layout of the amusement attraction shall be established to ensure:</text> <paragraph num="(a)"> <text>Continuous traffic patterns; and</text> </paragraph> <paragraph num="(b)"> <text>Accessibility of emergency personnel.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Unless unavoidable, rope, wire rope, or braces used to support an amusement attraction may not be located in pedestrian traffic patterns. If this is unavoidable, the support devices shall be clearly marked with streamers or other devices to attract attention.</text> </paragraph> <paragraph num="(3)"> <text>The area surrounding the amusement attraction shall be clear of:</text> <paragraph num="(a)"> <text>Trees and shrubs, if they pose a hazard;</text> </paragraph> <paragraph num="(b)"> <text>Trash; and</text> </paragraph> <paragraph num="(c)"> <text>Other tripping hazards.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Foundation.</text> <paragraph num="(1)"> <text>Temporary and Permanent Amusement Attractions.</text> <paragraph num="(a)"> <text>A temporary or permanent amusement attraction shall be placed on a properly designed and constructed foundation or solid footing.</text> </paragraph> <paragraph num="(b)"> <text>Except as provided in §C(1)(c) of this regulation, loose cement blocks, bricks, or similar type blocks may not be used as footings to support an amusement attraction.</text> </paragraph> <paragraph num="(c)"> <text>Bricks or similar type blocks may be used on buildings for bumper cars and on platforms, cat walks, ramps, and stairs that do not bear the weight of the amusement attraction.</text> </paragraph> <paragraph num="(d)"> <text>An amusement attraction shall be:</text> <paragraph num="(i)"> <text>Set up in a manner to prevent shifting, tipping, or swaying; and</text> </paragraph> <paragraph num="(ii)"> <text>If required by the manufacturer, secured to the foundation or footings.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Use of wood shim blocks shall be kept to a minimum, and, if used, the blocking shall be cribbed.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Temporary Amusement Attractions.</text> <paragraph num="(a)"> <text>A daily inspection of an amusement attraction and its footings shall be performed while the amusement attraction is in motion as part of the daily inspection.</text> </paragraph> <paragraph num="(b)"> <text>Depressions in the ground near an amusement attraction's footings shall be filled and tamped.</text> </paragraph> <paragraph num="(c)"> <text>Adequate drainage shall be provided to prevent rain water from collecting and softening supporting areas.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Leveling and Alignment. Amusement attractions that are designed to operate on a perpendicular or horizontal axis or have a combination of orbiting planes shall be:</text> <paragraph num="(1)"> <text>Level, plumb, and secured to prevent the amusement attraction from shifting or tipping; and</text> </paragraph> <paragraph num="(2)"> <text>Stable under all operating conditions.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Operating Controls.</text> <paragraph num="(1)"> <text>Each amusement attraction shall be provided with operating controls specifically designed to safely operate and control the amusement attraction.</text> </paragraph> <paragraph num="(2)"> <text>Operating controls shall be located where the operator has an unobstructed view of the loading area.</text> </paragraph> <paragraph num="(3)"> <text>Operating controls shall be provided with a stop switch that, when activated, stops the amusement attraction.</text> </paragraph> <paragraph num="(4)"> <text>Resetting a stop switch may not automatically restart the amusement attraction.</text> </paragraph> <paragraph num="(5)"> <text>An electrical safety stop circuit shall be a closed circuit so that, in case of power failure or malfunction of any element, the system will cause the amusement attraction to fail-safe.</text> </paragraph> <paragraph num="(6)"> <text>After actuation of a stop, the cause shall be determined and any problem corrected before resuming operation of the amusement attraction.</text> </paragraph> <paragraph num="(7)"> <text>Each amusement attraction shall have a means to prevent an automatic restart of the amusement attraction in the event of a power failure.</text> </paragraph> <paragraph num="(8)"> <text>Safety stop circuits may not be bypassed during operation.</text> </paragraph> <paragraph num="(9)"> <text>Programmable Logic Controller (PLC).</text> <paragraph num="(a)"> <text>PLCs shall be designed, installed, and maintained by the amusement attraction manufacturer or a professional engineer.</text> </paragraph> <paragraph num="(b)"> <text>Adjustments or alterations to a PLC shall be performed by the manufacturer or with the consent of the manufacturer by a professional engineer.</text> </paragraph> <paragraph num="(c)"> <text>If the manufacturer of the PLC is no longer in business, adjustments or alterations may be performed by a professional engineer knowledgeable in PLC circuitry.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Maintenance."> <paragraph num="A."> <text>Each owner shall read and become familiar with the contents of the manufacturer's instructions and specifications for each amusement attraction owned and operated.</text> </paragraph> <paragraph num="B."> <text>The owner shall ensure that each amusement attraction is inspected each day before operation to ensure that:</text> <paragraph num="(1)"> <text>No part is damaged, missing, or worn; and</text> </paragraph> <paragraph num="(2)"> <text>The amusement attraction is compliant with the manufacturer's specifications.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The owner shall keep and maintain a manual detailing the maintenance requirements as specified by the manufacturer or professional engineer for each amusement attraction owned.</text> </paragraph> <paragraph num="D."> <text>If for good cause an owner is unable to obtain a manufacturer's manual containing recommended maintenance procedures, the owner shall employ a licensed professional engineer to develop a maintenance manual that details the safe and appropriate maintenance of the amusement attraction.</text> </paragraph> <paragraph num="E."> <text>Lockout Device.</text> <paragraph num="(1)"> <text>A means shall be provided to lock out or secure an amusement attraction or any associated equipment from all sources or potential sources of energy before performing maintenance, repair, or inspection.</text> </paragraph> <paragraph num="(2)"> <text>Sources or potential sources of energy include, but are not limited to, electrical, mechanical, hydraulic, spring, gravity, and wind energy.</text> </paragraph> <paragraph num="(3)"> <text>A lockout device shall be engaged before equipment is inspected or serviced.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Replacement Parts.</text> <paragraph num="(1)"> <text>Worn or damaged electrical components, mechanical parts and machinery shall be replaced in accordance with the manufacturer's specifications.</text> </paragraph> <paragraph num="(2)"> <text>Replacement parts for amusement attractions shall be:</text> <paragraph num="(a)"> <text>Procured from the manufacturer or an authorized parts supplier;</text> </paragraph> <paragraph num="(b)"> <text>Produced using the original manufacturer's specifications; or</text> </paragraph> <paragraph num="(c)"> <text>Produced using specifications derived from sufficient analysis to ensure that the parts are for equivalent functions and of equivalent quality to those provided by the original manufacturer.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Wire Rope.</text> <paragraph num="(1)"> <text>Wire rope shall be thoroughly examined as part of the daily inspection or at intervals specified by the manufacturer.</text> </paragraph> <paragraph num="(2)"> <text>Damaged wire rope shall be replaced with new wire rope of the design and capacity specified by the manufacturer.</text> </paragraph> <paragraph num="(3)"> <text>Wire rope shall be replaced as specified by the manufacturer or under the following conditions:</text> <paragraph num="(a)"> <text>In running ropes, when there are six randomly distributed broken wires in one rope lay, or three broken wires in one strand in one rope lay;</text> </paragraph> <paragraph num="(b)"> <text>In pendant rope or rope that bears the entire load and is subject to constant pressure and surge shocks, when there is more than one broken wire in one rope lay;</text> </paragraph> <paragraph num="(c)"> <text>Severe corrosion;</text> </paragraph> <paragraph num="(d)"> <text>Kinking, crushing, bird-caging, or other damage resulting in distortion of rope structure;</text> </paragraph> <paragraph num="(e)"> <text>Heat damage;</text> </paragraph> <paragraph num="(f)"> <text>For ropes with the following diameters, when there is the noted reduction in diameter as follows:</text> <paragraph num="(i)"> <text>For normal diameter up to and including 3/4 inch, reduction of more than 3/64 inch;</text> </paragraph> <paragraph num="(ii)"> <text>For normal diameter of 7/8 inch to 1-1/8 inches, reduction of 1/16 inch; and</text> </paragraph> <paragraph num="(iii)"> <text>For normal diameter of 1-1/4 inches to 1-1/2 inches, reduction of 3/32 inch; and</text> </paragraph> </paragraph> <paragraph num="(g)"> <text>Noticeable rusting or broken wire near an attachment.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Wire rope used to support, suspend, bear, or control forces and weights involved in the movement and use of tubs, cars, chairs, seats, gondolas, or other carriers, the sweeps, or other supporting members of an amusement attraction may not be lengthened or repaired by splicing.</text> </paragraph> <paragraph num="(5)"> <text>Wire rope drums, sheaves, or any mechanical device that is in contact with wire rope shall be examined daily to ensure cleanliness, lubrication, and compliance with manufacturer's specifications.</text> </paragraph> <paragraph num="(6)"> <text>Mechanical devices used in conjunction with wire rope shall be replaced immediately when worn or showing signs of undue roughness or uneven wear.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Chains.</text> <paragraph num="(1)"> <text>Chains used as a safety device or in a stress-bearing situation shall comply with the manufacturer's specifications or be approved for such use by a licensed professional engineer.</text> </paragraph> <paragraph num="(2)"> <text>Noncertified chain, including, but not limited to, twisted wire or stamped tin, may not be used.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Articulations and Bearings. Articulating pinions, frames, sweeps, eccentrics, bearing surfaces, ball joints, and other mechanical parts shall be:</text> <paragraph num="(1)"> <text>Inspected for wear, out-of-round, cracks, and other signs of deterioration;</text> </paragraph> <paragraph num="(2)"> <text>Kept well-lubricated; and</text> </paragraph> <paragraph num="(3)"> <text>Maintained consistent with manufacturer's specifications.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Wood Components.</text> <paragraph num="(1)"> <text>Wood components shall be inspected daily to ensure continued safe operation of the amusement attraction.</text> </paragraph> <paragraph num="(2)"> <text>Wood components, when found to be defective or deteriorated, shall be repaired or replaced before operating the amusement attraction.</text> </paragraph> <paragraph num="(3)"> <text>Pilings.</text> <paragraph num="(a)"> <text>To check deterioration of a piling, a minimum of 18 inches of soil, with respect to grade, shall be removed around a piling or wood member embedded in dirt for support.</text> </paragraph> <paragraph num="(b)"> <text>After inspection, the dirt shall be replaced by tamping it into place and forming a mound to shed water away from the piling.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Ground level concrete piers shall be used when the wood piling requires replacement.</text> </paragraph> <paragraph num="(5)"> <text>A defective wood member shall be replaced with material of equal or greater strength as specified by the manufacturer or a licensed professional engineer.</text> </paragraph> <paragraph num="(6)"> <text>Repair and replacement of wood components as part of a fixed roller coaster shall be made in accordance with the manufacturer's specifications.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Nondestructive Testing (NDT).</text> <paragraph num="(1)"> <text>NDT shall be conducted as recommended by the manufacturer or as required by the Commissioner.</text> </paragraph> <paragraph num="(2)"> <text>When a manufacturer's specifications make no provisions for NDT and if the Commissioner considers it appropriate, the Commissioner may require NDT of components by an approved testing facility.</text> </paragraph> <paragraph num="(3)"> <text>NDT Results.</text> <paragraph num="(a)"> <text>NDT results shall:</text> <paragraph num="(i)"> <text>List the date of the test, the amusement attraction owner, and the serial or identification number of the device;</text> </paragraph> <paragraph num="(ii)"> <text>Be kept with the amusement attraction to the extent feasible or at a central location at the site of operation; and</text> </paragraph> <paragraph num="(iii)"> <text>Be maintained for 1 year.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A copy of the NDT results shall be provided to the Commissioner on request.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>NDT shall be performed by a qualified NDT inspector in accordance with ASTM E 543-06.</text> </paragraph> <paragraph num="(5)"> <text>Components found to have relevant indications that do not meet the acceptance criteria shall be replaced or reconditioned in accordance with manufacturer's specifications.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Amusement Attraction Operating Records and Reports."> <paragraph num="A."> <text>Daily Inspection Reports.</text> <paragraph num="(1)"> <text>Daily inspection reports shall be:</text> <paragraph num="(a)"> <text>Signed by the person performing the inspection immediately upon completion of the inspection;</text> </paragraph> <paragraph num="(b)"> <text>Kept with the amusement attraction or at an on-site office; and</text> </paragraph> <paragraph num="(c)"> <text>Maintained for at least 30 days.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Copies of daily inspection reports shall be made available to the Commissioner on request.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Daily Electrical Inspection Report.</text> <paragraph num="(1)"> <text>The owner shall ensure that a qualified person performs an inspection of the electrical system each day before operation.</text> </paragraph> <paragraph num="(2)"> <text>A copy of the electrical inspection report shall be:</text> <paragraph num="(a)"> <text>Signed by the person performing the inspection;</text> </paragraph> <paragraph num="(b)"> <text>Kept with the amusement attraction or at an on-site office;</text> </paragraph> <paragraph num="(c)"> <text>Maintained for at least 30 days; and</text> </paragraph> <paragraph num="(d)"> <text>Provided to the Commissioner upon request.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>NDT Results.</text> <paragraph num="(1)"> <text>The owner shall maintain a copy of the NDT results if required by Regulation .18K of this chapter for a period of 1 year:</text> <paragraph num="(a)"> <text>With the amusement attraction;</text> </paragraph> <paragraph num="(b)"> <text>At an on-site office; or</text> </paragraph> <paragraph num="(c)"> <text>Otherwise readily available.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A copy of the NDT results shall be provided to the Commissioner on request.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An owner shall immediately notify the Commissioner of a major breakdown.</text> </paragraph> <paragraph num="E."> <text>Written Log.</text> <paragraph num="(1)"> <text>An owner shall ensure that a written log is:</text> <paragraph num="(a)"> <text>Maintained containing any reports from riders complaining of adverse physical effects or operating inconsistencies occurring during the operation of an amusement attraction; and</text> </paragraph> <paragraph num="(b)"> <text>Submitted to the Commissioner when multiple reports of a particular nature that may indicate a pattern are shown on the log.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A copy of the log shall be made available to the Commissioner upon request.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Identification Records. An owner shall maintain a record of operator and attendant identification that includes the following for each operator and attendant:</text> <paragraph num="(1)"> <text>Name, address, and phone number; and</text> </paragraph> <paragraph num="(2)"> <text>Identification number, if any.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Record of Training.</text> <paragraph num="(1)"> <text>Each owner shall:</text> <paragraph num="(a)"> <text>Maintain a record of the training provided to each operator and attendant; and</text> </paragraph> <paragraph num="(b)"> <text>Provide the Commissioner with a copy of the record of training on request.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The training record shall indicate the following for each operator or attendant:</text> <paragraph num="(a)"> <text>The name or identification number;</text> </paragraph> <paragraph num="(b)"> <text>A detailed description of the training provided; and</text> </paragraph> <paragraph num="(c)"> <text>A list of all the amusement attractions for which the operator and attendant received training.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Design Criteria."> <paragraph num="A."> <text>Scope. This regulation does not apply to an amusement attraction that has operated in Maryland prior to January 2008 unless there is a major modification.</text> </paragraph> <paragraph num="B."> <text>Owners shall ensure that new amusement attractions and amusement attractions with major modifications that are operated in the State meet the criteria set forth in this regulation.</text> </paragraph> <paragraph num="C."> <text>Except as otherwise provided in this regulation, amusement attractions manufactured after January 2008 shall comply with ASTM F 2291—04 and conform to accepted engineering practices and standards.</text> </paragraph> <paragraph num="D."> <text>The owner of an amusement attraction subject to §C of this regulation shall provide the Commissioner with:</text> <paragraph num="(1)"> <text>A copy of the operations and maintenance manuals, assembly instructions, and testing requirements;</text> </paragraph> <paragraph num="(2)"> <text>Certification records from the manufacturer or a licensed professional engineer verifying that the amusement attraction is compliant with ASTM F 2291—04; and</text> </paragraph> <paragraph num="(3)"> <text>If requested, general design criteria as outlined in ASTM F 2291—04, Section 5.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Amusement attractions that are specifically excluded from ASTM F 2291—04 and manufactured after January 2008 shall conform to recognized engineering practices, procedures, standards, and specifications.</text> </paragraph> <paragraph num="F."> <text>The owner of an amusement attraction subject to §E of this regulation shall provide the Commissioner with:</text> <paragraph num="(1)"> <text>Certification from a licensed professional engineer verifying that design data specific to the amusement attraction, including, but not limited to, stress analysis and safety factors along with the materials and components being used, are structurally sound and conform to recognized engineering practices, procedures, standards, and specifications;</text> </paragraph> <paragraph num="(2)"> <text>A copy of the manufacturer's operating specifications, maintenance manuals, assembly instructions, and testing requirements; and</text> </paragraph> <paragraph num="(3)"> <text>If requested, other pertinent data considered necessary by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Amusement attractions that were previously registered and allowed to operate in Maryland and that have undergone a major modification subsequent to January 2008 shall be certified by a professional engineer that the modifications are consistent with accepted engineering practices and standards and ASTM F 2291—04.</text> </paragraph> <paragraph num="H."> <text>The owner of an amusement attraction subject to §G of this regulation shall provide the Commissioner with:</text> <paragraph num="(1)"> <text>Certification from a licensed professional engineer verifying that design data specific to the amusement attraction, including, but not limited to, stress analysis and safety factors along with the materials and components being used, are structurally sound and conform to recognized engineering practices, procedures, standards, and specifications;</text> </paragraph> <paragraph num="(2)"> <text>A copy of the manufacturer's operating specifications, maintenance manuals, assembly instructions, and testing requirements; and</text> </paragraph> <paragraph num="(3)"> <text>If requested, other pertinent data considered necessary by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The owner of an existing amusement attraction manufactured before January 2008 of a particular design that had not previously operated in Maryland shall provide the Commissioner with:</text> <paragraph num="(1)"> <text>Certification records from a licensed professional engineer verifying that the amusement attraction and the materials and components being used are structurally sound and conform to recognized engineering practices, procedures, standards, and specifications; and</text> </paragraph> <paragraph num="(2)"> <text>A copy of the manufacturer's operating specifications, maintenance manuals, assembly instructions, and testing requirements.</text> </paragraph> </paragraph> <paragraph num="J."> <text>If the manufacturer's specifications of an amusement attraction subject to §I of this regulation are unavailable for good reason, the owner shall:</text> <paragraph num="(1)"> <text>Develop specifications that ensure safe assembly, operation, repair, maintenance, testing, and disassembly of the amusement attraction;</text> </paragraph> <paragraph num="(2)"> <text>Employ a licensed professional engineer to certify that the specifications are consistent with accepted engineering practices and standards and ASTM F 2291—04; and</text> </paragraph> <paragraph num="(3)"> <text>If requested, provide other pertinent data considered necessary by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Copies of all documents provided to the Commissioner shall be in English.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Access, Egress, and Walking Surfaces."> <paragraph num="A."> <text>General Requirements.</text> <paragraph num="(1)"> <text>All amusement attractions shall have a safe and adequate means of access and egress.</text> </paragraph> <paragraph num="(2)"> <text>All walking surfaces, including, but not limited to, loading and unloading areas, platforms, landings, stairs, and ramps shall be stable, firm, and slip-resistant.</text> </paragraph> <paragraph num="(3)"> <text>If there is the potential for exposure to a fall distance exceeding 30 inches, the owner shall take action to inhibit such falls.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Stairways, Ramps, Landings, and Platforms.</text> <paragraph num="(1)"> <text>Adequate stairways, ramps, landings, and platforms shall be provided at the entrance to and exit from an amusement attraction that is above or below grade or floor level.</text> </paragraph> <paragraph num="(2)"> <text>Stairways, landings, and ramps shall be designed and constructed using a safety factor of 5 to safely sustain the load that may be imposed on it.</text> </paragraph> <paragraph num="(3)"> <text>Stairways and ramps shall be at least 22 inches wide.</text> </paragraph> <paragraph num="(4)"> <text>A stairway shall be provided at entrances and exits where there is a break in elevation of 19 inches or more, and no ramp, runway, or sloped embankment is provided.</text> </paragraph> <paragraph num="(5)"> <text>Stair treads shall be at least 10-1/2 inches deep, exclusive of nosing, and comply with the following:</text> <paragraph num="(a)"> <text>The height of rise may not exceed 9 inches; and</text> </paragraph> <paragraph num="(b)"> <text>Between any two levels, stair treads shall be of uniform depth and the risers of uniform height.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The maximum slope of any ramp may not exceed 1:12.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Passageways.</text> <paragraph num="(1)"> <text>Passageways shall be:</text> <paragraph num="(a)"> <text>At least 22 inches wide; and</text> </paragraph> <paragraph num="(b)"> <text>Kept free of debris, obstructions, projections, and other hazards.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Surfaces shall be constructed and maintained to prevent slipping and tripping.</text> </paragraph> <paragraph num="(3)"> <text>Floors shall be kept free of protruding nails, splinters, holes, or loose boards.</text> </paragraph> <paragraph num="(4)"> <text>When mechanical equipment is used, appropriate guarding and sufficient safe clearances shall be maintained.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Handrails and Guardrails.</text> <paragraph num="(1)"> <text>Regardless of width, ramps and all stairs with more than one step riser shall have, on both sides, a handrail of sufficient strength and structure to provide safe support.</text> </paragraph> <paragraph num="(2)"> <text>Handrails shall be continuous without interruption and shall be free of any sharp or abrasive elements.</text> </paragraph> <paragraph num="(3)"> <text>Stairways and ramps 88 inches or greater in width shall have a handrail placed approximately in the center, located not more than 4 feet from any point on the stair or ramp.</text> </paragraph> <paragraph num="(4)"> <text>Handrails may not encroach on the clearance envelope of the amusement attraction.</text> </paragraph> <paragraph num="(5)"> <text>When guardrails are used, they shall be capable of withstanding a load of at least 200 pounds applied in any direction at any point on the rail.</text> </paragraph> <paragraph num="(6)"> <text>Guardrails, except for barriers, guardrails, or similar means that were originally designed and manufactured as a component of the amusement attraction, shall be of a height at least 42 inches above the surface on which persons stand.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Fences and Gates.</text> <paragraph num="(1)"> <text>An owner shall ensure that each amusement attraction is protected in a manner sufficient to prevent the general public from coming in contact with an amusement attraction or gaining access to the path or course of the amusement attraction while the amusement attraction is in operation if such access or contact would present a hazard.</text> </paragraph> <paragraph num="(2)"> <text>Fences and gates shall be constructed to meet the following minimum requirements:</text> <paragraph num="(a)"> <text>Fences shall be designed and constructed of durable materials and erected to inhibit overturning by spectators or riders; and</text> </paragraph> <paragraph num="(b)"> <text>Fences and gates shall be constructed as to inhibit:</text> <paragraph num="(i)"> <text>Spectator contact with the amusement attraction;</text> </paragraph> <paragraph num="(ii)"> <text>Rider contact with fences or gates; and</text> </paragraph> <paragraph num="(iii)"> <text>Contact between a spectator and rider while the amusement attraction is in operation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>When fences and gates are provided, they shall be of a height at least 36 inches above the surface on which the spectators or riders stand.</text> </paragraph> <paragraph num="(4)"> <text>Gates shall:</text> <paragraph num="(a)"> <text>Be provided at each entrance and exit; and</text> </paragraph> <paragraph num="(b)"> <text>Unless equipped with a positive latching or holding device, open away from the amusement attraction.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>A gate shall be designed so that if opened during the operating cycle, the gate will not come in contact with the amusement attraction or cause a hazard to riders.</text> </paragraph> <paragraph num="(6)"> <text>Replacement fences, gates, and guardrails shall comply with ASTM F 2291—04, Section 14.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Signage."> <paragraph num="A."> <text>When a manufacturer or the Commissioner requires a restriction on the use of an amusement attraction, such as the age or weight of a rider, a legible sign indicating the restriction shall be posted in full view of individuals seeking admission to the amusement attraction:</text> <paragraph num="(1)"> <text>At the location specified by the manufacturer;</text> </paragraph> <paragraph num="(2)"> <text>At the entrance of the amusement attraction; or</text> </paragraph> <paragraph num="(3)"> <text>Close to the amusement attraction.</text> </paragraph> </paragraph> <paragraph num="B."> <text>All amusement attractions shall have a sign posted indicating the height or age restriction, or both, for that amusement attraction.</text> </paragraph> <paragraph num="C."> <text>Entrances to machinery rooms or restricted areas shall have a sign posted warning unauthorized persons not to enter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="General Environment."> <paragraph num="A."> <text>The following procedures shall be implemented during a lightning or high wind storm, tornado or severe storm warning, fire, or if violence, riot, or civil disturbance occurs or threatens to occur in an amusement park, carnival lot, or fair:</text> <paragraph num="(1)"> <text>The manufacturer's wind-related and weather-related restrictions shall be followed during periods of high wind or storm;</text> </paragraph> <paragraph num="(2)"> <text>Each rider shall be unloaded or evacuated safely from the amusement attraction immediately; and</text> </paragraph> <paragraph num="(3)"> <text>The amusement attraction shall be closed and secured immediately.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Illumination.</text> <paragraph num="(1)"> <text>Each amusement attraction, including entrances and exits, shall be adequately illuminated to ensure rider safety.</text> </paragraph> <paragraph num="(2)"> <text>For the assembly and disassembly of amusement attractions and temporary structures, all work areas shall be adequately illuminated to ensure public safety.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Fire Protection."> <paragraph num="A."> <text>Flammable and Combustible Liquids.</text> <paragraph num="(1)"> <text>An owner shall store and handle liquid petroleum gases and flammable liquids as required under the:</text> <paragraph num="(a)"> <text>Occupational Safety and Health Standards—29 CFR §1910.106 (OSHA); and</text> </paragraph> <paragraph num="(b)"> <text>National Fire Protection Association (NFPA) standards adopted by the State Fire Marshal or designee or the Baltimore City Fire Prevention Bureau.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Gasoline and other flammable liquids or gases shall be stored in listed and labeled containers in a location that is:</text> <paragraph num="(a)"> <text>Reasonably cool and ventilated;</text> </paragraph> <paragraph num="(b)"> <text>Not accessible to the public; and</text> </paragraph> <paragraph num="(c)"> <text>At least 20 feet from an amusement attraction or other flammable material.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Flammable or combustible waste materials, such as oily rags, shall be stored in a covered metal container that is:</text> <paragraph num="(a)"> <text>Properly identified; and</text> </paragraph> <paragraph num="(b)"> <text>Kept at least 20 feet from an amusement attraction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Fire Extinguishers.</text> <paragraph num="(1)"> <text>An owner shall provide at least one portable fire extinguisher having an ABC rating, as defined by the National Electrical Code, ANSI/NFPA #70, of not less than 10 pound capacity.</text> </paragraph> <paragraph num="(2)"> <text>The fire extinguisher shall be located not less than 25 feet, or more than 75 feet, from any flammable or combustible:</text> <paragraph num="(a)"> <text>Liquid storage; or</text> </paragraph> <paragraph num="(b)"> <text>Liquid-powered amusement attraction or portable generator.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Equipment and Materials."> <paragraph num="A."> <text>If amusement attractions use mechanical, pneumatic, or hydraulic energy, these systems shall have a means of being locked out, when necessary, for performing maintenance or inspections.</text> </paragraph> <paragraph num="B."> <text>Pressure vessels and pressure vessel systems shall conform to the requirements of the Maryland Boiler and Pressure Vessel Safety Act, Public Safety Article, §§12-901—12-919, Annotated Code of Maryland, and COMAR 09.12.01, including the inspection requirements.</text> </paragraph> <paragraph num="C."> <text>Hydraulic Systems.</text> <paragraph num="(1)"> <text>Hydraulic systems and other related equipment used in connection with an amusement attraction shall be:</text> <paragraph num="(a)"> <text>Maintained to ensure safe operation at all times;</text> </paragraph> <paragraph num="(b)"> <text>Equipped with a relief valve;</text> </paragraph> <paragraph num="(c)"> <text>Equipped with a manual lowering valve, if applicable; and</text> </paragraph> <paragraph num="(d)"> <text>Inspected for leaks, damaged pipes, and worn or deteriorated hoses before each operation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A pressure gauge shall be required for all hydraulic systems and conspicuously marked with the maximum safe working pressure.</text> </paragraph> <paragraph num="(3)"> <text>A flexible hose shall be:</text> <paragraph num="(a)"> <text>Compliant with the manufacturer's specifications;</text> </paragraph> <paragraph num="(b)"> <text>Compatible with the fluid used in it; and</text> </paragraph> <paragraph num="(c)"> <text>Inspected to ensure proper installation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Welding. Welding, welding procedures, and welding procedure documentation shall comply with ASTM F 2291—04, Section 15.</text> </paragraph> <paragraph num="E."> <text>Fasteners.</text> <paragraph num="(1)"> <text>All fasteners shall conform to the manufacturer's specifications or accepted engineering practices.</text> </paragraph> <paragraph num="(2)"> <text>Owners shall comply with:</text> <paragraph num="(a)"> <text>The manufacturer's torque specifications and replacement schedules; or</text> </paragraph> <paragraph num="(b)"> <text>Accepted engineering practices.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Machinery and Machine Guarding.</text> <paragraph num="(1)"> <text>The owner shall install machine guards or apply other appropriate measures to protect persons from contact with belts, chains, pulleys, gears, and similar moving components.</text> </paragraph> <paragraph num="(2)"> <text>Guards shall be:</text> <paragraph num="(a)"> <text>Designed to perform a specific task;</text> </paragraph> <paragraph num="(b)"> <text>Properly secured; and</text> </paragraph> <paragraph num="(c)"> <text>Properly maintained in a condition consistent with the intent of the guards' design.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Before a guard is removed for maintenance purposes, the equipment shall be locked out or tagged out. The guard shall be replaced before normal operation is resumed.</text> </paragraph> <paragraph num="(4)"> <text>Power transmission devices and any associated moving parts shall be shielded, enclosed, or barricaded to provide proper protection.</text> </paragraph> <paragraph num="(5)"> <text>If it is reasonably foreseeable that parts can break free from a power transmission device, the owner shall make provisions to contain the components.</text> </paragraph> <paragraph num="(6)"> <text>Temporary guards shall be secured to prevent movement or tip-over if a person falls or stumbles against the temporary guard.</text> </paragraph> <paragraph num="(7)"> <text>A guard or barrier shall be designed so that it does not pose a hazard in itself.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Hair Guards. If it is reasonably foreseeable that a mounting on an amusement attraction can catch or entangle long hair, the amusement attraction shall be equipped with a hair guard.</text> </paragraph> <paragraph num="H."> <text>Seating.</text> <paragraph num="(1)"> <text>Tubs, cars, chairs, seats, gondolas, and other carriers used on an amusement attraction shall be designed, constructed, and maintained in accordance with this chapter and manufacturer's specifications.</text> </paragraph> <paragraph num="(2)"> <text>Parts of an amusement attraction that riders may reasonably be expected to come in contact with shall be smooth and free from unprotected protruding studs, bolts, screws, sharp edges, and rough or splintered surfaces.</text> </paragraph> <paragraph num="(3)"> <text>Parts on or against which a rider may be thrown by action of the amusement attraction shall be adequately padded to prevent or minimize the possibility of injury.</text> </paragraph> <paragraph num="(4)"> <text>Upholstery and padding shall be kept in good repair and free of loose portions.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Safety Retaining Devices.</text> <paragraph num="(1)"> <text>Safety retainers shall be provided, where possible, on tubs, cars, chairs, seats, gondolas, or other carriers that depend on a single means of attachment or support.</text> </paragraph> <paragraph num="(2)"> <text>Safety retainers shall be designed and installed to prevent a carrier from being catapulted if it becomes disengaged from its support or attachment.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Restraining and Containing Devices.</text> <paragraph num="(1)"> <text>A restraining or containing device, or a combination of the two, shall be provided on tubs, cars, chairs, seats, gondolas, or other carriers if:</text> <paragraph num="(a)"> <text>Forces resulting from operation, mechanical malfunction, or both, may unseat or dislodge a rider;</text> </paragraph> <paragraph num="(b)"> <text>Inadvertent movement of a rider may cause injury to the rider or another rider; or</text> </paragraph> <paragraph num="(c)"> <text>The speed of the amusement attraction may present a hazard to a rider.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A restraining or containing device shall be designed, constructed, installed, and maintained to withstand the intended forces produced by the amusement attraction and the reasonably foreseeable actions of the rider.</text> </paragraph> <paragraph num="(3)"> <text>Anchorage for a restraining or containing device shall have strength at least equal to the strength of the device.</text> </paragraph> <paragraph num="(4)"> <text>A restraining or containing device:</text> <paragraph num="(a)"> <text>Shall provide safe support for riders;</text> </paragraph> <paragraph num="(b)"> <text>Shall be designed to prevent inadvertent release by a rider or by accidental means while the amusement attraction is in motion; and</text> </paragraph> <paragraph num="(c)"> <text>May not pose a hazard in itself.</text> </paragraph> </paragraph> </paragraph> <paragraph num="K."> <text>Speeding and Overloading.</text> <paragraph num="(1)"> <text>An owner may not permit an amusement attraction to be:</text> <paragraph num="(a)"> <text>Loaded beyond its rated capacity; or</text> </paragraph> <paragraph num="(b)"> <text>Operated at an unsafe speed or at any speed other than that prescribed by the manufacturer's specifications.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Speed-Limiting Device. If the amusement attraction is capable of exceeding the maximum speed, then a speed-limiting device shall be installed and functional to ensure that the amusement attraction does not exceed the maximum prescribed speed.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Brake System.</text> <paragraph num="(1)"> <text>The owner shall ensure that a braking system is utilized if coasting renders the operation dangerous:</text> <paragraph num="(a)"> <text>During the period the amusement attraction is being loaded or unloaded;</text> </paragraph> <paragraph num="(b)"> <text>In the case of power failure; or</text> </paragraph> <paragraph num="(c)"> <text>In any other situation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the failure of the braking device results in an unsafe condition, the braking device shall be fail-safe.</text> </paragraph> <paragraph num="(3)"> <text>If cars or other components of an amusement attraction may collide and cause personal injuries on failure of normal controls, an emergency system sufficient to prevent these collisions shall be provided.</text> </paragraph> <paragraph num="(4)"> <text>An amusement attraction using inclined tracks, designed to operate in only one direction and having a lift hill with a vertical height exceeding 15 feet, shall have an automatic antirollback device sufficient to prevent rider-carrying units from moving backward if the propelling mechanism fails.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Internal Combustion Power Sources.</text> <paragraph num="(1)"> <text>Internal combustion power sources shall be:</text> <paragraph num="(a)"> <text>Of adequate type, design, and capacity to accommodate the design load;</text> </paragraph> <paragraph num="(b)"> <text>Located to permit proper maintenance; and</text> </paragraph> <paragraph num="(c)"> <text>Protected by guards, fencing, or an enclosure to prevent exposure to hazards and to secure the equipment.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Engine exhaust shall be discharged away from the public, so as not to create a hazard.</text> </paragraph> <paragraph num="(3)"> <text>Fire extinguishers shall be placed in locations that are readily accessible and compliant with Regulation .14B of this chapter.</text> </paragraph> <paragraph num="(4)"> <text>Fuel Tanks.</text> <paragraph num="(a)"> <text>With the exception of go-kart operations as regulated under COMAR 09.12.64.10D, an amusement attraction shall be closed down and unloaded during refueling.</text> </paragraph> <paragraph num="(b)"> <text>Refueling shall be in an area remote from the public.</text> </paragraph> <paragraph num="(c)"> <text>Fuel supply may not be replenished while engines are operating.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Enclosed Areas.</text> <paragraph num="(a)"> <text>An enclosed area in which an internal combustion engine is operated shall be adequately ventilated.</text> </paragraph> <paragraph num="(b)"> <text>Engine exhaust fumes shall be discharged outside the enclosed area.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§3-302, 3-307—3-313, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 30, 1977 (4:27 Md. R. 2105)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02L, .04B, .11F, and .16E and F amended effective February 14, 1983 (10:3 Md. R. 209)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective June 15, 1987 (14:12 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07D adopted effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07E adopted effective June 15, 1987 (14:12 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 repealed effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11E amended effective June 15, 1987 (14:12 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulations .15B and .16C amended effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16C amended effective June 15, 1987 (14:12 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16G adopted effective June 15, 1987 (14:12 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16H adopted effective June 15, 1987 (14:12 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 adopted effective June 15, 1987 (14:12 Md. R. 1349)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective January 23, 1989 (16:1 Md. R. 68)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective May 28, 1990 (17:10 Md. R. 1219)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04F adopted effective June 22, 1992 (19:12 Md. R. 1133)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective April 26, 1993 (20:8 Md. R. 723)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective April 26, 1993 (20:8 Md. R. 723); January 25, 1999 (26:2 Md. R. 106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11E amended effective November 25, 1991 (18:23 Md. R. 2487)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.20, repealed and new Regulations .01—.20 adopted effective March 24, 2008 (35:6 Md. R. 697)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective November 1, 2022 (49:21 Md. R. 951)</annotation> </annotations> </chapter> <chapter num="63" heading="Water Slides Erected Permanently or Temporarily in the State"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <paragraph num="A."> <text>This chapter establishes specific requirements for water slides in addition to the general requirements contained in COMAR 09.12.62, in order to ensure that water slides erected permanently or temporarily in the State are safely constructed, operated, and maintained.</text> </paragraph> <paragraph num="B."> <text>Design, construction, maintenance, and operation requirements for any public swimming pool associated with a water slide are under the jurisdiction of the Maryland Department of Health.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>The following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Deck” means the area surrounding a pool or flume which is specifically constructed or installed for use by sliders.</text> </paragraph> <paragraph num="(2)"> <text>“Dispatcher” means the attendant who directly controls the operation at the top of the water slide.</text> </paragraph> <paragraph num="(3)"> <text>“Flume” means an inclined channel containing water which provides a transit path for conveying people.</text> </paragraph> <paragraph num="(4)"> <text>“Grouping” means more than two persons.</text> </paragraph> <paragraph num="(5)"> <text>“Runout” means the horizontal portion at the end of a flume which contains a flow of water and allows for safe deceleration and exit of sliders.</text> </paragraph> <paragraph num="(6)"> <text>“Splash pool” means a pool at the base of the slide from which sliders exit to the deck.</text> </paragraph> <paragraph num="(7)"> <text>“Splash pool supervisor” means the attendant who directly controls the activity in the splash pool and immediate vicinity.</text> </paragraph> <paragraph num="(8)"> <text>“Upper pool” means a shallow trough or pool at the top of the slide where the slider begins the descent.</text> </paragraph> <paragraph num="(9)"> <text>“Water slide” means a recreational device which:</text> <paragraph num="(a)"> <text>Has a total vertical drop of 10 feet or more;</text> </paragraph> <paragraph num="(b)"> <text>Uses flowing water to provide low friction in the slide bed or flume;</text> </paragraph> <paragraph num="(c)"> <text>Is designed to provide a descending ride into a splash pool or runout at the base of the slide; and</text> </paragraph> <paragraph num="(d)"> <text>May consist of one or more flumes, an upper pool, a splash pool, a pump reservoir, and water treatment and pumping facilities.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Manual."> <paragraph num="A."> <text>Each owner of a water slide shall develop or obtain a detailed written operational manual for all phases of operation and maintenance of each component of the water slide.</text> </paragraph> <paragraph num="B."> <text>Each owner shall ensure that the manual is legible, in English, and readily accessible.</text> </paragraph> <paragraph num="C."> <text>The manual shall include:</text> <paragraph num="(1)"> <text>Water slide maintenance and cleanup procedures;</text> </paragraph> <paragraph num="(2)"> <text>Repair procedures for water slides and decks;</text> </paragraph> <paragraph num="(3)"> <text>Equipment operation instructions;</text> </paragraph> <paragraph num="(4)"> <text>Inspection procedures;</text> </paragraph> <paragraph num="(5)"> <text>Operator job descriptions;</text> </paragraph> <paragraph num="(6)"> <text>First aid procedures;</text> </paragraph> <paragraph num="(7)"> <text>A list of emergency medical telephone numbers;</text> </paragraph> <paragraph num="(8)"> <text>Recordkeeping logs for:</text> <paragraph num="(a)"> <text>Operational activities including daily inspections; and</text> </paragraph> <paragraph num="(b)"> <text>Injuries;</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>A written emergency plan which, in addition to the requirements contained in COMAR 09.12.62.08, includes:</text> <paragraph num="(a)"> <text>Procedures for cessation of slide operations when:</text> <paragraph num="(i)"> <text>The water supply is cut off; or</text> </paragraph> <paragraph num="(ii)"> <text>A power outage occurs during nighttime operations;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Methods of crowd control during general evacuation of the water slide;</text> </paragraph> <paragraph num="(c)"> <text>Provisions for first aid;</text> </paragraph> <paragraph num="(d)"> <text>Employee responsibilities; and</text> </paragraph> <paragraph num="(e)"> <text>An effective signaling system such as warning bells or bull horns.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Posted Warning Signs."> <paragraph num="A."> <text>At the entrance of each water slide, the owner shall post a sign conveying the following directions:</text> <paragraph num="(1)"> <text>Obey all instructions given by the dispatcher and splash pool supervisor who have the authority to prevent any condition which leads to unsafe operation of the water slide;</text> </paragraph> <paragraph num="(2)"> <text>The following activities are strictly prohibited:</text> <paragraph num="(a)"> <text>Use of this slide when under the influence of alcohol or drugs;</text> </paragraph> <paragraph num="(b)"> <text>Diving, running, standing, kneeling, rotating, tumbling, or stopping in flumes or tunnels;</text> </paragraph> <paragraph num="(c)"> <text>Traveling head first down slide; and</text> </paragraph> <paragraph num="(d)"> <text>Grouping or forming chains;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Hands shall be kept inside the flume;</text> </paragraph> <paragraph num="(4)"> <text>After exiting from slide, sliders shall leave the splash pool promptly;</text> </paragraph> <paragraph num="(5)"> <text>Glass, bottles, or food are not allowed in water slide vicinity.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The directions contained in §A(2)(a) and (5) of this regulation may be posted at the entrance of the park.</text> </paragraph> <paragraph num="C."> <text>The directions may be conveyed by means of words, in English and, if appropriate, in other languages, pictures, symbols, or any combination of them.</text> </paragraph> <paragraph num="D."> <text>The sign shall:</text> <paragraph num="(1)"> <text>Be constructed of wood, metal, or other material which can endure for several years;</text> </paragraph> <paragraph num="(2)"> <text>Be constructed and placed in such a manner that it poses no hazard; and</text> </paragraph> <paragraph num="(3)"> <text>Contain lettering at least 1 inch high, on a contrasting background.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Daily Inspections."> <paragraph num="A."> <text>Inspections and Records.</text> <paragraph num="(1)"> <text>In accordance with COMAR 09.12.62.09, the water slide owner shall ensure that the water slide is inspected on each day of use to determine that:</text> <paragraph num="(a)"> <text>The water slide is in safe operating condition; and</text> </paragraph> <paragraph num="(b)"> <text>Conforms to the requirements in this chapter and COMAR 09.12.62.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The owner shall ensure that the inspections are conducted in a manner which permits close scrutiny of the slide and all of its parts.</text> </paragraph> <paragraph num="(3)"> <text>Appropriate records shall be kept.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The flume shall be inspected before the water is circulated, and in accordance with the manufacturer's specifications.</text> </paragraph> <paragraph num="C."> <text>Before the water is circulated, the water slide shall be inspected for safety hazards, including, but not limited to:</text> <paragraph num="(1)"> <text>Loose railings;</text> </paragraph> <paragraph num="(2)"> <text>Leaking seals at the butt-joints which affect operational safety;</text> </paragraph> <paragraph num="(3)"> <text>Rough patching of cracks or joints;</text> </paragraph> <paragraph num="(4)"> <text>Loose or missing guards on the flume turns;</text> </paragraph> <paragraph num="(5)"> <text>Sharp edges on the flume safety rails;</text> </paragraph> <paragraph num="(6)"> <text>Projections into the flume troughs;</text> </paragraph> <paragraph num="(7)"> <text>Unusual movement of the flume bed;</text> </paragraph> <paragraph num="(8)"> <text>Evidence of deterioration of the wooden flume support structures;</text> </paragraph> <paragraph num="(9)"> <text>An obstructed view of the splash pool at the exit of the flume.</text> </paragraph> </paragraph> <paragraph num="D."> <text>During slide operation the owner or the owner's designee shall periodically:</text> <paragraph num="(1)"> <text>Observe the movement of the sliders, including:</text> <paragraph num="(a)"> <text>The location of the sliders' bodies on side walls during turns;</text> </paragraph> <paragraph num="(b)"> <text>Sliders' impacts with flume walls; and</text> </paragraph> <paragraph num="(c)"> <text>Safety during sliders' exits into the splash pool;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Determine if any injuries have occurred which indicate a water slide hazard which may require additional inspection;</text> </paragraph> <paragraph num="(3)"> <text>Ensure that there is a proper and steady flow of water throughout the flume.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Control of Operation."> <paragraph num="A."> <text>The owner of a water slide shall:</text> <paragraph num="(1)"> <text>Provide a sufficient number of attendants, at least two, to ensure:</text> <paragraph num="(a)"> <text>Positive control of the water slide and each flume when in operation; and</text> </paragraph> <paragraph num="(b)"> <text>That sliders comply with posted signs;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>When determining the requisite number of attendants, take into account the:</text> <paragraph num="(a)"> <text>Design and type of slide;</text> </paragraph> <paragraph num="(b)"> <text>Proximity of the flumes; and</text> </paragraph> <paragraph num="(c)"> <text>Number of sliders.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Each water slide attendant shall be trained in:</text> <paragraph num="(1)"> <text>The use and function of water slide equipment which the attendant may operate;</text> </paragraph> <paragraph num="(2)"> <text>Procedures for slide operations and slider control;</text> </paragraph> <paragraph num="(3)"> <text>The directions to sliders which are posted; and</text> </paragraph> <paragraph num="(4)"> <text>The water slide's general emergency plan.</text> </paragraph> </paragraph> <paragraph num="C."> <text>At least one attendant shall be a dispatcher who is:</text> <paragraph num="(1)"> <text>Trained in accordance with §B of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>In the immediate vicinity of the top of the slide during operation of the water slide; and</text> </paragraph> <paragraph num="(3)"> <text>Responsible for:</text> <paragraph num="(a)"> <text>Controlling crowds and sliders starting from the top of the water slide;</text> </paragraph> <paragraph num="(b)"> <text>Controlling the timing of each slider on the slide; and</text> </paragraph> <paragraph num="(c)"> <text>Supervising all visible portions of the flume.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>At least one attendant shall be a splash pool supervisor who is:</text> <paragraph num="(1)"> <text>Trained in accordance with §B of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>Qualified in life saving techniques through Red Cross training or its equivalent;</text> </paragraph> <paragraph num="(3)"> <text>In the immediate vicinity of the splash pool during operation of the slide; and</text> </paragraph> <paragraph num="(4)"> <text>In direct control of sliders in the splash pool by:</text> <paragraph num="(a)"> <text>Keeping sliders moving into and out of the splash pool in a quick and orderly manner; and</text> </paragraph> <paragraph num="(b)"> <text>Controlling any horseplay, running, or unsafe behavior in the lower flumes, the splash pool, and the pool deck.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Design Criteria."> <paragraph num="A."> <text>Scope.</text> <paragraph num="(1)"> <text>The design criteria contained in COMAR 09.12.62.10 apply to all water slides.</text> </paragraph> <paragraph num="(2)"> <text>The criteria contained in this regulation shall apply to any slide for which:</text> <paragraph num="(a)"> <text>A construction permit is issued after the effective date of this chapter; or</text> </paragraph> <paragraph num="(b)"> <text>Construction or renovation has begun after the effective date of this chapter.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Overall Design.</text> <paragraph num="(1)"> <text>The slide's structural design and materials shall:</text> <paragraph num="(a)"> <text>Comply with generally accepted structural engineering practices; and</text> </paragraph> <paragraph num="(b)"> <text>Provide a durable frame which shall safely sustain all weights and pressures for the projected operating life of the structure.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The materials for components and accessories to be used in and around slides shall be such that the operational strength of the entire assembly and its components is not adversely affected by exposure to rain, snow, ice, sunlight, local normal temperature extremes, local normal wind variations, local air pollution products, and the mechanical, electrical, and chemical environment in and around the slides.</text> </paragraph> <paragraph num="(3)"> <text>Materials selected for components and accessories used in and around slides shall be such that all parts with external surfaces and edges that may come in contact with the slider are assembled, arranged, and finished so that they do not constitute a cutting, pinching, puncturing, or abrasion hazard in casual contact or intended use.</text> </paragraph> <paragraph num="(4)"> <text>Surfaces shall be inert, nontoxic, smooth, and easy to clean.</text> </paragraph> <paragraph num="(5)"> <text>The flumes shall be designed or ventilated, or both, to prevent concentrations of toxic disinfectant fumes.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Water Slide Flume.</text> <paragraph num="(1)"> <text>Curves, turns, and tunnels within the path of a slide flume shall be designed so that body impact with the walls of the flume or ceiling of a tunnel does not present a hazard.</text> </paragraph> <paragraph num="(2)"> <text>The slide flume shall be banked to keep the slider's body safely inside the flume or curve under all foreseeable circumstances.</text> </paragraph> <paragraph num="(3)"> <text>Slopes within the path of the slide flume shall be designed so that the slider's speed does not exceed the level when a safe equilibrium of dynamic forces can be maintained on any curve or turn.</text> </paragraph> <paragraph num="(4)"> <text>The construction, dimensions, and attachment of slide flume bed components shall be such that the surface of the slide flume is continuous and smooth.</text> </paragraph> <paragraph num="(5)"> <text>The walls of the flume shall be designed so that the continuous and combined action of hydrostatic, dynamic, and static loads, and normal environmental deterioration do not cause structural failures which could result in injury or require patching of the original structure.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Flume Exit.</text> <paragraph num="(1)"> <text>When the water slide ends in a splash pool, the following requirements apply:</text> <paragraph num="(a)"> <text>The pool shall be of sufficient length and width so as to preclude a slider from contacting the walls, adjacent flume exits, and sliders exiting from multiple exit flumes;</text> </paragraph> <paragraph num="(b)"> <text>Unless the manufacturer specifies otherwise, the flumes shall terminate:</text> <paragraph num="(i)"> <text>At a depth of at least 6 inches below the splash pool's operating water surface level; or</text> </paragraph> <paragraph num="(ii)"> <text>If the flume is level for a distance of at least 10 feet from its exit, at a height not more than 2 inches above the water's surface.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>When the water slide ends in a runout, the owner shall ensure that the runout is of a sufficient length to allow for the safe deceleration of sliders.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Splash Pool.</text> <paragraph num="(1)"> <text>Unless the manufacturer specifies otherwise, a splash pool depth of at least 3 feet shall be provided at the end of each flume for a distance of at least 20 feet.</text> </paragraph> <paragraph num="(2)"> <text>Inlets from the water circulation system shall be designed so as to prevent injury to the splash pool user.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Access, Egress, and Walking Surfaces."> <text>In addition to the access, egress, and walking surfaces requirements contained in COMAR 09.12.62.11, the owner shall ensure that the means of access and egress are slip-resistant and do not retain standing water.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§3-307—3-313, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 15, 1986 (13:16 Md. R. 1826)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective June 12, 1989 (16:11 Md. R. 1218)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective June 12, 1989 (16:11 Md. R. 1218)</annotation> </annotations> </chapter> <chapter num="64" heading="Amusement Ride Safety Standard for Go-Kart Operations"> <regulation prefix="Regulation" num=".01" heading="Scope."> <paragraph num="A."> <text>This chapter applies to go-kart operations.</text> </paragraph> <paragraph num="B."> <text>This chapter does not preclude or preempt the applicability of COMAR 09.12.62 to go-kart operations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Purpose."> <text>The purpose of this chapter is to ensure that go-karts in the State are safely designed, operated, and maintained.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>The following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Go-kart operation” means a facility having at least one track on which at least one kart operates.</text> </paragraph> <paragraph num="(2)"> <text>“Kart” means a self-propelled motorized vehicle that is designed to be driven on a go-kart track where the driver has full control over acceleration from a stopped position, deceleration, stopping, and steering of the vehicle.</text> </paragraph> <paragraph num="(3)"> <text>“Operator” means a person who directly controls the loading and unloading of riders and activity on the go-kart track and immediate vicinity.</text> </paragraph> <paragraph num="(4)"> <text>“Slick track” means a track designed to allow karts to slide.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Manual."> <paragraph num="A."> <text>Each owner of a go-kart operation shall develop a detailed written operational manual for the construction, operation, maintenance, and repair of the go-kart operation.</text> </paragraph> <paragraph num="B."> <text>Each owner shall ensure that the manual is legible, in English, and readily accessible to operators.</text> </paragraph> <paragraph num="C."> <text>The manual shall include:</text> <paragraph num="(1)"> <text>Manufacturer specifications for kart maintenance, repair, operation, and inspection;</text> </paragraph> <paragraph num="(2)"> <text>Track maintenance and repair procedures;</text> </paragraph> <paragraph num="(3)"> <text>Equipment operation instructions;</text> </paragraph> <paragraph num="(4)"> <text>Inspection procedures which include items specified in Regulation .06 of this chapter;</text> </paragraph> <paragraph num="(5)"> <text>Operator job descriptions;</text> </paragraph> <paragraph num="(6)"> <text>First aid procedures;</text> </paragraph> <paragraph num="(7)"> <text>A list of emergency medical telephone numbers;</text> </paragraph> <paragraph num="(8)"> <text>Recordkeeping logs for:</text> <paragraph num="(a)"> <text>Operational activities, including daily inspections; and</text> </paragraph> <paragraph num="(b)"> <text>Injuries; and</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>A written emergency plan which includes the requirements contained in COMAR 09.12.62.08.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If manufacturer specifications for kart maintenance, repair, operation, and inspection are unavailable for good cause, the owner shall:</text> <paragraph num="(1)"> <text>Develop specifications that shall ensure the safety of the riding public; and</text> </paragraph> <paragraph num="(2)"> <text>Include the specifications in §D(1), of this regulation, in the manual.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Each owner shall ensure compliance with the manual.</text> </paragraph> <paragraph num="F."> <text>The owner shall make the manual available to the Commissioner upon request.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Posted Warning Signs."> <paragraph num="A."> <text>At the entrance to the track, at the pit area, and at the ticket booth, the owner shall post a sign conveying the following instructions:</text> <paragraph num="(1)"> <text>Obey all instructions given by the operator;</text> </paragraph> <paragraph num="(2)"> <text>The following activities are strictly prohibited:</text> <paragraph num="(a)"> <text>Use of a kart when under the influence of alcohol or drugs;</text> </paragraph> <paragraph num="(b)"> <text>Bumping karts together;</text> </paragraph> <paragraph num="(c)"> <text>Smoking in a kart or in any area posted with a no smoking sign; and</text> </paragraph> <paragraph num="(d)"> <text>Weaving, cutting off, or horseplay on the track;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Loose clothing shall be secured;</text> </paragraph> <paragraph num="(4)"> <text>Hair that is shoulder-length or longer shall be tied up;</text> </paragraph> <paragraph num="(5)"> <text>Restraining devices, when provided, shall be worn;</text> </paragraph> <paragraph num="(6)"> <text>Both hands shall be kept on the wheel when the kart is in operation;</text> </paragraph> <paragraph num="(7)"> <text>Both feet shall be kept in the kart at all times;</text> </paragraph> <paragraph num="(8)"> <text>Except for karts designed for two passengers, only one person may occupy each kart;</text> </paragraph> <paragraph num="(9)"> <text>Remain inside the kart until directed by the operator to exit.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Directional Signs.</text> <paragraph num="(1)"> <text>At least one sign indicating the direction of travel shall be posted at the pit area.</text> </paragraph> <paragraph num="(2)"> <text>Additional signs indicating the direction of travel shall be posted at regular intervals around the track perimeter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Signs shall be in English, or, if appropriate, in other languages, pictures, symbols, or any combination of these.</text> </paragraph> <paragraph num="D."> <text>A sign shall:</text> <paragraph num="(1)"> <text>Be constructed of wood, metal, or other material which can endure for several years;</text> </paragraph> <paragraph num="(2)"> <text>Be constructed, placed, and maintained in such a manner that it poses no hazard and is clearly visible; and</text> </paragraph> <paragraph num="(3)"> <text>Contain lettering at least 1 inch high, on a contrasting background.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Daily Inspections."> <paragraph num="A."> <text>The owner shall ensure that a go-kart operation is inspected each day before the start of operation.</text> </paragraph> <paragraph num="B."> <text>The inspection and test shall be made:</text> <paragraph num="(1)"> <text>By an owner or operator experienced and instructed in the proper assembly and operation of the amusement ride or attraction; and</text> </paragraph> <paragraph num="(2)"> <text>In accordance with the specifications included in the manual.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The owner shall inspect the go-kart operation to determine that the karts, tracks, and facility:</text> <paragraph num="(1)"> <text>Are in safe operating condition; and</text> </paragraph> <paragraph num="(2)"> <text>Conform to the requirements in this chapter and COMAR 09.12.62.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The inspection of each kart shall:</text> <paragraph num="(1)"> <text>Include the operation of:</text> <paragraph num="(a)"> <text>Speed-limiting devices,</text> </paragraph> <paragraph num="(b)"> <text>The brake system, and</text> </paragraph> <paragraph num="(c)"> <text>Control devices;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Ensure that a part is not damaged, missing, or worn in a manner that is or may become unsafe.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A record of each inspection shall be:</text> <paragraph num="(1)"> <text>Made at once upon completion of the test;</text> </paragraph> <paragraph num="(2)"> <text>Kept at a central location at the site of operation;</text> </paragraph> <paragraph num="(3)"> <text>Maintained for 30 days; and</text> </paragraph> <paragraph num="(4)"> <text>Made available to the Commissioner upon request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Control of Operation."> <paragraph num="A."> <text>A kart shall be operated in accordance with the manual as required in Regulation .04 of this chapter.</text> </paragraph> <paragraph num="B."> <text>The owner shall authorize each operator to prevent unsafe conditions.</text> </paragraph> <paragraph num="C."> <text>The owner shall provide a sufficient number of operators to ensure that:</text> <paragraph num="(1)"> <text>Karts are operated in a safe manner; and</text> </paragraph> <paragraph num="(2)"> <text>Riders comply with the posted signs.</text> </paragraph> </paragraph> <paragraph num="D."> <text>When determining the number of operators to provide, the owner shall take into account the:</text> <paragraph num="(1)"> <text>Design and size of the track;</text> </paragraph> <paragraph num="(2)"> <text>Number of karts on the track; and</text> </paragraph> <paragraph num="(3)"> <text>Capacity of the track.</text> </paragraph> </paragraph> <paragraph num="E."> <text>At least one operator shall be at each track during operation.</text> </paragraph> <paragraph num="F."> <text>Before assignment to a track, each operator shall be trained in:</text> <paragraph num="(1)"> <text>The use and function of the kart;</text> </paragraph> <paragraph num="(2)"> <text>Procedures for refueling;</text> </paragraph> <paragraph num="(3)"> <text>Posted instructions for riders;</text> </paragraph> <paragraph num="(4)"> <text>The go-kart operation's general emergency plan; and</text> </paragraph> <paragraph num="(5)"> <text>Methods of controlling horseplay or unsafe behavior.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Karts operating simultaneously on a track shall:</text> <paragraph num="(1)"> <text>Operate at a rate of speed sufficiently similar to ensure that speed differentials pose no hazard; and</text> </paragraph> <paragraph num="(2)"> <text>Be sufficiently similar in design to ensure that contact between karts does not result in:</text> <paragraph num="(a)"> <text>The interlock of karts or kart parts;</text> </paragraph> <paragraph num="(b)"> <text>A roll-over; or</text> </paragraph> <paragraph num="(c)"> <text>Other similar hazards.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Maximum Speed.</text> <paragraph num="(1)"> <text>Each track shall have a maximum speed which ensures safe operation.</text> </paragraph> <paragraph num="(2)"> <text>The maximum speed shall be one of the following:</text> <paragraph num="(a)"> <text>The speed established by the Commissioner, after such investigation as the Commissioner deems appropriate; or</text> </paragraph> <paragraph num="(b)"> <text>If the Commissioner does not establish a maximum speed, the speed established by the owner based on the following considerations:</text> <paragraph num="(i)"> <text>Track design, including the grade;</text> </paragraph> <paragraph num="(ii)"> <text>Track surface;</text> </paragraph> <paragraph num="(iii)"> <text>Radius of the curves; and</text> </paragraph> <paragraph num="(iv)"> <text>Age of the riders.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>The owner shall ensure that a kart cannot be operated in excess of the maximum speed.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Operating Speed.</text> <paragraph num="(1)"> <text>Throughout each day's operation, the owner shall adjust the kart speed as necessary to ensure safe operation.</text> </paragraph> <paragraph num="(2)"> <text>The operating speed may not exceed the maximum speed.</text> </paragraph> <paragraph num="(3)"> <text>In determining the operating speed, the owner shall consider such factors as:</text> <paragraph num="(a)"> <text>Age of riders;</text> </paragraph> <paragraph num="(b)"> <text>Number of karts on the track;</text> </paragraph> <paragraph num="(c)"> <text>Track conditions; and</text> </paragraph> <paragraph num="(d)"> <text>Weather conditions.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>An owner shall ensure that a kart cannot be operated in excess of the operating speed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Design Criteria."> <paragraph num="A."> <text>Track.</text> <paragraph num="(1)"> <text>The go-kart track shall be designed so that paths do not cross at any location.</text> </paragraph> <paragraph num="(2)"> <text>Track Surface. The track surface shall:</text> <paragraph num="(a)"> <text>Be hard and smooth;</text> </paragraph> <paragraph num="(b)"> <text>Be kept free of ruts, holes, and bumps; and</text> </paragraph> <paragraph num="(c)"> <text>Except for a slick track, provide road grip sufficient to enable a kart to be driven safely at the operating speed.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Loading and Unloading Area.</text> <paragraph num="(a)"> <text>Each track shall have a designated area for loading and unloading passengers.</text> </paragraph> <paragraph num="(b)"> <text>The owner or operator shall ensure that a passenger enters or leaves a kart only in the designated loading and unloading area.</text> </paragraph> <paragraph num="(c)"> <text>The loading and unloading area of each track shall be designed and constructed to be:</text> <paragraph num="(i)"> <text>Level;</text> </paragraph> <paragraph num="(ii)"> <text>Graded; and</text> </paragraph> <paragraph num="(iii)"> <text>Free from obstructions or obstacles.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Except for a track where all karts start and stop at the same time, the loading and unloading area shall be:</text> <paragraph num="(i)"> <text>Designed and constructed to reduce the speed of an incoming kart; and</text> </paragraph> <paragraph num="(ii)"> <text>Separated from the track by a barrier as described in §§A(4)(b)—(d) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>The loading and unloading area for a track where all karts start and stop at the same time shall be:</text> <paragraph num="(i)"> <text>Clearly marked as such; and</text> </paragraph> <paragraph num="(ii)"> <text>Located so it will not inhibit the free flow of karts on the track.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>Barriers.</text> <paragraph num="(a)"> <text>A barrier shall be installed along the entire outer and inner edge of each track.</text> </paragraph> <paragraph num="(b)"> <text>The barrier shall be designed to:</text> <paragraph num="(i)"> <text>Prevent a kart from overturning or running over, under, or through the barrier;</text> </paragraph> <paragraph num="(ii)"> <text>Minimize impact;</text> </paragraph> <paragraph num="(iii)"> <text>Absorb shock;</text> </paragraph> <paragraph num="(iv)"> <text>Keep a kart on the track area upon impact; and</text> </paragraph> <paragraph num="(v)"> <text>Not be a hazard in itself.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The barrier shall be constructed:</text> <paragraph num="(i)"> <text>To ensure the requirements listed in §A(4)(b) of this regulation are met; and</text> </paragraph> <paragraph num="(ii)"> <text>Of material capable of withstanding impact, such as, but not limited to, wood, steel, or rubber tires.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>When tires are used as a barrier, they shall be:</text> <paragraph num="(i)"> <text>The same size;</text> </paragraph> <paragraph num="(ii)"> <text>Stacked not more than two high; and</text> </paragraph> <paragraph num="(iii)"> <text>Connected in such a manner to provide a continuous barrier.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>Fencing.</text> <paragraph num="(a)"> <text>Each go-kart operation shall be surrounded by a fence at least 42 inches high, with a gate and entrance and exit signs.</text> </paragraph> <paragraph num="(b)"> <text>Pedestrian access to each track shall be fenced so that a pedestrian cannot enter the track area except through a track entrance gate.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Karts.</text> <paragraph num="(1)"> <text>A kart shall be designed in accordance with COMAR 09.12.62.10.</text> </paragraph> <paragraph num="(2)"> <text>Exposed components on a kart, including but not limited to the steering wheel hub and headrest, which the rider may come into contact with in the case of impact or rollover, shall be padded and designed to minimize the risk of injury.</text> </paragraph> <paragraph num="(3)"> <text>Engine parts that may become hot, mufflers, and all moving or rotating parts shall be shielded.</text> </paragraph> <paragraph num="(4)"> <text>The brake and throttle pedal shall:</text> <paragraph num="(a)"> <text>Be marked and identified;</text> </paragraph> <paragraph num="(b)"> <text>Be foot-operated; and</text> </paragraph> <paragraph num="(c)"> <text>Return to a nonoperational position when released.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The fuel system shall be:</text> <paragraph num="(a)"> <text>Designed and mounted so that it may not be damaged from impact;</text> </paragraph> <paragraph num="(b)"> <text>Located away from the exhaust.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The wheels of a kart shall be enclosed or guarded to avoid accidental contact with another kart wheel.</text> </paragraph> <paragraph num="(7)"> <text>If kart speed and track design may contribute to a roll-over situation, a kart shall be equipped with roll-over protection, such as a roll bar or head pad.</text> </paragraph> <paragraph num="(8)"> <text>Before January 1, 1991, if designed by the manufacturer, or if required by the Commissioner following such investigation as the Commissioner deems appropriate, a kart shall be equipped with an appropriate restraining device.</text> </paragraph> <paragraph num="(9)"> <text>After December 31, 1990, each kart operated within the State shall have a lap and shoulder belt which is properly mounted, installed to ensure passenger safety, and effective to retain the passenger in the kart.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="General Environment."> <paragraph num="A."> <text>If weather conditions make visibility by the operator or rider insufficient to ensure safe operation, the go-kart track shall be closed.</text> </paragraph> <paragraph num="B."> <text>During night-time operation, illumination adequate to ensure safe operation shall be provided.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Fire Protection."> <paragraph num="A."> <text>At each go-kart operation:</text> <paragraph num="(1)"> <text>At least one fire extinguisher shall be located in the:</text> <paragraph num="(a)"> <text>Pit area of each track;</text> </paragraph> <paragraph num="(b)"> <text>Refueling area; and</text> </paragraph> <paragraph num="(c)"> <text>Garage;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Fire extinguishers shall be located in the infield area as necessary to ensure safety and ready access.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The fire extinguishers shall be:</text> <paragraph num="(1)"> <text>Prominently marked; and</text> </paragraph> <paragraph num="(2)"> <text>Easily accessible.</text> </paragraph> </paragraph> <paragraph num="C."> <text>No Smoking Sign.</text> <paragraph num="(1)"> <text>A no smoking sign shall be posted in the pit area of each track, refueling area, garage, and in the infield area at locations to give adequate notice.</text> </paragraph> <paragraph num="(2)"> <text>The no smoking signs shall be clearly visible.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Karts shall be refueled:</text> <paragraph num="(1)"> <text>At a designated location away from any area accessible to the public;</text> </paragraph> <paragraph num="(2)"> <text>After the kart is:</text> <paragraph num="(a)"> <text>Turned off; and</text> </paragraph> <paragraph num="(b)"> <text>Evacuated.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§3-307—3-313, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 28, 1990 (17:10 Md. R. 1219)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06D amended effective April 13, 1992 (19:7 Md. R. 745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective April 13, 1992 (19:7 Md. R. 745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective April 13, 1992 (19:7 Md. R. 745)</annotation> </annotations> </chapter> <chapter num="65" heading="Passenger Ropeways" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: August 30, 2004 (31:17 Md. R. 1312)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed effective November 1, 2022 (49:21 Md. R. 951)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 recodified to be COMAR 09.12.61.02 effective November 1, 2022 (49:21 Md. R. 951)</annotation> </annotations> </chapter> <chapter num="66" heading="Inflatable Amusement Attractions"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <paragraph num="A."> <text>This chapter establishes safety standards for the installation, assembly, repair, maintenance, use, operation, disassembly, and inspection of inflatable amusement attractions operated in the State.</text> </paragraph> <paragraph num="B."> <text>COMAR 09.12.60 and 09.12.62 do not apply to inflatable amusement attractions.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Incorporation by Reference."> <text>In this chapter, the following documents are incorporated by reference to the extent that they are referenced in this chapter:</text> <paragraph num="A."> <text>The ASTM International Standards on Amusement Rides and Devices: F2374-22 Standard Practice for Design, Manufacture, Operation, and Maintenance of Inflatable Amusement Devices (2022) (ASTM F2374-22), excluding Sections 5.5.5.2(4), 5.12.7.2(2), 5.16.6, 7.5.4.1 reference to 7.9, 7.5.5.3(2), 7.7.4, 7.9, 7.10 & 7.11.1; and</text> </paragraph> <paragraph num="B."> <text>The National Electrical Code, ANSI/NFPA #70-2020, which is incorporated by reference in COMAR 20.50.02.02.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>In addition to terms defined in Business Regulation Article, §3-101, Annotated Code of Maryland, in this chapter the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“ASTM” means ASTM International, originally known as the American Society for Testing and Materials.</text> </paragraph> <paragraph num="(2)"> <text>“Attendant” means a person assigned to assist the operator in attending to the safety needs of users.</text> </paragraph> <paragraph num="(3)"> <text>“Certificate of inspection of an inflatable amusement attraction” means a certificate issued by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(4)"> <text>“Exit means a doorway or other opening affording safe and unobstructed egress.</text> </paragraph> <paragraph num="(5)"> <text>“Fire official” means the authority having jurisdiction in the locality over matters relating to fire prevention and explosion.</text> </paragraph> <paragraph num="(6)"> <text>“Inflatable amusement attraction” means an air-supported amusement attraction that:</text> <paragraph num="(a)"> <text>Incorporates a structural and mechanical system; and</text> </paragraph> <paragraph num="(b)"> <text>Uses a high strength fabric or film that achieves its strength, shape, and stability by tensioning from internal air pressure.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>“Inflatable Amusement Attraction Daily Inspection and Daily Pre-Opening Checklist” means the Commissioner of Labor and Industry’s form to be completed by the owner prior to the operation of an inflatable amusement attraction.</text> </paragraph> <paragraph num="(8)"> <text>“Operator” means a person who is trained and who is capable of identifying existing and predictable hazards involving the inflatable amusement attraction operation, and has the authority to control and eliminate any hazards.</text> </paragraph> <paragraph num="(9)"> <text>“Owner” means a person, the State or a political subdivision of the State that owns an inflatable amusement attraction, or if the amusement attraction is leased, the lessee.</text> </paragraph> <paragraph num="(10)"> <text>“Qualified person” means a person who has successfully demonstrated the ability to solve or resolve problems related to the subject matter or the work:</text> <paragraph num="(a)"> <text>By possession of a recognized degree, certificate, or professional standing; or</text> </paragraph> <paragraph num="(b)"> <text>By extensive knowledge, training, and experience.</text> </paragraph> </paragraph> <paragraph num="(11)"> <text>“Permanently erected inflatable amusement attraction” means an inflatable amusement attraction erected in the same location for more than 30 consecutive days.</text> </paragraph> <paragraph num="(12)"> <text>“Rated capacity” means a capacity:</text> <paragraph num="(a)"> <text>Established by the manufacturer for the normal loading and operation of an inflatable amusement attraction by weight or number of users; or</text> </paragraph> <paragraph num="(b)"> <text>If the manufacturer has not established a capacity, as established by the Commissioner after inspection.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>“Safety work order” means a written demand issued by an authorized representative of the Commissioner to perform work that has potential safety impact if not corrected.</text> </paragraph> <paragraph num="(14)"> <text>“Special inflated amusement structure” means a fun house, dark ride, walk through, haunted house, or any other similar inflated amusement attraction that uses air pressure to support the walls and roof of the structure.</text> </paragraph> <paragraph num="(15)"> <text>“Sustained wind speed” means wind speed determined by averaging observed values over a two-minute period.</text> </paragraph> <paragraph num="(16)"> <text>User.</text> <paragraph num="(a)"> <text>“User” means any person who is a participant in the use of an inflatable amusement attraction as defined by the manufacturer’s specifications.</text> </paragraph> <paragraph num="(b)"> <text>“User” does not include employees of the inflatable amusement attraction owner while engaged in the duties of their employment.</text> </paragraph> </paragraph> <paragraph num="(17)"> <text>“Wind gust” means a rapid fluctuation of wind speed determined by averaging observed values over a two-minute period.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="General Responsibility for Compliance."> <paragraph num="A."> <text>Each owner of an inflatable amusement attraction erected in the State shall:</text> <paragraph num="(1)"> <text>Comply with the provisions of this chapter; and</text> </paragraph> <paragraph num="(2)"> <text>Ensure that the manufacturer’s recommendations, specifications, and other requirements relating to safety in the erection, operation, maintenance, repair, and disassembly of the inflatable amusement attraction are followed.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In the event of a conflict between a regulation under this chapter and a manufacturer’s specification, the owner shall comply with the provision that best ensures the safety of the public as determined by the Commissioner or his authorized representative.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Registration, Inspection, and Notice of Operation."> <paragraph num="A."> <text>Except as specified by law, an owner may not operate an inflatable amusement attraction unless the Commissioner has issued a certificate of inspection of an inflatable amusement attraction.</text> </paragraph> <paragraph num="B."> <text>Annually, each owner shall register with the Commissioner those inflatable amusement attractions that the owner intends to operate in Maryland that year and file a certificate of insurance indicating that the owner has obtained insurance in the amount of at least $200,000 against liability for injury to an individual that arises out of the use of the inflatable amusement attraction.</text> </paragraph> <paragraph num="C."> <text>Request for Certificate Inspection.</text> <paragraph num="(1)"> <text>Each owner requiring a certificate inspection of an inflatable amusement attraction shall notify the Commissioner that the inflatable amusement attraction is ready for inspection by submitting a completed inspection request form at least 30 days in advance of the anticipated operation date.</text> </paragraph> <paragraph num="(2)"> <text>If there is a cancellation or change in the schedule of location or dates after initial notification, an owner shall:</text> <paragraph num="(a)"> <text>Immediately notify the Commissioner by telephone; and</text> </paragraph> <paragraph num="(b)"> <text>Promptly confirm the change in writing.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If an owner is unable to provide the Commissioner with the required 30-day advance notice, the owner shall submit to the Commissioner an inspection request form along with a detailed explanation of the reason for the lack of advance notice. The Commissioner may grant the inspection request contingent upon the availability of State resources.</text> </paragraph> <paragraph num="(4)"> <text>The inspection request form shall be furnished by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Notice of Operation.</text> <paragraph num="(1)"> <text>At least 5 business days in advance of anticipated operation of an inflatable amusement attraction with a current certificate of inspection, an owner of an inflatable amusement attraction shall submit to the Commissioner an itinerary of scheduled locations and dates.</text> </paragraph> <paragraph num="(2)"> <text>If there is a cancellation or change in the schedule of location or dates after submission of the itinerary, an owner shall:</text> <paragraph num="(a)"> <text>Immediately notify the Commissioner by telephone, email, or fax; and</text> </paragraph> <paragraph num="(b)"> <text>If by telephone, promptly confirm the change in writing.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Inspections."> <paragraph num="A."> <text>Inspection Hours.</text> <paragraph num="(1)"> <text>Inflatable amusement attraction inspections will normally be conducted during the business hours of 8 a.m. through 5 p.m., Monday through Friday, excluding holidays.</text> </paragraph> <paragraph num="(2)"> <text>The Commissioner may schedule inspections at other times when the Commissioner determines that there are extenuating circumstances.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Commissioner may review the following as part of the inspection:</text> <paragraph num="(1)"> <text>The Daily Inspection Pre-Opening Checklist;</text> </paragraph> <paragraph num="(2)"> <text>The owner’s manual; and</text> </paragraph> <paragraph num="(3)"> <text>Other information as requested including, but not limited to, the manufacturer’s specifications.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If after an inspection the Commissioner determines that corrective action is necessary, the Commissioner may issue a safety work order that details the required corrective action, including the time allowed for abatement of each action.</text> </paragraph> <paragraph num="D."> <text>In response to the issuance of a safety work order, the Commissioner may:</text> <paragraph num="(1)"> <text>Grant an extension of the time allowed to abate the action;</text> </paragraph> <paragraph num="(2)"> <text>Deny or revoke a certificate of inspection of an inflatable amusement attraction; or</text> </paragraph> <paragraph num="(3)"> <text>Issue a citation with a penalty.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If required, a certificate of inspection of an inflatable amusement attraction shall be posted in public view on or in front of the inflatable amusement attraction for which the certificate is issued.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Special Inflated Amusement Structures."> <paragraph num="A."> <text>For a special inflated amusement structure located in an amusement park, carnival, or fair, the owner shall make a request to the fire official for the jurisdiction where the amusement attraction is located for fire safety inspection:</text> <paragraph num="(1)"> <text>Before operation at each location; and</text> </paragraph> <paragraph num="(2)"> <text>When there is a change in construction, materials, or decorations.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Exits.</text> <paragraph num="(1)"> <text>At least two exits remote from each other shall be provided for each floor, tier, room, or balcony in a structure that contains a special inflatable amusement structure.</text> </paragraph> <paragraph num="(2)"> <text>An exit may not be less than 22 inches wide.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A certificate of inspection for an inflatable amusement attraction issued by the Commissioner is valid for the inflatable attraction only and does not address fire safety issues that may require review by the local fire official.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Information Panel and State Registration Sticker."> <paragraph num="A."> <text>Information Panel.</text> <paragraph num="(1)"> <text>The information panel shall include the following, as applicable:</text> <paragraph num="(a)"> <text>Serial number, which is a manufacturer-issued or owner-issued unique identifying number;</text> </paragraph> <paragraph num="(b)"> <text>Name of the inflatable amusement attraction;</text> </paragraph> <paragraph num="(c)"> <text>Manufacturer of the inflatable amusement attraction;</text> </paragraph> <paragraph num="(d)"> <text>Date of manufacture, which is the month and year of manufacture, as determined by the manufacturer, if known;</text> </paragraph> <paragraph num="(e)"> <text>Direction of travel, if the direction of travel is essential to the safe operation of the inflatable amusement attraction; and</text> </paragraph> <paragraph num="(f)"> <text>Rated capacity in weight or number of users.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An information panel:</text> <paragraph num="(a)"> <text>Is required for each inflatable amusement attraction;</text> </paragraph> <paragraph num="(b)"> <text>Shall be printed in English; and</text> </paragraph> <paragraph num="(c)"> <text>Shall be designed to remain legible for the expected life of the inflatable amusement attraction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>State Registration Sticker.</text> <paragraph num="(1)"> <text>The Commissioner shall issue a State registration number and State registration sticker to each registered inflatable amusement attraction.</text> </paragraph> <paragraph num="(2)"> <text>If the registration number is no longer legible, the owner shall notify the Commissioner for issuance of a replacement State registration sticker.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Each inflatable amusement attraction shall have the State registration sticker on site in a readily visible location on the inflatable amusement attraction.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Applicability of ASTM F2374-22."> <paragraph num="A."> <text>For an inflatable amusement attraction manufactured after January 1, 2026, in addition to the requirements of this chapter, the requirements of ASTM F2374-22 shall apply.</text> </paragraph> <paragraph num="B."> <text>For an inflatable amusement attraction manufactured before January 1, 2026, in addition to the requirements of this chapter, ASTM F2374-22 shall apply except Sections 5.5.5, 5.5.5.1, 5.13, and 6.1.3.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Operation."> <paragraph num="A."> <text>Each owner shall obtain the manufacturer’s operations manual and shall:</text> <paragraph num="(1)"> <text>Read and become familiar with the contents of the manufacturer’s recommended operating instructions and specifications;</text> </paragraph> <paragraph num="(2)"> <text>Keep the manufacturer’s operations manual on location with the inflatable amusement attraction; and</text> </paragraph> <paragraph num="(3)"> <text>Provide a copy of the manufacturer’s operations manual, in English, to the Commissioner on request.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The owner shall set up and operate an inflatable amusement attraction in accordance with the following:</text> <paragraph num="(1)"> <text>Owner requirements for setting up inflatables amusement attractions.</text> <paragraph num="(a)"> <text>An inflatable amusement attraction shall not be operated when the maximum sustained wind speed is 15 mph or greater; or</text> </paragraph> <paragraph num="(b)"> <text>When there are wind gusts lasting 3 seconds or longer with wind speed of 25 mph or greater in the immediate area where the inflatable attraction is being operated.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Anchorage points installed near an entrance or exit of an inflatable amusement attraction shall be connected in such a manner as to minimize the potential for tripping, abrasions, or other injuries;</text> </paragraph> <paragraph num="(3)"> <text>Blowers and inflation tubes shall be positioned to prevent kinks or bends in the inflation tube; and</text> </paragraph> <paragraph num="(4)"> <text>Inflatable amusement attractions shall be anchored or secured in accordance with the manufacturer’s specifications or the following requirements:</text> <paragraph num="(a)"> <text>The on-ground anchor weight used for inflatable amusement attractions shall be at least 75 pounds for bounce-type rides;</text> </paragraph> <paragraph num="(b)"> <text>The on-ground anchor weight for slide-type rides over 15 feet tall shall be at least 500 pounds for each installed anchor position;</text> </paragraph> <paragraph num="(c)"> <text>Anchors shall be used at all of the manufacturer’s required positions at all times for both indoor and outdoor use;</text> </paragraph> <paragraph num="(d)"> <text>Each anchor must be:</text> <paragraph num="(i)"> <text>At least 1 inch in diameter; and</text> </paragraph> <paragraph num="(ii)"> <text>Solid in composition;</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Anchors can be straight stakes, screw stakes, ground weights, or sandbag ground anchors, and must comply with the following:</text> <paragraph num="(i)"> <text>If straight stakes are used, they must be at least 36 inches in length with at least 75 percent or more of the length in the ground; and</text> </paragraph> <paragraph num="(ii)"> <text>The ends of the stakes should be covered to prevent a tripping hazard;</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>Tie-downs should be attached to a secure device or permanent structure and attached so that they cannot slip off the anchor during use;</text> </paragraph> <paragraph num="(g)"> <text>Tie-downs should not be attached to motor vehicles;</text> </paragraph> <paragraph num="(h)"> <text>Tie-downs should comply with manufacturer’s specifications or have a minimum tensile strength of 3,700 pounds or 370 pounds safe working load; and</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Permanently erected inflatable amusement attractions shall comply with the following:</text> <paragraph num="(a)"> <text>The manufacturer’s specifications;</text> </paragraph> <paragraph num="(b)"> <text>The requirements of ASTM F2374-22.5.6.9.1;</text> </paragraph> <paragraph num="(c)"> <text>The requirements in §B(1)—(4) of this regulation; and</text> </paragraph> <paragraph num="(d)"> <text>If erected with stakes or bolts, the stakes or bolts shall be inspected prior to each operation to ensure:</text> <paragraph num="(i)"> <text>Secure anchorage;</text> </paragraph> <paragraph num="(ii)"> <text>No corrosion of anchorage; and</text> </paragraph> <paragraph num="(iii)"> <text>No debris near anchorage.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Weather conditions and forecast for the zip code area where the inflatable amusement attraction is operated shall be:</text> <paragraph num="(1)"> <text>Set-up monitoring.</text> <paragraph num="(a)"> <text>Monitored prior to set up of the inflatable amusement attraction; and</text> </paragraph> <paragraph num="(b)"> <text>Recorded in a written log as provided for in Regulation .12(D)(1)(b) of this regulation;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Monitored periodically during operations using a National Oceanic and Atmospheric Administration weather radio application or source similar in reliability.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Wind speeds shall be monitored prior to the set up of an inflatable amusement attraction and periodically during operation using an anemometer or other reliable method.</text> </paragraph> <paragraph num="E."> <text>Operator, Attendant, and User Operating Requirements.</text> <paragraph num="(1)"> <text>For an inflatable amusement attraction less than 15 feet in height, the owner shall provide the appropriate number of operators and attendants as specified by the manufacturer.</text> </paragraph> <paragraph num="(2)"> <text>For an inflatable amusement attraction over 15 feet in height, the owner shall follow the manufacturer’s specifications as to the appropriate number of operators and attendants, but a minimum of one operator and one attendant shall be provided.</text> </paragraph> <paragraph num="(3)"> <text>For an inflatable amusement attraction over 15 feet in height, the owner shall follow the manufacturer’s specifications as to maximum number of users.</text> </paragraph> <paragraph num="(4)"> <text>If the manufacturer’s specifications do not provide the number of users, there shall be no more than two users on the attraction and two users in a queue at any one time.</text> </paragraph> </paragraph> <paragraph num="F."> <text>General Owner Obligations.</text> <paragraph num="(1)"> <text>An owner shall comply with ASTM F2374-22.7.4.</text> </paragraph> <paragraph num="(2)"> <text>The owner shall ensure that the amusement attraction is positioned at a location so that the operator has a clear view of the user loading and unloading areas.</text> </paragraph> <paragraph num="(3)"> <text>The owner shall ensure that a designated operator shall operate only one inflatable amusement attraction at a time.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Operators.</text> <paragraph num="(1)"> <text>The owner shall ensure each inflatable amusement attraction:</text> <paragraph num="(a)"> <text>Is under the direct control of an operator who has been trained in the operation of the assigned inflatable amusement attraction; and</text> </paragraph> <paragraph num="(b)"> <text>Has the appropriate number of operators in the appropriate locations as provided for by the manufacturer’s specifications.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The owner shall ensure that a designated operator:</text> <paragraph num="(a)"> <text>Does not operate any inflatable amusement attraction while under the influence of drugs or alcohol;</text> </paragraph> <paragraph num="(b)"> <text>Knows the use and function of all operating controls, signal systems, and safety devices applicable to the inflatable amusement attraction;</text> </paragraph> <paragraph num="(c)"> <text>Knows the proper user loading sequence and capacity of the particular inflatable amusement attraction being operated;</text> </paragraph> <paragraph num="(d)"> <text>Remains stationed at the inflatable amusement attraction during operation;</text> </paragraph> <paragraph num="(e)"> <text>Has control of the inflatable amusement attraction at all times;</text> </paragraph> <paragraph num="(f)"> <text>Enforces applicable restrictions; and</text> </paragraph> <paragraph num="(g)"> <text>Has no other distractions from the operator’s responsibilities.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Operator and Attendant Identification.</text> <paragraph num="(1)"> <text>An owner shall issue to each operator and attendant identification that is highly visible.</text> </paragraph> <paragraph num="(2)"> <text>The identification shall clearly indicate the following:</text> <paragraph num="(a)"> <text>The title, that is, operator or attendant;</text> </paragraph> <paragraph num="(b)"> <text>Either the name of the operator or attendant or an identification number; and</text> </paragraph> <paragraph num="(c)"> <text>The name of the inflatable amusement attraction company.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Before issuing any identification, the owner shall train the operator and the attendant in accordance with §I of this regulation.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Operator and Attendant Training.</text> <paragraph num="(1)"> <text>An owner shall comply with the requirements of ASTM F2374-22.7.8 regarding operator and attendant training;</text> </paragraph> <paragraph num="(2)"> <text>An operator or attendant shall be trained on how to monitor the local weather including assessing the wind speeds using an anemometer or other reliable method; and</text> </paragraph> <paragraph num="(3)"> <text>The owner of an inflatable amusement attraction shall ensure that the Inflatable Amusement Attraction Daily Inspection and Daily Pre-Opening Checklist is properly filled out and signed at the completion of the daily pre-opening program.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Daily Inspection Program.</text> <paragraph num="(1)"> <text>An owner shall comply with the requirements of ASTM F2374-22.7.7, except §7.7.4.</text> </paragraph> <paragraph num="(2)"> <text>Worn and damaged components shall be repaired or replaced immediately and before operation.</text> </paragraph> <paragraph num="(3)"> <text>The owner of an inflatable amusement attraction shall ensure that the Inflatable Amusement Attraction Daily Inspection and Daily Pre-Opening Checklist is properly filled out and signed at the completion of the daily pre-opening program.</text> </paragraph> <paragraph num="(4)"> <text>A copy of the Inflatable Amusement Attraction Daily Inspection and Daily Pre-Opening Checklist shall be provided to the Commissioner on request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Injury Reporting and Recording."> <paragraph num="A."> <text>Injury Reporting.</text> <paragraph num="(1)"> <text>Whenever a death, in-patient hospitalization, amputation, compound fracture, broken tooth, or loss of an eye occurs during the use of an inflatable amusement attraction:</text> <paragraph num="(a)"> <text>The person who directly controls the operation of the inflatable amusement attraction shall immediately close the inflatable amusement attraction until it has been inspected by the Commissioner; and</text> </paragraph> <paragraph num="(b)"> <text>The amusement owner shall report orally or in writing to the Commissioner within 24 hours:</text> <paragraph num="(i)"> <text>Date and time of the incident;</text> </paragraph> <paragraph num="(ii)"> <text>Name, address, and telephone number of the injured person and parent or guardian information if the injured person is a minor;</text> </paragraph> <paragraph num="(iii)"> <text>Age of the injured person;</text> </paragraph> <paragraph num="(iv)"> <text>Name and manufacturer of the inflatable amusement attraction;</text> </paragraph> <paragraph num="(v)"> <text>Description of the injury;</text> </paragraph> <paragraph num="(vi)"> <text>Description of events related to the incident; and</text> </paragraph> <paragraph num="(vii)"> <text>Name, address, and phone number of the inflatable amusement attraction operator and attendants.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>If an owner is unaware of the condition of a member of the public injured during the operation of an inflatable amusement attraction who was transported away from the premises by an emergency response vehicle, the owner shall report verbally to the Commissioner within 24 hours the information required in §A(1)(b) of this regulation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Injury Recording.</text> <paragraph num="(1)"> <text>In addition to the reporting requirements of §A of this regulation, all owners shall maintain an injury log of all injuries to the public that occur during use of inflatable amusement attractions that require medical treatment by a physician other than one-time first aid and does not include:</text> <paragraph num="(a)"> <text>An injury that does not ordinarily require medical treatment, such as a minor burn, splinter, contusion, scratch, or cut not requiring stitches; or</text> </paragraph> <paragraph num="(b)"> <text>A diagnostic procedure, including examination and x-ray, even though provided by a physician or other licensed professional personnel.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The injury log shall contain the following information:</text> <paragraph num="(a)"> <text>Company name;</text> </paragraph> <paragraph num="(b)"> <text>Location;</text> </paragraph> <paragraph num="(c)"> <text>Date;</text> </paragraph> <paragraph num="(d)"> <text>Certificate number;</text> </paragraph> <paragraph num="(e)"> <text>Type of inflatable amusement attraction;</text> </paragraph> <paragraph num="(f)"> <text>Nature of incident;</text> </paragraph> <paragraph num="(g)"> <text>Description of injury;</text> </paragraph> <paragraph num="(h)"> <text>Age of injured person;</text> </paragraph> <paragraph num="(i)"> <text>Last known condition of injured person, including date information obtained; and</text> </paragraph> <paragraph num="(j)"> <text>Date added to log.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Each injury required under this section and §A of this regulation, shall be recorded on the injury log within 7 calendar days and updated as additional required information becomes available.</text> </paragraph> <paragraph num="(4)"> <text>A copy of a sample injury log is available on the Department's webpage.</text> </paragraph> <paragraph num="(5)"> <text>An owner shall maintain injury logs on a calendar year basis.</text> </paragraph> <paragraph num="(6)"> <text>An owner shall certify the completeness and accuracy of the information contained on the injury log by January 15 of the following calendar year.</text> </paragraph> <paragraph num="(7)"> <text>An owner shall provide access to prior years', and the portion completed for the current year, injury log to the Commissioner.</text> </paragraph> <paragraph num="(8)"> <text>Each owner shall maintain, and make available for inspection by the Commissioner, an injury log for 5 years.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Records and Reports."> <paragraph num="A."> <text>The Inflatable Amusement Attraction Daily Inspection and Daily Pre-Opening Checklist shall be:</text> <paragraph num="(1)"> <text>Signed by the person performing the inspection immediately upon completion of the inspection;</text> </paragraph> <paragraph num="(2)"> <text>Kept with the inflatable amusement attraction or at an on-site office; and</text> </paragraph> <paragraph num="(3)"> <text>Maintained for at least 30 days.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Identification Records. An owner shall maintain a record of the name and identification number of each operator and attendant with the following information:</text> <paragraph num="(1)"> <text>Inflatable amusement attraction that the operator and attendant operated; and</text> </paragraph> <paragraph num="(2)"> <text>The date and location of operation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Record of Training.</text> <paragraph num="(1)"> <text>Each owner shall:</text> <paragraph num="(a)"> <text>Maintain a record of training provided to each operator and attendant; and</text> </paragraph> <paragraph num="(b)"> <text>Provide the Commissioner with a copy of the record of training on request.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The training record shall indicate the following for each operator and attendant:</text> <paragraph num="(a)"> <text>The name or identification number;</text> </paragraph> <paragraph num="(b)"> <text>A detailed description of the training provided; and</text> </paragraph> <paragraph num="(c)"> <text>A list of all the inflatable amusement attractions for which the operator and attendant received training.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Written Logs.</text> <paragraph num="(1)"> <text>An owner shall ensure that a written log is maintained and:</text> <paragraph num="(a)"> <text>Written log requirements:</text> <paragraph num="(i)"> <text>Contain any reports from riders complaining of adverse physical effects or operating inconsistencies occurring during the operation of an amusement attraction; and</text> </paragraph> <paragraph num="(ii)"> <text>Are submitted to the Commissioner when multiple reports of a particular nature may indicate a pattern are shown in the log; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Contains weather reports that reflect review of the weather forecast prior to each set up of the inflatable amusement attraction including the date, time, location of operation, and description of weather conditions.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A copy of the written logs required by this section shall be made available to the Commissioner upon request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Design Criteria."> <paragraph num="A."> <text>An owner shall ensure that an inflatable amusement attraction is designed and manufactured in accordance with Regulation .09 of this chapter.</text> </paragraph> <paragraph num="B."> <text>Upon request, an owner shall provide the Commissioner with information to document compliance with §A of this regulation.</text> </paragraph> <paragraph num="C."> <text>Copies of all documents provided to the Commissioner shall be in English.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Access, Egress, and Walking Surfaces."> <paragraph num="A."> <text>Access to and egress from all inflatable amusement attractions shall be free from all recognized hazards.</text> </paragraph> <paragraph num="B."> <text>All walking surfaces including, but not limited to, loading and unloading areas, platforms, landings, stairs, and ramps shall be stable and slip-resistant.</text> </paragraph> <paragraph num="C."> <text>If there is the potential for exposure to a fall distance exceeding 30 inches, the owner shall take steps to prevent such falls.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Signage."> <text>An owner shall comply with the signage requirements of ASTM F2374-22.7.5.4 excluding “such as, but not limited to, those listed in 7.9” in Section 7.5.4.1.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="General Environment."> <paragraph num="A."> <text>Weather-Related and Environmental Condition Restrictions.</text> <paragraph num="(1)"> <text>Except as provided in §A(2) of this regulation, all manufacturer weather-related and environmental condition restrictions shall be complied with; and.</text> </paragraph> <paragraph num="(2)"> <text>In the event of lightning, maximum sustained wind speed in excess of 15 mph, or wind gusts lasting 3 seconds or longer with wind speed of 25 mph or greater in the immediate area where the inflatable amusement attraction is operating, a tornado watch, a severe storm predicted within a 5 mile radius, fire, or other disturbance, an owner shall implement the following:</text> <paragraph num="(a)"> <text>Users shall be unloaded or evacuated safely from the inflatable amusement attraction immediately; and</text> </paragraph> <paragraph num="(b)"> <text>The inflatable amusement attraction shall be closed and secured immediately.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Illumination.</text> <paragraph num="(1)"> <text>Each inflatable amusement attraction, including entrances and exits, shall be illuminated to provide adequate visibility of the surfaces used.</text> </paragraph> <paragraph num="(2)"> <text>For the assembly and disassembly of inflatable amusement attractions, all work areas shall be illuminated to provide adequate visibility.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Fire Protection."> <paragraph num="A."> <text>Flammable and Combustible Liquids.</text> <paragraph num="(1)"> <text>An owner shall store and handle flammable and combustible liquids consistent with the applicable National Fire Protection Association (NFPA) standards.</text> </paragraph> <paragraph num="(2)"> <text>An owner may not handle or fuel equipment with flammable liquids within 20 feet of an inflatable amusement attraction.</text> </paragraph> <paragraph num="(3)"> <text>An owner shall store flammable and combustible liquids at least 75 feet from an inflatable amusement attraction or other spark-producing equipment.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Fire Extinguishers.</text> <paragraph num="(1)"> <text>An owner shall provide at least one portable fire extinguisher listed and labeled with a ABC rating, as defined by the National Electrical Code, ANSI/NFPA #70, of not less than 10 pound capacity rating.</text> </paragraph> <paragraph num="(2)"> <text>The fire extinguisher shall be located not less than 25 feet, or more than 75 feet, from any:</text> <paragraph num="(a)"> <text>Flammable or combustible liquid storage; or</text> </paragraph> <paragraph num="(b)"> <text>Portable electric generator.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Equipment and Materials."> <paragraph num="A."> <text>Guarding.</text> <paragraph num="(1)"> <text>The owner shall ensure that machinery is guarded to prevent contact with belts, fan blades, or similar moving components.</text> </paragraph> <paragraph num="(2)"> <text>Guards shall be:</text> <paragraph num="(a)"> <text>Designed to perform a specific task;</text> </paragraph> <paragraph num="(b)"> <text>Properly secured; and</text> </paragraph> <paragraph num="(c)"> <text>Properly maintained in a condition consistent with the intent of the guard’s design.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Before a guard is removed for maintenance purposes:</text> <paragraph num="(a)"> <text>The equipment shall be locked out or tagged out; and</text> </paragraph> <paragraph num="(b)"> <text>The guard shall be replaced before normal operation is resumed.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A guard shall be designed so that it does not pose a hazard itself.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Portable Electric Generators.</text> <paragraph num="(1)"> <text>A portable electric generator is not required to be grounded if the portable electric generator:</text> <paragraph num="(a)"> <text>Supplies only equipment mounted on the generator; or</text> </paragraph> <paragraph num="(b)"> <text>Supplies power to the equipment through receptacles mounted on the generator that are connected by plug and cord and single extensions.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If a portable electric generator does not comply with §B(1) of this regulation, the owner shall ensure that a grounding electrode, such as a ground rod, is used for any fault current.</text> </paragraph> <paragraph num="(3)"> <text>A portable electric generator shall be listed and labeled by a Nationally Recognized Testing Laboratory.</text> </paragraph> <paragraph num="(4)"> <text>A portable electric generator may not be located:</text> <paragraph num="(a)"> <text>Near user or pedestrian traffic; or</text> </paragraph> <paragraph num="(b)"> <text>In locations that may be hazardous.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Location and Operation."> <paragraph num="A."> <text>In addition to the requirements set forth in this section, an owner shall comply with the installation requirements set forth in ASTM F2374.22.7.5.6.2-7.5.6.10.</text> </paragraph> <paragraph num="B."> <text>Location.</text> <paragraph num="(1)"> <text>Placement of the inflatable amusement attraction at the location where it is to be operated shall ensure that:</text> <paragraph num="(a)"> <text>The inflatable amusement attraction is compliant with manufacturer specifications;</text> </paragraph> <paragraph num="(b)"> <text>The inflatable amusement attraction is on a level and stable surface after consideration of slope, topography and surface type;</text> </paragraph> <paragraph num="(c)"> <text>The inflatable amusement attraction is not placed in a public right of way and away from motor vehicle traffic; and</text> </paragraph> <paragraph num="(d)"> <text>The inflatable amusement attraction is accessible by emergency personnel.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Tie-Downs.</text> <paragraph num="(a)"> <text>Tie-downs and anchors used to support an inflatable amusement attraction may not create a tripping or impalement hazard.</text> </paragraph> <paragraph num="(b)"> <text>The immediate area surrounding the inflatable amusement attraction shall be clear of:</text> <paragraph num="(i)"> <text>Trees and shrubs, if they pose a hazard;</text> </paragraph> <paragraph num="(ii)"> <text>Free from debris; and</text> </paragraph> <paragraph num="(iii)"> <text>Other tripping hazards including, but not limited to, pot holes.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Clearances.</text> <paragraph num="(1)"> <text>Except for equipment required for operation of the inflatable amusement attraction, there shall be side and overhead clearances of at least 48 inches between an inflatable amusement attraction and any other object.</text> </paragraph> <paragraph num="(2)"> <text>Except for conductors supplying power to the device, an inflatable amusement attraction may not operate under or within 15 feet of any power lines, utilities, roads, cliffs, or bodies of water.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Electrical Requirements."> <paragraph num="A."> <text>In addition to the requirements set forth in this section, an owner shall comply with the installation requirements set forth in ASTM F2374-22.5.16.4.</text> </paragraph> <paragraph num="B."> <text>Lighting systems. Lighting systems, including fluorescent lighting systems, shall be:</text> <paragraph num="(1)"> <text>In good repair;</text> </paragraph> <paragraph num="(2)"> <text>Protected against accidental contact and breakage; and</text> </paragraph> <paragraph num="(3)"> <text>Capable of containing the pieces of a broken light should breakage occur.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Rules of Procedure for Hearings."> <text>All contested case hearings before the Commissioner shall be governed by COMAR 09.01.02.</text> </regulation> <regulation prefix="Regulation" num=".22" heading="Variances."> <paragraph num="A."> <text>Application for Variance.</text> <paragraph num="(1)"> <text>An affected owner may apply to the Commissioner for a variance from any regulation adopted under Business Regulation Article, Title 3, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>An application for variance shall be in writing and shall include:</text> <paragraph num="(a)"> <text>The name and address of the applicant;</text> </paragraph> <paragraph num="(b)"> <text>Identification of the regulation from which the applicant seeks a variance;</text> </paragraph> <paragraph num="(c)"> <text>The location, equipment, and practices involved;</text> </paragraph> <paragraph num="(d)"> <text>A detailed statement of the applicant’s reasons for requesting a variance;</text> </paragraph> <paragraph num="(e)"> <text>A statement of the steps the applicant has taken and will take, with specific dates when appropriate, to protect the public against the specific hazard covered by the regulation; and</text> </paragraph> <paragraph num="(f)"> <text>Any request for a hearing.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Posting of Notice.</text> <paragraph num="(1)"> <text>Immediately on filing a request for a variance pursuant to Business Regulation Article, §3-314, Annotated Code of Maryland, an applicant shall post notice of the application at the place or places where a certificate of inspection is required to be posted.</text> </paragraph> <paragraph num="(2)"> <text>The notice shall include:</text> <paragraph num="(a)"> <text>The name and address of the applicant;</text> </paragraph> <paragraph num="(b)"> <text>The date on which the application was filed;</text> </paragraph> <paragraph num="(c)"> <text>Identification of the regulation from which the applicant seeks a variance;</text> </paragraph> <paragraph num="(d)"> <text>The location, equipment, and practices involved; and</text> </paragraph> <paragraph num="(e)"> <text>Notice to the public and affected employees of their right to participate in the proceeding.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The notice shall be maintained until the commencement of the proceedings.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Order of Variance.</text> <paragraph num="(1)"> <text>After investigation, on-site inspection, and such hearing as the Commissioner may direct, the Commissioner may grant a variance from a regulation under this chapter if:</text> <paragraph num="(a)"> <text>It is evident that action is necessary to prevent undue hardship; or</text> </paragraph> <paragraph num="(b)"> <text>Existing conditions prevent practical compliance and the reasonable safety of the public can, in the opinion of the Commissioner, be ensured.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An order of variance may require such special conditions as are reasonably necessary to ensure public safety.</text> </paragraph> <paragraph num="(3)"> <text>A declaration, act, or omission of the Commissioner or the Commissioner’s authorized representative, other than a written order authorizing a variance as permitted above, may not be construed to exempt, either wholly or in part, expressly or implicitly, any owner from full compliance with the terms of any regulation under this chapter.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Modification, Revocation, and Renewal of Order of Variance.</text> <paragraph num="(1)"> <text>The Commissioner may modify, revoke, or renew an order of variance in the same manner prescribed for the issuance of an order of variance.</text> </paragraph> <paragraph num="(2)"> <text>An order of variance may not be modified or revoked unless affected parties are informed of the proposed action and afforded an opportunity to:</text> <paragraph num="(a)"> <text>Submit written data, views, or arguments regarding the proposed action; and</text> </paragraph> <paragraph num="(b)"> <text>Request a hearing on the proposal.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§3-204(c), 3-307—3-313 and 3-402, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 21, 2013 (40:1 Md. R. 20)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective November 1, 2022 (49:21 Md. R. 951)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective November 1, 2022 (49:21 Md. R. 951)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 amended effective November 1, 2022 (49:21 Md. R. 951)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised as an emergency provision effective March 4, 2026 (53:6 Md. R. 285); emergency provision adopted effective May 11, 2026 (53:9 Md. R. 412)</annotation> </annotations> </chapter> <chapter num="67—70" heading="" reason="VACANT" /> <chapter num="71" heading="Arbitration of Labor Disputes, Elections, and Other Related Matters"> <regulation prefix="Regulation" num=".01" heading="Procedure for Public Hearings."> <paragraph num="A."> <text>The Commissioner of Labor and Industry, or the Commissioner's designee, shall be the hearing officer.</text> </paragraph> <paragraph num="B."> <text>The hearing officer shall:</text> <paragraph num="(1)"> <text>Call the title of the case;</text> </paragraph> <paragraph num="(2)"> <text>Briefly explain the purpose and nature of the hearing;</text> </paragraph> <paragraph num="(3)"> <text>Administer the oath to all persons who are summoned or intend to testify; and</text> </paragraph> <paragraph num="(4)"> <text>Receive any stipulations entered into by the parties.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Counsel or any party may address any preliminary matter, exception, or motion.</text> </paragraph> <paragraph num="D."> <text>The following exhibits shall be introduced:</text> <paragraph num="(1)"> <text>If the hearing officer is the Commissioner's designee, a copy of the letter designating the individual to preside at the hearing;</text> </paragraph> <paragraph num="(2)"> <text>A copy of the petition, complaint, or other matter involved in the hearing; and</text> </paragraph> <paragraph num="(3)"> <text>A copy of the notice of hearing sent to each party.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Subject to applicable statutes and rules governing the practice of law, each party or counsel representing a party may:</text> <paragraph num="(1)"> <text>Call witnesses;</text> </paragraph> <paragraph num="(2)"> <text>Offer evidence, including rebuttal evidence;</text> </paragraph> <paragraph num="(3)"> <text>Cross-examine witnesses; and</text> </paragraph> <paragraph num="(4)"> <text>Present argument and summation.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The hearing officer may question any witness.</text> </paragraph> <paragraph num="G."> <text>The rules of evidence of the Administrative Procedure Act—Contested Cases, State Government Article, §10-208, Annotated Code of Maryland, shall apply.</text> </paragraph> <paragraph num="H."> <text>The hearing officer's decision shall include:</text> <paragraph num="(1)"> <text>Findings of fact based on the evidence presented;</text> </paragraph> <paragraph num="(2)"> <text>Conclusions of law applying the law to the factual findings; and</text> </paragraph> <paragraph num="(3)"> <text>An order disposing of the case.</text> </paragraph> </paragraph> <paragraph num="I."> <text>The hearing officer shall promptly deliver or mail a copy of the decision to each party or the party's attorney of record.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">State Government Article, §10-204; Labor and Employment Article, §2-106(a);Education Article, §16-510.1; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 20, 1979 (6:8 Md. R. 655)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulation .01 adopted effective December 14, 1987 (14:25 Md. R. 2659)</annotation> </annotations> </chapter> <chapter num="72—80" heading="" reason="VACANT" /> <chapter num="81" heading="Elevator, Escalator, and Chairlift Safety"> <regulation prefix="Regulation" num=".01" heading="Safety Code for Elevators and Escalators."> <paragraph num="A."> <text>Scope.</text> <paragraph num="(1)"> <text>The following sections set out the dates on which ANSI/ASME codes and supplements as required by Public Safety Article, §12-805, Annotated Code of Maryland, became effective.</text> </paragraph> <paragraph num="(2)"> <text>The applicable adopted safety code will be contingent upon the date the contract to install an elevator unit is signed.</text> </paragraph> <paragraph num="(3)"> <text>Documentation verifying the contract date shall be provided as part of the registration process.</text> </paragraph> <paragraph num="(4)"> <text>The elevator unit shall undergo a final acceptance inspection within 3 years of the contract date or the next subsequent adopted safety code shall be applied.</text> </paragraph> <paragraph num="(5)"> <text>Requirements prescribed at the time of the initial elevator certification remain in effect.</text> </paragraph> <paragraph num="(6)"> <text>Frequency of inspection requirements set forth in ANSI Code shall be performed annually, according to Public Safety Article, §12-812, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The American Standard Safety Code for Elevators, Dumbwaiters, Escalators, and Moving Walks, ANSI A17.1—1971 and its supplements, are effective on the dates indicated:</text> <paragraph num="(1)"> <text>ANSI A17.1—1971 is effective March 7, 1973;</text> </paragraph> <paragraph num="(2)"> <text>ANSI A17.1a—1972 is effective May 23, 1974;</text> </paragraph> <paragraph num="(3)"> <text>ANSI A17.1b—1973 is effective January 1, 1975;</text> </paragraph> <paragraph num="(4)"> <text>ANSI A17.1c—1974 is effective January 1, 1975;</text> </paragraph> <paragraph num="(5)"> <text>ANSI A17.1d—1975 is effective October 31, 1975;</text> </paragraph> <paragraph num="(6)"> <text>ANSI A17.1e—1975 is effective October 31, 1975;</text> </paragraph> <paragraph num="(7)"> <text>ANSI A17.1f—1975 is effective October 31, 1975;</text> </paragraph> <paragraph num="(8)"> <text>ANSI A17.1g—1976 is effective November 30, 1976.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The American Standard Safety Code for Elevators, Dumbwaiters, Escalators, and Moving Walks, ANSI A17.1—1978 and its supplements, are effective on the dates indicated:</text> <paragraph num="(1)"> <text>ANSI A17.1—1978 is effective September 15, 1978;</text> </paragraph> <paragraph num="(2)"> <text>ANSI A17.1a—1979 is effective June 30, 1979;</text> </paragraph> <paragraph num="(3)"> <text>ANSI A17.1b—1980 is effective August 15, 1980.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The ANSI/ASME A17.1 Safety Code for Elevators and Escalators, ANSI/ASME A17.1—1981 and its supplements, are effective on the dates indicated:</text> <paragraph num="(1)"> <text>ANSI/ASME A17.1—1981 is effective April 22, 1982;</text> </paragraph> <paragraph num="(2)"> <text>ANSI/ASME A17.1a—1982 is effective May 30, 1983;</text> </paragraph> <paragraph num="(3)"> <text>ANSI/ASME A17.1b—1983 is effective June 23, 1984.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The ANSI/ASME A17.1 Safety Code for Elevators and Escalators, ANSI/ASME A17.1—1984 and its supplements, are effective on the dates indicated:</text> <paragraph num="(1)"> <text>ANSI/ASME A17.1—1984 is effective March 16, 1985;</text> </paragraph> <paragraph num="(2)"> <text>ANSI/ASME A17.1a—1985 is effective October 15, 1985;</text> </paragraph> <paragraph num="(3)"> <text>ANSI/ASME A17.1b—1985 is effective April 15, 1986;</text> </paragraph> <paragraph num="(4)"> <text>ANSI/ASME A17.1c—1986 is effective October 31, 1986;</text> </paragraph> <paragraph num="(5)"> <text>ANSI/ASME A17.1d—1986 is effective May 31, 1987;</text> </paragraph> <paragraph num="(6)"> <text>ANSI/ASME A17.1e—1987 is effective October 30, 1987.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The ASME/ANSI A17.1 Safety Code for Elevators and Escalators, ASME/ANSI A17.1—1987 and its supplements, are effective on the dates indicated:</text> <paragraph num="(1)"> <text>ASME/ANSI A17.1—1987 is effective July 16, 1988;</text> </paragraph> <paragraph num="(2)"> <text>ASME/ANSI A17.1a—1988 is effective May 16, 1989;</text> </paragraph> <paragraph num="(3)"> <text>ASME/ANSI A17.1b—1989 is effective May 31, 1990.</text> </paragraph> </paragraph> <paragraph num="G."> <text>ASME A17.1-1990 Safety Code for Elevators and Escalators and Supplements.</text> <paragraph num="(1)"> <text>The ASME A17.1-1990 Safety Code for Elevators and Escalators, excluding Parts V, XXI, and XXIII, is incorporated by reference and is effective October 14, 1991, with the following changes:</text> <paragraph num="(a)"> <text>On page 87, delete the text under Rule 211.3b Smoke Detectors, and insert in its place the following:</text> </paragraph> <paragraph num="(b)"> <text>On page 163, delete the text under Rule 1000.1 Persons Authorized to Make Inspections and Tests, and insert in its place the following:</text> </paragraph> <paragraph num="(c)"> <text>On page 163, delete the text under Rule 1000.1b(1) and (2) Periodic Inspection and Tests, and insert in its place the following:</text> </paragraph> <paragraph num="(d)"> <text>On page 164, delete the text under Rule 1001.1 Inspection and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(e)"> <text>On page 169, delete the text under Rule 1004.1 Inspection and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(f)"> <text>On page 171, delete the text under Rule 1007.1 Inspections and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(g)"> <text>On page 264, delete the text under Rule 2000.10b(2) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(h)"> <text>On page 264, delete the text under Rule 2001.1b Clearances, and insert in its place the following:</text> </paragraph> <paragraph num="(i)"> <text>On pages 266 and 267, delete the text under Rule 2001.6c(1) Platform Guarding, and insert in its place the following:</text> </paragraph> <paragraph num="(j)"> <text>On page 268, delete the text under Rule 2001.10b(2) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(k)"> <text>On page 268, delete the text under Rule 2001.10b(4) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(l)"> <text>On page 270, delete the text under Rule 2002.6d Footrest Clearance, and insert in its place the following:</text> </paragraph> <paragraph num="(m)"> <text>On pages 289—293, delete the text under Part XXIII, Rooftop Elevators, and insert in its place the following:</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>ASME A17.1a—1991, the Addenda to ASME A17.1—1990 Safety Code for Elevators and Escalators, is incorporated by reference and is effective August 29, 1992.</text> </paragraph> <paragraph num="(3)"> <text>ASME A17.1b—1992, the Addenda to ASME A17.1—1990 Safety Code for Elevators and Escalators.</text> <paragraph num="(a)"> <text>ASME A17.1b—1992 is incorporated by reference and is effective July 5, 1993.</text> </paragraph> <paragraph num="(b)"> <text>The Errata to ASME A17.1b—1992 is incorporated by reference and is effective October 11, 1993.</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>ASME A17.1—1993—Safety Code for Elevators and Escalators and Supplements.</text> <paragraph num="(1)"> <text>The ASME A17.1—1993 Safety Code for Elevators and Escalators, excluding Parts V, XXI, and XXIII, is incorporated by reference and is effective July 18, 1994, with the following changes:</text> <paragraph num="(a)"> <text>On page 27, delete the text under Rule 106.1b(3) Design and Construction of Pits and insert in its place the following:</text> </paragraph> <paragraph num="(b)"> <text>On page 87, delete the text under Rule 211.3b Smoke Detectors, and insert in its place the following:</text> </paragraph> <paragraph num="(b-1)"> <text>On page 148, delete the text under Rule 802.3f Skirt Panels and insert in its place the following:</text> </paragraph> <paragraph num="(c)"> <text>On page 165, delete the text under Rule 1000.1 Persons Authorized to Make Inspections and Tests, and insert in its place the following:</text> </paragraph> <paragraph num="(d)"> <text>On page 165, delete the text under Rule 1000.1b(1) and (2) Periodic Inspection and Tests, and insert in its place the following:</text> </paragraph> <paragraph num="(e)"> <text>On page 166, delete the text under Rule 1001.1 Inspection and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(f)"> <text>On page 172, delete the text under Rule 1004.1 Inspection and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(g)"> <text>On page 174, delete the text under Rule 1007.1 Inspections and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(h)"> <text>On page 177, delete the text under Rule 1010.10 Wheelchair Lifts, and insert in its place the following:</text> </paragraph> <paragraph num="(i)"> <text>On page 208, delete the text under §1217 Rooftop Elevators, and insert in its place the following:</text> </paragraph> <paragraph num="(j)"> <text>On page 270, delete the text under Rule 2000.10b(2) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(k)"> <text>On page 271, delete the text under Rule 2001.1b Clearances, and insert in its place the following:</text> </paragraph> <paragraph num="(l)"> <text>On pages 272 and 273, delete the text under Rule 2001.6c(1) Platform Guarding, and insert in its place the following:</text> </paragraph> <paragraph num="(m)"> <text>On page 274, delete the text under Rule 2001.10b(2) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(n)"> <text>On page 274, delete the text under Rule 2001.10b(4) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(o)"> <text>On page 276, delete the text under Rule 2002.6d Footrest Clearance, and insert in its place the following:</text> </paragraph> <paragraph num="(p)"> <text>On pages 295—299, delete the text under Part XXIII, Rooftop Elevators, and insert in its place the following:</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>ASME A17.1a-1994 Addenda to ASME A17.1-1993 Safety Code for Elevators and Escalators, excluding Part V, is incorporated by reference and is effective August 24, 1995.</text> </paragraph> <paragraph num="(3)"> <text>The ASME A17.1b-1995 Addenda to ASME A17.1-1993 Safety Code for Elevators and Escalators, excluding Parts V and XXI, is incorporated by reference and is effective March 24, 1997, with the following changes:</text> <paragraph num="(a)"> <text>On page 87, insert the following under Rule 211.3b:</text> </paragraph> <paragraph num="(b)"> <text>On page 166, delete the text under Rule 1001.1 Inspection and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(c)"> <text>On page 174.1, delete the text under Rule 1007.1 Inspections and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(d)"> <text>On page 324.5, delete the text under Rule 2501.12(a).</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>ASME A17.1-1996—Safety Code for Elevators and Escalators and Supplements. The ASME A17.1-1996 Safety Code for Elevators and Escalators, excluding Parts V, XXI, and XXIII, is incorporated by reference and is effective April 6, 1998, with the following changes:</text> <paragraph num="(1)"> <text>On page 31, delete the text under Rule 106.1b(3) Design and Construction of Pits, and insert in its place the following:</text> </paragraph> <paragraph num="(2)"> <text>On page 90, under Rule 210.14 Inspection Operation With Hoistway-Door Electric Contact or Car-Door Electric Contact Open, before the NOTE, insert the following paragraph:</text> </paragraph> <paragraph num="(3)"> <text>On page 92, insert the following under Rule 211.3b Smoke Detectors:</text> </paragraph> <paragraph num="(4)"> <text>On page 158, delete the text under Rule 802.3f Skirt Panels, and insert in its place the following:</text> </paragraph> <paragraph num="(5)"> <text>On page 177, delete the text under Rule 1000.1 Persons Authorized to Make Inspections and Tests, and insert in its place the following:</text> </paragraph> <paragraph num="(6)"> <text>On page 177, delete the text under Rule 1000.1b(1) and (2) Periodic Inspection and Tests, and insert in its place the following:</text> </paragraph> <paragraph num="(7)"> <text>On page 178, delete the text under Rule 1001.1 Inspection and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(8)"> <text>On page 184, delete the text under Rule 1004.1 Inspection and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(9)"> <text>On page 187, delete the text under Rule 1007.1 Inspections and Test Periods, and insert in its place the following:</text> </paragraph> <paragraph num="(10)"> <text>On page 191, delete the text under Rule 1010.10 Wheelchair Lifts, and insert in its place the following:</text> </paragraph> <paragraph num="(11)"> <text>On page 223, delete the text under §1217 Rooftop Elevators, and insert in its place the following:</text> </paragraph> <paragraph num="(12)"> <text>On page 284, delete the text under Rule 2000.10b(2) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(13)"> <text>On page 285, delete the text under Rule 2001.1b Clearances, and insert in its place the following:</text> </paragraph> <paragraph num="(14)"> <text>On page 287, delete the text under Rule 2001.6c(1) Platform Guarding, and insert in its place the following:</text> </paragraph> <paragraph num="(15)"> <text>On page 289, delete the text under Rule 2001.10b(2) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(16)"> <text>On page 289, delete the text under Rule 2001.10b(4) Attendant Operation, and insert in its place the following:</text> </paragraph> <paragraph num="(17)"> <text>On page 291, delete the text under Rule 2002.6d Footrest Clearance, and insert in its place the following:</text> </paragraph> <paragraph num="(18)"> <text>On pages 309 through 313, delete the text under Part XXIII, Rooftop Elevators, and insert in its place the following:</text> </paragraph> <paragraph num="(19)"> <text>On page 341, delete the text under Rule 2501.12(a).</text> </paragraph> </paragraph> <paragraph num="J."> <text>ASME A17.1a-1997 Addenda to ASME A17.1-1996 Safety Code for Elevators and Escalators, excluding Part V, is incorporated by reference and is effective December 28, 1998.</text> </paragraph> <paragraph num="K."> <text>ASME A17.1b-1998 Addenda to ASME A17.1-1996 Safety Code for Elevators and Escalators is incorporated by reference and is effective August 23, 1999.</text> </paragraph> <paragraph num="L."> <text>ASME A17.1c-1999 Addenda to ASME A17.1-1996 Safety Code for Elevators and Escalators is incorporated by reference and is effective April 1, 2002.</text> </paragraph> <paragraph num="M."> <text>ASME A17.1d-2000 Addenda to ASME A17.1-1996 Safety Code for Elevators and Escalators is incorporated by reference and is effective April 1, 2002.</text> </paragraph> <paragraph num="N."> <text>ASME A17.1-2000 Safety Code for Elevators and Escalators. The ASME A17.1-2000 Safety Code for Elevators and Escalators, excluding Sections 5.3, 5.4, 5.6, and 5.8, is incorporated by reference with the following change: On page 374, delete the text under Rule 8.11.1.3 Periodic Inspection and Test Frequency, and insert in its place the following: Periodic inspections and tests shall be made at intervals not longer than 1 year.</text> </paragraph> <paragraph num="O."> <text>ASME A17.1a-2002 Addenda to ASME A17.1-2000 Safety Code for Elevators and Escalators is incorporated by reference.</text> </paragraph> <paragraph num="P."> <text>ASME A17.1b-2003 Addenda to ASME A17.1-2000 Safety Code for Elevators and Escalators is incorporated by reference.</text> </paragraph> <paragraph num="Q."> <text>ASME A17.1-2004 Safety Code for Elevators and Escalators. The ASME A17.1-2004 Safety Code for Elevators and Escalators, excluding Sections 5.3, 5.4, 5.6, 5.8, and 5.9, is incorporated by reference.</text> </paragraph> <paragraph num="R."> <text>ASME A17.1a-2005 Addenda to ASME A17.1-2004 Safety Code for Elevators and Escalators, excluding Sections 5.3, 5.4, 5.6, 5.8, and 5.9, is incorporated by reference.</text> </paragraph> <paragraph num="S."> <text>ASME A17.1S-2005 Supplement to ASME A17.1-2004 Safety Code for Elevators and Escalators is incorporated by reference.</text> </paragraph> <paragraph num="T."> <text>The ASME A17.1-2007/CSA B44-07 Safety Code for Elevators and Escalators, excluding Sections 5.6, 5.8, and 5.9, is incorporated by reference.</text> </paragraph> <paragraph num="U."> <text>ASME A17.1a-2008/CSA B44a-08 Addenda to ASME A17.1-2007/CSA B44-07 Safety Code for Elevators and Escalators is incorporated by reference.</text> </paragraph> <paragraph num="V."> <text>ASME A17.1b-2009/CSA B44b-09 Addenda to ASME A17.1-2007/CSA B44-07 Safety Code for Elevators and Escalators is incorporated by reference.</text> </paragraph> <paragraph num="W."> <text>ASME A17.1-2010/CSA B44-10 (Revision of ASME A17.1-2007 and CSA B44-07) Safety Code for Elevators and Escalators, excluding Sections 5.6, 5.8, and 5.9, is incorporated by reference.</text> </paragraph> <paragraph num="X."> <text>Repealed.</text> </paragraph> <paragraph num="Y."> <text>Repealed.</text> </paragraph> <paragraph num="Z."> <text>ASME A17.1-2013/CSA B44-13 (Revision of ASME A17.1-2010/CSA B44-10) Safety Code for Elevators and Escalators is incorporated by reference.</text> </paragraph> <paragraph num="AA."> <text>ASME A17.1-2016/CSA B44-16 (Revision of ASME A17.1-2013 and CSA B44-13) Safety Code for Elevators and Escalators is incorporated by reference.</text> </paragraph> <paragraph num="BB."> <text>ASME A17.8-2016/CSA B44.8-16 Standard for wind turbine tower elevators is incorporated by reference.</text> </paragraph> <paragraph num="CC."> <text>Article 620 Elevators, Dumbwaiters, Escalators, Moving Walks, Platform Lifts, and Stairway Chairlifts of the National Electric Code (NFPA 70), which is incorporated by reference in COMAR 09.12.50.02-1B(3).</text> </paragraph> <paragraph num="DD."> <text>ASME A17.1-2019/CSA B44-19 (Revision of ASME A17.1-2016 and CSA B44-16) Safety Code for Elevators and Escalators is incorporated by reference.</text> </paragraph> <paragraph num="EE."> <text>ASME A17.1-2022/CSA B44:22 (Revision of ASME A17.1-2019/CSA B44:19) Safety Code for Elevators and Escalators is incorporated by reference with the following changes:</text> <paragraph num="(1)"> <text>On page 23, after requirement number 2.2.4.2.2:</text> <paragraph num="(a)"> <text>Insert an “(a)” at the beginning of the existing paragraph; and</text> </paragraph> <paragraph num="(b)"> <text>Add new section “(b) For alterations where obstructions are encountered, the width shall be permitted to be decreased to less than 400 mm (16 in.). The reduced width shall be as wide as the available space permits, but not less than 304.8 mm (12 in.)”.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>On page 24, add to the beginning of requirement 2.2.5.1, “Where access is necessary to service or access elevator equipment,”;</text> </paragraph> <paragraph num="(3)"> <text>On page 232, delete Section 5.8, “Marine Elevators”;</text> </paragraph> <paragraph num="(4)"> <text>On page 233, delete Section 5.9, “Mine Elevators”;</text> </paragraph> <paragraph num="(5)"> <text>On page 241, under requirement 5.10.1.21.3, replace “Article 305 of NFPA 70” with “Article 590 of NFPA 70”;</text> </paragraph> <paragraph num="(6)"> <text>On page 374, delete requirement 8.6.4.24;</text> </paragraph> <paragraph num="(7)"> <text>On page 439, under requirement 8.11.1.4, add at the end of subsection (b)(1) “by bolting, welding, or dry walling to prevent access to the hoistway. The lowest landing may be sealed from outside the hoistway”; and</text> </paragraph> <paragraph num="(8)"> <text>On page 439, under requirement 8.11.1.4, add at the end of section (b)(2) “by bolting, welding, or dry walling to prevent access to the hoistway. The lowest landing may be sealed from outside the hoistway”.</text> </paragraph> </paragraph> <paragraph num="FF."> <text>ASME A17.8-2021/CSA B44.8:21 Standard for Wind Turbine Tower Elevators is incorporated by reference.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".01-1" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“First aid” has the meaning stated in 29 CFR §1904.7(b)(5)(ii).</text> </paragraph> <paragraph num="(2)"> <text>“Incident” means an event that results in significant property damage or a major operational malfunction that is not consistent with manufacturer specifications.</text> </paragraph> <paragraph num="(3)"> <text>“Incident report” means a completed Division of Labor and Industry incident record form.</text> </paragraph> <paragraph num="(4)"> <text>“Inclined platform lift” means a hoisting and lowering mechanism equipped with a platform and seat that:</text> <paragraph num="(a)"> <text>Moves in guides in a diagonal plane from one level to another with limited travel, operating speed, and platform area; and</text> </paragraph> <paragraph num="(b)"> <text>Is intended for transportation of mobility-impaired persons.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Inspection report” means a completed Division of Labor and Industry inspection report form.</text> </paragraph> <paragraph num="(6)"> <text>“Passenger elevator” means an elevator used primarily to carry persons other than the operator and persons necessary for loading and unloading.</text> </paragraph> <paragraph num="(7)"> <text>“Qualified” means a person who, by possession of a recognized degree in an applicable field or certificate of professional standing, or who, by extensive knowledge, training, and experience, has successfully demonstrated the ability to solve problems relating to elevator safety.</text> </paragraph> <paragraph num="(8)"> <text>“Safety Code” has the meaning stated in Public Safety Article, §12-801, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(9)"> <text>“Serious injury” means an injury that requires medical treatment by a physician other than one-time first aid, which other treatment does not include diagnostic procedures such as x-ray after the one time treatment, even if provided by a physician.</text> </paragraph> <paragraph num="(10)"> <text>“Serious injury record” means a completed Division of Labor and Industry serious injury record form.</text> </paragraph> <paragraph num="(11)"> <text>“Test report” means a completed Division of Labor and Industry test report form.</text> </paragraph> <paragraph num="(12)"> <text>“Third-Party Qualified Elevator Inspector Report and Checklist” means a completed Division of Labor and Industry Third-Party Qualified Elevator Inspector Report and Checklist form.</text> </paragraph> <paragraph num="(13)"> <text>“Vertical platform lift” means a hoisting and lowering mechanism equipped with a partially enclosed platform that:</text> <paragraph num="(a)"> <text>Moves in guides in a substantially vertical direction with limited travel, operating speed, and platform area; and</text> </paragraph> <paragraph num="(b)"> <text>Is intended for transportation of mobility-impaired persons.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>“Witness”, as it appears in the Safety Code, means to observe or to verify that testing has been performed by a qualified individual in accordance with the Safety Code.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Safety Standard for Platform Lifts and Stairway Chairlifts."> <paragraph num="A."> <text>Scope.</text> <paragraph num="(1)"> <text>The following sections set out the dates on which ANSI/ASME codes and supplements for platform lifts and stairway chairlifts, as required by Public Safety Article, §12-805, Annotated Code of Maryland, became effective.</text> </paragraph> <paragraph num="(2)"> <text>Requirements prescribed at the time of the initial platform lift and stairway chairlift certification remain in effect.</text> </paragraph> <paragraph num="(3)"> <text>ASME A18.1-1999 Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference and is effective April 1, 2002.</text> </paragraph> <paragraph num="(4)"> <text>ASME A18.1a-2001 Addenda to ASME A18.1-1999 Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference, as amended, and is effective March 4, 2013.</text> </paragraph> <paragraph num="(5)"> <text>ASME A18.1b-2001 Addenda to ASME A18.1-1999 Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference, as amended, and is effective March 4, 2013.</text> </paragraph> <paragraph num="(6)"> <text>ASME A18.1-2003 (Revision of ASME A18.1-1999) Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference, as amended, and is effective March 4, 2013.</text> </paragraph> <paragraph num="(7)"> <text>ASME A18.1-2005 (Revision of ASME A18.1-2003) Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference, as amended, and is effective March 4, 2013.</text> </paragraph> <paragraph num="(8)"> <text>ASME A18.1-2008 (Revision of ASME A18.1-2005) Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference, as amended, and is effective March 4, 2013.</text> </paragraph> <paragraph num="(9)"> <text>ASME A18.1-2011 (Revision of ASME A18.1-2008) Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference.</text> </paragraph> <paragraph num="(10)"> <text>ASME A18.1-2014 (Revision of ASME A18.1-2011) Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference.</text> </paragraph> <paragraph num="(11)"> <text>ASME A18.1-2017 (Revision of ASME A18.1-2014) Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference.</text> </paragraph> <paragraph num="(12)"> <text>ASME A18.1-2020 (Revision of ASME A18.1-2017) Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference.</text> </paragraph> <paragraph num="(13)"> <text>ASME A18.1-2023 (Revision of ASME A18.1-2020) Safety Standard for Platform Lifts and Stairway Chairlifts is incorporated by reference.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In addition to the requirements of Part XX, Inclined Stairway Chairlifts and Inclined and Vertical Wheelchair Lifts, of the A17.1-Safety Code for Elevators, and the requirements of ASME A18.1-1999 Safety Standard for Platform Lifts and Stairway Chairlifts, and all subsequent amendments, §§CF of this regulation apply.</text> </paragraph> <paragraph num="C."> <text>General Requirements.</text> <paragraph num="(1)"> <text>Vertical and inclined wheelchair lifts and inclined stairway chairlifts may be used only by physically handicapped individuals, and may not be modified from their intended use.</text> </paragraph> <paragraph num="(2)"> <text>A sign, indicating that the lift is for use by the physically handicapped only, shall be posted at the top and bottom landings of the lift runway.</text> </paragraph> <paragraph num="(3)"> <text>Disconnecting Device.</text> <paragraph num="(a)"> <text>A main line disconnecting device lockable only in the “OFF” position shall be provided.</text> </paragraph> <paragraph num="(b)"> <text>The disconnecting device shall be located within view of the lift motor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Vertical Wheelchair Lift.</text> <paragraph num="(1)"> <text>Adequate car illumination shall be provided during lift operation.</text> </paragraph> <paragraph num="(2)"> <text>An attendant-operated lift shall be operated by a key-activated continuous-pressure switch.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Inclined Wheelchair Lift.</text> <paragraph num="(1)"> <text>The edge of the lift's foot rest, facing the upper landing, may not extend more than 12 inches above a step or landing as measured vertically.</text> </paragraph> <paragraph num="(2)"> <text>Self-Closing Door.</text> <paragraph num="(a)"> <text>The platform shall be equipped with a self-closing door on the sides of access to the upper and lower landings.</text> </paragraph> <paragraph num="(b)"> <text>The self-closing door shall be operable within 2 inches of the upper and lower landings.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A lift shall be provided with a permanently attached folding seat and seatbelt to accommodate a person not in a wheelchair.</text> </paragraph> <paragraph num="(4)"> <text>Attendant Operation.</text> <paragraph num="(a)"> <text>An attendant-operated lift shall be operated by a key-activated continuous-pressure switch.</text> </paragraph> <paragraph num="(b)"> <text>When the equipment operates on a straight flight of stairs and the platform is within sight during its entire travel, the attendant shall operate the unit from the bottom of the stairs.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Inclined Stairway Chairlift. The edge of the lift's foot rest, facing the upper landing, may not extend more than 12 inches above a step or landing as measured vertically.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Notice of Planned Completion."> <paragraph num="A."> <text>At least 60 days before the planned completion of an elevator, dumbwaiter, escalator, or moving walk, an owner or lessee shall provide the Commissioner with written notice of the planned completion, which shall contain the following information:</text> <paragraph num="(1)"> <text>Contractor name, contact person, address, telephone number, and fax number;</text> </paragraph> <paragraph num="(2)"> <text>Site name, address, and telephone number;</text> </paragraph> <paragraph num="(3)"> <text>Type of elevator, dumbwaiter, escalator, or moving walk;</text> </paragraph> <paragraph num="(4)"> <text>Date of planned completion;</text> </paragraph> <paragraph num="(5)"> <text>Name of manufacturer; and</text> </paragraph> <paragraph num="(6)"> <text>Tentative date of use.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Waiver of 60-Day Notice Requirement.</text> <paragraph num="(1)"> <text>If emergency or unusual circumstances are established by the owner or lessee, the Commissioner shall waive the 60-day notice requirement of §A of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>To obtain a waiver, the owner or lessee shall file a written waiver request with the Commissioner:</text> <paragraph num="(a)"> <text>As soon as the emergency or unusual circumstances arise; and</text> </paragraph> <paragraph num="(b)"> <text>Containing a detailed explanation of the emergency or unusual circumstances.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the Commissioner grants a waiver under this section, the Commissioner shall also advise the owner or lessee of when the Notice is due.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Final Acceptance Inspection."> <paragraph num="A."> <text>A final acceptance inspection by the Commissioner is required before the Commissioner may issue a certificate of registration and inspection on all new or modified elevator units.</text> </paragraph> <paragraph num="B."> <text>A contractor shall request a final acceptance inspection at least 30 days before the date the contractor requests for the final acceptance inspection to be conducted.</text> </paragraph> <paragraph num="C."> <text>A contractor may cancel a scheduled inspection under this regulation by written notice to the Commissioner at least 24 hours before the scheduled inspection.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04-1" heading="Third-Party Qualified Elevator Inspectors."> <paragraph num="A."> <text>Qualifications.</text> <paragraph num="(1)"> <text>A third-party qualified elevator inspector shall have a valid qualified elevator inspector certification issued by an organization accredited by the American Society of Mechanical Engineers.</text> </paragraph> <paragraph num="(2)"> <text>A third-party qualified elevator inspector shall be:</text> <paragraph num="(a)"> <text>An independent elevator consultant;</text> </paragraph> <paragraph num="(b)"> <text>Employed by an independent inspection agency; or</text> </paragraph> <paragraph num="(c)"> <text>Employed by the insurer of the elevator unit.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A third-party qualified elevator inspector shall be registered with the Commissioner before performing inspections pursuant to Public Safety Article, §12-809(d), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>A third-party qualified elevator inspector, who meets the qualifications set forth in §A(1) and (3) of this regulation, but does not meet the qualifications set forth in §A(2) of this regulation, is authorized to conduct only pre-final inspections under Public Safety Article, §12-810(c)(2), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Insurance Requirements.</text> <paragraph num="(1)"> <text>A third-party qualified elevator inspector authorized to conduct periodic no-load elevator inspections shall provide the Commissioner with a certified copy of an insurance policy covering liability related to the third-party qualified elevator inspector performing inspections on elevator units in Maryland.</text> </paragraph> <paragraph num="(2)"> <text>The insurance policy shall be issued by an insurance company authorized to do business in Maryland.</text> </paragraph> <paragraph num="(3)"> <text>The insurance policy shall be in the amount of at least $500,000 for injury or death for any number of individuals in any single occurrence, and $100,000 for property damage in any single occurrence.</text> </paragraph> <paragraph num="(4)"> <text>The insurance policy shall identify the Commissioner as the certificate holder.</text> </paragraph> <paragraph num="(5)"> <text>A third-party qualified elevator inspector shall notify the Commissioner of any material insurance policy alterations or cancellations within 5 business days of receiving notice of the alteration or cancellation.</text> </paragraph> <paragraph num="(6)"> <text>A third-party qualified elevator inspector who conducts only inspections pursuant to Public Safety Article, §12-810(c), Annotated Code of Maryland, is not required to have insurance under this provision.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Registration and Renewal.</text> <paragraph num="(1)"> <text>To register initially, a third-party qualified elevator inspector shall submit to the Commissioner a registration fee of $250 and a completed registration form setting forth the following:</text> <paragraph num="(a)"> <text>The applicant's name and address of record;</text> </paragraph> <paragraph num="(b)"> <text>A description of the applicant's education;</text> </paragraph> <paragraph num="(c)"> <text>A list of the applicant's past and present employers;</text> </paragraph> <paragraph num="(d)"> <text>The dates of the applicant's employment with each employer;</text> </paragraph> <paragraph num="(e)"> <text>The position the applicant held with each employer;</text> </paragraph> <paragraph num="(f)"> <text>Proof of certification required by §A of this regulation; and</text> </paragraph> <paragraph num="(g)"> <text>Proof of insurance required by §B of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A third-party qualified elevator inspector shall renew the registration on an annual basis and submit to the Commissioner the following:</text> <paragraph num="(a)"> <text>A copy of the current qualified elevator inspector certification;</text> </paragraph> <paragraph num="(b)"> <text>A completed renewal application form; and</text> </paragraph> <paragraph num="(c)"> <text>A renewal fee of $250.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Suspension, Revocation, or Cancellation of Registration for Third-Party Qualified Elevator Inspectors.</text> <paragraph num="(1)"> <text>Suspension of Registration.</text> <paragraph num="(a)"> <text>After investigation, the Commissioner may suspend the registration of a third-party qualified elevator inspector for the following reasons:</text> <paragraph num="(i)"> <text>Incompetence of the third-party qualified elevator inspector;</text> </paragraph> <paragraph num="(ii)"> <text>Untrustworthiness of the third-party qualified elevator inspector;</text> </paragraph> <paragraph num="(iii)"> <text>Willful falsification of any matter or statement contained in the registration or renewal form; or</text> </paragraph> <paragraph num="(iv)"> <text>Willful falsification of any matter or statement contained in a report or checklist of an inspection made by the third-party qualified elevator inspector.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Within 10 days after suspending the registration of a third-party qualified elevator inspector, the Commissioner shall give written notice of the suspension to the third-party qualified elevator inspector.</text> </paragraph> <paragraph num="(c)"> <text>An individual whose third-party qualified elevator inspector registration has been suspended may apply for reinstatement after 120 days following the date of the suspension.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Revocation of Registration.</text> <paragraph num="(a)"> <text>Following a suspension of registration under this section, if the Commissioner has reason to believe that a third-party qualified elevator inspector is no longer qualified to hold a registration, the Commissioner may hold a hearing to consider revocation of the third-party qualified elevator inspector's registration.</text> </paragraph> <paragraph num="(b)"> <text>The Commissioner shall give at least 10 days written notice of the hearing to the third-party qualified elevator inspector.</text> </paragraph> <paragraph num="(c)"> <text>At the hearing, the third-party qualified elevator inspector shall be present and may be represented by counsel.</text> </paragraph> <paragraph num="(d)"> <text>The Commissioner shall hold a hearing in accordance with State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(e)"> <text>If, after the hearing, the Commissioner determines that the third-party qualified elevator inspector is no longer qualified to hold a registration, the Commissioner shall immediately revoke the third-party qualified elevator inspector's registration.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Cancellation of Registration. A third-party qualified elevator inspector shall be automatically cancelled if the insurance or QEI certification lapses for any reason.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Inspections by State Inspector."> <text>An inspection by the Commissioner as provided for in Public Safety Article, §12-809(a), Annotated Code of Maryland is required before a certification of registration and inspection is issued.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Record Keeping and Filing."> <paragraph num="A."> <text>Record Keeping. At a readily accessible central location in the building where the elevator unit is located, a contractor, owner, or lessee shall maintain:</text> <paragraph num="(1)"> <text>A legible hard copy of maintenance, repair, test, and inspection records; or</text> </paragraph> <paragraph num="(2)"> <text>An electronic copy of maintenance, repair, test, and inspection records in an electronic format approved by the Commissioner for that location.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The records required to be filed with the Commissioner shall be filed pursuant to the following time intervals:</text> <paragraph num="(1)"> <text>Incident reports shall be filed within 5 business days of the contractor, owner, or lessee having knowledge of the incident; and</text> </paragraph> <paragraph num="(2)"> <text>Serious injury records shall be filed within 24 hours of the contractor, owner, or lessee having knowledge of the occurrence.</text> </paragraph> </paragraph> <paragraph num="C."> <text>When the Commissioner requires records to be filed electronically, they shall be filed in comma delimited or tab delimited format, except when to do so would pose an undue burden.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Owner Inspection Responsibilities."> <paragraph num="A."> <text>An owner shall hire a third-party qualified elevator inspector who is registered and authorized to perform periodic annual inspections under Regulation .04-1 of this chapter to conduct inspections under Public Safety Article, §12-809(d), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>An inspection by a third-party qualified elevator inspector as provided for under Public Safety Article, §12-809(d), Annotated Code of Maryland, is required before a certification of registration and inspection is issued.</text> </paragraph> <paragraph num="C."> <text>The Commissioner may not issue a certificate of registration and inspection to an owner until the third-party qualified elevator inspector has filed an inspection report certifying compliance with the Safety Code and regulations adopted by the Commissioner.</text> </paragraph> <paragraph num="D."> <text>An owner shall ensure that an elevator unit suspended by wire ropes, belts, chains, or a similar suspension or an elevator with rack and pinion drive has a comprehensive 5-year inspection.</text> </paragraph> <paragraph num="E."> <text>Comprehensive 5-Year Inspection.</text> <paragraph num="(1)"> <text>A comprehensive 5-year inspection under §D of this regulation is a periodic annual inspection and a full load test performed on an elevator unit as defined in the Safety Code as a Category 5 Periodic Test.</text> </paragraph> <paragraph num="(2)"> <text>For a comprehensive 5-year inspection:</text> <paragraph num="(a)"> <text>The Commissioner shall establish the 5-year inspection anniversary date for each unit;</text> </paragraph> <paragraph num="(b)"> <text>An owner shall ensure that each unit is tested by persons qualified to perform such testing as provided in the Safety Code;</text> </paragraph> <paragraph num="(c)"> <text>An owner shall coordinate with the Commissioner the date and time of the inspection by filing an inspection request with the Commissioner at least 60 days prior to the inspection; and</text> </paragraph> <paragraph num="(d)"> <text>If an owner provides the Commissioner with less than 60 days notice of the inspection request, the Commissioner shall schedule the inspection at the convenience of the State, subject to the availability of State resources.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>This regulation does not preclude an owner from having an elevator unit inspected more frequently than required by this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Third-Party Qualified Elevator Inspections."> <paragraph num="A."> <text>A Level I inspector is a third-party qualified elevator inspector who may perform pre-final inspections and periodic annual inspections if the individual:</text> <paragraph num="(1)"> <text>Possesses and maintains a valid third-party qualified elevator inspector certification;</text> </paragraph> <paragraph num="(2)"> <text>Is employed as an independent consultant or by an independent inspection agency or is employed by the insurer of the elevator unit; and</text> </paragraph> <paragraph num="(3)"> <text>Possesses and maintains insurance as required by Regulation .04-1 of this chapter.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A Level II inspector is a third-party qualified elevator inspector who may perform only pre-final inspections if the individual possesses and maintains a valid qualified elevator inspector certification.</text> </paragraph> <paragraph num="C."> <text>A third-party qualified elevator inspector is authorized to perform only pre-final inspections on a personnel hoist under the ANSI A10.4 Code if approved by the Commissioner after submission of the following information:</text> <paragraph num="(1)"> <text>Documentation detailing experience, manufacturer's training, and knowledge of personnel hoists, safety codes, maintenance, and testing; and</text> </paragraph> <paragraph num="(2)"> <text>Any additional information requested by the Commissioner.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A third-party qualified elevator inspector shall ensure that inspections and tests are performed consistent with the ASME A17.2 Guide for Inspection of Elevators, Escalators, and Moving Walks and the Safety Code.</text> </paragraph> <paragraph num="E."> <text>Within 30 days of the completion of the periodic annual inspection, the third-party qualified elevator inspector shall submit to the Commissioner the Third-Party Elevator Inspector Report and Checklist form detailing the inspection findings and certifying whether the elevator unit is in compliance with the Safety Code and regulations adopted by the Commissioner.</text> </paragraph> <paragraph num="F."> <text>If, during the course of a periodic annual inspection of an elevator unit, a third-party qualified elevator inspector finds a potential violation of the Safety Code or any regulation adopted by the Commissioner, the third-party qualified elevator inspector shall provide the owner with the opportunity to abate and correct the alleged violation.</text> </paragraph> <paragraph num="G."> <text>When an inspection by a third-party qualified elevator inspector discloses that an elevator unit is in an unsafe condition so that its continued operation is likely to expose a passenger on an elevator unit to the threat of serious injury, the third-party qualified elevator inspector shall:</text> <paragraph num="(1)"> <text>Advise the owner to cease operation of the elevator unit; and</text> </paragraph> <paragraph num="(2)"> <text>Notify the Commissioner immediately.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-805, 12-806, and 12-809, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A adopted effective July 13, 1979 (6:14 Md. R. 1207)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B adopted effective February 1, 1980 (7:2 Md. R. 114)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C adopted effective August 16, 1982 (9:16 Md. R. 1605)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D adopted effective September 1, 1982 (9:16 Md. R. 1605)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01E adopted effective November 1, 1983 (10:21 Md. R. 1900)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01F adopted effective December 17, 1984 (11:25 Md. R. 2133)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01F amended as an emergency provision effective September 26, 1986 (13:21 Md. R. 2311) (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01G adopted effective January 28, 1985 (12:2 Md. R. 137)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01H amended as an emergency provision effective September 26, 1986 (13:21 Md. R. 2311) (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective November 2, 1987 (14:22 Md. R. 2339)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective April 28, 2003 (30:8 Md. R. 540); August 4, 2014 (41:15 Md. R. 890)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01E amended effective January 25, 1988 (15:2 Md. R. 120)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01F adopted effective December 26, 1988 (15:26 Md. R. 2981)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01F amended effective October 10, 1989 (16:19 Md. R. 2104); November 12, 1990 (17:22 Md. R. 2655)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01G adopted effective October 14, 1991 (18:20 Md. R. 2198)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01G amended effective March 2, 1992 (19:4 Md. R. 473); August 29, 1992 (19:16 Md. R. 1473); July 5, 1993 (20:13 Md. R. 1048); October 11, 1993 (20:20 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01H adopted effective July 18, 1994 (21:14 Md. R. 1229)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01H amended effective August 28, 1995 (22:17 Md. R. 1317)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01H amended as an emergency provision effective April 25, 1996 (23:10 Md. R. 727); emergency status expired October 25, 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .01H amended effective November 18, 1996 (23:23 Md. R. 1556); March 24, 1997 (24:6 Md. R. 484)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01I adopted effective April 6, 1998 (25:7 Md. R. 526)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01J adopted effective December 28, 1998 (25:26 Md. R. 1921)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01K adopted effective October 4, 1999 (26:20 Md. R. 1545)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01L, M adopted effective April 1, 2002 (29:6 Md. R. 567)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01N adopted effective April 28, 2003 (30:8 Md. R. 540)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01O adopted effective September 29, 2003 (30:19 Md. R. 1331)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01P adopted effective March 14, 2005 (32:5 Md. R. 580)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01Q, R, S adopted effective April 7, 2008 (35:7 Md. R. 748)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01T, U adopted as an emergency provision effective August 21, 2009 (36:19 Md. R. 143); adopted permanently effective November 16, 2009 (36:23 Md. R. 1816)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01T amended effective July 25, 2011 (38:15 Md. R. 899)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01U—W amended effective December 26, 2011 (38:26 Md. R. 1696)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01W—Y amended effective July 8, 2013 (40:13 Md. R. 1073)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01W amended effective July 16, 2018 (45:14 Md. R. 695)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01X, Y repealed effective July 16, 2018 (45:14 Md. R. 695)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01Z, AA adopted effective July 16, 2018 (45:14 Md. R. 695)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01BB, CC adopted effective July 16, 2020 (47:14 Md. R. 675)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01DD adopted effective October 22, 2022 (49:9 Md. R. 531)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01EE, FF adopted effective June 17, 2026 (53:8 Md. R. 355)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1 adopted effective January 29, 2007 (34:2 Md. R. 137)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1B amended as an emergency provision effective October 15, 2007 (34:23 Md. R. 2019); amended permanently effective February 25, 2008 (35:4 Md. R. 514)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01-1B amended as an emergency provision effective August 21, 2009 (36:19 Md. R. 1433); amended permanently effective November 16, 2009 (36:23 Md. R. 1816)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective August 28, 1995 (22:17 Md. R. 1317); April 6, 1998 (25:7 Md. R. 526); April 1, 2002 (29:6 Md. R. 567)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective July 16, 2020 (47:14 Md. R. 675); July 24, 2023 (Md. R. 50:14 592); June 17, 2026 (53:8 Md. R. 355)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, B amended effective March 4, 2013 (40:4 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulations .03—.06 adopted as an emergency provision effective July 5, 2001 (28:15 Md. R. 1394); adopted permanently effective October 1, 2001 (28:19 Md. R. 1684)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended as an emergency provision effective October 15, 2007 (34:23 Md. R. 2019); amended permanently effective February 25, 2008 (35:4 Md. R. 514)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04-1 adopted as an emergency provision effective October 15, 2007 (34:23 Md. R. 2019); adopted permanently effective February 25, 2008 (35:4 Md. R. 514)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04-1A amended as an emergency provision effective August 21, 2009 (36:19 Md. R. 1433); amended permanently effective November 16, 2009 (36:23 Md. R. 1816)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04-1C amended as an emergency provision effective January 11, 2008 (35:3 Md. R. 285); emergency status expired June 9, 2008</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective January 29, 2007 (34:2 Md. R. 137)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended as an emergency provision effective October 15, 2007 (34:23 Md. R. 2019); amended permanently effective February 25, 2008 (35:4 Md. R. 514)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended as an emergency provision effective August 21, 2009 (36:19 Md. R. 1433); amended permanently effective November 16, 2009 (36:23 Md. R. 1816)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective January 29, 2007 (34:2 Md. R. 137)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A amended effective June 17, 2026 (53:8 Md. R. 355)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B, C amended as an emergency provision effective October 15, 2007 (34:23 Md. R. 2019); amended permanently effective February 25, 2008 (35:4 Md. R. 514)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted as an emergency provision effective August 21, 2009 (36:19 Md. R. 1433); adopted permanently effective November 16, 2009 (36:23 Md. R. 1816)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 adopted as an emergency provision effective August 21, 2009 (36:19 Md. R. 1433); adopted permanently effective November 16, 2009 (36:23 Md. R. 1816)</annotation> </annotations> </chapter> <chapter num="82" heading="Elevators and Rescue Litters"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter delineates and defines certain terms used in Public Safety Article, §12-816, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definition."> <text>“Rescue litter” means a device for use in moving a sick or wounded person. The term may include, but is not limited to, an ambulance stretcher, cot, or litter.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Rescue Litter Size."> <text>For the purposes of Public Safety Article, §12-816, Annotated Code of Maryland, the owner or lessee shall ensure that a horizontally positioned 6 foot 8 inch rescue litter having a width of 24 inches can be accommodated in the passenger elevator.</text> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §12-805, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 8, 1986 (13:18 Md. R. 2020)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective December 23, 1991 (18:25 Md. R. 2750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective December 23, 1991 (18:25 Md. R. 2750)</annotation> </annotations> </chapter> <chapter num="83" heading="Safety Requirements for Personnel Hoists"> <regulation prefix="Regulation" num=".01" heading="Incorporation by Reference."> <paragraph num="A."> <text>Purpose. These regulations establish safety standards for the design, construction, installation, operation, inspection, and maintenance of personnel hoists.</text> </paragraph> <paragraph num="B."> <text>The American National Standard Safety Requirements for Personnel Hoists and Employee Elevators for Construction and Demolition Operations, ANSI A10.4—1990, is incorporated by reference, with the following changes:</text> <paragraph num="(1)"> <text>On page 1, under Section 2.1, Related American National Standards, delete reference to ANSI/ASME A17.1—1987 and insert in its place the following: American National Standard Safety Code for Elevators, Dumbwaiters, Escalators, and Moving Walks, ASME A17.1, as adopted by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(2)"> <text>On page 2, under Section 2.3, Referenced Standards, delete reference to ANSI/ASME A17.1—1988 and insert in its place the following: American National Standard Safety Code for Elevators, Dumbwaiters, Escalators, and Moving Walks, ASME A17.1, as adopted by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(3)"> <text>On pages 8 and 9, delete the following definitions:</text> </paragraph> <paragraph num="(4)"> <text>On page 11, delete the text under Section 4, Temporary Use of Permanent Elevators for Carrying Workers or Materials, and insert in its place the following: Section 4. Permanent passenger or freight elevators installed in buildings under construction, modification, or demolition may be used for carrying workers or materials, or both, provided the elevators are approved for such use and a temporary permit therefore is issued for the class of service for which approval is granted by the department having jurisdiction. Elevators for handling personnel during construction that operate in permanent hoistways on the permanent guide rails shall conform to the requirements of the current edition of the American National Standard Safety Code for Elevators, Dumbwaiters, Escalators, and Moving Walks, ASME A17.1, as adopted by the Commissioner of Labor and Industry, that apply to this type of operation.</text> </paragraph> <paragraph num="(5)"> <text>On page 24, delete the text under Section 14.3.1 and insert the following: When oil buffers are used they shall comply with Part II, Section 201, Rule 201.4 of ASME A17.1, as adopted by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(6)"> <text>On page 45, delete Section 24.1.2.1 Automatic Operating Devices.</text> </paragraph> <paragraph num="(7)"> <text>On page 45, delete Section 24.1.2.2.</text> </paragraph> <paragraph num="(8)"> <text>On page 46, delete the text under Section 24.1.3, Top-of-Car Operation During Inspection, and insert the following:</text> </paragraph> <paragraph num="(9)"> <text>On page 46, delete Section 24.1.4. Wireless Control.</text> </paragraph> <paragraph num="(10)"> <text>On page 46, delete Section 24.1.5 Design Principle for Wireless Control.</text> </paragraph> <paragraph num="(11)"> <text>On page 56, delete the text under Section 26.3, Acceptance Tests of Buffers for Car and Counterweight, and insert the following: No acceptance test shall be required for spring-type buffers. Oil buffers shall be tested in the field in accordance with Part X, Section 1000, Rule 1000.3 of ASME A17.1, as adopted by the Commissioner of Labor and Industry.</text> </paragraph> <paragraph num="(12)"> <text>On page 57, delete the text under Section 26.6 Operation and insert the following: Except for requirements relating to automatic operation and wireless control, hoists shall be operated in compliance with the manufacturing specifications, rules, and recommendations, and the same of the governing authority. This shall consist of items, functions and criteria pertaining to the hoist use and shall be a part of an operational maintenance and inspection log.</text> </paragraph> <paragraph num="(13)"> <text>On page 57, delete Section 26.6.1.</text> </paragraph> <paragraph num="(14)"> <text>On page 59, delete the text under Section 29 Posting of Operating Permits and insert the following: Permits shall be posted in accordance with Regulation .02 of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>American National Standard ANSI/ASSE A10.4 — 2007 Personnel Hoists and Employee Elevators on Construction and Demolition Sites, is incorporated by reference.</text> </paragraph> <paragraph num="D."> <text>American National Standard ANSI/ASSE A10.4 — 2016 Safety Requirements for Personnel Hoists and Employee Elevators on Construction and Demolition Sites, is incorporated by reference.</text> </paragraph> <paragraph num="E."> <text>Article 620 Elevators, Dumbwaiters, Escalators, Moving Walks, Platform Lifts, and Stairway Chairlifts of the National Electric Code (NFPA 70), which is incorporated by reference in COMAR 09.12.50.02-1B(3).</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Identification Plate and Certificate of Inspection."> <paragraph num="A."> <text>A person may not operate a personnel hoist unless the Commissioner has issued:</text> <paragraph num="(1)"> <text>An identification plate; and</text> </paragraph> <paragraph num="(2)"> <text>A certificate of inspection.</text> </paragraph> </paragraph> <paragraph num="B."> <text>State of Maryland Identification Plate.</text> <paragraph num="(1)"> <text>The Commissioner shall issue a State identification plate which the owner shall affix in a conspicuous location on the driving unit.</text> </paragraph> <paragraph num="(2)"> <text>If an identification plate is no longer legible, the owner shall notify the Commissioner, who shall issue a replacement.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Certificate of Inspection.</text> <paragraph num="(1)"> <text>A certificate of inspection may not be issued unless the hoist is in full compliance with Public Safety Article, Title 12, Subtitle 8, Annotated Code of Maryland, and all applicable regulations.</text> </paragraph> <paragraph num="(2)"> <text>Application for a certificate of inspection shall be made on forms furnished by the Commissioner.</text> </paragraph> <paragraph num="(3)"> <text>A certificate of inspection shall be posted on the personnel hoist for which it is issued.</text> </paragraph> <paragraph num="(4)"> <text>A certificate of inspection is valid for not more than 90 days from the date of issuance.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §12-805, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 18, 1988 (15:8 Md. R. 1009)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective July 15, 1996 (23:14 Md. R. 1008); July 16, 2020 (47:14 Md. R. 675)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C, D adopted effective July 16, 2018 (45:14 Md. R. 695)</annotation> </annotations> </chapter> <chapter num="84—90" heading="" reason="VACANT" /> <chapter num="91" heading="Railroad Safety and Health"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In these regulations, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Agency” means the Division of Labor and Industry.</text> </paragraph> <paragraph num="(2)"> <text>“Commissioner” means the Commissioner of Labor and Industry or the Commissioner's authorized representative.</text> </paragraph> <paragraph num="(3)"> <text>“Presenter of evidence” means the Assistant Attorney General assigned to present charges and evidence on behalf of the agency.</text> </paragraph> <paragraph num="(4)"> <text>“Presiding officer” means the Commissioner or a hearing officer authorized to conduct a hearing.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Rules of Procedure for Hearing."> <paragraph num="A."> <text>The requirements of this regulation are in addition to the requirements of the Administrative Procedure Act, Contested Cases, §10-201 et seq. of the State Government Article, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Notice of Hearing.</text> <paragraph num="(1)"> <text>The presiding officer shall serve notice of the hearing on all parties at least 15 days before the hearing.</text> </paragraph> <paragraph num="(2)"> <text>Notice served under §B(1) of this regulation shall:</text> <paragraph num="(a)"> <text>State the time, place, and nature of the hearing;</text> </paragraph> <paragraph num="(b)"> <text>State the authority of the agency to hold the hearing;</text> </paragraph> <paragraph num="(c)"> <text>Cite the specific section of each statute and regulation, including a procedural regulation, that is pertinent; and</text> </paragraph> <paragraph num="(d)"> <text>State concisely and simply:</text> <paragraph num="(i)"> <text>The facts that are asserted, or</text> </paragraph> <paragraph num="(ii)"> <text>If the facts cannot be stated in detail when the notice is given, the issues that are involved.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Manner of Service.</text> <paragraph num="(1)"> <text>The requirements of this section are in addition to the requirements of COMAR 09.01.02.04.</text> </paragraph> <paragraph num="(2)"> <text>Notice of hearing required by §B of this regulation shall be sent to all parties other than the agency by:</text> <paragraph num="(a)"> <text>Certified mail with a return receipt requested; or</text> </paragraph> <paragraph num="(b)"> <text>Personal delivery, provided the person serving the document certifies to the manner and date of service.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Unless otherwise required by law or by applicable regulations, service of any document upon any party may be made by:</text> <paragraph num="(a)"> <text>Personal delivery, provided the person serving the document certifies to the manner and date of service; or</text> </paragraph> <paragraph num="(b)"> <text>Mailing a copy of the document to the last known address of the party.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Hearing Officer.</text> <paragraph num="(1)"> <text>The requirements of this section are in addition to the requirements of COMAR 09.01.03 Hearing Officer Regulations.</text> </paragraph> <paragraph num="(2)"> <text>A hearing officer shall have all powers necessary to conduct a fair, full and impartial hearing, including but not limited to the power to:</text> <paragraph num="(a)"> <text>Administer oaths and affirmations;</text> </paragraph> <paragraph num="(b)"> <text>Rule upon offers of proof and receive relevant evidence;</text> </paragraph> <paragraph num="(c)"> <text>Regulate the course of the hearing and the conduct of the parties and their counsel;</text> </paragraph> <paragraph num="(d)"> <text>Rule upon procedural requests;</text> </paragraph> <paragraph num="(e)"> <text>Examine any witness;</text> </paragraph> <paragraph num="(f)"> <text>Issue subpoenas; and</text> </paragraph> <paragraph num="(g)"> <text>Take any other appropriate action authorized by applicable statutes or regulations.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Issuance of Subpoena or Summons.</text> <paragraph num="(1)"> <text>The requirements of this section are in addition to the requirements of COMAR 09.01.02.03.</text> </paragraph> <paragraph num="(2)"> <text>On application of any party, received by the agency not less than 7 business days before a scheduled hearing date, the presiding officer shall immediately issue a subpoena or summons requiring the attendance and testimony of a witness and the production of any evidence, including relevant books, records, correspondence, or documents in the possession or under the control of the person subpoenaed or summoned.</text> </paragraph> <paragraph num="(3)"> <text>An application for a subpoena or summons may be made by one party only.</text> </paragraph> <paragraph num="(4)"> <text>A subpoena or summons shall show on its face the name and address of the party requesting the subpoena or summons.</text> </paragraph> <paragraph num="(5)"> <text>If a person fails to comply with a subpoena or summons, the Commissioner shall initiate proceedings to enforce the subpoena or summons in the appropriate court if, in the Commissioner's judgment, the:</text> <paragraph num="(a)"> <text>Testimony of the witness failing to appear is material to the proceedings; or</text> </paragraph> <paragraph num="(b)"> <text>Production of the evidence by the person failing to comply is material to the proceedings.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Hearings.</text> <paragraph num="(1)"> <text>Postponement.</text> <paragraph num="(a)"> <text>The requirements of §F(1) of this regulation are in addition to the requirements of COMAR 09.01.02.02.</text> </paragraph> <paragraph num="(b)"> <text>A postponement for more than 30 days may not be granted without the approval of the presiding officer.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Hearings shall be recorded verbatim.</text> </paragraph> <paragraph num="(3)"> <text>Hearing Procedure.</text> <paragraph num="(a)"> <text>The presiding officer shall:</text> <paragraph num="(i)"> <text>Call the title of the case;</text> </paragraph> <paragraph num="(ii)"> <text>Explain briefly the purpose and nature of the hearing;</text> </paragraph> <paragraph num="(iii)"> <text>Recite any charges, complaints, or other matters involved; and</text> </paragraph> <paragraph num="(iv)"> <text>Administer the oath to all persons who are summoned or intend to testify.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Counsel or any party may be heard on any preliminary objection, exception, or motion, and any stipulation entered into by the parties shall be received.</text> </paragraph> <paragraph num="(c)"> <text>The following exhibits shall be introduced:</text> <paragraph num="(i)"> <text>If the presiding officer is a hearing officer, a copy of the letter designating the hearing officer to preside at the hearing;</text> </paragraph> <paragraph num="(ii)"> <text>A copy of the petition, complaint, or other matter involved in the hearing; and</text> </paragraph> <paragraph num="(iii)"> <text>A copy of the notice of hearing sent to persons entitled to receive notice.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Order of Testimony. In all hearings on:</text> <paragraph num="(i)"> <text>Citations, the presenter of evidence shall proceed first and shall present the evidence on which the citation was based.</text> </paragraph> <paragraph num="(ii)"> <text>Employee complaints, the presenter of evidence shall proceed first and shall present evidence obtained as a result of the agency investigation of the complaint.</text> </paragraph> <paragraph num="(iii)"> <text>Applications for variance, counsel for the railroad company requesting the variance shall proceed first and present evidence demonstrating either that the variance is necessary to prevent undue operational or economic hardship, or that existing conditions prevent practical compliance and the reasonable safety of the public and employees of the railroad company can be assured. The presenter of evidence shall then present information obtained as a result of the agency's investigation of the variance request.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Subject to applicable statutes and rules governing the practice of law, each party or counsel representing a party may:</text> <paragraph num="(i)"> <text>Call witnesses;</text> </paragraph> <paragraph num="(ii)"> <text>Offer evidence, including rebuttal evidence;</text> </paragraph> <paragraph num="(iii)"> <text>Cross-examine any witness that another party or the agency calls; and</text> </paragraph> <paragraph num="(iv)"> <text>Present summation and argument.</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>Written Memorandum.</text> <paragraph num="(i)"> <text>Upon request of any party or counsel representing a party, before the close of the hearing, the presiding officer may permit a party or counsel to file a written memorandum, which may include proposed findings of fact and conclusions of law.</text> </paragraph> <paragraph num="(ii)"> <text>The presiding officer may require a written memorandum.</text> </paragraph> <paragraph num="(iii)"> <text>The presiding officer may fix a reasonable time for filing a memorandum.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Determination of Hearing Officer.</text> <paragraph num="(1)"> <text>Within a reasonable time after a hearing officer has heard all evidence and considered any written memorandum, the hearing officer shall issue a written determination which includes:</text> <paragraph num="(a)"> <text>Proposed findings of fact based on the evidence in the record;</text> </paragraph> <paragraph num="(b)"> <text>Proposed conclusions of law setting forth the application of the law to the factual findings; and</text> </paragraph> <paragraph num="(c)"> <text>A proposed order making disposition of the case.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The hearing officer shall promptly serve a copy of the determination on each party.</text> </paragraph> <paragraph num="(3)"> <text>Unless a review is requested under Labor and Employment Article, §5.5-118, Annotated Code of Maryland, within 15 working days from the date of the determination, the decision of the hearing officer becomes the final order of the Commissioner.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Variances."> <paragraph num="A."> <text>Application for Variance.</text> <paragraph num="(1)"> <text>Any affected railroad company may apply to the Commissioner for a variance from a regulation or standard adopted under the Railroad Safety and Health Act, Labor and Employment Article, Title 5.5, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>An application for variance shall be in writing and shall include:</text> <paragraph num="(a)"> <text>The name and address of the applicant;</text> </paragraph> <paragraph num="(b)"> <text>Identification of the regulation or standard from which the applicant seeks a variance;</text> </paragraph> <paragraph num="(c)"> <text>The location, equipment, or practices involved;</text> </paragraph> <paragraph num="(d)"> <text>A detailed statement of the reasons why the applicant is requesting a variance from the regulation or standard;</text> </paragraph> <paragraph num="(e)"> <text>A statement of the steps the applicant has taken and will take, with specific dates where appropriate, to protect employees and the public against the hazard covered by the regulation or standard;</text> </paragraph> <paragraph num="(f)"> <text>Certification that the applicant has given appropriate notice of the application for variance to:</text> <paragraph num="(i)"> <text>The applicant's employees affected by the variance,</text> </paragraph> <paragraph num="(ii)"> <text>All authorized representatives of the affected employees, and</text> </paragraph> <paragraph num="(iii)"> <text>Other persons affected by the condition for which a variance is sought;</text> </paragraph> </paragraph> <paragraph num="(g)"> <text>A copy or description of the notice required by §A(2)(f) of this regulation; and</text> </paragraph> <paragraph num="(h)"> <text>A list of the names and addresses of persons to be notified pursuant to §A(2)(f) of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Hearing.</text> <paragraph num="(1)"> <text>A hearing shall be held on every request for variance.</text> </paragraph> <paragraph num="(2)"> <text>Notice of a hearing on a request for variance shall be given in accordance with Regulation .02 of this chapter and also shall be published in the Maryland Register.</text> </paragraph> <paragraph num="(3)"> <text>A hearing on a request for variance shall be conducted in accordance with Regulation .02 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Clearance Requirements."> <paragraph num="A."> <text>Definitions. In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Main track” means track extending through a yard or between stations, upon which trains are controlled by timetable, block signals, interlocking rules, interlocking signals, or special instructions.</text> </paragraph> <paragraph num="(2)"> <text>“Overhead clearance” means the vertical distance from the top of the highest rail to a structure or obstruction above.</text> </paragraph> <paragraph num="(3)"> <text>“Side clearance” means the shortest horizontal distance from the centerline of track to a structure or obstruction at the side of the track.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Exemptions. Provided reasonable safety is maintained, this regulation may not be construed to prevent:</text> <paragraph num="(1)"> <text>Movement or distribution over tracks of material necessary to construct or maintain the tracks; or</text> </paragraph> <paragraph num="(2)"> <text>Movement of work equipment used to construct or maintain the railroad.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Overhead Clearance.</text> <paragraph num="(1)"> <text>Except as otherwise provided in this regulation, the minimum overhead clearance above tracks used to transport freight cars shall be 22 feet.</text> </paragraph> <paragraph num="(2)"> <text>The clearance required by §C(1) of this regulation does not apply to:</text> <paragraph num="(a)"> <text>Engine houses and locomotive service facilities;</text> </paragraph> <paragraph num="(b)"> <text>Tipples;</text> </paragraph> <paragraph num="(c)"> <text>Facilities used to load or unload bulk commodities; or</text> </paragraph> <paragraph num="(d)"> <text>Electric wires and equipment necessary to operate trains by electric energy, if railroad employees are prohibited from being on the tops of moving closed cars where the required clearance is not provided.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Existing Structures. Structures constructed before July 28, 1953 may be maintained at existing clearances, except that, whenever the structure is relocated or reconstructed, the clearance required by §C(1) of this regulation shall be provided.</text> <paragraph num="(a)"> <text>Existing tracks may be reconstructed under the existing structure at existing clearances.</text> </paragraph> <paragraph num="(b)"> <text>Additional tracks may be constructed under the existing structure at the same clearances as existing tracks.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Overhead clearance at the entrance to and within a building may be less than 22 feet but not less than 18 feet if all cars, locomotives, and other equipment are required to stop before entering the building.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Side Clearances.</text> <paragraph num="(1)"> <text>Except as otherwise provided in this regulation, the minimum side clearance from the centerline of tangent railroad tracks used to transport freight cars, to structures and obstructions above the top of the rail, shall be 8 feet 6 inches.</text> </paragraph> <paragraph num="(2)"> <text>The clearance required by §D(1) of this regulation does not apply to:</text> <paragraph num="(a)"> <text>Engine houses and locomotive service facilities;</text> </paragraph> <paragraph num="(b)"> <text>Tipples;</text> </paragraph> <paragraph num="(c)"> <text>Facilities used to load or unload bulk commodities; or</text> </paragraph> <paragraph num="(d)"> <text>Inter-track fences on the centerline between tracks.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Structures, including platforms and tracks, constructed before July 28, 1953, may be maintained and extended at existing clearances, except that, whenever the structure is relocated or reconstructed, the clearance required by §D(1) of this regulation shall be provided.</text> </paragraph> <paragraph num="(4)"> <text>Structures adjacent to curved tracks shall have additional side clearance to compensate for the track curvature, super-elevation, and car design.</text> </paragraph> <paragraph num="(5)"> <text>Platforms.</text> <paragraph num="(a)"> <text>Platforms constructed before July 28, 1953 with side clearances less than that required by this regulation may be extended at the existing clearances, provided the extension is not in connection with the reconstruction of the platform.</text> </paragraph> <paragraph num="(b)"> <text>Platforms, except platforms 4 feet or less above the top of the rail and adjacent to main or passing tracks, may have clearances less than 8 feet 6 inches from the centerline of track on one side of the tracks only, if:</text> <paragraph num="(i)"> <text>A clearance of 8 feet 6 inches is maintained on the opposite side of the track; or</text> </paragraph> <paragraph num="(ii)"> <text>The distance from track center to adjacent track is at least 13 feet 6 inches.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Passenger platforms more than 8 inches but not more than 4 feet above the top of the rail shall be at least 5 feet 7 inches from the centerline of track.</text> </paragraph> <paragraph num="(d)"> <text>Passenger platforms 8 inches or less above the top of the rail shall be at least 5 feet 1 inch from the centerline of track.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>At entrances to and inside of warehouses and industrial buildings, side clearances, other than for platforms, shall be at least 8 feet from the centerline of track.</text> </paragraph> <paragraph num="(7)"> <text>Switchboxes, switch-operating mechanisms, and accessories necessary to control and operate signals and interlockers, which project 4 inches or less above the top of the rail, shall be at least 3 feet from the centerline of track.</text> </paragraph> <paragraph num="(8)"> <text>When it is not practicable to provide clearances otherwise required by this regulation, the center spindle of signal and switch stands 3 feet or less above the top of the rail, located between tracks, shall be at least 6 feet from the center line of track.</text> </paragraph> <paragraph num="(9)"> <text>Through bridges, tunnels, water columns, and oil columns shall be at least 8 feet from the centerline of track.</text> </paragraph> <paragraph num="(10)"> <text>Clearances for through bridges, clearances for water barrel platforms and refuge platforms on bridges and trestles not provided with walkways, and clearances for handrails, water barrels, water columns, oil columns, block signals, and stock chutes, when all or portions of them are 4 feet or less above the top of the rail, may be decreased to the extent defined by a line extending diagonally upward from a point level with the top of the rail and 5 feet distant laterally from the centerline of track to a point 4 feet above the top of the rail and 8 feet distant laterally from the centerline of track.</text> </paragraph> <paragraph num="(11)"> <text>The minimum clearance for handrails and water barrels on bridges with walkways shall be 7 feet 9 inches.</text> </paragraph> <paragraph num="(12)"> <text>The lesser clearances for handrails and water barrels authorized in §D(10) of this regulation do not apply to through bridges if the work of trainmen or yardmen requires them to be on the deck of the bridge to couple and uncouple cars on a switching lead.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Overhead and Side Clearance—Exceptions.</text> <paragraph num="(1)"> <text>The overhead and side clearances required by this regulation may be decreased to the extent defined by a straight line extending diagonally downward from a point 4 feet from the centerline of track at 22 feet above the top of the rail, to a point 8 feet 6 inches from the centerline of track at 15 feet 3 inches above the top of the rail.</text> </paragraph> <paragraph num="(2)"> <text>For tracks located at the entrance to and within a building, overhead and side clearances may be decreased to the extent defined by a straight line extending diagonally downward from a point 4 feet from the centerline of track at 18 feet above the top of the rail, to a point 8 feet from the centerline of track at 14 feet above the top of the rail.</text> </paragraph> <paragraph num="(3)"> <text>Canopies at one side of the track at freight platforms may be constructed 4 feet or more from the centerline of track, if:</text> <paragraph num="(a)"> <text>The height of the canopy is at least 17 feet 6 inches above the top of the rail; and</text> </paragraph> <paragraph num="(b)"> <text>Either of the following apply:</text> <paragraph num="(i)"> <text>Clearance of 8 feet 6 inches is maintained on the opposite side of the track from the canopy; or</text> </paragraph> <paragraph num="(ii)"> <text>The distance from track center to adjacent track is not less than 13 feet 6 inches.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Clearance Between Parallel Tracks.</text> <paragraph num="(1)"> <text>Except as otherwise provided in this regulation, the minimum distance between the centerlines of parallel track shall be as follows:</text> <paragraph num="(a)"> <text>Two parallel main tracks --- 4 feet;</text> </paragraph> <paragraph num="(b)"> <text>Yard and side tracks --- 13 feet, 6 inches;</text> </paragraph> <paragraph num="(c)"> <text>Track other than main or passing track, which is parallel to main or passing track --- 15 feet;</text> </paragraph> <paragraph num="(d)"> <text>Where passing track is at least 15 feet from main track, other track adjacent to passing track --- 13 feet, 6 inches;</text> </paragraph> <paragraph num="(e)"> <text>Two parallel ladder tracks --- 19 feet;</text> </paragraph> <paragraph num="(f)"> <text>Ladder track parallel to other track --- 18 feet;</text> </paragraph> <paragraph num="(g)"> <text>Team, house, and industry track --- 13 feet;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Tracks constructed before July 28, 1953 may be extended without increasing distances between tracks.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Other Conditions and Obstructions Adjacent to Tracks.</text> <paragraph num="(1)"> <text>Merchandise, material, or other articles may not be permitted to remain adjacent to any track at a distance less than 8 feet 6 inches from the centerline of track.</text> </paragraph> <paragraph num="(2)"> <text>A line or other marker shall be maintained at a distance of 8 feet 6 inches from the centerline of track, on all platforms except passenger platforms, to indicate the space which shall be kept clear.</text> </paragraph> <paragraph num="(3)"> <text>The space between tracks ordinarily used as a walkway by train and yardmen and other employees in the discharge of their duties, and the space beside those tracks within 8 feet 6 inches of the centerline of track, shall be kept in a reasonably suitable condition for that purpose.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Compliance. Except as provided in this regulation, a railroad company may not operate or permit to be operated any car, train, locomotive, or other equipment over its own tracks, or industrial tracks directly or indirectly connected with its own tracks, if:</text> <paragraph num="(1)"> <text>Overhead or side clearances or clearances between tracks are less than the minimum prescribed in this regulation; and</text> </paragraph> <paragraph num="(2)"> <text>After July 28, 1953, tracks or structures adjacent to tracks are constructed or reconstructed by:</text> <paragraph num="(a)"> <text>The railroad company; or</text> </paragraph> <paragraph num="(b)"> <text>Others, if the railroad company has the right to control the construction or reconstruction.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Track Safety Standards."> <paragraph num="A."> <text>The standards relating to Railroad Safety and Health: Track Safety Standards, as published in 49 CFR Part 213, §§213.1—213.241 and Appendices A and B, are incorporated by reference.</text> </paragraph> <paragraph num="B."> <text>The amendments to the track safety standards as published in 47 FR 39401—39404 (September 7, 1982), 48 FR 35883 (August 8, 1983), and 49 FR 1988 (January 17, 1984) are incorporated by reference.</text> </paragraph> <paragraph num="C."> <text>In the federal standards incorporated by reference by this regulation, the designations “Federal Railroad Administrator” and “Federal Railroad Administration” are amended to mean “Commissioner of Labor and Industry”.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Report of Railroad Accident."> <paragraph num="A."> <text>“Promptly”, for accident reporting purposes, means within 3 hours.</text> </paragraph> <paragraph num="B."> <text>Every railroad company operating a railroad in this State shall report, in writing or orally, to the Commissioner, promptly after the occurrence of an accident resulting in a serious injury or fatality to any person, or damage to property exceeding the sum determined by federal regulation, incurred during the operation of the railroad in the State.</text> </paragraph> <paragraph num="C."> <text>The report shall include:</text> <paragraph num="(1)"> <text>Caller's name and title;</text> </paragraph> <paragraph num="(2)"> <text>Date and time of the report;</text> </paragraph> <paragraph num="(3)"> <text>Railroad name and subdivision or route segment;</text> </paragraph> <paragraph num="(4)"> <text>Date, time, and location of the accident;</text> </paragraph> <paragraph num="(5)"> <text>Nature of accident, such as derailment, collision, public or private road crossing accident, or fire;</text> </paragraph> <paragraph num="(6)"> <text>Severity of the accident, including:</text> <paragraph num="(a)"> <text>Number of persons injured or killed; and</text> </paragraph> <paragraph num="(b)"> <text>Number of cars or units derailed;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Whether hazardous material is involved; and</text> </paragraph> <paragraph num="(8)"> <text>Telephone number where additional information may be obtained.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Posting of Citations."> <paragraph num="A."> <text>Place of Posting.</text> <paragraph num="(1)"> <text>Except as otherwise provided by this regulation, upon receipt of a citation issued under the Railroad Safety and Health Act, Labor and Employment Article, Title 5.5, Annotated Code of Maryland, a railroad company shall immediately post the citation, or a copy of it, at or near each place a violation alleged in the citation occurred.</text> </paragraph> <paragraph num="(2)"> <text>If a citation posted at or near a place of alleged violation would not be readily visible to affected employees, the railroad company shall post the citation in a place or places where it will be readily visible to affected employees.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The railroad company shall:</text> <paragraph num="(1)"> <text>Post the citation or copy unedited; and</text> </paragraph> <paragraph num="(2)"> <text>Ensure that, while posted, the citation or copy is not altered, defaced, or covered by other material.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Duration of Posting.</text> <paragraph num="(1)"> <text>If the railroad company does not file a notice of intention to contest a citation, the citation shall remain posted for the longer of:</text> <paragraph num="(a)"> <text>The period until the violation has been abated; or</text> </paragraph> <paragraph num="(b)"> <text>Three working days.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the railroad company files a notice of intention to contest a citation, the citation shall remain posted until the Commissioner of Labor and Industry issues a final order:</text> <paragraph num="(a)"> <text>Vacating the citation; or</text> </paragraph> <paragraph num="(b)"> <text>Affirming the citation, and the violation has been abated.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Contested Citation.</text> <paragraph num="(1)"> <text>A railroad company that has filed a notice of intention to contest a citation may post a copy of the notice at each location where the citation is posted.</text> </paragraph> <paragraph num="(2)"> <text>The notice in §D(1) may:</text> <paragraph num="(a)"> <text>Explain the reasons for the contest; and</text> </paragraph> <paragraph num="(b)"> <text>Specify the steps that have been taken to abate the violation.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§5.5-104 and 5.5-108, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 9, 1981 (8:1 Md. R. 20)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 adopted effective January 28, 1985 (12:2 Md. R. 137)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective February 24, 1986 (13:4 Md. R. 396)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective July 13, 1986 (13:14 Md. R. 1633)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective October 19, 1987 (14:21 Md. R. 2223)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective April 16, 1990 (17:7 Md. R. 849)</annotation> </annotations> </chapter> </subtitle> <subtitle num="13" heading="Board for Professional Land Surveyors"> <chapter num="01" heading="Code of Ethics for the Practice of Professional Land Surveying and Property Line Surveying"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In the Code of Ethics, the following words have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the Board for Professional Land Surveyors.</text> </paragraph> <paragraph num="(2)"> <text>“Licensee” means any person holding a license issued by the Board as a professional land surveyor or a property line surveyor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Responsibility to the Public."> <text>In the performance of a licensee’s professional duties, the licensee shall make every reasonable effort to protect the safety, health, property, and welfare of the public. If the licensee’s professional judgment is overruled under circumstances in which the safety, health, property, or welfare of the public is endangered, the licensee shall inform the licensee’s employer or client of the possible consequences.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Public Statements, Reports, and Testimony."> <paragraph num="A."> <text>A licensee may not make statements or reports, or give expert testimony, on land-surveying matters connected with public policy, if the licensee’s remarks are inspired by or paid for by an interested party, unless the licensee precedes the remarks by identifying himself or herself, by disclosing the identity of the party on whose behalf the licensee is speaking, and by revealing the existence of any pecuniary interest the licensee has in the matter.</text> </paragraph> <paragraph num="B."> <text>A licensee may express publicly a professional opinion on a land-surveying subject only when that opinion is founded upon adequate knowledge of the material facts and a background of technical competence in the subject matter.</text> </paragraph> <paragraph num="C."> <text>In a professional report, statement, or testimony, a licensee may not be untruthful or deceptive.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Competency for Assignments Undertaken or Approved."> <paragraph num="A."> <text>A licensee may undertake or perform land-surveying assignments only when qualified to do so by education or experience, or both, in the specific field of land surveying involved.</text> </paragraph> <paragraph num="B."> <text>A licensee may affix the licensee’s signature or seal to land surveying documents only if:</text> <paragraph num="(1)"> <text>The licensee is competent in the subject matter of those documents by virtue of education or experience, or both; and</text> </paragraph> <paragraph num="(2)"> <text>The documents were prepared under the licensee’s direction as principal by an employee or an associate competent in the subject matter of those documents by virtue of education or experience, or both.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Conflicts of Interest."> <paragraph num="A."> <text>A licensee shall avoid conflicts of interest with the licensee’s employer or client. Whenever conflicts of interest appear unavoidable, however, the licensee shall disclose promptly and fully all the circumstances to the employer or client.</text> </paragraph> <paragraph num="B."> <text>A licensee shall promptly inform the licensee’s employer or client of any business association, interests, or circumstances which may influence the licensee’s judgment or the quality of services to the licensee’s employer or client.</text> </paragraph> <paragraph num="C."> <text>A licensee may not accept compensation, financial or other, from more than one party for services on a project or for services pertaining to a project, unless the licensee makes full disclosure to all interested parties.</text> </paragraph> <paragraph num="D."> <text>A licensee may not solicit or accept financial or other valuable consideration from any material supplier or equipment supplier for specifying the supplier's products, except when the licensee is a previously announced employee or agent of the supplier.</text> </paragraph> <paragraph num="E."> <text>A licensee may not solicit or accept gratuities, directly or indirectly, from any contractor, architect, engineer, professional land surveyor or property line surveyor, or other party dealing with the licensee’s employer or client in connection with work for which the licensee is responsible.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Improper Solicitation of Professional Employment."> <paragraph num="A."> <text>Other than the usual commissions paid to licensed employment agencies, a licensee may not compensate, give anything of value, or offer to compensate or give anything of value, as follows:</text> <paragraph num="(1)"> <text>To a person or organization to recommend or secure the licensee’s employment as a professional land surveyor or a property line surveyor; or</text> </paragraph> <paragraph num="(2)"> <text>As a reward for having made a recommendation resulting in the licensee’s employment as a professional land surveyor or a property line surveyor.</text> </paragraph> </paragraph> <paragraph num="B."> <text>When competing for professional employment, a licensee may not falsify or permit misrepresentation of the licensee’s qualifications or those of the licensee' associates.</text> </paragraph> <paragraph num="C."> <text>An employed licensee may not solicit or accept other employment to the detriment of the licensee’s regular work or the interests of the licensee’s employer.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Knowledge of Improper Conduct by Others."> <text>Except to the extent the rules of privilege may apply, when questioned by any member or authorized representative of the Board concerning any alleged violation of another person or organization, a licensee may not conceal or refuse to divulge information that the licensee may have, or make false or misleading statements about the matter.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Licensees’ Designation."> <text>A licensee may not use any designation after the licensee’s name on any business communication which misleads the public as to whether the licensee is a professional land surveyor or a property line surveyor.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Failure to Respond."> <paragraph num="A."> <text>An applicant or licensee shall respond in writing to a written communication from the Board within 30 days of the date of mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last known address furnished to the Board by an applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Board in writing if there has been a change in applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §15-317(a)(1)(v), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§15-205 and 15-208, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 30, 1977 (4:27 Md. R. 2106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 adopted effective May 6, 1985 (12:9 Md. R. 810)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 adopted effective October 20, 2008 (35:21 Md. R. 1824)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective December 17, 2018 (45:25 Md. R. 1205)</annotation> </annotations> </chapter> <chapter num="02" heading="Hearing Regulations"> <regulation prefix="Regulation" num=".01" heading="Hearings Before the Board."> <paragraph num="A."> <text>Except as otherwise provided in §§B and C of this regulation, all contested case hearings before the Board shall be governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>The administrative unit shall send the hearing notice described in COMAR 09.01.02.07B:</text> <paragraph num="(1)"> <text>At least 30 days before the hearing; or</text> </paragraph> <paragraph num="(2)"> <text>If the parties have agreed to a date for which 30 days notice cannot be given, at the earliest time possible.</text> </paragraph> </paragraph> <paragraph num="C."> <text>During the hearing, the presiding officer may recognize members of the Board or counsel to the Board to ask questions of witnesses or of counsel.</text> </paragraph> <paragraph num="D."> <text>The Board may call witnesses of its own or recall witnesses to elicit facts or opinions.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Hearings Delegated to the Office of Administrative Hearings."> <text>All contested case hearings delegated to the Office of Administrative Hearings shall be governed by COMAR 09.01.03.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Complaint Committee."> <paragraph num="A."> <text>The presiding officer shall appoint one professional Board member and one consumer Board member to constitute the complaint committee.</text> </paragraph> <paragraph num="B."> <text>The complaint committee shall:</text> <paragraph num="(1)"> <text>Review all complaints filed with the Board; and</text> </paragraph> <paragraph num="(2)"> <text>Make a recommendation to the full Board on the disposition of each matter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Before making a recommendation on a complaint, the complaint committee may request that the Department perform an investigation to obtain additional information. After receipt of this information, the committee shall make a recommendation to the full Board.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§15-208(a) and 15-320, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 25, 1978 (5:17 Md. R. 1328)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01 and .02 General Hearing Regulations repealed and new Regulations .01—.03 Hearing Regulations adopted effective August 4, 2003 (30:15 Md. R. 991)</annotation> </annotations> </chapter> <chapter num="03" heading="Survey Markers"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of these regulations is to promulgate minimum standards for survey markers set by all licensees that will insure the permanency of the marker and allow for easy identification of the licensee responsible for setting the marker.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Marker Specifications."> <paragraph num="A."> <text>All licensees shall use a survey marker made of durable material that will activate a magnetic detector.</text> </paragraph> <paragraph num="B."> <text>The material for a survey marker may include any one of the following:</text> <paragraph num="(1)"> <text>Iron pipe;</text> </paragraph> <paragraph num="(2)"> <text>Iron rod;</text> </paragraph> <paragraph num="(3)"> <text>Rebar;</text> </paragraph> <paragraph num="(4)"> <text>Impregnated plastic stake; or</text> </paragraph> <paragraph num="(5)"> <text>Concrete monument.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Marker Identification."> <paragraph num="A."> <text>The top of all survey markers, described in Regulation .02, of this chapter, set by a licensee or a permit holder shall have a legible inscription that identifies the licensee or a permit holder responsible for setting the survey marker.</text> </paragraph> <paragraph num="B."> <text>The top of all survey markers, described in Regulation .02, of this chapter, set by a licensee or a permit holder shall have a legible inscription stating the words “Property Marker” or the abbreviations “Prop. Mark.” or “Prop. Mkr.”.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Existing Natural Markers."> <paragraph num="A."> <text>All licensees shall put an identifying mark on all existing objects that serve as markers for property corners.</text> </paragraph> <paragraph num="B."> <text>The identifying mark may include any one of the following:</text> <paragraph num="(1)"> <text>Drill hole;</text> </paragraph> <paragraph num="(2)"> <text>Cross cut;</text> </paragraph> <paragraph num="(3)"> <text>Square cut;</text> </paragraph> <paragraph num="(4)"> <text>Spike;</text> </paragraph> <paragraph num="(5)"> <text>P.K. nail; or</text> </paragraph> <paragraph num="(6)"> <text>Lag bolt.</text> </paragraph> </paragraph> <paragraph num="C."> <text>All licensees shall describe the identifying mark in any legal description or plat prepared by the licensee.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, § 15-208, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 1, 1984 (10:16 Md. R. 1453)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective January 1, 1984 (10:24 Md. R. 2188)</annotation> </annotations> </chapter> <chapter num="04" heading="Disciplinary Actions"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>For purposes of Business Occupations and Professions Article, §15-318(5), Annotated Code of Maryland, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>Gross Negligence.</text> <paragraph num="(a)"> <text>“Gross negligence” means a wrongful act or omission, more culpable in nature than simple inadvertence or mistake, characterized by disregard of the property rights of others. It is conduct which constitutes substantial departure from the standard of care required of professional land surveyors or property line surveyors.</text> </paragraph> <paragraph num="(b)"> <text>“Gross negligence” includes but is not limited to:</text> <paragraph num="(i)"> <text>Knowingly or recklessly preparing a plat or other survey document which fails to protect the rights of interested parties where the surveyor knew those rights existed;</text> </paragraph> <paragraph num="(ii)"> <text>Knowingly or recklessly failing to provide minimal supervision of employees engaged in surveying work;</text> </paragraph> <paragraph num="(iii)"> <text>Knowingly or recklessly preparing a plat or other survey document which, if properly relied upon, could lead to serious injury to persons or property.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Incompetence” means:</text> <paragraph num="(a)"> <text>Physical or mental incapacity; or</text> </paragraph> <paragraph num="(b)"> <text>Engaging in conduct which evidences a lack of proficiency, learning, ability, skill, or fitness necessary to perform regular duties, tasks, and functions of a professional land surveyor or property line surveyor in a reasonably effective, professional, and competent manner.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Misconduct.</text> <paragraph num="(a)"> <text>“Misconduct” means conduct by a professional land surveyor or property line surveyor which violates the standards of integrity of the profession.</text> </paragraph> <paragraph num="(b)"> <text>“Misconduct” includes but is not limited to:</text> <paragraph num="(i)"> <text>Violating the Code of Ethics set out in COMAR 09.13.01;</text> </paragraph> <paragraph num="(ii)"> <text>Expressing an opinion publicly on a land surveying subject without being informed as to the facts relating to it and being competent to form a sound opinion on it;</text> </paragraph> <paragraph num="(iii)"> <text>Being untruthful, deceptive, or misleading in any professional report, statement, or testimony whether under oath, or omitting relevant and pertinent information from the report, statement, or testimony when the result of an omission would or reasonably could lead to a fallacious conclusion on the part of the client or the general public;</text> </paragraph> <paragraph num="(iv)"> <text>Performing a land surveying assignment when not qualified by training or experience in the type of land surveying involved;</text> </paragraph> <paragraph num="(v)"> <text>Affixing a signature and seal to any land surveying plan or document in a subject matter over which the licensed professional land surveyor or property line surveyor lacks competence by virtue of inadequate training or experience and familiarity;</text> </paragraph> <paragraph num="(vi)"> <text>Offering directly or indirectly any bribe or commission to obtain selection or preferment for a land surveying employment with the exception of the payment of the usual commission for securing salaried positions through licensed employment agencies;</text> </paragraph> <paragraph num="(vii)"> <text>Soliciting or accepting gratuities directly or indirectly from contractors, their agents, or other parties dealing with the registered land surveyor's client or employer in connection with work for which the licensed professional land surveyor or property line surveyor is responsible;</text> </paragraph> <paragraph num="(viii)"> <text>Use by a licensed professional registered land surveyor or property line surveyor of the surveyor's land surveying expertise or professional land surveying status, or both, to commit a crime;</text> </paragraph> <paragraph num="(ix)"> <text>Affixing a surveyor's seal or signature, or both, to drawings, plats, or other documents required to be sealed pursuant to Business Occupations and Professions Article, §15-502, Annotated Code of Maryland, when the document has not been personally prepared by the registered land surveyor or prepared under the surveyor's responsible supervision, direction, and control;</text> </paragraph> <paragraph num="(x)"> <text>Knowingly associating with or permitting the use of the surveyor's name or firm name in a business venture with a person or firm which the surveyor knows or has reason to believe is engaging in business or professional practices of a fraudulent or dishonest nature;</text> </paragraph> <paragraph num="(xi)"> <text>Failing to present immediately information to the Board if a licensed professional land surveyor or property line surveyor has knowledge of or reason to believe that a person or firm is guilty of violating any of the provisions of Business Occupations and Professions Article, Title 15, Annotated Code of Maryland, or any of these rules of professional conduct.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §15-208(a), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 18, 1991 (18:5 Md. R. 594)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective January 24, 2000 (27:1 Md. R. 74)</annotation> </annotations> </chapter> <chapter num="05" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§2-106.1 and 2-106.2, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 15, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Architects, the State Board of Certified Interior Designers, the State Board of Examiners of Landscape Architects, the State Board for Professional Engineers, and the State Board for Professional Land Surveyors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board for Professional Land Surveyors.</text> </paragraph> <paragraph num="(2)"> <text>“Design boards” means collectively the:</text> <paragraph num="(a)"> <text>State Board of Architects;</text> </paragraph> <paragraph num="(b)"> <text>State Board of Certified Interior Designers;</text> </paragraph> <paragraph num="(c)"> <text>State Board of Examiners of Landscape Architects;</text> </paragraph> <paragraph num="(d)"> <text>State Board for Professional Engineers; and</text> </paragraph> <paragraph num="(e)"> <text>Board.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a reciprocal license.</text> </paragraph> <paragraph num="(4)"> <text>“Permit fee” means the fee paid in connection with the issuance and renewal of a permit.</text> </paragraph> <paragraph num="(5)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the design boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the design boards. Based on these calculations, the Board sets the following fees:</text> <paragraph num="(1)"> <text>License fee — $86;</text> </paragraph> <paragraph num="(2)"> <text>Permit fee — $112;</text> </paragraph> <paragraph num="(3)"> <text>Nonrefundable initial application fee payable in connection with:</text> <paragraph num="(a)"> <text>An application for permit — $39;</text> </paragraph> <paragraph num="(b)"> <text>An application for license — $56;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Reinstatement fee — $112;</text> </paragraph> <paragraph num="(5)"> <text>Verification fee — $22;</text> </paragraph> <paragraph num="(6)"> <text>Replacement license certificate fee — $39.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An applicant for the appropriate licensing examination shall pay examination fees directly to the Board or its designee, as these fees are established by the National Council of Examiners of Engineers and Surveyors.</text> </paragraph> <paragraph num="C."> <text>An applicant shall pay $39 to the Board or its designee in connection with the Maryland Law and Ethics Issues portion of the examination.</text> </paragraph> <paragraph num="D."> <text>An applicant shall pay $39 to the Board or its designee in connection with the Maryland Storm Drain and Road Grade portion of the examination.</text> </paragraph> <paragraph num="E."> <text>An applicant approved by the Board to take the appropriate licensing examination, and for whom the Board ordered appropriate examination materials, is not entitled to a refund of applicable fees paid under §B, C, or D of this regulation. An applicant who notifies the Board of the applicant's election not to take the appropriate licensing examination before the Board orders appropriate examination materials is entitled to a refund of applicable fees under §B, C, or D of this regulation.</text> </paragraph> <paragraph num="F."> <text>An applicant for the appropriate licensing examination shall pay to the Board’s designee the testing service fee in connection with the testing services.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Retired Status License."> <text>The Board sets the following fees in connection with a retired status license:</text> <paragraph num="A."> <text>Retired status license fee — $25;</text> </paragraph> <paragraph num="B."> <text>Reactivation from retired status fee — $100 for each lapsed licensing period, but not to exceed $300.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§15-101, 15-205, 15-207—15-209, 15-306, 15-307, 15-307.1, 15-311, 15-312, 15-314—15-316, 15-321, 15-403, 15-404, and 15-406; Business Regulation Article, §§2-106, 2-106.1, and 2-106.2; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 16, 1993 (20:16 Md. R. 1277)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective December 18, 1995 (22:25 Md. R. 1961)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulation .01 adopted as an emergency provision effective September 5, 1997 (24:20 Md. R. 1401); adopted permanently effective January 26, 1998 (25:2 Md. R. 76)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective December 18, 1998 (26:2 Md. R. 103); amended permanently effective May 3, 1999 (26:9 Md. R. 730)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective February 25, 2000 (27:7 Md. R. 703); emergency status expired August 22, 2000; amended permanently effective October 30, 2000 (27:21 Md. R. 1975)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A, B amended as an emergency provision effective December 11, 2000 (27:26 Md. R. 2354); amended permanently effective April 30, 2001 (28:8 Md. R. 759)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulations .01—.03 adopted as an emergency provision effective July 1, 2003 (30:14 Md. R. 932); adopted permanently effective November 10, 2003 (300:22 Md. R. 1578)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective May 27, 2024 (51:10 Md. R. 524)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective April 9, 2007 (34:7 Md. R. 697); November 1, 2010 (37:22 Md. R. 1553); January 6, 2014 (40:26 Md. R. 2162)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective May 10, 2004 (31:9 Md. R. 712); July 31, 2006 (33:15 Md. R. 1280)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended as an emergency provision effective April 13, 2008 (35:9 Md. R. 891); amended permanently effective July 17, 2008 (35:14 Md. R. 1246)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective November 25, 2013 (40:23 Md. R. 1933)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03F amended effective July 31, 2006 (33:15 Md. R. 1280)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted as an emergency provision effective October 1, 2003 (30:23 Md. R. 1650); adopted permanently effective March 1, 2004 (31:4 Md. R. 314)</annotation> </annotations> </chapter> <chapter num="06" heading="Minimum Standards of Practice"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <paragraph num="A."> <text>In the general interest of the public, these standards are promulgated to set forth the minimum acceptable level of performance to be exercised by all individuals practicing professional land surveying and property line surveying in Maryland.</text> </paragraph> <paragraph num="B."> <text>If anything contained in these regulations conflicts with other federal or State requirements, the more stringent requirements shall be followed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Accurate and precise location” means a description of the position of a feature, object, or boundary that meets or exceeds the positional tolerance.</text> </paragraph> <paragraph num="(2)"> <text>“As-constructed survey” has the meaning stated in Regulation .07 of this chapter.</text> </paragraph> <paragraph num="(3)"> <text>“Authoritative” means the process of surveying which results in an accurately and precisely established location of a feature, object, or boundary.</text> </paragraph> <paragraph num="(4)"> <text>“Bench mark” means an identifiable stable reference point established as a record for future use or reestablishment of the elevation datum of a survey requiring vertical data.</text> </paragraph> <paragraph num="(5)"> <text>“Boundary survey” has the meaning stated in Regulation .03 of this chapter.</text> </paragraph> <paragraph num="(6)"> <text>“Certification entity” means an entity acceptable to the Board, as stated in Business Occupations and Professions Article, §15-301(b)(4), Annotated Code of Maryland, including, but not limited to, the following entities:</text> <paragraph num="(a)"> <text>American Society for Photogrammetry and Remote Sensing;</text> </paragraph> <paragraph num="(b)"> <text>GIS Certification Institute;</text> </paragraph> <paragraph num="(c)"> <text>United States Geospatial Intelligence Foundation; and</text> </paragraph> <paragraph num="(d)"> <text>National Society of Professional Surveyors.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>“Consumer” means a property owner or a prospective property owner, as the case may be, for whose benefit surveying services are performed.</text> </paragraph> <paragraph num="(8)"> <text>“Date” means the date of the latest field work.</text> </paragraph> <paragraph num="(9)"> <text>“Licensee” means:</text> <paragraph num="(a)"> <text>A professional land surveyor as stated in Business Occupations and Professions Article, §15-101(l), Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(b)"> <text>A licensed property line surveyor as stated in Business Occupations and Professions Article, §15-101(g), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Metes and bounds description” has the meaning stated in Regulation .08 of this chapter.</text> </paragraph> <paragraph num="(11)"> <text>“Monument” means an identifiable object or marker which physically identifies the location of property division lines or other survey points on the ground.</text> </paragraph> <paragraph num="(12)"> <text>“Planimetric survey” has the meaning stated in Regulation .05 of this chapter.</text> </paragraph> <paragraph num="(13)"> <text>“Plat” means a drawing prepared at an appropriate scale to show the results of the findings and conclusions of a survey.</text> </paragraph> <paragraph num="(14)"> <text>“Positional tolerance” means the maximum allowable relative positional precision of 0.07 feet (or 2 centimeters) plus 50 parts per million, based on the direct distance between the two survey markers or monuments, as applicable.</text> </paragraph> <paragraph num="(15)"> <text>“Qualifying activity” means an activity which:</text> <paragraph num="(a)"> <text>Is acceptable to the Board;</text> </paragraph> <paragraph num="(b)"> <text>Is offered by a certification entity; and</text> </paragraph> <paragraph num="(c)"> <text>Has content areas related to the utilization of measurement devices or systems for the purpose of determining topography or contours.</text> </paragraph> </paragraph> <paragraph num="(16)"> <text>“Relative positional precision” means the length of the semi-major axis expressed in feet or meters, of the error ellipse representing the uncertainty due to random errors in measurements used to control surveys in the location of the property evidence, marking any corner of the surveyed property relative to the property evidence, and marking any other corner of the surveyed property at the 95 percent confidence level (two standard deviations).</text> </paragraph> <paragraph num="(17)"> <text>“Right of way/easement survey” has the meaning stated in Regulation .09 of this chapter.</text> </paragraph> <paragraph num="(18)"> <text>“Special purpose survey” has the meaning stated in Regulation .10 of this chapter.</text> </paragraph> <paragraph num="(19)"> <text>“Survey” means the process of conducting research, performing field measurements and observations, and applying mathematical principles to determine or obtain the data necessary to record, display, or indicate, or all of these, land boundaries, land areas, and the position and characteristics of any natural or artificial, or both, features on or near the surface of the earth.</text> </paragraph> <paragraph num="(20)"> <text>“Survey marker” means, within the meaning of COMAR 09.13.03, an identifiable point, object, or mark which physically identifies the location of any point utilized or established to fix the position of a survey control station.</text> </paragraph> <paragraph num="(21)"> <text>“Surveyor” means:</text> <paragraph num="(a)"> <text>A professional land surveyor as stated in Business Occupations and Professions Article, §15-101(l), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(b)"> <text>A licensed property line surveyor as stated in Business Occupations and Professions Article, §15-101(g), Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(c)"> <text>An individual otherwise authorized to practice professional land surveying or property line surveying under Business Occupations and Professions Article, §15-303, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(22)"> <text>“Topographic survey” has the meaning stated in Regulation .04 of this chapter.</text> </paragraph> <paragraph num="(23)"> <text>“Witness monument” means an identifiable point, object, or marker offset from the position of a survey marker, boundary point, or line which is used for the purpose of identifying the position of the survey marker, boundary point, or point on line through the use of distance measurements or angular measurements, or both.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Boundary Surveys."> <paragraph num="A."> <text>Purpose.</text> <paragraph num="(1)"> <text>The boundary survey is a means of marking boundaries for sufficient definition and identification to uniquely locate each lot, parcel, or tract.</text> </paragraph> <paragraph num="(2)"> <text>The purpose of a boundary survey is to establish, reestablish, or describe, or all of these, the physical position and extent of the boundaries of real property.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Result. Unless otherwise directed by the party requesting the survey, sufficient monuments or reference control points which were used to determine the property lines shall be:</text> <paragraph num="(1)"> <text>Set or recovered on the ground, to the extent feasible; and</text> </paragraph> <paragraph num="(2)"> <text>Shown on a plat upon completion of the boundary survey so that the property lines can be determined or readily reestablished.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Research and Investigation.</text> <paragraph num="(1)"> <text>The surveyor shall be provided by the party requesting the survey with copies of public records and private records, if any, in sufficient scope and depth that a surveyor of ordinary prudence and skill may consider in identifying with reasonable certainty the following:</text> <paragraph num="(a)"> <text>The location of the property's record boundaries, so long as the information exists in the public records and is properly indexed; and</text> </paragraph> <paragraph num="(b)"> <text>Conflicting record property boundary line locations which may differently locate the property's boundaries.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The surveyor shall make a reasonable effort to identify, locate, and review private survey records which are cited in the provided public records and which may:</text> <paragraph num="(a)"> <text>Be material in locating the property's boundaries,</text> </paragraph> <paragraph num="(b)"> <text>Have the potential for disclosing conflicting descriptions of the property's boundaries, or</text> </paragraph> <paragraph num="(c)"> <text>Affect the location of the property's boundaries.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Monumentation. In providing appropriate monumentation for boundary surveys, a surveyor shall comply with the minimum standards for survey markers set forth in COMAR 09.13.03.</text> </paragraph> <paragraph num="E."> <text>Field Procedures.</text> <paragraph num="(1)"> <text>Field measurements shall be made by methods that will provide the precision required by this regulation.</text> </paragraph> <paragraph num="(2)"> <text>Observable physical evidence, including boundary, possession, visible encroachments, and visible indications of rights, including evidence of recorded servitudes or those that may be acquired by prescription or adverse possession, shall be located.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Plats.</text> <paragraph num="(1)"> <text>An original plat of a boundary survey shall be a reproducible drawing at a suitable scale, clearly indicating the results of the field work, computations, research, and record information, as compiled, checked, and analyzed.</text> </paragraph> <paragraph num="(2)"> <text>A plat shall be prepared in conformity with the following procedures:</text> <paragraph num="(a)"> <text>A reasonably stable and durable drawing paper, linen, or film of reproducible quality, is considered suitable material for boundary survey plats;</text> </paragraph> <paragraph num="(b)"> <text>Plats may not be smaller than 8-1/2 x 11 inches;</text> </paragraph> <paragraph num="(c)"> <text>Dimensions, bearings, or angles, including sufficient data to define curves, shall be neatly and legibly shown with respect to each property boundary line;</text> </paragraph> <paragraph num="(d)"> <text>Markers shall be labeled as “found” or “set”, with a brief description of the marker and relevant reference markers, if any, along with their spatial relationship to the subject corner;</text> </paragraph> <paragraph num="(e)"> <text>Relevant natural or artificial visible features shall be labeled, dimensioned, and referenced to the nearest property boundary line or represented by a symbol on the plat in its proper location, and each symbol shall clearly indicate what is represented or shall be labeled for identification either individually or in a separate key to symbols;</text> </paragraph> <paragraph num="(f)"> <text>Plats shall show a north arrow;</text> </paragraph> <paragraph num="(g)"> <text>A statement indicating the origin and method of determination of the bearings or coordinate system shall be made on a plat, and shall include one of the following:</text> <paragraph num="(i)"> <text>A reference to true north, as determined by astronomic observation;</text> </paragraph> <paragraph num="(ii)"> <text>A reference to the Maryland Coordinate System with the controlling stations and a combination factor comprised of an elevation factor and a scale factor noted;</text> </paragraph> <paragraph num="(iii)"> <text>A reference to a local coordinate system with the controlling stations listed;</text> </paragraph> <paragraph num="(iv)"> <text>A reference to the record bearing of a well-established line found monumented on the ground, as called for in a relevant deed or plat; or</text> </paragraph> <paragraph num="(v)"> <text>If the above alternatives in this paragraph are not practical, a dated magnetic bearing may be used;</text> </paragraph> </paragraph> <paragraph num="(h)"> <text>If separate intricate details or inserts are required for clarity, they shall be properly referenced to the portion of the plat where they apply, particularly in areas where:</text> <paragraph num="(i)"> <text>Lines of occupation do not conform to the deed lines; and</text> </paragraph> <paragraph num="(ii)"> <text>A comparison of adjoining properties' deed descriptions indicates the existence of a gap or an overlap;</text> </paragraph> </paragraph> <paragraph num="(i)"> <text>Cemeteries and burial grounds found by the surveyor within the premises being surveyed shall be noted on the plat;</text> </paragraph> <paragraph num="(j)"> <text>All relevant evidence of monuments found beyond the subject tract, on which establishment of the corners of the subject tract are dependent, and their application related to the survey shall be indicated;</text> </paragraph> <paragraph num="(k)"> <text>Different line weights or delineating letters or numbers shall be used to clearly show the limits of the survey; and</text> </paragraph> <paragraph num="(l)"> <text>Evidence of any easements, servitudes, or uses burdening the surveyed property, whether or not disclosed in the record documents provided to the surveyor, observed in the process of conducting the survey.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>In addition to the criteria set forth in §F(2) of this regulation, each plat shall show the following:</text> <paragraph num="(a)"> <text>Caption or title and general location of the property or a vicinity map;</text> </paragraph> <paragraph num="(b)"> <text>Scale;</text> </paragraph> <paragraph num="(c)"> <text>Date;</text> </paragraph> <paragraph num="(d)"> <text>Land area;</text> </paragraph> <paragraph num="(e)"> <text>Name and address of the surveyor or firm;</text> </paragraph> <paragraph num="(f)"> <text>A statement to the effect that a licensee either personally prepared a boundary survey or was in responsible charge over its preparation and the surveying work reflected in it, all in compliance with requirements set forth in Regulation .12 of this chapter; and</text> </paragraph> <paragraph num="(g)"> <text>Seal and signature of the surveyor who personally prepared or was in responsible charge over the preparation of the boundary survey.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Accuracy Standards.</text> <paragraph num="(1)"> <text>The maximum allowable relative positional precision for boundary surveys shall be 0.07 feet (or 2 centimeters) plus 50 parts per million, based on the direct distance between the two corners being tested.</text> </paragraph> <paragraph num="(2)"> <text>The surveyor shall ascertain that the positional uncertainties resulting from the survey measurements do not exceed the allowable relative positional precision.</text> </paragraph> <paragraph num="(3)"> <text>If the size or configuration of the property to be surveyed or the relief, vegetation, or improvements on the property will result in survey measurements for which the relative positional precision will exceed the allowable amount, the surveyor shall add a note to a survey explaining the site conditions that necessitated the deviation from the relative positional precision.</text> </paragraph> <paragraph num="(4)"> <text>The surveyor shall, to the extent necessary to achieve the standards set forth in §G of this regulation, compensate or correct for systematic errors, including those associated with instrument calibration.</text> </paragraph> <paragraph num="(5)"> <text>The surveyor shall use appropriate error propagation and other measurement design theory to select the proper instruments, field procedures, geometric layouts, and computational procedures to control and adjust random errors to achieve the allowable relative positional precision tolerance.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Topographic Surveys."> <paragraph num="A."> <text>Purpose. The purpose of a topographic survey is to locate, describe, or map, or all of these, the elevations and positions of the physical features and characteristics of the surface of the earth including spot elevations, contours, and other features.</text> </paragraph> <paragraph num="B."> <text>Result.</text> <paragraph num="(1)"> <text>The results of a topographic survey shall clearly show the results of the field and office work and shall be presented, depending on the type of professional services requested, in the form of:</text> <paragraph num="(a)"> <text>A plat;</text> </paragraph> <paragraph num="(b)"> <text>A worksheet;</text> </paragraph> <paragraph num="(c)"> <text>Raw data; or</text> </paragraph> <paragraph num="(d)"> <text>Adjusted data.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Plats are intended for a release as stand-alone products. Worksheets and raw data are intended as components to be included in other surveying or engineering documents and are not intended as stand-alone products. Worksheets and raw data are not required to comply with this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Field Procedures.</text> <paragraph num="(1)"> <text>Field work shall be performed in accordance with accepted surveying theory, practice, and procedures as specified in this section.</text> </paragraph> <paragraph num="(2)"> <text>A surveyor in responsible charge shall adhere to the following procedures:</text> <paragraph num="(a)"> <text>The vertical datum of a topographic survey shall run from a known bench mark, if possible, or as otherwise specified in the scope of survey services for the project;</text> </paragraph> <paragraph num="(b)"> <text>A closed level loop, where practical, shall run through or include a second established bench mark to confirm the vertical datum;</text> </paragraph> <paragraph num="(c)"> <text>A minimum of one bench mark shall be established on or near the surveyed site;</text> </paragraph> <paragraph num="(d)"> <text>Topographic data may be obtained based on an assumed vertical datum, if the base elevation of the datum is obviously different than the existing datum, and if the final document clearly indicates that the data was obtained based on an assumed vertical datum; and</text> </paragraph> <paragraph num="(e)"> <text>Field data satisfying the requirements of these regulations shall be gathered, and the surveyor shall make a reasonable effort to maintain the data.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Plats.</text> <paragraph num="(1)"> <text>An original plat of a topographic survey shall be a reproducible drawing at a suitable scale clearly indicating the results of the field work, computations, research, and record information as compiled, checked, and analyzed.</text> </paragraph> <paragraph num="(2)"> <text>A plat shall be prepared in conformity with the following procedures:</text> <paragraph num="(a)"> <text>A reasonably stable and durable drawing paper, linen, or film of reproducible quality is considered suitable material for topographic survey plats;</text> </paragraph> <paragraph num="(b)"> <text>Plats may not be smaller than 8-1/2 X 11 inches;</text> </paragraph> <paragraph num="(c)"> <text>The source of the vertical datum shall be noted on the plat;</text> </paragraph> <paragraph num="(d)"> <text>Relevant natural or artificial visible features shall be labeled and represented by a symbol on the plat in its proper location, and each symbol shall clearly indicate what is being represented or shall be labeled for identification either individually or in a separate key to symbols;</text> </paragraph> <paragraph num="(e)"> <text>Plats shall show a north arrow;</text> </paragraph> <paragraph num="(f)"> <text>A statement indicating the source of the bearings shall be made on the plat;</text> </paragraph> <paragraph num="(g)"> <text>The source of a coordinate system, if used on the plat, shall be identified;</text> </paragraph> <paragraph num="(h)"> <text>A description and the elevation of a minimum of two bench marks established on or near the site for the survey shall be indicated on the plat;</text> </paragraph> <paragraph num="(i)"> <text>Cemeteries and burial grounds found by the surveyor within the premises being surveyed shall be noted on the plat;</text> </paragraph> <paragraph num="(j)"> <text>Different line weights or delineating letters or numbers shall be used to clearly show the limits of the survey; and</text> </paragraph> <paragraph num="(k)"> <text>Spot elevations shall be shown in accordance with vertical accuracy standards as specified in §E(3) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>In addition to the criteria set forth in §D(2) of this regulation, the plat shall show the following:</text> <paragraph num="(a)"> <text>Caption or title and general location of the property or a vicinity map;</text> </paragraph> <paragraph num="(b)"> <text>Scale;</text> </paragraph> <paragraph num="(c)"> <text>Date;</text> </paragraph> <paragraph num="(d)"> <text>Name and address of the firm or surveyor;</text> </paragraph> <paragraph num="(e)"> <text>A statement to the effect that a licensee either personally prepared a topographic survey or was in responsible charge over its preparation and the surveying work reflected in it, all in compliance with requirements set forth in Regulation .12 of this chapter; and</text> </paragraph> <paragraph num="(f)"> <text>Seal and signature of the surveyor who personally prepared or was in responsible charge over the preparation of the topographic survey.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Tolerances.</text> <paragraph num="(1)"> <text>Horizontal tolerances for topographic mapping shall meet the following accuracy standards of this subsection. On maps with publication scales larger than 1:20,000, not more than 10 percent of the points tested shall be in error by more than 1/30 inch, measured on the publication scale, and on maps with publication scales of 1:20,000 or smaller, 1/50 inch. These limits of accuracy shall apply in all cases to positions of well-defined points only. Well defined points are those that are easily visible or recoverable on the ground, such as monuments or markers, including:</text> <paragraph num="(a)"> <text>Bench marks;</text> </paragraph> <paragraph num="(b)"> <text>Property boundary monuments;</text> </paragraph> <paragraph num="(c)"> <text>Intersections of roads;</text> </paragraph> <paragraph num="(d)"> <text>Railroads;</text> </paragraph> <paragraph num="(e)"> <text>Corners of large buildings; and</text> </paragraph> <paragraph num="(f)"> <text>Other similar points.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In general, what is well defined may also be determined by what is plottable on the scale of the map within 1/100 inch.</text> </paragraph> <paragraph num="(3)"> <text>Vertical tolerances for topographic mapping shall meet the accuracy standards of this subsection. Vertical accuracy, as applied to contour maps on all publication scales, shall be such that not more than 10 percent of the elevations tested shall be in error more than 1/2 the contour interval. In checking elevations taken from the map, the apparent vertical error may be decreased by assuming a horizontal displacement within the permissible horizontal error for a map of that scale.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Exemptions. Individuals who successfully completed the qualifying activity, as defined in Regulation.02B(15) of this chapter, from the certification entity, as defined in Regulation .02B(6) of this chapter, are permitted to produce topographic surveys.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Planimetric Surveys."> <paragraph num="A."> <text>Purpose. The purpose of a planimetric survey is to locate, describe, or map, or all of these, the horizontal positions of the physical features and characteristics of the surface of the earth and other features.</text> </paragraph> <paragraph num="B."> <text>Result.</text> <paragraph num="(1)"> <text>The results of a planimetric survey shall clearly show the results of the field and office work, and shall be presented, depending on the type of professional services requested, in the form of:</text> <paragraph num="(a)"> <text>A plat;</text> </paragraph> <paragraph num="(b)"> <text>A worksheet;</text> </paragraph> <paragraph num="(c)"> <text>Raw data; or</text> </paragraph> <paragraph num="(d)"> <text>Adjusted data.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Plats are intended for a release as stand-alone products. Worksheets and raw data are intended as components to be included in other surveying or engineering documents and are not intended as stand-alone products. Worksheets and raw data are not required to comply with this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Field Procedures.</text> <paragraph num="(1)"> <text>Field work shall be performed in accordance with accepted surveying theory, practice, and procedures specified in this section.</text> </paragraph> <paragraph num="(2)"> <text>Field data satisfying the requirements of these regulations shall be gathered, and the surveyor shall make a reasonable effort to maintain the data.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Plats.</text> <paragraph num="(1)"> <text>An original plat of a planimetric survey shall be a reproducible drawing at a suitable scale clearly indicating the results of the field work, computations, research, and record information, as compiled, checked, and analyzed.</text> </paragraph> <paragraph num="(2)"> <text>The plat shall be prepared in conformity with the following procedures:</text> <paragraph num="(a)"> <text>A reasonably stable and durable drawing paper, linen, or film of reproducible quality is considered suitable material for planimetric survey drawings;</text> </paragraph> <paragraph num="(b)"> <text>Plats may not be smaller than 8-1/2 X 11 inches;</text> </paragraph> <paragraph num="(c)"> <text>Relevant natural or artificial visible features shall be labeled and represented by a symbol on the plat in its proper location, and each symbol shall clearly indicate what is being represented or shall be labeled for identification either individually or in a separate key to symbols;</text> </paragraph> <paragraph num="(d)"> <text>The plat shall show a north arrow;</text> </paragraph> <paragraph num="(e)"> <text>A statement indicating the source of the bearings shall be made on the plat;</text> </paragraph> <paragraph num="(f)"> <text>The source of a coordinate system, if used on the plat, shall be identified;</text> </paragraph> <paragraph num="(g)"> <text>Cemeteries and burial grounds found by the surveyor within the premises being surveyed shall be noted on the plat; and</text> </paragraph> <paragraph num="(h)"> <text>Different line weights or delineating letters or numbers shall be used to clearly show the limited of the survey.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>In addition to the criteria set forth in §D(2) of this regulation, the plat shall show the following:</text> <paragraph num="(a)"> <text>Caption or title and general location of the property or a vicinity map;</text> </paragraph> <paragraph num="(b)"> <text>Scale;</text> </paragraph> <paragraph num="(c)"> <text>Date;</text> </paragraph> <paragraph num="(d)"> <text>Name and address of the firm or surveyor;</text> </paragraph> <paragraph num="(e)"> <text>A statement to the effect that a licensee either personally prepared a planimetric survey or was in responsible charge over its preparation and the surveying work reflected in it, all in compliance with requirements set forth in Regulation .12 of this chapter; and</text> </paragraph> <paragraph num="(f)"> <text>Seal and signature of the surveyor who personally prepared or was in responsible charge over the preparation of the planimetric survey.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Tolerances.</text> <paragraph num="(1)"> <text>Horizontal tolerances for planimetric mapping shall meet the accuracy standards of this subsection. On maps with publication scales larger than 1:20,000, not more than 10 percent of the points tested shall be in error by more than 1/30 inch, measured on the publication scale, and on maps with publication scales of 1:20,000 or smaller, 1/50 inch. These limits of accuracy shall apply in all cases to positions of well-defined points only. Well-defined points are those that are easily visible or recoverable on the ground, such as the following monuments or markers, including:</text> <paragraph num="(a)"> <text>Property boundary monuments;</text> </paragraph> <paragraph num="(b)"> <text>Intersections of roads;</text> </paragraph> <paragraph num="(c)"> <text>Railroads;</text> </paragraph> <paragraph num="(d)"> <text>Corners of large buildings; and</text> </paragraph> <paragraph num="(e)"> <text>Other similar points.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In general, what is well defined may also be determined by what is plottable on the scale of the map within 1/100 inch.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Location Drawings."> <paragraph num="A."> <text>Purpose. The purpose of a location drawing is to locate, describe, and represent the positions of buildings or other visible improvements affecting the subject property.</text> </paragraph> <paragraph num="B."> <text>Result. The location drawing shall delineate the subject property and the location of the buildings and other visible improvements on the property. Location drawings do not include foundation certifications or wall checks.</text> </paragraph> <paragraph num="C."> <text>Approval by the Consumer and Disclosures.</text> <paragraph num="(1)"> <text>The surveyor may not accept compensation pursuant to this regulation until the surveyor receives a signed approval form as described in this section.</text> </paragraph> <paragraph num="(2)"> <text>A surveyor is presumed to have received the approval form, if it is delivered to the surveyor by the following means:</text> <paragraph num="(a)"> <text>Personal delivery;</text> </paragraph> <paragraph num="(b)"> <text>Regular, registered, or certified mail, return receipt requested; or</text> </paragraph> <paragraph num="(c)"> <text>Facsimile device or email transmission capable of producing a tangible record of delivery.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The approval form shall be sufficient if it is signed by the consumer, whether one or more, with respect to the property for which services pursuant to this regulation are sought.</text> </paragraph> <paragraph num="(4)"> <text>The approval form shall contain at least the following statements:</text> </paragraph> <paragraph num="(5)"> <text>Upon receipt of an approval form which complies with this section and upon complying with Regulation .12A of this chapter, the surveyor shall perform the services approved by the consumer. If the consumer requests a boundary survey which includes a location drawing, the survey shall be consistent with the provisions set forth in Regulation .03 of this chapter and the requirements set forth in §D(5) of this regulation.</text> </paragraph> <paragraph num="(6)"> <text>If the consumer approves the preparation of a location drawing, the surveyor shall perform at least the following procedures:</text> <paragraph num="(a)"> <text>Examine the current deed to and recorded plat, if any, of the subject parcel; and</text> </paragraph> <paragraph num="(b)"> <text>Take sufficient on-site measurements to enable the surveyor to perform the tasks called for by this regulation with regard to the:</text> <paragraph num="(i)"> <text>Approximate locations of buildings and those other improvements referenced in this regulation,</text> </paragraph> <paragraph num="(ii)"> <text>Possible encroachments reasonably determined based on a visual inspection, and</text> </paragraph> <paragraph num="(iii)"> <text>A flood hazard zone, if requested.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(7)"> <text>If, in connection with the preparation of a location drawing, a surveyor finds evidence to warrant, in the surveyor's professional opinion, the performance of a boundary survey, the surveyor shall so notify the consumer.</text> </paragraph> <paragraph num="(8)"> <text>Disclosures.</text> <paragraph num="(a)"> <text>If the consumer, pursuant to this regulation, has approved a location drawing, the plat prepared by the surveyor shall prominently display, at a minimum, advice to the effect that the plat:</text> <paragraph num="(i)"> <text>Is of benefit to a consumer only insofar as it is required by a lender or a title insurance company or its agent in connection with contemplated transfer, financing, or refinancing;</text> </paragraph> <paragraph num="(ii)"> <text>Is not to be relied upon for the establishment or location of fences, garages, buildings, or other existing or future improvements; and</text> </paragraph> <paragraph num="(iii)"> <text>Does not provide for the accurate identification of property boundary lines, but this identification may not be required, for the transfer of title or securing financing or refinancing.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The statements under this regulation may be written on a separate page, if the:</text> <paragraph num="(i)"> <text>Separate page is stapled or otherwise permanently affixed to the plat; and</text> </paragraph> <paragraph num="(ii)"> <text>Page containing the plat bears a prominent statement to the effect that the advice is an integral part of the plat, and is to be found on the affixed page.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(9)"> <text>If the consumer, pursuant to this regulation, has approved a location drawing, the following shall be shown:</text> <paragraph num="(a)"> <text>Significant buildings, structures, and other improvements, in their approximate relationship to the apparent property lines reflected in the deed, based on the field measurements taken by the surveyor, and any other evidence considered by the surveyor;</text> </paragraph> <paragraph num="(b)"> <text>Statement with regard to the level of accuracy of distances to apparent property lines; and</text> </paragraph> <paragraph num="(c)"> <text>Possible encroachments to the extent reasonably determined by a visual inspection of the property either way across property lines.</text> </paragraph> </paragraph> <aftertext>Approval Form</aftertext> </paragraph> <paragraph num="D."> <text>Plats.</text> <paragraph num="(1)"> <text>The original plat of a location drawing shall be a reproducible drawing at a scale which clearly shows the results of the field work, computations, research, and record information, as compiled, checked, and analyzed.</text> </paragraph> <paragraph num="(2)"> <text>The plat shall be prepared in accordance with the following procedures:</text> <paragraph num="(a)"> <text>A reasonably stable and durable drawing paper, linen, or film is considered a suitable material;</text> </paragraph> <paragraph num="(b)"> <text>Plats may not be smaller than 8-1/2 × 11 inches;</text> </paragraph> <paragraph num="(c)"> <text>Plats shall show a north arrow;</text> </paragraph> <paragraph num="(d)"> <text>A statement indicating the source of the bearings shall be made on the plat; and</text> </paragraph> <paragraph num="(e)"> <text>The source of a coordinate system, if used on the plat, shall be identified.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>In addition to the criteria set forth in §D(2) of this regulation, the plat shall show the following:</text> <paragraph num="(a)"> <text>Caption or title and address of the property or a vicinity map;</text> </paragraph> <paragraph num="(b)"> <text>Scale;</text> </paragraph> <paragraph num="(c)"> <text>Date;</text> </paragraph> <paragraph num="(d)"> <text>Name and address of the firm or surveyor;</text> </paragraph> <paragraph num="(e)"> <text>A statement to the effect that a licensee either personally prepared a location drawing or was in responsible charge over its preparation and the surveying work reflected in it, all in compliance with requirements set forth in Regulation .12 of this chapter; and</text> </paragraph> <paragraph num="(f)"> <text>Seal and signature of the surveyor who personally prepared or was in responsible charge over the preparation of the location drawing.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="As-Constructed or Record Surveys."> <paragraph num="A."> <text>General. At the time the surveyor performs as-constructed, sometimes referred to as an as-built, or record surveys, the surveyor shall obtain field measurements of vertical or horizontal dimensions, or both, of constructed improvements. The constructed improvements located by the survey shall be shown by symbols, notations, or delineations and shall be so certified. All plats prepared shall meet these minimum technical standards as applicable.</text> </paragraph> <paragraph num="B."> <text>Accuracy. The horizontal or vertical accuracy, or both, shall permit the determination of whether the position of visible constructed improvements encroach upon adjoining properties or whether they are properly placed on the subject property, in rights-of-way, or in easements provided. The vertical accuracy or horizontal accuracy, or both, shall be such that it may be determined whether the position of visible improvements is in accordance with the plans or other documents as approved by appropriate jurisdictions.</text> </paragraph> <paragraph num="C."> <text>A statement to the effect that a licensee either personally prepared the as-constructed or record survey or was in responsible charge over its preparation and the surveying work reflected in it, all in compliance with requirements set forth in Regulation .12 of this chapter; and</text> </paragraph> <paragraph num="D."> <text>Seal and signature of the surveyor who personally prepared or was in responsible charge over the preparation of the as-constructed or record survey.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Metes and Bounds Descriptions."> <paragraph num="A."> <text>Purpose. The purpose of a metes and bounds description is to create a written legal description of the subject tract of land that provides information necessary to properly locate the property on the ground and distinctly set it apart from all other properties.</text> </paragraph> <paragraph num="B."> <text>Result.</text> <paragraph num="(1)"> <text>A metes and bounds description shall indicate the general location of the property by:</text> <paragraph num="(a)"> <text>Naming the particular lot or block, or other acceptable identification within which it is located, if the property is located in a subdivision; or</text> </paragraph> <paragraph num="(b)"> <text>By reference to the deed for the parcel being described, and information with regard to tax or election district, county, and state.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The description shall also logically compile and incorporate calls for the following:</text> <paragraph num="(a)"> <text>Courses and distances with a statement regarding the basis of bearing;</text> </paragraph> <paragraph num="(b)"> <text>Adjoining record title lines, and rights-of-way as appropriate; and</text> </paragraph> <paragraph num="(c)"> <text>Statement of the subject land area.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The point of beginning shall be carefully chosen and described in a manner which will distinguish it indisputably from any other point.</text> </paragraph> <paragraph num="(4)"> <text>Curved boundaries shall include sufficient data to define the curve, including the direction of curve, radius, arc length, chord bearing, and chord length. The description shall also include the identification of nontangent curves.</text> </paragraph> <paragraph num="(5)"> <text>If a metes and bounds description is based upon a boundary survey performed in accordance with Regulation .03 of this chapter, sufficient monuments or reference control points which were used to determine the property lines shall be called in the metes and bounds description.</text> </paragraph> <paragraph num="(6)"> <text>The metes and bounds description shall contain a statement to the effect that a licensee either personally prepared a metes and bounds description or was in responsible charge over its preparation and the surveying work reflected in it, all in compliance with requirements set forth in Regulation .12 of this chapter.</text> </paragraph> <paragraph num="(7)"> <text>The metes and bounds description shall be signed and sealed by a surveyor who personally prepared or was in responsible charge over the preparation of the metes and bounds description.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Right-of-Way/Easement Surveys."> <paragraph num="A."> <text>General. A right-of-way/easement survey is a means of obtaining, reporting, or displaying, or all of these, the necessary data to establish or reestablish the location of sufficient property lines of the affected tract of land to assure the accurate location of the strip or parcel of land being described for the use and benefit of others.</text> </paragraph> <paragraph num="B."> <text>Result. A right-of-way/easement survey shall result in the establishment of the location of lines, areas, if needed, and other relevant data. The surveyor is not required to set markers on a right-of-way/easement survey, unless required by a party requesting surveying services.</text> </paragraph> <paragraph num="C."> <text>Compliance. In performing the right-of-way/easement survey, the surveyor shall comply with all terms, conditions, standards, and procedures that are set forth in Regulation .03 of this chapter, except as may be otherwise modified by this regulation, or by the State, its instrumentalities, or any public or corporate body having the power of eminent domain.</text> </paragraph> <paragraph num="D."> <text>A statement to the effect that a licensee either personally prepared the right-of-way or easement survey or was in responsible charge over its preparation and the surveying work reflected in it, all in compliance with requirements set forth in Regulation .12 of this chapter.</text> </paragraph> <paragraph num="E."> <text>Seal and signature of the surveyor who personally prepared or was in responsible charge of the preparation of the right-of-way/easement survey.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Special Purpose Surveys."> <paragraph num="A."> <text>General. A survey not previously defined in these regulations is classified as a special purpose survey and is permitted. The purpose and conditions of this survey shall be clearly shown on the survey plats. A survey performed in accordance with this regulation may not be construed to constitute a variance from these standards.</text> </paragraph> <paragraph num="B."> <text>Special Conditions. If special conditions exist that effectively prevent the survey from meeting the minimum standards set forth in this chapter, the special conditions and any necessary deviation from the standards shall be noted on the plat. It is a violation of regulations in this chapter to use special conditions to circumvent the intent and purpose of the minimum standards set forth in this chapter.</text> </paragraph> <paragraph num="C."> <text>Information Purposes. Copies of a plat provided for informational purposes only may be issued without the signature or seal, or both, of the surveyor in responsible charge when it is clearly shown that the plat is invalid without the signature or seal. It is a violation of the regulations of this chapter to use this section to circumvent the intent and purpose of the minimum standards set forth in this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Compliance with Federal, State, and Local Requirements."> <text>The surveyor shall comply with all applicable federal, State, and local requirements related to the preparation of site plans, road and street plans, subdivision plans and plats, condominium plats, foundation certifications, wall checks, sediment and erosion control plans, storm drain plans, stormwater management design plans, and any other surveying work products.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Business Practices."> <paragraph num="A."> <text>Before undertaking the performance of professional services for which payment or other consideration is expected, a surveyor or a duly authorized agent of the surveyor shall discuss at least the following with the requesting party:</text> <paragraph num="(1)"> <text>The type of survey required;</text> </paragraph> <paragraph num="(2)"> <text>The limits to be surveyed;</text> </paragraph> <paragraph num="(3)"> <text>The specific survey services to be provided;</text> </paragraph> <paragraph num="(4)"> <text>An approximate completion time schedule; and</text> </paragraph> <paragraph num="(5)"> <text>An agreement for payment.</text> </paragraph> </paragraph> <paragraph num="B."> <text>For mutual protection, it is encouraged that a written agreement be executed by both parties. The agreement may be in the form of a memorandum, services letter, confirmation of work ordered, or any other mutually acceptable form. The agreement may also establish the extent and limitations of the surveyor's responsibilities.</text> </paragraph> <paragraph num="C."> <text>If previously unknown factors are discovered during work that significantly affects either cost or completion schedule, the surveyor shall immediately notify the party responsible for the payment of the cost of the surveying services.</text> </paragraph> <paragraph num="D."> <text>The surveyor shall make a reasonable effort to maintain adequate records, including names or initials of all personnel, dates of service, references to field data, such as book number, loose-leaf pages, and other relevant data.</text> </paragraph> <paragraph num="E."> <text>A licensee may not sign or seal surveys, plats, drawings, certificates, or other professional documents unless the licensee personally prepared the documents or the documents were prepared under the licensee's responsible charge.</text> </paragraph> <paragraph num="F."> <text>Licensee In Responsible Charge. A licensee shall be considered to be in responsible charge within the meaning of Business Occupations and Professions Article, §15-101(n), Annotated Code of Maryland, if the licensee:</text> <paragraph num="(1)"> <text>Has authority to make necessary revisions to surveying documents during their preparation by the licensee's employees or other subordinates;</text> </paragraph> <paragraph num="(2)"> <text>Provides a detailed review and personal inspection of surveying documents; and</text> </paragraph> <paragraph num="(3)"> <text>Has authority to direct the surveying tasks and provides actual direction of the specific surveying tasks performed.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A licensee in responsible charge shall be readily available to the licensee's employees or other subordinates on a reasonable basis to provide personal direction and direct control, as necessary and appropriate.</text> </paragraph> <paragraph num="H."> <text>By signing and sealing surveying documents, a licensee assumes full responsibility for the preparation of the surveying documents described in this chapter and for the accuracy and adequacy of the surveying work reflected in the documents.</text> </paragraph> <paragraph num="I."> <text>When signing and sealing surveying documents, a licensee shall indicate the license expiration date on the documents before submitting them in accordance with requirements set forth in Business Occupations and Professions Article, §15-502(a), Annotated Code of Maryland, and shall contain the following statement: “Professional Certification. I hereby declare that these documents were prepared or approved by me or under my responsible charge, and that I am a duly licensed land surveyor under the laws of the State of Maryland, License No._____, and License Expiration Date: _______________.”</text> </paragraph> <paragraph num="J."> <text>Types of Signatures.</text> <paragraph num="(1)"> <text>A surveyor may sign surveying documents by one of the following methods:</text> <paragraph num="(a)"> <text>A handwritten signature in permanent ink containing the name of person who applied it; or</text> </paragraph> <paragraph num="(b)"> <text>For electronic or digital documents, an electronic authentication process attached to or logically associated with the document.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A digital signature described in §J(1)(b) of this regulation shall satisfy the following criteria:</text> <paragraph num="(a)"> <text>It must contain an identification unique to a licensee using it, such as the licensee’s name and license number;</text> </paragraph> <paragraph num="(b)"> <text>It must be under the exclusive control of the licensee using it;</text> </paragraph> <paragraph num="(c)"> <text>It must be verifiable; and</text> </paragraph> <paragraph num="(d)"> <text>It must be linked to the document in such a manner that any subsequent modifications to the document after the digital signature is appended to it will result in the document no longer being prepared or approved by the licensee.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Nothing in this regulation is intended to modify any of the requirements set forth in §I of this regulation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Violation of Minimum Standards."> <text>Violation of the minimum standards of practice by a professional land surveyor or a property line surveyor shall constitute grounds for disciplinary actions under Business Occupations and Professions Article, Title 15, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".14" heading="Review."> <text>The Board shall undertake a periodic review of the minimum standards of practice set forth in these regulations to assure their accuracy and completeness and shall make those changes, if any, it deems appropriate.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §15-208(b)(4), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 1, 1994 (21:22 Md. R. 1875)</annotation> <annotation type="History" subtype="Administrative History">Annotation: Regulations .01—.10, which were adopted effective December 1, 1994, can be found at 21:21 Md. R. 1875 and 21:11 Md. R. 958. Judicial action stayed the effectiveness of these regulations. Maryland Society of Surveyors et al. v. William A. Fogle et al., Case No. 94314037/CE 188625, Circuit Court for Baltimore City. A consent order, dated January 27, 1995, required the repeal of these regulations without taking effect. The consent order included new regulations to be adopted.</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.10 repealed and new Regulations .01—.14 adopted as an emergency provision effective March 1, 1995 (22:5 Md. R. 364); adopted permanently effective June 5, 1995 (22:11 Md. R. 820)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A, F amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A, D, E amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10C amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12A, D amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended effective February 10, 1997 (24:3 Md. R. 186)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 1, 2005 (32:15 Md. R. 1320)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective January 5, 2015 (41:26 Md. R. 1569); December 12, 2022 (49:25 Md. R. 1049)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective December 12, 2022 (49:25 Md. R. 1049)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B, D amended effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective December 12, 2022 (49:25 Md. R. 1049)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B, D amended effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07C repealed effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective August 4, 2025 (52:15 Md. R. 811)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective August 4, 2025 (52:15 Md. R. 811)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10D repealed effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 amended effective January 5, 2015 (41:26 Md. R. 1569)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12H adopted effective June 13, 2011 (38:12 Md. R. 704)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12I amended effective August 4, 2025 (52:15 Md. R. 811)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12J amended effective August 27, 2018 (45:17 Md. R. 802)</annotation> </annotations> </chapter> <chapter num="07" heading="Educational Equivalency Requirements"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <paragraph num="A."> <text>This chapter applies to an applicant who seeks eligibility to sit for the applicable examination for licensure as a professional land surveyor, as described in Business Occupations and Professions Article, Title 15, Annotated Code of Maryland, and this chapter.</text> </paragraph> <paragraph num="B."> <text>Pursuant to Business Occupations and Professions Article, §15-305, Annotated Code of Maryland, an applicant for the appropriate licensing examination as a professional land surveyor shall meet certain experiential requirements. The experience that an applicant is to demonstrate pursuant to the above statutory authority must be acceptable to the Board for Professional Land Surveyors.</text> </paragraph> <paragraph num="C."> <text>In order to assure a minimum acceptable level of competence of an applicant immediately after the passage of the applicable examination, the Board considers that it is in the best interests of Maryland consumers that the applicant has a diversified prelicensing experience in different aspects of land surveying.</text> </paragraph> <paragraph num="D."> <text>To further the Board's goal in protecting the interests of Maryland consumers and also in order to guide an applicant in obtaining an appropriate type and amount of pre-licensing experience, the Board is promulgating these regulations to set forth the criteria for the type and amount of work experience that may be acceptable to the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Guidelines for Acceptable Work Experience."> <paragraph num="A."> <text>Applicants claiming the respective number of years of land surveying experience required in Business Occupations and Professions Article, §15-305(b), (c), (d), (e), or (f), Annotated Code of Maryland, shall demonstrate that the experience was gained by performing tasks in a variety of diverse surveying categories, including, but not limited to, the following:</text> <paragraph num="(1)"> <text>Control surveys;</text> </paragraph> <paragraph num="(2)"> <text>Boundary surveys;</text> </paragraph> <paragraph num="(3)"> <text>Topographic surveys;</text> </paragraph> <paragraph num="(4)"> <text>Subdivision planning;</text> </paragraph> <paragraph num="(5)"> <text>Road and street grade design, sediment and erosion control design, storm drainage systems design, and storm water management design, all as more particularly described in Business Occupations and Professions Article, §15-101(k)(1)(vi), Annotated Code of Maryland, and commonly known as “minor engineering experience”;</text> </paragraph> <paragraph num="(6)"> <text>Construction surveys; and</text> </paragraph> <paragraph num="(7)"> <text>Location drawings.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The acceptable work experience described in §A(5) of this regulation may be acquired by a combination of education and experience approved by the Board, as more particularly described in Regulations .03—.05 of this chapter.</text> </paragraph> <paragraph num="C."> <text>The Board has the final authority with regard to both the quality and quantity of acceptable work experience.</text> </paragraph> <paragraph num="D."> <text>An applicant for the principles and practice examination under Business Occupation and Professions Article, §15-305, Annotated Code of Maryland shall have 18 months of work experience generally described in Business Occupations and Professions Article, §15-101(k)(2)(vi), Annotated Code of Maryland, and commonly known as “minor engineering experience”.</text> </paragraph> <paragraph num="E."> <text>An applicant may be able to meet an 18-month experiential requirement set forth in this regulation by the following methods:</text> <paragraph num="(1)"> <text>Acceptable work experience;</text> </paragraph> <paragraph num="(2)"> <text>Acceptable education; or</text> </paragraph> <paragraph num="(3)"> <text>A combination of acceptable work experience and acceptable education.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Educational Equivalency."> <paragraph num="A."> <text>An applicant may claim 3 semester credit hours as an equivalent of 6 months of minor engineering experience after the completion, to the Board's satisfaction, of the courses described in this chapter.</text> </paragraph> <paragraph num="B."> <text>In order to be eligible for the Board's approval, the courses of instruction shall be in the following areas:</text> <paragraph num="(1)"> <text>Hydraulics;</text> </paragraph> <paragraph num="(2)"> <text>Surface water hydrology;</text> </paragraph> <paragraph num="(3)"> <text>Route surveying or road design;</text> </paragraph> <paragraph num="(4)"> <text>Storm drainage system design;</text> </paragraph> <paragraph num="(5)"> <text>Storm water management design;</text> </paragraph> <paragraph num="(6)"> <text>Sediment and erosion control design; or</text> </paragraph> <paragraph num="(7)"> <text>Infiltration.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Board may choose to approve courses of instruction in areas other than those listed in §B of this regulation.</text> </paragraph> <paragraph num="D."> <text>The courses described in §§B and C of this regulation are collectively referred to as eligible courses.</text> </paragraph> <paragraph num="E."> <text>The Board may approve the eligible course if the following requirements are met:</text> <paragraph num="(1)"> <text>The course is offered by a university, community college, professional surveying organization, or other qualified provider acceptable to the Board; or</text> </paragraph> <paragraph num="(2)"> <text>The Board approves the individual course syllabus and description submitted by either an applicant or directly by the provider before the applicant takes the eligible course.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The Board may, at its discretion, approve courses successfully completed by an applicant before the effective date of this chapter if the courses meet the criteria and standards set forth in this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Determination of Value."> <paragraph num="A."> <text>An applicant shall furnish, at the time of filing the appropriate examination application, evidence of having completed, to the Board's satisfaction, the eligible course or courses, as described in Regulation .03 of this chapter.</text> </paragraph> <paragraph num="B."> <text>A semester credit hour is defined as not less than 15 standard 50-minute classroom hours of instruction.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Board's Discretion."> <text>The Board has the final authority with regard to the approval of the type and value of courses and any other matters related to the educational equivalency requirements described in this chapter.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§15-208 and 15-305, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 3, 2000 (27:6 Md. R. 641)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective October 9, 2017 (44:20 Md. R. 945)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective April 6, 2020 (47:7 Md. R. 384)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D, E adopted effective January 6, 2025 (51:26 Md. R. 1186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective January 6, 2025 (51:26 Md. R. 1186)</annotation> </annotations> </chapter> <chapter num="08" heading="Continuing Professional Competency Requirements"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The public interest requires that professional land surveyors and property line surveyors provide competent services in all areas of practice. The State legislature has determined that it is in the best interest of the public to require professional land surveyors and property line surveyors to comply with the continuing professional competency requirements as a prerequisite to the renewal of an applicable license.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Activity” means attending and completing qualifying courses, seminars, workshops, technical presentations, and other qualifying programs that meet the criteria and objectives of continuing professional competency.</text> </paragraph> <paragraph num="(2)"> <text>“Authorized provider” means an organization or individual reviewed and approved by the CPC Standards Committee.</text> </paragraph> <paragraph num="(3)"> <text>“Board” means the State Board for Professional Land Surveyors.</text> </paragraph> <paragraph num="(4)"> <text>“College credit hour” means the credit for a course described in §B(6) of this regulation, offered by a university, college, or community college.</text> </paragraph> <paragraph num="(5)"> <text>“Continuing professional competency (CPC) unit” means one contact hour of instruction, presentation, or other activity.</text> </paragraph> <paragraph num="(6)"> <text>“Course” means a qualifying offering with a clear purpose and objective to maintain, improve, or expand the skills and knowledge of licensee's field of practice.</text> </paragraph> <paragraph num="(7)"> <text>“CPC Standards Committee” means a committee as established in Regulation .09 of this chapter.</text> </paragraph> <paragraph num="(8)"> <text>“Mentor” means a professional land surveyor or a property line surveyor who assists an individual in the process of qualifying for and obtaining licensure as a professional land surveyor.</text> </paragraph> <paragraph num="(9)"> <text>“Qualifying activity” means an activity that meets the criteria set forth in Regulation .04 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements."> <paragraph num="A."> <text>A licensee shall complete, as a condition of a license renewal in each individual 2-year renewal cycle, a minimum of 24 CPC units earned from the participation in and upon completion of qualifying activities described in Regulation .04.</text> </paragraph> <paragraph num="B."> <text>A minimum of 4 CPC units in every individual 2-year renewal cycle shall be earned from the participation in and upon completion of qualifying activities with content areas related to the following:</text> <paragraph num="(1)"> <text>Minimum Standards of Practice;</text> </paragraph> <paragraph num="(2)"> <text>Legal cases, commentaries, and other related materials as they apply to the law of land boundaries in Maryland;</text> </paragraph> <paragraph num="(3)"> <text>The awareness of ethical concerns and conflicts;</text> </paragraph> <paragraph num="(4)"> <text>An enhanced familiarity with the codes of conduct;</text> </paragraph> <paragraph num="(5)"> <text>An understanding of standards of practice or care; or</text> </paragraph> <paragraph num="(6)"> <text>Similar topics aimed at maintaining, improving, or expanding the skills set and knowledge necessary to practice land surveying services or property line surveying services in the most ethical and responsible manner.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A licensee may carry over no more than 12 CPC units earned in excess of 24 CPC units, provided that the CPC units intended for the carryover have been earned on or before December 31, 2018. No carryover shall be permitted for any excess CPC units earned after January 1, 2019.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Qualifying Activities."> <text>In order for an activity to be considered a qualifying activity, the activity must meet the following criteria:</text> <paragraph num="A."> <text>Maintain and enhance professional competency of professional land surveyors or property line surveyors; and</text> </paragraph> <paragraph num="B."> <text>Foster improvement, advancement, and extension of professional skills and knowledge related to the practice of land surveying or property line surveying.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Determination of Qualifying Activities by the Board."> <text>The determination of whether the activity constitutes a qualifying activity is within the discretion of the Board.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Nonqualifying Activities."> <text>Activities that do not meet the criteria set forth in Regulation .04 of this chapter shall be considered to be non-qualifying activities, including, but not limited to, the following:</text> <paragraph num="A."> <text>Regular employment as professional land surveyor or property line surveyor, or expert witness;</text> </paragraph> <paragraph num="B."> <text>Repetitive attendance of the same programs without substantial modifications or updates;</text> </paragraph> <paragraph num="C."> <text>Time management techniques and strategies;</text> </paragraph> <paragraph num="D."> <text>Attending committee meetings or general business meetings of any organization;</text> </paragraph> <paragraph num="E."> <text>Other activities that, in the Board’s opinion, are not directly related to the practice of land surveying or property line surveying.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Sources of Credit and Determination of Units."> <paragraph num="A."> <text>A licensee may earn the CPC units by any of the following methods:</text> <paragraph num="(1)"> <text>Attending and successfully completing qualifying activities in which the teaching methodology consists primarily of systematic presentation of subjects related to the practice of land or property line surveying, as such activities may from time to time be preapproved by the Board;</text> </paragraph> <paragraph num="(2)"> <text>Subject to limitations set forth in this Regulation, teaching of, lecturing or instructing on the subjects related to professional land or property line surveying in the environment described in §A(1) of this regulation;</text> </paragraph> <paragraph num="(3)"> <text>Serving as a mentor within the framework preapproved by the Board to an individual who is pursuing a path to licensure as a professional land surveyor;</text> </paragraph> <paragraph num="(4)"> <text>Developing examination content questions accepted for use on both national and State specific examinations; or</text> </paragraph> <paragraph num="(5)"> <text>Other appropriate methods that may from time to time be approved by the Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A licensee may earn the applicable number of CPC units in accordance with the following conversion schedule:</text> <paragraph num="(1)"> <text>1 college credit hour — 5 CPC units;</text> </paragraph> <paragraph num="(2)"> <text>1 contact hour of professional development work, or professional or technical presentations made at meetings, conventions, or conferences — 1 CPC unit;</text> </paragraph> <paragraph num="(3)"> <text>Board approved mentoring activities — 3 CPC units;</text> </paragraph> <paragraph num="(4)"> <text>Developing of examination content questions — 4 CPC units; and</text> </paragraph> <paragraph num="(5)"> <text>Subject to exclusions set forth in this Regulation, teaching of, lecturing or instructing on land surveying and related subjects, subject to the following limitations:</text> <paragraph num="(a)"> <text>For the first time presentation, a presenter may claim credit for the activity that is equivalent to two times the number of CPC units awarded by the Board for the activity; and</text> </paragraph> <paragraph num="(b)"> <text>Unless the presentation had been substantially modified and updated for the subsequent presentations or is being presented to a different group of recipients, a presenter may claim only the same number of CPC credits as awarded by the Board to the recipients of the qualifying activity.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Determination of Units’ Value by the Board."> <text>The final determination with regard to the value, sources, and number of credits is within the discretion of the Board.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Approval of Providers."> <paragraph num="A."> <text>Responsibility for Providers’ Approval.</text> <paragraph num="(1)"> <text>The Board shall select and establish a committee to approve providers of the CPC units (the “CPC Standards Committee”).</text> </paragraph> <paragraph num="(2)"> <text>The CPC Standards Committee shall consist of the following individuals:</text> <paragraph num="(a)"> <text>A professional land or property line surveyor serving on the Board; and</text> </paragraph> <paragraph num="(b)"> <text>A consumer member serving on the Board.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>In addition to the individuals referred to in §A(2) of this regulation, the CPC Standards Committee may also include any or all of the following individuals:</text> <paragraph num="(a)"> <text>A professional land surveyor;</text> </paragraph> <paragraph num="(b)"> <text>A property line surveyor; or</text> </paragraph> <paragraph num="(c)"> <text>An educator from a higher education institution or a community college familiar with the land surveying or property line surveying curriculum.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The Board shall assign the responsibility of reviewing and approving the providers to the CPC Standards Committee. To the extent feasible and necessary, the CPC Standards Committee shall establish guidelines and procedures for approval of providers in accordance with the objectives stated in this chapter.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Providers' Eligibility.</text> <paragraph num="(1)"> <text>The following are considered to be preapproved providers without any further action by the Committee:</text> <paragraph num="(a)"> <text>National, regional, or State accredited academic institutions;</text> </paragraph> <paragraph num="(b)"> <text>National, State, or regional land surveying organizations; and</text> </paragraph> <paragraph num="(c)"> <text>Other entities that may from time to time become preapproved by the Board.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The individuals or entities, including, but not limited to, professional firms conducting in-house presentations, may be approved by the Board to become approved providers upon application and approval by the CPC Standards Committee.</text> </paragraph> <paragraph num="(3)"> <text>During the application process, the Committee will determine the suitability of the provider to serve as an approved provider.</text> </paragraph> <paragraph num="(4)"> <text>The provider shall submit general information that will enable the CPC Standards Committee to evaluate the provider’s qualifications. At a minimum, the CPC Standards Committee requires the following information to be submitted with each application for approval:</text> <paragraph num="(a)"> <text>The sample course outline detailing the content of activity to be offered;</text> </paragraph> <paragraph num="(b)"> <text>The number of CPC units to be awarded for each course; and</text> </paragraph> <paragraph num="(c)"> <text>The identity and qualifications of the course instructors.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>In order to be eligible to become the approved provider, the provider must offer the activity that meets the criteria for a qualifying activity set forth in Regulation .04.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Review and Audit of Providers. The Board may require the approved provider to document the</text> </paragraph> <paragraph num="D."> <text>Suspension and Revocation.</text> <paragraph num="(1)"> <text>The CPC Standards Committee, with the Board’s concurrence, may suspend or revoke approval of a provider if, in the judgment of the Board, the intent of Business Occupations and Professions Article, §15-314(f), Annotated Code of Maryland, is no longer served.</text> </paragraph> <paragraph num="(2)"> <text>An individual or organization whose provider’s privilege has been suspended or revoked by the CPC Standards Committee may appeal the denial to the Board for a hearing within 30 days after the CPC Standards Committee notifies the individual or organization of the denial.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Roster of approved providers. The Board shall maintain and make available to licensees, as often as it considers appropriate, a roster of approved providers.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Record Keeping."> <paragraph num="A."> <text>Responsibility to Maintain Records.</text> <paragraph num="(1)"> <text>The responsibility of maintaining records to be used to support the continuing professional competency credit claim is the responsibility of each licensee.</text> </paragraph> <paragraph num="(2)"> <text>A licensee shall maintain the records for a period of at least 4 years from the date of completion of the qualifying activity.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Documentation referred to in §A(2) of this regulation, includes, but is not limited to, the following:</text> <paragraph num="(1)"> <text>Certificates of participation;</text> </paragraph> <paragraph num="(2)"> <text>Transcripts, if appropriate;</text> </paragraph> <paragraph num="(3)"> <text>Reprints of publications;</text> </paragraph> <paragraph num="(4)"> <text>Proof of presentations;</text> </paragraph> <paragraph num="(5)"> <text>Title and description of the activity;</text> </paragraph> <paragraph num="(6)"> <text>Dates attended;</text> </paragraph> <paragraph num="(7)"> <text>Presenter's name; or</text> </paragraph> <paragraph num="(8)"> <text>Any other appropriate information.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Upon the Board’s request, approved providers shall electronically transmit to the Board records of attendance, completion of a qualifying activity, and any other pertinent information requested by the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Reporting Requirements for License Renewal."> <paragraph num="A."> <text>A licensee shall attest to the satisfactory completion of the CPC requirements prior to the licensee's individual license renewal for the following 2-year cycle. The licensee shall provide the attestation in connection with the renewal application and shall pay appropriate renewal fees.</text> </paragraph> <paragraph num="B."> <text>The Board at its discretion may audit randomly selected licensees to ascertain compliance with CPC requirements.</text> </paragraph> <paragraph num="C."> <text>Licensees who are audited shall provide any additional documentation required by the Board to complete the audit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Extenuating Circumstances/Exceptions."> <paragraph num="A."> <text>Exemptions. Notwithstanding other requirements set forth in this chapter, a licensee who is granted an initial license may renew a license for the next full term without complying with the CPC requirements if:</text> <paragraph num="(1)"> <text>The licensee has been granted an initial license and is renewing a license for the next full term; and</text> </paragraph> <paragraph num="(2)"> <text>The licensee qualifies under the criteria set forth in Business Regulation Article, Title 2.5, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Compliance Exception Request.</text> <paragraph num="(1)"> <text>If a licensee is unable to comply with all or part of CPC requirements due to physical disability, illness, or other extenuating circumstances, the licensee may request the Board grant a one-time exception from compliance (Compliance Exception Request), provided that the Compliance Exception Request is filed with the Board at least 60 days prior to the licensee’s license expiration date.</text> </paragraph> <paragraph num="(2)"> <text>If a Compliance Exception Request is based on physical disability or illness, the licensee must provide the Board with written documentation acceptable to the Board supporting the basis for the request.</text> </paragraph> <paragraph num="(3)"> <text>A Compliance Exception Request must be accompanied by a detailed proposal acceptable to the Board indicating the licensee’s intended plan of compliance with CPC requirements within no later than 6 months after the license expiration date. Failure to provide the acceptable plan of compliance within the time period specified in this regulation may result in the Board’s administrative dismissal of the Compliance Exception Request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Failure to Meet the CPC Requirements."> <text>In the event a licensee fails to comply with the CPC requirements set forth in this chapter, the Board, subject to the hearing provisions of Business Occupations and Professions Article, §15-319, Annotated Code of Maryland, may take any and all available disciplinary actions under Business Occupations and Professions Article, §15–317, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".14" heading="Reinstatement of License."> <text>A licensee who wishes to reinstate a license shall fulfill past due CPC requirements for the previous CPC reporting periods up to 48 CPC units and pay all applicable fees.</text> </regulation> <regulation prefix="Regulation" num=".15" heading="Reactivation of Retired Status License."> <text>An individual who elects to receive a retired status license shall be exempt from the compliance with the CPC requirements. In the event such individual elects to have the license reactivated, the individual shall fulfill past due CPC requirements up to 48 CPC units and pay all applicable fees.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="Dual Licensees."> <text>A licensee who maintains current licenses in the State of Maryland both as a professional land or property line surveyor and as a professional engineer shall comply with the CPC requirements set forth in COMAR 09.23.06 applicable to licensed professional engineers, except that a minimum of 1/3 of the units earned shall be gained from the qualifying programs on a land surveying subject as set forth in Regulations .03 and .04 of this chapter.</text> </regulation> <regulation prefix="Regulation" num=".17" heading="CPC Units Earned in Other States."> <text>The Board will accept CPC units earned for activities completed in other jurisdictions, provided that:</text> <paragraph num="A."> <text>The activities and programs are consistent and comply with the requisite criteria set forth in this chapter;</text> </paragraph> <paragraph num="B."> <text>Licensee provides evidence of attending and completing a qualifying activity in another state, together with applicable number of CPC units earned; and</text> </paragraph> <paragraph num="C."> <text>Licensee otherwise fulfills all other applicable license renewal requirements in the State of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§15-314(f), 15-315, and 15-316, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 7, 2002 (28:26 Md. R. 2272)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B, C amended effective February 9, 2009 (36:3 Md. R. 208)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective April 2, 2012 (39:6 Md. R. 408)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10C adopted effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 amended effective August 4, 2014 (41:15 Md. R. 890)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12A amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 adopted effective March 4, 2013 (40:4 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 adopted effective March 4, 2013 (40:4 Md. R. 345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 amended effective May 8, 2017 (44:9 Md. R. 437)</annotation> </annotations> </chapter> </subtitle> <subtitle num="14" heading="State Athletic Commission"> <chapter num="01" heading="General Provisions"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In these regulations, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Commission” means the State Athletic Commission of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>Contest.</text> <paragraph num="(a)"> <text>“Contest” means any boxing, kickboxing, or wrestling:</text> <paragraph num="(i)"> <text>Competition;</text> </paragraph> <paragraph num="(ii)"> <text>Exhibition;</text> </paragraph> <paragraph num="(iii)"> <text>Match;</text> </paragraph> <paragraph num="(iv)"> <text>Performance; or</text> </paragraph> <paragraph num="(v)"> <text>Show.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Contest” includes a mixed martial arts:</text> <paragraph num="(i)"> <text>Competition;</text> </paragraph> <paragraph num="(ii)"> <text>Match;</text> </paragraph> <paragraph num="(iii)"> <text>Performance; or</text> </paragraph> <paragraph num="(iv)"> <text>Show.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>“Contest” does not include a mixed martial arts exhibition.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Contestant” means a boxer, kickboxer, or mixed martial arts contestant who participates against an opponent in a contest.</text> </paragraph> <paragraph num="(4)"> <text>“Kickboxing” means a contest or exhibition in which blows are delivered with the hand or leg, including the foot.</text> </paragraph> <paragraph num="(5)"> <text>Manager.</text> <paragraph num="(a)"> <text>“Manager” means a person who, under contract, agreement, or other arrangement, undertakes to control or administer, directly or indirectly, a contest-related matter on behalf of a contestant.</text> </paragraph> <paragraph num="(b)"> <text>“Manager” includes, but is not limited to:</text> <paragraph num="(i)"> <text>A booking agent; and</text> </paragraph> <paragraph num="(ii)"> <text>An advisor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Mixed martial arts” means a competition in which contestants use interdisciplinary forms of fighting, including various forms of martial arts, involving:</text> <paragraph num="(a)"> <text>Striking with the hands, feet, knees, or elbows; and</text> </paragraph> <paragraph num="(b)"> <text>Grappling by take-downs, throws, submissions, or choke holds.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>“Mixed Martial Arts Exhibition” means a mixed martial arts event in which:</text> <paragraph num="(a)"> <text>Contact to the body is permitted in only a restrained manner;</text> </paragraph> <paragraph num="(b)"> <text>Contact to the head is not permitted; and</text> </paragraph> <paragraph num="(c)"> <text>No contact is permitted that may result, or is intended to result, in physical harm to an opponent.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Official record” means the cumulative results of those boxing, kickboxing, or mixed martial arts contests, sanctioned by a regulatory agency, in which a contestant has participated.</text> </paragraph> <paragraph num="(9)"> <text>“Physician” means an individual currently licensed to practice medicine in this State or any state where the individual resides.</text> </paragraph> <paragraph num="(10)"> <text>“Promoter” means any individual, partnership, corporation, club, association, or other organization that gives, holds, or otherwise conducts a contest within the State.</text> </paragraph> <paragraph num="(11)"> <text>“Regulatory agency” means a commission, board, or other entity of a state, commonwealth, territory, or country, created by law or executive order, which regulates boxing, kickboxing, wrestling, or mixed martial arts.</text> </paragraph> <paragraph num="(12)"> <text>“Second” means an individual who assists a boxer, kickboxer, mixed martial arts contestant, or wrestler during a contest.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Meetings."> <paragraph num="A."> <text>The Commission shall meet regularly on a date and time as published on the Commission’s website, pursuant to General Provisions Article, §3-302(c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>In an emergency, the Commission may also meet specially at any time upon the request of the Chairman.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Affiliations."> <paragraph num="A."> <text>The Commission may affiliate with or obtain membership in national or international boxing or wrestling organizations.</text> </paragraph> <paragraph num="B."> <text>The Commission may adopt any of the regulations of the affiliate organizations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Charitable Events."> <paragraph num="A."> <text>A promoter holding a contest to raise funds for a charitable purpose shall file, before the contest, the following information:</text> <paragraph num="(1)"> <text>The name of the charity the contest benefits;</text> </paragraph> <paragraph num="(2)"> <text>The amount or percentage of the gross receipts from the contest to be paid to the charity; and</text> </paragraph> <paragraph num="(3)"> <text>A certificate of registration from the Secretary of State.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Commission shall advise the Secretary of State that a charity contest is scheduled and the names of the principal parties.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Chairman."> <paragraph num="A."> <text>At its last meeting preceding each fiscal year, the Commission shall elect a member to be chairman.</text> </paragraph> <paragraph num="B."> <text>The term of a chairman shall be 1 year.</text> </paragraph> <paragraph num="C."> <text>A member may serve as chairman for an unlimited number of consecutive terms.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§4-101, 4-205, and 4-303, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective June 10, 1991 (18:11 Md. R. 1186); July 19, 1993 (20:14 Md. R. 1168); February 28, 1994 (21:4 Md. R. 275); December 19, 2005 (32:25 Md. R. 1941); July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective May 22, 2017 (44:10 Md. R. 470)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective November 25, 2002 (29:23 Md. R. 1810)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective January 6, 2005 (31:26 Md. R. 1861)</annotation> </annotations> </chapter> <chapter num="02" heading="Applications and Licensing"> <regulation prefix="Regulation" num=".01" heading="License Required."> <paragraph num="A."> <text>A person or organization required to be licensed by the Commission under Business Regulation Article, Title 4, Subtitle 3, Annotated Code of Maryland, shall file an application on forms approved by the Commission.</text> </paragraph> <paragraph num="B."> <text>Persons requiring a license include:</text> <paragraph num="(1)"> <text>Boxer;</text> </paragraph> <paragraph num="(2)"> <text>Manager;</text> </paragraph> <paragraph num="(3)"> <text>Matchmaker;</text> </paragraph> <paragraph num="(4)"> <text>Promoter;</text> </paragraph> <paragraph num="(5)"> <text>Second;</text> </paragraph> <paragraph num="(6)"> <text>Wrestler;</text> </paragraph> <paragraph num="(7)"> <text>Referee;</text> </paragraph> <paragraph num="(8)"> <text>Kickboxer;</text> </paragraph> <paragraph num="(9)"> <text>Judge; and</text> </paragraph> <paragraph num="(10)"> <text>Mixed martial arts contestant.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Requirements stated in this regulation are in addition to the requirements of Business Regulation Article, §§4-301—4-322, Annotated Code of Maryland.</text> </paragraph> <paragraph num="D."> <text>The licensing period for referees and judges is from July 1 to June 30 of each year.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Contestants."> <paragraph num="A."> <text>An applicant for a license as a contestant shall be:</text> <paragraph num="(1)"> <text>At least 18 years old;</text> </paragraph> <paragraph num="(2)"> <text>Not more than 36 years old unless special permission is granted by the Commission upon a review of the applicant's experience and physical fitness.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An applicant shall submit medical reports required by COMAR 09.14.04.</text> </paragraph> <paragraph num="C."> <text>An applicant shall have a licensed manager, licensed second, or qualified licensee certify to the Commission that the applicant is physically competent as a contestant and possesses the skill of a trained contestant in the sport for which the applicant is seeking a license, including:</text> <paragraph num="(1)"> <text>Competence in the elements of offense and defense;</text> </paragraph> <paragraph num="(2)"> <text>Clean hitting;</text> </paragraph> <paragraph num="(3)"> <text>Ring generalship; and</text> </paragraph> <paragraph num="(4)"> <text>Physical stamina to participate in:</text> <paragraph num="(a)"> <text>At least four 3-minute rounds of boxing or kickboxing, if the application is for a boxer or kickboxer license; or</text> </paragraph> <paragraph num="(b)"> <text>At least three 5-minute rounds of mixed martial arts, if the application is for a mixed martial arts contestant license.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Proof of amateur experience will be required for a contestant’s first professional bout verified through USA Boxing.</text> </paragraph> <paragraph num="E."> <text>An applicant shall submit two recent passport-size color photographs with an application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Managers."> <paragraph num="A."> <text>An applicant shall provide the Commission with a complete list of all Maryland contestants under the applicant's control.</text> </paragraph> <paragraph num="B."> <text>A licensed manager may act as second without obtaining a second's license.</text> </paragraph> <paragraph num="C."> <text>A licensed manager is responsible for the conduct of the contestants under the manager's control.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03-1" heading="Second."> <text>An individual younger than 18 years old may not be licensed as a second.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Matchmaker."> <paragraph num="A."> <text>An individual, partnership, corporation, or other organization arranging the match-up for a contest shall be licensed as a matchmaker.</text> </paragraph> <paragraph num="B."> <text>A licensed matchmaker may not:</text> <paragraph num="(1)"> <text>Be a licensed manager;</text> </paragraph> <paragraph num="(2)"> <text>Directly or indirectly manage a contestant; or</text> </paragraph> <paragraph num="(3)"> <text>Have a financial interest in a contestant who is participating in a contest that is part of the boxing, kickboxing, or mixed martial arts show in which the matchmaker is acting.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Promoters."> <paragraph num="A."> <text>An applicant shall submit with an application a financial statement that has been notarized or certified by a certified public accountant and contains the following:</text> <paragraph num="(1)"> <text>Assets separately itemized;</text> </paragraph> <paragraph num="(2)"> <text>Liabilities separately itemized; and</text> </paragraph> <paragraph num="(3)"> <text>Other financial information that may be requested by the Commission.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In addition to the requirements of §A, of this regulation, a corporate applicant shall submit:</text> <paragraph num="(1)"> <text>A list of its articles of incorporation;</text> </paragraph> <paragraph num="(2)"> <text>A list of officers; and</text> </paragraph> <paragraph num="(3)"> <text>The name of the chief executive official designated to be responsible for all matters pertaining to the corporation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Upon request of the Commission, an applicant shall provide additional evidence to demonstrate that the applicant has evidence concerning the financial ability to pay the taxes, purses, arena rental, personnel, advertising, and other expenses related to the contest.</text> </paragraph> <paragraph num="D."> <text>An applicant for an original license shall appear in person at the offices of the Commission.</text> </paragraph> <paragraph num="E."> <text>A licensed promoter may not delegate its duties and responsibilities to another party.</text> </paragraph> <paragraph num="F."> <text>A surety bond, as required by Business Regulation Article, §4-306, Annotated Code of Maryland, to be executed by a promoter, shall be issued by a company which is an authorized insurer in this State and which is recognized by a national rating agency as having a rating of B or higher.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Wrestlers."> <paragraph num="A."> <text>An individual under 18 years old may not be licensed.</text> </paragraph> <paragraph num="B."> <text>An applicant who does not have professional or amateur wrestling experience, upon request, shall demonstrate to the Commission or its authorized representative that the applicant is properly trained in the art of wrestling.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06-1" heading="Referees."> <paragraph num="A."> <text>Except as otherwise provided in this regulation, an applicant for an original license to act as a referee in a contest shall:</text> <paragraph num="(1)"> <text>Be at least 18 years old;</text> </paragraph> <paragraph num="(2)"> <text>Complete a course of training, approved by the Commission, which encompasses the elements of officiating in the sport in which the applicant seeks to officiate; and</text> </paragraph> <paragraph num="(3)"> <text>Receive certification by the Association of Boxing Commissions (ABC), the World Boxing Council (WBC),the World Boxing Association (WBA), the World Boxing Organization (WBO), or the International Boxing Federation (IBF).</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Commission may require an applicant for license renewal to be recertified under the requirements of §A of this regulation.</text> </paragraph> <paragraph num="C."> <text>The Commission may waive the requirements of §A of this regulation for a nonresident applicant in a contest if the applicant submits a certification from another regulatory agency verifying that the applicant is qualified to act as a referee in the sport in which the applicant seeks to officiate.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06-2" heading="Judges."> <paragraph num="A."> <text>Except as otherwise provided in this regulation, an applicant for an original license to act as a judge in a boxing, kickboxing, or mixed martial arts contest shall:</text> <paragraph num="(1)"> <text>Be at least 18 years old;</text> </paragraph> <paragraph num="(2)"> <text>Complete a course of training, approved by the Commission, which encompasses the elements of officiating in the sport in which the applicant seeks to officiate; and</text> </paragraph> <paragraph num="(3)"> <text>Receive certification by the Association of Boxing Commissions (ABC), the World Boxing Council (WBC), the World Boxing Association (WBA), the World Boxing Organization (WBO), or the International Boxing Federation (IBF).</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Commission may require an applicant for license renewal to be recertified under the requirements of §A of this regulation.</text> </paragraph> <paragraph num="C."> <text>The Commission may waive the requirements of §A of this regulation for a nonresident applicant in a boxing, kickboxing, or mixed martial arts contest if the applicant submits a certification from another regulatory agency verifying that the applicant is qualified to act as a judge in the sport in which the applicant seeks to officiate.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="License Denial, Suspension, Fines, and Revocation."> <paragraph num="A."> <text>The Commission may deny a license to any applicant or revoke a license if the applicant or licensee:</text> <paragraph num="(1)"> <text>Has been convicted of a felony or a crime involving moral turpitude;</text> </paragraph> <paragraph num="(2)"> <text>Has violated a regulation or order of the Commission;</text> </paragraph> <paragraph num="(3)"> <text>Has violated a directive of the Commission or its representatives;</text> </paragraph> <paragraph num="(4)"> <text>Has failed to demonstrate to the satisfaction of the Commission the physical competence to participate as a contestant;</text> </paragraph> <paragraph num="(5)"> <text>Has failed to comply with any safety and health standards in COMAR 09.14.04;</text> </paragraph> <paragraph num="(6)"> <text>Fraudulently or deceptively obtains or attempts to obtain a license for the applicant or for another;</text> </paragraph> <paragraph num="(7)"> <text>Fraudulently or deceptively uses a license; or</text> </paragraph> <paragraph num="(8)"> <text>Has failed to properly supervise the activities of an official or employee of the licensee.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In addition to or instead of a period of suspension, the Commission may impose a monetary fine not to exceed $2,000 per violation.</text> </paragraph> <paragraph num="C."> <text>If a license application is denied, an applicant may not reapply for a license for at least 1 year from the date of the denial.</text> </paragraph> <paragraph num="D."> <text>If a license is revoked, the Commission may provide for a minimum period of time before receiving a new application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Commission a written communication requesting a response, the applicant or licensee shall respond within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Commission shall send a written communication by first-class mail to the last address furnished to the Commission by an applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Commission in writing if there has been a change in applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Commission to be a violation of Business Regulation Article, §4-310(a)(1)(iii) or (iv), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§4-205, 4-301, and 4-303, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective June 10, 1991 (18:11 Md. R. 1186)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective March 29, 1993 (20:6 Md. R. 580); July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D adopted effective April 15, 2024 (51:7 Md. R. 332)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective July 6, 2009 (36:13 Md. R. 898); April 15, 2024 (51:7 Md. R. 332)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective March 29, 1993 (20:6 Md. R. 580)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A, C amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03-1 adopted effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05F adopted effective December 19, 2005 (32:25 Md. R. 1941)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06-1 adopted effective February 28, 1994 (21:4 Md. R. 275)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06-1 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06-1A amended effective April 15, 2024 (51:7 Md. R. 332)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06-2 adopted effective February 28, 1994 (21:4 Md. R. 275)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06-2 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06-2A amended effective April 15, 2024 (51:7 Md. R. 332)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 adopted effective April 22, 2019 (46:8 Md. R. 401)</annotation> </annotations> </chapter> <chapter num="03" heading="Contracts and Sanctions"> <regulation prefix="Regulation" num=".01" heading="Contract Between Manager and Contestant."> <paragraph num="A."> <text>Except as otherwise indicated, a contract between a contestant and a manager shall be:</text> <paragraph num="(1)"> <text>Notarized; and</text> </paragraph> <paragraph num="(2)"> <text>Filed with the Commission 5 business days before the contestant first participates in a contest in this State.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Provisions of Contract.</text> <paragraph num="(1)"> <text>An executed original contract between a manager and a contestant shall be filed with the Commission.</text> </paragraph> <paragraph num="(2)"> <text>A contract shall include the following provisions:</text> <paragraph num="(a)"> <text>That there is no financial interest in the earnings of the contestant by any person other than the manager or managers of the contestant;</text> </paragraph> <paragraph num="(b)"> <text>That a manager or managers will receive not more than 33-1/3 percent of the gross earnings of the contestant;</text> </paragraph> <paragraph num="(c)"> <text>That the contract has a duration of not more than 5 years;</text> </paragraph> <paragraph num="(d)"> <text>That the contract may not be extended beyond its initial term; and</text> </paragraph> <paragraph num="(e)"> <text>That the contestant shall comply with all laws, regulations, and directives of the Commission.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>An assignment of interest in a contract filed with the Commission may not be valid unless it is approved by the Commission.</text> </paragraph> <paragraph num="D."> <text>A manager may not sign a promoter-contestant contract on behalf of a contestant which obligates the contestant to compete in an event scheduled to take place after the expiration of the contract between the manager and contestant.</text> </paragraph> <paragraph num="E."> <text>A contestant may not sign a contract with any other manager during the term of an existing contract the contestant may have with a manager.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Contract Between Promoter and Contestant."> <paragraph num="A."> <text>A contract between a promoter and a contestant shall include the following provisions:</text> <paragraph num="(1)"> <text>The amount of guarantee or percentage promised by the promoter to the contestant;</text> </paragraph> <paragraph num="(2)"> <text>The number and time limit of rounds;</text> </paragraph> <paragraph num="(3)"> <text>The time and location that the contestants are scheduled to appear;</text> </paragraph> <paragraph num="(4)"> <text>Weight specifications of the contestants;</text> </paragraph> <paragraph num="(5)"> <text>A prohibition against the contestant engaging in a contest at least 14 days before the contest stated in the contract;</text> </paragraph> <paragraph num="(6)"> <text>Legal rights and obligations of the contracting parties;</text> </paragraph> <paragraph num="(7)"> <text>A provision stating that:</text> <paragraph num="(a)"> <text>Drug testing is mandatory in boxing, kickboxing, and mixed martial arts contests sanctioned by the State Athletic Commission;</text> </paragraph> <paragraph num="(b)"> <text>Signing the contract is consent to submit to drug testing supervised by the Commission;</text> </paragraph> <paragraph num="(c)"> <text>Refusing to submit to the urine test subjects a contestant to disciplinary action by the Commission; and</text> </paragraph> <paragraph num="(d)"> <text>Testing positive for prohibited drugs:</text> <paragraph num="(i)"> <text>Is cause for a contestant to forfeit the purse set; and</text> </paragraph> <paragraph num="(ii)"> <text>Subjects a contestant to disciplinary action by the Commission; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="(8)"> <text>The contestant agrees to comply with all laws, regulations, and directives of the Commission.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Unless the Commission otherwise approves, contracts for main event contestants shall be filed with the Commission with the request for sanction.</text> </paragraph> <paragraph num="C."> <text>Unless the Commission otherwise approves, contracts for other contestants in a contest shall be submitted to the Commission not later than 5 business days before the date of the contest.</text> </paragraph> <paragraph num="D."> <text>A promoter may not pay a purse specified in the contract until the Commission gives written approval to the promoter.</text> </paragraph> <paragraph num="E."> <text>Unless the Commission otherwise approves, a contestant, or a manager on behalf of a contestant, may not obligate a contestant to participate in any boxing, kickboxing, or mixed martial arts contest within 14 days before or after a date on which the contestant participates or is contracted to participate in another contest.</text> </paragraph> <paragraph num="F."> <text>For the purposes of this regulation, the promoter-contestant contract received first in time by the Commission prevails over any other promoter-contestant contract.</text> </paragraph> <paragraph num="G."> <text>Failure to Appear.</text> <paragraph num="(1)"> <text>Except as provided below, if a contestant absents himself from a contest for which the contestant is contractually obligated to participate, the contestant and the manager of the contestant are subject to disciplinary action.</text> </paragraph> <paragraph num="(2)"> <text>If a contestant is unable to fulfill a contract due to a physical disability, the contestant shall be placed on medical suspension until the Commission receives documentation of the contestant's physical disability signed by a licensed physician. Upon the expiration of the suspension, the contestant shall fulfill the contract against the same opponent or similar opponent within a reasonable amount of time as set by the Commission, unless the contestant obtains a written release from the contract by the promoter.</text> </paragraph> <paragraph num="(3)"> <text>If a contestant presents a valid written excuse for not fulfilling the contract, the contestant shall, when the reasons necessitating the excuse no longer apply, fulfill the contract against the same opponent or a similar opponent within a reasonable period of time.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Commission Sanction Required."> <paragraph num="A."> <text>A contest may not take place unless sanctioned by the Commission.</text> </paragraph> <paragraph num="B."> <text>Promoters shall file a written request for a sanction with the Commission at least 30 days before a boxing, kickboxing, or mixed martial arts contest containing the following information:</text> <paragraph num="(1)"> <text>The names of the main event contestants;</text> </paragraph> <paragraph num="(2)"> <text>The time, date, and location of the contest;</text> </paragraph> <paragraph num="(3)"> <text>A plan for the employment of uniformed security at the contest; and</text> </paragraph> <paragraph num="(4)"> <text>Other information as may be required by the Commission.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Before a contest is sanctioned by the Commission, a promoter may not:</text> <paragraph num="(1)"> <text>Advertise or give notice through any medium that the contest is to take place; or</text> </paragraph> <paragraph num="(2)"> <text>Sell or distribute any tickets to the contest.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Substitution of Contestants.</text> <paragraph num="(1)"> <text>If either of the contestants in the main event contest is unable to appear on the night of the contest, a substitute contestant may not participate unless a new sanction is obtained from the Commission.</text> </paragraph> <paragraph num="(2)"> <text>If a substitution occurs under §D(1), of this regulation, the price of admission printed on tickets shall be refunded upon request to each spectator at the box office in accordance with COMAR 09.14.09.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Each contestant shall be insured through a group insurance policy provided by the Commission as follows:</text> <paragraph num="(1)"> <text>Minimum medical expense coverage of $10,000; and</text> </paragraph> <paragraph num="(2)"> <text>Minimum coverage of $10,000 for death, dismemberment, or loss of sight.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The terms and conditions of the coverage in §E of this regulation shall be governed by the insurance policy between the Commission and its insurance carrier.</text> </paragraph> <paragraph num="G."> <text>Nothing in this regulation shall preclude a promoter from providing coverage in excess of the coverage stated in §E of this regulation.</text> </paragraph> <paragraph num="H."> <text>If the promoter provides insurance coverage, a copy of the policy shall be given to the Commission not later than the final physical and shall list the Commission as an additional insured.</text> </paragraph> <paragraph num="I."> <text>The Commission may cancel a sanction obtained through fraud or misrepresentation.</text> </paragraph> <paragraph num="J."> <text>A contest may be cancelled at the exclusive discretion of the Commission.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §4-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective June 24, 1991 (18:12 Md. R. 1338); July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C, F amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective December 28, 1987 (14:26 Md. R. 2744); June 24, 1991 (18:12 Md. R. 1338); July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> </annotations> </chapter> <chapter num="04" heading="Safety and Health Standards for Contestants"> <regulation prefix="Regulation" num=".01" heading="Medical Examinations."> <paragraph num="A."> <text>A contestant applying for a license or license renewal shall have a comprehensive physical examination by the applicant's personal physician performed within 30 days before the application is submitted to the Commission.</text> </paragraph> <paragraph num="B."> <text>The findings from a physical examination under §A of this regulation shall be reported by the applicant to the Commission at least 5 business days before the date of the contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Ophthalmological Evaluation."> <paragraph num="A."> <text>In this regulation, “ophthalmological evaluation” means an examination by an ophthalmologist to detect abnormalities of a person's vision and includes, but is not limited to:</text> <paragraph num="(1)"> <text>Assessment of the cornea, lens, macula, and retina of the eye;</text> </paragraph> <paragraph num="(2)"> <text>Visual acuity; and</text> </paragraph> <paragraph num="(3)"> <text>Peripheral vision.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A contestant applying for a license or license renewal shall submit to the Commission an ophthalmological evaluation completed by an ophthalmologist licensed by or eligible for certification by the American Board of Ophthalmology, performed within 30 days before the date of filing the application.</text> </paragraph> <paragraph num="C."> <text>The evaluation under §B shall include an official report of the indirect ophthalmoscopy and slit lamp.</text> </paragraph> <paragraph num="D."> <text>The findings from the evaluation under §§B and C of this regulation shall be reported to the Commission at least 5 business days before the date of the contest.</text> </paragraph> <paragraph num="E."> <text>In order to participate in a contest, a contestant shall pass an ophthalmological evaluation and:</text> <paragraph num="(1)"> <text>Have visual acuity:</text> <paragraph num="(a)"> <text>Of at least 20/80 in both eyes, or</text> </paragraph> <paragraph num="(b)"> <text>Between 20/80 and 20/200, with special permission of the Commission; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Have 100 percent peripheral vision in both eyes.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Neurological Testing."> <paragraph num="A."> <text>In this regulation “neurological test” means an examination by a physician to detect abnormalities of the nervous system and includes, but is not limited to:</text> <paragraph num="(1)"> <text>Assessment of mental status, cranial nerves, motor function including power, tone, and bulk, cerebellar function, deep tendon reflexes, and plantar responses;</text> </paragraph> <paragraph num="(2)"> <text>Physical examination;</text> </paragraph> <paragraph num="(3)"> <text>Laboratory procedure; and</text> </paragraph> <paragraph num="(4)"> <text>Other specialized testing.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A contestant shall be examined by a neurologist or neurosurgeon appointed by the Commission before the contestant's first bout in Maryland each licensed period and annually after that.</text> </paragraph> <paragraph num="C."> <text>The Commission shall require a contestant to be reexamined by a neurologist or neurosurgeon, appointed by the Commission, before participating in a contest:</text> <paragraph num="(1)"> <text>If the contestant has participated in more than 12 contests in or outside the State;</text> </paragraph> <paragraph num="(2)"> <text>If the contestant has been knocked out or receives a technical knockout as a result of neurological injury in two consecutive contests; or</text> </paragraph> <paragraph num="(3)"> <text>Upon recommendation of a ringside physician.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Commission may require a contestant to undergo additional neurological testing and evaluation as prescribed by the examining neurosurgeon or neurologist.</text> </paragraph> <paragraph num="E."> <text>A neurologist or neurosurgeon, appointed by the Commission, shall be licensed in Maryland and be certified by the American Board of Neurological Surgery or the American Board of Psychiatry and Neurology.</text> </paragraph> <paragraph num="F."> <text>A contestant may not be licensed or permitted to participate in a contest if the neurological examination demonstrates abnormalities suggestive of acute, subacute, or chronic nervous system abnormalities.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Precontest Examinations."> <paragraph num="A."> <text>A contestant and any substitute contestant shall undergo a final physical examination by a physician at a location, and on a date and time, approved by the Commission.</text> </paragraph> <paragraph num="B."> <text>A contestant may not engage in a contest if any of the following physical conditions are determined by the Commission’s physician:</text> <paragraph num="(1)"> <text>A significant hernia or varicocele;</text> </paragraph> <paragraph num="(2)"> <text>Organic heart murmurs or dysrhythmia;</text> </paragraph> <paragraph num="(3)"> <text>Active pulmonary lesions;</text> </paragraph> <paragraph num="(4)"> <text>Vision that fails to meet the requirements of Regulation .02E of this chapter;</text> </paragraph> <paragraph num="(5)"> <text>Oral temperature over 100°F;</text> </paragraph> <paragraph num="(6)"> <text>Systolic pressure or diastolic pressure outside of acceptable limits;</text> </paragraph> <paragraph num="(7)"> <text>Infectious skin lesions, such as boils or infected wounds;</text> </paragraph> <paragraph num="(8)"> <text>Wounds, especially on face and ears, that are incompletely or poorly healed;</text> </paragraph> <paragraph num="(9)"> <text>Hand injuries and fractures less than 6 weeks old that would be detrimental to the contestant's showing or to subsequent healing;</text> </paragraph> <paragraph num="(10)"> <text>Use of narcotics, stimulants, depressants, or strong analgesics; or</text> </paragraph> <paragraph num="(11)"> <text>Detached retina, retinal tear, or macular hole in one or both eyes.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Upon certification by a contestant's ophthalmologist who performed the operation, and upon review and approval of the Commission's senior physician, a repaired retinal abnormality may not automatically disqualify a contestant from participation in a contest. Documentation shall be submitted to the Commission 1 month in advance.</text> </paragraph> <paragraph num="D."> <text>The Commission may cancel a boxing contest if either contestant in a contest fails to appear for the final physical by 12 p.m. on the day of the contest.</text> </paragraph> <paragraph num="E."> <text>Within 1 hour before the first contest, the Commission's physician may, at any time, conduct a brief examination to determine if a contestant's physical condition has changed since the final physical.</text> </paragraph> <paragraph num="F."> <text>A referee shall be given a physical examination before officiating a contest.</text> </paragraph> <paragraph num="G."> <text>A contestant under contract who is injured or becomes ill before a contest shall submit to the Commission, before the date of the contest, a notarized medical report by a physician detailing the nature of the injury or illness and the prognosis for recovery.</text> </paragraph> <paragraph num="H."> <text>On the date of the contest, a contestant shall declare use of any medication on the final physical examination form including the name, the dosage, and the time of the last injection or ingestion of any prescription or non-prescription drug.</text> </paragraph> <paragraph num="I."> <text>The Commission shall provide the contestant with a written statement which explains the contestant's rights and responsibilities under these regulations at the pre-fight examination on the date of the contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Physician at Contest."> <paragraph num="A."> <text>The Commission shall appoint at least two physicians to insure the safety and health of all contestants in a contest.</text> </paragraph> <paragraph num="B."> <text>One of the physicians appointed under §A of this regulation, may be a neurosurgeon or a neurologist.</text> </paragraph> <paragraph num="C."> <text>The Commission shall designate a senior physician.</text> </paragraph> <paragraph num="D."> <text>A senior physician has the following authority to:</text> <paragraph num="(1)"> <text>Interrupt a contest at any time to examine a contestant;</text> </paragraph> <paragraph num="(2)"> <text>Terminate a contest at any time after determining that serious injury has occurred or is immediately likely to occur to either contestant, or when a contestant is bleeding sufficiently to provide a health hazard to spectators and personnel;</text> </paragraph> <paragraph num="(3)"> <text>Admit a contestant to a medical facility; and</text> </paragraph> <paragraph num="(4)"> <text>Require a contestant to submit to a blood test or urinalysis.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The Commission shall designate ringside physicians.</text> </paragraph> <paragraph num="F."> <text>The senior physician and ringside physician may render emergency treatment to a contestant on-site or while traveling to a hospital.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Ringside Medical Equipment and Materials."> <paragraph num="A."> <text>The following items shall be available in good working order before each contest begins:</text> <paragraph num="(1)"> <text>A stretcher;</text> </paragraph> <paragraph num="(2)"> <text>A portable resuscitator or Ambubag with oxygen equipment;</text> </paragraph> <paragraph num="(3)"> <text>A hard cervical collar;</text> </paragraph> <paragraph num="(4)"> <text>Endotracheal tubes with laryngoscope;</text> </paragraph> <paragraph num="(5)"> <text>A portable defibrillator; and</text> </paragraph> <paragraph num="(6)"> <text>Advanced life-support medications.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Only the following materials shall be allowed in a contestant's corner:</text> <paragraph num="(1)"> <text>Ice;</text> </paragraph> <paragraph num="(2)"> <text>Water;</text> </paragraph> <paragraph num="(3)"> <text>Cotton swabs;</text> </paragraph> <paragraph num="(4)"> <text>Gauze pads;</text> </paragraph> <paragraph num="(5)"> <text>Clean towels;</text> </paragraph> <paragraph num="(6)"> <text>Aventine;</text> </paragraph> <paragraph num="(7)"> <text>Adrenaline (one part per thousand solution);</text> </paragraph> <paragraph num="(8)"> <text>Medical diachylon tape;</text> </paragraph> <paragraph num="(9)"> <text>Enswell;</text> </paragraph> <paragraph num="(10)"> <text>Petroleum jelly;</text> </paragraph> <paragraph num="(11)"> <text>Safety scissors; and</text> </paragraph> <paragraph num="(12)"> <text>Disposable latex examination gloves.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Protection Materials."> <text>A contestant shall use a custom fitted mouthpiece with palate and a professional protection cup during the contest.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Proximity of Contest to Emergency Medical Facilities."> <paragraph num="A."> <text>The location of a contest may not be more than 15 minutes by ambulance from a hospital providing neurosurgical evaluation and treatment facilities, with a neurosurgeon on call.</text> </paragraph> <paragraph num="B."> <text>The medical facility in §A of this regulation, shall be notified by the State Athletic Commission 24 hours before a contest of the time and location of the contest, with a request for a neurosurgeon to be on call.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Post-Fight Examinations."> <paragraph num="A."> <text>A contestant shall be given a brief post-fight physical examination by the ringside physician.</text> </paragraph> <paragraph num="B."> <text>The ringside physician shall complete a post-fight medical recommendation form and give copies of the form to the contestant and the contestant's manager.</text> </paragraph> <paragraph num="C."> <text>The following individuals shall remain in the arena and be available for medical evaluation until released by the senior physician:</text> <paragraph num="(1)"> <text>A contestant suffering a knockout or technical knockout; or</text> </paragraph> <paragraph num="(2)"> <text>A contestant who requires observation in the opinion of the ringside physician.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Medical Suspensions."> <paragraph num="A."> <text>Medical suspensions may be issued at the discretion of the physician appointed by the Commission.</text> </paragraph> <paragraph num="B."> <text>The following shall constitute mandatory grounds for medical suspension and minimum duration:</text> <paragraph num="(1)"> <text>Laceration ... 30 days;</text> </paragraph> <paragraph num="(2)"> <text>Technical knockout ... 30 days;</text> </paragraph> <paragraph num="(3)"> <text>Knockout or technical knockout with loss of consciousness (first occurrence) ... 60 days;</text> </paragraph> <paragraph num="(4)"> <text>Knockout or technical knockout with loss of consciousness (second consecutive occurrence):</text> <paragraph num="(a)"> <text>Not less than 70 days from the date of the second occurrence, and</text> </paragraph> <paragraph num="(b)"> <text>Not less than 120 days from the date of the first occurrence;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Knockout or technical knockout with loss of consciousness (third consecutive occurrence) ... indefinite;</text> </paragraph> <paragraph num="(6)"> <text>Poorly conditioned ... 42 days;</text> </paragraph> <paragraph num="(7)"> <text>Physically demanding contest or excessive blows to the head ... 30 to 60 days.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A contestant suspended indefinitely shall remain suspended until a medical examination specified by the Commission has been completed and the Commission has determined that the contestant has satisfactorily recovered.</text> </paragraph> <paragraph num="D."> <text>Unless the Commission otherwise approves, a contestant may not participate in another contest:</text> <paragraph num="(1)"> <text>For at least 14 days after a contest of four to eight rounds duration; and</text> </paragraph> <paragraph num="(2)"> <text>For at least 28 days after a contest of more than eight rounds duration.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A contestant whose urine test results are positive shall be suspended pending a hearing.</text> </paragraph> <paragraph num="F."> <text>Knockout occurrences in other states, suspensions, and durations of contests shall be used in determining the length of medical suspensions and the fitness of a contestant to compete.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Duties of Promoter."> <paragraph num="A."> <text>A promoter shall furnish the following for a boxing, kickboxing, or mixed martial arts contest:</text> <paragraph num="(1)"> <text>Sanitary dressing rooms for contestants that contain a restroom, rest table, and facilities for Commission physicians to examine contestants before and after a contest;</text> </paragraph> <paragraph num="(2)"> <text>Emergency procedures at least 7 days before the date of the contest to the Commission for removing an injured contestant to a hospital pursuant to Regulation .08 of this chapter;</text> </paragraph> <paragraph num="(3)"> <text>A ring conforming with the specifications of the Commission;</text> </paragraph> <paragraph num="(4)"> <text>An ambulance to transport an injured contestant to a medical facility as required in Regulation .08A of this chapter; and</text> </paragraph> <paragraph num="(5)"> <text>An ambulance crew consisting of:</text> <paragraph num="(a)"> <text>One emergency medical technician—paramedic (EMT-P); and</text> </paragraph> <paragraph num="(b)"> <text>One emergency medical technician—basic (EMT-B).</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>A promoter shall instruct contestants, managers, and individuals in charge of the arena in the safety standards of the Commission.</text> </paragraph> <paragraph num="C."> <text>A promoter shall follow all safety standards required by the Commission and shall take all reasonable precautions to insure the safety and health of contestants, officials, and spectators.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Female Contestant."> <paragraph num="A."> <text>A contest between female contestants shall be subject to all the requirements of this chapter.</text> </paragraph> <paragraph num="B."> <text>The following requirements for a female contestant are in addition to the requirements under §A of this regulation:</text> <paragraph num="(1)"> <text>A female contestant may not contract for, or engage in, a contest with a male contestant;</text> </paragraph> <paragraph num="(2)"> <text>Contests shall be limited as follows:</text> <paragraph num="(a)"> <text>Not more than eight rounds of 2-minute duration with a 1-minute rest period between rounds, depending on the skills of the contestants competing; and</text> </paragraph> <paragraph num="(b)"> <text>Eight rounds of 2-minute duration with a 1-minute rest period between rounds for a championship contest;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An abdominal guard shall be worn and a breast protector shall be used as a binder;</text> </paragraph> <paragraph num="(4)"> <text>Hair shall be secured in a manner that it does not interfere with the vision or safety of either contestant;</text> </paragraph> <paragraph num="(5)"> <text>A boxer who is pregnant may not engage in a contest;</text> </paragraph> <paragraph num="(6)"> <text>Promoters shall provide adequate, separate dressing rooms;</text> </paragraph> <paragraph num="(7)"> <text>Cosmetic use shall be prohibited;</text> </paragraph> <paragraph num="(8)"> <text>An examination under Regulation .01 of this chapter shall include a pelvic examination;</text> </paragraph> <paragraph num="(9)"> <text>An examination under Regulation .04 of this chapter shall include an abdominal and breast examination with notations of any masses; and</text> </paragraph> <paragraph num="(10)"> <text>Gloves used in the contest shall be:</text> <paragraph num="(a)"> <text>8 ounces for weight classifications less than 148 pounds; and</text> </paragraph> <paragraph num="(b)"> <text>10 ounces for weight classifications 148 pounds or greater.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>A female contestant shall:</text> <paragraph num="(1)"> <text>Take a HCG serum pregnancy test within 5 days before each contest; and</text> </paragraph> <paragraph num="(2)"> <text>Submit the results of the test to the Commission at the final physical.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Failure of a female contestant to comply with §C of this regulation shall result in the immediate disqualification of the female contestant for a contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Blood Tests."> <paragraph num="A."> <text>In compliance with the blood testing requirements of Business Regulation Article, §4-304.1, Annotated Code of Maryland, a blood sample from an individual desiring to participate in a boxing, kickboxing, or mixed martial arts contest shall be:</text> <paragraph num="(1)"> <text>Taken by a physician, phlebotomist, or other qualified health care provider chosen by the individual; and</text> </paragraph> <paragraph num="(2)"> <text>Analyzed by a medical laboratory, certified in accordance with the Clinical Laboratory Improvement Act, 42 U.S.C. §263(a), for the presence of:</text> <paragraph num="(a)"> <text>Antibodies to the human immunodeficiency virus (HIV), and</text> </paragraph> <paragraph num="(b)"> <text>The antigen of virus hepatitis B.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Only blood tests with negative results shall be submitted to the Commission.</text> </paragraph> <paragraph num="C."> <text>The required negative blood tests:</text> <paragraph num="(1)"> <text>Shall be submitted to the Commission by an applicant for licensure as a contestant, a contestant, or an authorized representative of the applicant or contestant; and</text> </paragraph> <paragraph num="(2)"> <text>May not be submitted by the person taking the blood sample, the medical laboratory testing the blood sample, or any other person.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The required negative blood tests shall:</text> <paragraph num="(1)"> <text>Have been performed within 30 days of the individual's application for a license; and</text> </paragraph> <paragraph num="(2)"> <text>Except as provided in §E of this regulation, be submitted to the Commission:</text> <paragraph num="(a)"> <text>At the time the application is submitted to the Commission, or</text> </paragraph> <paragraph num="(b)"> <text>Not later than the weigh-in for the first contest in which the contestant is to participate following the submittal of the application.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The Commission, in its discretion, may extend the time for the submittal of the required negative blood tests to a time immediately before the contestant's first contest following the issuance of a license.</text> </paragraph> <paragraph num="F."> <text>To constitute documentary evidence satisfactory to the Commission, the negative test results from the medical laboratory shall be:</text> <paragraph num="(1)"> <text>On the medical laboratory's letterhead; and</text> </paragraph> <paragraph num="(2)"> <text>Signed by an authorized representative of the medical laboratory.</text> </paragraph> </paragraph> <paragraph num="G."> <text>In addition to submitting the required negative blood tests before a contestant's first contest following the submittal of an application for licensure, a contestant is required to submit the required negative blood tests if:</text> <paragraph num="(1)"> <text>The contestant previously tested positive for the antibodies to HIV or the antigens of virus hepatitis B; or</text> </paragraph> <paragraph num="(2)"> <text>The Commission has reasonable cause to believe that the testing of the contestant's blood may not result in a negative test for the presence of the antibodies to HIV or the antigens of virus hepatitis B.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§4-205, 4-304, 4-304-1, 4-310, 4-314, and 4-315, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective September 3, 1990 (17:17 Md. R. 2079); March 29, 1993 (20:6 Md. R. 581)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 repealed and new Regulation .03 adopted effective December 28, 1987 (14:26 Md. R. 2745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04I, J adopted effective December 28, 1987 (14:26 Md. R. 2744)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective September 3, 1990 (17:17 Md. R. 2079); March 29, 1993 (20:6 Md. R. 581)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective July 13, 1986 (13:14 Md. R. 1633); September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09C amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10B amended effective March 9, 1998 (25:5 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10E adopted effective December 28, 1987 (14:26 Md. R. 2744)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11B amended effective March 29, 1993 (20:6 Md. R. 581)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12B amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12B amended as an emergency provision effective May 14, 1999 (26:12 Md. R. 923); emergency status expired November 15, 1999; amended permanently effective January 24, 2000 (27:1 Md. R. 75)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12B amended as an emergency provision effective March 30, 2002 (29:7 Md. R. 616); emergency status expired August 28, 2002; amended permanently effective November 25, 2002 (29:23 Md. R. 1811)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 adopted effective March 9, 1998 (25:5 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective May 22, 2017 (44:10 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10C amended effective May 22, 2017 (44:10 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 amended as an emergency provision effective January 10, 2013 (40:3 Md. R. 215); amended permanently effective July 8, 2013 (40:13 Md. R. 1073)</annotation> </annotations> </chapter> <chapter num="05" heading="Boxing and Kickboxing Facilities and Equipment"> <regulation prefix="Regulation" num=".01" heading="Boxing or Kickboxing Ring."> <paragraph num="A."> <text>A boxing or kickboxing ring shall meet the following requirements:</text> <paragraph num="(1)"> <text>The boxing or kickboxing ring may not be less than 16 feet square or more than 24 feet square within the ring ropes;</text> </paragraph> <paragraph num="(2)"> <text>The platform shall extend beyond the ropes for a distance of at least 2 feet;</text> </paragraph> <paragraph num="(3)"> <text>The ring posts shall be at least 18 inches away from the ring ropes;</text> </paragraph> <paragraph num="(4)"> <text>The ring floor, both within and outside the ropes, shall be padded with a minimum of 1 inch thick unicellular safety foam;</text> </paragraph> <paragraph num="(5)"> <text>The platform shall have a top covering of canvas, duck, or equivalent material tightly stretched and laced to the platform;</text> </paragraph> <paragraph num="(6)"> <text>The platform shall be a maximum height of 4 feet above the floor of the building and shall be provided with suitable steps for use by the boxers; and</text> </paragraph> <paragraph num="(7)"> <text>The mat and coverings shall be kept clean and free of odors at all times.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Ring posts shall meet the following requirements:</text> <paragraph num="(1)"> <text>Constructed of metal with a maximum diameter of 3 inches;</text> </paragraph> <paragraph num="(2)"> <text>Extend to the floor of the ring with a maximum height of 58 inches; and</text> </paragraph> <paragraph num="(3)"> <text>Properly padded.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Ring ropes shall meet the following requirements:</text> <paragraph num="(1)"> <text>Four in number with a minimum diameter of 1 inch;</text> </paragraph> <paragraph num="(2)"> <text>The lower rope shall be 18 inches above the ring floor;</text> </paragraph> <paragraph num="(3)"> <text>The top rope shall be 54 inches above the ring floor;</text> </paragraph> <paragraph num="(4)"> <text>The remaining two ropes shall be evenly spaced between the lower and top ropes;</text> </paragraph> <paragraph num="(5)"> <text>The ropes shall be covered with a smooth plastic or other smooth, soft material;</text> </paragraph> <paragraph num="(6)"> <text>The ropes shall be adjustable and shall be kept at the correct tautness; and</text> </paragraph> <paragraph num="(7)"> <text>The ring ropes shall be tied in the center of the ropes on all four sides.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Ring Equipment."> <paragraph num="A."> <text>The promoter shall provide all necessary equipment for use by seconds, boxers, and kickboxers at all events, subject to approval by the Commission.</text> </paragraph> <paragraph num="B."> <text>A bell or gong shall be provided by the Commission and shall be positioned at the ring not higher than the floor level of the ring.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Gloves."> <paragraph num="A."> <text>General.</text> <paragraph num="(1)"> <text>Gloves shall conform to specifications as determined by the Commission.</text> </paragraph> <paragraph num="(2)"> <text>Gloves shall be examined before a contest by a Commission representative and the referee.</text> </paragraph> <paragraph num="(3)"> <text>If the padding is misplaced or lumpy, or if the gloves are otherwise defective, the gloves shall be changed before the contest starts.</text> </paragraph> <paragraph num="(4)"> <text>Breaking, roughing, or twisting of gloves is not permitted.</text> </paragraph> <paragraph num="(5)"> <text>Glove weights shall be:</text> <paragraph num="(a)"> <text>8 ounces for weight classifications less than 148 pounds; and</text> </paragraph> <paragraph num="(b)"> <text>10 ounces for weight classifications 148 pounds or greater.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The laces shall be knotted on the back of the wrist and tape shall be applied where the laces are knotted.</text> </paragraph> <paragraph num="(7)"> <text>The gloves shall be thumb-attached.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Reserved.</text> </paragraph> <paragraph num="C."> <text>Gloves — Main Event.</text> <paragraph num="(1)"> <text>The promoter shall furnish approved new gloves designed to fit the hands of the contestants in a main event contest.</text> </paragraph> <paragraph num="(2)"> <text>The promoter shall deliver the gloves to the Commission at the time of the final physical for approval by the main event boxers.</text> </paragraph> <paragraph num="(3)"> <text>Upon approval, the Commission shall keep the gloves until the time of the main event contest.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Gloves — Preliminaries.</text> <paragraph num="(1)"> <text>Used gloves for preliminary contests shall be whole, clean, in sanitary condition, and subject to inspection by the referee or Commission representative.</text> </paragraph> <paragraph num="(2)"> <text>Unfit gloves shall be immediately discarded and replaced with gloves approved by the referee or Commission representative.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Gloves — Extra Set.</text> <paragraph num="(1)"> <text>All promoters shall have at each contest an extra set of 8-ounce gloves and 10-ounce gloves.</text> </paragraph> <paragraph num="(2)"> <text>Extra gloves may be used if the set of gloves currently in use are broken or damaged during the course of a contest.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Sanitation."> <paragraph num="A."> <text>Promoters shall be responsible for any violation of Commission regulations or applicable local health department requirements concerning sanitary conditions of dressing rooms, showers, water bottles, towels, or other equipment.</text> </paragraph> <paragraph num="B."> <text>Promoters shall provide at least one receptacle for medical waste, and properly dispose of the waste.</text> </paragraph> <paragraph num="C."> <text>Promoters shall immediately correct any violation of the duties imposed by §A of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Round Cards."> <paragraph num="A."> <text>The promoter shall provide a sufficient supply of round cards to designate the upcoming round.</text> </paragraph> <paragraph num="B."> <text>These cards shall be white and numbered on each side from 1 to 12.</text> </paragraph> <paragraph num="C."> <text>Cards shall be displayed to be visible to all spectators.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §4-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective June 10, 1991 (18:11 Md. R. 1187)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective January 10, 2013 (40:3 Md. R. 216); amended permanently effective July 8, 2013 (40:13 Md. R. 1074)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended as an emergency provision effective January 10, 2013 (40:3 Md. R. 216); amended permanently effective July 8, 2013 (40:13 Md. R. 1074)</annotation> </annotations> </chapter> <chapter num="06" heading="Conduct of Boxing Contests"> <regulation prefix="Regulation" num=".01" heading="Weights and Classes."> <paragraph num="A."> <text>The Commission recognizes the following weights and classes:</text> <paragraph num="(1)"> <text>Flyweight ----------------------112 pounds or less;</text> </paragraph> <paragraph num="(2)"> <text>Bantamweight -------------- over 112 to 118 pounds;</text> </paragraph> <paragraph num="(3)"> <text>Featherweight ----------------over 118 to 126 pounds;</text> </paragraph> <paragraph num="(4)"> <text>Junior lightweight ------------over 126 to 130 pounds;</text> </paragraph> <paragraph num="(5)"> <text>Lightweight -------------------over 130 to 135 pounds;</text> </paragraph> <paragraph num="(6)"> <text>Junior welterweight ---------over 135 to 140 pounds;</text> </paragraph> <paragraph num="(7)"> <text>Welterweight -----------------over 140 to 147 pounds;</text> </paragraph> <paragraph num="(8)"> <text>Junior middleweight ------- over 147 to 154 pounds;</text> </paragraph> <paragraph num="(9)"> <text>Middleweight -----------------over 154 to 160 pounds;</text> </paragraph> <paragraph num="(10)"> <text>Junior light heavyweight - over 160 to 168 pounds;</text> </paragraph> <paragraph num="(11)"> <text>Light heavyweight -------- over 168 to 175 pounds;</text> </paragraph> <paragraph num="(12)"> <text>Cruiserweight ------------ over 175 to 190 pounds;</text> </paragraph> <paragraph num="(13)"> <text>Heavyweight ------------------------- over 190 pounds.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If a boxer's weight is greater than the weight specified in the contract, the contest may not take place without special permission of the Commission.</text> </paragraph> <paragraph num="C."> <text>A contest may not be allowed in which the weight difference between the boxers in the contest is greater than the following:</text> <paragraph num="(1)"> <text>Flyweight -----------------------------3 pounds;</text> </paragraph> <paragraph num="(2)"> <text>Bantamweight ------------------------4 pounds;</text> </paragraph> <paragraph num="(3)"> <text>Featherweight -------------------------5 pounds;</text> </paragraph> <paragraph num="(4)"> <text>Junior lightweight --------------------6 pounds;</text> </paragraph> <paragraph num="(5)"> <text>Lightweight ---------------------------7 pounds;</text> </paragraph> <paragraph num="(6)"> <text>Junior welterweight ------------------8 pounds;</text> </paragraph> <paragraph num="(7)"> <text>Welterweight -------------------------10 pounds;</text> </paragraph> <paragraph num="(8)"> <text>Junior middleweight -----------------11 pounds;</text> </paragraph> <paragraph num="(9)"> <text>Middleweight -------------------------12 pounds;</text> </paragraph> <paragraph num="(10)"> <text>Junior light heavyweight ----------13 pounds;</text> </paragraph> <paragraph num="(11)"> <text>Light heavyweight -----------------15 pounds;</text> </paragraph> <paragraph num="(12)"> <text>Cruiserweight -----------------------15 pounds;</text> </paragraph> <paragraph num="(13)"> <text>Heavyweight -------------------------No limit.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Weighing In.</text> <paragraph num="(1)"> <text>Weighing of boxers for events shall take place not later than 12 noon on the day of the contest.</text> </paragraph> <paragraph num="(2)"> <text>The boxer's weight shall be determined by a member of the Commission in the presence of the matchmaker, promoter, or manager of the boxers scheduled in a contest.</text> </paragraph> <paragraph num="(3)"> <text>Opponents shall be weighed in the presence of each other.</text> </paragraph> <paragraph num="(4)"> <text>A boxer shall be weighed wearing not more than trunks and socks.</text> </paragraph> <paragraph num="(5)"> <text>Members of the press may be permitted to attend the weighing in.</text> </paragraph> <paragraph num="(6)"> <text>Scales used for the weighing in shall be approved annually by the Division of Weights and Measures.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Scheduling of a Main Event Contest."> <paragraph num="A."> <text>A main event contest shall begin not later than 10 p.m.</text> </paragraph> <paragraph num="B."> <text>The Commission may grant special permission to begin a main event contest later than permitted by §A of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Substitute Contestants."> <paragraph num="A."> <text>Substitute contestants may not engage in a contest unless approved by the Commission.</text> </paragraph> <paragraph num="B."> <text>The Commission may approve a substitute contestant not later than 12 noon on the date of the contest if the substitute contestant:</text> <paragraph num="(1)"> <text>Passes the final physical; and</text> </paragraph> <paragraph num="(2)"> <text>Meets the requirements of COMAR 09.14.03.02 and COMAR 09.14.04.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The requirements of this regulation shall be in addition to COMAR 09.14.03.03D.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Boxer's Appearance."> <paragraph num="A."> <text>The Commission or its representative shall inspect each boxer to determine if facial hair or length of hair presents a potential hazard to the boxer, the boxer's opponent, or the referee's ability to supervise the match.</text> </paragraph> <paragraph num="B."> <text>A boxer may not use excessive amounts of grease, any substance that constitutes an irritant, or any other foreign substance not allowed in a boxer's corner as described in COMAR 09.14.04.06B.</text> </paragraph> <paragraph num="C."> <text>A boxer in violation of §A or B of this regulation may be ordered by the referee or a Commission representative to alter or remove any substances.</text> </paragraph> <paragraph num="D."> <text>Managers shall be responsible to insure compliance with the provisions of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Boxer's Equipment."> <paragraph num="A."> <text>A boxer's equipment shall be firmly adjusted before entering the ring.</text> </paragraph> <paragraph num="B."> <text>The belt of the trunks may not extend above the waistline.</text> </paragraph> <paragraph num="C."> <text>Boxers may not enter the ring with trunks of the same color.</text> </paragraph> <paragraph num="D."> <text>A boxer may not wear any apparel not provided for in these regulations.</text> </paragraph> <paragraph num="E."> <text>Bandage.</text> <paragraph num="(1)"> <text>In all classes up to and including middleweights, bandages on the hands of a boxer shall be restricted to soft cloth not more than 10 yards in length and 2 inches in width that is held in place by not more than 4 feet of surgeon's tape for each hand.</text> </paragraph> <paragraph num="(2)"> <text>In all other classes of boxer, bandages on the hands of a boxer shall meet the following requirements:</text> <paragraph num="(a)"> <text>Not more than 12 yards in length and 2 inches in width that is held in place by not more than 8 feet of surgeon's tape for each hand shall be allowed; and</text> </paragraph> <paragraph num="(b)"> <text>Not more than 6 inches of adhesive tape that is not more than 1 inch in width applied across the back of each hand after bandaging shall be allowed, provided that the tape is not put across the knuckles.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Bandages shall be adjusted in the dressing room in the presence of a Commission representative and both boxers.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Shoes.</text> <paragraph num="(1)"> <text>Shoes shall be of soft material.</text> </paragraph> <paragraph num="(2)"> <text>Shoes may not be fitted with spikes, cleats, hard soles, or hard heels.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Boxers' Report Time."> <text>Boxers shall report to the Commission representative in charge of the dressing rooms at least 2 hours before the scheduled starting time of the first contest.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Fouls."> <paragraph num="A."> <text>A boxer who flagrantly or repeatedly commits a foul may be:</text> <paragraph num="(1)"> <text>Disqualified in a contest by the referee; and</text> </paragraph> <paragraph num="(2)"> <text>Subject to disciplinary action under COMAR 09.14.02.07.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A foul includes:</text> <paragraph num="(1)"> <text>Hitting below the belt;</text> </paragraph> <paragraph num="(2)"> <text>Hitting an opponent who is down or getting up after being down;</text> </paragraph> <paragraph num="(3)"> <text>Holding;</text> </paragraph> <paragraph num="(4)"> <text>Wrestling or kicking;</text> </paragraph> <paragraph num="(5)"> <text>Striking an opponent who is helpless as a result of blows and supported by the ropes so that the opponent does not fall;</text> </paragraph> <paragraph num="(6)"> <text>Butting with the head or shoulder or using the knee;</text> </paragraph> <paragraph num="(7)"> <text>Hitting with the open glove, or with the butt of the hand, the wrist, or the elbow, and all backhand blows;</text> </paragraph> <paragraph num="(8)"> <text>Going down without being hit;</text> </paragraph> <paragraph num="(9)"> <text>Striking at that part of the body over the kidney;</text> </paragraph> <paragraph num="(10)"> <text>The rabbit punch;</text> </paragraph> <paragraph num="(11)"> <text>Jabbing the opponent's eye with the thumb of the glove;</text> </paragraph> <paragraph num="(12)"> <text>Using abusive language in the ring;</text> </paragraph> <paragraph num="(13)"> <text>Using an unsportsmanlike trick or action causing injury to an opponent;</text> </paragraph> <paragraph num="(14)"> <text>Hitting on the break;</text> </paragraph> <paragraph num="(15)"> <text>Hitting after the bell has sounded ending the round;</text> </paragraph> <paragraph num="(16)"> <text>Roughing at the ropes;</text> </paragraph> <paragraph num="(17)"> <text>Pushing an opponent about the ring or into the ropes; and</text> </paragraph> <paragraph num="(18)"> <text>Biting.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Accidental Foul."> <paragraph num="A."> <text>If an accidental foul occurs and the injured boxer is unable to continue:</text> <paragraph num="(1)"> <text>The contest shall be declared a technical draw if the accidental foul occurs before the completion of half of the scheduled rounds; and</text> </paragraph> <paragraph num="(2)"> <text>A technical decision shall be awarded to the boxer who is ahead on points if the accidental foul occurs after the completion of half of the scheduled rounds.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If an accidental foul occurs and the injured boxer is able to continue, the referee shall notify both corners, the judges, and the Commission table of the accidental foul not later than the end of the round in which the accidental foul took place.</text> </paragraph> <paragraph num="C."> <text>If the injury to the boxer resulting from an accidental foul worsens, causing the injured boxer to be unable to continue:</text> <paragraph num="(1)"> <text>The contest shall be declared a technical draw if the bout is stopped before the completion of half of the scheduled rounds; and</text> </paragraph> <paragraph num="(2)"> <text>A technical decision shall be awarded to the boxer who is ahead on points if the bout is stopped after the completion of half of the scheduled rounds.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Under §§A(2) and C(2) of this regulation, only completed rounds shall be scored.</text> </paragraph> <paragraph num="E."> <text>If a majority cannot be established under §§A(2) and C(2) of this regulation, the contest shall be declared a technical draw.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Assessment of Penalty Points."> <paragraph num="A."> <text>A referee may, in the referee's discretion, penalize a boxer who fouls an opponent during a contest by charging the boxer with the loss of points for an intentional or unintentional foul.</text> </paragraph> <paragraph num="B."> <text>A referee shall assess the penalty points after the occurrence of each foul based on the severity of the foul and the effect of the foul on the boxer's opponent.</text> </paragraph> <paragraph num="C."> <text>The referee shall:</text> <paragraph num="(1)"> <text>Indicate on the official scorecard the number of points deducted from a boxer in any round a boxer is penalized; and</text> </paragraph> <paragraph num="(2)"> <text>Notify the judges and both boxers of the number of points to be deducted at the conclusion of each round.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Points may only be deducted for fouls that occur in the round for which points are assessed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Low-Blow Foul."> <paragraph num="A."> <text>A contest may not be awarded by reason of a low-blow foul.</text> </paragraph> <paragraph num="B."> <text>A boxer suffering a low-blow foul shall be given a rest period not exceeding 5 minutes.</text> </paragraph> <paragraph num="C."> <text>If, after being granted a rest period under §B, of this regulation, the boxer is incapable of continuing, the senior physician shall examine the boxer.</text> </paragraph> <paragraph num="D."> <text>If the senior physician determines that the boxer cannot continue, the contest shall be ruled a no contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Knockdown."> <paragraph num="A."> <text>A boxer shall be considered to have suffered a knockdown if a:</text> <paragraph num="(1)"> <text>Part of the body other than the feet is on the ring floor;</text> </paragraph> <paragraph num="(2)"> <text>Boxer is hanging helplessly over the ropes;</text> </paragraph> <paragraph num="(3)"> <text>Boxer is rising from a down position; or</text> </paragraph> <paragraph num="(4)"> <text>Boxer is knocked through the ropes.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A boxer may only suffer a knockdown by a punch.</text> </paragraph> <paragraph num="C."> <text>The following procedures shall apply to a knockdown count:</text> <paragraph num="(1)"> <text>The referee shall order the opponent to retire to the farthest corner of the ring by pointing to the corner and immediately begin the count over the boxer who is down;</text> </paragraph> <paragraph num="(2)"> <text>The referee shall audibly announce the passing of the seconds by accompanying the count with motions of the arm with the downward motion indicating the end of each second;</text> </paragraph> <paragraph num="(3)"> <text>A boxer who has suffered a knockdown may not resume boxing until the referee has finished a mandatory eight count;</text> </paragraph> <paragraph num="(4)"> <text>A boxer may take the count either on the floor or standing;</text> </paragraph> <paragraph num="(5)"> <text>The knockdown timekeeper, by effective signaling, shall give the referee the correct 1-second interval for the count; and</text> </paragraph> <paragraph num="(6)"> <text>The referee's count shall be the official count.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The following events may interrupt a knockdown count:</text> <paragraph num="(1)"> <text>If the boxer's opponent fails to stay in the farthest corner, the count may not continue until the opponent has returned to the proper corner;</text> </paragraph> <paragraph num="(2)"> <text>If the boxer suffering the knockdown count rises during the count, the referee may stop the count to determine if the boxer is fit to continue; or</text> </paragraph> <paragraph num="(3)"> <text>If the referee determines that the boxer can continue, the referee shall cease the count and order both boxers to continue the contest.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A boxer not rising from a knockdown before the count of ten shall be declared knocked out by the referee's waving both arms, and the boxer's opponent shall be declared the winner of the contest.</text> </paragraph> <paragraph num="F."> <text>If both boxers suffer a knockdown, the referee shall continue the knockdown count as long as one boxer remains in the condition described in §A of this regulation.</text> </paragraph> <paragraph num="G."> <text>If neither boxer in §F of this regulation is able to rise before the count of ten, the contest shall be declared to be a technical draw.</text> </paragraph> <paragraph num="H."> <text>The following procedures shall apply for all rounds in a contest:</text> <paragraph num="(1)"> <text>A referee's knockdown count may not be interrupted by the conclusion of the round; and</text> </paragraph> <paragraph num="(2)"> <text>If the referee's knockdown count extends beyond the conclusion of the round, but the boxer suffering the knockdown rises before the count of ten and the referee determines that the boxer can continue, the referee shall give the command to box and the gong shall then be rung immediately to end the round.</text> </paragraph> </paragraph> <paragraph num="I."> <text>A boxer who suffers a knockdown and fails to rise before the count of ten shall be considered to have been knocked out in the round in which the boxer suffered the ten-count knockdown.</text> </paragraph> <paragraph num="J."> <text>If a boxer rises after suffering a knockdown and immediately assumes a position described in §A of this regulation, without being struck, the referee shall resume the count from when it was interrupted.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Termination of a Contest."> <paragraph num="A."> <text>A referee may terminate a contest if the referee determines, in his discretion, that a boxer is unable to continue the contest.</text> </paragraph> <paragraph num="B."> <text>The senior physician may terminate a contest at any time if, in the physician's opinion, the health of either boxer is in serious jeopardy.</text> </paragraph> <paragraph num="C."> <text>A boxer giving up a contest during a rest period between rounds shall be determined to lose the contest by a technical knockout in the preceding round.</text> </paragraph> <paragraph num="D."> <text>A boxer failing to respond to the gong signaling the beginning of a new round shall be considered to have suffered a technical knockout in the round begun by the gong.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Judging and Scoring."> <paragraph num="A."> <text>Judges shall score all contests and determine the winner through the use of the “ten-point must system”.</text> </paragraph> <paragraph num="B."> <text>The “ten-point must system” shall be applied as follows:</text> <paragraph num="(1)"> <text>The winner of each round receives ten points and the opponent a proportionately less number;</text> </paragraph> <paragraph num="(2)"> <text>If a round is even, each boxer shall receive ten points; and</text> </paragraph> <paragraph num="(3)"> <text>Fractions of points may not be awarded.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The awarding of a round or the match shall be based on the following factors to be scored in the order listed:</text> <paragraph num="(1)"> <text>Knockdown;</text> </paragraph> <paragraph num="(2)"> <text>Clean hits;</text> </paragraph> <paragraph num="(3)"> <text>Effective aggressiveness;</text> </paragraph> <paragraph num="(4)"> <text>Defense;</text> </paragraph> <paragraph num="(5)"> <text>Ring generalship; and</text> </paragraph> <paragraph num="(6)"> <text>Other relevant considerations.</text> </paragraph> </paragraph> <paragraph num="D."> <text>In addition to the factors in §C of this regulation, a boxer may be given credit for the following:</text> <paragraph num="(1)"> <text>Sportsmanlike actions in the ring;</text> </paragraph> <paragraph num="(2)"> <text>Close adherence to the spirit as well as the letter of the regulations; and</text> </paragraph> <paragraph num="(3)"> <text>Refraining from taking technical advantage of situations unfair to an opponent.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Deductions of points may result from the following:</text> <paragraph num="(1)"> <text>Persistent delays of a boxer by clinching; and</text> </paragraph> <paragraph num="(2)"> <text>Lack of aggressiveness.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The following guidelines shall govern the awarding of points and the decision:</text> <paragraph num="(1)"> <text>Each knockdown shall have a value of one point;</text> </paragraph> <paragraph num="(2)"> <text>Points for each round shall be awarded immediately after the termination of the round;</text> </paragraph> <paragraph num="(3)"> <text>Each judge shall:</text> <paragraph num="(a)"> <text>Award the decision to the boxer who has the highest point total at the end of the contest, and</text> </paragraph> <paragraph num="(b)"> <text>Write the decision on the scorecard;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The announcer shall collect the scorecards from the judges and deliver the scorecards to the Commission's representative for review;</text> </paragraph> <paragraph num="(5)"> <text>The Commission's representative shall advise the announcer of the decision who shall, in turn, announce the decision to the audience;</text> </paragraph> <paragraph num="(6)"> <text>A boxer receiving the decision from a majority of the judges shall be declared the winner of the contest; and</text> </paragraph> <paragraph num="(7)"> <text>If neither boxer is granted the decision by a majority of the judges, the contest shall be declared to be a draw.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Seconds."> <paragraph num="A."> <text>Chief Second.</text> <paragraph num="(1)"> <text>Before starting a contest, the referee shall ascertain from each boxer the name of the chief second.</text> </paragraph> <paragraph num="(2)"> <text>The chief second shall be responsible for the conduct of the assistant seconds during the progress of the contest.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Number of Seconds. Each boxer may have at least one and not more than three seconds.</text> </paragraph> <paragraph num="C."> <text>The following guidelines shall control the conduct of seconds:</text> <paragraph num="(1)"> <text>Seconds shall conduct themselves in a sportsmanlike manner throughout the contest;</text> </paragraph> <paragraph num="(2)"> <text>Seconds shall remain seated during a round and may not assist a boxer in any manner during the round;</text> </paragraph> <paragraph num="(3)"> <text>Seconds may not enter the ring until the timekeeper signals the conclusion of the round;</text> </paragraph> <paragraph num="(4)"> <text>Seconds are prohibited from spraying or throwing water on a boxer at any time;</text> </paragraph> <paragraph num="(5)"> <text>Seconds shall leave the ring enclosure upon the appropriate signal sounding 10 seconds before the beginning of each round; and</text> </paragraph> <paragraph num="(6)"> <text>Seconds shall leave the ring platform promptly, removing all obstructions such as buckets and stools, when the gong signals the beginning of each round.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Violations by Seconds.</text> <paragraph num="(1)"> <text>Violations of §C of this regulation, shall result in the ejection of a second from the boxer's corner.</text> </paragraph> <paragraph num="(2)"> <text>Violations of §C of this regulation, may result in the disqualification of a boxer at the referee's discretion.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Referee's Instructions."> <paragraph num="A."> <text>The referee shall call the boxers together for final instructions before the beginning of each contest.</text> </paragraph> <paragraph num="B."> <text>At the instructions, a boxer may only be accompanied by the boxer's manager or chief second.</text> </paragraph> <paragraph num="C."> <text>Before the instructions, the referee shall inspect the gloves and bodies of each boxer for foreign substances.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Rounds."> <paragraph num="A."> <text>A round shall consist of 3 minutes separated by a 1-minute rest period.</text> </paragraph> <paragraph num="B."> <text>A contest may not exceed 12 rounds.</text> </paragraph> <paragraph num="C."> <text>Unless special permission has been granted by the Commission, a promoter may not schedule less than five matches in any one event and shall schedule:</text> <paragraph num="(1)"> <text>A minimum of 26 rounds of boxing; or</text> </paragraph> <paragraph num="(2)"> <text>A maximum of 40 rounds of boxing.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Except as provided in this regulation, exhibition bouts may not be used to meet the requirements of §C of this regulation.</text> </paragraph> <paragraph num="E."> <text>The Commission may grant a promoter permission to hold a pro-am boxing event, encompassing both professional contests and amateur contests, if:</text> <paragraph num="(1)"> <text>The event includes a minimum of three professional matches, one of which consists of eight rounds or more;</text> </paragraph> <paragraph num="(2)"> <text>The event includes a minimum of 20 rounds of professional boxing;</text> </paragraph> <paragraph num="(3)"> <text>The event includes a minimum of eight rounds of amateur boxing;</text> </paragraph> <paragraph num="(4)"> <text>The amateur contests all precede the professional contests, with the professional contests and amateur contests being separated by a 15-minute intermission; and</text> </paragraph> <paragraph num="(5)"> <text>The promoter indicates on event tickets, as well as in advertisements pertaining to the event, that the event is a pro-am boxing event including both professional contests and amateur contests.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Public Access to Dressing Room."> <paragraph num="A."> <text>The public may not be allowed into the dressing room of a boxer.</text> </paragraph> <paragraph num="B."> <text>Only the following persons may be allowed into the dressing room of a boxer:</text> <paragraph num="(1)"> <text>The boxer;</text> </paragraph> <paragraph num="(2)"> <text>The boxer's manager;</text> </paragraph> <paragraph num="(3)"> <text>The boxer's seconds; and</text> </paragraph> <paragraph num="(4)"> <text>The Commission's representative.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Reserve Boxers."> <paragraph num="A."> <text>A promoter may contract for extra contests in reserve for each event.</text> </paragraph> <paragraph num="B."> <text>Reserve boxers shall meet all requirements for substitute contestants as specified in COMAR 09.14.04.</text> </paragraph> <paragraph num="C."> <text>An extra contest may only be used if a scheduled contest is cancelled.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§4-205 and 4-310, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04C amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended as an emergency provision effective May 14, 1999 (26:12 Md. R. 924); emergency status expired November 15, 1999; amended permanently effective January 24, 2000 (27:1 Md. R. 75)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended as an emergency provision effective May 14, 1999 (26:12 Md. R. 924); emergency status expired November 15, 1999; amended permanently effective January 24, 2000 (27:1 Md. R. 75)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10D amended effective May 22, 2017 (44:10 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective December 11, 2003 (30:24 Md. R. 1739)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 amended effective September 3, 1990 (17:17 Md. R. 2079); December 19, 2005 (32:25 Md. R. 1941)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16C amended effective July 13, 1986 (13:14 Md. R. 1633)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16D adopted effective June 10, 1991 (18:11 Md. R. 1187)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16D amended as an emergency provision effective March 30, 2002 (29:7 Md. R. 616); emergency status expired August 28, 2002; amended permanently effective November 25, 2002 (29:23 Md. R. 1811)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16E adopted as an emergency provision effective March 30, 2002 (29:7 Md. R. 616); emergency status expired August 28, 2002; amended permanently effective November 25, 2002 (29:23 Md. R. 1811)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 repealed and new Regulation .18 adopted effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 adopted as an emergency provision effective March 15, 1998 (25:8 Md. R. 594); emergency status expired September 15, 1998</annotation> </annotations> </chapter> <chapter num="07" heading="Ring Officials"> <regulation prefix="Regulation" num=".01" heading="Authority of Commission."> <paragraph num="A."> <text>The Commission shall determine the qualifications of all ring officials.</text> </paragraph> <paragraph num="B."> <text>The Commission shall control and direct the activities of the following individuals:</text> <paragraph num="(1)"> <text>Referee;</text> </paragraph> <paragraph num="(2)"> <text>Timekeepers;</text> </paragraph> <paragraph num="(3)"> <text>Physicians;</text> </paragraph> <paragraph num="(4)"> <text>Announcer;</text> </paragraph> <paragraph num="(5)"> <text>Ring inspectors;</text> </paragraph> <paragraph num="(6)"> <text>Judges; and</text> </paragraph> <paragraph num="(7)"> <text>Scorekeeper.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Assignments of Officials."> <paragraph num="A."> <text>The Commission shall assign all officials in a boxing, kickboxing, or mixed martial arts contest.</text> </paragraph> <paragraph num="B."> <text>The following persons shall be assigned as officials for each boxing, kickboxing, or mixed martial arts contest:</text> <paragraph num="(1)"> <text>One referee;</text> </paragraph> <paragraph num="(2)"> <text>Three judges;</text> </paragraph> <paragraph num="(3)"> <text>One timekeeper;</text> </paragraph> <paragraph num="(4)"> <text>One announcer;</text> </paragraph> <paragraph num="(5)"> <text>At least two physicians;</text> </paragraph> <paragraph num="(6)"> <text>Inspectors; and</text> </paragraph> <paragraph num="(7)"> <text>Scorekeeper.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Referee."> <paragraph num="A."> <text>General. The referee shall have the authority to:</text> <paragraph num="(1)"> <text>Supervise, generally, a boxing, kickboxing, or mixed martial arts contest;</text> </paragraph> <paragraph num="(2)"> <text>Decide all matters arising during a boxing, kickboxing, or mixed martial arts contest that are not specified in these regulations.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Referee's Authority.</text> <paragraph num="(1)"> <text>The referee may stop a boxing, kickboxing, or mixed martial arts contest during or between rounds for any of the following reasons:</text> <paragraph num="(a)"> <text>Injury to a contestant;</text> </paragraph> <paragraph num="(b)"> <text>Poor physical conditioning of a contestant;</text> </paragraph> <paragraph num="(c)"> <text>Disqualification of a contestant for not participating in earnest; or</text> </paragraph> <paragraph num="(d)"> <text>Unsafe ring or fenced area conditions.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The referee shall give a contestant sufficient time to recuperate when the contestant is incapacitated by a low blow or other fouling tactic.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Referee's Duties.</text> <paragraph num="(1)"> <text>A referee may touch a contestant only if the contestant fails to obey a command to break.</text> </paragraph> <paragraph num="(2)"> <text>In addition to the knockdown procedure described in COMAR 09.14.06.11, the referee shall:</text> <paragraph num="(a)"> <text>Begin a knockdown count for any contestant who leaves the ring or fenced area during the 1-minute rest period between rounds and does not resume participation when the bell signals the beginning of a round;</text> </paragraph> <paragraph num="(b)"> <text>Begin a knockdown count for any contestant who is knocked out or falls out of the ring or fenced area during a round and fails to return immediately to the ring or fenced area; and</text> </paragraph> <paragraph num="(c)"> <text>Remove the mouthpiece of a contestant after the knockdown count.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A referee shall warn a contestant and the contestant's manager or chief second in a clear and distinct manner that persistent fouling will result in a penalty before a referee assesses a penalty point.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Medical Standards for Referees.</text> <paragraph num="(1)"> <text>A referee annually shall submit to the Commission certification of the following medical examinations:</text> <paragraph num="(a)"> <text>A comprehensive physical;</text> </paragraph> <paragraph num="(b)"> <text>An ophthalmological evaluation as defined in COMAR 09.14.04.02A; and</text> </paragraph> <paragraph num="(c)"> <text>A neurological test as defined in COMAR 09.14.04.03A which is performed by a neurologist or neurosurgeon.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Senior Physician shall determine the appropriate medical documentation for nonresident applicant referees.</text> </paragraph> <paragraph num="(3)"> <text>A referee may not officiate in a contest if any of the following physical conditions are found:</text> <paragraph num="(a)"> <text>Conditions specified in COMAR 09.14.04.04B(1)—(8) and (10)—(11);</text> </paragraph> <paragraph num="(b)"> <text>Uncorrected visual acuity that is less than 20/40;</text> </paragraph> <paragraph num="(c)"> <text>Peripheral vision that is less than 100 percent; or</text> </paragraph> <paragraph num="(d)"> <text>Abnormalities suggestive of acute, subacute, or chronic nervous system abnormalities.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Physicians."> <paragraph num="A."> <text>Senior Physician. The senior physician is responsible for the health and safety of all participants during a contest and shall have the authority specified in COMAR 09.14.04.05.</text> </paragraph> <paragraph num="B."> <text>Ringside Physician. The examining physician shall exercise the duties specified in COMAR 09.14.04.05 including:</text> <paragraph num="(1)"> <text>The pre-fight examination;</text> </paragraph> <paragraph num="(2)"> <text>Examining contestants at the request of the referee; and</text> </paragraph> <paragraph num="(3)"> <text>The post-fight examination.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Judges."> <paragraph num="A."> <text>The judges appointed by the Commission shall be stationed in locations designated by the Commission.</text> </paragraph> <paragraph num="B."> <text>Judges may bring any matter to the attention of the referee at the end of a round.</text> </paragraph> <paragraph num="C."> <text>Judges shall render their scoring at the conclusion of each round.</text> </paragraph> <paragraph num="D."> <text>A judge annually shall submit to the Commission the results of an ophthalmological evaluation as defined in COMAR 09.14.04.02A.</text> </paragraph> <paragraph num="E."> <text>An individual may not judge a contest if the individual's corrected vision is less than 20/40.</text> </paragraph> <paragraph num="F."> <text>The Senior Physician shall determine the appropriate medical documentation for nonresident applicant judges.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Timekeepers."> <text>The timekeeper shall:</text> <paragraph num="A."> <text>Be provided with a whistle and accurate stopwatch;</text> </paragraph> <paragraph num="B."> <text>Be seated outside the ring, or fenced area, close to the bell and shall indicate the beginning and ending of each round by striking the bell with a metal hammer;</text> </paragraph> <paragraph num="C."> <text>Give an appropriate signal to the contestants' seconds 10 seconds before the beginning of each round;</text> </paragraph> <paragraph num="D."> <text>Inform the announcer of the exact duration of a contest that is terminated before the completion of the scheduled number of rounds;</text> </paragraph> <paragraph num="E."> <text>Keep the time for a contestant suffering a knockdown; and</text> </paragraph> <paragraph num="F."> <text>After a knockdown, rise and start counting with the stopwatch until the count of ten is reached.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Announcer."> <paragraph num="A."> <text>The announcer shall state the following:</text> <paragraph num="(1)"> <text>The name of the contestants;</text> </paragraph> <paragraph num="(2)"> <text>The correct weight of the contestants; and</text> </paragraph> <paragraph num="(3)"> <text>The decision of the referee and judges.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The announcer may announce other matters as directed by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Inspectors."> <paragraph num="A."> <text>The Commission shall assign ringside inspectors to the corners, and may also assign inspectors to dressing rooms or any other part of the arena to ensure compliance with the regulations.</text> </paragraph> <paragraph num="B."> <text>Inspectors shall remain in their assigned positions until relieved by the supervisor of the contests.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§4-205, 4-303, and 4-308, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D adopted effective February 28, 1994 (21:4 Md. R. 275)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D, E adopted effective February 28, 1994 (21:4 Md. R. 275)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D amended effective April 15, 2024 (51:7 Md. R. 332)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05F adopted effective April 15, 2024 (51:7 Md. R. 332)</annotation> </annotations> </chapter> <chapter num="08" heading="Wrestling Regulations"> <regulation prefix="Regulation" num=".01" heading="Applicability."> <paragraph num="A."> <text>These regulations apply to persons conducting wrestling matches, including persons licensed by the Commission in the following capacities:</text> <paragraph num="(1)"> <text>Wrestlers;</text> </paragraph> <paragraph num="(2)"> <text>Managers;</text> </paragraph> <paragraph num="(3)"> <text>Promoters; and</text> </paragraph> <paragraph num="(4)"> <text>Matchmakers.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Persons described in §A of this regulation, shall also be subject to all other appropriate regulations of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Contestants and Substitutions."> <paragraph num="A."> <text>The promoter shall provide the Commission with a list of wrestlers scheduled to appear in a contest at least 21 days before the date of the wrestling contest.</text> </paragraph> <paragraph num="B."> <text>Substitutions shall receive prior approval of the Commission.</text> </paragraph> <paragraph num="C."> <text>A main event substitution shall be reported immediately to the Commission with an accompanying explanation for the substitution.</text> </paragraph> <paragraph num="D."> <text>The wrestling card shall specify the number of falls required for each contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Conduct of Wrestling Contest."> <paragraph num="A."> <text>A wrestling contest shall be determined by:</text> <paragraph num="(1)"> <text>One fall; or</text> </paragraph> <paragraph num="(2)"> <text>Two out of three falls.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A one-fall contest shall be determined as follows:</text> <paragraph num="(1)"> <text>The wrestler scoring a fall within the time limit shall be declared the winner of the contest; or</text> </paragraph> <paragraph num="(2)"> <text>If neither wrestler scores a fall within the time limit, the referee shall:</text> <paragraph num="(a)"> <text>Award the decision to one of the contestants, or</text> </paragraph> <paragraph num="(b)"> <text>Call the contest a draw.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>A two-fall contest shall be determined as follows:</text> <paragraph num="(1)"> <text>The wrestler scoring two falls within the time limit shall be declared the winner of the contest;</text> </paragraph> <paragraph num="(2)"> <text>If only one fall is scored within the time limit, the wrestler scoring the one fall shall be declared the winner of the contest; or</text> </paragraph> <paragraph num="(3)"> <text>If no wrestler has scored a fall or if both wrestlers have each scored one fall, the referee shall:</text> <paragraph num="(a)"> <text>Award the decision to one of the contestants, or</text> </paragraph> <paragraph num="(b)"> <text>Call the contest a draw.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Scoring a Fall.</text> <paragraph num="(1)"> <text>A fall is scored by a wrestler when the wrestler's opponent has both shoulders touching the mat for a count of three.</text> </paragraph> <paragraph num="(2)"> <text>The referee shall signal the wrestler scoring a fall by immediately slapping the wrestler's back or shoulder.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Time Limits.</text> <paragraph num="(1)"> <text>A wrestler shall be allowed 5 minutes between falls in a contest that provides for two out of three falls.</text> </paragraph> <paragraph num="(2)"> <text>A wrestling match shall have a maximum time limit of 60 minutes.</text> </paragraph> <paragraph num="(3)"> <text>The Commission may authorize any other time limit.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Prohibited Activities.</text> <paragraph num="(1)"> <text>The following actions are prohibited:</text> <paragraph num="(a)"> <text>Striking an opponent with a fist or using the knuckles;</text> </paragraph> <paragraph num="(b)"> <text>Scratching or gouging the opponent;</text> </paragraph> <paragraph num="(c)"> <text>Butting the opponent;</text> </paragraph> <paragraph num="(d)"> <text>Slamming an opponent into a ring post;</text> </paragraph> <paragraph num="(e)"> <text>Striking an opponent with a foreign object;</text> </paragraph> <paragraph num="(f)"> <text>Kicking an opponent unless a recognized wrestling move;</text> </paragraph> <paragraph num="(g)"> <text>Stranglehold;</text> </paragraph> <paragraph num="(h)"> <text>Pulling hair;</text> </paragraph> <paragraph num="(i)"> <text>Inhibiting breathing by covering the nose and mouth at the same time;</text> </paragraph> <paragraph num="(j)"> <text>Jumping from the ring ropes onto an opponent;</text> </paragraph> <paragraph num="(k)"> <text>Deliberately leaving the ring enclosure during a contest;</text> </paragraph> <paragraph num="(l)"> <text>Unsportsmanlike or physically dangerous conduct; and</text> </paragraph> <paragraph num="(m)"> <text>Deliberately lacerating oneself or one's opponent, or, by any other means, introducing human or animal blood into the ring.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A wrestler continuing to engage in prohibited activities after sufficient warning may be disqualified by the referee.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Breaking. A wrestler:</text> <paragraph num="(1)"> <text>Shall break a hold when instructed by the referee;</text> </paragraph> <paragraph num="(2)"> <text>Failing to break upon instruction shall be given a count of four to release the hold;</text> </paragraph> <paragraph num="(3)"> <text>Failing to release the hold after the count of four shall be disqualified and the opponent shall be awarded the match by the referee.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Wrestlers Out of the Ring.</text> <paragraph num="(1)"> <text>If a wrestler is out of the ring during the contest, the opponent shall immediately retire to the opposite side of the ring and remain until the wrestler has returned within the ring and the referee has instructed them to begin wrestling.</text> </paragraph> <paragraph num="(2)"> <text>If a wrestler leaves the ring and remains on the ring apron, the referee and timekeeper shall begin a count of ten.</text> </paragraph> <paragraph num="(3)"> <text>A wrestler failing to return to the ring under §H(2) by the count of ten shall lose the match to the wrestler's opponent if the opponent is in the ring before the count of ten is concluded.</text> </paragraph> <paragraph num="(4)"> <text>If both wrestlers leave the ring and remain on the ring apron through a count of ten, then the contest shall be ended with no winner declared.</text> </paragraph> <paragraph num="(5)"> <text>If a wrestler leaves the ring and is on the floor outside of the ring, the referee and timekeeper shall begin a count of 20.</text> </paragraph> <paragraph num="(6)"> <text>A wrestler failing to return to the ring under §H(5) by the count of 20 shall lose the match to the wrestler's opponent if the opponent is in the ring before the count of 20 is concluded.</text> </paragraph> <paragraph num="(7)"> <text>If both wrestlers leave the ring and remain on the floor outside of the ring through a count of 20, then the contest shall be ended with no winner declared.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Refusal or Inability to Continue. If a wrestler refuses or is physically unable to continue a match, the match shall be ended and the decision awarded to the wrestler's opponent.</text> </paragraph> <paragraph num="J."> <text>A wrestler may not touch or otherwise interfere with the referee.</text> </paragraph> <paragraph num="K."> <text>Tag Team Wrestling.</text> <paragraph num="(1)"> <text>“Tag team wrestling” means a contest between two teams each composed of two or more wrestlers.</text> </paragraph> <paragraph num="(2)"> <text>The time limit for this type of contest shall be 60 minutes.</text> </paragraph> <paragraph num="(3)"> <text>A team shall be awarded a fall when a member of the team scores a fall against a member of the opposing team.</text> </paragraph> <paragraph num="(4)"> <text>A 2-minute rest period shall be permitted between falls.</text> </paragraph> <paragraph num="(5)"> <text>A tag team contest shall be conducted as follows:</text> <paragraph num="(a)"> <text>The contest shall begin with one wrestler from each team inside the ring while the respective partners remain outside the ring on the apron;</text> </paragraph> <paragraph num="(b)"> <text>The wrestler outside the ring may not enter the ring unless a fall is scored or his partner has tagged his hand;</text> </paragraph> <paragraph num="(c)"> <text>In order to be eligible to receive a tag, the wrestler's partner shall be outside the ring on the apron in the proper corner with both feet on the ring apron and only receive the tag over the top ring rope;</text> </paragraph> <paragraph num="(d)"> <text>When the tag is made, the wrestler making the tag shall leave the ring as the partner enters the ring;</text> </paragraph> <paragraph num="(e)"> <text>Only two wrestlers from opposing teams shall be permitted to be in the ring at any one time;</text> </paragraph> <paragraph num="(f)"> <text>After the scoring of a fall a wrestler may relieve the partner;</text> </paragraph> <paragraph num="(g)"> <text>If a wrestler is unable to continue, the wrestler's partner shall continue the contest alone;</text> </paragraph> <paragraph num="(h)"> <text>The referee may call time after an injury to permit the injured wrestler to be removed from the ring; and</text> </paragraph> <paragraph num="(i)"> <text>The decision in the match shall be governed under the guidelines in Regulation .03.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>In addition to the prohibited activities in §F, a wrestler may not:</text> <paragraph num="(a)"> <text>Assist the partner or interfere in any manner with the opponents while outside the ring enclosure; or</text> </paragraph> <paragraph num="(b)"> <text>Release the rope provided in the team corner until officially tagged by the partner.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>The referee shall warn a team of any prohibited conduct and may disqualify a team for persisting in prohibited conduct after a warning.</text> </paragraph> </paragraph> <paragraph num="L."> <text>Timekeeping. A timekeeper:</text> <paragraph num="(1)"> <text>Appointed by the Commission shall time all wrestling contests;</text> </paragraph> <paragraph num="(2)"> <text>Shall begin the beginning of the time limit of a contest upon the referee's signal and shall sound the gong at the referee's command.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Reporting Time.</text> <paragraph num="(1)"> <text>Wrestlers shall appear at least 1 hour before the scheduled contest begins.</text> </paragraph> <paragraph num="(2)"> <text>Failure to comply with §M(1) shall be cause for disciplinary action.</text> </paragraph> </paragraph> <paragraph num="N."> <text>Time of Contest.</text> <paragraph num="(1)"> <text>Wrestling contests shall begin not later than 8:30 p.m. and conclude before 11 p.m.</text> </paragraph> <paragraph num="(2)"> <text>The Commission may authorize different starting and concluding times.</text> </paragraph> </paragraph> <paragraph num="O."> <text>Seconds.</text> <paragraph num="(1)"> <text>A wrestler may have a second who:</text> <paragraph num="(a)"> <text>Shall remain in the wrestler's corner outside the ring enclosure; and</text> </paragraph> <paragraph num="(b)"> <text>May not interfere in any manner with the progress of the contest.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The referee may immediately eject from the ring area any second failing to comply with §O(1).</text> </paragraph> </paragraph> <paragraph num="P."> <text>Referee.</text> <paragraph num="(1)"> <text>The referee shall have the authority to conduct the contest and enforce the regulations of the Commission.</text> </paragraph> <paragraph num="(2)"> <text>The referee's decision on any matter, whether arising under these regulations or not, shall be final.</text> </paragraph> <paragraph num="(3)"> <text>Referees assigned to officiate a contest shall:</text> <paragraph num="(a)"> <text>Be properly attired 30 minutes before the scheduled time of the opening contest; and</text> </paragraph> <paragraph num="(b)"> <text>Remain attired and available until all matches have been concluded.</text> </paragraph> </paragraph> </paragraph> <paragraph num="Q."> <text>Wrestler's Equipment.</text> <paragraph num="(1)"> <text>A wrestler shall be clothed in clean apparel with trunks and tights that are well-fitted and whole.</text> </paragraph> <paragraph num="(2)"> <text>Two pairs of trunks, one over the other, may be worn.</text> </paragraph> <paragraph num="(3)"> <text>If a wrestler wears shoes, they shall be fitted with soft tops, soft smooth soles, soft laces, and equipped with eyelets only.</text> </paragraph> <paragraph num="(4)"> <text>A wrestler may not have any grease, lotion, or foreign substances on the body.</text> </paragraph> </paragraph> <paragraph num="R."> <text>Ring.</text> <paragraph num="(1)"> <text>The ring shall have a minimum of three ropes with the:</text> <paragraph num="(a)"> <text>Lower rope 18 inches above the ring floor;</text> </paragraph> <paragraph num="(b)"> <text>Upper rope 52 inches above the ring floor; and</text> </paragraph> <paragraph num="(c)"> <text>Middle rope equidistant between the lower and upper ropes.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Except as provided in §R(1), the ring shall meet the same requirements set forth in COMAR 09.14.05.01.</text> </paragraph> </paragraph> <paragraph num="S."> <text>Ring Barrier.</text> <paragraph num="(1)"> <text>A ring shall be enclosed within a barrier which shall be erected between the ring and the seating area in the arena.</text> </paragraph> <paragraph num="(2)"> <text>The barrier shall be at least:</text> <paragraph num="(a)"> <text>6 feet away from the ring; and</text> </paragraph> <paragraph num="(b)"> <text>4 feet away from the first row of the seating area.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The ring barrier shall conform to the following requirements:</text> <paragraph num="(a)"> <text>Be constructed of metal or other shatterproof material;</text> </paragraph> <paragraph num="(b)"> <text>Be designed to prevent wrestlers from exiting through the barrier into the seating area during a contest;</text> </paragraph> <paragraph num="(c)"> <text>Be built to a height of at least 42 inches from the floor of the arena; and</text> </paragraph> <paragraph num="(d)"> <text>Be stable.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The ring barrier shall be approved by the Commission or the Commission's representative before its use during a contest.</text> </paragraph> </paragraph> <paragraph num="T."> <text>“Ring enclosure” means the area within the ring barrier.</text> </paragraph> <paragraph num="U."> <text>Contests between a male and a female wrestler are prohibited, unless special permission is granted by the Commission after a review of the wrestlers' experience and physical fitness.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Physical Examinations."> <paragraph num="A."> <text>A wrestler shall be given a physical by a physician approved by the Commission before engaging in a contest.</text> </paragraph> <paragraph num="B."> <text>A referee shall be given a physical before officiating a contest.</text> </paragraph> <paragraph num="C."> <text>An inspector may permit a wrestler not examined under §A of this regulation, to engage in a contest if the wrestler has been examined by a licensed physician within 15 days of the scheduled contest.</text> </paragraph> <paragraph num="D."> <text>A wrestler shall submit, on a form provided by the Commission, the results of a physical examination performed within 21 days of the application for a license.</text> </paragraph> <paragraph num="E."> <text>The examining physician may disqualify a contestant or referee for:</text> <paragraph num="(1)"> <text>Blood pressure elevation, systolic pressure or diastolic pressure outside of acceptable limits as determined by the examining physician;</text> </paragraph> <paragraph num="(2)"> <text>An unhealed fracture or dislocation requiring splinting or casting; or</text> </paragraph> <paragraph num="(3)"> <text>Any other medical condition that, in the physician's opinion, renders the contestant unfit to compete, or a referee to officiate a contest.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The ringside physician may remain at the contest after completing the physical examinations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Records."> <paragraph num="A."> <text>Licensees shall maintain true and accurate books of accounts showing receipts and distributions of funds in connection with a wrestling contest.</text> </paragraph> <paragraph num="B."> <text>The records required under §A of this regulation shall be made available upon request of the Commission's representative for inspection and audit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Responsibility of Promoter."> <paragraph num="A."> <text>A promoter shall be responsible to the Commission for the conduct of its representatives and employees.</text> </paragraph> <paragraph num="B."> <text>The promoter shall be responsible for conducting wrestling contests in a safe, peaceable, and orderly fashion.</text> </paragraph> <paragraph num="C."> <text>Violation of the Commission's regulations by a representative or employee of the promoter may be grounds for disciplinary action against the promoter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Insurance Coverage."> <paragraph num="A."> <text>Each contestant shall be insured through a group insurance policy provided by the Commission as follows:</text> <paragraph num="(1)"> <text>Minimum medical expense coverage of $5,000; and</text> </paragraph> <paragraph num="(2)"> <text>Minimum coverage for death, dismemberment, or loss of sight of $5,000.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The terms and conditions of the coverage in §A of this regulation shall be governed by the insurance policy between the Commission and its insurance carrier.</text> </paragraph> <paragraph num="C."> <text>Nothing in this regulation shall preclude a promoter from providing coverage in excess of the coverage stated in §A of this regulation.</text> </paragraph> <paragraph num="D."> <text>If the promoter provides insurance coverage, a copy of the policy shall:</text> <paragraph num="(1)"> <text>Be given to the Commission not later than the final physical; and</text> </paragraph> <paragraph num="(2)"> <text>List the Commission as an additional insured.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §4-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective December 6, 1993 (20:24 Md. R. 1864)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03F amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03U amended effective January 6, 2005 (31:26 Md. R. 1861)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D and E adopted effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04E amended effective May 22, 2017 (44:10 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective September 3, 1990 (17:17 Md. R. 2079)</annotation> </annotations> </chapter> <chapter num="09" heading="Control and Taxing of Tickets"> <regulation prefix="Regulation" num=".01" heading="Approval by Commission."> <paragraph num="A."> <text>Tickets may only be sold to contests approved by the Commission.</text> </paragraph> <paragraph num="B."> <text>Tickets may not be sold for a contest before the Commission has issued a sanction for the contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Printing of Tickets."> <paragraph num="A."> <text>Each ticket shall bear the following information:</text> <paragraph num="(1)"> <text>The price;</text> </paragraph> <paragraph num="(2)"> <text>The name of the club or promoter; and</text> </paragraph> <paragraph num="(3)"> <text>The date and location of the contest.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The number of tickets printed may not exceed the actual seating capacity of the arena where the event is being held.</text> </paragraph> <paragraph num="C."> <text>Tickets for different prices may be printed on a paper stock of different colors.</text> </paragraph> <paragraph num="D."> <text>Each ticket in each ticket category shall bear a serial or seat location number.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Ticket Manifest."> <paragraph num="A."> <text>The promoter shall immediately provide to the Commission a notarized manifest from the printer of the tickets.</text> </paragraph> <paragraph num="B."> <text>The manifest shall list the total number of tickets printed and number of tickets in each price category.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Reduced Price Tickets."> <text>Tickets sold for less than the printed price shall be plainly overstamped with the actual price charged on the printed face of the ticket, including the stub that is retained by the ticket holder.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Complimentary Tickets."> <paragraph num="A."> <text>The total number of complimentary tickets, excluding press tickets, shall be:</text> <paragraph num="(1)"> <text>Not more than 100 for professional boxing, kickboxing, and mixed martial arts events in venues with under 3,000 total seats;</text> </paragraph> <paragraph num="(2)"> <text>Not more than 300 for professional boxing, kickboxing, and mixed martial arts events in venues with 3,000 total seats or more;</text> </paragraph> <paragraph num="(3)"> <text>Not more than 100 for professional wrestling events in venues with under 3,000 total seats; and</text> </paragraph> <paragraph num="(4)"> <text>Unlimited for professional wrestling events in venues with 3,000 seats or more.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Complimentary tickets shall be stamped “complimentary” or punched.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Press Passes."> <paragraph num="A."> <text>Members of the press assigned to report on a contest by their employers shall be issued a pass to attend a contest.</text> </paragraph> <paragraph num="B."> <text>Members of the press shall be issued credentials that clearly designate them as working press.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Commission Tickets."> <paragraph num="A."> <text>Two opposing rows of ringside seats designated as Commission rows shall be reserved for use by the Commission at each contest.</text> </paragraph> <paragraph num="B."> <text>The tickets in §A of this regulation shall be stamped with the word “Commission” or punched.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Commission Employee Passes."> <paragraph num="A."> <text>Employees of the Commission who are assigned to work at an event shall be issued identification badges.</text> </paragraph> <paragraph num="B."> <text>The Commission shall provide a list of employees who are assigned to work at a particular contest.</text> </paragraph> <paragraph num="C."> <text>Only those employees who are listed and present their identification at the pass gate shall be admitted without a ticket.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Refunds."> <paragraph num="A."> <text>The promoter shall issue a refund to a purchaser, upon request of the purchaser, if the advertised main event or specially added attraction does not take place at the time and date shown on the ticket.</text> </paragraph> <paragraph num="B."> <text>If any of the contestants featured in the main event or specially added attraction are not present in the arena or are determined to be unable to participate in the event at the time immediately preceding the first contest, the promoter shall promptly inform the Commission.</text> </paragraph> <paragraph num="C."> <text>The Commission's senior official shall instruct the announcer to announce the absence and inform the audience of its right to receive a refund as provided for in §D of this regulation.</text> </paragraph> <paragraph num="D."> <text>Refunds may not be granted more than 1 hour after the refund announcement is made.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Accounting for Tickets."> <paragraph num="A."> <text>Representatives of the promoters, ticket agent, and Commission shall meet after the ticket windows have closed to account for all tickets sold for the contest.</text> </paragraph> <paragraph num="B."> <text>The promoter and ticket agent shall then submit to the Commission representative a financial report on a form provided by the Commission indicating:</text> <paragraph num="(1)"> <text>The amount of tax; and</text> </paragraph> <paragraph num="(2)"> <text>Other charges due as specified by the Commission.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The promoter shall submit a check in the amount due to the Commission within 72 hours after the contest.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §4-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D adopted effective June 10, 1991 (18:11 Md. R. 1187)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective June 10, 1991 (18:11 Md. R. 1187)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended as an emergency provision effective June 7, 1999 (26:13 Md. R. 1016); emergency status expired December 6, 1999; amended permanently effective January 24, 2000 (27:2 Md. R. 75)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> </annotations> </chapter> <chapter num="10" heading="Prohibited Practices"> <regulation prefix="Regulation" num=".01" heading="Interest in Club."> <paragraph num="A."> <text>Officers or stockholders of any club, corporation, or association, interested in the promoting of contests under these regulations may not officiate in any capacity at contests sponsored by the organization.</text> </paragraph> <paragraph num="B."> <text>An individual may not have an interest as stockholder or otherwise in more than one club.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Payment for Service."> <text>A contestant may not be paid for services until the contestant has complied with COMAR 09.14.13.03.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Unruly Conduct and Betting."> <paragraph num="A."> <text>Words or conduct that may incite individuals to disturb the peace shall be prohibited and shall be reported to the appropriate law enforcement agencies.</text> </paragraph> <paragraph num="B."> <text>Betting, gambling, or wagering in any form is prohibited and shall be reported to any law enforcement agency.</text> </paragraph> <paragraph num="C."> <text>The Commission shall consider the conduct under §§A and B of this regulation in determining whether to sanction future events for an applicant or licensee.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Unsanctioned Contests."> <paragraph num="A."> <text>A licensee may not compete in or be associated with any contest held in this State that has not been sanctioned by the Commission.</text> </paragraph> <paragraph num="B."> <text>Violation of §A of this regulation may result in disciplinary action against any licensees connected with the contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Misrepresentation."> <paragraph num="A."> <text>An applicant or licensee may not misrepresent information or otherwise mislead the Commission concerning the applicant's or licensee's medical or personal history which is required to be furnished to the Commission.</text> </paragraph> <paragraph num="B."> <text>An applicant or licensee who knowingly misleads the Commission will be subject to disciplinary action by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Interference with a Commission Official."> <text>A licensee may not interfere with a Commission official in the performance of the official's duties.</text> </regulation> <regulation prefix="Regulation" num=".06-1" heading="Publishing, Announcing, or Advertising a Contestant's Record."> <text>A person may not publish or advertise a contestant's record other than the official record.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Disciplinary Action."> <text>An applicant or licensee shall be subject to disciplinary action by the Commission for negligently, willfully, or knowingly violating the provisions of this chapter.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§4-205 and 4-315, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Subtitle revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective July 13, 1986 (13:14 Md. R. 1633)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 3, 1990 (17:17 Md. R. 2079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 recodified to Regulation .07 and new Regulation .06 adopted effective July 19, 1993 (20:14 Md. R. 1168)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06-1 adopted effective February 28, 1994 (21:4 Md. R. 275)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06-1 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> </annotations> </chapter> <chapter num="11" heading="Hearing Regulations" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: October 1, 1965</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 26, 1985 (12:17 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective August 8, 1988 (15:16 Md. R. 1914)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective July 6, 2009 (36:13 Md. R. 898)</annotation> </annotations> </chapter> <chapter num="12" heading="Amateur Boxing Regulations"> <regulation prefix="Regulation" num=".01" heading="Applicability."> <paragraph num="A."> <text>These regulations apply to persons participating in an amateur boxing event in the following capacities:</text> <paragraph num="(1)"> <text>Boxers;</text> </paragraph> <paragraph num="(2)"> <text>Coaches;</text> </paragraph> <paragraph num="(3)"> <text>Officials;</text> </paragraph> <paragraph num="(4)"> <text>Physicians;</text> </paragraph> <paragraph num="(5)"> <text>Seconds;</text> </paragraph> <paragraph num="(6)"> <text>Referees;</text> </paragraph> <paragraph num="(7)"> <text>Judges.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Persons described in §A of this regulation shall also be subject to all other appropriate regulations of the Commission.</text> </paragraph> <paragraph num="C."> <text>These regulations do not apply to the following:</text> <paragraph num="(1)"> <text>Intercollegiate boxing held or given on the campus of or under the auspices of any college or university within this State;</text> </paragraph> <paragraph num="(2)"> <text>Interscholastic boxing held or given on the campus of any high school within this State.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Administration."> <paragraph num="A."> <text>Amateur boxing events of any kind, when athletes compete in amateur boxing, shall be approved by the local boxing committee of the United States of America Amateur Boxing Federation, Inc.</text> </paragraph> <paragraph num="B."> <text>Each local boxing committee which conducts amateur boxing within Maryland shall meet the following requirements:</text> <paragraph num="(1)"> <text>Submit promoter and matchmaker license applications to the Commission annually;</text> </paragraph> <paragraph num="(2)"> <text>Submit a bond in the amount of $2,000 to cover expenses incurred by the amateur boxing events to the Commission annually;</text> </paragraph> <paragraph num="(3)"> <text>Submit a list of boxers, judges, referees, and other officials registered with the United States of America Amateur Boxing Federation, Inc. local boxing committee on a regular basis;</text> </paragraph> <paragraph num="(4)"> <text>Advise the Commission as to when amateur boxing events are to take place.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Organizers and participants of amateur boxing events sanctioned by the United States of America Amateur Boxing Federation, Inc. or its local boxing committee may not be required to pay any license fees.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Technical Rules."> <text>Amateur boxing shall be governed by the "1985-86 Official Rules — USA Amateur Boxing Federation", which is incorporated by reference.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, § 4-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 13, 1986 (13:14 Md. R. 1633)</annotation> </annotations> </chapter> <chapter num="13" heading="Prohibited Substances"> <regulation prefix="Regulation" num=".01" heading="Definition."> <paragraph num="A."> <text>In this chapter, the following term has the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Term Defined. “Prohibited substance” means any controlled dangerous substance listed in Criminal Law Article, §5-101, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Urine Test Required."> <text>A contestant who signs a contract to participate in a contest sanctioned by the State Athletic Commission shall submit to a urine test.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Urine Specimen Collection Procedures."> <paragraph num="A."> <text>The Commission shall designate an inspector and observer who shall be responsible for the collection of the urine sample from each contestant.</text> </paragraph> <paragraph num="B."> <text>The contestant shall report to the designated inspector at a time and location designated by the Commission.</text> </paragraph> <paragraph num="C."> <text>The contestant shall designate an individual to act as the contestant's witness to monitor the urine sampling procedure.</text> </paragraph> <paragraph num="D."> <text>The inspector shall log the time the contestant reports to the testing area and shall, upon request, explain to the contestant instructions of the contestant's rights and responsibilities under these regulations.</text> </paragraph> <paragraph num="E."> <text>The Commission shall provide a supply of sealed test kits. Each kit shall contain two clean specimen bottles.</text> </paragraph> <paragraph num="F."> <text>The contestant shall randomly select a test kit and provide at least 30 milliliters of urine in each bottle.</text> </paragraph> <paragraph num="G."> <text>The Commission inspector and observer, and the witness designated by the contestant, shall accompany the contestant continuously from the time a test kit is selected until the time the specimen bottles are filled and the required identification documents are completed.</text> </paragraph> <paragraph num="H."> <text>The specimen bottles shall be sealed with a tamper-resistant seal by the Commission inspector or observer in the presence of the contestant and the contestant's witness.</text> </paragraph> <paragraph num="I."> <text>The contestant, the contestant's witness, and the Commission's inspector and observer shall sign two affidavits. One affidavit shall be affixed to each bottle, which will certify that the urine sample was collected in accordance with Maryland law and these regulations and that there were no irregularities in the sampling process.</text> </paragraph> <paragraph num="J."> <text>Evidence Bag.</text> <paragraph num="(1)"> <text>The inspector or observer shall place the bottles in an evidence bag and seal the evidence bag in a manner which resists tampering.</text> </paragraph> <paragraph num="(2)"> <text>The placement of the bottles into the evidence bag shall be witnessed by the contestant and the contestant's witness.</text> </paragraph> <paragraph num="(3)"> <text>The inspector, the observer, the contestant, and the contestant's witness shall certify, on a form provided by the Commission, the following:</text> <paragraph num="(a)"> <text>That at no time during the sample collection process, did any one tamper with or alter the labels, the bottles, or the urine sample;</text> </paragraph> <paragraph num="(b)"> <text>That certification labels, correctly identifying the urine sample as belonging to the contestant, were affixed to both bottles;</text> </paragraph> <paragraph num="(c)"> <text>That the inspector immediately sealed the bottles with tamper resistant tape upon receipt from the contestant and then placed the bottles in the evidence bag; and</text> </paragraph> <paragraph num="(d)"> <text>The date and time the sample bottles were placed in the evidence bag.</text> </paragraph> </paragraph> </paragraph> <paragraph num="K."> <text>Certification.</text> <paragraph num="(1)"> <text>Any perceived irregularity shall be described and recorded on the affidavit form, before the signatures are placed on the affidavit form.</text> </paragraph> <paragraph num="(2)"> <text>Irregularity in the specimen collection process shall be defined as tampering by any party with the sample kits, specimen bottles, labels, or urine specimen.</text> </paragraph> <paragraph num="(3)"> <text>The contestant shall receive a copy of the affidavit.</text> </paragraph> </paragraph> <paragraph num="L."> <text>All sealed and certified bottles shall be secured in a State Athletic Commission transportation case which shall also include a manifest of all samples collected at the event and a sample of any liquids given to the contestant to stimulate the production of urine.</text> </paragraph> <paragraph num="M."> <text>Following the collection of the final sample, the inspector and the Commission appointed courier shall inventory all the urine samples and the inspector shall release the urine samples to the custody of the courier.</text> </paragraph> <paragraph num="N."> <text>The courier shall affix a tamper resistant seal bearing the following information:</text> <paragraph num="(1)"> <text>Date and time the transportation case was sealed;</text> </paragraph> <paragraph num="(2)"> <text>Signature of the inspector; and</text> </paragraph> <paragraph num="(3)"> <text>Signature of the courier.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Testing of Samples."> <text>Testing of the urine samples specified above shall be conducted by the Laboratories Administration of the Maryland Department of Health.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Chain of Custody."> <paragraph num="A."> <text>The Commission courier shall deliver the transportation case to the Laboratories Administration of the Maryland Department of Health not later than the end of the next business day after the boxing contest.</text> </paragraph> <paragraph num="B."> <text>The Laboratories Administration shall designate an individual who will sign the manifest certifying that the transportation case has been received with the official seal intact.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Testing Procedures."> <paragraph num="A."> <text>The Laboratories Administration of the Maryland Department of Health shall perform the analyses on urine samples received from the Commission.</text> </paragraph> <paragraph num="B."> <text>The preliminary urinalysis screen shall be performed by enzyme immunoassay or thin layer chromatography to detect the presence of controlled dangerous substances.</text> </paragraph> <paragraph num="C."> <text>A urine sample which tests positive for the presence of controlled dangerous substances as defined in Regulation .01B(2) of this chapter shall be retested by a confirmatory test to confirm the presence of the controlled dangerous substance.</text> </paragraph> <paragraph num="D."> <text>The confirmatory test shall be made by gas chromatography/mass spectrometry.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Notification to the Commission of Urine Test Results."> <text>The results of the urinalysis shall be reported to the Commission not later than 21 days after receipt of the specimens for testing.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Notification of the Contestant."> <text>A contestant whose urine test was positive shall be advised in writing of the following:</text> <paragraph num="A."> <text>The test results;</text> </paragraph> <paragraph num="B."> <text>The contestant's license is under a medical suspension; and</text> </paragraph> <paragraph num="C."> <text>The date for a proposed hearing in accordance with COMAR 09.01.02.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Penalties."> <text>After a hearing, as provided in COMAR 09.01.02, the Commission shall impose the following penalties upon a contestant found to have a controlled dangerous substance in the contestant's urine sample:</text> <paragraph num="A."> <text>Suspension or revocation of license;</text> </paragraph> <paragraph num="B."> <text>Forfeiture of purse;</text> </paragraph> <paragraph num="C."> <text>If the contestant was the winner of a Commission sanctioned contest, the contestant shall be disqualified and the decision of the contest shall be changed to “No Contest”;</text> </paragraph> <paragraph num="D."> <text>If the contestant was the loser of the contest, the result shall remain unchanged.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Reinstatement of License."> <text>A licensee whose license was revoked under these regulations may apply for reinstatement after 1 year.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §4-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 28, 1987 (14:26 Md. R. 2744)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective June 10, 1991 (18:11 Md. R. 1187); July 6, 2009 (36:13 Md. R. 898)</annotation> </annotations> </chapter> <chapter num="14" heading="Kickboxing Regulations"> <regulation prefix="Regulation" num=".01" heading="Applicable Boxing Regulations."> <text>Unless otherwise indicated the regulations in COMAR Subtitle 14 pertaining to the sport of boxing shall apply to the sport of kickboxing.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Weight and Classes."> <paragraph num="A."> <text>The Commission recognizes the following weights and classes:</text> <paragraph num="(1)"> <text>Atomweight — 112.9 pounds and under (51.3 kilograms and below);</text> </paragraph> <paragraph num="(2)"> <text>Flyweight — 113 to 118 pounds (51.4—54.0 kilograms);</text> </paragraph> <paragraph num="(3)"> <text>Bantamweight — 119 to 125.9 pounds (54.1—57.2 kilograms);</text> </paragraph> <paragraph num="(4)"> <text>Featherweight — 126 to 132.9 pounds (57.3—60.4 kilograms);</text> </paragraph> <paragraph num="(5)"> <text>Lightweight — 133 to 139.9 pounds (60.4—63.6 kilograms);</text> </paragraph> <paragraph num="(6)"> <text>Light welterweight — 140 to 147.9 pounds (63.6—67.2 kilograms);</text> </paragraph> <paragraph num="(7)"> <text>Welterweight — 148 to 155.9 pounds (67.3—70.8 kilograms);</text> </paragraph> <paragraph num="(8)"> <text>Light middleweight — 156 to 163.9 pounds (70.9—74.5 kilograms);</text> </paragraph> <paragraph num="(9)"> <text>Middleweight — 164 to 171.9 pounds (74.6—78.1 kilograms);</text> </paragraph> <paragraph num="(10)"> <text>Light heavyweight — 172 to 179.9 pounds (78.2—81.4 kilograms);</text> </paragraph> <paragraph num="(11)"> <text>Heavyweight — 180 to 194.9 pounds (81.5—88.3 kilograms);</text> </paragraph> <paragraph num="(12)"> <text>Super Heavyweight — Over 195 pounds (over 88.3 kilograms).</text> </paragraph> </paragraph> <paragraph num="B."> <text>The following weight spreads are permissible for matchmaking within each weight division. Any situation in which fighters from two different weight divisions are matched shall be approved by the Commission and the weight spread used will be that of the weight division of the lighter weight. Any weight spread greater than those listed below requires the advance approval of the Commission:</text> <paragraph num="(1)"> <text>Atom and featherweight — Not more than 4 pounds (1.8 kilograms);</text> </paragraph> <paragraph num="(2)"> <text>Bantamweight — Not more than 5 pounds (2.27 kilograms);</text> </paragraph> <paragraph num="(3)"> <text>Featherweight — Not more than 6 pounds (2.72 kilograms);</text> </paragraph> <paragraph num="(4)"> <text>Lightweight — Not more than 7 pounds (3.17 kilograms);</text> </paragraph> <paragraph num="(5)"> <text>Light welterweight — Not more than 8 pounds (3.62 kilograms);</text> </paragraph> <paragraph num="(6)"> <text>Welterweight — Not more than 9 pounds (4.08 kilograms);</text> </paragraph> <paragraph num="(7)"> <text>Light middleweight — Not more than 10 pounds (4.53 kilograms);</text> </paragraph> <paragraph num="(8)"> <text>Heavyweight — Not more than 12 pounds (5.44 kilograms);</text> </paragraph> <paragraph num="(9)"> <text>Superweight — Not more than 14 pounds (6.34 kilograms).</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Rounds."> <paragraph num="A."> <text>Matches may not exceed nine 2-minute rounds with a 1-minute rest period between rounds.</text> </paragraph> <paragraph num="B."> <text>The Commission may permit an additional three rounds for the purpose of championship events.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Contestants' Safety Equipment."> <paragraph num="A."> <text>Male contestants shall wear:</text> <paragraph num="(1)"> <text>A foul-proof groin protector;</text> </paragraph> <paragraph num="(2)"> <text>Abdominal guard;</text> </paragraph> <paragraph num="(3)"> <text>Footpads; and</text> </paragraph> <paragraph num="(4)"> <text>Shin guards.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Female contestants shall wear:</text> <paragraph num="(1)"> <text>Foul-proof breast protectors; and</text> </paragraph> <paragraph num="(2)"> <text>A pelvic protective girdle which covers the pubic area, ovaries, coccyx, and side of hips.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Contestants shall meet the requirements of COMAR 09.14.04.07.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Methods of Judging."> <paragraph num="A."> <text>Judges shall score all contests and determine the winner through the use of the 10-point must system.</text> </paragraph> <paragraph num="B."> <text>The 10-point must system shall be applied as follows:</text> <paragraph num="(1)"> <text>The winner of each round receives 10 points and the opponent a proportionally less number;</text> </paragraph> <paragraph num="(2)"> <text>If a round is even, each boxer shall receive 10 points; and</text> </paragraph> <paragraph num="(3)"> <text>Fractions of points may not be awarded.</text> </paragraph> </paragraph> <paragraph num="C."> <text>During each round the referee shall instruct the master scorekeeper of points assigned to any foul as it is committed.</text> </paragraph> <paragraph num="D."> <text>Following each round and at the termination of the contest, the referee shall collect the signed ballots of the judges and deliver them to the master scorekeeper, who shall tally each contestant's score and deduct any penalty points.</text> </paragraph> <paragraph num="E."> <text>The contestant receiving the decision from a majority of the judges shall be declared the winner of the contest.</text> </paragraph> <paragraph num="F."> <text>If neither boxer is granted the decision by a majority of the judges, the contest shall be declared a draw.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Minimum Kicking Requirement."> <paragraph num="A."> <text>Each contestant shall execute a minimum of eight kicks during the course of each round.</text> </paragraph> <paragraph num="B."> <text>If either contestant does not execute the minimum number of kicks, a penalty of one point per kick less than the eight-kick minimum shall be assessed.</text> </paragraph> <paragraph num="C."> <text>If both contestants fail to execute the minimum number of kicks, the round shall be declared a draw.</text> </paragraph> <paragraph num="D."> <text>A contestant who fails in a contest of nine or more rounds to execute the minimum number of kicks in three rounds shall be disqualified.</text> </paragraph> <paragraph num="E."> <text>A contestant who fails to execute five kicks per round shall be disqualified.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Fouls."> <paragraph num="A."> <text>The following tactics are fouls and are forbidden:</text> <paragraph num="(1)"> <text>Headbutts, elbow strikes, clubbing, kicks, or punches or any other strikes to the groin, attack with the knees, openhand attacks to the eyes or throat, and striking at the part of the body over the kidney or spine, or chopping the back of the neck or head;</text> </paragraph> <paragraph num="(2)"> <text>Spitting, biting, or, in the referee's discretion, slapping;</text> </paragraph> <paragraph num="(3)"> <text>Palm heel strikes (using the heel of the palm of the hand to deliver a blow to the face);</text> </paragraph> <paragraph num="(4)"> <text>Arm bars (grabbing one arm with the other and pressing the grabbed arm against the opponent's throat);</text> </paragraph> <paragraph num="(5)"> <text>Grabbing or holding onto an opponent's leg or foot, and grabbing or holding onto any part of the body;</text> </paragraph> <paragraph num="(6)"> <text>Punching or kicking a contestant when he is down, when any part of his body, other than his feet, touches the floor; however, the opponent may continue to attack until the contestant has touched the floor with any part of the body other than the feet;</text> </paragraph> <paragraph num="(7)"> <text>Leg checking (extending the leg to check an opponent's leg or to prevent him from kicking);</text> </paragraph> <paragraph num="(8)"> <text>Purposely going down without being hit;</text> </paragraph> <paragraph num="(9)"> <text>The use of abusive language in the ring;</text> </paragraph> <paragraph num="(10)"> <text>Any unsportsmanlike trick or action causing an injury to an opponent;</text> </paragraph> <paragraph num="(11)"> <text>Attacking on the break;</text> </paragraph> <paragraph num="(12)"> <text>Attacking after the bell or gong has sounded ending the round, or when the opponent is out of the ring;</text> </paragraph> <paragraph num="(13)"> <text>Intentionally pushing, shoving, or wrestling an opponent out of the ring with any part of the body;</text> </paragraph> <paragraph num="(14)"> <text>Kicking, striking, or kicksweeping below the belt, except blows to the side and back of thighs in a kung fu contest;</text> </paragraph> <paragraph num="(15)"> <text>Failure to make eight kicks per round;</text> </paragraph> <paragraph num="(16)"> <text>Any use of throws or any takedown not executed boot-to-boot;</text> </paragraph> <paragraph num="(17)"> <text>Continuous dropping of mouthpiece;</text> </paragraph> <paragraph num="(18)"> <text>Holding and hitting;</text> </paragraph> <paragraph num="(19)"> <text>Intentional evasion of contact;</text> </paragraph> <paragraph num="(20)"> <text>Hitting or flicking with an open glove.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Use of the tactics listed in §A(1)—(20) of this regulation shall result in a warning and a loss of points as determined by the referee.</text> </paragraph> <paragraph num="C."> <text>A contestant guilty of foul tactics in a contest may be disqualified.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Termination of a Contest."> <paragraph num="A."> <text>A kickboxer suffering three knockdowns in any one round shall provide sufficient grounds to terminate a contest.</text> </paragraph> <paragraph num="B."> <text>A referee may terminate the contest if:</text> <paragraph num="(1)"> <text>Either boxer fails to execute five kicks per round;</text> </paragraph> <paragraph num="(2)"> <text>Either boxer fails to execute the minimum number of required kicks in three rounds; or</text> </paragraph> <paragraph num="(3)"> <text>In the referee's opinion, the kickboxer is unable to continue the contest.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The senior physician may terminate a contest if, in his opinion, the health of either kickboxer is in serious jeopardy.</text> </paragraph> <paragraph num="D."> <text>A kickboxer giving up a contest during a rest period between rounds shall be determined to lose the contest by technical knockout in the preceding round.</text> </paragraph> <paragraph num="E."> <text>A kickboxer failing to respond to the bell or gong signaling the beginning of a round shall be determined to lose the contest by a technical knockout in the round begun by the bell or gong.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, § 4-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 23, 1990 (17:14 Md. R. 1756)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective February 17, 1992 (19:3 Md. R. 303)</annotation> </annotations> </chapter> <chapter num="15" heading="State Championships"> <regulation prefix="Regulation" num=".01" heading="Designation."> <paragraph num="A."> <text>The Commission may designate a contest as one in which the winner is declared the State champion for the weight class in which the contest takes place.</text> </paragraph> <paragraph num="B."> <text>A contest may not be promoted as being for a State championship contest without the prior consent of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Eligibility."> <paragraph num="A."> <text>To be eligible to participate in a State championship contest, a contestant shall:</text> <paragraph num="(1)"> <text>Reside in Maryland for at least 1 year preceding the State championship contest; or</text> </paragraph> <paragraph num="(2)"> <text>Participate in at least two contests in Maryland within a 24-month period preceding the State championship contest.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In determining the eligibility of a contestant to participate in a State championship contest, the Commission shall consider the contestant's:</text> <paragraph num="(1)"> <text>Official record;</text> </paragraph> <paragraph num="(2)"> <text>Experience; and</text> </paragraph> <paragraph num="(3)"> <text>Fitness to compete in a contest pursuant to COMAR 09.14.04.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Challenging for a State Championship."> <paragraph num="A."> <text>To challenge for a State championship, a contestant shall submit a written challenge to the Commission.</text> </paragraph> <paragraph num="B."> <text>Upon determining that a contestant is eligible as provided in Regulation .02 of this chapter, the Commission, within 10 days after its determination, shall notify the existing State champion in the pertinent weight class, if any, of the:</text> <paragraph num="(1)"> <text>Filing of the challenge; and</text> </paragraph> <paragraph num="(2)"> <text>Date by which a title defense shall be made.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Defense of a State Championship."> <paragraph num="A."> <text>If a proper challenge is made, a State champion shall defend the State championship within 6 months from the date of winning or retaining a State championship.</text> </paragraph> <paragraph num="B."> <text>The Commission may extend the time within which a State championship is to be defended if:</text> <paragraph num="(1)"> <text>A determination by the Commission that a contestant is an eligible challenger is made within 30 days of the time within which the State championship is to be defended; or</text> </paragraph> <paragraph num="(2)"> <text>The State champion is suffering from an injury or ailment, certified by the Commission's medical staff, that renders the State champion unfit to participate in a contest.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Loss of State Championship."> <text>The Commission may void a State championship held by a contestant for any of the following reasons:</text> <paragraph num="A."> <text>A loss in the ring in a State championship contest;</text> </paragraph> <paragraph num="B."> <text>A forfeit in a State championship contest;</text> </paragraph> <paragraph num="C."> <text>The inability to make weight for a State championship contest;</text> </paragraph> <paragraph num="D."> <text>The failure to defend a State championship as required by Regulation .04 of this chapter;</text> </paragraph> <paragraph num="E."> <text>The winning of a regional, continental, or world championship title;</text> </paragraph> <paragraph num="F."> <text>A violation of Business Regulation Article, Title 4, Annotated Code of Maryland, or any regulation of the Commission; and</text> </paragraph> <paragraph num="G."> <text>A violation of any federal or state law other than minor traffic violations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Determination of Champion Status."> <text>A contestant is considered a State champion only by winning a State championship contest, and a contestant may not be considered a State champion by way of default.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Length and Time of Rounds."> <text>A contest to determine a State champion consists of:</text> <paragraph num="A."> <text>Ten 3-minute rounds in a boxing or kickboxing contest; and</text> </paragraph> <paragraph num="B."> <text>Five 5-minute rounds in a mixed martial arts contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Promotional Activities."> <text>A person may not promote or advertise a contestant as a State champion or challenger for a State championship in a false or misleading manner.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Championship Belt."> <paragraph num="A."> <text>The promoter of a State championship contest is responsible for the cost of a State championship belt.</text> </paragraph> <paragraph num="B."> <text>The design of a State championship belt is subject to the approval of the Commission.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §4-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 6, 1996 (23:9 Md. R. 669)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective March 9, 1998 (25:5 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05E amended effective March 9, 1998 (25:5 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective March 9, 1998 (25:5 Md. R. 367); July 6, 2009 (36:13 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective July 6, 2009 (36:13 Md. R. 898)</annotation> </annotations> </chapter> <chapter num="16" heading="Mixed Martial Arts—Professional"> <regulation prefix="Regulation" num=".01" heading="Applicable Boxing Regulations."> <text>Unless otherwise indicated, the regulations in this subtitle pertaining to the sport of boxing shall apply to the sport of professional mixed martial arts.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Weights and Classes."> <paragraph num="A."> <text>The Commission recognizes the following weights and classes in professional mixed martial arts:</text> <paragraph num="(1)"> <text>Flyweight—up to 125 pounds;</text> </paragraph> <paragraph num="(2)"> <text>Bantamweight—over 125 pounds to 135 pounds;</text> </paragraph> <paragraph num="(3)"> <text>Featherweight—over 135 pounds to 145 pounds;</text> </paragraph> <paragraph num="(4)"> <text>Lightweight—over 145 pounds to 155 pounds;</text> </paragraph> <paragraph num="(5)"> <text>Welterweight—over 155 pounds to 170 pounds;</text> </paragraph> <paragraph num="(6)"> <text>Middleweight—over 170 pounds to 185 pounds;</text> </paragraph> <paragraph num="(7)"> <text>Light heavyweight—over 185 pounds to 205 pounds;</text> </paragraph> <paragraph num="(8)"> <text>Heavyweight—over 205 pounds to 265 pounds; and</text> </paragraph> <paragraph num="(9)"> <text>Super heavyweight—all over 265 pounds.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If a mixed martial arts contestant's weight is greater than the weight specified in the promoter-contestant contract, the contest may not take place without special permission of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Mixed Martial Arts Contestant Equipment."> <paragraph num="A."> <text>General. Each mixed martial arts contestant shall use the equipment, and in the manner, specified in this regulation.</text> </paragraph> <paragraph num="B."> <text>Hand Wraps. For all weight classes, the hand wraps shall be:</text> <paragraph num="(1)"> <text>Soft gauze cloth not more than 13 yards long and 2 inches wide, distributed evenly across the hand;</text> </paragraph> <paragraph num="(2)"> <text>Held in place by not more than 10 feet of surgeon's tape, 1 inch wide, for each hand, which shall:</text> <paragraph num="(a)"> <text>Be placed directly on each hand for protection near the wrist; and</text> </paragraph> <paragraph num="(b)"> <text>Cross the back of the hand twice and extend to cover and protect the knuckles when the hand is clenched to make a fist;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Placed on a mixed martial arts contestant's hands in the dressing room in the presence of the chief second of the mixed martial arts contestant's opponent; and</text> </paragraph> <paragraph num="(4)"> <text>Be inspected and approved by the Commission prior to the gloves being placed on the hands of the mixed martial arts contestant.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Gloves. Gloves worn by each mixed martial arts contestant during a contest shall:</text> <paragraph num="(1)"> <text>Be open-fingered;</text> </paragraph> <paragraph num="(2)"> <text>Conform to specifications as determined by the Commission;</text> </paragraph> <paragraph num="(3)"> <text>Weigh between 4 and 7.5 ounces; and</text> </paragraph> <paragraph num="(4)"> <text>Be examined before the contest by a Commission representative and the referee.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A mouth guard shall be approved by the Commission.</text> </paragraph> <paragraph num="E."> <text>Groin protection shall be approved by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Proper Attire and Appearance."> <paragraph num="A."> <text>A mixed martial arts contestant, during a contest:</text> <paragraph num="(1)"> <text>Shall wear shorts approved by the Commission;</text> </paragraph> <paragraph num="(2)"> <text>May wear one or more neoprene sleeves without taping;</text> </paragraph> <paragraph num="(3)"> <text>May not be taped on any part of the body other than in a hand-wrap as described in Regulation .03B of this chapter; and</text> </paragraph> <paragraph num="(4)"> <text>May not wear shoes or any padding on the feet.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A mixed martial arts contestant shall have properly trimmed fingernails and toenails.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Fighting Area."> <paragraph num="A."> <text>A mixed martial arts contest shall be held in a ring or in a fenced area.</text> </paragraph> <paragraph num="B."> <text>A ring used for a contest of mixed martial arts shall meet the following requirements:</text> <paragraph num="(1)"> <text>The ring may not be smaller than 20 feet square and may not be larger than 32 feet square within the ropes;</text> </paragraph> <paragraph num="(2)"> <text>The ring floor shall:</text> <paragraph num="(a)"> <text>Extend at least 18 inches beyond the ropes;</text> </paragraph> <paragraph num="(b)"> <text>Be padded with ensolite or another similar closed-cell foam, with at least a 1-inch layer of foam padding, which shall extend beyond the ring ropes and over the edge of the platform;</text> </paragraph> <paragraph num="(c)"> <text>Have a top covering of canvas, duck, or similar material that:</text> <paragraph num="(i)"> <text>Does not tend to gather in lumps or ridges; and</text> </paragraph> <paragraph num="(ii)"> <text>Is tightly stretched and laced to the ring platform; and</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Be free of any obstruction or object, including a triangular border;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The ring platform:</text> <paragraph num="(a)"> <text>May not be more than 4 feet above the floor of the building; and</text> </paragraph> <paragraph num="(b)"> <text>Shall have suitable steps for the use of the mixed martial arts contestants;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The ring posts:</text> <paragraph num="(a)"> <text>Shall be made of metal;</text> </paragraph> <paragraph num="(b)"> <text>May not be more than 3 inches in diameter, extending from the floor of the building to a minimum height of 58 inches above the ring floor;</text> </paragraph> <paragraph num="(c)"> <text>Shall be at least 18 inches away from the ring ropes; and</text> </paragraph> <paragraph num="(d)"> <text>Shall be properly padded in a manner approved by the Commission; and</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The ring ropes:</text> <paragraph num="(a)"> <text>Shall be five in number;</text> </paragraph> <paragraph num="(b)"> <text>May not be less than 1 inch in diameter;</text> </paragraph> <paragraph num="(c)"> <text>Shall be wrapped in soft material; and</text> </paragraph> <paragraph num="(d)"> <text>Shall be at least 12 inches above the ring floor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>A fenced area used for a contest of mixed martial arts shall meet the following requirements:</text> <paragraph num="(1)"> <text>The fenced area shall be circular or have at least four equal sides;</text> </paragraph> <paragraph num="(2)"> <text>The fenced area may not be smaller than 20 feet wide and may not be larger than 32 feet wide in diameter;</text> </paragraph> <paragraph num="(3)"> <text>The floor of the fenced area shall:</text> <paragraph num="(a)"> <text>Be padded with ensolite or another similar closed-cell foam, with at least a 1-inch layer of foam padding; and</text> </paragraph> <paragraph num="(b)"> <text>Have a top covering of canvas, duck, or similar material that:</text> <paragraph num="(i)"> <text>Does not tend to gather in lumps or ridges; and</text> </paragraph> <paragraph num="(ii)"> <text>Is tightly stretched and laced to the platform of the fenced area;</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>The platform of the fenced area:</text> <paragraph num="(a)"> <text>May not be more than 4 feet above the floor of the building; and</text> </paragraph> <paragraph num="(b)"> <text>Shall have suitable steps for the use of the mixed martial arts contestants;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The fence posts of the fenced area shall be:</text> <paragraph num="(a)"> <text>Made of metal, not more than 6 inches in diameter, extending from the floor of the building to between 5 and 7 feet above the floor of the fenced area; and</text> </paragraph> <paragraph num="(b)"> <text>Properly padded in a manner approved by the Commission;</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The fencing used to enclose the fenced area shall be made of a material that will prevent a mixed martial arts contestant from falling out of, or breaking through, the fenced area onto the floor of the building or onto the spectators;</text> </paragraph> <paragraph num="(7)"> <text>Any metal portion of the fenced area shall be covered and padded in a manner approved by the Commission and may not be abrasive to the mixed martial arts contestants;</text> </paragraph> <paragraph num="(8)"> <text>The fenced area shall have two entrances; and</text> </paragraph> <paragraph num="(9)"> <text>There may not be any obstruction on any part of the fence surrounding the area where the mixed martial arts contestants are to be competing.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Video Screens."> <text>The promoter of a mixed martial arts contest shall hang at least two video screens that:</text> <paragraph num="A."> <text>Allow spectators and judges to view the action inside the ring or fenced area from an overhead perspective; and</text> </paragraph> <paragraph num="B."> <text>Meet the approval of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Rounds."> <paragraph num="A."> <text>A nonchampionship contest of mixed martial arts may not exceed three rounds in duration.</text> </paragraph> <paragraph num="B."> <text>A championship contest of mixed martial arts shall be five rounds in duration.</text> </paragraph> <paragraph num="C."> <text>Unless otherwise approved by the Commission, each round in a mixed martial arts contest shall be 5 minutes in duration with a 1-minute rest period between each round.</text> </paragraph> <paragraph num="D."> <text>The total number of rounds and the total number of mixed martial arts contests a promoter is authorized to schedule shall be subject to the approval of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Referee."> <text>The referee shall be:</text> <paragraph num="A."> <text>The sole arbiter of a mixed martial arts contest; and</text> </paragraph> <paragraph num="B."> <text>Other than the senior ringside physician, the only individual authorized to:</text> <paragraph num="(1)"> <text>Enter the fighting area at any time during the competition; and</text> </paragraph> <paragraph num="(2)"> <text>Stop a contest.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Method of Judging."> <paragraph num="A."> <text>All mixed martial arts contests shall be evaluated and scored by three judges.</text> </paragraph> <paragraph num="B."> <text>The 10-Point Must System shall be the standard system of scoring a mixed martial arts contest where:</text> <paragraph num="(1)"> <text>The winner of each round receives 10 points and the opponent proportionately less;</text> </paragraph> <paragraph num="(2)"> <text>If a round is even, each mixed martial arts contestant receives 10 points; and</text> </paragraph> <paragraph num="(3)"> <text>Fractions of points may not be awarded.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Judges shall evaluate mixed martial arts techniques, including:</text> <paragraph num="(1)"> <text>Effective striking;</text> </paragraph> <paragraph num="(2)"> <text>Effective grappling;</text> </paragraph> <paragraph num="(3)"> <text>Control of the fighting area;</text> </paragraph> <paragraph num="(4)"> <text>Effective aggressiveness; and</text> </paragraph> <paragraph num="(5)"> <text>Defense.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Except as provided in §K of this regulation, when scoring each round, the judges shall evaluate the mixed martial arts techniques set forth in §C of this regulation by assigning the most weight to the technique in the order it appears in §C of this regulation.</text> </paragraph> <paragraph num="E."> <text>Effective striking shall be judged by determining the total number of legal heavy strikes landed by a contestant.</text> </paragraph> <paragraph num="F."> <text>Effective grappling shall be judged by considering the number of successful executions of a legal takedown and a legal reversal including:</text> <paragraph num="(1)"> <text>A takedown from the standing position to a mount position;</text> </paragraph> <paragraph num="(2)"> <text>Passing the guard to a mount position; and</text> </paragraph> <paragraph num="(3)"> <text>A bottom position mixed martial arts contestant using an active, threatening guard.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Fighting area control shall be judged by determining which mixed martial arts contestant is dictating the pace, location, and position of the bout, including:</text> <paragraph num="(1)"> <text>Countering an attempted takedown by remaining standing and legally striking;</text> </paragraph> <paragraph num="(2)"> <text>Taking down an opponent to force a ground fight;</text> </paragraph> <paragraph num="(3)"> <text>Creating a threatening submission attempt;</text> </paragraph> <paragraph num="(4)"> <text>Passing the guard to achieve a mount; and</text> </paragraph> <paragraph num="(5)"> <text>Creating striking opportunities.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Effective aggressiveness means moving forward and landing a legal strike.</text> </paragraph> <paragraph num="I."> <text>Effective defense means avoiding being struck, taken down, or reversed while countering with offensive attacks.</text> </paragraph> <paragraph num="J."> <text>The following objective scoring criteria shall be utilized by the judges when scoring a round:</text> <paragraph num="(1)"> <text>A round shall be scored as a 10-10 round when both mixed martial arts contestants appear to be fighting evenly and neither mixed martial arts contestant shows clear dominance in a round;</text> </paragraph> <paragraph num="(2)"> <text>A round shall be scored as a 10-9 round when a mixed martial arts contestant wins by a close margin, landing the greater number of effective legal strikes, grappling, and other maneuvers;</text> </paragraph> <paragraph num="(3)"> <text>A round shall be scored as a 10-8 round when a mixed martial arts contestant overwhelmingly dominates by striking or grappling in a round; and</text> </paragraph> <paragraph num="(4)"> <text>A round shall be scored as a 10-7 round when a mixed martial arts contestant totally dominates by striking or grappling in a round.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Judges shall use a sliding scale and recognize the length of time the mixed martial arts contestants are either standing or on the ground, as follows:</text> <paragraph num="(1)"> <text>If the mixed martial arts contestant spent a majority of a round on the canvas, then:</text> <paragraph num="(a)"> <text>Effective grappling is weighed first; and</text> </paragraph> <paragraph num="(b)"> <text>Effective striking is then weighed;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the mixed martial arts contestant spent a majority of a round standing, then:</text> <paragraph num="(a)"> <text>Effective striking is weighed first; and</text> </paragraph> <paragraph num="(b)"> <text>Effective grappling is then weighed; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If a round ends with a relatively even amount of time spent standing and on the canvas, striking and grappling shall be weighed equally.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Fouls."> <paragraph num="A."> <text>A mixed martial arts contestant who flagrantly or repeatedly commits a foul may be:</text> <paragraph num="(1)"> <text>Disqualified in a contest by the referee; and</text> </paragraph> <paragraph num="(2)"> <text>Subject to disciplinary action by the Commission.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The following acts are fouls and may result in penalties:</text> <paragraph num="(1)"> <text>Butting with the head;</text> </paragraph> <paragraph num="(2)"> <text>Eye gouging of any kind;</text> </paragraph> <paragraph num="(3)"> <text>Biting or spitting at an opponent;</text> </paragraph> <paragraph num="(4)"> <text>Hair pulling;</text> </paragraph> <paragraph num="(5)"> <text>Fish hooking;</text> </paragraph> <paragraph num="(6)"> <text>Groin attacks of any kind;</text> </paragraph> <paragraph num="(7)"> <text>Intentionally placing a finger in any opponent's orifice, or into any cut or laceration of an opponent;</text> </paragraph> <paragraph num="(8)"> <text>Downward pointing of elbow strikes;</text> </paragraph> <paragraph num="(9)"> <text>Small joint manipulation;</text> </paragraph> <paragraph num="(10)"> <text>Strikes to the spine or back of the head;</text> </paragraph> <paragraph num="(11)"> <text>Strikes or kicks to the kidney;</text> </paragraph> <paragraph num="(12)"> <text>Throat strikes of any kind, including the grabbing of the trachea;</text> </paragraph> <paragraph num="(13)"> <text>Clawing, pinching, or twisting the flesh or grabbing the clavicle;</text> </paragraph> <paragraph num="(14)"> <text>Kicking the head of a grounded mixed martial arts contestant;</text> </paragraph> <paragraph num="(15)"> <text>Kneeing the head of a grounded mixed martial arts contestant;</text> </paragraph> <paragraph num="(16)"> <text>Stomping of a grounded mixed martial arts contestant;</text> </paragraph> <paragraph num="(17)"> <text>The use of abusive language in the fighting area;</text> </paragraph> <paragraph num="(18)"> <text>Any unsportsmanlike conduct that causes an injury to an opponent;</text> </paragraph> <paragraph num="(19)"> <text>Attacking an opponent on or during the break;</text> </paragraph> <paragraph num="(20)"> <text>Attacking an opponent who is under the referee's care;</text> </paragraph> <paragraph num="(21)"> <text>Timidity, including:</text> <paragraph num="(a)"> <text>Avoiding contact;</text> </paragraph> <paragraph num="(b)"> <text>Continual dropping of the contestant's mouthpiece; or</text> </paragraph> <paragraph num="(c)"> <text>Faking an injury;</text> </paragraph> </paragraph> <paragraph num="(22)"> <text>Interference from a mixed martial arts contestant's second, including throwing in the towel during competition;</text> </paragraph> <paragraph num="(23)"> <text>Throwing an opponent out of the fighting area;</text> </paragraph> <paragraph num="(24)"> <text>Flagrant disregard of the referee's instructions; and</text> </paragraph> <paragraph num="(25)"> <text>Spiking an opponent to the canvas on the head or neck.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Except as provided in §E of this regulation, if a foul is committed, the referee may:</text> <paragraph num="(1)"> <text>Call time;</text> </paragraph> <paragraph num="(2)"> <text>Check the fouled mixed martial arts contestant's condition and safety; and</text> </paragraph> <paragraph num="(3)"> <text>Assess the foul to the offending contestant and deduct one or more points, based upon the severity and effect of the foul, by notifying, as soon as practical, but not later than the end of the round in which the foul occurred:</text> <paragraph num="(a)"> <text>Both corners;</text> </paragraph> <paragraph num="(b)"> <text>The judges; and</text> </paragraph> <paragraph num="(c)"> <text>The Commission table.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Subject to the discretion of the referee, a fouled mixed martial arts contestant may have up to 5 minutes to recuperate.</text> </paragraph> <paragraph num="E."> <text>If a bottom mixed martial arts contestant commits a foul, unless the top mixed martial arts contestant is injured, the contest shall continue, so as not to jeopardize the top mixed martial arts contestant's superior positioning at the time, and the referee shall:</text> <paragraph num="(1)"> <text>Verbally notify the bottom mixed martial arts contestant of the foul; and</text> </paragraph> <paragraph num="(2)"> <text>Assess the foul and notify both corners' seconds, the judges, and the official scorekeeper of the same when the round is over.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If the referee does not call a foul and deduct one or more points, the judges may not make such an assessment on their own or factor such an assessment into their scoring calculations.</text> </paragraph> <paragraph num="G."> <text>A deduction of one or more points by the referee shall result in that number of points being deducted from the offending mixed martial arts contestant's score by the official scorekeeper.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Injuries Sustained During Competition."> <paragraph num="A."> <text>If an injury sustained during competition as a result of a legal maneuver is severe enough to terminate a contest, the injured mixed martial arts contestant shall lose by a technical knockout.</text> </paragraph> <paragraph num="B."> <text>If an injury sustained during competition as a result of an intentional foul is severe enough to terminate a contest, the mixed martial arts contestant causing the injury shall be disqualified.</text> </paragraph> <paragraph num="C."> <text>If an injury is sustained during competition as a result of an intentional foul and the contest is allowed to continue, the referee shall notify the scorekeeper to automatically deduct one or more points from the contestant who committed the foul.</text> </paragraph> <paragraph num="D."> <text>If an injury sustained during competition as a result of an intentional foul causes the injured mixed martial arts contestant to be unable to continue at a subsequent point in the contest:</text> <paragraph num="(1)"> <text>The injured mixed martial arts contestant shall win by technical decision if the contestant is ahead on the scorecards at the time of the stoppage; and</text> </paragraph> <paragraph num="(2)"> <text>The contest shall be declared a technical draw if the injured mixed martial arts contestant is even or behind on the score cards at the time of stoppage.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If a mixed martial arts contestant injures himself or herself while attempting to foul his or her opponent:</text> <paragraph num="(1)"> <text>The referee may not take any action in his or her favor; and</text> </paragraph> <paragraph num="(2)"> <text>The injury shall be treated in the same manner as an injury produced by a fair blow.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If an injury sustained during competition as a result of an accidental foul is severe enough for the referee to stop the contest immediately or in a subsequent round, the contest shall result in a no contest if:</text> <paragraph num="(1)"> <text>In a three-round contest, the contest is stopped before two rounds have been completed; or</text> </paragraph> <paragraph num="(2)"> <text>In a five-round contest, the contest is stopped before three rounds have been completed.</text> </paragraph> </paragraph> <paragraph num="G."> <text>If an injury sustained during competition as a result of an accidental foul is severe enough for the referee to stop the contest immediately or in a subsequent round, the contest shall result in a technical decision awarded to the mixed martial arts contestant who is ahead on the score cards at the time the contest is stopped if:</text> <paragraph num="(1)"> <text>In a three-round contest, the contest is stopped after two rounds have been completed; or</text> </paragraph> <paragraph num="(2)"> <text>In a five-round contest, the contest is stopped after three rounds have been completed.</text> </paragraph> </paragraph> <paragraph num="H."> <text>If an accidental foul occurs and the injured mixed martial arts contestant is able to continue, the referee shall notify both corners, the judges, and the Commission table of the accidental foul not later than the end of the round in which the accidental foul took place.</text> </paragraph> <paragraph num="I."> <text>An incomplete round may not be scored.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Results of a Contest."> <text>A mixed martial arts contest may end under any of the following results:</text> <paragraph num="A."> <text>Knockout, by the failure of a mixed martial arts contestant to rise from the canvas;</text> </paragraph> <paragraph num="B."> <text>Technical knockout, by the referee or ringside physician determining that a mixed martial arts contestant is unable to continue the contest;</text> </paragraph> <paragraph num="C."> <text>Submission by tap-out when a mixed martial arts contestant:</text> <paragraph num="(1)"> <text>Physically uses his or her hand to indicate that he or she no longer wishes to continue; or</text> </paragraph> <paragraph num="(2)"> <text>Verbally announces to the referee that he or she does not wish to continue;</text> </paragraph> </paragraph> <paragraph num="D."> <text>Decision via score cards, including:</text> <paragraph num="(1)"> <text>Unanimous decision, when all three judges score the contest in favor of the same mixed martial arts contestant;</text> </paragraph> <paragraph num="(2)"> <text>Split decision, when two judges score the contest in favor of one mixed martial arts contestant and one judge scores the contest in favor of the other mixed martial arts contestant; or</text> </paragraph> <paragraph num="(3)"> <text>Majority decision, when two judges score the contest in favor of the same mixed martial arts contestant and one judge scores the contest as a draw;</text> </paragraph> </paragraph> <paragraph num="E."> <text>Draw, including:</text> <paragraph num="(1)"> <text>Unanimous draw, when all three judges score the contest a draw;</text> </paragraph> <paragraph num="(2)"> <text>Majority draw, when two judges score the contest a draw and one judge scores the contest in favor of one of the mixed martial arts contestants; or</text> </paragraph> <paragraph num="(3)"> <text>Split draw, when one judge scores the contest in favor of one of the mixed martial arts contestants, another judge scores the contest in favor of the other mixed martial arts contestant, and the third judge scores the contest a draw;</text> </paragraph> </paragraph> <paragraph num="F."> <text>Technical draw, when an injury sustained during competition as a result of an intentional foul causes the injured mixed martial arts contestant to be unable to continue, and the injured mixed martial arts contestant is even or behind on the score cards at the time of stoppage;</text> </paragraph> <paragraph num="G."> <text>Technical decision, when the contest is prematurely stopped due to an accidental injury, and a mixed martial arts contestant is leading on the score cards;</text> </paragraph> <paragraph num="H."> <text>No contest, when a contest is prematurely stopped due to accidental injury, and a sufficient number of rounds have not been completed to render a decision via the score cards; or</text> </paragraph> <paragraph num="I."> <text>Disqualification, as provided in Regulation .10A of this chapter.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§4-205 and 4-301, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 6, 2009 (36:13 Md. R. 898)</annotation> </annotations> </chapter> <chapter num="17" heading="Mixed Martial Arts — Amateur"> <regulation prefix="Regulation" num=".01" heading="General."> <paragraph num="A."> <text>Definition.</text> <paragraph num="(1)"> <text>In this chapter, the following term has the meaning indicated.</text> </paragraph> <paragraph num="(2)"> <text>Term Defined. “Organization” means an amateur kickboxing organization or an amateur mixed martial arts organization, as described in Business Regulation Article, §4-302(a)(3), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>All amateur mixed martial arts contests shall be conducted under the supervision of an organization.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Organization Supervising Amateur Mixed Martial Arts."> <text>An organization seeking to supervise an amateur mixed martial arts contest shall:</text> <paragraph num="A."> <text>Be approved by the Commission;</text> </paragraph> <paragraph num="B."> <text>Ensure that all contests are conducted in accordance with these regulations regarding amateur mixed martial arts;</text> </paragraph> <paragraph num="C."> <text>Have a Commission-approved training and certification program for officials;</text> </paragraph> <paragraph num="D."> <text>Provide the Commission with evidence demonstrating:</text> <paragraph num="(1)"> <text>A minimum of $100,000 in liability insurance coverage for the officials; and</text> </paragraph> <paragraph num="(2)"> <text>A minimum of $10,000 in medical insurance coverage for the amateur mixed martial arts contestants;</text> </paragraph> </paragraph> <paragraph num="E."> <text>Provide the Commission with any other information it may request, provided the Commission request is neither arbitrary nor capricious;</text> </paragraph> <paragraph num="F."> <text>Ensure the presence of two Commission-approved ringside physicians on-site and at ringside at all times during the amateur mixed martial arts contests being supervised by the organization;</text> </paragraph> <paragraph num="G."> <text>Ensure the presence of the following equipment and personnel on-site at all times during the amateur mixed martial arts contests being supervised by the organization:</text> <paragraph num="(1)"> <text>A stretcher;</text> </paragraph> <paragraph num="(2)"> <text>A portable resuscitator or Ambubag with oxygen equipment;</text> </paragraph> <paragraph num="(3)"> <text>A hard cervical collar;</text> </paragraph> <paragraph num="(4)"> <text>Endotracheal tubes with laryngoscope;</text> </paragraph> <paragraph num="(5)"> <text>A portable defibrillator;</text> </paragraph> <paragraph num="(6)"> <text>Advanced life support medications; and</text> </paragraph> <paragraph num="(7)"> <text>An ambulance crew consisting of:</text> <paragraph num="(a)"> <text>One emergency medical technician—paramedic (EMT-P); and</text> </paragraph> <paragraph num="(b)"> <text>One emergency medical technician—basic (EMT-B);</text> </paragraph> </paragraph> </paragraph> <paragraph num="H."> <text>Ensure that the officials used by the organization in the supervision of the amateur mixed martial arts contests have been approved by the Commission;</text> </paragraph> <paragraph num="I."> <text>Ensure that none of the amateur mixed martial arts contestants receives any type of purse payment or other form of compensation other than Commission-approved travel expenses;</text> </paragraph> <paragraph num="J."> <text>Obtain from each amateur mixed martial arts contestant a signed affidavit in which the amateur mixed martial arts contestant attests that he or she:</text> <paragraph num="(1)"> <text>Has been trained in mixed martial arts, including the number of years of the training;</text> </paragraph> <paragraph num="(2)"> <text>Is sufficiently skilled, healthy, and prepared to compete in the scheduled amateur mixed martial arts contest;</text> </paragraph> <paragraph num="(3)"> <text>Understands the dangers and risks attendant to participating in amateur mixed martial arts;</text> </paragraph> <paragraph num="(4)"> <text>Waives any claim against the organization supervising the amateur mixed martial arts contest and the Commission related to any injury he or she sustains while participating in amateur mixed martial arts;</text> </paragraph> <paragraph num="(5)"> <text>Is not under suspension in any jurisdiction or by any organization supervising amateur mixed martial arts contests;</text> </paragraph> <paragraph num="(6)"> <text>Has never participated in a professional mixed martial arts contest; and</text> </paragraph> <paragraph num="(7)"> <text>Last participated in an amateur mixed martial arts contest on a specified date, and the result of that amateur mixed martial arts contest;</text> </paragraph> </paragraph> <paragraph num="K."> <text>Obtain from the trainer of each amateur mixed martial arts contestant a signed affidavit in which the trainer attests to:</text> <paragraph num="(1)"> <text>The name, address, and telephone number of the gym or school in which the trainer performs his or her duties;</text> </paragraph> <paragraph num="(2)"> <text>The length of time the trainer has trained the amateur mixed martial arts contestant; and</text> </paragraph> <paragraph num="(3)"> <text>The fact that the amateur mixed martial arts contestant:</text> <paragraph num="(a)"> <text>Is sufficiently skilled, healthy, and prepared to compete in the scheduled amateur mixed martial arts contest;</text> </paragraph> <paragraph num="(b)"> <text>Has never participated in a professional mixed martial arts contest; and</text> </paragraph> <paragraph num="(c)"> <text>Is not under suspension in any jurisdiction or by any organization supervising professional or amateur mixed martial arts;</text> </paragraph> </paragraph> </paragraph> <paragraph num="L."> <text>Ensure that there are no exhibition bouts;</text> </paragraph> <paragraph num="M."> <text>Conduct a weigh-in, which shall be completed not later than 2 hours from the time the weigh-in begins;</text> </paragraph> <paragraph num="N."> <text>Ensure that each amateur mixed martial arts contestants has a:</text> <paragraph num="(1)"> <text>Comprehensive physical examination conducted by a licensed physician, completed within 30 days of the amateur mixed martial arts contest, stating that the mixed martial arts contestant is healthy to compete in an amateur mixed martial arts contest;</text> </paragraph> <paragraph num="(2)"> <text>Precontest physical examination conducted by a Commission-approved ringside physician; and</text> </paragraph> <paragraph num="(3)"> <text>Post-contest physical examination immediately following the conclusion of the contest in which the amateur mixed martial arts contestant competes;</text> </paragraph> </paragraph> <paragraph num="O."> <text>Conduct a precontest rules meeting, which shall be attended by each amateur mixed martial arts contestant scheduled to participate in a contest, and disqualify any amateur mixed martial arts contestant who fails to attend;</text> </paragraph> <paragraph num="P."> <text>Inspect the fighting area before the amateur mixed martial arts contest begins; and</text> </paragraph> <paragraph num="Q."> <text>Supervise the hand wrapping and glove placement for each amateur mixed martial arts contestant.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Promoters."> <text>The promoter of an amateur mixed martial arts contest shall:</text> <paragraph num="A."> <text>Obtain sanctioning approval from an organization to supervise the contest, including the payment of any applicable fees;</text> </paragraph> <paragraph num="B."> <text>Notify the organization of the date, time, and location of the amateur mixed martial arts contest at least 60 days prior to the date the contest is scheduled to be held;</text> </paragraph> <paragraph num="C."> <text>Agree that the organization will be responsible for appointing the officials for the amateur mixed martial arts contests, and that the promoter will not be permitted to officiate the contests he or she promotes;</text> </paragraph> <paragraph num="D."> <text>Be responsible for paying the officials the following fees, subject to increase if more than 15 contests are scheduled:</text> <paragraph num="(1)"> <text>One referee at a minimum of $100 per eight contests;</text> </paragraph> <paragraph num="(2)"> <text>Three judges at a minimum of $100 each;</text> </paragraph> <paragraph num="(3)"> <text>Two inspectors at a minimum of $75 each;</text> </paragraph> <paragraph num="(4)"> <text>One timekeeper at a minimum of $75;</text> </paragraph> <paragraph num="(5)"> <text>One scorekeeper at a minimum of $75; and</text> </paragraph> <paragraph num="(6)"> <text>Two ringside physicians at a minimum of $200 each; and</text> </paragraph> </paragraph> <paragraph num="E."> <text>Within 48 hours prior to a scheduled amateur mixed martial contest, submit to the organization, in writing:</text> <paragraph num="(1)"> <text>A list containing the following for each amateur mixed martial arts contestant scheduled to participate in the contest:</text> <paragraph num="(a)"> <text>Name;</text> </paragraph> <paragraph num="(b)"> <text>Address;</text> </paragraph> <paragraph num="(c)"> <text>Telephone number;</text> </paragraph> <paragraph num="(d)"> <text>Age;</text> </paragraph> <paragraph num="(e)"> <text>Height and weight;</text> </paragraph> <paragraph num="(f)"> <text>Trainer;</text> </paragraph> <paragraph num="(g)"> <text>Trainer's telephone number;</text> </paragraph> <paragraph num="(h)"> <text>Training gym or school; and</text> </paragraph> <paragraph num="(i)"> <text>Amateur mixed martial arts record;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A certification that two Commission-approved ringside physicians will be on-site and at ringside at all times when competition is ongoing;</text> </paragraph> <paragraph num="(3)"> <text>A certification that the requirements of Regulation .02G of this chapter will be met;</text> </paragraph> <paragraph num="(4)"> <text>A certification that the contests will be conducted under the amateur mixed martial arts regulations of the Commission;</text> </paragraph> <paragraph num="(5)"> <text>The required medical insurance and accidental death insurance policies, as described in Regulation .02D of this chapter; and</text> </paragraph> <paragraph num="(6)"> <text>Any other information the organization may reasonably request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Additional Duties and Responsibilities of a Promoter."> <paragraph num="A."> <text>A promoter shall provide the following equipment at an amateur mixed martial arts contest:</text> <paragraph num="(1)"> <text>Gloves:</text> <paragraph num="(a)"> <text>Approved by the organization;</text> </paragraph> <paragraph num="(b)"> <text>Weighing from 4.0 to 7.5 ounces; and</text> </paragraph> <paragraph num="(c)"> <text>In red and blue to denote the color for each corner;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Gauze and surgeon's tape for the contestant's wraps at each contest;</text> </paragraph> <paragraph num="(3)"> <text>Shin and instep guards in various sizes, approved by the organization, in red and blue to denote the color for each corner;</text> </paragraph> <paragraph num="(4)"> <text>Disposable gloves for each second, each referee, and each ringside physician; and</text> </paragraph> <paragraph num="(5)"> <text>For each second, a form of identification indicating that person is allowed:</text> <paragraph num="(a)"> <text>Access into the ring or fenced area; and</text> </paragraph> <paragraph num="(b)"> <text>To be in a corner.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Prior to handing out equipment, a promoter shall clean each piece, inside and out, with antibacterial disinfectant wipes.</text> </paragraph> <paragraph num="C."> <text>After each amateur mixed martial arts contestant returns his or her equipment, a promoter shall clean each piece, inside and out, with antibacterial disinfectant wipes before issuing the equipment to another amateur mixed martial arts contestant.</text> </paragraph> <paragraph num="D."> <text>After all equipment is returned at the end of all of the contests, a promoter shall clean each piece of equipment, inside and out, with antibacterial disinfectant wipes.</text> </paragraph> <paragraph num="E."> <text>A promoter shall make hand sanitizer available to all amateur mixed martial arts contestants, which shall be kept at the equipment table and used by each amateur mixed martial arts contestant:</text> <paragraph num="(1)"> <text>Prior to putting on his or her wraps; and</text> </paragraph> <paragraph num="(2)"> <text>After his or her contest, when the wraps are removed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Physical Examination."> <paragraph num="A."> <text>Each amateur mixed martial arts contestant shall submit to the organization a comprehensive physical examination by a licensed physician, completed within 30 days of the amateur mixed martial arts contest, stating that the mixed martial arts contestant is healthy to compete in an amateur mixed martial arts contest.</text> </paragraph> <paragraph num="B."> <text>Each amateur mixed martial arts contestant shall be examined by a Commission-approved ringside physician and be approved to participate prior to participating in an amateur mixed martial arts contest.</text> </paragraph> <paragraph num="C."> <text>The failure of an amateur mixed martial arts contestant to be examined in accordance with §§A and B of this regulation shall result in the disqualification of the amateur mixed martial arts contestant.</text> </paragraph> <paragraph num="D."> <text>Each amateur mixed martial arts contestant shall be examined by a Commission-approved ringside physician immediately after the amateur mixed martial arts contestant participates in an amateur mixed martial arts contest.</text> </paragraph> <paragraph num="E."> <text>The failure of an amateur mixed martial arts contestant to be examined in accordance with §D of this regulation shall result in a minimum 90-day suspension of the amateur mixed martial arts contestant.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Weight and Classes."> <paragraph num="A."> <text>Men's Division. The Commission recognizes the following weights and classes in amateur mixed martial arts for male contestants:</text> <paragraph num="(1)"> <text>Flyweight—up to 112 pounds;</text> </paragraph> <paragraph num="(2)"> <text>Bantamweight—over 112 pounds to 118 pounds;</text> </paragraph> <paragraph num="(3)"> <text>Super bantamweight—over 118 pounds to 122 pounds;</text> </paragraph> <paragraph num="(4)"> <text>Featherweight—over 122 pounds to 126 pounds;</text> </paragraph> <paragraph num="(5)"> <text>Super featherweight—over 126 pounds to 130 pounds;</text> </paragraph> <paragraph num="(6)"> <text>Lightweight—over 130 pounds to 135 pounds;</text> </paragraph> <paragraph num="(7)"> <text>Super lightweight—over 135 pounds to 140 pounds;</text> </paragraph> <paragraph num="(8)"> <text>Welterweight—over 140 pounds to 147 pounds;</text> </paragraph> <paragraph num="(9)"> <text>Super welterweight—over 147 pounds to 154 pounds;</text> </paragraph> <paragraph num="(10)"> <text>Middleweight—over 154 pounds to 160 pounds;</text> </paragraph> <paragraph num="(11)"> <text>Super middleweight—over 160 pounds to 167 pounds;</text> </paragraph> <paragraph num="(12)"> <text>Light heavyweight—over 167 pounds to 175 pounds;</text> </paragraph> <paragraph num="(13)"> <text>Super light heavyweight—over 175 pounds to 183 pounds;</text> </paragraph> <paragraph num="(14)"> <text>Cruiserweight—over 183 pounds to 190 pounds;</text> </paragraph> <paragraph num="(15)"> <text>Super cruiserweight—over 190 pounds to 195 pounds;</text> </paragraph> <paragraph num="(16)"> <text>Heavyweight—over 195 pounds to 210 pounds; and</text> </paragraph> <paragraph num="(17)"> <text>Super heavyweight—all over 210 pounds.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Women's Division. The Commission recognizes the following weights and classes in amateur mixed martial arts for female contestants:</text> <paragraph num="(1)"> <text>Flyweight—up to 105 pounds;</text> </paragraph> <paragraph num="(2)"> <text>Bantamweight—over 105 pounds to 114 pounds;</text> </paragraph> <paragraph num="(3)"> <text>Featherweight—over 114 pounds to 123 pounds;</text> </paragraph> <paragraph num="(4)"> <text>Lightweight—over 123 pounds to 132 pounds;</text> </paragraph> <paragraph num="(5)"> <text>Welterweight—over 132 pounds to 141 pounds;</text> </paragraph> <paragraph num="(6)"> <text>Middleweight—over 141 pounds to 150 pounds;</text> </paragraph> <paragraph num="(7)"> <text>Light heavyweight—over 150 pounds to 159 pounds;</text> </paragraph> <paragraph num="(8)"> <text>Cruiserweight—over 159 pounds to 168 pounds; and</text> </paragraph> <paragraph num="(9)"> <text>Heavyweight—all over 168 pounds.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Weight differences between contestants may not exceed 7 pounds.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Weigh-In."> <paragraph num="A."> <text>A weigh-in shall be completed within 2 hours from the time of its commencement.</text> </paragraph> <paragraph num="B."> <text>If an amateur mixed martial arts contestant is not present at the weigh-in, the amateur mixed martial arts contestant may not be allowed to participate in the contest for which he or she was scheduled.</text> </paragraph> <paragraph num="C."> <text>At the weigh-in, if an amateur mixed martial arts contestant is over the allowable weight, a second weigh-in may be conducted not more than 1 hour after the initial weigh-in.</text> </paragraph> <paragraph num="D."> <text>An amateur mixed martial arts contestant may not be permitted to lose more than 2 pounds between the first and second weigh-in.</text> </paragraph> <paragraph num="E."> <text>If an amateur mixed martial arts contestant does not make weight or fails to attend the weigh-in, the contest in which the amateur mixed martial arts contestant was scheduled to participate shall be canceled.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Equipment, Attire, and Appearance."> <paragraph num="A."> <text>An amateur mixed martial arts contestant shall use:</text> <paragraph num="(1)"> <text>Hand wraps as described in COMAR 09.14.16.03B;</text> </paragraph> <paragraph num="(2)"> <text>Open finger gloves, which shall weigh not less than 4 ounces and not more than 7.5 ounces;</text> </paragraph> <paragraph num="(3)"> <text>A mouth guard;</text> </paragraph> <paragraph num="(4)"> <text>Shin pads;</text> </paragraph> <paragraph num="(5)"> <text>Instep pads; and</text> </paragraph> <paragraph num="(6)"> <text>For male contestants, groin protection.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An amateur mixed martial arts contestant may not use:</text> <paragraph num="(1)"> <text>Shoes or sneakers;</text> </paragraph> <paragraph num="(2)"> <text>Shorts with a metal zipper;</text> </paragraph> <paragraph num="(3)"> <text>A shirt, other than a female amateur mixed martial arts contestant, who shall wear a rashguard; or</text> </paragraph> <paragraph num="(4)"> <text>Grease, oil, balm, lotion, or an excessive amount of petroleum jelly on the face or body.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An amateur mixed martial arts contestant shall have properly trimmed fingernails and toenails.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Rounds."> <paragraph num="A."> <text>Unless the organization agrees to fewer rounds per contest or rounds of a lesser duration, each amateur mixed martial arts contest shall consist of three 3-minute rounds with a 1-minute rest period between each round.</text> </paragraph> <paragraph num="B."> <text>The organization shall prescribe the total number of rounds and the total number of amateur mixed martial arts contests a promoter is authorized to schedule.</text> </paragraph> <paragraph num="C."> <text>Not more than one corner person for each amateur MMA contestant may be in the fighting area between rounds.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Seconds."> <paragraph num="A."> <text>More than three seconds may not be in the corner of each amateur mixed martial arts contestant.</text> </paragraph> <paragraph num="B."> <text>All seconds shall wear disposable gloves.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Legal Techniques."> <paragraph num="A."> <text>The following techniques are permissible in amateur mixed martial arts while an amateur mixed martial arts contestant is in a standing position:</text> <paragraph num="(1)"> <text>Closed hand strikes to head and body;</text> </paragraph> <paragraph num="(2)"> <text>Kicking techniques to body;</text> </paragraph> <paragraph num="(3)"> <text>Knees to body and legs;</text> </paragraph> <paragraph num="(4)"> <text>Throws, takedowns, and sweeps;</text> </paragraph> <paragraph num="(5)"> <text>Standing submissions;</text> </paragraph> <paragraph num="(6)"> <text>Chokes;</text> </paragraph> <paragraph num="(7)"> <text>Arm bars; and</text> </paragraph> <paragraph num="(8)"> <text>Shouldering.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The following techniques are permissible in amateur mixed martial arts while an amateur mixed martial arts contestant is on the ground:</text> <paragraph num="(1)"> <text>Closed hand strikes to the body and legs; and</text> </paragraph> <paragraph num="(2)"> <text>Submissions restricted to those accomplished by:</text> <paragraph num="(a)"> <text>Chokes;</text> </paragraph> <paragraph num="(b)"> <text>Arm bars; or</text> </paragraph> <paragraph num="(c)"> <text>Straight leg locks.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Illegal Techniques."> <paragraph num="A."> <text>The following techniques are not permissible in amateur mixed martial arts while an amateur mixed martial arts contestant is in a standing position:</text> <paragraph num="(1)"> <text>Striking an opponent with the elbows;</text> </paragraph> <paragraph num="(2)"> <text>Striking with the knees to the head of an opponent;</text> </paragraph> <paragraph num="(3)"> <text>Kicking the knees of an opponent;</text> </paragraph> <paragraph num="(4)"> <text>Stomping the feet of an opponent;</text> </paragraph> <paragraph num="(5)"> <text>Striking the groin of an opponent;</text> </paragraph> <paragraph num="(6)"> <text>Striking the back of an opponent's head;</text> </paragraph> <paragraph num="(7)"> <text>Striking the spine of an opponent;</text> </paragraph> <paragraph num="(8)"> <text>Slamming an opponent to the ground;</text> </paragraph> <paragraph num="(9)"> <text>Throwing an opponent onto his or her head or neck;</text> </paragraph> <paragraph num="(10)"> <text>Throwing an opponent against a joint;</text> </paragraph> <paragraph num="(11)"> <text>Throwing an opponent out of the competition area;</text> </paragraph> <paragraph num="(12)"> <text>Cranking the neck of an opponent;</text> </paragraph> <paragraph num="(13)"> <text>Pinching, biting, or gouging an opponent;</text> </paragraph> <paragraph num="(14)"> <text>Holding onto the ropes of enclosure; and</text> </paragraph> <paragraph num="(15)"> <text>Striking or kicking the kidney of an opponent.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The following techniques are not permissible in amateur mixed martial arts while an amateur mixed martial arts contestant is on the ground:</text> <paragraph num="(1)"> <text>Any striking of an opponent's head;</text> </paragraph> <paragraph num="(2)"> <text>Any striking of an opponent with an elbow;</text> </paragraph> <paragraph num="(3)"> <text>Cranking of an opponent's neck;</text> </paragraph> <paragraph num="(4)"> <text>Hooking an opponent's heel;</text> </paragraph> <paragraph num="(5)"> <text>Locking an opponent's finger or toe;</text> </paragraph> <paragraph num="(6)"> <text>Choking an opponent by the placement of a hand on the opponent's throat;</text> </paragraph> <paragraph num="(7)"> <text>Smothering an opponent by the placement of a hand over the opponent's mouth;</text> </paragraph> <paragraph num="(8)"> <text>Locking an opponent's spine;</text> </paragraph> <paragraph num="(9)"> <text>Placing an opponent in a hammer lock;</text> </paragraph> <paragraph num="(10)"> <text>Fish hooking an opponent;</text> </paragraph> <paragraph num="(11)"> <text>Striking an opponent in the groin;</text> </paragraph> <paragraph num="(12)"> <text>Striking an opponent in the spine;</text> </paragraph> <paragraph num="(13)"> <text>Slamming an opponent to the ground;</text> </paragraph> <paragraph num="(14)"> <text>Throwing an opponent out of the competition area;</text> </paragraph> <paragraph num="(15)"> <text>Pinching, biting, or gouging an opponent;</text> </paragraph> <paragraph num="(16)"> <text>Twisting an opponent's leg, knee, or ankle; and</text> </paragraph> <paragraph num="(17)"> <text>Striking or kicking the kidney of an opponent.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Injuries Sustained During Competition."> <paragraph num="A."> <text>If an injury sustained during competition as a result of a legal maneuver is severe enough to terminate a contest, the injured amateur mixed martial arts contestant shall lose by a technical knockout.</text> </paragraph> <paragraph num="B."> <text>If an injury sustained during competition as a result of an intentional foul is severe enough to terminate a contest, the amateur mixed martial arts contestant causing the injury shall be disqualified.</text> </paragraph> <paragraph num="C."> <text>If an injury is sustained during competition as a result of an intentional foul and the contest is allowed to continue, the referee shall notify the scorekeeper to automatically deduct one or more points from the contestant who committed the foul.</text> </paragraph> <paragraph num="D."> <text>If an injury sustained during competition as a result of an intentional foul causes the injured amateur mixed martial arts contestant to be unable to continue at a subsequent point in the contest:</text> <paragraph num="(1)"> <text>The injured amateur mixed martial arts contestant shall win by technical decision if he or she is ahead on the scorecards at the time of the stoppage; and</text> </paragraph> <paragraph num="(2)"> <text>The contest shall be declared a technical draw if the injured amateur mixed martial arts contestant is even or behind on the score cards at the time of stoppage.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If an amateur mixed martial arts contestant injures himself or herself while attempting to foul his or her opponent:</text> <paragraph num="(1)"> <text>The referee may not take any action in his or her favor; and</text> </paragraph> <paragraph num="(2)"> <text>The injury shall be treated in the same manner as an injury produced by a fair blow.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If an accidental foul occurs and the injured mixed martial arts contestant is able to continue, the referee shall notify both corners, the judges, and the organization of the accidental foul not later than the end of the round in which the accidental foul took place.</text> </paragraph> <paragraph num="G."> <text>If an injury sustained during competition as a result of an accidental foul is severe enough for the referee to stop the contest immediately or in a subsequent round, the contest shall result in a no contest if the accidental foul occurs before one round has been completed in a three-round contest.</text> </paragraph> <paragraph num="H."> <text>If an injury sustained during competition as a result of an accidental foul is severe enough for the referee to stop the contest immediately or in a subsequent round, the contest shall result in a technical decision awarded to the amateur mixed martial arts contestant who is ahead on the score cards at the time the contest is stopped if the contest is stopped after one round has been completed in a three-round contest.</text> </paragraph> <paragraph num="I."> <text>An incomplete round may not be scored.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Results of a Contest."> <paragraph num="A."> <text>An amateur mixed martial arts contest may end under any of the results described in COMAR 09.14.16.12.</text> </paragraph> <paragraph num="B."> <text>The organization shall report the results of each amateur mixed martial arts contest, and any suspension resulting from the contest, to the mixed martial arts record keeper, certified by the Association of Boxing Commissions, within a time frame prescribed by the Association of Boxing Commissions.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§4-205 and 4-302, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 6, 2009 (36:13 Md. R. 898)</annotation> </annotations> </chapter> <chapter num="18" heading="Muay Thai Regulations — Professional"> <regulation prefix="Regulation" num=".01" heading="Applicable Boxing Regulations."> <text>Unless otherwise indicated, the regulations in this subtitle pertaining to the sport of boxing shall apply to the sport of Professional Muay Thai.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated and, unless otherwise indicated, the regulations in this subtitle pertaining to the sport of boxing shall apply to the sport of Professional Muay Thai.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Commission” means the State Athletic Commission of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Contest” means any Muay Thai:</text> <paragraph num="(a)"> <text>Competition;</text> </paragraph> <paragraph num="(b)"> <text>Match;</text> </paragraph> <paragraph num="(c)"> <text>Performance; or</text> </paragraph> <paragraph num="(d)"> <text>Show.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Contestant” means a Muay Thai fighter who participates against an opponent in a contest.</text> </paragraph> <paragraph num="(4)"> <text>Manager.</text> <paragraph num="(a)"> <text>“Manager” means a person who, under contract, agreement, or other arrangement, undertakes to control or administer, directly or indirectly, a Muay Thai contest-related matter on behalf of a contestant.</text> </paragraph> <paragraph num="(b)"> <text>“Manager” includes, but is not limited to:</text> <paragraph num="(i)"> <text>A booking agent; and</text> </paragraph> <paragraph num="(ii)"> <text>An advisor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Muay Thai” means a competition in which contestants use interdisciplinary forms of fighting, including striking with the hands, feet, knees, or elbows.</text> </paragraph> <paragraph num="(6)"> <text>“Official record” means the cumulative results of Muay Thai contests, sanctioned by a regulatory agency, in which a contestant has participated.</text> </paragraph> <paragraph num="(7)"> <text>“Promoter” means an individual, partnership, corporation, club, association or other organization that gives, holds, or otherwise conducts a Muay Thai contest within the State.</text> </paragraph> <paragraph num="(8)"> <text>“Regulatory agency” means a commission, board, or other entity of a state, commonwealth, territory, or country, created by law or executive order, which regulates Muay Thai contests.</text> </paragraph> <paragraph num="(9)"> <text>“Second” means an individual who assists a Muay Thai contestant during a contest.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Weights and Classes."> <paragraph num="A."> <text>The Commission recognizes the following weights and classes in Professional Muay Thai:</text> <paragraph num="(1)"> <text>Mini-Flyweight up to and including 105 pounds</text> </paragraph> <paragraph num="(2)"> <text>Light-Flyweight over 105 to 108 pounds;</text> </paragraph> <paragraph num="(3)"> <text>Flyweight over 108 to 112 pounds;</text> </paragraph> <paragraph num="(4)"> <text>Super-Flyweight over 112 to 115 pounds;</text> </paragraph> <paragraph num="(5)"> <text>Bantamweight over 115 to 118 pounds;</text> </paragraph> <paragraph num="(6)"> <text>Super-Bantamweight over 118 to 122 pounds;</text> </paragraph> <paragraph num="(7)"> <text>Featherweight over 122 to 126 pounds;</text> </paragraph> <paragraph num="(8)"> <text>Super-Featherweight over 126 to 130 pounds;</text> </paragraph> <paragraph num="(9)"> <text>Lightweight over 130 to 135 pounds;</text> </paragraph> <paragraph num="(10)"> <text>Super Lightweight over 135 to 140 pounds ;</text> </paragraph> <paragraph num="(11)"> <text>Welterweight over 140 to 147 pounds;</text> </paragraph> <paragraph num="(12)"> <text>Super-Welterweight over 147 to 154 pounds;</text> </paragraph> <paragraph num="(13)"> <text>Middleweight over 154 to 160 pounds;</text> </paragraph> <paragraph num="(14)"> <text>Super Middleweight over 160 to 168 pounds;</text> </paragraph> <paragraph num="(15)"> <text>Light Heavyweight over 168 to 175 pounds;</text> </paragraph> <paragraph num="(16)"> <text>Cruiserweight over 175 to 200 pounds;</text> </paragraph> <paragraph num="(17)"> <text>Heavyweight over 200 to 225 pounds; and</text> </paragraph> <paragraph num="(18)"> <text>Super Heavyweight over 225 pounds</text> </paragraph> </paragraph> <paragraph num="B."> <text>If a Muay Thai contestant’s weight is greater than the specified weight in the promoter-contestant contract, the contest may not take place without special permission of the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Muay Thai Contestants Equipment."> <paragraph num="A."> <text>General. Each Muay Thai contestant shall use the equipment, and in the manner, specified in this regulation.</text> </paragraph> <paragraph num="B."> <text>Bandage. For all weight classes, bandages shall be:</text> <paragraph num="(1)"> <text>A maximum of one roll (no more than 2 inches wide and 20 yards in length) of white, soft, cloth gauze is permitted per hand;</text> </paragraph> <paragraph num="(2)"> <text>A maximum of one roll (no more than 2 inches wide and 10 feet in length) of white athletic tape is permitted per hand, which shall:</text> <paragraph num="(a)"> <text>Be placed directly on each hand for protection near the wrist;</text> </paragraph> <paragraph num="(b)"> <text>Cross the back of the hand twice but may not extend within three-fourths of an inch of the knuckles when the hand is clenched to make a fist;</text> </paragraph> <paragraph num="(c)"> <text>Placed between the fingers; and</text> </paragraph> <paragraph num="(d)"> <text>Not be allowed to cover the knuckles.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Placed on a Muay Thai contestant’s hands in the dressing room in the presence of the chief second of the Muay Thai contestant’s opponent; and</text> </paragraph> <paragraph num="(4)"> <text>Be inspected and approved by the Commission prior to the gloves being placed on the hands of the Muay Thai contestant.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Gloves. Gloves worn by each Muay Thai contestant during the contest shall:</text> <paragraph num="(1)"> <text>Be open-fingered;</text> </paragraph> <paragraph num="(2)"> <text>Conform to specifications as determined by the Commission;</text> </paragraph> <paragraph num="(3)"> <text>Weigh 8 ounces from weight classes Mini-Flyweight to Super-Welterweight; and</text> </paragraph> <paragraph num="(4)"> <text>Weigh 10 ounces from weight classes Middleweight to Super-Heavyweight.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A mouth guard shall be approved by the Commission.</text> </paragraph> <paragraph num="E."> <text>Groin protection shall be approved by the Commission.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Proper Attire and Appearance."> <paragraph num="A."> <text>Rules for Shorts/trunks Worn in Competition.</text> <paragraph num="(1)"> <text>Fighters shall wear shorts approved by the Commission;</text> </paragraph> <paragraph num="(2)"> <text>Rules for male and female fighters are the same.</text> </paragraph> <paragraph num="(3)"> <text>The hem of trunks shall not extend below the mid-thigh;</text> </paragraph> <paragraph num="(4)"> <text>Long pants or leggings are prohibited.</text> </paragraph> <paragraph num="(5)"> <text>Compression shorts may be worn under the approved fight trunks, but they may not extend down the leg below the bottom of the trunks.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Male fighters shall not wear any form of clothing on their upper body.</text> </paragraph> <paragraph num="C."> <text>Clothing Rules for Female Fighters.</text> <paragraph num="(1)"> <text>Female fighters shall wear short sleeved (above the elbow) or sleeveless form fitting rash guard and or sports bra.</text> </paragraph> <paragraph num="(2)"> <text>No loose-fitting tops shall be allowed.</text> </paragraph> <paragraph num="(3)"> <text>The use of breast protectors is optional for female fighters as determined by the Commission.</text> </paragraph> <paragraph num="(4)"> <text>Female fighters shall follow the same requirements for bottom coverings as male fighters, minus the requirement for groin protection.</text> </paragraph> </paragraph> <paragraph num="D."> <text>No clothing worn in the ring shall have exposed Velcro, clasps, pockets, zippers, or other items that may be harmful to the fighter or their opponent.</text> </paragraph> <paragraph num="E."> <text>Fighters shall not wear shoes in the cage or ring.</text> </paragraph> <paragraph num="F."> <text>When deemed necessary by the referee, or Commission, all fighters shall have their hair secured in a manner that does not interfere with the vision and safety of either fighter.</text> </paragraph> <paragraph num="G."> <text>No object can be worn to secure the fighter’s hair which may cause injury to their opponent.</text> </paragraph> <paragraph num="H."> <text>The wearing of jewelry will be strictly prohibited during all contests.</text> </paragraph> <paragraph num="I."> <text>Fighters may wear an inscribed cloth, an amulet, or an inscribed charm around the upper arm or strung around the waist, but neatly wrapped and covered with cloth.</text> </paragraph> <paragraph num="J."> <text>Wrapping the ankles or legs with pieces of cloth is prohibited.</text> </paragraph> <paragraph num="K."> <text>If during the contest, the Pra Jiad (arm band) loosens or moves in a way that may be harmful, or a distraction, it may be removed at the discretion of the referee.</text> </paragraph> <paragraph num="L."> <text>Cosmetics</text> <paragraph num="(1)"> <text>Body cosmetics are any product applied to the body for cleansing, beautifying, or altering appearance and shall be prohibited during all contests.</text> </paragraph> <paragraph num="(2)"> <text>Facial cosmetics are products used improve the appearance of the face, and. the use of such products shall be at the discretion of the Commission and/or referee.</text> </paragraph> </paragraph> <paragraph num="M."> <text>Protective Garments.</text> <paragraph num="(1)"> <text>Other than the fighter’s hands, as previously listed, there will be no taping, covering, or protective gear of any kind on the upper body, which includes but is not limited to:</text> <paragraph num="(a)"> <text>Joint sleeves;</text> </paragraph> <paragraph num="(b)"> <text>Padding; and</text> </paragraph> <paragraph num="(c)"> <text>Any form of brace or body gauze/tape.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Ankle joint sleeves:</text> <paragraph num="(a)"> <text>A fighter may use one soft neoprene type sleeves to cover each ankle joint; and</text> </paragraph> <paragraph num="(b)"> <text>Approved sleeves may not have padding, Velcro, plastic, metal, ties, or any other material considered to be unsafe or that may create an unfair advantage.</text> </paragraph> </paragraph> </paragraph> <paragraph num="N."> <text>Tape and gauze, or any materials other than the approved sleeves, are not permitted on the lower body.</text> </paragraph> <paragraph num="O."> <text>The allowable length and color of sleeves shall be determined by the Commission.</text> </paragraph> <paragraph num="P."> <text>A Muay Thai contestant shall have properly trimmed fingernails and toenails.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Fighting Area."> <paragraph num="A."> <text>A Muay Thai contest shall be held in a ring or in a fenced area.</text> </paragraph> <paragraph num="B."> <text>A ring used for a Muay Thai contest shall meet the following requirements.</text> <paragraph num="(1)"> <text>The ring may not be smaller than 20 feet square and may not be larger than 32 feet square within the ropes.</text> </paragraph> <paragraph num="(2)"> <text>The ring floor shall:</text> <paragraph num="(a)"> <text>Extend at least 18 inches beyond the ropes;</text> </paragraph> <paragraph num="(b)"> <text>Be padded with Ensolite or another similar closed-cell foam, with at least a 1-inch layer of foam padding, which shall extend beyond the ring ropes and over the edge of the platform;</text> </paragraph> <paragraph num="(c)"> <text>Have a top covering of canvas, duck, or similar material that:</text> <paragraph num="(i)"> <text>Does not tend to gather in lumps or ridges; and</text> </paragraph> <paragraph num="(ii)"> <text>Is tightly stretched and laced to the ring platform; and</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Be free of any obstruction or object, including a triangular border;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The ring platform:</text> <paragraph num="(a)"> <text>May not be more than 4 feet above the floor of the building; and</text> </paragraph> <paragraph num="(b)"> <text>Shall have suitable steps for the use of the Muay Thai contestant;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The ring posts:</text> <paragraph num="(a)"> <text>Shall be made of metal;</text> </paragraph> <paragraph num="(b)"> <text>May not be more than 3 inches in diameter, extending from the floor of the building to a minimum height of 58 inches above the ring floor;</text> </paragraph> <paragraph num="(c)"> <text>Shall be at least 18 inches away from the ring ropes; and</text> </paragraph> <paragraph num="(d)"> <text>Shall be properly padded in a manner approved by the Commission.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The ring ropes:</text> <paragraph num="(a)"> <text>Shall be five in number;</text> </paragraph> <paragraph num="(b)"> <text>May not be less than 1 inch in diameter;</text> </paragraph> <paragraph num="(c)"> <text>Shall be wrapped in soft material; and</text> </paragraph> <paragraph num="(d)"> <text>Shall be at least 12 inches above the ring floor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>A fenced area used for a contest of mixed martial arts shall meet the following requirements:</text> <paragraph num="(1)"> <text>The fenced area shall be circular or have at least four equal sides.</text> </paragraph> <paragraph num="(2)"> <text>The fenced area may not be smaller than 20 feet wide and may not be larger than 32 feet wide in diameter.</text> </paragraph> <paragraph num="(3)"> <text>The floor of the fenced area shall:</text> <paragraph num="(a)"> <text>Be padded with Ensolite or another similar closed-cell foam, with at least a 1-inch layer of foam padding; and</text> </paragraph> <paragraph num="(b)"> <text>Have a top covering of canvas, duck, or similar material that:</text> <paragraph num="(i)"> <text>. Does not tend to gather in lumps or ridges; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>The platform of the fenced area:</text> <paragraph num="(a)"> <text>May not be more than 4 feet above the floor of the building; and</text> </paragraph> <paragraph num="(b)"> <text>Shall have suitable steps for the use of the Muay Thai contestants.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The fence posts of the fenced area shall be:</text> <paragraph num="(a)"> <text>Made of metal, not more than 6 inches in diameter, extending from the floor of the building to between 5 and 7 feet above the floor of the fenced area; and</text> </paragraph> <paragraph num="(b)"> <text>Properly padded in a manner approved by the Commission.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>The fencing used to enclose the fenced area shall be made of a material that will prevent a Muay Thai contestant from falling out of, or breaking through, the fenced area onto the floor of the building or onto the spectators.</text> </paragraph> <paragraph num="(7)"> <text>Any metal portion of the fenced area shall be covered and padded in a manner approved by the Commission and may not be abrasive to the Muay Thai contestant.</text> </paragraph> <paragraph num="(8)"> <text>The fenced area shall have two entrances.</text> </paragraph> <paragraph num="(9)"> <text>There may not be any obstruction on any part of the fence surrounding the area where Muay Thai Contestant are to be competing.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Rounds."> <paragraph num="A."> <text>Each round shall be 3 minutes in duration, with a 1 minute rest period between rounds.</text> </paragraph> <paragraph num="B."> <text>Bouts shall ordinarily be scheduled for either three or five rounds.</text> </paragraph> <paragraph num="C."> <text>When a tournament and/or another format is approved, the total number of rounds allowed to be contested in a day shall be determined by the Commission.</text> </paragraph> <paragraph num="D."> <text>At the discretion of the Commission, bouts will begin after the completion of any pre-fight rituals, in accordance with Thai traditions.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Referee."> <paragraph num="A."> <text>The referee is the sole arbiter of a bout.</text> </paragraph> <paragraph num="B."> <text>The referee and/or the ringside physician are the only individuals authorized to stop the contest, as determined by the Commission.</text> </paragraph> <paragraph num="C."> <text>The referee shall confirm with the fighter that the mouthpiece is inserted and shall confirm with male fighters that a groin protector is inserted before the start of the contest.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Knockdown."> <paragraph num="A."> <text>In the event of a knockdown the referee shall send the standing fighter to a neutral corner and administer a mandatory eight count to the downed fighter.</text> </paragraph> <paragraph num="B."> <text>When a fighter is knocked through the ropes and off the platform of the ring and onto a table or the floor by a legal blow or blows, the fighter will receive a mandatory 18 count and must be standing before the count of 20.</text> </paragraph> <paragraph num="C."> <text>There is no standing eight count.</text> </paragraph> <paragraph num="D."> <text>A fighter who has been knocked down cannot be saved by the bell in any round, including the final round.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Method of Judging."> <paragraph num="A."> <text>Judges shall consider damage, domination, and duration when evaluating the relative merits of each fighter’s performance in each round. Towards that end they shall use the following prioritized criteria to establish their score.</text> <paragraph num="(1)"> <text>A fighter who has an advantage in the number or quality of knockdowns in a round shall never lose that round.</text> </paragraph> <paragraph num="(2)"> <text>If there is no advantage in knockdowns, the fighter with a clear advantage in cumulative damage shall win the round.</text> </paragraph> <paragraph num="(3)"> <text>If there is not a clear advantage in cumulative damage, the fighter with the greater number and/or variety of clean scoring Muay Thai techniques shall win the round.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If the criteria in §A of this regulation fails to distinguish either fighter, the round may be awarded to the fighter who was more successful in applying either aggressiveness, control or effective defense in their efforts to win the round.</text> </paragraph> <paragraph num="C."> <text>All bouts will be evaluated and scored by a minimum of three judges.</text> </paragraph> <paragraph num="D."> <text>The 10 Point Must System will be the standard system for scoring a bout.</text> <paragraph num="(1)"> <text>Under the 10 Point Must Scoring System, ten points must be awarded to the winner of the round.</text> </paragraph> <paragraph num="(2)"> <text>The fighter who has lost the round may be awarded nine or less points depending on the margin of advantage.</text> </paragraph> <paragraph num="(3)"> <text>In the very rare case that neither fighter has shown even a marginal advantage, a 10-10 round may be awarded.</text> </paragraph> <paragraph num="(4)"> <text>Partial or incomplete rounds shall be scored. If no significant action has occurred, the round shall be scored as 10-10. This is at the discretion of the judges.</text> </paragraph> <paragraph num="(5)"> <text>Any time the referee penalizes either fighter, then the appropriate points shall be deducted when the scorekeeper calculates the final score including partial rounds.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The following objective scoring criteria shall be utilized by the judges when scoring a round:</text> <paragraph num="(1)"> <text>An extremely rare 10-10 round is not a score to be used as an excuse by a judge that cannot assess the differences in the action of a round. It should only be used to score an incomplete round where nothing occurred in the round.</text> </paragraph> <paragraph num="(2)"> <text>A round is to be scored as a 10-9 round when there is a slight or clear advantage in overall action favoring one fighter, but not an overwhelming advantage.</text> </paragraph> <paragraph num="(3)"> <text>A round is to be scored as a 10-8 round when there is an overwhelming advantage without a knockdown, or a fighter won the round and scored a knockdown.</text> </paragraph> <paragraph num="(4)"> <text>A round is to be scored as a 10-7 round when a fighter won the round and scored two knockdowns.</text> </paragraph> <paragraph num="(5)"> <text>A round is to be scored as a 10-6 round when a fighter won the round and scored three knockdowns.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Permissible Strikes."> <text>The following strikes are permitted during a contest:</text> <paragraph num="A."> <text>Punches;</text> </paragraph> <paragraph num="B."> <text>Kicks;</text> </paragraph> <paragraph num="C."> <text>Knees; and</text> </paragraph> <paragraph num="D."> <text>Elbows.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Fouls."> <paragraph num="A."> <text>The following acts are prohibited:</text> <paragraph num="(1)"> <text>Head butts;</text> </paragraph> <paragraph num="(2)"> <text>Groin strikes;</text> </paragraph> <paragraph num="(3)"> <text>Thumbing or eye gouging;</text> </paragraph> <paragraph num="(4)"> <text>Biting;</text> </paragraph> <paragraph num="(5)"> <text>Spiting at the opponent;</text> </paragraph> <paragraph num="(6)"> <text>Hair pulling;</text> </paragraph> <paragraph num="(7)"> <text>Attacks to the throat;</text> </paragraph> <paragraph num="(8)"> <text>Striking your opponent while grounded;</text> </paragraph> <paragraph num="(9)"> <text>Strikes directed to the back of the head or the spine;</text> </paragraph> <paragraph num="(10)"> <text>Tripping or sweeping an opponent;</text> </paragraph> <paragraph num="(11)"> <text>Hip, shoulder, or leg throws;</text> </paragraph> <paragraph num="(12)"> <text>Grasping the opponent’s lower back while also forcing an opponent's spine to hyperextend;</text> </paragraph> <paragraph num="(13)"> <text>Intentionally falling on a downed opponent, pressing elbow or knee upon the opponent;</text> </paragraph> <paragraph num="(14)"> <text>Wrestling, back or arm locks or any similar judo or wrestling hold;</text> </paragraph> <paragraph num="(15)"> <text>Attempting to pile-drive an opponent's head into the canvas;</text> </paragraph> <paragraph num="(16)"> <text>Catching an opponent's kick and pushing an opponent for more than one step in any direction without attempting to deliver an attacking technique;</text> </paragraph> <paragraph num="(17)"> <text>If a fighter’s leg is caught while kicking, the opponent may not intentionally ground themselves;</text> </paragraph> <paragraph num="(18)"> <text>Striking a downed fighter or fighter entangled in the ropes;</text> </paragraph> <paragraph num="(19)"> <text>Failure to obey the referee’s commands;</text> </paragraph> <paragraph num="(20)"> <text>Striking on a break;</text> </paragraph> <paragraph num="(21)"> <text>Striking after a bell;</text> </paragraph> <paragraph num="(22)"> <text>Holding the ropes/cage or using the ropes/cage while striking or clinching;</text> </paragraph> <paragraph num="(23)"> <text>Holding the opponent’s shorts;</text> </paragraph> <paragraph num="(24)"> <text>Timidity or causing intentional delays in the action;</text> </paragraph> <paragraph num="(25)"> <text>Unsportsmanlike behavior including use of abusive language and/or gestures; and</text> </paragraph> <paragraph num="(26)"> <text>Attacking an opponent who is under the care of the referee.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Time Considerations for Fouls.</text> <paragraph num="(1)"> <text>Low Blow.</text> <paragraph num="(a)"> <text>A fighter who has been struck with a low blow as called by the referee, is allowed up to 5 minutes to recover from the foul, as long as, in the ringside physician’s opinion, the fighter may possibly continue on in the contest.</text> </paragraph> <paragraph num="(b)"> <text>If the fighter states that they can continue before the 5 minutes of time have expired, the referee shall restart the fight as soon as practical.</text> </paragraph> <paragraph num="(c)"> <text>If the fighter goes over the 5 minutes time allotment, the fight cannot be restarted and the contest must come to an end with the outcome determined by how the low blow occurred the round, and time in which the fight was stopped.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Eye Poke.</text> <paragraph num="(a)"> <text>A fighter, who has received an eye poke as called by the referee, is allowed up to 5 minutes to recover from the foul as long as the ringside physician confirms the fighter may possibly continue in the contest once recovered.</text> </paragraph> <paragraph num="(b)"> <text>If the fighter states that they can see and wishes to continue before the 5 minutes of time have expired, and confirmed by the ringside physician, the referee shall restart the fight as soon as practical.</text> </paragraph> <paragraph num="(c)"> <text>If the fighter goes over the 5 minutes time allotment, the fight cannot be restarted and the contest must come to an end with the outcome determined by how the eye poke occurred, the round, and time in which the fight was stopped.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Intentional Fouls.</text> <paragraph num="(1)"> <text>If an intentional foul causes an injury, and the injury is severe enough to terminate the bout immediately, the fighter causing the injury shall lose by disqualification.</text> </paragraph> <paragraph num="(2)"> <text>If an intentional foul causes an injury and the bout is allowed to continue, the referee shall notify the authorities and deduct two points from the fighter who caused the foul. Point deductions for intentional fouls will be mandatory.</text> </paragraph> <paragraph num="(3)"> <text>If an injury caused by an intentional foul results in the contest being stopped in any round after half of the scheduled rounds have been completed, by either another legal or illegal strike, the judges will score the incomplete round and:</text> <paragraph num="(a)"> <text>If the injured fighter is ahead on the scorecards, he shall be declared the winner by a Technical Decision; or</text> </paragraph> <paragraph num="(b)"> <text>If the injured fighter is behind or even on the scorecards, the contest shall be declared a Technical Draw.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>If a fighter injures themselves while attempting to intentionally foul their opponent, but is able to continue fighting, the referee shall take no action and treat the injury as if produced by a fair blow. If the referee determined the fighter who injured themselves is unable to continue, that fighter will lose by Technical Knockout/Knockout.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Accidental Fouls.</text> <paragraph num="(1)"> <text>If an accidental foul causes an injury severe enough for the referee to terminate the bout immediately, the bout will result in either a No Contest or Disqualification if stopped before:</text> <paragraph num="(a)"> <text>A completed 2 rounds of a scheduled 3 round bout; or</text> </paragraph> <paragraph num="(b)"> <text>A completed 3 rounds of a scheduled 5 round bout.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If an accidental foul causes an injury severe enough for the referee to terminate the bout, the bout will result in a Technical Decision awarded to the fighter who is ahead on the score cards at the time the bout is stopped immediately, after:</text> <paragraph num="(a)"> <text>A completed 2 rounds of a scheduled 3 round bout; or</text> </paragraph> <paragraph num="(b)"> <text>A completed 3 rounds of a scheduled 5 round bout.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If a fighter, during the course of a round, visibly loses control of bodily function (vomit, urine, feces), the fight shall be stopped by the referee and the fighter shall lose the contest by a Technical Knockout (TKO) due to Medical Stoppage.</text> <paragraph num="(a)"> <text>In the event a loss of bodily function occurs in the rest period between rounds, the ringside physician shall be called in to evaluate if the fighter can continue. If the fighter is not cleared by the ringside physician to continue, that fighter shall lose by a Technical Knockout (TKO) due to Medical Stoppage</text> </paragraph> <paragraph num="(b)"> <text>If fecal matter becomes apparent at any time, the contest shall be halted by the referee, and the offending fighter shall lose by a Technical Knockout (TKO) due to Medical Stoppage.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Result of the Contest."> <paragraph num="A."> <text>The winner of the match may be decided in the following ways:</text> <paragraph num="(1)"> <text>Points Decision.</text> <paragraph num="(a)"> <text>Unanimous Decision—when all three judges score the bout for the same fighter;</text> </paragraph> <paragraph num="(b)"> <text>Split Decision—when two judges score the bout for one fighter and one judge scores the bout for the opponent;</text> </paragraph> <paragraph num="(c)"> <text>Majority Decision—when two judges score the bout for one fighter and one judge scores the bout a draw;</text> </paragraph> <paragraph num="(d)"> <text>Technical Decision—when a bout is prematurely stopped due to injury from an accidental foul and a fighter is leading on the score cards.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Draws occur when:</text> <paragraph num="(a)"> <text>Unanimous Draw—when all three judges score the bout a draw;</text> </paragraph> <paragraph num="(b)"> <text>Majority Draw—when two judges score the bout a draw;</text> </paragraph> <paragraph num="(c)"> <text>Split Draw—when one judge scores the bout for one fighter, one judge scores the bout for the opponent, and one judge scores the bout a draw;</text> </paragraph> <paragraph num="(d)"> <text>Technical Draw—when an injury is sustained during competition as a result of an intentional foul and the bout is allowed to continue, then later the injury requires stoppage from either a legal or illegal strike to the affected area; and</text> </paragraph> <paragraph num="(e)"> <text>Draw—when both fighters go down at the same time, and neither can resume the fight within the referee’s ten count.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Knockouts occur when a fighter is incapable of resuming the fight within the referee’s ten-count due to legal strikes or the referee stops the contest because a fighter cannot effectively defend themselves.</text> </paragraph> <paragraph num="(4)"> <text>Technical Knockouts occur when:</text> <paragraph num="(a)"> <text>Referee Stoppage occurs when a referee terminates a contest if:</text> <paragraph num="(i)"> <text>The referee determines a fighter shows no will to or is incapable of resuming the fight due to a legal technique;</text> </paragraph> <paragraph num="(ii)"> <text>The referee determines the fighter is not effectively defending themselves;</text> </paragraph> <paragraph num="(iii)"> <text>The fighter does not leave their corner to take part in the fight following the sounding of the bell; or</text> </paragraph> <paragraph num="(iv)"> <text>The referee is of the opinion that one fighter is outmatched by the opponent and continuing the match would jeopardize the fighter’s health and safety;</text> </paragraph> <paragraph num="(v)"> <text>A fighter or their corner indicates to the referee or regulatory representative they no longer wish to continue the contest.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Medical Stoppage occurs when a ringside physician terminates a contest if:</text> <paragraph num="(i)"> <text>The bout is terminated for medical reasons due to injury resulting from a legal technique.</text> </paragraph> <paragraph num="(ii)"> <text>The bout is terminated on the advice of the ringside physician.</text> </paragraph> <paragraph num="(iii)"> <text>There is a loss of control of bodily function.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>Disqualification occurs when an injury sustained during the bout as a result of an intentional foul is severe enough to terminate the bout, multiple fouls have been assessed, interference from a fighter’s corner, and/or there is a flagrant disregard for the rules and/or referee’s commands.</text> </paragraph> </paragraph> <paragraph num="B."> <text>No Decision/No Contest occurs when:</text> <paragraph num="(1)"> <text>When a bout is prematurely stopped due to an accidental injury and a sufficient number of rounds have not been completed to render a decision via the scorecards.</text> </paragraph> <paragraph num="(2)"> <text>If the referee decides both fighters must be disqualified.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulations Article, §§4-205, 4-301, and 4-303, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 29, 2025 (52:19 Md. R. 956)</annotation> </annotations> </chapter> </subtitle> <subtitle num="15" heading="State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors"> <chapter num="01" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§2-106.9 and 2-106.10 and Title 9A, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Master Electricians, the State Board of Stationary Engineers, the State Board of Plumbing, and the State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board of Heating, Ventilation, Air-Conditioning and Refrigeration Contractors.</text> </paragraph> <paragraph num="(2)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a limited license and a reciprocal license.</text> </paragraph> <paragraph num="(3)"> <text>“Mechanical boards” means collectively the:</text> <paragraph num="(a)"> <text>State Board of Master Electricians;</text> </paragraph> <paragraph num="(b)"> <text>State Board of Stationary Engineers;</text> </paragraph> <paragraph num="(c)"> <text>State Board of Plumbing; and</text> </paragraph> <paragraph num="(d)"> <text>State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the mechanical boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the mechanical boards. Based on these calculations, the Board sets the following nonrefundable fees as of January 1, 2024:</text> <paragraph num="(1)"> <text>Original and renewal license:</text> <paragraph num="(a)"> <text>Master — $84;</text> </paragraph> <paragraph num="(b)"> <text>Master Restricted — $28 for each area licensed;</text> </paragraph> <paragraph num="(c)"> <text>Limited — $84;</text> </paragraph> <paragraph num="(d)"> <text>Journeyman — $22.50;</text> </paragraph> <paragraph num="(e)"> <text>Journeyman Restricted —$22.50 for each area licensed;</text> </paragraph> <paragraph num="(f)"> <text>Apprentice — $11;</text> </paragraph> <paragraph num="(g)"> <text>Inspector — $50; and</text> </paragraph> <paragraph num="(h)"> <text>Letter of Good Standing — $25.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Inactive license — $28.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Secretary and the mechanical boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the mechanical boards. Based on these calculations, the Board sets the following nonrefundable fees as of January 1, 2025:</text> <paragraph num="(1)"> <text>Original and renewal license:</text> <paragraph num="(a)"> <text>Master — $94.50;</text> </paragraph> <paragraph num="(b)"> <text>Master Restricted — $31.50 for each area licensed;</text> </paragraph> <paragraph num="(c)"> <text>Limited — $94.50;</text> </paragraph> <paragraph num="(d)"> <text>Journeyman — $25;</text> </paragraph> <paragraph num="(e)"> <text>Journeyman Restricted — $25 for each area licensed;</text> </paragraph> <paragraph num="(f)"> <text>Apprentice — $12;</text> </paragraph> <paragraph num="(g)"> <text>Inspector — $56; and</text> </paragraph> <paragraph num="(h)"> <text>Letter of Good Standing — $25.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Inactive license — $31.50.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An applicant for an appropriate licensing examination shall pay the examination fee directly to the testing service chosen by the Board to develop or administer the examination, as such fees are established by the testing service selected by the Board.</text> </paragraph> <paragraph num="D."> <text>An applicant who fails an examination:</text> <paragraph num="(1)"> <text>May reapply to take the examination 30 days after the date the applicant last took the examination; and</text> </paragraph> <paragraph num="(2)"> <text>Shall pay the fee for the examination in the manner described in §A of this regulation.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Inactive Status.</text> <paragraph num="(1)"> <text>An active license holder of a master, master restricted, or limited license, at time of renewal may renew a license holder’s license to an inactive status upon payment of the applicable fee, set forth in §A of this regulation. In order to maintain the inactive status the license holder is required to complete a renewal application and remit the applicable inactive license fee each renewal period.</text> </paragraph> <paragraph num="(2)"> <text>To reactivate an inactive license at a time other than normal renewal, the inactive license holder shall be required to pay the full license fee, shown in §A of this regulation, for the category that the license holder held before becoming inactive.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article§§2-106.2, 2-106.9, 2-106.10, 9A-205, 9A-207, and 9A-304(f), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective December 8, 1993 (20:66 Md. R. 2023); emergency status expired June 8, 1994</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted effective November 7, 1994 (21:22 Md. R. 1875)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective July 25, 1997 (24:17 Md. R. 1208); amended permanently effective January 12, 1998 (25:1 Md. R. 15)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended as an emergency provision effective December 16, 2005 (33:1 Md. R. 33); emergency status expired May 25, 2006</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective July 3, 2006 (33:13 Md. R. 1063); May 22, 2017 (44:10 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective July 1, 1997 (24:15 Md. R. 1059); emergency status extended at 24:26 Md. R. 1751; emergency status expired July 1, 1998</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective May 22, 2017 (44:10 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C, D amended effective October 14, 2013 (40:20 Md. R. 1651)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D adopted as an emergency provision effective September 14, 1995 (22:20 Md. R. 1539); emergency status expired March 10, 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D adopted effective March 25, 1996 (23:6 Md. R. 475)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulations .01—.03 adopted effective August 27, 2018 (45:17 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 18, 2024 (51:5 Md. R. 229)</annotation> </annotations> </chapter> <chapter num="02" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Qualification of Inspectors."> <paragraph num="A."> <text>Heating, ventilation, air conditioning, and refrigeration inspectors hired by the State, a county, or other local subdivision, shall meet minimum standards that are established by the State Board.</text> </paragraph> <paragraph num="B."> <text>The minimum standards established by the State Board are as follows:</text> <paragraph num="(1)"> <text>The heating, ventilation, air conditioning, and refrigeration inspector shall be licensed as a Maryland master, master restricted, or journeyman heating, ventilation, air conditioning, and refrigeration contractor;</text> </paragraph> <paragraph num="(2)"> <text>The heating, ventilation, air conditioning, and refrigeration inspector shall hold a current Building Officials and Code Administrators International, Inc. (BOCA) certification in one of the following classifications: mechanical inspector, mechanical plans examiner, plumbing inspector, plumbing plans examiner, one- and two-family dwelling combination inspector, one- and two-family dwelling mechanical inspector, one- and two-family dwelling plumbing inspector; or</text> </paragraph> <paragraph num="(3)"> <text>The heating, ventilation, air conditioning, and refrigeration inspector shall:</text> <paragraph num="(a)"> <text>Have at least 4 years experience as an inspector or mechanic in the mechanical building and construction trade including heating, ventilation, air conditioning, and refrigeration, and</text> </paragraph> <paragraph num="(b)"> <text>Pass a written examination prepared and administered by the State Board or prepared and administered by the county or local subdivision, provided the examination is approved by the State Board, and certified copies of all results are provided to the State Board.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Each heating, ventilation, air conditioning, and refrigeration inspector shall attend, at least once a year, a refresher course to be conducted by the State Board or a course approved by the State Board and which is conducted by a county or local subdivision.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Responsibility of Master, Master Restricted, or Limited Licensee."> <text>A licensee may not use the licensee's license to obtain a permit or other authority to proceed from a governmental entity unless the licensee is:</text> <paragraph num="A."> <text>Familiar with the design and purpose of the specific heating, ventilation, air conditioning, and refrigeration work to be performed;</text> </paragraph> <paragraph num="B."> <text>Available to direct and control all journeymen, apprentices, and others providing heating, ventilation, air conditioning, and refrigeration services; and</text> </paragraph> <paragraph num="C."> <text>Responsible for the work.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Advertisements."> <paragraph num="A."> <text>Definition. For purposes of this regulation, “license number” means the license registration certificate number that shows on the license document received by the individual licensee.</text> </paragraph> <paragraph num="B."> <text>License Number on Vehicles.</text> <paragraph num="(1)"> <text>Each vehicle that advertises heating, ventilation, air conditioning, or refrigeration services shall display the current category and license number of the master, master restricted, or limited licensed contractor who supervises and controls the work of that company in that particular area.</text> </paragraph> <paragraph num="(2)"> <text>Each licensed heating, ventilation, air conditioning, or refrigeration master, master restricted, or limited contractor shall display the licensee's license category and license number on both sides of all vehicles primarily used by the licensee or under the licensee's supervision and control for the performance of heating, ventilation, air conditioning, and refrigeration services.</text> </paragraph> <paragraph num="(3)"> <text>A contractor's license category shall be indicated by the following prefixes:</text> <paragraph num="(a)"> <text>.01 for a master license;</text> </paragraph> <paragraph num="(b)"> <text>.02 for a master restricted license;</text> </paragraph> <paragraph num="(c)"> <text>.06 for a limited license.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The license category and the license number shall be displayed on each vehicle in the following form:</text> <paragraph num="(a)"> <text>Md.—HVAC—category prefix—license number;</text> </paragraph> <paragraph num="(b)"> <text>Display of letters or numbers shall be at least 1-1/2 inches in height.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Each printed, audio, or video advertisement of any type, and all contracts shall reflect the license category and license number, in a manner as described in §B(4)(a) of this regulation, of the current licensee to be responsible for the work.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Restoration of Expired License."> <paragraph num="A."> <text>The Board may restore the license of an individual who has failed to renew the license for any reason if the individual:</text> <paragraph num="(1)"> <text>Applies for restoration within 4 years of expiration of the license;</text> </paragraph> <paragraph num="(2)"> <text>Otherwise is entitled to be licensed; and</text> </paragraph> <paragraph num="(3)"> <text>Pays to the Board the renewal fee.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An individual who fails to seek the restoration of a license within 4 years days of expiration of the license shall:</text> <paragraph num="(1)"> <text>File a written letter with the Board providing:</text> <paragraph num="(a)"> <text>The reasons the individual permitted the license to expire,</text> </paragraph> <paragraph num="(b)"> <text>An explanation for the individual's failure to file a timely application for license renewal or restoration,</text> </paragraph> <paragraph num="(c)"> <text>A statement of the individual's employment and job duties since the license expiration, and</text> </paragraph> <paragraph num="(d)"> <text>Any documentation to support the individual's claims; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Appear in person before the Board to show good and valid cause why the individual's license should be restored, if the Board requires the individual to do so.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Board may:</text> <paragraph num="(1)"> <text>Restore an expired license of the applicant under this regulation if the applicant:</text> <paragraph num="(a)"> <text>Is otherwise entitled to be licensed, and</text> </paragraph> <paragraph num="(b)"> <text>Pays to the Board all past due renewal fees, and any applicable reinstatement and late fees;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Require the applicant to pay the applicable examination fees, and take and successfully pass the written examination required for the license previously held by the applicant; or</text> </paragraph> <paragraph num="(3)"> <text>Consider the applicant as having never been licensed, in accordance with Business Regulation Article, §9A-309(e)(2), Annotated Code of Maryland, thus requiring the filing of a new application and complying with Business Regulation Article, §9A-302, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Time to Request Formal Hearing on Denial."> <text>If an application for a license is denied by the Board, the applicant, within 30 days from the date on the notice of the Board's decision, may request a formal hearing, conducted in accordance with Business Regulation Article, §9A-311, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Renewal of a Lower License Category."> <paragraph num="A."> <text>A master, master restricted, or limited licensee:</text> <paragraph num="(1)"> <text>May elect to renew a current license under a lower category, if the original license held by the licensee is forfeited;</text> </paragraph> <paragraph num="(2)"> <text>Who has renewed and received a license pursuant to §A(1) of this regulation, is required to requalify for the higher category of license previously held by taking and passing the appropriate examination administered by the Board in accordance with Business Regulation Article, §9A-304, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Board may waive the examination requirement in §A(2) of this regulation, for a licensee who:</text> <paragraph num="(1)"> <text>Renewed a license under §A(1) of this regulation; and</text> </paragraph> <paragraph num="(2)"> <text>Had obtained the higher category license previously held by taking and passing the appropriate examination administered by the Board in accordance with Business Regulation Article, §9A-304, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Training for HVACR Journeyman."> <paragraph num="A."> <text>Before an HVACR apprentice may be examined for a license as an HVACR journeyman, the apprentice shall complete at least 6,000 hours of training in providing heating, ventilation, air-conditioning, and refrigeration services under the direction and control of a licensed HVACR contractor. The training shall be over a period of at least 4 years, while licensed as a Maryland HVACR apprentice.</text> </paragraph> <paragraph num="B."> <text>It is recommended that the study, instruction, training, and experience include the following areas:</text> <paragraph num="(1)"> <text>Installation of HVACR equipment including:</text> <paragraph num="(a)"> <text>Determining location of exterior and interior equipment including condensers, thermostat, humidistat, exhaust piping, and duct work;</text> </paragraph> <paragraph num="(b)"> <text>Preparing equipment foundation/base to install anchors, equipment, and vibration isolator pads;</text> </paragraph> <paragraph num="(c)"> <text>Determining type and mounting system required for equipment, layout, and routing of condensate drain;</text> </paragraph> <paragraph num="(d)"> <text>Installing air, water and evaporative cooled condensers, evaporative cooler, air-handling units, gas and oil furnaces, heat pumps, and baseboard heat;</text> </paragraph> <paragraph num="(e)"> <text>Installing humidifiers, electronic air cleaners, thermostats, and humidistats; and</text> </paragraph> <paragraph num="(f)"> <text>Installing and filling a hydronic system including a circulator pump, three-way diverter valve, automatic feeder, expansion tank, zone valves, air vent, pressure relief valve, booster fan, condensate pump, water pump, gas valve, and primary safety control;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Duct systems including:</text> <paragraph num="(a)"> <text>Being able to provide basic design of a duct system and determine adequacy of the existing or designed duct system;</text> </paragraph> <paragraph num="(b)"> <text>Installing with accessories round metal duct, rectangular metal duct, rigid fiberglass duct, plenum, duct liner, and duct wrap;</text> </paragraph> <paragraph num="(c)"> <text>Installing manual air-flow damper, register, grill, fire damper, barometric damper, powered damper with actuator, factory-fabricated filter box, and vent damper;</text> </paragraph> <paragraph num="(d)"> <text>Being able to modify an existing plenum and existing duct; and</text> </paragraph> <paragraph num="(e)"> <text>Being able to fabricate a rectangular trunk line duct, plenum, transition, elbow, offset, sled with turning vanes, floor pan, and filter sled;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Diagnostic procedures including troubleshooting:</text> <paragraph num="(a)"> <text>Air-conditioning system, AC system with electric heat, heat pump system, heat pump with fossil fuel heat;</text> </paragraph> <paragraph num="(b)"> <text>Gas pack, gas furnace, electric furnace, oil furnace, and hydronic system; and</text> </paragraph> <paragraph num="(c)"> <text>Cooling-tower system, chilled-water system, and evaporative cooler;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Adjustment of components including gas pressure, pilot flame, pilot igniter, direct spark igniter, burner oil system, burner air on gas furnaces, and burner primary air on oil furnaces;</text> </paragraph> <paragraph num="(5)"> <text>Installation of piping and tubing including:</text> <paragraph num="(a)"> <text>Determination of layout and size of refrigerant tubing;</text> </paragraph> <paragraph num="(b)"> <text>Determination of the type and location of fittings and in-line components;</text> </paragraph> <paragraph num="(c)"> <text>Connection of pipe using a threaded joint and a cemented joint;</text> </paragraph> <paragraph num="(d)"> <text>Connection of tubing using a compression fitting, flare fitting, soft solder, and brazing;</text> </paragraph> <paragraph num="(e)"> <text>Pipe and tubing insulation and covering, refrigeration line solenoid valve, in-line or angle hand valve, suction line accumulator, suction/liquid line heat exchanger, liquid receiver, fixed restriction/thermostatic expansion metering device, liquid/suction line filter-dryer, sight glass, pressure-regulator valve, head pressure control valve, check valve, and access valve; and</text> </paragraph> <paragraph num="(f)"> <text>Vibration isolator in refrigerant line, precharged factory line set, tubing and pipe clamps and supports, and evaporator condensate drain line;</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Placement of HVACR systems in operation including:</text> <paragraph num="(a)"> <text>Leak test system, set belt tension if applicable, adjust condenser water-flow controls, test for gas leaks;</text> </paragraph> <paragraph num="(b)"> <text>Measuring air flow at register, measuring relative humidity, adjusting humidistat, calibrating thermostat, and setting heat anticipator;</text> </paragraph> <paragraph num="(c)"> <text>Adjusting fan speed for correct CFM output, adjusting fresh air intake, adjusting bypass damper, and adjusting relief damper;</text> </paragraph> <paragraph num="(d)"> <text>Checking safety drain in attic installation, checking humidifier water feed and drain, checking aquastat for proper setting and operation, and checking static pressure at fan discharge;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Maintenance and repair of systems including replacing an HVAC timer delay relay, control switch, gas valve, pilot safety switch, glow coil assembly, thermocouple or thermopile, and flame sensing electronic sensing device.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Journey examination will include questions based upon basic knowledge in the areas listed in §C of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Time for Submitting License Application."> <paragraph num="A."> <text>An applicant who has successfully completed the licensing examination shall apply for licensure, including payment of all applicable fees, within 1 year of successfully completing the licensing examination in order for the applicant's test results to remain valid. All applicants who have successfully completed the licensing examination more than 1 year before the effective date of this section shall apply for licensure not later than July 31, 1999.</text> </paragraph> <paragraph num="B."> <text>An applicant for a license, filed pursuant to Business Regulation Article, §9A-306(e), Annotated Code of Maryland, authorizing the Board to issue a journeyman license to an applicant who has successfully completed an applicable apprentice program approved by the Apprenticeship and Training Council, shall have completed the apprentice program within 2 years of the date the journeyman license application is filed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Responsibilities of Licensee."> <paragraph num="A."> <text>A licensee shall undertake to provide heating, ventilation, air-conditioning, or refrigeration services only if the licensee is qualified by training, education, and experience to provide the required services.</text> </paragraph> <paragraph num="B."> <text>A licensee shall maintain appropriate insurance covering any heating, ventilation, air-conditioning, and refrigeration service the licensee provides. Insurance provided by an employer does not satisfy the insurance requirements of Business Regulation Article, §9A-402, Annotated Code of Maryland, if a licensee provides heating, ventilation, air-conditioning, or refrigeration services outside the scope of employment with the insured person or business entity.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Board in writing if there has been a change in an applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Regulation Article, §9A-310(a)(1)(xii), Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Violations of Business Regulation Article, §9A-501.1, Annotated Code of Maryland."> <paragraph num="A."> <text>The Board may seek regulatory action against an individual who violates Business Regulation Article, §9A-501.1, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Such adjudication shall proceed in manner set forth in Business Regulation Article, §9A-311, Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§9A-205(a)(1), and 9A-302(e) and (f), 9A-310(a)(1)(xii), and 9A-401(c), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: June 19, 1995 (22:12 Md. R. 900)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective September 19, 1997 (24:21 Md. R. 1443); emergency status expired March 19, 1998; amended permanently effective May 18, 1998 (25:10 Md. R. 746)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective November 4, 1996 (23:22 Md. R. 1495)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended and C adopted effective July 1, 1996 (23:13 Md. R. 942)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B, C amended as an emergency provision effective June 2, 2000 (27:13 Md. R. 1209); amended permanently effective November 27, 2000 (27:23 Md. R. 2147)</annotation> <annotation type="History" subtype="Administrative History">Regulations .05—.08 adopted as an emergency provision effective May 1, 1996 (23:9 Md. R. 668); adopted permanently effective July 29, 1996 (23:15 Md. R. 1088)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 adopted effective June 15, 1998 (25:12 Md. R. 946)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 adopted effective September 6, 1999 (26:18 Md. R. 1375)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10C adopted effective February 7, 2000 (27:2 Md. R. 144)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 adopted effective September 6, 1999 (26:18 Md. R. 1375)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11C adopted effective June 24, 2002 (29:12 Md. R. 926)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective May 22, 2017 (44:10 Md. R. 471)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A, B effective December 11, 2025 (52:24 Md. R. 1197)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective March 4, 2024 (51:4 Md. R. 202)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective December 31, 2018 (45:26 Md. R. 1241)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 adopted effective December 31, 2018 (45:26 Md. R. 1241)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 adopted effective March 2, 2026 (53:4 Md. R. 184)</annotation> </annotations> </chapter> <chapter num="03—04" heading="" reason="VACANT" /> <chapter num="05" heading="Compliance with International Mechanical Code"> <regulation prefix="Regulation" num=".01" heading="Incorporation by Reference."> <paragraph num="A."> <text>In this chapter, the documents set forth in §B of this regulation are adopted.</text> </paragraph> <paragraph num="B."> <text>In compliance with Business Occupations and Professions Article, §§12-101(p) and 12-205(a), Annotated Code of Maryland, the Board adopts the most recent version of the following Codes as they may be amended, modified, or updated from time to time:</text> <paragraph num="(1)"> <text>International Mechanical Code (International Code Council, 500 New Jersey Ave., N.W., 6th Floor, Washington, D.C. 20001), which has been incorporated by reference in COMAR 09.12.50.02-1B(5); and</text> </paragraph> <paragraph num="(2)"> <text>International Residential Code for One- and Two-Family Dwellings (International Code Council, 500 New Jersey Ave., N.W., 6th Floor, Washington, D.C. 20001), which has been incorporated by reference in COMAR 09.12.50.02-1B(4) and 09.12.51.04A(2) except Chapters 1—11 and 25—44.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The requirements of this chapter do not apply to work areas subject to the Maryland Building Rehabilitation Code as adopted by the Department of Labor under Public Safety Article, §12-1004, Annotated Code of Maryland, except as provided by that Code.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§9A-205 and 9A-310(a)(1)(iii), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 adopted as an emergency provision effective February 1, 1996 (23:4 Md. R. 267); adopted permanently effective July 1, 1996 (23:13 Md. R. 943)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 amended affective May 18, 1998 (25:10 Md. R. 746); June 25, 2001 (28:12 Md. R. 1106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective June 24, 2013 (40:12 Md. R. 1042); April 13, 2026 (53:7 Md. R. 326)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective December 16, 2019 (46:25 Md. R. 1131)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective April 12, 2004 (31:7 Md. R. 584)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C adopted as an emergency provision effective October 25, 2001 (28:24 Md. R. 2125); adopted permanently effective March 18, 2002 (29:5 Md. R. 502)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective June 24, 2013 (40:12 Md. R. 1042)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C, E amended effective December 16, 2019 (46:25 Md. R. 1131)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C, H amended effective April 12, 2004 (31:7 Md. R. 584)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 repealed effective April 13, 2026 (53:7 Md. R. 326)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective June 24, 2013 (40:12 Md. R. 1042)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective December 16, 2019 (46:25 Md. R. 1131)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03F amended effective April 12, 2004 (31:7 Md. R. 584)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 repealed effective April 13, 2026 (53:7 Md. R. 326)</annotation> </annotations> </chapter> </subtitle> <subtitle num="16" heading="Board of Barbers"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="General Requirements."> <paragraph num="A."> <text>A licensee, permit holder, or registrant shall be familiar with and comply with the laws and regulations governing the practice of barbering.</text> </paragraph> <paragraph num="B."> <text>Every licensee, permit holder, and registrant shall display a current and valid license in full view of the public at the licensee's individual work station. The licensee or registrant shall affix a current picture to the license.</text> </paragraph> <paragraph num="C."> <text>A master barber or barber may not practice barbering in any place other than an authorized barber shop or an authorized beauty salon unless the following conditions are met:</text> <paragraph num="(1)"> <text>The services are sponsored by an authorized shop;</text> </paragraph> <paragraph num="(2)"> <text>The licensee is fully supplied with sanitized and disinfected equipment by the sponsoring shop and the implements and tools are carried back and forth in an appropriate manner to assure they are not contaminated;</text> </paragraph> <paragraph num="(3)"> <text>The sponsoring shop maintains complete records of all services performed, and the date, time, place, and charge for the services; and</text> </paragraph> <paragraph num="(4)"> <text>All tools, equipment, and complete records are available for inspection.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An apprentice barber may not practice barbering in any place other than in an authorized barber shop.</text> </paragraph> <paragraph num="E."> <text>A master barber or barber operating in a beauty salon shall comply with all pertinent sanitation regulations contained in COMAR 09.16.02.04.</text> </paragraph> <paragraph num="F."> <text>A licensee, permit holder, or registrant shall promptly notify the Board of any change of address.</text> </paragraph> <paragraph num="G."> <text>The Board may initiate a criminal prosecution of a person who engages in the practice of barbering without a valid license or registration.</text> </paragraph> <paragraph num="H."> <text>A licensee or registrant is responsible for the sanitary condition of the licensee's or registrant's individual work station.</text> </paragraph> <paragraph num="I."> <text>A licensee, permit holder, or registrant may not knowingly interfere with the lawful activity of an inspector of the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Master Barber License."> <paragraph num="A."> <text>A master barber license authorizes the licensee to practice all aspects of barbering without supervision.</text> </paragraph> <paragraph num="B."> <text>A master barber may provide training to one apprentice.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Barber License."> <text>A barber license authorizes the licensee to practice all aspects of barbering.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Barber Apprentice and Barber-Stylist Apprentice Registration."> <paragraph num="A."> <text>A barber apprentice registration authorizes the apprentice to learn all aspects of barbering while in an authorized barber shop under the direct supervision of a master barber.</text> </paragraph> <paragraph num="B."> <text>A barber-stylist apprentice registration authorizes the apprentice to learn all aspects of barber styling while in an authorized barber shop under the direct supervision of a master barber.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Supervision of a Barber Apprentice or Barber-Stylist Apprentice."> <paragraph num="A."> <text>Prior to supervising an apprentice for the first time, a master barber shall participate in an orientation program administered by the Board.</text> </paragraph> <paragraph num="B."> <text>A master barber licensee who supervises an apprentice shall:</text> <paragraph num="(1)"> <text>Ensure that the apprentice receives the required theory and practical training;</text> </paragraph> <paragraph num="(2)"> <text>Ensure that the apprentice receives at least 30 hours of training per week;</text> </paragraph> <paragraph num="(3)"> <text>File a monthly report, on a form supplied by the Board, stating the progress of each apprentice in the shop and identifying the designated licensee in charge of each apprentice; and</text> </paragraph> <paragraph num="(4)"> <text>Advise the Board immediately, in writing, when an apprenticeship is discontinued, temporarily or otherwise.</text> </paragraph> </paragraph> <paragraph num="C."> <text>One master barber shall directly train one barber apprentice or barber-stylist apprentice.</text> </paragraph> <paragraph num="D."> <text>Unless the Board determines that legitimate circumstances exist, if a monthly report, as required under this regulation, is not received by the Board within 90 days of the training being reported:</text> <paragraph num="(1)"> <text>The report may not be received by the Board; and</text> </paragraph> <paragraph num="(2)"> <text>Credit may not be given for the purported training.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Apprenticeship Registration Requirements."> <paragraph num="A."> <text>A person may be registered as an apprentice if the person:</text> <paragraph num="(1)"> <text>Is at least 16 years old;</text> </paragraph> <paragraph num="(2)"> <text>Has secured a sponsoring shop in which to apprentice;</text> </paragraph> <paragraph num="(3)"> <text>Has been approved by the Board; and</text> </paragraph> <paragraph num="(4)"> <text>Prior to being registered as an apprentice, has participated in an orientation program administered by the Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>For good cause, the Board may issue a new barber apprentice registration to an individual previously registered as a barber apprentice if:</text> <paragraph num="(1)"> <text>A minimum of 6 months has passed since the individual was last registered as a barber apprentice; and</text> </paragraph> <paragraph num="(2)"> <text>The individual surrenders the number of hours earned under any other barber apprentice registration.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Examinations."> <paragraph num="A."> <text>The Board shall schedule examinations as often as necessary to meet the demand.</text> </paragraph> <paragraph num="B."> <text>Each qualified applicant for examination shall be sent a notice of the examination that contains the:</text> <paragraph num="(1)"> <text>Time, date, and location of the examination;</text> </paragraph> <paragraph num="(2)"> <text>Amount of time allotted for the examination;</text> </paragraph> <paragraph num="(3)"> <text>Areas that will be tested during the theoretical and practical portions of the examination;</text> </paragraph> <paragraph num="(4)"> <text>Requirements for models;</text> </paragraph> <paragraph num="(5)"> <text>Equipment the applicant shall bring;</text> </paragraph> <paragraph num="(6)"> <text>Requirements for passing the examination; and</text> </paragraph> <paragraph num="(7)"> <text>Board's policy on bringing books or other materials into the examination room.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Requirements for Taking Examination.</text> <paragraph num="(1)"> <text>A candidate shall arrive in a timely fashion to take the examination.</text> </paragraph> <paragraph num="(2)"> <text>A candidate shall present the notice of examination and a proper identification with the candidate's signature and photograph.</text> </paragraph> <paragraph num="(3)"> <text>A candidate may not bring books or papers into the examination room and may not use those materials during either the practical or the theoretical portion of the examination.</text> </paragraph> <paragraph num="(4)"> <text>A candidate taking the practical portion of an examination shall:</text> <paragraph num="(a)"> <text>Appear in a clean, washable garment;</text> </paragraph> <paragraph num="(b)"> <text>Be accompanied by a live model who is at least 16 years old unless advised otherwise by the Board; and</text> </paragraph> <paragraph num="(c)"> <text>Appear with the equipment necessary to take the examination which shall be in a clean and disinfected condition and in good repair.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Disqualification. A candidate who violates any of the provisions of §C of this regulation may not be admitted to the examination and shall forfeit the examination fee.</text> </paragraph> <paragraph num="E."> <text>Interpreters or Readers.</text> <paragraph num="(1)"> <text>The Board may permit an interpreter or reader to accompany an applicant and assist in the translation or reading of the theory portion of the barber examination.</text> </paragraph> <paragraph num="(2)"> <text>Except for a sign interpreter who may assist an individual who is hearing impaired:</text> <paragraph num="(a)"> <text>An interpreter or reader may not assist in the practical portion of the barber examination; and</text> </paragraph> <paragraph num="(b)"> <text>The Board may not permit interpreters or readers to translate or read the master barber examination.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>When a practical test cannot be completed for any reason, the grade for that test shall be “incomplete” and not “failure”.</text> </paragraph> <paragraph num="G."> <text>Passing Examination.</text> <paragraph num="(1)"> <text>In order to be certified as passing an examination, a candidate shall:</text> <paragraph num="(a)"> <text>Receive a satisfactory result on all parts of the practical examination;</text> </paragraph> <paragraph num="(b)"> <text>Score at least 70 percent or more on the theoretical portion of the examination; and</text> </paragraph> <paragraph num="(c)"> <text>Demonstrate a sufficient ability to verbally communicate and comprehend the English language in order to understand, converse, and properly respond to the requests, needs, and explanations of English-speaking patrons.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An individual who passes one or more portions of the examination shall be excused from retaking the portion passed.</text> </paragraph> <paragraph num="(3)"> <text>An applicant who has not passed all parts of the examination within 1 year of the original examination date shall be required to retake the entire examination.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Content of Barber Examination.</text> <paragraph num="(1)"> <text>A barber examination shall consist of a theoretical portion and a practical portion.</text> </paragraph> <paragraph num="(2)"> <text>The theoretical portion of the barber examination shall consist of questions which embrace the subjects of barber science found in a basic textbook including, but not limited to, the following:</text> <paragraph num="(a)"> <text>Sanitation and disinfection;</text> </paragraph> <paragraph num="(b)"> <text>Chemical applications;</text> </paragraph> <paragraph num="(c)"> <text>Hair cutting and styling techniques;</text> </paragraph> <paragraph num="(d)"> <text>Diseases and disorders; and</text> </paragraph> <paragraph num="(e)"> <text>Laws and regulations regarding the practice of barbering.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The practical portion of the barber examination shall consist of the candidate demonstrating and explaining a:</text> <paragraph num="(a)"> <text>Haircut;</text> </paragraph> <paragraph num="(b)"> <text>Cold wave; and</text> </paragraph> <paragraph num="(c)"> <text>Shave.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Content of a Master Barber Examination.</text> <paragraph num="(1)"> <text>A master barber examination shall consist of a theoretical portion only.</text> </paragraph> <paragraph num="(2)"> <text>The candidate shall be required to demonstrate a knowledge of barbering including, but not limited to, the following:</text> <paragraph num="(a)"> <text>An advanced knowledge of sanitation and disinfection;</text> </paragraph> <paragraph num="(b)"> <text>An advanced knowledge of chemical applications;</text> </paragraph> <paragraph num="(c)"> <text>An advanced knowledge of hair cutting and styling techniques;</text> </paragraph> <paragraph num="(d)"> <text>An advanced knowledge of diseases and disorders; and</text> </paragraph> <paragraph num="(e)"> <text>Knowledge of laws and regulations regarding the practice of barbering.</text> </paragraph> </paragraph> </paragraph> <paragraph num="J."> <text>Content of Barber Stylist Examination.</text> <paragraph num="(1)"> <text>A barber examination shall consist of a theoretical portion and a practical portion.</text> </paragraph> <paragraph num="(2)"> <text>The theoretical portion of the barber examination shall consist of questions which embrace the subjects of barber science found in a basic textbook including, but not limited to, the following:</text> <paragraph num="(a)"> <text>Sanitation and disinfection;</text> </paragraph> <paragraph num="(b)"> <text>Hair cutting and styling techniques;</text> </paragraph> <paragraph num="(c)"> <text>Diseases and disorders; and</text> </paragraph> <paragraph num="(d)"> <text>Laws and regulations regarding the practice of barbering.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The practical portion of the barber examination shall consist of the candidate demonstrating and explaining:</text> <paragraph num="(a)"> <text>Haircut; and</text> </paragraph> <paragraph num="(b)"> <text>Shave.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Fees."> <paragraph num="A."> <text>Purpose. This regulation is intended to carry out the provisions of Business Occupations and Professions Article, Titles 4 and 5, and Business Regulation Article, §§2-106.13 and 2-106.14, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Barbers and State Board of Cosmetologists.</text> </paragraph> <paragraph num="B."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Barber shop permit fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a barber shop permit.</text> </paragraph> <paragraph num="(b)"> <text>“Barbers Board” means the State Board of Barbers.</text> </paragraph> <paragraph num="(c)"> <text>“Cosmetologists Board” means the State Board of Cosmetologists.</text> </paragraph> <paragraph num="(d)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a limited license and a reciprocal license.</text> </paragraph> <paragraph num="(e)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Examination Fees. An applicant for examination or reexamination shall pay an examination or reexamination fee directly to the testing service chosen by the Barbers Board to develop or administer the examination.</text> </paragraph> <paragraph num="D."> <text>Average of Costs. In order to establish fees that more equitably distribute the costs associated with the operation of each board among similar boards, the Secretary may average the direct and indirect costs of the Barbers Board and the Cosmetologists Board, provided that the boards consent to having their direct and indirect costs averaged together.</text> </paragraph> <paragraph num="E."> <text>As provided for in Business Regulation Article, §§2-106.13 and 2-106.14, Annotated Code of Maryland, and this regulation, the Barbers Board sets the following license and permit fees:</text> <paragraph num="(1)"> <text>Owner —$56;</text> </paragraph> <paragraph num="(2)"> <text>Master barber —$56;</text> </paragraph> <paragraph num="(3)"> <text>Barber —$56;</text> </paragraph> <paragraph num="(4)"> <text>Barber stylist —$56;</text> </paragraph> <paragraph num="(5)"> <text>Apprentice —$11;</text> </paragraph> <paragraph num="(6)"> <text>Duplicate — 1/2 the applicable fee set forth in this section;</text> </paragraph> <paragraph num="(7)"> <text>Reinstatement —$56;</text> </paragraph> <paragraph num="(8)"> <text>Certification —$28; and</text> </paragraph> <paragraph num="(9)"> <text>Inspection —$169.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A separate payment is required for each application.</text> </paragraph> <paragraph num="G."> <text>Payment in cash may not be accepted.</text> </paragraph> <paragraph num="H."> <text>All fees are nonrefundable.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Renewals."> <paragraph num="A."> <text>A renewal application for each license or registration shall be mailed to each licensee, permit holder, and registrant at the last known address.</text> </paragraph> <paragraph num="B."> <text>A licensee, permit holder, or registrant shall submit each application and the required payment at least 14 days before the expiration date of the existing license.</text> </paragraph> <paragraph num="C."> <text>An application that is incomplete or is not accompanied by the appropriate fee shall be returned to the applicant.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Compensation of Inspectors."> <paragraph num="A."> <text>Inspectors, appointed by the Board, shall be paid a per diem of at least $50 based on the State's budget.</text> </paragraph> <paragraph num="B."> <text>All per diem employees are entitled to be reimbursed for traveling expenses in accordance with the State's policy.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Citations to Licensees."> <text>Unless otherwise indicated, the following civil penalties are applicable to the following violations of the laws and regulations of the Board of Barbers discovered by a Board inspector during an inspection of a barbershop:</text> <paragraph num="A."> <text>Working in a barbershop for which a permit never has been issued or at another unauthorized location—$300</text> </paragraph> <paragraph num="B."> <text>Licensing.</text> <paragraph num="(1)"> <text>Operating without a valid license—$300</text> </paragraph> <paragraph num="(2)"> <text>No photo on license—$100</text> </paragraph> <paragraph num="(3)"> <text>Providing services beyond scope of license—$300</text> </paragraph> </paragraph> <paragraph num="C."> <text>Sanitation.</text> <paragraph num="(1)"> <text>Improper Disinfection.</text> <paragraph num="(a)"> <text>Failure to wash implements before disinfection—$150</text> </paragraph> <paragraph num="(b)"> <text>Failure to properly disinfect implements, bowls, basins, or other areas—$150</text> </paragraph> <paragraph num="(c)"> <text>Failure to properly store disinfected implements—$150</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Improper procedures for cut or blood-related incidents—formal hearing</text> </paragraph> <paragraph num="(3)"> <text>Other.</text> <paragraph num="(a)"> <text>Poor lighting, heating, ventilation—$50</text> </paragraph> <paragraph num="(b)"> <text>Unclean walls, curtains, or floor coverings—$50</text> </paragraph> <paragraph num="(c)"> <text>Absence of hot or cold running water—$50</text> </paragraph> <paragraph num="(d)"> <text>Presence of rodents or insects—$50</text> </paragraph> <paragraph num="(e)"> <text>Use of shop for sleeping or living—$100</text> </paragraph> <paragraph num="(f)"> <text>Failure to promptly remove hair or debris—$50</text> </paragraph> <paragraph num="(g)"> <text>Unsanitary restroom—$50</text> </paragraph> <paragraph num="(h)"> <text>No soap dispenser and disposable towels—$50</text> </paragraph> <paragraph num="(i)"> <text>Unclean operator's garments—$50</text> </paragraph> <paragraph num="(j)"> <text>Failure to wash hands before each client—$50</text> </paragraph> <paragraph num="(k)"> <text>No wet sanitizer containing proper disinfectant solution—$50</text> </paragraph> <paragraph num="(l)"> <text>No closed drawer or cabinet for disinfected implements at station—$100</text> </paragraph> <paragraph num="(m)"> <text>Failure to store disinfected implements in closed cabinet or drawer that contains no other objects or substances—$100</text> </paragraph> <paragraph num="(n)"> <text>Use of neck duster, powder puff, sponge, septic pencil, or lump alum on more than one client—$100</text> </paragraph> <paragraph num="(o)"> <text>Failure to properly cover head rest for each client—$100</text> </paragraph> <paragraph num="(p)"> <text>Improper storage or disposal of towels—$50</text> </paragraph> <paragraph num="(q)"> <text>Insufficient number of combs or brushes—$50</text> </paragraph> <paragraph num="(r)"> <text>Failure to use protective neck strip or similar covering—$50</text> </paragraph> <paragraph num="(s)"> <text>Improperly washed or sanitized shampoo bowl—$50</text> </paragraph> <paragraph num="(t)"> <text>Failure to remove soiled items from top of work station after use—$50</text> </paragraph> <paragraph num="(u)"> <text>Use of implements dropped on floor without cleaning and disinfecting—$100</text> </paragraph> <paragraph num="(v)"> <text>Failure to maintain barber chairs and waiting chairs in a sanitary condition—$50</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Prohibited Practices.</text> <paragraph num="(1)"> <text>Services on client with infectious or contagious disease—formal hearing</text> </paragraph> <paragraph num="(2)"> <text>Operator with infectious or contagious disease performing services—formal hearing</text> </paragraph> <paragraph num="(3)"> <text>Services on inflamed skin or scalp without physician authorization—formal hearing</text> </paragraph> <paragraph num="(4)"> <text>Removal of corns, calluses, or other growths of skin by cutting—$300</text> </paragraph> <paragraph num="(5)"> <text>Presence of animal—$100</text> </paragraph> <paragraph num="(6)"> <text>Sale of used hairpieces—$300</text> </paragraph> <paragraph num="(7)"> <text>Habitual intoxication or under influence of any drug—formal hearing</text> </paragraph> </paragraph> <paragraph num="E."> <text>Interference With Inspector—Formal Hearing</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Failure to Respond."> <paragraph num="A."> <text>An applicant or licensee shall respond in writing to a written communication from the Board within 30 days of the date of mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by an applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Board in writing if there has been a change in applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §4-314(a)(1)(ix), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">: Business Occupations and Professions Article, Titles 4 and 5; Business Regulations Article, §§2-106.13 and 2-106.14; Annotated Code of Maryland; Ch. 256, Acts of 2017</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 9, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulations .02C, D, .03B—D, .05B, C, .06H, .08, .09D, E, and .11D amended effective June 6, 1983 (10:11 Md. R. 974)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02E repealed effective June 6, 1983 (10:11 Md. R. 974)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 repealed effective December 14, 1987 (14:25 Md. R. 2659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D amended effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulations .04 and .11E, M—N repealed effective August 2, 1982 (9:15 Md. R. 1513)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective January 25, 1988 (15:2 Md. R. 120)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B amended effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D adopted effective June 6, 1983 (10:11 Md. R. 974)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05E adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06M adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective December 14, 1987 (14:25 Md. R. 2659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06G amended effective January 25, 1988 (15:2 Md. R. 120)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06M amended effective January 25, 1988 (15:2 Md. R. 120)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06N adopted effective January 25, 1988 (15:2 Md. R. 120)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective February 9, 1987 (14:3 Md. R. 272)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09E amended effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09F amended effective August 2, 1982 (9:15 Md. R. 1513); April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective December 14, 1987 (14:25 Md. R. 2659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 amended effective November 2, 1987 (14:22 Md. R. 2339)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11B amended effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11D, I—K, P amended effective August 2, 1982 (9:15 Md. R. 1513)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11L amended effective February 9, 1987 (14:3 Md. R. 272); April 6, 1987 (14:7 Md. R. 830); January 25, 1988 (15:2 Md. R. 121)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11M adopted effective May 19, 1986 (13:10 Md. R. 1155)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11N adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11Q, R adopted effective September 3, 1975 (2:20 Md. R. 1300)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11R amended effective February 22, 1988 (15:4 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11S adopted effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 adopted effective August 2, 1982 (9:15 Md. R. 1513)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12A, B amended effective August 25, 1986 (13:17 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 adopted effective June 6, 1983 (10:11 Md. R. 974)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13C, D, and E adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 adopted effective July 27, 1987 (14:15 Md. R. 1660)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 adopted as an emergency provision effective July 1, 1991 (18:18 Md. R. 2001); emergency status expired January 1, 1992</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 adopted as an emergency provision effective February 14, 1992 (19:5 Md. R. 573); emergency status extended at 19:11 Md. R. 1011; emergency status expired July 1, 1992</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 adopted as an emergency provision effective July 1, 1991 (18:18 Md. R. 2001); emergency status extended at 19:2 Md. R. 150 and 19:11 Md. R. 1011; emergency status expired July 1, 1992</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 adopted as an emergency provision effective July 1, 1991 (18:18 Md. R. 2001); emergency status expired January 1, 1992</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 adopted as an emergency provision effective February 14, 1992 (19:5 Md. R. 573); emergency status extended at 19:11 Md. R. 1011; emergency status expired July 1, 1992</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.14 repealed and new Regulations .01—.10 adopted effective August 3, 1992 (19:15 Md. R. 1389)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective May 29, 2000 (27:10 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective May 29, 2000 (27:10 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective November 6, 2017 (44:22 Md. R. 633)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective February 6, 2012 (39:2 Md. R. 141); November 6, 2017 (44:22 Md. R. 633)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05C adopted effective May 31, 1999 (26:11 Md. R. 854)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05C amended effective April 29, 2002 (29:8 Md. R. 698)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective April 10, 2017 (44:7 Md. R. 354)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A amended effective February 6, 2012 (39:2 Md. R. 141)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06D adopted effective October 7, 1996 (23:20 Md. R. 1422)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07E amended as an emergency provision effective July 23, 1993 (20:15 Md. R. 1218); amended permanently effective November 22, 1993 (20:23 Md. R. 1804)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07E, H amended effective May 29, 2000 (27:10 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07J adopted effective April 10, 2017 (44:7 Md. R. 354)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended as an emergency provision effective April 25, 1996, (23:10 Md. R. 728); emergency status expired July 15, 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A, B amended effective May 29, 2000 (27:10 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended as an emergency provision effective March 1, 2003 (30:13 Md. R. 851); emergency status extended at 30:25 Md. R. 1843); emergency status expired January 1, 2004; amended permanently effective January 5, 2004 (30:26 Md. R. 1913)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended as an emergency provision effective September 10, 2009 (36:21 Md. R. 1587); amended permanently effective March 8, 2010 (37:5 Md. R. 428)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended as an emergency provision effective December 18, 2014 (42:1 Md. R. 12); emergency status expired May 30, 2015</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A, B amended effective April 10, 2017 (44:7 Md. R. 354)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 repealed and new Regulation .08 adopted effective October 8, 2018 (45:20 Md. R. 918)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08E amended effective May 27, 2024 (51:10 Md. R. 524)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 amended effective April 10, 2017 (44:7 Md. R. 354)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 adopted effective November 5, 2007 (34:22 Md. R. 1976)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 adopted effective December 31, 2018 (45:26 Md. R. 1241)</annotation> </annotations> </chapter> <chapter num="02" heading="Barber Shops"> <regulation prefix="Regulation" num=".01" heading="Shop — General."> <paragraph num="A."> <text>Application for a barber shop permit shall be submitted to the Board together with certification of approval with respect to zoning, health, fire prevention, and all other laws, ordinances, and requirements applicable to the establishment.</text> </paragraph> <paragraph num="B."> <text>A person establishing a residential shop shall meet the following requirements in addition to the requirements set forth in §A of this regulation:</text> <paragraph num="(1)"> <text>The shop shall be completely separate and distinct from all living quarters;</text> </paragraph> <paragraph num="(2)"> <text>The shop shall be in compliance with all applicable laws, regulations, and ordinances;</text> </paragraph> <paragraph num="(3)"> <text>The shop shall have a separate outside entrance for use of shop patrons; and</text> </paragraph> <paragraph num="(4)"> <text>The shop shall have a restroom facility maintained for exclusive use by shop clients.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A barber shop shall have the following minimum fixtures, facilities, and equipment:</text> <paragraph num="(1)"> <text>One barber pole or barber sign;</text> </paragraph> <paragraph num="(2)"> <text>One barber chair in good repair;</text> </paragraph> <paragraph num="(3)"> <text>One back bar or work station;</text> </paragraph> <paragraph num="(4)"> <text>One cabinet or drawer for clean towels;</text> </paragraph> <paragraph num="(5)"> <text>One covered container for disposal of soiled towels;</text> </paragraph> <paragraph num="(6)"> <text>Proper sterilization equipment.</text> </paragraph> </paragraph> <paragraph num="D."> <text>More than one shop permit may not be issued for any one premises unless a separate and distinct shop entity is established on a different level of the one premises.</text> </paragraph> <paragraph num="E."> <text>Mobile Barbershops.</text> <paragraph num="(1)"> <text>All mobile units shall prominently display on the outside of the unit the name of the non-mobile barbershop that serves as the mobile unit's permanent base address.</text> </paragraph> <paragraph num="(2)"> <text>All health and safety rules governing barbering shall apply to mobile units unless otherwise specified.</text> </paragraph> <paragraph num="(3)"> <text>All storage containers, cabinets, and drawers shall have safety catches.</text> </paragraph> <paragraph num="(4)"> <text>All equipment not in storage cabinets or drawers shall be securely anchored.</text> </paragraph> <paragraph num="(5)"> <text>A ramp or lift shall be provided for access to the mobile unit if providing services for disabled individuals.</text> </paragraph> <paragraph num="(6)"> <text>Services may not be provided while the mobile unit is in motion.</text> </paragraph> <paragraph num="(7)"> <text>The owners of mobile units shall be responsible for adherence to all local, State and federal laws and regulations regarding the operation of vehicles to be used as mobile units.</text> </paragraph> <paragraph num="(8)"> <text>An itinerary showing dates, locations and times of service shall be made available, upon request, to an authorized representative of the board.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Preopening Inspection.</text> <paragraph num="(1)"> <text>Before a shop permit is issued, the premises shall be inspected by a Board member or inspector.</text> </paragraph> <paragraph num="(2)"> <text>If the premises are not in compliance with the laws and regulations governing barbering, the Board may refuse to issue the permit.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Owner Responsibility."> <text>The holder of a barber shop permit is responsible for:</text> <paragraph num="A."> <text>The condition and operation of the shop in compliance with the laws and regulations governing the practice of barbering;</text> </paragraph> <paragraph num="B."> <text>Displaying a sign containing the name and nature of the establishment, in at least 3-inch bold display-type lettering, on the outside of the premises in full view of the street or public walkway unless otherwise directed by the Board;</text> </paragraph> <paragraph num="C."> <text>Displaying, in full view of the public:</text> <paragraph num="(1)"> <text>The shop permit;</text> </paragraph> <paragraph num="(2)"> <text>A zoning certification or other approval for the practice of barbering on the premises; and</text> </paragraph> <paragraph num="(3)"> <text>A condensed version of the laws and regulations regarding the licensing and regulation of individuals authorized to perform services in a barber shop, and owners of a barber shop, as provided by the Board;</text> </paragraph> </paragraph> <paragraph num="D."> <text>Ensuring that all employees of the shop are properly licensed or registered;</text> </paragraph> <paragraph num="E."> <text>Ensuring that an employee does not perform services beyond the scope of the applicable license or registration;</text> </paragraph> <paragraph num="F."> <text>Employing a sufficient number of master barbers who are qualified to supervise the training of apprentices to ensure that each apprentice being trained in the shop is individually supervised and trained.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Prohibitions."> <text>The following activities are prohibited in any barber shop or in regard to any shop-sponsored services:</text> <paragraph num="A."> <text>The performance of services of any kind on a client who has an infectious or contagious disease that presents a hazard to others;</text> </paragraph> <paragraph num="B."> <text>The performance of services of any kind by a licensee or registrant who has an infectious or contagious disease that presents a hazard to clients;</text> </paragraph> <paragraph num="C."> <text>The performance of services of any kind upon the surface of a client's skin or scalp, where the skin or scalp is inflamed or where a skin infection or eruption is present, unless authorized by a physician;</text> </paragraph> <paragraph num="D."> <text>The removal of corns, calluses, or other growths of the skin, such as warts, by cutting;</text> </paragraph> <paragraph num="E."> <text>The presence of a dog, cat, bird, or any kind of animal on the shop premises with the exception of guide dogs for the blind;</text> </paragraph> <paragraph num="F."> <text>The sale of any hairpieces which previously have been worn including, but not limited to wigs, toupees, wiglets, falls, and switches;</text> </paragraph> <paragraph num="G."> <text>The integration of any other business unless the other business is separated from the barber shop by a permanent partition or wall that goes from floor to ceiling.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Sanitation Requirements — General."> <paragraph num="A."> <text>A barber shop shall comply with the sanitation provisions in §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitation Provisions.</text> <paragraph num="(1)"> <text>Every shop shall be well lighted, heated, and ventilated, and shall be kept in a clean and sanitary condition.</text> </paragraph> <paragraph num="(2)"> <text>The walls, curtains, and floor coverings in a shop shall be washed and kept clean.</text> </paragraph> <paragraph num="(3)"> <text>All shops shall be supplied with hot and cold running water.</text> </paragraph> <paragraph num="(4)"> <text>The premises shall be kept free from rodents, vermin, flies, or similar insects.</text> </paragraph> <paragraph num="(5)"> <text>The shop may not be used for sleeping or living quarters.</text> </paragraph> <paragraph num="(6)"> <text>All hair, cotton, or other waste material shall be removed from the floor without delay and deposited in a closed container and removed from the premises frequently.</text> </paragraph> <paragraph num="(7)"> <text>Rest rooms shall be kept in a sanitary condition and have a soap dispenser and disposable towels.</text> </paragraph> <paragraph num="(8)"> <text>All employees of a shop shall be attired in clean, washable garments.</text> </paragraph> <paragraph num="(9)"> <text>The hands of a licensee and registrant shall be washed before attending each patron.</text> </paragraph> <paragraph num="(10)"> <text>Surgical latex gloves shall be worn if the licensee or registrant has a cut or open wound.</text> </paragraph> <paragraph num="(11)"> <text>Instruments used in direct contact with a client shall be washed in hot, soapy water before being immersed in a disinfectant solution as specified in §B(12) of this regulation.</text> </paragraph> <paragraph num="(12)"> <text>Instruments shall be disinfected in a wet sanitizer containing an EPA-registered, hospital-grade tuberculocidal disinfectant in a quantity sufficient to cover those portions of the instruments that come in direct contact with a client.</text> </paragraph> <paragraph num="(13)"> <text>Each shop shall have:</text> <paragraph num="(a)"> <text>At least one wet sanitizer containing a disinfectant solution as specified in §B(12) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>One closed drawer or cabinet for each work station being used by a licensee or registrant.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Cleaned and disinfected implements and equipment shall be stored in a closed dry cabinet or drawer which contains no other objects or substances.</text> </paragraph> <paragraph num="(15)"> <text>The use of neck dusters, styptic pencil, lump alum, or any other equipment or implement which cannot be sanitized and disinfected may not be used on more than one client.</text> </paragraph> <paragraph num="(16)"> <text>Every head rest shall be covered with a new clean towel or disposable paper for each client.</text> </paragraph> <paragraph num="(17)"> <text>A shop shall have a closed cabinet in which laundered towels are stored and a separate bin or hamper for the disposal of soiled towels. If the shop does its own laundering, the shop shall have both an automatic washer and dryer on the premises.</text> </paragraph> <paragraph num="(18)"> <text>An instrument that caused a skin abrasion or a cut to the skin shall be cleansed and disinfected immediately. If bleeding occurs, a tissue or cotton shall be used to collect the blood. Blood-contaminated materials shall be disposed of immediately in a sealed, double-plastic bag.</text> </paragraph> <paragraph num="(19)"> <text>A licensee or registrant whose hands come in contact with blood shall wash and disinfect them immediately.</text> </paragraph> <paragraph num="(20)"> <text>A minimum of eight combs and four brushes shall be available for each master barber, barber, and barber apprentice.</text> </paragraph> <paragraph num="(21)"> <text>Protective neck strips or similar covering shall be used on each client.</text> </paragraph> <paragraph num="(22)"> <text>Shampoo bowls shall be washed after each shampoo and sanitized frequently with a disinfectant to assure cleanliness.</text> </paragraph> <paragraph num="(23)"> <text>Soiled combs, brushes, towels, or other used material shall be removed from the tops of work stations immediately after use.</text> </paragraph> <paragraph num="(24)"> <text>Objects dropped on the floor may not be used until they are cleansed and disinfected.</text> </paragraph> <paragraph num="(25)"> <text>All barber chairs and waiting chairs shall be maintained in good repair and in a sanitary condition.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Citations to Barbershops."> <text>Unless otherwise indicated, the following civil penalties are applicable to the following violations of the laws and regulations of the Board of Barbers discovered by a Board inspector during an inspection of a barbershop:</text> <paragraph num="A."> <text>Operating a barbershop for which a permit:</text> <paragraph num="(1)"> <text>Never has been issued — formal hearing</text> </paragraph> <paragraph num="(2)"> <text>Expired — $300</text> </paragraph> </paragraph> <paragraph num="B."> <text>Licensing of Personnel.</text> <paragraph num="(1)"> <text>Operating without a valid license — formal hearing</text> </paragraph> <paragraph num="(2)"> <text>No photo on license — $100</text> </paragraph> <paragraph num="(3)"> <text>Providing services beyond scope of license — $300</text> </paragraph> <paragraph num="(4)"> <text>Improper supervision of apprentice — $300</text> </paragraph> </paragraph> <paragraph num="C."> <text>Failure to display:</text> <paragraph num="(1)"> <text>Sign — $25</text> </paragraph> <paragraph num="(2)"> <text>Permit — $50</text> </paragraph> <paragraph num="(3)"> <text>Condensed rules and regulations — $100</text> </paragraph> <paragraph num="(4)"> <text>Zoning certificate — $50</text> </paragraph> </paragraph> <paragraph num="D."> <text>Failure to have:</text> <paragraph num="(1)"> <text>Barber pole or barber sign — $50</text> </paragraph> <paragraph num="(2)"> <text>At least one barber chair in good repair — $100</text> </paragraph> <paragraph num="(3)"> <text>At least one back bar or work station — $100</text> </paragraph> <paragraph num="(4)"> <text>Separate outside entrance for use of clients — $100</text> </paragraph> <paragraph num="(5)"> <text>Restroom facility exclusively for clients — $100</text> </paragraph> </paragraph> <paragraph num="E."> <text>Sanitation.</text> <paragraph num="(1)"> <text>Improper Disinfection.</text> <paragraph num="(a)"> <text>Failure to wash implements before disinfection — $150</text> </paragraph> <paragraph num="(b)"> <text>Failure to properly disinfect implements, bowls, basins, or other areas — $150</text> </paragraph> <paragraph num="(c)"> <text>Failure to properly store disinfected implements — $150</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Improper procedures for cut or blood-related incidents — formal hearing</text> </paragraph> <paragraph num="(3)"> <text>Other.</text> <paragraph num="(a)"> <text>Poor lighting, heating, ventilation — $50</text> </paragraph> <paragraph num="(b)"> <text>Unclean walls, curtains, or floor coverings — $50</text> </paragraph> <paragraph num="(c)"> <text>Absence of hot or cold running water — $50</text> </paragraph> <paragraph num="(d)"> <text>Presence of rodents or insects — $50</text> </paragraph> <paragraph num="(e)"> <text>Use of shop for sleeping or living — $100</text> </paragraph> <paragraph num="(f)"> <text>Failure to promptly remove hair or debris — $50</text> </paragraph> <paragraph num="(g)"> <text>Unsanitary restroom — $50</text> </paragraph> <paragraph num="(h)"> <text>No soap dispenser and disposable towels — $50</text> </paragraph> <paragraph num="(i)"> <text>Unclean operator's garments — $50</text> </paragraph> <paragraph num="(j)"> <text>Failure to wash hands before each client — $50</text> </paragraph> <paragraph num="(k)"> <text>No wet sanitizer containing proper disinfectant solution — $50</text> </paragraph> <paragraph num="(l)"> <text>No closed drawer or cabinet for disinfected implements at station — $100</text> </paragraph> <paragraph num="(m)"> <text>Failure to store disinfected implements in closed cabinet or drawer that contains no other objects or substances — $100</text> </paragraph> <paragraph num="(n)"> <text>Use of neck duster, powder puff, sponge, septic pencil, or lump alum on more than one client — $100</text> </paragraph> <paragraph num="(o)"> <text>Failure to properly cover head rest for each client — $100</text> </paragraph> <paragraph num="(p)"> <text>Improper storage or disposal of towels — $50</text> </paragraph> <paragraph num="(q)"> <text>Insufficient number of combs or brushes — $50</text> </paragraph> <paragraph num="(r)"> <text>Failure to use protective neck strip or similar covering — $50</text> </paragraph> <paragraph num="(s)"> <text>Improperly washed or sanitized shampoo bowl — $50</text> </paragraph> <paragraph num="(t)"> <text>Failure to remove soiled items from top of work station after use — $50</text> </paragraph> <paragraph num="(u)"> <text>Use of implements dropped on floor without cleaning and disinfecting — $100</text> </paragraph> <paragraph num="(v)"> <text>Failure to maintain barber chairs and waiting chairs in a sanitary condition — $50</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Prohibited Practices.</text> <paragraph num="(1)"> <text>Services on client with infectious or contagious disease — formal hearing</text> </paragraph> <paragraph num="(2)"> <text>Operator with infectious or contagious disease performing services — formal hearing</text> </paragraph> <paragraph num="(3)"> <text>Services on inflamed skin or scalp without physician authorization — formal hearing</text> </paragraph> <paragraph num="(4)"> <text>Removal of corns, calluses, or other growths of skin by cutting — $300</text> </paragraph> <paragraph num="(5)"> <text>Presence of animal — $100</text> </paragraph> <paragraph num="(6)"> <text>Sale of used hairpieces — $300</text> </paragraph> <paragraph num="(7)"> <text>Habitual intoxication or under influence of any drug — formal hearing</text> </paragraph> </paragraph> <paragraph num="G."> <text>Interference With Inspector—Formal Hearing.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, Title 4, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 3, 1992 (19:15 Md. R. 1389)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective October 8, 2018 (45:20 Md. R. 918)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B, C amended effective May 31, 1999 (26:11 Md. R. 854)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective May 31, 1999 (26:11 Md. R. 854); May 29, 2000 (27:10 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective November 5, 2007 (34:22 Md. R. 1976)</annotation> </annotations> </chapter> <chapter num="03" heading="Schools"> <regulation prefix="Regulation" num=".01" heading="Public and Private Barber Schools — General."> <text>The Board's inspectors may conduct inspections of those schools of barbering approved by the State Board of Education or the Maryland Higher Education Commission.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Prohibitions — Schools."> <text>The following activities are prohibited in a barber school approved by the State Board of Education or the Maryland Higher Education Commission:</text> <paragraph num="A."> <text>The performance of services of any kind on a client who has an infectious or contagious disease that presents a hazard to others;</text> </paragraph> <paragraph num="B."> <text>The performance of services of any kind by a student who has an infectious or contagious disease that presents a hazard to clients;</text> </paragraph> <paragraph num="C."> <text>The performance of services of any kind upon the surface of a client's skin or scalp, where the skin or scalp is inflamed or where a skin infection or eruption is present, unless authorized by a physician;</text> </paragraph> <paragraph num="D."> <text>The removal of corns, calluses, or other growths of the skin, such as warts, by cutting;</text> </paragraph> <paragraph num="E."> <text>The presence of a dog, cat, bird, or any kind of animal on the school premises with the exception of guide dogs for the blind;</text> </paragraph> <paragraph num="F."> <text>The sale of any hairpieces which previously have been worn including, but not limited to wigs, toupees, wiglets, falls, and switches.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Sanitation Requirements — General."> <paragraph num="A."> <text>A barber school approved by the State Board of Education or the Maryland Higher Education Commission shall comply with the sanitation provisions in §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitation Provisions.</text> <paragraph num="(1)"> <text>Every school shall be well lighted, heated, and ventilated, and shall be kept in a clean and sanitary condition.</text> </paragraph> <paragraph num="(2)"> <text>The walls, curtains, and floor coverings in a school shall be washed and kept clean.</text> </paragraph> <paragraph num="(3)"> <text>All schools shall be supplied with hot and cold running water.</text> </paragraph> <paragraph num="(4)"> <text>The premises shall be kept free from rodents, vermin, flies, or similar insects.</text> </paragraph> <paragraph num="(5)"> <text>The school may not be used for sleeping or living quarters.</text> </paragraph> <paragraph num="(6)"> <text>All hair, cotton, or other waste material shall be removed from the floor without delay and deposited in a closed container and removed from the premises frequently.</text> </paragraph> <paragraph num="(7)"> <text>Rest rooms shall be kept in a sanitary condition and have a soap dispenser and disposable towels.</text> </paragraph> <paragraph num="(8)"> <text>All students shall be attired in clean, washable garments.</text> </paragraph> <paragraph num="(9)"> <text>The hands of a student shall be washed before attending each patron.</text> </paragraph> <paragraph num="(10)"> <text>Surgical latex gloves shall be worn if a student has a cut or open wound.</text> </paragraph> <paragraph num="(11)"> <text>Instruments used in direct contact with a client shall be washed in hot, soapy water before being immersed in a disinfectant solution for the required period of time as specified in §B(12) of this regulation.</text> </paragraph> <paragraph num="(12)"> <text>Instruments shall be disinfected in a wet sanitizer containing an EPA registered, hospital-grade tuberculocidal disinfectant in a quantity sufficient to cover those portions of the instruments that come in direct contact with a client.</text> </paragraph> <paragraph num="(13)"> <text>Each school shall have:</text> <paragraph num="(a)"> <text>At least one wet sanitizer containing a disinfectant solution as specified in §B(12) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>One closed drawer or cabinet for each work station being used by a licensee or registrant.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Cleaned and disinfected implements and equipment shall be stored in a closed dry cabinet or drawer which contains no other objects or substances.</text> </paragraph> <paragraph num="(15)"> <text>The use of neck dusters, styptic pencil, lump alum, or any other equipment or implement which cannot be sanitized and disinfected may not be used on more than one client.</text> </paragraph> <paragraph num="(16)"> <text>Every head rest shall be covered with a new clean towel or disposable paper for each client.</text> </paragraph> <paragraph num="(17)"> <text>A school shall have a closed cabinet in which laundered towels are stored and a separate bin or hamper for the disposal of soiled towels. If the school does its own laundering, the school shall have both an automatic washer and dryer on the premises.</text> </paragraph> <paragraph num="(18)"> <text>An instrument that caused a skin abrasion or a cut to the skin shall be cleansed and disinfected immediately. If bleeding occurs, a tissue or cotton shall be used to collect the blood. Blood-contaminated materials shall be disposed of immediately in a sealed, double-plastic bag.</text> </paragraph> <paragraph num="(19)"> <text>A student whose hands come in contact with blood shall wash and disinfect them immediately.</text> </paragraph> <paragraph num="(20)"> <text>A minimum of eight combs and four brushes shall be available for each student.</text> </paragraph> <paragraph num="(21)"> <text>Protective neck strips or similar covering shall be used on each client.</text> </paragraph> <paragraph num="(22)"> <text>Shampoo bowls shall be washed after each shampoo and sanitized frequently with a disinfectant to assure cleanliness.</text> </paragraph> <paragraph num="(23)"> <text>Soiled combs, brushes, towels, or other used material shall be removed from the tops of work stations immediately after use.</text> </paragraph> <paragraph num="(24)"> <text>Objects dropped on the floor may not be used until they are cleansed and disinfected.</text> </paragraph> <paragraph num="(25)"> <text>All barber chairs and waiting chairs shall be maintained in good repair and in a sanitary condition.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Complaints and Violations in Barber Schools."> <paragraph num="A."> <text>This regulation applies whenever a complaint is made to the Board by an inspector, member of the Board, or any other person in regard to the sanitary condition of a barber school or the sanitary practice of barbering performed at a barber school.</text> </paragraph> <paragraph num="B."> <text>Upon receipt of a complaint, in compliance with Business Occupations and Professions Article, §4-511, Annotated Code of Maryland, an inspector shall investigate the complaint, and the Board shall determine if the complaint alleges grounds adequate to warrant action by the Board.</text> </paragraph> <paragraph num="C."> <text>If the Board determines that the complaint does not allege grounds adequate to warrant action by the Board, the Board shall dismiss the complaint.</text> </paragraph> <paragraph num="D."> <text>If the Board determines that the complaint does allege grounds adequate to warrant action by the Board, the Board shall notify the owner of the school, or an authorized representative of the school, in writing and provide the owner of the school with an opportunity to correct the violation.</text> </paragraph> <paragraph num="E."> <text>If the owner corrects each alleged violation within 10 days of the written notification, the Board shall dismiss the complaint and notify the owner.</text> </paragraph> <paragraph num="F."> <text>If the owner fails to correct each alleged violation within 10 days of the written notification, the Board shall institute and conduct a hearing as provided in State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.</text> </paragraph> <paragraph num="G."> <text>If the Board conducts a hearing and concludes that the owner has violated one or more sanitation regulations, the Board may impose a fine not to exceed $300 for each violation.</text> </paragraph> <paragraph num="H."> <text>The Board shall report the sanitation violation and the amount of fine imposed to the Maryland State Board of Education in regard to a public school or to the Maryland Higher Education Commission in regard to a private career school.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Citations to Schools."> <text>Unless otherwise indicated, the following civil penalties are applicable to the following violations of the laws and regulations of the Board of Barbers discovered by a Board inspector during an inspection of a school:</text> <paragraph num="A."> <text>Sanitation.</text> <paragraph num="(1)"> <text>Improper Disinfection.</text> <paragraph num="(a)"> <text>Failure to wash implements before disinfection — $150</text> </paragraph> <paragraph num="(b)"> <text>Failure to properly disinfect implements, bowls, basins, or other areas — $150</text> </paragraph> <paragraph num="(c)"> <text>Failure to properly store disinfected implements — $150</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Improper procedures for cut or blood-related incidents — formal hearing</text> </paragraph> <paragraph num="(3)"> <text>Other.</text> <paragraph num="(a)"> <text>Poor lighting, heating, ventilation — $50</text> </paragraph> <paragraph num="(b)"> <text>Unclean walls, curtains, or floor coverings — $50</text> </paragraph> <paragraph num="(c)"> <text>Absence of hot or cold running water — $50</text> </paragraph> <paragraph num="(d)"> <text>Presence of rodents or insects — $50</text> </paragraph> <paragraph num="(e)"> <text>Use of school for sleeping or living — $100</text> </paragraph> <paragraph num="(f)"> <text>Failure to promptly remove hair or debris — $50</text> </paragraph> <paragraph num="(g)"> <text>Unsanitary restroom — $50</text> </paragraph> <paragraph num="(h)"> <text>No soap dispenser and disposable towels — $50</text> </paragraph> <paragraph num="(i)"> <text>Unclean operator's garments — $50</text> </paragraph> <paragraph num="(j)"> <text>Failure to wash hands before each client — $50</text> </paragraph> <paragraph num="(k)"> <text>No wet sanitizer containing proper disinfectant solution — $50</text> </paragraph> <paragraph num="(l)"> <text>No closed drawer or cabinet for disinfected implements at station — $100</text> </paragraph> <paragraph num="(m)"> <text>Failure to store disinfected implements in closed cabinet or drawer that contains no other objects or substances — $100</text> </paragraph> <paragraph num="(n)"> <text>Use of neck duster, powder puff, sponge, septic pencil, or lump alum on more than one client — $100</text> </paragraph> <paragraph num="(o)"> <text>Failure to properly cover head rest for each client — $100</text> </paragraph> <paragraph num="(p)"> <text>Improper storage or disposal of towels — $50</text> </paragraph> <paragraph num="(q)"> <text>Insufficient number of combs or brushes — $50</text> </paragraph> <paragraph num="(r)"> <text>Failure to use protective neck strip — $50</text> </paragraph> <paragraph num="(s)"> <text>Improperly washed or sanitized shampoo bowl — $50</text> </paragraph> <paragraph num="(t)"> <text>Failure to remove soiled items from top of work station after use — $50</text> </paragraph> <paragraph num="(u)"> <text>Use of implements dropped on floor without cleaning and disinfecting — $100</text> </paragraph> <paragraph num="(v)"> <text>Failure to maintain barber chairs and waiting chairs in a sanitary condition — $50</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Prohibited Practices.</text> <paragraph num="(1)"> <text>Services on client with infectious or contagious disease — formal hearing</text> </paragraph> <paragraph num="(2)"> <text>Operator with infectious or contagious disease performing services — formal hearing</text> </paragraph> <paragraph num="(3)"> <text>Services on inflamed skin or scalp without physician authorization — formal hearing</text> </paragraph> <paragraph num="(4)"> <text>Removal of corns, calluses, or other growths of skin by cutting — $300</text> </paragraph> <paragraph num="(5)"> <text>Presence of animal — $100</text> </paragraph> <paragraph num="(6)"> <text>Sale of used hairpieces — $300</text> </paragraph> <paragraph num="(7)"> <text>Habitual intoxication or under influence of any drug — formal hearing</text> </paragraph> </paragraph> <paragraph num="C."> <text>Interference With Inspector—Formal Hearing.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, Title 4, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 3, 1992 (19:15 Md. R. 1389)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective May 31, 1999 (26:11 Md. R. 854)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective November 5, 2007 (34:22 Md. R. 1976)</annotation> </annotations> </chapter> </subtitle> <subtitle num="17" heading="Board of Stationary Engineers"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Responsibilities of Licensee."> <text>A licensee shall be familiar with and comply with the laws and regulations governing the provision of stationary engineer services.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Application for Licensure."> <text>An applicant who has successfully completed a license examination shall apply for licensure, and pay all applicable fees, within 2 years of successfully completing the license examination in order for the applicant’s test results to remain valid.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Boiler Certification."> <text>If a boiler certification is required, a licensee shall:</text> <paragraph num="A."> <text>Display conspicuously a current and valid license of each individual assigned to oversee a boiler:</text> <paragraph num="(1)"> <text>Near the regulated machinery; or</text> </paragraph> <paragraph num="(2)"> <text>With the certificate of inspection for the regulated machinery;</text> </paragraph> </paragraph> <paragraph num="B."> <text>Affix a current photograph to the license; and</text> </paragraph> <paragraph num="C."> <text>Have available at all times valid government-issued photographic identification.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Board in writing if there has been a change in an applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §6.5-314(a)(1)(ix), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§6.5-205, 6.5-304, 6.5-305, 6.5-306, 6.5-311, and 6.5-314(a)(1)(iv), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 5, 2013 (40:15 Md. R. 1229)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective May 22, 2017 (44:10 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective February 25, 2019 (46:4 Md. R. 190)</annotation> </annotations> </chapter> <chapter num="02" heading="Computerized Monitoring System"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the duties of licensed stationary engineers and is to be read in conjunction with Maryland Boiler and Pressure Vessel Safety Act, Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Competent authority” means:</text> <paragraph num="(a)"> <text>The boiler manufacturer; or</text> </paragraph> <paragraph num="(b)"> <text>If the boiler manufacturer is unavailable or defers to a jurisdictional authority:</text> <paragraph num="(i)"> <text>A person designated by the Commissioner of Labor and Industry as a Deputy Boiler Inspector or a Special Boiler Inspector; or</text> </paragraph> <paragraph num="(ii)"> <text>A professional engineer who has experience in the design, operation, and maintenance and repair of boilers.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>“High level” means the level above normal considered unsafe for the operation of the boiler by a competent authority.</text> </paragraph> <paragraph num="(3)"> <text>“High pressure” means the pressure above normal considered unsafe for the operation of the boiler by a competent authority.</text> </paragraph> <paragraph num="(4)"> <text>“High temperature” means the temperature above normal considered unsafe for the operation of the boiler by a competent authority.</text> </paragraph> <paragraph num="(5)"> <text>“Low level” means the level below normal considered unsafe for the operation of the boiler by a competent authority.</text> </paragraph> <paragraph num="(6)"> <text>“Low pressure” means the pressure below normal considered unsafe for the operation of the boiler by a competent authority.</text> </paragraph> <paragraph num="(7)"> <text>“Low temperature” means the temperature below normal considered unsafe for the operation of the boiler by a competent authority.</text> </paragraph> <paragraph num="(8)"> <text>“Normal level” means the level considered safe for the operation of the boiler by a competent authority.</text> </paragraph> <paragraph num="(9)"> <text>“Normal pressure” means the pressure considered safe for the operation of the boiler by a competent authority.</text> </paragraph> <paragraph num="(10)"> <text>“Normal temperature” means the temperature considered safe for the operation of the boiler by a competent authority.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Incorporation by Reference."> <text>Controls and Safety Devices for Automatically Fired Boilers (ASME CSD-1), published by the American Society of Mechanical Engineers, which has been incorporated by reference in COMAR 09.12.01.01-1, is incorporated by reference in this chapter.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Monitors and Indicators."> <paragraph num="A."> <text>For a boiler, a computerized monitoring system shall qualify as a "24-hour computerized monitoring system and automatic controls," in accordance with Business Occupations and Professions Article, Title 6.5, Annotated Code of Maryland, if it meets the requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>For a boiler operating at 30 to 299 horsepower, the system shall monitor and indicate:</text> <paragraph num="(1)"> <text>Stack flue gas temperature;</text> </paragraph> <paragraph num="(2)"> <text>Burner status, including “on” and “off” indicators;</text> </paragraph> <paragraph num="(3)"> <text>Flame safety control status, including “normal” and “flame failure” indicators; and</text> </paragraph> <paragraph num="(4)"> <text>One of the following, as applicable:</text> <paragraph num="(a)"> <text>For steam boilers:</text> <paragraph num="(i)"> <text>Pressure; and</text> </paragraph> <paragraph num="(ii)"> <text>Water level; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>For hot water boilers, temperature.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>For a boiler operating at 300 horsepower or more, the system shall monitor, indicate, and record:</text> <paragraph num="(1)"> <text>Stack flue gas temperature;</text> </paragraph> <paragraph num="(2)"> <text>Burner status, including “on” and “off” indicators;</text> </paragraph> <paragraph num="(3)"> <text>Flame safety control status, including “normal” and “flame failure” indicators; and</text> </paragraph> <paragraph num="(4)"> <text>One of the following, as applicable:</text> <paragraph num="(a)"> <text>For steam boilers:</text> <paragraph num="(i)"> <text>Pressure; and</text> </paragraph> <paragraph num="(ii)"> <text>Water level; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>For hot water boilers:</text> <paragraph num="(i)"> <text>Pressure; and</text> </paragraph> <paragraph num="(ii)"> <text>Temperature.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Automatic Controls."> <text>A computerized monitoring system shall be equipped with automatic controls in accordance with whichever is more restrictive of the Maryland Boiler and Pressure Vessel Safety Act, Public Safety Article, Title 12, Subtitle 9, Annotated Code of Maryland or ASME CSD-1.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Alarm."> <text>A computerized monitoring system shall be equipped with an alarm that will activate when:</text> <paragraph num="A."> <text>The stack flue gas reaches a high temperature;</text> </paragraph> <paragraph num="B."> <text>The burner status indicator indicates the burner is “off”;</text> </paragraph> <paragraph num="C."> <text>The flame safety control status indicates a “flame failure”; and</text> </paragraph> <paragraph num="D."> <text>One of the following occurs, as applicable:</text> <paragraph num="(1)"> <text>For steam boilers, the:</text> <paragraph num="(a)"> <text>Steam reaches low or high pressure; or</text> </paragraph> <paragraph num="(b)"> <text>Water reaches low or high level;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>For a hot water boiler operating at 30 to 299 horsepower, the water reaches low or high temperature; or</text> </paragraph> <paragraph num="(3)"> <text>For a hot water boiler operating at 300 or more horsepower the water reaches low or high:</text> <paragraph num="(a)"> <text>Pressure;</text> </paragraph> <paragraph num="(b)"> <text>Temperature; or</text> </paragraph> <paragraph num="(c)"> <text>Level.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Automatic Shutdown."> <text>A computerized monitoring system shall be equipped with an automatic burner shutdown mechanism that will activate when:</text> <paragraph num="A."> <text>Stack flue gas reaches high temperature; and</text> </paragraph> <paragraph num="B."> <text>One of the following occurs, as applicable:</text> <paragraph num="(1)"> <text>For a steam boiler:</text> <paragraph num="(a)"> <text>Steam reaches high pressure; or</text> </paragraph> <paragraph num="(b)"> <text>Water reaches Low or high level;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>For a hot water boiler operating at 30 to 299 horsepower, water reaches high temperature; or</text> </paragraph> <paragraph num="(3)"> <text>For a hot water boiler operating at 300 or more horsepower, water reaches:</text> <paragraph num="(a)"> <text>High pressure;</text> </paragraph> <paragraph num="(b)"> <text>High temperature; or</text> </paragraph> <paragraph num="(c)"> <text>Low level.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Manual Reset."> <paragraph num="A."> <text>Subject to §B of this regulation, manual reset following an automatic shutdown as set forth in Regulation .07 of this chapter requires that a licensee or the licensee's designee shall physically inspect the boiler and appurtenances prior to restart.</text> </paragraph> <paragraph num="B."> <text>Notwithstanding §A of this regulation, the licensee shall be responsible for the safe operation of a boiler at all times in accordance with Business Occupations and Professions Article, §6.5-302, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Miscellaneous Provisions."> <text>The Board may accept an alternate computerized monitoring system if the system is equipped with features that provide a comparable level of safety, monitoring, and control to those required by this regulation, in the opinion of the Board.</text> </regulation> <annotations> <annotation type="Authority">Article 4, §4-1, Public Laws of Baltimore City</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 27, 2010 (37:26 Md. R. 1786)</annotation> </annotations> </chapter> <chapter num="03" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Occupations and Professions Article, Title 12, Annotated Code of Maryland, and Business Regulation Article, §§2-106.9 and 2-106.10, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Master Electricians, the State Board of Stationary Engineers, the State Board of Plumbing, and the State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board of Stationary Engineers.</text> </paragraph> <paragraph num="(2)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a limited license and a reciprocal license.</text> </paragraph> <paragraph num="(3)"> <text>“Mechanical boards” means collectively the:</text> <paragraph num="(a)"> <text>State Board of Master Electricians;</text> </paragraph> <paragraph num="(b)"> <text>State Board of Stationary Engineers;</text> </paragraph> <paragraph num="(c)"> <text>State Board of Plumbing; and</text> </paragraph> <paragraph num="(d)"> <text>State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the mechanical boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the mechanical boards. Based on these calculations, the Board sets the following nonrefundable fees as of January 1, 2024:</text> <paragraph num="(1)"> <text>Original and Renewal License:</text> <paragraph num="(a)"> <text>Grade 1 — $73;</text> </paragraph> <paragraph num="(b)"> <text>Grade 2 — $56;</text> </paragraph> <paragraph num="(c)"> <text>Grade 3 — $56;</text> </paragraph> <paragraph num="(d)"> <text>Grade 4 — $39; and</text> </paragraph> <paragraph num="(e)"> <text>Grade 5 — $39.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Application — $28.</text> </paragraph> <paragraph num="(3)"> <text>Reinstatement — $112.50.</text> </paragraph> <paragraph num="(4)"> <text>Letter of Good Standing — $50.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Secretary and the mechanical boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the mechanical boards. Based on these calculations, the Board sets the following nonrefundable fees as of January 1, 2025:</text> <paragraph num="(1)"> <text>Original and Renewal License:</text> <paragraph num="(a)"> <text>Grade 1 — $82;</text> </paragraph> <paragraph num="(b)"> <text>Grade 2 — $63;</text> </paragraph> <paragraph num="(c)"> <text>Grade 3 — $63;</text> </paragraph> <paragraph num="(d)"> <text>Grade 4 — $43; and</text> </paragraph> <paragraph num="(e)"> <text>Grade 5 — $43.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Application — $31.50.</text> </paragraph> <paragraph num="(3)"> <text>Reinstatement — $126.</text> </paragraph> <paragraph num="(4)"> <text>Letter of Good Standing — $50.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An applicant for an examination or reexamination shall pay an examination or reexamination fee directly to the testing service chosen by the Board to develop or administer the examination, as such fees are established by the testing service selected by the Board.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§6.5-205(a)(1), 6.5-207, 6.5-304, 6.5-306, 6.5-312, and 6.5-313; Business Regulation Article, §§2-106.2, 2-106.9 and 2-106.10; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 27, 2018 (45:17 Md. R. 802)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective April 15, 2024 (51:7 Md. R. 332)</annotation> </annotations> </chapter> </subtitle> <subtitle num="18" heading="Board of Certified Interior Designers"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§2-106.1 and 2.106.2, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 8, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Architects, the State Board of Certified Interior Designers, the State Board of Examiners of Landscape Architects, the State Board for Professional Engineers, and the State Board for Professional Land Surveyors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board of Certified Interior Designers.</text> </paragraph> <paragraph num="(2)"> <text>“Certificate fee” means the fee paid by an applicant or certificate holder, as applicable, in connection with the issuance and renewal of a certificate and the issuance of a reciprocal certificate.</text> </paragraph> <paragraph num="(3)"> <text>“Design boards” means collectively the:</text> <paragraph num="(a)"> <text>State Board of Architects;</text> </paragraph> <paragraph num="(b)"> <text>Board;</text> </paragraph> <paragraph num="(c)"> <text>State Board of Examiners of Landscape Architects;</text> </paragraph> <paragraph num="(d)"> <text>State Board for Professional Engineers; and</text> </paragraph> <paragraph num="(e)"> <text>State Board for Professional Land Surveyors.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“NCIDQ” means the National Council of Interior Design Qualification.</text> </paragraph> <paragraph num="(5)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the design boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the design boards. Based on these calculations, the Board sets the following fees:</text> <paragraph num="(1)"> <text>Certificate fee — $86;</text> </paragraph> <paragraph num="(2)"> <text>Nonrefundable initial application fee payable in connection with:</text> <paragraph num="(a)"> <text>An application for certificate — $39;</text> </paragraph> <paragraph num="(b)"> <text>An application for certificate by reciprocity — $56;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Reinstatement fee — $112.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An applicant shall pay the examination fees directly to the NCIDQ, as these fees are established by NCIDQ.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§8-101, 8-206, 8-207, 8-302—8-305, 8-307, and 8-309; Business Regulation Article, §§2-106.1 and 2-106.2; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective January 31, 1994 (21:4 Md. R. 272); emergency status extended at 21:11 Md. R. 948; adopted permanently effective August 15, 1994 (21:16 Md. R. 1382)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective July 17, 1995 (22:14 Md. R. 1052)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulations .01—.03 adopted as an emergency provision effective July 1, 2003 (30:14 Md. R. 932); adopted permanently effective November 10, 2003 (30:22 Md. R. 1579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective April 23, 2007 (34:8 Md. R. 767); March 3, 2014 (41:4 Md. R. 300); May 27, 2024 (51:10 Md. R. 524)</annotation> </annotations> </chapter> <chapter num="02" heading="Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The primary obligation of a certified interior designer when performing interior design services is to protect the health, safety, and welfare of the public.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Responsibility to the Public."> <paragraph num="A."> <text>In rendering professional services, a certified interior designer shall comply in all respects with applicable laws and regulations pertaining to the practice of interior design.</text> </paragraph> <paragraph num="B."> <text>A certified interior designer may not engage in any form of false or misleading advertising or promotional activities, including, but not limited to, the falsification or misrepresentation of the work of a certified interior designer or of another person, academic or professional qualifications, degree of responsibility, experience, performance, or licensing status.</text> </paragraph> <paragraph num="C."> <text>A certified interior designer shall be truthful and objective in all professional communications and public statements.</text> </paragraph> <paragraph num="D."> <text>A certified interior designer may not seal, stamp, or sign, or permit to have a certified interior designer's name, signature, or stamp be affixed to, any plans, drawings, specifications, or other documents which were not prepared by a certified interior designer or under the certified interior designer's responsible supervising control and direction.</text> </paragraph> <paragraph num="E."> <text>A certified interior designer may not by affirmative act or failure to act engage in improper, unprofessional, or dishonorable conduct of a character likely to deceive, defraud, or harm the public.</text> </paragraph> <paragraph num="F."> <text>A certified interior designer may not knowingly associate with, or permit the use of, a certified interior designer's personal or business name in a business venture by a person or a firm which a certified interior designer knows, or has reason to know, is engaged in business or professional practice of a fraudulent or dishonorable nature.</text> </paragraph> <paragraph num="G."> <text>In rendering professional services, a certified interior designer may not counsel or assist anyone, including, but not limited to, a certified interior designer's client, in conduct a certified interior designer knows, or reasonably is expected to know, is illegal or improper.</text> </paragraph> <paragraph num="H."> <text>A certified interior designer who has direct knowledge of a violation of a provision of the laws or regulations pertaining to the practice of interior design by another person or entity shall immediately inform the Board of Certified Interior Designers in writing.</text> </paragraph> <paragraph num="I."> <text>A certified interior designer may not pay, or offer to pay, either directly or indirectly, any commission, political contribution, gift, or other consideration in order to secure work, exclusive of the customary fees payable to employment agencies.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Responsibility to the Client."> <paragraph num="A."> <text>A certified interior designer shall undertake to perform professional assignments only if the certified interior designer, together with the certified interior designer's consultants, is qualified, by training, education, and experience to perform required services.</text> </paragraph> <paragraph num="B."> <text>A certified interior designer may not divulge any confidential information about the client or the client's project, unless the certified interior designer reasonably believes that nondisclosure of the information creates a significant risk to public health and safety, or violates the applicable laws or this Code of Ethics.</text> </paragraph> <paragraph num="C."> <text>A certified interior designer shall fully disclose to the certified interior designer's client all compensation that the certified interior designer receives in connection with a project, and may not accept any form of compensation from a third party in cash or in kind unless the client is informed and does not object to the method or form of compensation.</text> </paragraph> <paragraph num="D."> <text>A certified interior designer may not knowingly assume or accept any position in which the certified interior designer's personal interests conflict with professional responsibilities.</text> </paragraph> <paragraph num="E."> <text>A certified interior designer may offer professional services to the client as a consultant, specifier, or supplier on the basis of a fee, percentage, or mark-up, except that a certified interior designer may not request, propose, or accept a commission on a fee basis under circumstances in which the certified interior designer's professional judgment may be compromised.</text> </paragraph> <paragraph num="F."> <text>Before entering into a written or verbal contract with a client, a certified interior designer shall clearly determine and convey to the client the scope and nature of the project involved, the services to be performed, and the method of remuneration for the services.</text> </paragraph> <paragraph num="G."> <text>A certified interior designer shall produce studies, drawings, specifications, and other related documents of sufficiently high standards to clearly and accurately indicate all essential parts of the work to which they refer.</text> </paragraph> <paragraph num="H."> <text>Except for specifications and drawings over which a certified interior designer retains proprietary rights or which the certified interior designer is required by law, or in connection with an investigation by the Board of Certified Interior Designers, to furnish, a certified interior designer may not use specifications, photographs, or drawings of a project without the express permission of a client.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Responsibility to Other Certified Interior Designers."> <paragraph num="A."> <text>A certified interior designer shall pursue all professional endeavors with honesty, integrity, fairness, and professionalism.</text> </paragraph> <paragraph num="B."> <text>A certified interior designer may not initiate, participate, or engage in an activity that may reasonably result in interference in the performance by another certified interior designer of a contractual or professional relationship with a client or an unjust injury to another certified interior designer's reputation or business relationship.</text> </paragraph> <paragraph num="C."> <text>A certified interior designer shall only take credit for services performed by the certified interior designer directly, or by the certified interior designer's firm and under the certified interior designer's supervision or direction.</text> </paragraph> <paragraph num="D."> <text>A certified interior designer may not:</text> <paragraph num="(1)"> <text>Accept instructions from a client which the certified interior designer knows involve plagiarism;</text> </paragraph> <paragraph num="(2)"> <text>Consciously plagiarize work of another certified interior designer.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Responsibility to the Profession."> <paragraph num="A."> <text>A certified interior designer shall adhere to and maintain standards of professional and personal conduct that reflect in a responsible manner on the profession.</text> </paragraph> <paragraph num="B."> <text>In addition to requirements set forth in the law and regulations governing certified interior designers, a certified interior designer shall seek to continually upgrade professional knowledge and competency with respect to the interior design profession.</text> </paragraph> <paragraph num="C."> <text>A certified interior designer shall, whenever possible, encourage and contribute to the sharing of information and knowledge between certified interior designers and other allied professionals and the public.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Sealing Requirements."> <paragraph num="A."> <text>A certificate holder may sign and seal plans, specifications, drawings, reports, or any other interior design documents that are required to be signed and sealed under Business Occupations and Professions Article, §8-403, Annotated Code of Maryland, only if the following requirements are met:</text> <paragraph num="(1)"> <text>The certificate holder is competent in the subject matter of the documents by reason of education or experience or both; and</text> </paragraph> <paragraph num="(2)"> <text>The certificate holder either:</text> <paragraph num="(a)"> <text>Personally prepared the documents; or</text> </paragraph> <paragraph num="(b)"> <text>Approved the documents.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Definition. In §(A)(2)(b) of this regulation, “approved” means the certificate holder:</text> <paragraph num="(1)"> <text>Had direct knowledge and responsible control over the content of the interior design documents during their preparation; and</text> </paragraph> <paragraph num="(2)"> <text>Performed substantive review and had authority to make revisions of the interior design documents during their preparation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>For the purpose of sealing and signing interior design documents under this regulation, a certificate holder shall obtain an individual seal which shall contain:</text> <paragraph num="(1)"> <text>A depiction of the Great Seal of Maryland in the center of the seal;</text> </paragraph> <paragraph num="(2)"> <text>The certification number of the certificate holder above the depiction of the Great Seal of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>The words “Certified Interior Designer” above the certification number of the certificate holder;</text> </paragraph> <paragraph num="(4)"> <text>The name of the certificate holder below the depiction of the Great Seal of Maryland; and</text> </paragraph> <paragraph num="(5)"> <text>The words “State of Maryland” below the name of the certificate holder.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The diameter of the seal shall be 2 inches.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or certificate holder receives from the Board a written communication requesting a response, the applicant or certificate holder shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last known address furnished to the Board by the applicant or certificate holder.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or certificate holder to notify the Board in writing if there has been a change in the applicant’s or certificate holder’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §8-310(a)(1)(vi), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §8-206(b), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 17, 1995 (22:14 Md. R. 1052)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective December 12, 2002 (29:24 Md. R. 1919)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective June 13, 2011 (38:12 Md. R. 704)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective August 12, 2019 (46:16 Md. R. 688)</annotation> </annotations> </chapter> <chapter num="03" heading="Continuing Education"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The State legislature has determined that it will be in the best interest of the public to require certified interior designers to comply with continuing education requirements as a prerequisite to the renewal of a certificate (the “certificate”) issued by the Board of Certified Interior Designers (the “Board”).</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>Approved Continuing Education Course.</text> <paragraph num="(1)"> <text>“Approved continuing education course” means a continuing education course approved by the Board. In order to qualify as the approved continuing education course, the continuing education course shall:</text> <paragraph num="(a)"> <text>Meet the criteria established by these regulations; and</text> </paragraph> <paragraph num="(b)"> <text>Be submitted in an outline form acceptable to the Board at least 2 months in advance of any regularly scheduled Board meeting in order to be considered at the respective meeting.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Subject to the requirements set forth in §B(3) of this regulation, a course approved by the Interior Design Continuing Education Council shall be considered to be an approved course.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Continuing Education Course.</text> <paragraph num="(1)"> <text>“Continuing education course” means a course which contributes directly to the enhancement of professional competency of an individual to provide interior design services and has a clear purpose and objective of protecting health, safety, and welfare of the public.</text> </paragraph> <paragraph num="(2)"> <text>“Continuing education course” includes the following subject matter:</text> <paragraph num="(a)"> <text>Technical or aesthetic aspects of interior design or principles of sustainable design;</text> </paragraph> <paragraph num="(b)"> <text>Client relations and communications;</text> </paragraph> <paragraph num="(c)"> <text>Compliance with appropriate federal, State, and local laws and regulations, as related to the practice of interior design; and</text> </paragraph> <paragraph num="(d)"> <text>Other courses which foster improvement, advancement, and extension of professional skills and knowledge related to the practice of interior design.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Continuing education course” does not include marketing courses, unless otherwise determined by the Board.</text> </paragraph> </paragraph> <paragraph num="C."> <text>“Continuing education unit (CEU)” means a unit of credit customarily used for continuing education courses. One CEU equals 10 hours of study in the approved continuing education courses.</text> </paragraph> <paragraph num="D."> <text>“Qualified sponsor” means a national interior design organization, an accredited college or university, or any other entity recognized by the Board as qualified to offer continuing education courses.</text> </paragraph> <paragraph num="E."> <text>“Sustainable design” means the design process that utilizes an integrative approach aimed at:</text> <paragraph num="(1)"> <text>The conservation of energy, water, and raw material resources;</text> </paragraph> <paragraph num="(2)"> <text>The prevention of environmental degradation; and</text> </paragraph> <paragraph num="(3)"> <text>The overall creation of healthy, livable, and productive environments.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements."> <paragraph num="A."> <text>A certified interior designer shall complete a minimum of 1 CEU in two or more approved continuing education courses during each 2-year certificate term.</text> </paragraph> <paragraph num="B."> <text>As a part of 1 CEU required under §A(1) of this regulation, a certified interior designer shall complete at least 1 hour of study in a course that fulfills the following requirements:</text> <paragraph num="(1)"> <text>The subject matter of the course outlines the principles of sustainable design;</text> </paragraph> <paragraph num="(2)"> <text>The course has been approved by the Interior Design Continuing Education Council and the U.S. Green Building Council; and</text> </paragraph> <paragraph num="(3)"> <text>The course emphasizes the relationship of the concepts of green building and sustainable design to the protection of health, safety, and welfare of the public.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Notwithstanding the requirement stated in §A of this regulation, if the certificate is granted to a certificate holder during the second year of a certificate term, the certificate holder may renew the certificate for the next full term only if the certificate holder earns 0.5 of the CEU in one or more approved continuing education courses.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Determination of Value."> <paragraph num="A."> <text>Each hour of attendance or instruction of the approved continuing education course shall equal 1/10th of 1 CEU.</text> </paragraph> <paragraph num="B."> <text>Credits for the approved continuing education courses shall be based upon the number of hours of attendance or instruction.</text> </paragraph> <paragraph num="C."> <text>College courses taken for academic credit qualify only if approved pursuant to these regulations. Credit for completed and approved college courses may vary, but in any event may not exceed eight-tenths of 1 CEU.</text> </paragraph> <paragraph num="D."> <text>Credits may not be considered earned until the completion of the approved continuing education course.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Determination of Credits."> <paragraph num="A."> <text>The Board shall have the final authority with regard to the approval of courses, sponsors, credit, value for courses, and other matters related to the continuing education requirements. Selection of the approved continuing education courses from the list formulated by the Board is a responsibility of a certificate holder. The list of approved continuing education courses may be amended by the Board at any time the Board finds appropriate. Credits toward the fulfillment of continuing education requirements shall be given only for the approved continuing education courses.</text> </paragraph> <paragraph num="B."> <text>The following standards shall be used for the determination of credit with regard to the approved continuing education courses:</text> <paragraph num="(1)"> <text>Successful completion of the approved continuing education course offered by the qualified sponsor;</text> </paragraph> <paragraph num="(2)"> <text>Services as a teacher, lecturer, or instructor in interior design and related subjects qualifying for continuing education credit, to be considered by the Board on a case-by-case basis, provided that:</text> <paragraph num="(a)"> <text>Credit may not be given for repetitious presentations or those that cover, in the Board's opinion, substantially the same material, and</text> </paragraph> <paragraph num="(b)"> <text>Not more than 1 CEU may be earned, with no carryover provision for excess hours.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Reporting and Record Keeping."> <paragraph num="A."> <text>An applicant for certificate renewal shall provide to the Board a signed statement, under penalty of perjury, on an appropriate form supplied by the Board, setting forth the following minimum information for qualification:</text> <paragraph num="(1)"> <text>Name of the qualified sponsor;</text> </paragraph> <paragraph num="(2)"> <text>Location of the approved continuing education course;</text> </paragraph> <paragraph num="(3)"> <text>Title and description of the approved continuing education course;</text> </paragraph> <paragraph num="(4)"> <text>Dates attended;</text> </paragraph> <paragraph num="(5)"> <text>Number of hours claimed; and</text> </paragraph> <paragraph num="(6)"> <text>Other information the Board considers appropriate.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Board, at the Board's discretion, may verify the information submitted by a certificate holder.</text> </paragraph> <paragraph num="C."> <text>The certificate holder shall be responsible for maintaining records used to support credits claimed. The records shall be maintained by certificate holders for a period of at least 2 years from the date of completion of the approved continuing education course.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Exceptions."> <text>The Board may issue a certificate renewal to a certificate holder who has not fully complied with the continuing education requirements set forth in these regulations if the certificate holder's failure to fulfill the requirements was due to one or more of the following reasons:</text> <paragraph num="A."> <text>Military service on extended active duty with the armed forces of the United States;</text> </paragraph> <paragraph num="B."> <text>Physical or mental disability, illness, or other similar extenuating circumstances, as supported by an appropriate documentation from a licensed or certified health care professional;</text> </paragraph> <paragraph num="C."> <text>Other good and valid causes, as may be determined by the Board in the Board's sole discretion.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Nonrenewal."> <text>Failure to comply with these regulations shall result in nonrenewal of the certificate.</text> </regulation> <annotations> <annotation type="Authority">Business and Professions Article, §§8-206(a) and 8-308, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 15, 1996 (23:1 Md. R. 24)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective June 29, 2009 (36:13 Md. R. 899)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective April 16, 2001 (28:7 Md. R. 689); June 29, 2009 (36:13 Md. R. 899)</annotation> </annotations> </chapter> </subtitle> <subtitle num="19" heading="Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors — Real Estate Appraisers"> <chapter num="01" heading="Appraiser Classifications"> <regulation prefix="Regulation" num=".01" heading="Appraiser Classifications."> <paragraph num="A."> <text>An individual who is a licensed real estate appraiser is entitled to provide real estate appraisal services in connection with noncomplex one to four residential units having a transaction value less than $1,000,000, complex one to four residential units having a transaction value of less than $250,000, and commercial properties having a transaction value of less than $250,000.</text> </paragraph> <paragraph num="B."> <text>An individual who is a certified residential real estate appraiser is entitled to provide real estate appraisal services in connection with one to four residential units without regard to value or complexity and commercial properties having a transaction value of less than $250,000.</text> </paragraph> <paragraph num="C."> <text>An individual who is a certified general real estate appraiser is entitled to provide real estate appraisal services in connection with all types of real property without regard to value, complexity, or whether the property is residential or commercial.</text> </paragraph> <paragraph num="D."> <text>In addition to the appraisal services stated in §§A—C of this regulation, a certified or licensed appraiser may provide real estate appraisal services in accordance with regulations adopted by a federal financial institutions regulatory agency or the Resolution Trust Corporation pursuant to 12 U.S.C. §3341.</text> </paragraph> <paragraph num="E."> <text>An individual who is a real estate appraiser trainee may provide real estate appraisal services in accordance with Business Occupations and Professions Article, §16-101, Annotated Code of Maryland, and as stated in §§A—D of this regulation, while:</text> <paragraph num="(1)"> <text>Under the supervision of a certified residential or certified general real estate appraiser; and</text> </paragraph> <paragraph num="(2)"> <text>In training to become a certified or licensed real estate appraiser.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-101(k), 16-208(a), 16-216, 16-220, 16-503(f), and 16-509, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 30, 1991 (18:19 Md. R. 2099)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective December 1, 1991 (18:25 Md. R. 2748); emergency status expired May 1, 1992; adopted permanently effective September 28, 1992 (19:19 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective November 24, 2014 (41:23 Md. R. 1371)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01E adopted as an emergency provision effective December 1, 2000 (27:25 Md. R. 2277); emergency status expired June 1, 2001; adopted permanently effective February 18, 2002 (29:3 Md. R. 219)</annotation> </annotations> </chapter> <chapter num="02" heading="Educational Requirements"> <regulation prefix="Regulation" num=".01" heading="Eligibility to Take Examination or Obtain Original Trainee License."> <paragraph num="A."> <text>Licensed Real Estate Appraisers. Except as provided in COMAR 09.19.04, to be eligible to sit for the licensed real estate appraisers examination, an applicant shall hold a valid trainee appraiser license and shall have successfully completed 150 classroom hours of study in accordance with the Appraiser Qualifications Board core curriculum as set forth in Regulation .03B of this chapter that includes:</text> <paragraph num="(1)"> <text>The 15-hour National USPAP Course or an equivalent course approved by the Appraisal Qualifications Board; and</text> </paragraph> <paragraph num="(2)"> <text>75 hours in:</text> <paragraph num="(a)"> <text>Residential market analysis and highest and best use — 15 hours;</text> </paragraph> <paragraph num="(b)"> <text>Residential appraiser site valuation and cost approach — 15 hours;</text> </paragraph> <paragraph num="(c)"> <text>Residential sales comparison and income approaches — 30 hours; and</text> </paragraph> <paragraph num="(d)"> <text>Residential report writing and case studies — 15 hours.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Residential Real Estate Appraisers. To be eligible to sit for the certified residential real estate appraisers examination, an applicant shall have successfully completed:</text> <paragraph num="(1)"> <text>200 classroom hours of study; and</text> </paragraph> <paragraph num="(2)"> <text>One of the following:</text> <paragraph num="(a)"> <text>A bachelor’s degree or higher from an accredited college or university;</text> </paragraph> <paragraph num="(b)"> <text>An associate’s degree, or higher, from an accredited college, junior college, or community college in a field of study related to:</text> <paragraph num="(i)"> <text>Business administration;</text> </paragraph> <paragraph num="(ii)"> <text>Accounting;</text> </paragraph> <paragraph num="(iii)"> <text>Finance;</text> </paragraph> <paragraph num="(iv)"> <text>Economics; or</text> </paragraph> <paragraph num="(v)"> <text>Real estate;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>30 semester credit hours of college-level courses that cover 3 semester hours in each of the following specific topic areas:</text> <paragraph num="(i)"> <text>English composition;</text> </paragraph> <paragraph num="(ii)"> <text>Microeconomics;</text> </paragraph> <paragraph num="(iii)"> <text>Macroeconomics;</text> </paragraph> <paragraph num="(iv)"> <text>Finance;</text> </paragraph> <paragraph num="(v)"> <text>Algebra;</text> </paragraph> <paragraph num="(vi)"> <text>Statistics;</text> </paragraph> <paragraph num="(vii)"> <text>Computer science;</text> </paragraph> <paragraph num="(viii)"> <text>Business or real estate law; and</text> </paragraph> <paragraph num="(ix)"> <text>2 elective courses in any of the topics listed in §B(2)(c)(i)—(viii) of this regulation or in accounting, geography, agricultural economics, business management, or real estate;</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Successful completion of at least 30 semester hours of college-level examination program (CLEP) examinations from each of the following subject matter areas:</text> <paragraph num="(i)"> <text>College algebra — 3 semester hours;</text> </paragraph> <paragraph num="(ii)"> <text>College composition — 6 semester hours;</text> </paragraph> <paragraph num="(iii)"> <text>College composition modular — 6 semester hours;</text> </paragraph> <paragraph num="(iv)"> <text>College mathematics — 6 semester hours;</text> </paragraph> <paragraph num="(v)"> <text>Principles of macroeconomics — 3 semester hours;</text> </paragraph> <paragraph num="(vi)"> <text>Principles of microeconomics — 3 semester hours;</text> </paragraph> <paragraph num="(vii)"> <text>Introductory business law — 3 semester hours; and</text> </paragraph> <paragraph num="(viii)"> <text>Information systems — 3 semester hours; or</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Any combination of §B(2)(c) or (d) of this regulation that ensures coverage of all topics and hours identified in §B(2)(c) of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>As an alternative to the requirements of §B(2)(c) of this regulation, an individual who has held a real estate appraiser license for a minimum of 5 years may qualify for a residential real estate appraiser certificate by satisfying all of the following:</text> <paragraph num="(1)"> <text>No record of any adverse, final, and non-appealable disciplinary action affecting the licensee’s legal eligibility to engage in appraisal practice within the 5 years immediately preceding the date of application for a residential real estate appraiser certificate; and</text> </paragraph> <paragraph num="(2)"> <text>Successful completion of the required Appraiser Qualifications Board core curriculum as set forth in Regulation .03B of this chapter; and</text> </paragraph> <paragraph num="(3)"> <text>Successful completion of the additional required qualifying education as set forth in §D of this regulation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An individual holding valid trainee appraiser license may satisfy the educational requirements for a residential appraiser certificate by successful completion of Appraiser Qualifications Board core curriculum as set forth in Regulation .03B of this chapter.</text> </paragraph> <paragraph num="E."> <text>An individual holding a valid real estate appraiser license may satisfy the educational requirements for a residential real estate appraiser certificate by successful completion of the:</text> <paragraph num="(1)"> <text>Appraiser Qualifications Board core curriculum as set forth in Regulation .03B of this chapter; and</text> </paragraph> <paragraph num="(2)"> <text>Additional qualifying education including:</text> <paragraph num="(a)"> <text>Statistics, modeling, and finance — 15 hours;</text> </paragraph> <paragraph num="(b)"> <text>Advanced residential applications and case studies — 15 hours; and</text> </paragraph> <paragraph num="(c)"> <text>Appraisal subject matter electives — 20 hours.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>An individual holding a valid trainee appraiser license may qualify for a real estate appraiser license by satisfying the college-level education requirements as set forth in §B(2) of this regulation.</text> </paragraph> <paragraph num="G."> <text>An individual holding a valid real estate appraiser license who does not meet the requirements set forth in §C of this regulation may qualify for a residential appraiser certificate by satisfying the college-level education requirements as set forth in §B(2) of this regulation.</text> </paragraph> <paragraph num="H."> <text>General Real Estate Appraisers. To be eligible to sit for the certified general real estate appraisers examination, an applicant shall have completed:</text> <paragraph num="(1)"> <text>300 classroom hours of study; and</text> </paragraph> <paragraph num="(2)"> <text>A bachelor’s degree or higher from an accredited college or university.</text> </paragraph> </paragraph> <paragraph num="I."> <text>To be eligible for a real estate appraiser trainee license, an applicant, within the 5 year period prior to the date of submission of an application for a real estate appraiser trainee license, shall have completed:</text> <paragraph num="(1)"> <text>75 hours of classroom study which comply with this regulation; and</text> </paragraph> <paragraph num="(2)"> <text>A Commission-approved course oriented toward trainee appraiser expectations and responsibilities.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Minimum Requirements for Approved Courses."> <paragraph num="A."> <text>A course hour may not be considered as part of the 90-hour, 120-hour, or 180-hour, or on and after January 1, 2008, the 150-hour, 200-hour, or 300-hour, requirement of Regulation .01 of this chapter unless it has been approved by the Commission.</text> </paragraph> <paragraph num="B."> <text>A course may not be approved by the Commission unless the:</text> <paragraph num="(1)"> <text>Course is at least 15 hours in length; and</text> </paragraph> <paragraph num="(2)"> <text>Individual passes an examination at the completion of the course.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In determining whether a course is 15 hours in duration, the time during which the required examination is given is counted as part of the 15 hours.</text> </paragraph> <paragraph num="D."> <text>A classroom hour is 50 minutes out of each 60-minute segment.</text> </paragraph> <paragraph num="E."> <text>An individual may be given up to one half of an individual's continuing education requirement for participation, other than as a student, in appraisal educational processes and programs. Credit for instructing any given course or seminar may be awarded only once during a continuing education cycle.</text> </paragraph> <paragraph num="F."> <text>The Commission may approve courses taken at any time. All courses, however, whether taken before or after July 1, 1990, shall meet the requirements of this regulation, including but not limited to the 15-hour and examination requirements.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Required Courses."> <paragraph num="A."> <text>Effective January 1, 2008, in order to meet the 150-hour requirement set forth in Regulation .01 of this chapter, an applicant shall, at a minimum, have completed the required Appraiser Qualifications Board core curriculum for the licensed education requirements, as follows:</text> <paragraph num="(1)"> <text>Basic appraisal principles — 30 hours;</text> </paragraph> <paragraph num="(2)"> <text>Basic appraisal procedures — 30 hours;</text> </paragraph> <paragraph num="(3)"> <text>The 15-hour national Uniform Standards of Professional Appraisal Practice course or its equivalent — 15 hours;</text> </paragraph> <paragraph num="(4)"> <text>Residential market analysis and highest and best use — 15 hours;</text> </paragraph> <paragraph num="(5)"> <text>Residential appraiser site valuation and cost approach — 15 hours;</text> </paragraph> <paragraph num="(6)"> <text>Residential sales comparison and income approaches — 30 hours; and</text> </paragraph> <paragraph num="(7)"> <text>Residential report writing and case studies — 15 hours.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Effective January 1, 2008, in order to meet the 200-hour requirement set forth in Regulation .01 of this chapter, an applicant shall, at a minimum, have completed the required Appraiser Qualifications Board core curriculum for the certified residential education requirements, as follows:</text> <paragraph num="(1)"> <text>Basic appraisal principles — 30 hours;</text> </paragraph> <paragraph num="(2)"> <text>Basic appraisal procedures — 30 hours;</text> </paragraph> <paragraph num="(3)"> <text>The 15-hour national Uniform Standards of Professional Appraisal Practice course or its equivalent — 15 hours;</text> </paragraph> <paragraph num="(4)"> <text>Residential market analysis and highest and best use — 15 hours;</text> </paragraph> <paragraph num="(5)"> <text>Residential appraiser site valuation and cost approach — 15 hours;</text> </paragraph> <paragraph num="(6)"> <text>Residential sales comparison and income approaches — 30 hours;</text> </paragraph> <paragraph num="(7)"> <text>Residential report writing and case studies — 15 hours;</text> </paragraph> <paragraph num="(8)"> <text>Statistics, modeling and finance — 15 hours;</text> </paragraph> <paragraph num="(9)"> <text>Advanced residential applications and case studies — 15 hours; and</text> </paragraph> <paragraph num="(10)"> <text>Appraisal subject matter electives — 20 hours.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Effective January 1, 2008, in order to meet the 300-hour requirement set forth in Regulation .01 of this chapter, an applicant shall, at a minimum, have completed the required Appraiser Qualifications Board core curriculum for the certified general education requirements, as follows:</text> <paragraph num="(1)"> <text>Basic appraisal principles — 30 hours;</text> </paragraph> <paragraph num="(2)"> <text>Basic appraisal procedures — 30 hours;</text> </paragraph> <paragraph num="(3)"> <text>The 15-hour national Uniform Standards of Professional Appraisal Practice course or its equivalent — 15 hours;</text> </paragraph> <paragraph num="(4)"> <text>General appraiser market analysis and highest and best use — 30 hours;</text> </paragraph> <paragraph num="(5)"> <text>Statistics, modeling and finance — 15 hours;</text> </paragraph> <paragraph num="(6)"> <text>General appraiser site comparison approach — 30 hours;</text> </paragraph> <paragraph num="(7)"> <text>General appraiser site valuation and cost approach — 30 hours;</text> </paragraph> <paragraph num="(8)"> <text>General appraiser income approach — 60 hours;</text> </paragraph> <paragraph num="(9)"> <text>General appraiser report writing and case studies — 30 hours; and</text> </paragraph> <paragraph num="(10)"> <text>Appraisal subject matter electives — 30 hours.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Effective January 1, 2015, in order to meet the 75-hour requirement and the Trainee Appraiser Expectation and Responsibilities Course set forth in Regulation .01D of this chapter, an applicant shall, at a minimum, have completed the required Appraiser Qualifications Board core curriculum for the trainee education requirements, as follows:</text> <paragraph num="(1)"> <text>Basic appraisal principles — 30 hours;</text> </paragraph> <paragraph num="(2)"> <text>Basic appraisal procedures — 30 hours;</text> </paragraph> <paragraph num="(3)"> <text>The 15-hour national Uniform Standards of Professional Appraisal Practice course or its equivalent — 15 hours; and</text> </paragraph> <paragraph num="(4)"> <text>Trainee appraiser and responsibilities course.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Continuing education credit may be granted for educational offerings that:</text> <paragraph num="(1)"> <text>Are consistent with the purpose of ensuring that appraisers participate in a program that maintains and increases their skill, knowledge, and competency in real property appraising; and</text> </paragraph> <paragraph num="(2)"> <text>Cover real property related appraisal topics, including, but not limited to:</text> <paragraph num="(a)"> <text>Ad valorem taxation;</text> </paragraph> <paragraph num="(b)"> <text>Arbitration and dispute resolution;</text> </paragraph> <paragraph num="(c)"> <text>Courses related to the practice of real estate appraisal or consulting;</text> </paragraph> <paragraph num="(d)"> <text>Development cost estimating;</text> </paragraph> <paragraph num="(e)"> <text>Ethics and standards of professional practice under the Uniform Standards of Professional Appraisal Practice;</text> </paragraph> <paragraph num="(f)"> <text>Land use planning and zoning;</text> </paragraph> <paragraph num="(g)"> <text>Management, leasing, and timesharing;</text> </paragraph> <paragraph num="(h)"> <text>Property development and partial interests;</text> </paragraph> <paragraph num="(i)"> <text>Real estate law, easements, and legal interests;</text> </paragraph> <paragraph num="(j)"> <text>Real estate litigation, damages, and condemnation;</text> </paragraph> <paragraph num="(k)"> <text>Real estate financing and investment;</text> </paragraph> <paragraph num="(l)"> <text>Real estate appraisal related computer applications;</text> </paragraph> <paragraph num="(m)"> <text>Real estate securities and syndication;</text> </paragraph> <paragraph num="(n)"> <text>Developing opinions of real property value in appraisal that also include personal property and/or business value;</text> </paragraph> <paragraph num="(o)"> <text>Seller concessions and impact on value; and</text> </paragraph> <paragraph num="(p)"> <text>Energy efficient items and “green building” appraisals.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Requirement for Appraisal Standards of Conduct and Ethics.</text> <paragraph num="(1)"> <text>Effective January 1, 2003, individuals seeking to meet the educational requirement under this regulation shall successfully complete the 15-hour national Uniform Standards of Professional Appraisal Practice (USPAP) course or its equivalent for qualifying education, as determined by the Appraiser Qualifications Board (AQB) of the Appraisal Foundation.</text> </paragraph> <paragraph num="(2)"> <text>The course shall be taken from an instructor who is:</text> <paragraph num="(a)"> <text>An AQB certified USPAP instructor; and</text> </paragraph> <paragraph num="(b)"> <text>A State certified residential appraiser or State certified general appraiser.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Continuing Education."> <paragraph num="A."> <text>Renewal Requirements.</text> <paragraph num="(1)"> <text>In order to be considered for renewal as a certified general real estate appraiser, certified residential real estate appraiser, licensed real estate appraiser, or appraiser trainee, the applicant shall have completed 14 hours of continuing education for each year or portion thereof the applicant has been certified or licensed, since the initial issuance of the license held or, if appropriate, the most recent renewal. These courses shall be approved by the Commission as set forth in this regulation.</text> </paragraph> <paragraph num="(2)"> <text>A total of not less than 42 hours of continuing education during each license term is required for renewal.</text> </paragraph> <paragraph num="(3)"> <text>A licensee or certificate holder shall complete the continuing education required by §A(1)—(2) of this regulation prior to filing any application for renewal of a license or certificate, notwithstanding the expiration date for the license or certificate to be renewed.</text> </paragraph> <paragraph num="(4)"> <text>Failure to complete the continuing education required by §A(1) — (2) of this regulation in advance of filing any application for renewal of a license or certificate may be considered by the Commission to be a violation of Business Occupations and Professions Article, §16-701(a)(1)(i), Annotated Code of Maryland, among other potential violations related to failure to complete the required continuing education hours.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Required Subject Matter for Continuing Education.</text> <paragraph num="(1)"> <text>Required Continuing Education in Professional Appraisal Standards, Ethics, Fair Housing, Discrimination, and Bias.</text> <paragraph num="(a)"> <text>Effective January 1, 2003, all currently licensed appraisers, certified appraisers, and appraiser trainees, at least once every 2 calendar years, shall successfully complete the 7-hour national Uniform Standards of Professional Appraisal Practice (USPAP) update course, or its equivalent as determined by the Appraiser Qualifications Board (AQB) of the Appraisal Foundation.</text> </paragraph> <paragraph num="(b)"> <text>For licenses and certificates expiring on or after March 1, 2026:</text> <paragraph num="(i)"> <text>Any currently licensed appraiser, certified appraiser, and appraiser trainee shall complete a 7-hour course the first time they meet the AQB education requirement for Valuation Bias and Fair Housing Laws and Regulations Outline; and</text> </paragraph> <paragraph num="(ii)"> <text>All currently licensed appraisers, certified appraisers, and appraiser trainees applying for license or certificate renewal shall successfully complete during the preceding 3-year license cycle a 4-hour Valuation Bias and Fair Housing Laws and Regulations course.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>If obtaining a new credential or upgrading an existing credential individuals shall complete an 8-hour course to meet AQB education requirements in Valuation Bias and Fair Housing Laws and Regulations Outline that includes 7 hours of instruction and a 1-hour exam; and</text> </paragraph> <paragraph num="(d)"> <text>Every 2 calendar years thereafter, the course length must be at least 4 hours.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The course required by §B(1)(a) of this regulation shall be taken from an instructor who is:</text> <paragraph num="(a)"> <text>An AQB certified USPAP instructor; and</text> </paragraph> <paragraph num="(b)"> <text>A State certified residential appraiser or State certified general appraiser.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>A classroom hour is 50 minutes out of each 60-minute segment.</text> </paragraph> <paragraph num="D."> <text>The Commission may not approve a continuing education course unless the course:</text> <paragraph num="(1)"> <text>Is at least 2 hours in duration;</text> </paragraph> <paragraph num="(2)"> <text>Is taught by an approved educational provider; and</text> </paragraph> <paragraph num="(3)"> <text>Covers real estate appraisal-related topics, including but not limited to:</text> <paragraph num="(a)"> <text>Ad valorem taxation;</text> </paragraph> <paragraph num="(b)"> <text>Arbitration and dispute resolution;</text> </paragraph> <paragraph num="(c)"> <text>Courses related to real estate appraisal or consulting;</text> </paragraph> <paragraph num="(d)"> <text>Development cost estimating;</text> </paragraph> <paragraph num="(e)"> <text>Ethics and standards of professional practice (USPAP);</text> </paragraph> <paragraph num="(f)"> <text>Land use planning and zoning;</text> </paragraph> <paragraph num="(g)"> <text>Management, leasing, and timesharing;</text> </paragraph> <paragraph num="(h)"> <text>Property development and partial interests;</text> </paragraph> <paragraph num="(i)"> <text>Real estate law, easements, and legal interests;</text> </paragraph> <paragraph num="(j)"> <text>Real estate litigation, damages, and condemnation;</text> </paragraph> <paragraph num="(k)"> <text>Real estate financing and investment;</text> </paragraph> <paragraph num="(l)"> <text>Real estate appraisal related computer applications;</text> </paragraph> <paragraph num="(m)"> <text>Real estate securities and syndication;</text> </paragraph> <paragraph num="(n)"> <text>Developing opinions of real property value in appraisals that also include personal property and/or business value;</text> </paragraph> <paragraph num="(o)"> <text>Seller concessions and impact on value;</text> </paragraph> <paragraph num="(p)"> <text>Energy efficient items and “green building” appraisals;</text> </paragraph> <paragraph num="(q)"> <text>Training in racial discrimination; and</text> </paragraph> <paragraph num="(r)"> <text>Training in implicit bias or appraisal bias.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The Commission may approve up to one half of an individual’s continuing education credit for participation, other than as a student, in appraisal educational processes and programs. Examples of activities for which credit may be granted are teaching, program development, authorship of textbooks, or similar activities which are determined to be equivalent to obtaining continuing education.</text> </paragraph> <paragraph num="F."> <text>The Commission may grant a licensee or certificate holder no more than 8 hours of credit for instruction per day for courses of continuing education.</text> </paragraph> <paragraph num="G."> <text>The Commission may not grant a licensee or certificate holder credit for completion of the same continuing education course offering within the appraiser’s continuing education cycle, with the exception of the 7-Hour National USPAP Update Course, or its AQB-approved equivalent.</text> </paragraph> <annotations> <annotation type="Emergency Action">53:8 26-056-E (Regulations .04) EMERGENCY ACTION IN EFFECT 1/14/2026 — 7/13/2026</annotation> </annotations> </regulation> <regulation prefix="Regulation" num=".05" heading="Approved Educational Providers."> <paragraph num="A."> <text>A course may not be credited towards the hours necessary to satisfy either the educational prerequisites for examination or for continuing education unless the course has been taught by a provider approved by the Commission.</text> </paragraph> <paragraph num="B."> <text>Accredited universities and colleges, including community and junior colleges, are approved.</text> </paragraph> <paragraph num="C."> <text>Other providers will be approved by the Commission if the Commission is satisfied that the provider is capable of providing courses which meet the educational requirements of this chapter.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-208(a), 16-216, 16-220, 16-302(d)(1) and (3) and (g), 16-308,16-309, 16-503(b)(1)(iii), (3), and (4), (e), and (f), 16-511, and 16-5A-01, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 30, 1991 (18:19 Md. R. 2099)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective January 14, 2008 (35:1 Md. R. 17); January 1, 2015 (41:23 Md. R. 1372); January 27, 2020 (47:2 Md. R. 62)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended as an emergency provision effective January 1, 1998 (25:2 Md. R. 73); emergency status expired June 30, 1998; amended permanently effective August 24, 1998 (25:17 Md. R. 1360)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective September 12, 1994 (21:18 Md. R. 1509)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C amended as an emergency provision effective January 1, 1998 (25:2 Md. R. 73); emergency status expired June 30, 1998; amended permanently effective August 24, 1998 (25:17 Md. R. 1360)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D adopted as an emergency provision effective December 1, 2000 (27:25 Md. R. 2277); emergency status expired June 1, 2001; adopted permanently effective February 18, 2002 (29:3 Md. R. 219)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective January 14, 2008 (35:1 Md. R. 17)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective September 12, 1994 (21:18 Md. R. 1509)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended as an emergency provision effective January 1, 1998 (25:2 Md. R. 73); emergency status expired June 30, 1998; amended permanently effective August 24, 1998 (25:17 Md. R. 1360)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective January 14, 2008 (35:1 Md. R. 17)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended as an emergency provision effective January 1, 1998 (25:2 Md. R. 73); emergency status expired June 30, 1998; amended permanently effective August 24, 1998 (25:17 Md. R. 1360)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective September 12, 1994 (21:18 Md. R. 1509)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended as an emergency provision effective January 1, 1998 (25:2 Md. R. 73); emergency status expired June 30, 1998; amended permanently effective August 24, 1998 (25:17 Md. R. 1360)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D, E amended effective January 1, 2015 (41:23 Md. R. 1372)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E, F adopted as an emergency provision effective December 1, 2000 (27:25 Md. R. 2277); emergency status expired June 1, 2001; adopted permanently effective February 18, 2002 (29:3 Md. R. 219)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03G adopted effective March 31, 2003 (30:6 Md. R. 420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended as an emergency provision effective December 1, 2000 (27:25 Md. R. 2277); emergency status expired June 1, 2001; adopted permanently effective February 18, 2002 (29:3 Md. R. 219)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective March 17, 2014 (41:5 Md. R. 343)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A, B amended as an emergency provision effective January 1, 1998 (25:2 Md. R. 73); emergency status expired June 30, 1998; amended permanently effective August 24, 1998 (25:17 Md. R. 1360)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A, B amended effective March 31, 2003 (30:6 Md. R. 420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended as an emergency provision effective January 14, 2026 (53:8 Md. R. 354)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B, D amended effective May 15, 2023 (50:9 Md. R. 378)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D, E amended effective January 1, 2015 (41:23 Md. R. 1372)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04F adopted effective January 7, 2013 (39:26 Md. R. 1663)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04G adopted effective January 1, 2015 (41:23 Md. R. 1372)</annotation> </annotations> </chapter> <chapter num="03" heading="Work Experience Requirements"> <regulation prefix="Regulation" num=".01" heading="Eligibility to Take Examination."> <paragraph num="A."> <text>Except as provided in COMAR 09.19.04, to be eligible to sit for the licensed real estate appraisers examination, an applicant shall have 1,000 hours of appraisal work experience which complies with this regulation. This experience shall have been acquired over a period of no less than 6 months.</text> </paragraph> <paragraph num="B."> <text>To be eligible to sit for the certified residential real estate appraisers examination, an applicant shall have a minimum of 1,500 hours of appraisal work experience which complies with this regulation. This experience shall have been acquired over a period of no less than 12 months.</text> </paragraph> <paragraph num="C."> <text>To be eligible to sit for the certified general real estate appraisers examination, an applicant shall have a minimum of 3,000 hours of appraisal work experience which complies with this regulation. This experience shall have been acquired over a period of no less than 18 months. Of the 3,000 required hours, at least 1,500 shall have been in nonresidential real property appraisal work.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Acceptable Work Experience."> <text>Acceptable work experience includes but is not limited to the following:</text> <paragraph num="A."> <text>Fee and staff appraisals;</text> </paragraph> <paragraph num="B."> <text>Ad valorem tax appraisals;</text> </paragraph> <paragraph num="C."> <text>Review appraisals which are performed in accordance with Standard 3 of the Uniform Standards of Professional Appraisal Practice which is incorporated by reference under 55 FR 53613 (December 31, 1990);</text> </paragraph> <paragraph num="D."> <text>Appraisal analysis;</text> </paragraph> <paragraph num="E."> <text>Real estate counseling;</text> </paragraph> <paragraph num="F."> <text>Highest and best use analysis;</text> </paragraph> <paragraph num="G."> <text>Feasibility analysis or study; and</text> </paragraph> <paragraph num="H."> <text>Market analyses that are prepared in accordance with Standards 1 and 2 of the Uniform Standards of Professional Appraisal Practice which are incorporated by reference under 55 FR 53613 (December 31, 1990).</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-208(a), 16-216, 16-220, 16-302(d)(1) and (2) and (g), and 16-503(b)(1)(iii) and (2), (e), and (f), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 30, 1991 (18:19 Md. R. 2099)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective January 13, 2022 (49:1 Md. R. 13)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective March 15, 2004 (31:5 Md. R. 447)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B, C amended effective August 24, 1998 (25:17 Md. R. 1360)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective May 23, 2005 (32:10 Md. R. 924)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 repealed effective January 14, 2019 (46:1 Md. R. 11)</annotation> </annotations> </chapter> <chapter num="04" heading="Supervising Appraisers and Appraiser Trainees"> <regulation prefix="Regulation" num=".01" heading="Supervising Appraisers."> <paragraph num="A."> <text>To be eligible to serve as a supervising appraiser, an individual:</text> <paragraph num="(1)"> <text>Shall be in good standing;</text> </paragraph> <paragraph num="(2)"> <text>May not have been subject to any disciplinary action within the immediately preceding 3 years; and</text> </paragraph> <paragraph num="(3)"> <text>Shall have held a certified residential or certified general real estate appraisal license for at least 3 years.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A supervising appraiser may supervise a maximum of three appraiser trainees at one time.</text> </paragraph> <paragraph num="C."> <text>A supervising appraiser must complete a Commission-approved course that, at a minimum, complies with the specifications for course content established by the AQB and is oriented toward the requirements, expectations and responsibilities of supervisory appraisers.</text> </paragraph> <paragraph num="D."> <text>A supervising appraiser shall notify the Commission on a form prescribed by the Commission of the commencement or termination of a supervisory relationship with a real estate appraiser trainee no later than 10 days after the commencement or termination.</text> </paragraph> <paragraph num="E."> <text>A supervising appraiser shall approve, sign and accept responsibility for each appraisal report prepared by a trainee under the supervision of the supervising appraiser.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Appraiser Trainees."> <paragraph num="A."> <text>A real estate appraiser trainee shall notify the Commission on form prescribed by the Commission of the commencement or termination of a supervisory appraiser relationship with a supervising appraiser no later than 10 days after the commencement or termination.</text> </paragraph> <paragraph num="B."> <text>To obtain experience credit for appraisals, the real estate appraiser trainee must sign the appraisal report, sign the certification of the appraisal report, or have their name and significant appraisal assistance conspicuously identified in the appraisal report.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-101(r) and (s), 16-216, 16-220, and 16-5A-03, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 30, 1991 (18:19 Md. R. 2099)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.02 repealed and new Regulations .01—.02 adopted effective November 9, 2015 (42:22 Md. R. 1377)</annotation> </annotations> </chapter> <chapter num="05" heading="Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Uniform Standards of Professional Appraisal Practice."> <text>In compliance with Business Occupations and Professions Article, §16-208(b), Annotated Code of Maryland, the Commission adopts the most recent version of the Uniform Standards of Professional Appraisal Practice (The Appraisal Foundation), including Preamble, Ethics Rule, Competency Rule, Scope of Work Rule, Jurisdictional Exception, Supplemental Standards, Definitions and Standards 1, 2, 3, and 4 with all related Standard Rules and Statements on Appraisal Standards, as it may be amended, modified, or updated from time to time.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Compliance with State Law."> <text>While performing an appraisal, licensed and certified appraisers shall abide by each provision of the Maryland Real Estate Appraisers Act, Business Occupations and Professions Article, §16-101 et seq., Annotated Code of Maryland, including each provision of §16-701.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Responsibilities of Licensees and Certificate Holders."> <paragraph num="A."> <text>A licensee or certificate holder shall respond to the Commission in writing within 30 days of receipt of a written communication from the Commission to the licensee or certificate holder.</text> </paragraph> <paragraph num="B."> <text>The Commission shall send written communications by certified and first class mail to the last address furnished to the Commission by the licensee or certificate holder.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-208, 16-216, 16-220, 16-302(d) and (g), and 16-503(b) and (f), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 30, 1991 (18:19 Md. R. 2099)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulations .01—.03 adopted effective August 30, 1993 (20:17 Md. R. 1345)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised as an emergency provision effective February 1, 1996 (23:4 Md. R. 269); revised permanently effective July 1, 1996 (23:13 Md. R. 943)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective May 15, 1997 (24:11 Md. R. 791); emergency status expired November 14, 1997 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective February 12, 1998 (25:5 Md. R. 366); emergency status expired July 11, 1998; amended permanently effective August 24, 1998 (25:17 Md. R. 1360)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective March 31, 1999 (26:8 Md. R. 613); emergency status expired September 28, 1999</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective November 1, 1999 (26:22 Md. R. 1691)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective February 25, 2000 (27:7 Md. R. 703); amended permanently effective August 21, 2000 (27:16 Md. R. 1523)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective February 20, 2001 (28:6 Md. R. 619); amended permanently effective June 25, 2001 (28:12 Md. R. 1106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective January 31, 2002 (29:4 Md. R. 411); emergency status expired July 29, 2002; adopted permanently effective August 19, 2002 (29:16 Md. R. 1288)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective March 20, 2003 (30:8 Md. R. 538); emergency status extended at 30:25 Md. R. 1843; emergency status expired January 20, 2004; amended permanently effective March 1, 2004 (31:4 Md. R. 314)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective January 6, 2005 (31:26 Md. R. 1861); August 1, 2005 (32:15 Md. R. 1320); September 10, 2007 (34:18 Md. R. 1579); October 6, 2008 (35:20 Md. R. 1774); November 15, 2010 (37:23 Md. R. 1610); October 29, 2012 (39:21 Md. R. 1378)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective January 1, 2014 (41:3 Md. R. 199); amended permanently effective May 12, 2014 (41:9 Md. R. 520)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective January 1, 2016 (42:26 Md. R. 1593); amended permanently effective May 23, 2016 (43:10 Md. R. 585)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective January 1, 2018 (45:5 Md. R. 284); amended permanently effective March 12, 2018 (45:5 Md. R. 285)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 adopted effective March 18, 2002 (29:5 Md. R. 502)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulation .01 adopted effective July 12, 2021 (48:14 Md. R. 538)</annotation> </annotations> </chapter> <chapter num="06" heading="Hearing Regulations"> <regulation prefix="Regulation" num=".01" heading="Contested Case Hearings."> <paragraph num="A."> <text>Except as provided in §§B and C of this regulation, all contested case hearings before the Commission are governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>Contested case hearings before the Commission shall be conducted before the Real Estate Appraisal Hearing Board in accordance with Business Occupations and Professions Article, §§16-210 and 16-211, Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>In accordance with Business Occupations and Professions Article, §16-211(d), Annotated Code of Maryland, the Commission or any of its members may file an exception to the decision of the Hearing Board within 15 days after the filing of the Hearing Board's decision.</text> </paragraph> <paragraph num="D."> <text>If a timely exception under §C of this regulation is filed, the Commission shall set the matter in for a hearing before the Commission.</text> </paragraph> <paragraph num="E."> <text>All contested hearings delegated to the Office of Administrative Hearings are governed by COMAR 09.01.03.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §16-216, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 28, 1991 (18:21 Md. R. 2307)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.08 repealed and new Regulation .01 adopted effective March 15, 2004 (31:5 Md. R. 447)</annotation> </annotations> </chapter> <chapter num="07" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Fees Owed the Commission."> <paragraph num="A."> <text>Pursuant to Business Occupations and Professions Article, §§16-304(d) and 16-506(d), Annotated Code of Maryland, an applicant for examination or reexamination shall pay an examination fee of $100.</text> </paragraph> <paragraph num="B."> <text>At the time a license or certificate is issued by the Commission, the licensee or certificate holder shall pay to the Commission $40 for each year for which the license is issued. This fee will be transmitted to the Appraisal Subcommittee of the Federal Financial Institutions Examinations Council as required by 12 U.S.C. §3338.</text> </paragraph> <paragraph num="C."> <text>Pursuant to Business Occupations and Professions Article, Title 16, Annotated Code of Maryland, the Commission shall set fees to produce funds to approximate the cost of maintaining the Commission. Fees charged by the Commission are as follows:</text> <paragraph num="(1)"> <text>Copy of the annual roster — $25;</text> </paragraph> <paragraph num="(2)"> <text>Certification of good standing — $15;</text> </paragraph> <paragraph num="(3)"> <text>Reciprocal license application fee — $250;</text> </paragraph> <paragraph num="(4)"> <text>Reciprocal certificate application fee — $250;</text> </paragraph> <paragraph num="(5)"> <text>Temporary permit — $75;</text> </paragraph> <paragraph num="(6)"> <text>Original license application fee — $250;</text> </paragraph> <paragraph num="(7)"> <text>Original certificate application fee — $250;</text> </paragraph> <paragraph num="(8)"> <text>Original appraiser trainee application fee — $150;</text> </paragraph> <paragraph num="(9)"> <text>Renewal license fee — $250;</text> </paragraph> <paragraph num="(10)"> <text>Renewal certificate fee — $250;</text> </paragraph> <paragraph num="(11)"> <text>Renewal appraiser trainee fee — $150;</text> </paragraph> <paragraph num="(12)"> <text>Reinstatement license fee — $75;</text> </paragraph> <paragraph num="(13)"> <text>Reinstatement certificate fee — $75.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The failure without good cause to pay any of the fees or charges set forth in this regulation shall be grounds for disciplinary action under Business Occupations and Professions Article, §16-701(a)(1)(xiii), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-216, 16-217, 16-220, 16-303, 16-304(d), 16-308, 16-310, 16-505, 16-506(d), 16-510—16-512, 16-5A-01, and 16-5A-04, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective September 4, 1991 (18:22 Md. R. 2391); emergency status expired February 4, 1992; adopted permanently effective June 8, 1992 (19:11 Md. R. 1015)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective March 1, 1993 (20:4 Md. R. 371); March 15, 2004 (31:5 Md. R. 447); May 23, 2005 (32:10 Md. R. 924)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective May 6, 1993 (20:11 Md. R. 911); amended permanently effective August 30, 1993 (20:17 Md. R. 1345)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended as an emergency provision effective May 1, 1994 (21:11 Md. R. 949); emergency status expired November 1, 1994; amended permanently effective November 7, 1994 (21:22 Md. R. 1875)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended as an emergency provision effective December 16, 2005 (33:1 Md. R. 34); amended permanently effective May 22, 2006 (33:10 Md. R. 881)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective December 1, 2000 (27:25 Md. R. 2277); emergency status expired June 1, 2001; adopted permanently effective February 18, 2002 (29:3 Md. R. 219)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective January 1, 2012 (38:25 Md. R. 1581)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C amended effective September 26, 2016 (43:19 Md. R. 1071)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C, D amended as an emergency provision effective February 24, 2012 (39:6 Md. R. 405); amended permanently effective May 28, 2012 (39:10 Md. R. 659)</annotation> </annotations> </chapter> <chapter num="08" heading="Temporary Permits and Reciprocity"> <regulation prefix="Regulation" num=".01" heading="Temporary Permits."> <paragraph num="A."> <text>The Commission may issue a temporary permit allowing an individual to provide, on a temporary basis, certified or licensed real estate appraisal services in the State, if the:</text> <paragraph num="(1)"> <text>Individual is licensed or certified in another state;</text> </paragraph> <paragraph num="(2)"> <text>Property to be appraised is located in Maryland;</text> </paragraph> <paragraph num="(3)"> <text>Appraiser's business is of a temporary nature in Maryland;</text> </paragraph> <paragraph num="(4)"> <text>Individual files an application for a temporary permit on a form prepared by the Commission; and</text> </paragraph> <paragraph num="(5)"> <text>Individual pays the fee set by the Commission.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A temporary permit:</text> <paragraph num="(1)"> <text>May be issued only for a particular appraisal assignment;</text> </paragraph> <paragraph num="(2)"> <text>May include multiple properties; and</text> </paragraph> <paragraph num="(3)"> <text>May not be renewed.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An individual may hold more than one temporary permit at a time.</text> </paragraph> <paragraph num="D."> <text>More than one permit may be issued per year.</text> </paragraph> <paragraph num="E."> <text>The term for a temporary permit:</text> <paragraph num="(1)"> <text>Is 6 months from the date of issuance;</text> </paragraph> <paragraph num="(2)"> <text>May not exceed the term of the license or certificate of the permit holder; and</text> </paragraph> <paragraph num="(3)"> <text>Terminates automatically and immediately if the temporary permit holder's license from the other state expires or is suspended or revoked.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A temporary permit automatically expires on the date the specific assignment is completed or the expiration date specified on the temporary permit, whichever occurs first.</text> </paragraph> <paragraph num="G."> <text>Upon request, the Commission may extend the term of a temporary permit.</text> </paragraph> <paragraph num="H."> <text>When a temporary permit is in effect, it authorizes the individual to provide licensed or certified appraisal services only for the specific assignment listed on the temporary permit.</text> </paragraph> <paragraph num="I."> <text>Subject to the hearing provisions of §16-602, Annotated Code of Maryland, the Commission may deny or revoke a temporary permit for any applicable ground under Business Occupations and Professions Article, §16-701, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Reciprocal Licenses and Certificates."> <text>The Commission may waive the examination requirement and issue a reciprocal license or certificate to an individual, if the individual:</text> <paragraph num="A."> <text>Holds a valid license or certificate in another state;</text> </paragraph> <paragraph num="B."> <text>Is licensed or certified by a state that is in compliance with Title XI of the federal Financial Institutions Reform, Recovery, and Enforcement Act of 1989, as determined by the Appraisal Subcommittee of the Federal Financial Institutions Examination Council;</text> </paragraph> <paragraph num="C."> <text>Files an application for a reciprocal license or certificate and, if the applicant is a nonresident, executes an irrevocable consent to service of process specifying that service of process on the Secretary of State is binding on the applicant in any legal action concerning the provision of appraisal services; and</text> </paragraph> <paragraph num="D."> <text>Pays the fee required by COMAR 09.19.07.01D.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-216, 16-220, 16-305, and 16-507, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 2, 1992 (19:4 Md. R. 473)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective March 15, 2004 (31:5 Md. R. 448); May 23, 2005 (32:10 Md. R. 925)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective January 30, 2006 (33:4 Md. R. 349); amended permanently effective May 22, 2006 (33:10 Md. R. 881)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective September 26, 2016 (43:19 Md. R. 1072); March 31, 2025 (52:6 Md. R 267)</annotation> </annotations> </chapter> <chapter num="09" heading="License and Certificate Numbers"> <regulation prefix="Regulation" num=".01" heading="License and Certificate Numbers."> <paragraph num="A."> <text>Each licensed and certified appraiser shall be assigned a license or certificate number by the Commission.</text> </paragraph> <paragraph num="B."> <text>On each document which refers, directly or indirectly, to the licensed or certified status of an appraiser, the appraiser shall indicate the appraiser's classification and shall list the license or certificate number which has been assigned to the appraiser.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§15.5-216 and 15.5-513, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 1, 1993 (20:4 Md. R. 371)</annotation> </annotations> </chapter> <chapter num="10" heading="Disciplinary Actions"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>For purposes of Business Occupations and Professions Article, §16-701, Annotated Code of Maryland, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Competence” means the ability of an appraiser to identify properly the task or assignment to be carried out and then to apply the required knowledge and experience to complete the assignment or task.</text> </paragraph> <paragraph num="(2)"> <text>“Incompetence” means the physical or mental incapacity or inability to perform normally recognized duties as a certified or licensed appraiser.</text> </paragraph> <paragraph num="(3)"> <text>“Negligence” means the failure to act with ordinary care. A certified or licensed appraiser acts with ordinary care when the certified or licensed appraiser exercises the amount of care which an ordinarily or reasonably prudent and careful appraiser would exercise under similar circumstances.</text> </paragraph> <paragraph num="(4)"> <text>“Reasonable diligence” means the amount of effort which the average certified or licensed appraiser would exercise under similar circumstances.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Incorporation by Reference."> <text>Minimum standards of reasonable care for federally related transactions, as defined in 12 U.S.C. §3350(4), are those set forth in 12 CFR §323.4, which is incorporated by reference. Minimum standards also require compliance with the appraiser's Code of Ethics set forth in COMAR 09.19.05.01.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §16-216(2), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 12, 1994 (21:18 Md. R. 1509)</annotation> </annotations> </chapter> <chapter num="11" heading="Volunteer Expert Review Appraiser Roster"> <regulation prefix="Regulation" num=".01" heading="Composition."> <paragraph num="A."> <text>The Commission may assemble and maintain a roster of licensed and certified real estate appraisers who:</text> <paragraph num="(1)"> <text>Possess, in the opinion of the Commission, specific expertise and knowledge; and</text> </paragraph> <paragraph num="(2)"> <text>Are willing to provide appraisal report reviews for the Commission on a volunteer basis pursuant to COMAR 25.02.01.02B(8).</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Application/Complaint Committee of the Commission may request the assistance of an appraiser from this roster to conduct research, gather data, and review and evaluate appraisal reports for compliance with the Uniform Standards of Professional Appraisal Practice (USPAP).</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Responsibilities of Volunteer Expert Appraisers."> <text>The volunteer expert review appraiser (VERA) roster participants shall:</text> <paragraph num="A."> <text>Be licensees selected by the Commission who are State-certified or State-licensed appraisers;</text> </paragraph> <paragraph num="B."> <text>Agree to provide their services on a voluntary basis;</text> </paragraph> <paragraph num="C."> <text>Act in conformance with the Maryland Real Estate Appraisers Act and this chapter;</text> </paragraph> <paragraph num="D."> <text>Keep a detailed log of the volunteer activities conducted as a participant of the VERA roster;</text> </paragraph> <paragraph num="E."> <text>Submit a copy of this log to the Application/Complaint Committee at the end of each month during which volunteer activity occurred;</text> </paragraph> <paragraph num="F."> <text>Provide the Committee with written results of the review based on information obtained through services provided pursuant to Regulation .01 of this chapter; and</text> </paragraph> <paragraph num="G."> <text>Appear at an administrative proceeding and provide testimony pertaining to the volunteer services rendered to the Committee pursuant to Regulation .01 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Review Process."> <text>When an appraisal report is submitted to a roster participant for review and evaluation for compliance with USPAP:</text> <paragraph num="A."> <text>The assignment of the appraisal review will be based on the geographic location of the subject property, the type of property appraised, and the expertise and qualifications of the VERA roster participant;</text> </paragraph> <paragraph num="B."> <text>The appraiser reviewing the report will be given specific written instructions by the Application/Complaint Committee as to the scope of the assignment;</text> </paragraph> <paragraph num="C."> <text>The appraiser will have 30 days in which to complete a review for residential properties and 45 days for all other properties;</text> </paragraph> <paragraph num="D."> <text>Extensions of the time for review may be granted upon written request from the appraiser to the Application/Complaint Committee;</text> </paragraph> <paragraph num="E."> <text>The appraiser shall provide the Application/Complaint Committee with written results of the review;</text> </paragraph> <paragraph num="F."> <text>Confidential information, such as the identities of the appraiser who prepared a report and the lender/client, will not be disclosed to the appraiser reviewing the report; and</text> </paragraph> <paragraph num="G."> <text>The appraiser reviewing the report will keep all information and documents submitted as part of the review confidential.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Application Process."> <paragraph num="A."> <text>A licensed or certified appraiser may apply to serve as a volunteer expert review appraiser by submitting to the Commission a resume, a letter of interest reflecting the applicant's qualifications, including education, experience, geographic location, and property type expertise and any other information which may support selection to the VERA roster.</text> </paragraph> <paragraph num="B."> <text>The Commission may appoint a committee to review applications and make recommendations to the Commission.</text> </paragraph> <paragraph num="C."> <text>The Commission will select applicants to be included in the VERA roster from among those applicants deemed qualified by the Commission based on the applicant's education, knowledge, and experience.</text> </paragraph> <paragraph num="D."> <text>All applicants will be notified of the decision of the Commission in writing.</text> </paragraph> <paragraph num="E."> <text>Appraisers selected to be included in the VERA roster shall serve for a 5-year term.</text> </paragraph> <paragraph num="F."> <text>Upon 30 days notice, the Commission may remove an individual from the VERA roster for any reason.</text> </paragraph> <paragraph num="G."> <text>Upon request, a list of appraisers then serving on the VERA roster will be made available to members of the public.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-208(a), 16-216, 16-220, and 16-503(f), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 adopted as an emergency provision effective January 5, 2000 (27:2 Md. R. 140); adopted permanently effective June 26, 2000 (27:12 Md. R. 1139)</annotation> </annotations> </chapter> <chapter num="12" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Time for Submitting License/Certification Application."> <paragraph num="A."> <text>An applicant who is approved by the Commission to sit for a license or certification examination shall be given up to 2 years from that approval date to sit for the appropriate examination.</text> </paragraph> <paragraph num="B."> <text>An applicant who has successfully completed the license or certification examination shall apply and be approved for licensure or certification, including payment of all applicable fees, within 2 years of successfully completing the licensing examination in order for the applicant's test results to remain valid.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Correspondence with the Commission."> <paragraph num="A."> <text>If an applicant or licensee receives from the Commission a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Commission shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Commission in writing if there has been a change in an applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Commission to be a violation of Business Occupations and Professions Article, §16-701(a)(1)(xiii), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-101(r), 16-216(2), 16-312(6), 16-220, 16-5A-03, and 16-701(a)(1)(xiii), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective January 30, 2006 (33:4 Md. R. 349); emergency status expired June 19, 2006</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted effective September 25, 2006 (33:19 Md. R. 1559)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective September 10, 2007 (34:18 Md. R. 1579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective January 7, 2013 (39:26 Md. R. 1664); November 24, 2014 (41:23 Md. R. 1372)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C adopted effective November 24, 2014 (41:23 Md. R. 1372)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 repealed effective November 9, 2015 (42:22 Md. R. 1377)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective January 14, 2019 (46:1 Md. R. 11)</annotation> </annotations> </chapter> </subtitle> <subtitle num="20" heading="Board of Plumbing"> <chapter num="01" heading="State Plumbing Code"> <regulation prefix="Regulation" num=".01" heading="Incorporation by Reference."> <paragraph num="A."> <text>In this chapter, the documents set forth in §B of this regulation are incorporated by reference.</text> </paragraph> <paragraph num="B."> <text>In compliance with Business Occupations and Professions Article, §§12-101(p) and 12-205(a), Annotated Code of Maryland, the Board adopts the most recent version of the following Codes as they may be amended, modified, or updated from time to time.</text> <paragraph num="(1)"> <text>The International Plumbing Code (International Code Council, 500 New Jersey Avenue, N.W., 6th Floor, Washington, DC 20001), which has been incorporated by reference in COMAR 09.12.50.02-1B(2).</text> </paragraph> <paragraph num="(2)"> <text>The International Residential Code, (International Code Council, 500 New Jersey Avenue, N.W., 6th Floor, Washington, DC 20001), which has been incorporated by reference in COMAR 09.12.50.02-1B(4) and 09.12.51.04A(2).</text> </paragraph> <paragraph num="(3)"> <text>The International Fuel Gas Code (International Code Council, 500 New Jersey Avenue, N.W., 6th Floor, Washington, DC 20001).</text> </paragraph> <paragraph num="(4)"> <text>The most recent version of the National Fuel Gas Code, NFPA 54.</text> </paragraph> <paragraph num="(5)"> <text>The Liquefied Petroleum Gas Code, NFPA 58.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Modifications to the International Plumbing Code. — Repealed." /> <regulation prefix="Regulation" num=".03" heading="Modifications to the International Residential Code. — Repealed." /> <regulation prefix="Regulation" num=".04" heading="Modifications to the National Fuel Gas Code, ANSI Z223.1, NFPA 54. — Repealed." /> <regulation prefix="Regulation" num=".05" heading="Limit on Lead Content."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Lead-free” means:</text> <paragraph num="(i)"> <text>Containing not more than a weighted average of 0.25 percent lead when used with respect to the wetted surface of pipes, pipe fitting, plumbing fittings, and fixtures; and</text> </paragraph> <paragraph num="(ii)"> <text>Not containing more than 0.2 percent lead when used with respect to solder and flux.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“NSF” means the standards of the National Sanitation Foundation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Weighted Average Lead Content Formula.</text> <paragraph num="(1)"> <text>The weighted average lead content of a lead-free pipe, pipe fitting, plumbing fitting, or fixture shall be calculated by using the following formula: For each wetted component, the percentage of lead in the component shall be multiplied by the ratio of the wetted surface area of that component to the total wetted surface area of the entire product to arrive at the weighted percentage of lead of the component. The weighted percentage of lead of each wetted component shall be added together, and the sum of these weighted percentages shall constitute the weighted average lead content of the product. The lead content of the material used to produce wetted components shall be used to determine compliance with lead-free requirements. For lead content of materials that are provided as a range, the maximum content of the range shall be used.</text> </paragraph> <paragraph num="(2)"> <text>The use of platings, coatings, or acid wash treatments may not be used to meet the 0.25 percent weighted average lead content requirements set forth in Business Occupations and Professions Article, §§12-101(h-1)(4) and 12-101(q)(4) and(5), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Materials used to dispense water intended for human consumption through drinking or cooking, including piping, faucets, and valves as set forth in §§F and G of this regulation, shall be lead-free, containing not more than a weighted average of 0.25 percent lead with respect to the wetted surface as defined in §A(2)(a)(ii) of this regulation.</text> </paragraph> <paragraph num="D."> <text>Soldered Joints.</text> <paragraph num="(1)"> <text>Solder and flux for soldered joints in potable water piping shall be lead-free, containing not more than 0.2 percent lead, as defined in §A(2)(a)(ii) of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>Flux shall be recommended by the manufacturer for making soldered joints in lead-free potable water supply system piping.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Components.</text> <paragraph num="(1)"> <text>Potable water supply components that are within the scope of NSF 61 for drinking water system components and are required to be lead-free shall comply with NSF 61 and NSF 372.</text> </paragraph> <paragraph num="(2)"> <text>Potable water system components that are not within the scope of NSF 61 for drinking water system components but are required to be lead-free shall comply with NSF 372.</text> </paragraph> <paragraph num="(3)"> <text>Potable water system components that are not required to be 0.25% lead-free shall be suitable for distributing potable water but may contain up to 8% lead.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Potable water end-use devices and potable water supply system piping that are intended to dispense water for human consumption through drinking or cooking include, but are not limited to:</text> <paragraph num="(1)"> <text>Kitchen sink faucets;</text> </paragraph> <paragraph num="(2)"> <text>Bar sink faucets;</text> </paragraph> <paragraph num="(3)"> <text>Private bathroom sink faucets;</text> </paragraph> <paragraph num="(4)"> <text>Drinking fountain faucets;</text> </paragraph> <paragraph num="(5)"> <text>Kitchen hot water dispensers;</text> </paragraph> <paragraph num="(6)"> <text>Water supply to:</text> <paragraph num="(a)"> <text>Ice makers;</text> </paragraph> <paragraph num="(b)"> <text>Potable water heaters;</text> </paragraph> <paragraph num="(c)"> <text>Commercial grocer or supermarket misting systems used for produce;</text> </paragraph> <paragraph num="(d)"> <text>Commercial kitchen cooking equipment; and</text> </paragraph> <paragraph num="(e)"> <text>Production equipment for processed food containing water; and</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Any other end-use device or piping that is intended to dispense or convey water for human consumption.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Piping components that shall be lead-free when used with lead-free end-use devices and piping that are required to be lead-free include, but are not limited to:</text> <paragraph num="(1)"> <text>Main service shut-off valves;</text> </paragraph> <paragraph num="(2)"> <text>Water service backflow prevention devices;</text> </paragraph> <paragraph num="(3)"> <text>Water meters;</text> </paragraph> <paragraph num="(4)"> <text>Pressure booster pumps;</text> </paragraph> <paragraph num="(5)"> <text>Pressure reducing valves;</text> </paragraph> <paragraph num="(6)"> <text>Strainers;</text> </paragraph> <paragraph num="(7)"> <text>Water filters;</text> </paragraph> <paragraph num="(8)"> <text>Check valves;</text> </paragraph> <paragraph num="(9)"> <text>Control valves;</text> </paragraph> <paragraph num="(10)"> <text>Vacuum breakers;</text> </paragraph> <paragraph num="(11)"> <text>Water hammer arrestors;</text> </paragraph> <paragraph num="(12)"> <text>Master hot water mixing valves;</text> </paragraph> <paragraph num="(13)"> <text>In-line tempering valves;</text> </paragraph> <paragraph num="(14)"> <text>Hot water recirculating pumps;</text> </paragraph> <paragraph num="(15)"> <text>Branch piping shut off valves;</text> </paragraph> <paragraph num="(16)"> <text>Balancing valves;</text> </paragraph> <paragraph num="(17)"> <text>Fixture shut off valves;</text> </paragraph> <paragraph num="(18)"> <text>Solenoid valves;</text> </paragraph> <paragraph num="(19)"> <text>Tankless water heaters; and</text> </paragraph> <paragraph num="(20)"> <text>Any other piping component associated with an end-use device or water supply piping that is required to be lead-free.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Materials Not Required to Be Lead-Free.</text> <paragraph num="(1)"> <text>Pipes, pipe fittings, plumbing fittings or fixtures, including backflow preventers, that are used exclusively for nonpotable services such as manufacturing, industrial processing, irrigation, outdoor watering, or any other uses where the water is not anticipated to be used for human consumption are not required to be lead-free.</text> </paragraph> <paragraph num="(2)"> <text>Potable water end-use devices and water supply system components not anticipated to dispense or convey water to be used for human consumption and not required to be lead-free, including the associated supply piping of such devices and components, include, but are not limited to:</text> <paragraph num="(a)"> <text>Tub faucets or fillers;</text> </paragraph> <paragraph num="(b)"> <text>Shower fixtures, including:</text> <paragraph num="(i)"> <text>Valves;</text> </paragraph> <paragraph num="(ii)"> <text>Heads; and</text> </paragraph> <paragraph num="(iii)"> <text>Adapters;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Flush valves for:</text> <paragraph num="(i)"> <text>Water closets;</text> </paragraph> <paragraph num="(ii)"> <text>Urinals; and</text> </paragraph> <paragraph num="(iii)"> <text>Bidets;</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Shut off valves for clothes washers;</text> </paragraph> <paragraph num="(e)"> <text>Lavatory faucets in public restrooms;</text> </paragraph> <paragraph num="(f)"> <text>Laundry sink faucets;</text> </paragraph> <paragraph num="(g)"> <text>Service sink faucets;</text> </paragraph> <paragraph num="(h)"> <text>Faucets for laboratory applications;</text> </paragraph> <paragraph num="(i)"> <text>Hose bibbs;</text> </paragraph> <paragraph num="(j)"> <text>Trap seal priming devices;</text> </paragraph> <paragraph num="(k)"> <text>Backflow prevention devices that supply nonpotable applications;</text> </paragraph> <paragraph num="(l)"> <text>Fire hose valves;</text> </paragraph> <paragraph num="(m)"> <text>Water hammer arrestors;</text> </paragraph> <paragraph num="(n)"> <text>The water supply to:</text> <paragraph num="(i)"> <text>Dishwashers;</text> </paragraph> <paragraph num="(ii)"> <text>Whirlpools;</text> </paragraph> <paragraph num="(iii)"> <text>Spas;</text> </paragraph> <paragraph num="(iv)"> <text>Therapy pools;</text> </paragraph> <paragraph num="(v)"> <text>Swimming pools;</text> </paragraph> <paragraph num="(vi)"> <text>Boilers;</text> </paragraph> <paragraph num="(vii)"> <text>Heating hot water generators;</text> </paragraph> <paragraph num="(viii)"> <text>Humidifiers; and</text> </paragraph> <paragraph num="(ix)"> <text>Irrigation systems;</text> </paragraph> </paragraph> <paragraph num="(o)"> <text>Food production equipment that does not contact the food; and</text> </paragraph> <paragraph num="(p)"> <text>Any other end-use device or water supply piping that is not anticipated to dispense or convey water that is to be used for human consumption.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§12-205 and 12-207, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">COMAR 09.20.01—09.20.25 repealed and new Regulations .01 and .02 adopted under a new chapter, State Plumbing Code, effective October 20, 1997 (24:21 Md. R. 1448)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective July 23, 2001 (28:14 Md. R. 1321); May 9, 2005 (32:9 Md. R 848); May 18, 2009 (36:10 Md. R. 716); May 13, 2013 (40:9 Md. R. 789); January 2, 2017 (43:26 Md. R. 1444)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective July 23, 2001 (28:14 Md. R. 1321); May 9, 2005 (32:9 Md. R. 848); May 18, 2009 (36:10 Md. R. 716); May 13, 2013 (40:9 Md. R. 789); January 2, 2017 (43:26 Md. R. 1444)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02G, H amended effective January 29, 2000 (27:1 Md. R. 75)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02I amended effective May 12, 2003 (30:9 Md. R. 614)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 adopted as an emergency provision effective January 1, 2012 (39:2 Md. R. 139); emergency extended at 39:13 Md. R. 785; adopted permanently effective February 4, 2013 (40:2 Md. R. 72)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E amended effective January 2, 2017 (43:26 Md. R. 1444)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective May 13, 2013 (40:9 Md. R. 789)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective January 2, 2017 (43:26 Md. R. 1444)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective January 2, 2017 (43:26 Md. R. 1444)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 30, 2019 (46:26 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective November 24, 2025 (52:23 Md. R. 1138)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02.—.04, .06, .07 repealed effective November 24, 2025 (52:23 Md. R. 1138)</annotation> </annotations> </chapter> <chapter num="02" heading="Enforcement of the Plumbing Law by the Board"> <regulation prefix="Regulation" num=".01" heading="Qualifications of Plumbers—How Certificates May Be Issued."> <paragraph num="A."> <text>All plumbing work shall be performed, or supervised and approved, by a licensed master plumber who is:</text> <paragraph num="(1)"> <text>Familiar with its design and purpose; and</text> </paragraph> <paragraph num="(2)"> <text>Available to direct and control all journey and apprentice plumbers.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The license of a master plumber will be issued in the name of the master plumber.</text> </paragraph> <paragraph num="C."> <text>All plumbing work performed, or supervised and approved, by a licensed master plumber shall be of ordinary worker-like skill and quality and shall conform both to the regulations promulgated by the Board and to applicable local laws and regulations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Required Training for Apprentice Plumbers."> <paragraph num="A."> <text>Before an apprentice plumber may be examined for a license as a journey plumber, the apprentice plumber shall:</text> <paragraph num="(1)"> <text>Receive at least 7,500 working hours of instruction and experience in the installation and repair of plumbing material and systems, under the direction and control of a master plumber; and</text> </paragraph> <paragraph num="(2)"> <text>Be registered with the Board for the duration of the apprenticeship training.</text> </paragraph> </paragraph> <paragraph num="B."> <text>To avoid undue hardship, the Board may give credit for hours worked in the installation and repair of plumbing material and systems by an unregistered apprentice plumber.</text> </paragraph> <paragraph num="C."> <text>It is recommended that the instruction and experience include:</text> <paragraph num="(1)"> <text>Installation of piping for waste, soil, sewerage, vent and rain leader lines in copper,</text> <paragraph num="(a)"> <text>Name and size of sewer fittings, wyes, tees, bend, packing, pouring, caulking joints;</text> </paragraph> <paragraph num="(b)"> <text>Use of proper fittings in making connections;</text> </paragraph> <paragraph num="(c)"> <text>Proper pitch in sewer lines;</text> </paragraph> <paragraph num="(d)"> <text>Regulations on cesspools and septic tanks;</text> </paragraph> <paragraph num="(e)"> <text>Local codes governing plumbing.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Installation of piping for hot and cold water for domestic purposes: 1,400 hrs.</text> <paragraph num="(a)"> <text>Rough-in water and gas piping for fixtures;</text> </paragraph> <paragraph num="(b)"> <text>Cut holes in floors and joist;</text> </paragraph> <paragraph num="(c)"> <text>Measure up piping;</text> </paragraph> <paragraph num="(d)"> <text>Run pipe in copper, steel, or plastic;</text> </paragraph> <paragraph num="(e)"> <text>Installation of domestic water boilers and hot water heaters;</text> </paragraph> <paragraph num="(f)"> <text>Install tankless or tank-type copper coil heaters in boilers;</text> </paragraph> <paragraph num="(g)"> <text>Automatic gas water heaters with vent to chimney;</text> </paragraph> <paragraph num="(h)"> <text>Measure up piping and connect to hot and cold water lines;</text> </paragraph> <paragraph num="(i)"> <text>Use of pipe cutters and reamers;</text> </paragraph> <paragraph num="(j)"> <text>Cut threads with stocks and dies, or with pipe threading machines;</text> </paragraph> <paragraph num="(k)"> <text>Use of joint compound on threads and screw up fittings on pipe with pipe wrenches;</text> </paragraph> <paragraph num="(l)"> <text>Local codes governing plumbing.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Installation of lead pipe, tin pipe, sheet lead, and solder work: 180 hrs.</text> <paragraph num="(a)"> <text>Proper use of tools;</text> </paragraph> <paragraph num="(b)"> <text>Kinds of materials and fluxes;</text> </paragraph> <paragraph num="(c)"> <text>Correct heating temperatures.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Assembly in position and connection of fixtures and appliances used in the plumbing</text> <paragraph num="(a)"> <text>Rough-in waste, soil, and vent lines for fixtures;</text> </paragraph> <paragraph num="(b)"> <text>Pack, pour, and caulk fittings and pipe;</text> </paragraph> <paragraph num="(c)"> <text>Make up fittings, run piping, and hook up main sewer;</text> </paragraph> <paragraph num="(d)"> <text>Lay out water lines, hot and cold;</text> </paragraph> <paragraph num="(e)"> <text>Place and connect various plumbing fixtures;</text> </paragraph> <paragraph num="(f)"> <text>Local codes governing plumbing.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Service work—maintenance and repair of plumbing: 480 hrs.</text> <paragraph num="(a)"> <text>Leaks;</text> </paragraph> <paragraph num="(b)"> <text>Renewals;</text> </paragraph> <paragraph num="(c)"> <text>Stoppage of lines;</text> </paragraph> <paragraph num="(d)"> <text>Alterations;</text> </paragraph> <paragraph num="(e)"> <text>Trouble shooting plumbing systems.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Operation, care, safety, and use of all tools and materials connected with the trade: 850 hrs.</text> <paragraph num="(a)"> <text>Pipe and fittings, tees, ells, 45-degree ells and nipples;</text> </paragraph> <paragraph num="(b)"> <text>Black, galvanized, wrought iron, wrought steel, copper, and plastic pipe;</text> </paragraph> <paragraph num="(c)"> <text>Use and care of tools;</text> </paragraph> <paragraph num="(d)"> <text>Pipe cutters, reamers, stocks and dies, size of wrenches, caulking irons, lead pots,</text> </paragraph> <paragraph num="(e)"> <text>Types of tubs—corner or recess, left or right;</text> </paragraph> <paragraph num="(f)"> <text>Lavatories—cast iron, vitreous china, and stainless steel;</text> </paragraph> <paragraph num="(g)"> <text>Closet combinations—vitreous china, closed couples, siphon action, flushometer types.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Gas installation: 750 hrs.</text> <paragraph num="(a)"> <text>Types of gas installations—natural and LPG;</text> </paragraph> <paragraph num="(b)"> <text>Venting gas systems;</text> </paragraph> <paragraph num="(c)"> <text>Gas appliances and controls;</text> </paragraph> <paragraph num="(d)"> <text>Local codes governing gas fitting.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>Special purpose installations: 180 hrs.</text> <paragraph num="(a)"> <text>Swimming pools;</text> </paragraph> <paragraph num="(b)"> <text>Fountains and planters;</text> </paragraph> <paragraph num="(c)"> <text>Lawn sprinkling and vacuum systems;</text> </paragraph> <paragraph num="(d)"> <text>Local codes governing plumbing.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>Plan reading: 375 hrs.</text> <paragraph num="(a)"> <text>Sketching;</text> </paragraph> <paragraph num="(b)"> <text>Sleeve drawing and deck layout;</text> </paragraph> <paragraph num="(c)"> <text>Drawing coordination.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>Builders level transit: 275 hrs.</text> <paragraph num="(a)"> <text>Layout of sewer and water lines;</text> </paragraph> <paragraph num="(b)"> <text>Shoot grades and elevations.</text> </paragraph> </paragraph> <paragraph num="(11)"> <text>Welding connected with the trade: 480 hrs.</text> <paragraph num="(a)"> <text>Gas, metallic arc, and heliarc welding;</text> </paragraph> <paragraph num="(b)"> <text>Use of torch;</text> </paragraph> <paragraph num="(c)"> <text>Proper flame, fluxes, and solder;</text> </paragraph> <paragraph num="(d)"> <text>Pipe welding;</text> </paragraph> <paragraph num="(e)"> <text>Proper welding procedures and techniques;</text> </paragraph> <paragraph num="(f)"> <text>Identification of welding rods and materials;</text> </paragraph> <paragraph num="(g)"> <text>Flame cutting;</text> </paragraph> <paragraph num="(h)"> <text>Brazing.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>Rigging: 375 hrs.</text> <paragraph num="(a)"> <text>Materials;</text> </paragraph> <paragraph num="(b)"> <text>Equipment.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Examinations for Journey Plumber Certificates."> <paragraph num="A."> <text>Each applicant for the journey plumber's examination shall provide certification that the applicant has accrued at least 7,500 working hours, that is, 4 years of apprenticeship instruction and experience in the installation and repair of plumbing material and systems, under the direction and control of a master plumber. The following conditions apply:</text> <paragraph num="(1)"> <text>Up to 1,500 hours of accredited, approved school study may be applied towards the 7,500-hours requirement, which may be composed of classroom plumbing work or study under a vocational or technical program accredited by the State Department of Education or under the apprenticeship agreement registered with the Maryland Apprenticeship and Training Council;</text> </paragraph> <paragraph num="(2)"> <text>The applicant shall furnish the certification, made under penalty of perjury, with the examination application;</text> </paragraph> <paragraph num="(3)"> <text>Hours accrued may not be credited to an individual serving under an apprenticeship agreement registered with the Maryland Apprenticeship and Training Council unless the individual is also licensed with the Board as an apprentice plumber.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Examinations.</text> <paragraph num="(1)"> <text>The Board shall examine qualified applicants by written examination.</text> </paragraph> <paragraph num="(2)"> <text>If the applicant satisfactorily documents that the applicant has a disability as defined under The Americans With Disabilities Act (ADA), the Board will make those accommodations necessary for the administration of the examination.</text> </paragraph> <paragraph num="(3)"> <text>An applicant shall attain a passing grade of 70 to qualify for licensure as a journey plumber.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Out-of-State Applicants.</text> <paragraph num="(1)"> <text>A nonresident applicant or an applicant whose work experience has not been in Maryland shall provide certification that:</text> <paragraph num="(a)"> <text>The applicant has accrued at least 7,500 working hours, that is, 4 years of apprenticeship instruction and experience in the installation and repair of plumbing material and systems, under the direction and control of a licensed master plumber; and</text> </paragraph> <paragraph num="(b)"> <text>The master plumber under whom the applicant trained received a license by passing a written competency examination.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Up to 1,500 hours of accredited, approved school study may be applied towards the 7,500-hour requirement.</text> </paragraph> <paragraph num="(3)"> <text>The applicant shall furnish the certification as to accrued work experience and the qualifications of the supervisory master plumber, under penalty of perjury, with the examination application.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Examinations for Master Plumber Certificates."> <paragraph num="A."> <text>Each applicant for the master plumber's examination shall provide certification, under penalty of perjury, that the applicant has accrued at least 2 years, that is, 3,750 working hours of practical experience as a journey plumber, in the installation and repair of plumbing material and systems under the direction and control of a master plumber.</text> </paragraph> <paragraph num="B."> <text>The candidate shall be examined on:</text> <paragraph num="(1)"> <text>General knowledge of the regulations as may be provided by the Board;</text> </paragraph> <paragraph num="(2)"> <text>Knowledge of physics and hygiene as may deal with the proper and safe methods of supplying water to a building, and of removing water and sewage from it; and</text> </paragraph> <paragraph num="(3)"> <text>Drainage, hydraulics, pneumatics, and hydrostatics insofar as they relate to the proper construction of work required in providing plumbing services.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Applicants shall also be required to demonstrate their ability to comprehend and interpret plans and drawings, showing the arrangements of plumbing fixtures and other related parts of the plumbing system.</text> </paragraph> <paragraph num="D."> <text>Unless specifically provided for, each applicant shall answer all examination questions in writing.</text> </paragraph> <paragraph num="E."> <text>If the applicant satisfactorily documents that the applicant has a disability as defined under The Americans With Disabilities Act (ADA), the Board will make those accommodations necessary for the administration of the examination.</text> </paragraph> <paragraph num="F."> <text>If an applicant successfully completes the examination under §E of this regulation, the Board shall grant to the applicant a license as a master plumber upon a showing that the:</text> <paragraph num="(1)"> <text>Applicant's ability to function as a master plumber is not significantly impaired by the dyslexia or other reading disability; and</text> </paragraph> <paragraph num="(2)"> <text>Applicant is otherwise competent and qualified to become a master plumber.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Out-of-State Applicants.</text> <paragraph num="(1)"> <text>A nonresident applicant or an applicant whose work experience has not been in Maryland shall accrue a total of at least 11,250 working hours, that is, 6 years of practical experience in the installation and repair of plumbing material and systems.</text> </paragraph> <paragraph num="(2)"> <text>The applicant shall furnish information about the applicant's work experience, under penalty of perjury, as follows:</text> <paragraph num="(a)"> <text>Certification of at least 4 years of the required total number of years, that is, 7,500 working hours spent in the installation and repair of plumbing material and systems under the direction and control of a licensed master plumber;</text> </paragraph> <paragraph num="(b)"> <text>Certification of at least 2 years, that is, 3,750 hours of work in the plumbing trade as a journey plumber;</text> </paragraph> <paragraph num="(c)"> <text>Certification that the journey plumber's license was received by passing a written competency examination; and</text> </paragraph> <paragraph num="(d)"> <text>Certification that the master plumber for whom the applicant worked received a license by passing a written competency examination.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If the nonresident applicant is from an area that does not require licensure of journeyperson plumbers, and the applicant holds a master plumber's license, the applicant shall provide certification with the application that:</text> <paragraph num="(a)"> <text>The applicant accrued at least 7,500 hours of practical experience in the plumbing trade under the direction and control of a licensed master plumber;</text> </paragraph> <paragraph num="(b)"> <text>The master plumber for whom the applicant worked received a license by passing a written competency examination;</text> </paragraph> <paragraph num="(c)"> <text>The applicant's master plumber license was received by passing a written competency examination; and</text> </paragraph> <paragraph num="(d)"> <text>The applicant has accrued at least 2 years, that is, 3,750 working hours in the installation and repair of plumbing material and systems since receiving the master plumber's license.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Passing Grade Required for a Master's License."> <text>An applicant shall attain a passing grade of 70 to quality for a license as a master plumber.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Applicants Failed."> <paragraph num="A."> <text>Any applicant who failed the examination for either a master or journey license may apply and pay the prescribed fee for another examination. A period of 1 month shall elapse before a failed applicant may retake an examination.</text> </paragraph> <paragraph num="B."> <text>Applicants who have failed an examination may review their examination papers upon written request to the Board. This request shall be made within 30 days after the applicant has been notified that the applicant failed to attain the required grade.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Applicants for Renewal of License."> <paragraph num="A."> <text>All apprentice, journey, and master plumbers eligible for renewal shall renew their licenses every 2 years.</text> </paragraph> <paragraph num="B."> <text>All applicants for renewal, after submitting their written application for renewal accompanied by the required fee, shall be issued a new license by the Board.</text> </paragraph> <paragraph num="C."> <text>Any applicant for renewal who has for 5 consecutive years failed to renew a license is subject to examination before being issued a new license.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Issuing of License on a Reciprocal Basis."> <paragraph num="A."> <text>The Board shall issue a master or journey plumber license on a reciprocal basis to applicants living in Baltimore County or the Washington Suburban Sanitary District who:</text> <paragraph num="(1)"> <text>Have passed the master or journey plumber examination in either jurisdiction;</text> </paragraph> <paragraph num="(2)"> <text>Are in good standing in that jurisdiction; and</text> </paragraph> <paragraph num="(3)"> <text>Intend to do business in Maryland outside of Baltimore County or Washington Suburban Sanitary District.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Board shall give examinations for journey or master plumber licenses to applicants living outside the State who:</text> <paragraph num="(1)"> <text>Demonstrate that they have served an apprenticeship, or had practical experience, under supervision equivalent to that required in Maryland; or</text> </paragraph> <paragraph num="(2)"> <text>Demonstrate the same level of proficiency and study required of applicants serving an apprenticeship or gaining practical experience in Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Advertisements."> <paragraph num="A."> <text>Definitions. In this regulation, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Current master plumber” means the individual responsible for supervising and controlling the work of all individuals providing or assisting in providing plumbing services in a business.</text> </paragraph> <paragraph num="(2)"> <text>“Current natural gas fitter” means the individual responsible for supervising and controlling the work of all individuals providing or assisting in providing natural gas services in a business.</text> </paragraph> <paragraph num="(3)"> <text>“Current propane gas fitter” means the individual responsible for supervising and controlling the work of all individuals providing or assisting in providing propane gas services in a business.</text> </paragraph> <paragraph num="(4)"> <text>“License number” means the license registration certificate number displayed on the license document or propane gas fitter certificate issued to a licensee or certificate holder by the Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Requirements for Plumbers.</text> <paragraph num="(1)"> <text>The license number of the current master plumber shall be displayed on all documents used by any person holding themselves out to the public as providing plumbing services.</text> </paragraph> <paragraph num="(2)"> <text>Each vehicle that advertises plumbing services shall display the words “MD Licensed Plumber” and the license number of the current master plumber on both sides of the vehicle.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Requirements for Licensed Natural Gas Fitters.</text> <paragraph num="(1)"> <text>The license number of the current natural gas fitter shall be displayed on all documents used by any person holding themselves out to the public as providing natural gas services.</text> </paragraph> <paragraph num="(2)"> <text>Each vehicle that advertises natural gas services shall display the words “MD Licensed Natural Gas Fitter” and the license number of the current natural gas fitter on both sides of the vehicle.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Requirements for Propane Gas Fitters.</text> <paragraph num="(1)"> <text>The license number of the current propane gas fitter shall be displayed on all documents used by any persons holding themselves out to the public as providing propane gas services.</text> </paragraph> <paragraph num="(2)"> <text>Each vehicle that advertises propane gas services shall display the words “MD Certified Propane Gas Fitter” and the license number of the current propane gas fitter on both sides of the vehicle.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Additional Requirements for Licensees and Certificate Holders.</text> <paragraph num="(1)"> <text>Each vehicle that advertises plumbing, natural gas, or propane gas services shall display the information required by this regulation on both sides of the vehicle. Display of wording shall be not less than 1-1/2 inches in height.</text> </paragraph> <paragraph num="(2)"> <text>Each printed, audio, video, or computerized advertisement of any type, including all estimate forms, contract forms, and final statements of payment, shall clearly contain the words “MD Licensed Plumber”, “MD Licensed Natural Gas Fitter”, or “MD Certified Propane Gas Fitter” and the license number as required by §§B(2), C(2), and D(2) of this regulation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Qualifications for Plumbing Inspectors."> <paragraph num="A."> <text>Plumbing inspectors hired by the State, a county, or a local government after October 1, 1988, shall meet minimum standards that are established by the county or local government in consultation with the State Board, or, if there is no standard established by the county or local government, the minimum standards established by the State Board. The minimum standards established by the State Board are as follows:</text> <paragraph num="(1)"> <text>The plumbing inspector shall be a licensed master or journey plumber;</text> </paragraph> <paragraph num="(2)"> <text>The plumbing inspector shall:</text> <paragraph num="(a)"> <text>Have at least 4 years experience as an inspector or craftsman in a building and construction trade, and</text> </paragraph> <paragraph num="(b)"> <text>Pass a written examination prepared and administered by the State Board, or prepared and administered by the county or local government, provided that the examination is approved by the State Board, and certified copies of all results are provided to the State Board.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Each plumbing inspector shall:</text> <paragraph num="(1)"> <text>Attend, at least once each year, continuing education pursuant to Business Occupations and Professions Article, §12-503(a)(1), Annotated Code of Maryland, to be conducted by the State Board, or a course which is consistent in content with the State Board's course and which is conducted by a county or local government; and</text> </paragraph> <paragraph num="(2)"> <text>In accordance with Business Occupations and Professions Article, §12-503(a)(1), Annotated Code of Maryland, obtain a cumulative 8 hours of qualifying continuing education each calendar year.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Passing Grade for License and Certificate Examinations."> <text>In accordance with Business Occupations and Professions Article, §12-304(d)(1), Annotated Code of Maryland, and as set forth in Regulations .03B(3) and .05 of this chapter, an applicant for any license or certificate issued by the Board shall attain a passing score of 70 to qualify for the license or certificate.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§12-205, 12-207, 12-302(d), (e), (g)(2), and (h)(3), 12-304(d)(1), and 12-503(a), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: 1971</annotation> <annotation type="History" subtype="Administrative History">Regulation .02, .13 amended effective January 7, 1976 (3:1 Md. R. 41)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective February 8, 1980 (7:3 Md. R. 263)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 amended effective May 26, 1976 (3:11 Md. R. 592)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17 amended effective December 24, 1975 (2:29 Md. R. 1735)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective October 26, 1981 (8:21 Md. R. 1706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective August 12, 1985 (12:16 Md. R. 1605)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective April 21, 1986 (13:8 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective April 21, 1986 (13:8 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D adopted effective March 25, 1985 (12:6 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended as an emergency provision effective July 1, 1983 (10:14 Md. R. 1257); adopted permanently effective September 26, 1983 (10:19 Md. R. 1690)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective April 21, 1986 (13:8 Md. R. 898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06G adopted effective March 25, 1985 (12:6 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10A amended effective February 13, 1984 (11:3 Md. R. 199)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12A amended effective August 12, 1985 (12:16 Md. R. 1605)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12D adopted effective July 28, 1986 (13:15 Md. R. 1734)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 adopted effective June 26, 1989 (16:12 Md. R. 1335)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective June 22, 1992 (19:12 Md. R. 1133)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 adopted as an emergency provision effective March 1, 1995 (22:6 Md. R. 471); emergency status expired September 1, 1995</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 adopted effective March 25, 1996 (23:6 Md. R. 475)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 09.20.26 to COMAR 09.20.02 effective October 20, 1997 (24:21 Md. R. 1448)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective May 22, 2017 (44:10 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulations .03B amended effective October 20, 1997 (24:21 Md. R. 1448); June 17, 2019 (46:12 Md. R. 536)</annotation> <annotation type="History" subtype="Administrative History">Regulations .04E amended effective October 20, 1997 (24:21 Md. R. 1448)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective June 17, 2019 (46:12 Md. R. 536)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A amended effective June 24, 2002 (29:12 Md. R. 927)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective May 22, 2017 (44:10 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective November 29, 1999 (26:24 Md. R. 1857); March 18, 2002 (29:5 Md. R. 503)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10B amended effective February 4, 2013 (40:2 Md. R. 72)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended as an emergency provision effective December 1, 2005 (32:26 Md. R. 1993); emergency status expired April 28, 2006</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective July 3, 2006 (33:13 Md. R. 1063)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 repealed effective May 22, 2017 (44:10 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 adopted effective June 17, 2019 (46:12 Md. R. 536)</annotation> </annotations> </chapter> <chapter num="03" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Responsibilities of Licensees."> <paragraph num="A."> <text>A licensee shall undertake to provide plumbing services only if the licensee is qualified by education, training, and experience to provide the required services.</text> </paragraph> <paragraph num="B."> <text>A licensee shall undertake to provide plumbing services related to gas only if the licensee is qualified by education, training, and experience with the specific gas, gas system, gas utilization equipment, and associated accessories to provide the required services.</text> </paragraph> <paragraph num="C."> <text>A licensee may not use or allow the use of a license issued by the Board for the purpose of obtaining or attempting to obtain a permit or other authority to provide plumbing services from a county or local government agency unless the licensee is:</text> <paragraph num="(1)"> <text>Familiar with the design and purpose of the plumbing services to be provided, and, when any portion of the services provided is to be outside of a permanent structure, the ground conditions of the area;</text> </paragraph> <paragraph num="(2)"> <text>Available to direct and control all journey and apprentice plumbers who will provide or assist in the providing of the plumbing services; and</text> </paragraph> <paragraph num="(3)"> <text>Responsible for the services performed or to be performed pursuant to a contract.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A licensee shall maintain appropriate insurance covering any plumbing service the licensee provides. Insurance provided by an employer does not satisfy the insurance requirements of Business Occupations and Professions Article, §12-501, Annotated Code of Maryland, if a licensee provides plumbing services outside the scope of employment with the insured person or business entity.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Street Address Required."> <paragraph num="A."> <text>This regulation applies to all applications, both original and renewal, received on or after January 1, 2014.</text> </paragraph> <paragraph num="B."> <text>An applicant for a license shall provide to the Board the actual street address of the individual’s residence or principal business office. An applicant may not provide a post office box or private mail drop as the applicant's business address of record.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Board in writing if there has been a change in an applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §12-312(a)(1)(xiii), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§12-205, 12-207, 12-303(1), 12-311(c), and 12-312(a)(1)(xiii), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 29, 1999 (26:24 Md. R. 1857)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D adopted effective March 18, 2002 (29:5 Md. R. 503)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective December 12, 2013 (40:24 Md. R. 2016)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 adopted effective December 31, 2018 (45:26 Md. R. 1241)</annotation> </annotations> </chapter> <chapter num="04" heading="Cross Connection/Backflow Prevention Certification Training Program"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Certified instructor” means an individual who possesses a master plumber or a journey plumber license issued by the Board or a reciprocating jurisdiction and has successfully completed an instructional certification program sponsored by an organization recognized by the Board, including, but not limited to, the University of Florida Treeo Center (TREEO), American Society of Sanitary Engineering (ASSE) Instructor Accreditation Certification, and University of Southern California Foundation for Cross Connection Control.</text> </paragraph> <paragraph num="(2)"> <text>“Certified provider” means a person or organization who provides Board-approved cross connection/backflow prevention certification training in accordance with Business Occupations and Professions Article, §12-306(c), Annotated Code of Maryland, and meets the requirements of Regulation .02A—C of this chapter.</text> </paragraph> <paragraph num="(3)"> <text>“Certified technician” means an individual who is certified to install, test, repair, and make reports on a mechanical cross connection/backflow prevention device or assembly after successful completion of a 32-hour cross connection/backflow prevention certification program approved by the Board in accordance with Business Occupations and Professions Article, §12-306(c), Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Approved Cross Connection/Backflow Prevention Certification Program."> <paragraph num="A."> <text>In accordance with Business Occupations and Professions Article, §12-306(c), Annotated Code of Maryland, a cross connection/backflow prevention certification program may be eligible for approval by the Board if:</text> <paragraph num="(1)"> <text>The certified provider submits to the Board an application on the form that the Board provides, identifying the course provider and the provider’s credentials to offer cross connection/backflow prevention certification training;</text> </paragraph> <paragraph num="(2)"> <text>Each program instructor is a certified instructor in accordance with Regulation .01B(1) of this chapter;</text> </paragraph> <paragraph num="(3)"> <text>The course materials include a cross connection/backflow prevention training manual prepared by an organization identified in Regulation .01B(1) of this chapter;</text> </paragraph> <paragraph num="(4)"> <text>In the opinion of the Board, the course curriculum provides, at a minimum, adequate training in:</text> <paragraph num="(a)"> <text>Introduction to backflow prevention;</text> </paragraph> <paragraph num="(b)"> <text>Hazards of cross connection/backflow;</text> </paragraph> <paragraph num="(c)"> <text>Laws of backflow prevention;</text> </paragraph> <paragraph num="(d)"> <text>Responsibilities of certified technician;</text> </paragraph> <paragraph num="(e)"> <text>The methods, mechanisms, and installation techniques used for the prevention of backflow;</text> </paragraph> <paragraph num="(f)"> <text>Field testing;</text> </paragraph> <paragraph num="(g)"> <text>Field reports;</text> </paragraph> <paragraph num="(h)"> <text>Troubleshooting;</text> </paragraph> <paragraph num="(i)"> <text>Repair of a backflow occurrence; and</text> </paragraph> <paragraph num="(j)"> <text>Recertification;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The program is conducted at a facility that provides adequate space and a suitable training environment in the opinion of the Board that is:</text> <paragraph num="(a)"> <text>Accessible for inspection by an authorized representative or agent of the Board during normal business and class hours without prior notice; and</text> </paragraph> <paragraph num="(b)"> <text>Equipped with adequate apparatus necessary for adequate training in the opinion of the Board including:</text> <paragraph num="(i)"> <text>A test kit;</text> </paragraph> <paragraph num="(ii)"> <text>One of each mechanical cross connection control device and assembly necessary for compliance with ASSE 1011, 1012, 1013, 1015, 1019, 1020, 1022, 1024, 1035, and 1056; and</text> </paragraph> <paragraph num="(iii)"> <text>Mechanical cross connection control assembly set up for field testing;</text> </paragraph> </paragraph> </paragraph> <paragraph num="(6)"> <text>The certified provider issues to an individual who successfully completes the program a:</text> <paragraph num="(a)"> <text>Certificate that includes:</text> <paragraph num="(i)"> <text>The name of the certified provider;</text> </paragraph> <paragraph num="(ii)"> <text>The name of the certified technician to whom it is issued;</text> </paragraph> <paragraph num="(iii)"> <text>A statement that the course constitutes a 32-hour cross connection/backflow prevention certification program approved by the Maryland State Board of Plumbing;</text> </paragraph> <paragraph num="(iv)"> <text>The date of completion of the certification program;</text> </paragraph> <paragraph num="(v)"> <text>The name and signature of the course instructor; and</text> </paragraph> <paragraph num="(vi)"> <text>The certification technician number; and</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Pocket identification card that includes:</text> <paragraph num="(i)"> <text>The name of the certified technician to whom it is issued;</text> </paragraph> <paragraph num="(ii)"> <text>The title “Certified Backflow Prevention Technician”;</text> </paragraph> <paragraph num="(iii)"> <text>The dates for which the certification is valid; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="(7)"> <text>The certified provider notifies the Board within 10 days of any change of a certified course instructor.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In order for a cross connection/backflow prevention certification program to be and remain eligible for approval by the Board in accordance with Business Occupations and Professions Article, §12-306(c), Annotated Code of Maryland, the program must be able to demonstrate adequate recertification credentials including the:</text> <paragraph num="(1)"> <text>Offer of recertification training for technicians every 5 years; and</text> </paragraph> <paragraph num="(2)"> <text>Requirement that course instructors maintain instructor certification by meeting the requirements of, but not limited to, the University of Florida Treeo Center (TREEO), American Society of Sanitary Engineering (ASSE) Instruction Accreditation Certification, and University of Southern California Foundation for Cross Connection Control, which shall include completion of recertification training at a minimum of once every 5 years.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In addition to the requirements of §B of this regulation, in order for a cross connection/backflow prevention certification program to remain eligible for approval by the Board in accordance with Business Occupations and Professions Article, §12-306(c), Annotated Code of Maryland, every 3 years, the program provider shall provide the Board with updated information about the program which shall include:</text> <paragraph num="(1)"> <text>A current list of certified instructors; and</text> </paragraph> <paragraph num="(2)"> <text>Notification from the certified provider of changes to the course curriculum or the location of the training facility.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Board may rescind its approval of a cross connection/backflow prevention certification program at any time if, in the opinion of the Board:</text> <paragraph num="(1)"> <text>The certified provider demonstrates misconduct or incompetence in the performance of supervisory duties over the program;</text> </paragraph> <paragraph num="(2)"> <text>A certified course instructor demonstrates misconduct or incompetence in the provision of applicable training; or</text> </paragraph> <paragraph num="(3)"> <text>The certified provider fails to meet any of the requirements of §§A—C of this regulation.</text> </paragraph> </paragraph> <paragraph num="E."> <text>In accordance with Business Occupations and Professions Article, §§12-306(c)(3) and 12-503, Annotated Code of Maryland, an individual appointed, designated, or employed by a county or local government as an inspector of mechanical cross connection/backflow prevention devices shall have completed a cross connection/backflow prevention certification program approved by the Board.</text> </paragraph> <paragraph num="F."> <text>Completion of an approved cross connection/backflow prevention certification program does not authorize an individual to:</text> <paragraph num="(1)"> <text>Install, test, or certify a mechanical cross connection/backflow prevention device unless the individual is licensed by the Board as a master or journey plumber in accordance with Business Occupations and Professions Article, §12-101(g) or (l), Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(2)"> <text>Assist in installing, testing, or certifying a mechanical cross connection/backflow prevention device unless the individual is licensed by the Board as an apprentice plumber in accordance with Business Occupations and Professions Article, §12-101(c), Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§12-207 and 12-306(c), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 22, 2013 (40:14 Md. R. 1174)</annotation> </annotations> </chapter> <chapter num="05" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Occupations and Professions Article, Title 12, Annotated Code of Maryland. and Business Regulation Article, §§2-106.9 and 2-106.10, Annotated Code of Maryland, In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Master Electricians, the State Board of Stationary Engineers, the State Board of Plumbing, and the State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board of Plumbing.</text> </paragraph> <paragraph num="(2)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a limited license and a reciprocal license.</text> </paragraph> <paragraph num="(3)"> <text>“Mechanical boards” means collectively the:</text> <paragraph num="(a)"> <text>State Board of Master Electricians;</text> </paragraph> <paragraph num="(b)"> <text>State Board of Stationary Engineers;</text> </paragraph> <paragraph num="(c)"> <text>State Board of Plumbing; and</text> </paragraph> <paragraph num="(d)"> <text>State Board of Heating, Ventilation, Air-Conditioning, and Refrigeration Contractors.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the mechanical boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the mechanical boards. Based on these calculations, the Board sets the following nonrefundable fees as of January 1, 2024:</text> <paragraph num="(1)"> <text>Application:</text> <paragraph num="(a)"> <text>Master Natural Gas Fitter — $56;</text> </paragraph> <paragraph num="(b)"> <text>Journey Natural Gas Fitter — $28;</text> </paragraph> <paragraph num="(c)"> <text>Apprentice Plumber/Gas Fitter — $16.50;</text> </paragraph> <paragraph num="(d)"> <text>Apprentice Natural Gas Fitter —$16.50; and</text> </paragraph> <paragraph num="(e)"> <text>Propane Gas Fitter Certificate — $28.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Original license and certificate:</text> <paragraph num="(a)"> <text>Master Plumber/Gas Fitter — $78;</text> </paragraph> <paragraph num="(b)"> <text>Journey Plumber/Gas Fitter — $39;</text> </paragraph> <paragraph num="(c)"> <text>Limited Master Plumber — $78;</text> </paragraph> <paragraph num="(d)"> <text>Limited Journey Plumber — $39;</text> </paragraph> <paragraph num="(e)"> <text>Master Natural Gas Fitter — $78;</text> </paragraph> <paragraph num="(f)"> <text>Journeyman Natural Gas Fitter — $39;</text> </paragraph> <paragraph num="(g)"> <text>Propane Gas Fitter — $39;</text> </paragraph> <paragraph num="(h)"> <text>Master Inspector — $50;</text> </paragraph> <paragraph num="(i)"> <text>Journeyman Inspector — $50; and</text> </paragraph> <paragraph num="(j)"> <text>Plumbing Inspector — $50.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>License and certificate renewal:</text> <paragraph num="(a)"> <text>Master Plumber/Gas Fitter — $78;</text> </paragraph> <paragraph num="(b)"> <text>Journey Plumber/Gas Fitter — 39;</text> </paragraph> <paragraph num="(c)"> <text>Apprentice Plumber/Gas Fitter —$16.50;</text> </paragraph> <paragraph num="(d)"> <text>Limited Master Plumber — $78;</text> </paragraph> <paragraph num="(e)"> <text>Limited Journey Plumber — $39;</text> </paragraph> <paragraph num="(f)"> <text>Master Natural Gas Fitter — $39;</text> </paragraph> <paragraph num="(g)"> <text>Journeyman Natural Gas Fitter — $28;</text> </paragraph> <paragraph num="(h)"> <text>Apprentice Natural Gas Fitter — $16.50;</text> </paragraph> <paragraph num="(i)"> <text>Propane Gas Fitter — $39;</text> </paragraph> <paragraph num="(j)"> <text>Master Inspector — $50;</text> </paragraph> <paragraph num="(k)"> <text>Journeyman Inspector — $50; and</text> </paragraph> <paragraph num="(l)"> <text>Plumbing Inspector — $50.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>License reactivation:</text> <paragraph num="(a)"> <text>Master Plumber/Gas Fitter — $56;</text> </paragraph> <paragraph num="(b)"> <text>Journey Plumber/Gas Fitter — $22.50;</text> </paragraph> <paragraph num="(c)"> <text>Limited Master Plumber — $56; and</text> </paragraph> <paragraph num="(d)"> <text>Limited Journey Plumber — $22.50.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Miscellaneous: Letter of Good Standing — $50.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Secretary and the mechanical boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the mechanical boards. Based on these calculations, the Board sets the following nonrefundable fees as of January 1, 2025:</text> <paragraph num="(1)"> <text>Application:</text> <paragraph num="(a)"> <text>Master Natural Gas Fitter — $63;</text> </paragraph> <paragraph num="(b)"> <text>Journey Natural Gas Fitter — $31.50;</text> </paragraph> <paragraph num="(c)"> <text>Apprentice Plumber/Gas Fitter — $18.50;</text> </paragraph> <paragraph num="(d)"> <text>Apprentice Natural Gas Fitter — $18.50; and</text> </paragraph> <paragraph num="(e)"> <text>Propane Gas Fitter Certificate — $31.50.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Original license and certificate:</text> <paragraph num="(a)"> <text>Master Plumber/Gas Fitter — $87.50;</text> </paragraph> <paragraph num="(b)"> <text>Journey Plumber/Gas Fitter — $43.50;</text> </paragraph> <paragraph num="(c)"> <text>Limited Master Plumber — $87.50;</text> </paragraph> <paragraph num="(d)"> <text>Limited Journey Plumber — $43.50;</text> </paragraph> <paragraph num="(e)"> <text>Master Natural Gas Fitter — $87.50;</text> </paragraph> <paragraph num="(f)"> <text>Journeyman Natural Gas Fitter — $43.50;</text> </paragraph> <paragraph num="(g)"> <text>Propane Gas Fitter — $43.50.</text> </paragraph> <paragraph num="(h)"> <text>Master Inspector — $56;</text> </paragraph> <paragraph num="(i)"> <text>Journeyman Inspector — $56; and</text> </paragraph> <paragraph num="(j)"> <text>Plumbing Inspector — $56.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>License and certificate renewal:</text> <paragraph num="(a)"> <text>Master Plumber/Gas Fitter — $87.50;</text> </paragraph> <paragraph num="(b)"> <text>Journey Plumber/Gas Fitter — $43.50;</text> </paragraph> <paragraph num="(c)"> <text>Apprentice Plumber/Gas Fitter — $18.50;</text> </paragraph> <paragraph num="(d)"> <text>Limited Master Plumber — $87.50;</text> </paragraph> <paragraph num="(e)"> <text>Limited Journey Plumber — $43.50;</text> </paragraph> <paragraph num="(f)"> <text>Master Natural Gas Fitter — $43.50;</text> </paragraph> <paragraph num="(g)"> <text>Journeyman Natural Gas Fitter — $31.50;</text> </paragraph> <paragraph num="(h)"> <text>Apprentice Natural Gas Fitter — $18.50;</text> </paragraph> <paragraph num="(i)"> <text>Propane Gas Fitter — $43.50;</text> </paragraph> <paragraph num="(j)"> <text>Master Inspector — $56;</text> </paragraph> <paragraph num="(k)"> <text>Journeyman Inspector — $56; and</text> </paragraph> <paragraph num="(l)"> <text>Plumbing Inspector — $56.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>License reactivation:</text> <paragraph num="(a)"> <text>Master Plumber/Gas Fitter — $63;</text> </paragraph> <paragraph num="(b)"> <text>Journey Plumber/Gas Fitter — $25;</text> </paragraph> <paragraph num="(c)"> <text>Limited Master Plumber — $63; and</text> </paragraph> <paragraph num="(d)"> <text>Limited Journey Plumber — $25.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Miscellaneous Letter of Good Standing — $50.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An applicant for an appropriate license or certification examination shall pay the examination fee directly to the testing service chosen by the Board to develop or administer the examination, as such fees are established by the testing service selected by the Board.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§12-207, 12-209, 12-303, 12-304.1, 12-306, 12-308, and 12-503; Business Regulation Article, §§2-106.9 and 2-106.10; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 27, 2018 (45:17 Md. R. 803)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 4, 2024 (51:4 Md. R. 202)</annotation> </annotations> </chapter> </subtitle> <subtitle num="21" heading="Board of Architects"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <text>The definitions set forth in Business Occupations and Professions Article, §3-101, Annotated Code of Maryland, apply in this chapter unless otherwise noted.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Relationship with the National Council of Architectural Registration Boards (NCARB)."> <paragraph num="A."> <text>The Board shall:</text> <paragraph num="(1)"> <text>Maintain membership in the National Council of Architectural Registration Boards (NCARB) and pay the necessary costs for membership;</text> </paragraph> <paragraph num="(2)"> <text>Keep up-to-date information on the rules, appendices, and policies adopted from time to time by NCARB; and</text> </paragraph> <paragraph num="(3)"> <text>Cooperate with NCARB in rendering assistance necessary to aid in establishing uniform standards of professional qualifications throughout the United States and its territories.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Board has adopted and shall continue to use, until further notice, the:</text> <paragraph num="(1)"> <text>NCARB examination and NCARB grading procedures; and</text> </paragraph> <paragraph num="(2)"> <text>Examination appeal process recommended by NCARB.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements for Licensure."> <text>In order to qualify for a license, an applicant shall satisfy the Board that the applicant possesses the proper qualifications to engage in the practice of architecture in the State as set forth in Business Occupations and Professions Article, §3-303, Annotated Code of Maryland, including, but not limited to, the following:</text> <paragraph num="A."> <text>Be of good character and reputation;</text> </paragraph> <paragraph num="B."> <text>Fulfill the educational requirements set forth in Regulation .04 of this chapter;</text> </paragraph> <paragraph num="C."> <text>Complete the experience requirements set forth in Regulation .05 of this chapter; and</text> </paragraph> <paragraph num="D."> <text>Pass all parts of the Architect Registration Examination (ARE) more particularly described in Regulation .06 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Educational Requirements."> <paragraph num="A."> <text>To qualify for a license, an applicant shall meet the educational requirements set forth in Business Occupations and Professions Article, §3-303(c), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>If an applicant does not meet the professional education degree requirements referenced in §A of this regulation, an applicant shall comply with the education requirements by either work experience or academic training, or a combination of both, in accordance with the following Education Equivalency Matrix:</text> <paragraph num="1."> <text>Combinations of Educational Experience not explicitly stated in the Education Equivalency Matrix shall be considered on a case-by-case basis by the Board.</text> </paragraph> <paragraph num="2."> <text>Work experience shall be directly related to architectural work and be completed under the direct supervision of a licensed architect. The work experience shall be full-time, a minimum of 40 hours per week. The work experience shall be completed in the office of a licensed Architect except that 80% of the required work experience may be completed as an employee of an organization other than the office of a licensed Architect if the work experience is directly related to architectural work and is completed under the direct supervision of a licensed Architect. All work experience must be documented on the Board’s ERC Forms.</text> </paragraph> <paragraph num="3."> <text>No credit is given.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Architectural Experience Program (AXP) Requirements."> <text>An applicant shall complete the training requirements of the Architectural Experience Program (AXP) as outlined in the appropriate NCARB guidelines.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Architect Registration Examination (ARE) Requirements."> <paragraph num="A."> <text>The Board shall use the Architect Registration Examination (ARE) prepared by the National Council of Architectural Registration Boards (NCARB).</text> </paragraph> <paragraph num="B."> <text>The Board has followed and shall continue to follow, until further notice, appropriate NCARB guidelines pertaining to the ARE methodologies and grading procedures.</text> </paragraph> <paragraph num="C."> <text>In order to be eligible for admission to the ARE, an applicant shall meet the following requirements:</text> <paragraph num="(1)"> <text>Satisfy the educational requirements set forth in Regulation .04 of this chapter;</text> </paragraph> <paragraph num="(2)"> <text>Be enrolled in the Architectural Experience Program (AXP) and provide the Board with NCARB-issued verification of enrollment; and</text> </paragraph> <paragraph num="(3)"> <text>Establish to the Board's satisfaction, by at least three character references from other architects, employers, community leaders, or professional societies, that the applicant is an individual of good character and reputation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Board reserves the right at any time to require that an applicant produce evidence acceptable to the Board of the applicant’s enrollment in the AXP as a condition of taking the ARE.</text> </paragraph> <paragraph num="E."> <text>Certification by NCARB that an applicant is enrolled in the AXP is prima facie evidence of the enrollment.</text> </paragraph> <paragraph num="F."> <text>An application to take the ARE shall be made on the form acceptable to the Board.</text> </paragraph> <paragraph num="G."> <text>Fees established by the Board and set forth in COMAR 09.21.04 shall accompany all applications, unless otherwise specified.</text> </paragraph> <paragraph num="H."> <text>Transfer of Grades.</text> <paragraph num="(1)"> <text>The Board may accept the transfer of grades for any part of the ARE from the state of examination.</text> </paragraph> <paragraph num="(2)"> <text>The request for transfer shall be made at the time of application to sit for the examination in Maryland.</text> </paragraph> <paragraph num="(3)"> <text>It is the responsibility of the applicant to request the transferring state to transfer that applicant's grades and file to the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Licensure."> <paragraph num="A."> <text>After the applicant has satisfied the Board, and, if applicable, the National Council of Architectural Registration Boards (NCARB), that the applicant possesses the proper qualifications to engage in the practice of architecture in the State, including, but not limited to, the fulfillment of the educational requirements, successful completion of all parts of the Architect Registration Examination (ARE), and completion of the Architectural Experience Program (AXP), and upon payment of the licensing fee, the Board shall issue to the applicant:</text> <paragraph num="(1)"> <text>A certificate of licensure; and</text> </paragraph> <paragraph num="(2)"> <text>A license card.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The certificate of licensure and the license card issued by the Board are not transferable.</text> </paragraph> <paragraph num="C."> <text>The Board shall issue a replacement for a lost, destroyed, or mutilated certificate of licensure upon filing by the licensee with the Board of a signed statement setting forth the facts incident to the loss, destruction, or mutilation. The statement shall be accompanied by the proper fee set by the Board.</text> </paragraph> <paragraph num="D."> <text>Use of the certificate of licensure or of a professional seal as evidence of licensure is prohibited unless accompanied by a valid and unexpired license card.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §3-208(a)(1), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 adopted April 9, 1973 and amended effective June 11, 1975 (2:13 Md. R. 929)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective July 30, 1984 (11:15 Md. R. 1330)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended as an emergency provision effective January 2, 1985 (12:2 Md. R. 131); emergency status expired May 2, 1985; adopted permanently effective September 9, 1985 (12:18 Md. R. 1765)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective April 2, 1990 (17:6 Md. R. 740)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective February 13, 1984 (11:3 Md. R. 199); April 2, 1990 (17:6 Md. R. 740)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended effective March 10, 1986 (13:5 Md. R. 542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective October 10, 1983 (10:20 Md. R. 1786); April 2, 1990 (17:6 Md. R. 740)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04E adopted effective February 13, 1984 (11:3 Md. R. 199); repealed effective July 30, 1984 (11:15 Md. R. 1330)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04E adopted effective April 8, 1985 (12:7 Md. R. 701)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04E amended effective August 21, 1989 (16:16 Md. R. 1749)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04F adopted effective December 29, 1986 (13:26 Md. R. 2806)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04G adopted effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04H amended effective March 7, 1988 (15:5 Md. R. 617)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective June 11, 1975 (2:13 Md. R. 929); amended effective June 16, 1978 (5:12 Md. R. 966)</annotation> <annotation type="History" subtype="Administrative History">Regulations .06—.07 adopted April 9, 1973 and amended effective June 11, 1975 (2:13 Md. R. 929)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 adopted effective November 27, 1974 (1:5 Md. R. 240)</annotation> <annotation type="History" subtype="Administrative History">Regulations .09—.10 adopted April 9, 1973 and amended effective June 11, 1975 (2:13 Md. R. 929)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective March 28, 1983 (10:6 Md. R. 555)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A, C amended effective August 25, 1978 (5:17 Md. R. 1329)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective December 30, 1985 (12:26 Md. R. 2544)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B-1 adopted effective March 1, 1982 (9:4 Md. R. 331)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09C amended effective November 23, 1981 (8:23 Md. R. 1855); March 7, 1988 (15:5 Md. R. 617); May 27, 1991 (18:10 Md. R. 1116)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09D amended effective March 1, 1982 (9:4 Md. R. 331); March 7, 1988 (15:5 Md. R. 617); May 27, 1991 (18:10 Md. R. 1116); June 6, 1994 (21:11 Md. R. 950)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09D-1—D-8 amended effective March 7, 1988 (15:4 Md. R. 617)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09G—I, M amended effective February 13, 1984 (11:3 Md. R. 199)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09N adopted effective March 7, 1988 (15:5 Md. R. 617)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.05 repealed and new Regulations .01, .01-1, .02, .03, .04, .04-1, and .05 adopted effective July 28, 1997 (24:15 Md. R. 1062)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04F amended effective December 28, 1998 (25:26 Md. R. 1921)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 repealed and new Regulation .06 adopted effective May 5, 1997 (24:9 Md. R. 656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective October 29, 2001 (28:21 Md. R. 1856)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 repealed and new Regulation .07 adopted effective May 5, 1997 (24:9 Md. R. 656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07-1 adopted effective May 5, 1997 (24:9 Md. R. 656)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 repealed and new Regulation .09 adopted as an emergency provision effective June 15, 1997 (24:13 Md. R. 928); adopted permanently effective October 20, 1997 (24:21 Md. R. 1449)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A amended effective January 8, 2001 (27:26 Md. R. 2358)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A amended as an emergency provision effective December 11, 2000 (28:1 Md. R. 20); amended permanently effective April 16, 2001 (28:7 Md. R. 689)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 repealed as an emergency provision effective July 1, 2003 (30:14 Md. R. 932); repealed permanently effective November 10, 2003 (30:22 Md. R. 1579)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 1, 2003 (30:17 Md. R. 1203)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D amended effective September 25, 2006 (33:19 Md. R. 1559); July 2, 2007 (34:13 Md. R. 1151)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05F amended effective April 11, 2005 (32:7 Md. R. 679); April 7, 2008 (35:7 Md. R. 748)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.06 repealed and new Regulations .01—.07 adopted effective November 30, 2009 (36:24 Md. R. 1858)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective April 25, 2016 (43:8 Md. R. 497); July 29, 2019 (46:15 Md. R. 654)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective July 29, 2019 (46:15 Md. R. 654)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective July 29, 2019 (46:15 Md. R. 654)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective July 29, 2019 (46:15 Md. R. 654)</annotation> </annotations> </chapter> <chapter num="02" heading="Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Rules of Conduct."> <paragraph num="A."> <text>Competence.</text> <paragraph num="(1)"> <text>In practicing architecture, an architect shall act with reasonable care and competence, and shall apply the technical knowledge and skills which are ordinarily applied by architects of good standing, practicing in the same locality.</text> </paragraph> <paragraph num="(2)"> <text>In designing a project, an architect shall take into account all applicable State and municipal building laws and regulations. While an architect may rely on the advice of attorneys, engineers, and other qualified individuals as to the intent and meaning of those regulations, once having obtained this advice, an architect may not knowingly design a project in violation of those laws and regulations.</text> </paragraph> <paragraph num="(3)"> <text>An architect shall undertake to perform professional services only when the architect, together with those whom the architect may engage as consultants, are qualified by education, training, and experience in the specific technical areas involved.</text> </paragraph> <paragraph num="(4)"> <text>An individual may not practice architecture if, in the Board's judgment, the individual's professional competence is substantially impaired by physical or mental disabilities.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Conflict of Interest.</text> <paragraph num="(1)"> <text>An architect may not accept compensation for services from more than one party on a project, unless the circumstances are fully disclosed and agreed to, in writing, by all interested parties.</text> </paragraph> <paragraph num="(2)"> <text>If an architect has a business association or direct or indirect financial interest which is substantial enough to influence the architect's judgment in connection with the architect's performance of professional services, the architect shall fully disclose in writing to the architect's client or employer the nature of the business association or financial interest. If the client or employer objects to the association or financial interest, the architect shall either terminate the association or interest, or offer to give up the commission or employment.</text> </paragraph> <paragraph num="(3)"> <text>An architect may not solicit or accept compensation from material or equipment suppliers in return for specifying or endorsing their products.</text> </paragraph> <paragraph num="(4)"> <text>When acting as the interpreter of building contract documents and the judge of contract performance, an architect shall render decisions impartially, not favoring either party to the contract.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Full Disclosure.</text> <paragraph num="(1)"> <text>An architect, making public statements on architectural questions, shall disclose when the architect is being compensated for making the statement.</text> </paragraph> <paragraph num="(2)"> <text>An architect shall accurately represent to a prospective or existing client or employer the scope of the architect's qualifications and the scope of the architect's responsibility in connection with work for which the architect is claiming credit.</text> </paragraph> <paragraph num="(3)"> <text>If, in the course of the architect's work on a project, an architect becomes aware of a decision taken by the architect's employer or client, against the architect's advice, which violates applicable State, county, or municipal building laws and regulations and which will, in the architect's judgment, materially affect adversely the safety to the public of the finished project, the architect shall:</text> <paragraph num="(a)"> <text>Report the decision to the local building inspector or other public official charged with the enforcement of the applicable State, county, or municipal building laws and regulations;</text> </paragraph> <paragraph num="(b)"> <text>Refuse to consent to the decision; and</text> </paragraph> <paragraph num="(c)"> <text>In circumstances when the architect reasonably believes that other decisions will be taken notwithstanding the objection, terminate the services with reference to the project.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>In the case of a termination in accordance with §C(3)(c) of this regulation, the architect has no liability to the architect's client on account of the termination.</text> </paragraph> <paragraph num="(5)"> <text>An architect may not deliberately make a materially false statement or fail deliberately to disclose a material fact requested in connection with the architect's application for licensure or renewal of licensure.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Compliance with Laws.</text> <paragraph num="(1)"> <text>In the conduct of architectural practice, an architect may not knowingly violate any State or federal criminal laws.</text> </paragraph> <paragraph num="(2)"> <text>An architect shall comply with the licensing laws and regulations governing architectural professional practice in this or other jurisdictions in which the architect practices architecture.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Professional Conduct.</text> <paragraph num="(1)"> <text>An architect may not either offer or make any payment or gift to a government official, whether elected or appointed, with the intent of influencing the official's judgment in connection with a prospective or existing project in which the architect is interested.</text> </paragraph> <paragraph num="(2)"> <text>An architect may not either offer or make any gifts, other than gifts of nominal value, including, for example, reasonable entertainment and hospitality, with the intent of influencing the judgment of an existing prospective client in connection with a project in which the architect is interested.</text> </paragraph> <paragraph num="(3)"> <text>An architect may not engage in conduct involving fraud or wanton disregard of the rights of others.</text> </paragraph> <paragraph num="(4)"> <text>An architect may not assist the application for licensure of a person known by the architect to be unqualified in respect to education, training, experience, or character.</text> </paragraph> <paragraph num="(5)"> <text>An architect possessing knowledge of a violation of these regulations by another architect shall report this knowledge to the Board.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Failure to Respond.</text> <paragraph num="(1)"> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond within 30 days of the date of mailing.</text> </paragraph> <paragraph num="(2)"> <text>The Board shall send a written communication by first-class mail to the last known address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="(3)"> <text>It is a responsibility of an applicant or licensee to notify the Board in writing if there has been a change in the applicant’s or licensee’s address.</text> </paragraph> <paragraph num="(4)"> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §3-311(a)(l)(iv), Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Names of Entities."> <paragraph num="A."> <text>An individual, a partnership, a corporation, a limited liability company, or any other entity through which architecture is practiced, may not use an impersonal name unless the name complies with appropriate requirements set forth in Corporations and Associations Article, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 3, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>A misleading designation may not be used or implied in the name of a sole proprietorship, partnership, corporation, limited liability company, or other entity offering architectural services in the State. However, this does not prevent the use of the name of a deceased or retired partner, corporate officer, director, or member in the name of the entity.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Sealing Requirements."> <paragraph num="A."> <text>A licensee may sign or seal plans, specifications, drawings, reports, or other documents that are required to be signed and sealed pursuant to Business Occupations and Professions Article, §3-501, Annotated Code of Maryland, only if the following requirements are met:</text> <paragraph num="(1)"> <text>The licensee is competent in the subject matter of those documents by virtue of education or experience, or both; and</text> </paragraph> <paragraph num="(2)"> <text>The licensee either:</text> <paragraph num="(a)"> <text>Personally prepared the documents; or</text> </paragraph> <paragraph num="(b)"> <text>Approved the documents.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>For purposes of §A(2)(a) and (b) of this regulation and Business Occupations and Professions Article, §3-501, Annotated Code of Maryland, “approval” means:</text> <paragraph num="(1)"> <text>Direct knowledge and responsible control over the content of technical submissions during their preparation; and</text> </paragraph> <paragraph num="(2)"> <text>Substantive review and authority to make revisions with regard to the preparation of submissions described in these regulations.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In addition, a licensee may sign or seal, after review and inspection, the following:</text> <paragraph num="(1)"> <text>Portions of the professional work that are not required by Business Occupations and Professions Article, Title 3, Annotated Code of Maryland, to be prepared or approved by an architect, only if the architect reviewed and adopted in whole or in part those portions, has coordinated their preparation, and has integrated them into the project; and</text> </paragraph> <paragraph num="(2)"> <text>Prototype standard drawings prepared by an out-of-State architect licensed in any United States jurisdiction, in connection with the design of a commercial chain establishment.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The licensee who signs and seals the documents in accordance with the requirements set forth in these regulations shall be considered to be the architect of record with regard to these documents.</text> </paragraph> <paragraph num="E."> <text>Signature.</text> <paragraph num="(1)"> <text>For the purposes of this regulation, the term “signature” means:</text> <paragraph num="(a)"> <text>A handwritten signature in permanent ink containing the name of the person who applied it; or</text> </paragraph> <paragraph num="(b)"> <text>For electronic or digital documents, an electronic authentication process attached to or logically associated with the document.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A digital signature described in this section shall satisfy the following criteria:</text> <paragraph num="(a)"> <text>It must contain an identification unique to a licensee using it;</text> </paragraph> <paragraph num="(b)"> <text>It must be under the exclusive control of the licensee using it;</text> </paragraph> <paragraph num="(c)"> <text>It must be verifiable; and</text> </paragraph> <paragraph num="(d)"> <text>It is linked to the document in such a manner that any subsequent modifications to the document will result in the document no longer being considered prepared or approved by the licensee.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Once the digital signature is applied to the document, the document shall be available in a View Format only if the document is to be transmitted electronically.</text> </paragraph> <paragraph num="G."> <text>Nothing in this regulation is intended to modify any of the requirements applicable to professional certification or titleblock more specifically set forth in Regulation 09.21.02.04.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Titleblock Rules."> <paragraph num="A."> <text>An architectural entity shall incorporate a titleblock on all drawings and other documents required to be signed and sealed pursuant to Business Occupations and Professions Article, §3-501, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>A licensee may not remove a titleblock from any print or reproduction of the documents described in these regulations.</text> </paragraph> <paragraph num="C."> <text>The name of the entity shall appear in the titleblock, either as a partnership, corporation, limited liability company, or other appropriate entity. In addition, the titleblock shall contain a date, printed name, signature, and seal of one of the directors of a corporation, general partners of a partnership, or members of a limited liability company, who prepared or approved the documents in accordance with these regulations.</text> </paragraph> <paragraph num="D."> <text>The directors of a corporation, partners of a partnership, or members of a limited liability company through which architecture is practiced, may designate another employee of the entity to sign and seal the documents in accordance with the requirements set forth in these regulations, if the designee:</text> <paragraph num="(1)"> <text>Is licensed in the State to practice architecture; and</text> </paragraph> <paragraph num="(2)"> <text>Prepared or approved the documents for a particular project in accordance with these regulations.</text> </paragraph> </paragraph> <paragraph num="E."> <text>In addition, the titleblock shall contain the following certification:</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§3-205, 3-208(a)(1), and 3-501, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 recodified from COMAR 09.21.01.05—.07-1 effective September 1, 2003 (30:17 Md. R. 1203)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01F adopted effective June 15, 2009 (36:12 Md. R. 836)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01F amended effective February 25, 2019 (46:4 Md. R. 190)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E—G adopted effective January 19, 2015 (42:1 Md. R. 18)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E amended effective July 16, 2018 (45:14 Md. R. 696)</annotation> </annotations> </chapter> <chapter num="03" heading="Hearing Regulations"> <regulation prefix="Regulation" num=".01" heading="Hearings Before the Board."> <paragraph num="A."> <text>Except as otherwise provided in this chapter, all contested case hearings before the Board are governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>The administrative unit shall send the hearing notice described in COMAR 09.01.02.07B not later than 30 days before the hearing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Hearings Delegated to the Office of Administrative Hearings."> <text>All contested case hearings delegated to the Office of Administrative Hearings are governed by COMAR 09.01.03.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §3-208(a)(1), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 1, 2003 (30:17 Md. R.1203)</annotation> </annotations> </chapter> <chapter num="04" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§2-106.1 and 2-106.2, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 3, Annotated Code of Maryland. In particular, it is intended to set various fees to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Architects, the State Board of Certified Interior Designers, the State Board of Examiners of Landscape Architects, the State Board for Professional Engineers, and the State Board for Professional Land Surveyors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board of Architects.</text> </paragraph> <paragraph num="(2)"> <text>“Design boards” means collectively the:</text> <paragraph num="(a)"> <text>Board;</text> </paragraph> <paragraph num="(b)"> <text>State Board of Certified Interior Designers;</text> </paragraph> <paragraph num="(c)"> <text>State Board of Examiners of Landscape Architects;</text> </paragraph> <paragraph num="(d)"> <text>State Board for Professional Engineers; and</text> </paragraph> <paragraph num="(e)"> <text>State Board for Professional Land Surveyors.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a reciprocal license.</text> </paragraph> <paragraph num="(4)"> <text>“Permit fee” means the fee paid in connection with the issuance and renewal of a permit.</text> </paragraph> <paragraph num="(5)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the design boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the design boards. Based on these calculations, the Board sets the following fees:</text> <paragraph num="(1)"> <text>License fee — $86;</text> </paragraph> <paragraph num="(2)"> <text>Permit fee — $112;</text> </paragraph> <paragraph num="(3)"> <text>Nonrefundable initial application fee payable in connection with:</text> <paragraph num="(a)"> <text>An application for permit — $39;</text> </paragraph> <paragraph num="(b)"> <text>An application for license by reciprocity — $56;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Reinstatement fee — $112.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Retired Status. The Board sets the fee for a retired status license at $56.</text> </paragraph> <paragraph num="C."> <text>An applicant shall pay the examination fees directly to NCARB, as these fees are established by NCARB.</text> </paragraph> <paragraph num="D."> <text>Effective October 1, 2009, an applicant shall pay directly to NCARB or its designee a security and development fee per each section of the ARE, as such fee is established by NCARB.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§3-101, 3-208, 3-209, 3-304, 3-306, 3-307, 3-309, 3-309.1, 3-309.2, 3-310, 3-405, 3-406, and 3-408; Business Regulation Article, §§2-106.1 and 2-106.2; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 adopted as an emergency provision effective July 1, 2003 (30:14 Md. R. 932); adopted permanently effective November 10, 2003 (30:22 Md. R. 1578)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended as an emergency provision effective October 1, 2009 (36:23 Md. R. 1815); amended permanently effective January 14, 2010 (37:1 Md. R. 14)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective November 14, 2011 (38:23 Md. R. 1420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective April 9, 2007 (34:7 Md. R. 698); November 1, 2010 (37:22 Md. R. 1553); January 20, 2014 (41:1 Md. R. 13); May 27, 2024 (51:10 Md. R. 525)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended as an emergency provision effective July 1, 2005 (32:15 Md. R. 1314); amended permanently effective November 7, 2005 (32:22 Md. R. 1756); October 24, 2016 (43:21 Md. R. 1165); May 27, 2024 (51:10 Md. R. 525)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended effective April 24, 2017 (44:8 Md. R. 402)</annotation> </annotations> </chapter> <chapter num="05" heading="Continuing Professional Competency Requirements"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The State legislature has determined that, in order to safeguard the health, safety, and welfare of the public, licensed architects shall comply with the continuing professional competency requirements as a prerequisite for the renewal of a license.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Authorized activities” means professional development activities that:</text> <paragraph num="(a)"> <text>Meet the criteria set forth in Regulation .04 of this chapter; and</text> </paragraph> <paragraph num="(b)"> <text>Are approved and accepted for credit by the American Institute of Architects (AIA), the National Council of Architectural Registration Boards (NCARB), or the Board.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Board” means the State Board of Architects.</text> </paragraph> <paragraph num="(3)"> <text>“Health, safety, and welfare subjects (HSW)” means content areas identified as such by NCARB or AIA, as those content areas may be updated or otherwise amended from time to time.</text> </paragraph> <paragraph num="(4)"> <text>“Learning unit (LU)” means one continuous instructional hour spent attending and completing the professional development activity in health, safety, and welfare subjects. One LU means a minimum of 50 minutes of face-to-face or distance learning instruction per 60-minute hour and is equivalent to a comparable single educational unit that may be utilized by AIA or NCARB.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements."> <paragraph num="A."> <text>A licensee shall complete 12 LUs during each of the 2 preceding calendar years that occur prior to the calendar year in which an applicable license term is set to expire.</text> </paragraph> <paragraph num="B."> <text>As an alternative to §A of this regulation, a licensee shall complete 24 LUs during the 2-year term of the license ending on the date that the license term is set to expire.</text> </paragraph> <paragraph num="C."> <text>If a licensee chooses the calendar year method, as described in §A of this regulation, the LUs from each calendar year shall be considered separately. A licensee may not carry forward any LUs earned in excess of the annual requirement of 12 LUs to any following calendar year.</text> </paragraph> <paragraph num="D."> <text>If a licensee chooses to complete 24 LUs during the 2-year term of the license, as described in §B of this regulation, the licensee may not carry forward any LUs earned in excess of the required 24 LUs to the following 2-year term of the license.</text> </paragraph> <paragraph num="E."> <text>LUs used to meet the requirements described in §A of this regulation may not also be used in the future to meet the requirements described in §B of this regulation. In a similar way, LUs used to meet the requirements described in §B of this regulation may not also be used in the future to meet the requirements of §A of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Professional Development Activities."> <paragraph num="A."> <text>A professional development activity shall meet the following criteria:</text> <paragraph num="(1)"> <text>Be a post-licensing educational activity approved by the Board in which at least 75 percent of activity's content and instructional time is dedicated to health, safety, and welfare subjects, as they relate to the practice of architecture.</text> </paragraph> <paragraph num="(2)"> <text>Expand the knowledge of health, safety, and welfare subjects and offer a skill set geared towards maintaining and enhancing professional competency of licensed architects;</text> </paragraph> <paragraph num="(3)"> <text>Offer learning experiences relevant to current or future architectural practices as they relate to the public health, safety, and welfare; and</text> </paragraph> <paragraph num="(4)"> <text>Be presented, led, or taught at a professional level by well-qualified professionals in an environment conducive to learning and appropriate for accomplishing learning objectives described in these regulations.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A professional development activity shall provide for clear outcome measures in the form of a narrative, quiz, test, questions and answers, project, or any other appropriate form or method.</text> </paragraph> <paragraph num="C."> <text>The learning content of any professional development activity shall be unbiased, evidence based, and focused on increasing knowledge. Activities shall not be sales or marketing events and shall not promote or market products or services. Activities shall only contain material relevant to the program learning objectives and the desired outcomes during the instructional portion of the activity.</text> </paragraph> <paragraph num="D."> <text>A professional development activity may be presented by the following methods, as defined by NCARB:</text> <paragraph num="(1)"> <text>Live in-person programs;</text> </paragraph> <paragraph num="(2)"> <text>Live online programs;</text> </paragraph> <paragraph num="(3)"> <text>On demand e-learning or printed programs;</text> </paragraph> <paragraph num="(4)"> <text>Nano learning or blended programs; or</text> </paragraph> <paragraph num="(5)"> <text>Any other formats approved by the Board.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Self-reported professional development activities are not eligible for LU credit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Submissions for Approval to Present a Professional Development Activity."> <paragraph num="A."> <text>Entities or individuals, including, but not limited to, professional firms conducting in-house presentations, may submit a specific professional development activity for review and approval by the Board. Each professional development activity shall be designed to be presented to other architects for LU credit.</text> </paragraph> <paragraph num="B."> <text>During the application process, the Board will evaluate the suitability of the activity and its presenter.</text> </paragraph> <paragraph num="C."> <text>The presenter shall submit adequate information to enable the Board to evaluate the professional development activity. The activity shall be developed by individuals or entities having demonstrated verifiable expertise in the subject matter. Expertise may be demonstrated through practical experience or education or both. An architect holding an active license shall be consulted in the initial development of a professional development activity or substantive changes to an activity.</text> </paragraph> <paragraph num="D."> <text>At a minimum, the Board requires the following information to be submitted with each application for approval:</text> <paragraph num="(1)"> <text>The types and descriptions of proposed or existing programs intended to be offered;</text> </paragraph> <paragraph num="(2)"> <text>The number of LUs to be awarded for each activity;</text> </paragraph> <paragraph num="(3)"> <text>The identity and qualifications of the instructors;</text> </paragraph> <paragraph num="(4)"> <text>The explanation and sample of outcome measures; and</text> </paragraph> <paragraph num="(5)"> <text>The sample course outlines detailing the content of activity to be offered.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The Board may approve an activity only if it meets all of the following criteria:</text> <paragraph num="(1)"> <text>The activity's main content areas are in the health, safety, and welfare subjects; and</text> </paragraph> <paragraph num="(2)"> <text>The activity enables a licensee to further the licensee's competency and professionalism as a licensed architect.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The Board may suspend or revoke its approval of an activity if, in the judgment of the Board, the intent of Business Occupations and Professions Article, §3-309.1, Annotated Code of Maryland, is no longer served or a presenter materially changed the content of the activity without the prior written approval of the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Sources of Credit and Determination of Units."> <paragraph num="A."> <text>A licensee may earn the LUs by any appropriate methods that may from time to time be approved by the Board.</text> </paragraph> <paragraph num="B."> <text>A licensee may earn the applicable number of LUs in accordance with the following conversion schedule:</text> <paragraph num="(1)"> <text>1 college credit hour — 5 LUs;</text> </paragraph> <paragraph num="(2)"> <text>1 contact hour of professional development work, or professional or technical presentations made at meetings, conventions, or conferences — 1 LU; and</text> </paragraph> <paragraph num="(3)"> <text>Subject to exclusions set forth in this regulation, teaching of, lecturing on, or instructing on architectural subjects, subject to the following limitations:</text> <paragraph num="(a)"> <text>For the first presentation, a presenter may claim credit for the activity that is equivalent to two times the number of LUs awarded by the Board for the activity; and</text> </paragraph> <paragraph num="(b)"> <text>Unless the presentation has been substantially modified and updated for subsequent presentations, a presenter may claim only the same number of credits as awarded by the Board to the recipients of the qualifying activity.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Record Keeping."> <paragraph num="A."> <text>Responsibility to Maintain Records.</text> <paragraph num="(1)"> <text>The responsibility of maintaining records to be used to support the continuing professional competency credit claim is the responsibility of each licensee.</text> </paragraph> <paragraph num="(2)"> <text>A licensee shall maintain the records for a period of at least 6 years from the date of completion of the qualifying program.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Documentation referred to in §A(2) of this regulation, includes, but is not limited to, the following:</text> <paragraph num="(1)"> <text>Certificates of participation;</text> </paragraph> <paragraph num="(2)"> <text>Transcripts; or</text> </paragraph> <paragraph num="(3)"> <text>Any other appropriate evidence acceptable to the Board.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A printed program agenda, program marketing materials, or an event program are not considered sufficient evidence of participation in a professional development activity.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Reporting Requirements for License Renewal."> <paragraph num="A."> <text>A licensee shall attest on the license renewal form to the fact that the licensee has completed all applicable CPC requirements set forth in this chapter by the last day of the following:</text> <paragraph num="(1)"> <text>The calendar year preceding the year in which the licensee's individual license is to be renewed for the following 2-year licensing term; or</text> </paragraph> <paragraph num="(2)"> <text>The 24-month period of the year in which the licensee's individual license is to be renewed for the following 2-year licensing term.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Board at its discretion may audit randomly selected licensees to ascertain compliance with CPC requirements.</text> </paragraph> <paragraph num="C."> <text>Licensees who are audited shall provide within 30 days of receipt of electronic notice of audit from the Board any documentation that may be required by the Board to complete the audit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Extenuating Circumstances or Exceptions."> <paragraph num="A."> <text>Notwithstanding other requirements set forth in this chapter, a licensee who is granted an initial license may renew a license for the next full term without complying with the CPC requirements if:</text> <paragraph num="(1)"> <text>The licensee has been granted an initial license and is renewing a license for the next full term; and</text> </paragraph> <paragraph num="(2)"> <text>The licensee qualifies under the criteria set forth in Business Regulation Article, Title 2.5, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Compliance Exception Request.</text> <paragraph num="(1)"> <text>If a licensee is unable to comply with all or part of CPC requirements due to physical disability, illness, or other extenuating circumstances, the licensee may request the Board grant a one-time exception from compliance (Compliance Exception Request), provided that the Compliance Exception Request is filed with the Board at least 60 days prior to the licensee’s license expiration date.</text> </paragraph> <paragraph num="(2)"> <text>If a Compliance Exception Request is based on physical disability or illness, the licensee must provide the Board with written documentation acceptable to the Board supporting the basis for the request.</text> </paragraph> <paragraph num="(3)"> <text>A Compliance Exception Request must be accompanied by a detailed proposal acceptable to the Board indicating the licensee’s intended plan of compliance with CPC requirements within no later than 12 months after the license expiration date. Failure to provide the acceptable plan of compliance within the time period specified in this regulation may result in the Board’s administrative dismissal of the Compliance Exception Request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Failure to Meet the CPC Requirements."> <text>In the event the licensee does not respond to the Board’s notice or otherwise fails to comply with the CPC requirements set forth in this chapter, the Board, subject to the hearing provisions of Business Occupations and Professions Article, §3–313, Annotated Code of Maryland, may take any and all available disciplinary actions under Business Occupations and Professions Article, §3–311, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".11" heading="Reinstatement of License."> <text>A licensee who wishes to reinstate a license after failing to complete the CPC requirements shall fulfill past due CPC requirements for the immediately preceding CPC reporting periods up to 24 LUs and pay all applicable fees.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Emeritus Status."> <text>An individual who elected the status of “architect emeritus” shall be exempt from the compliance with the CPC requirements. In the event such individual decides to have the license reactivated, the individual shall fulfill past due CPC requirements up to 24 LUs.</text> </regulation> <regulation prefix="Regulation" num=".13" heading="Learning Units Earned in Other States."> <text>The CPC requirements applicable to the renewal of Maryland architectural license shall be deemed to be satisfied by an architect licensed in another state if the following requirements are met:</text> <paragraph num="A."> <text>The state of current residency of an out-of-State licensed architect has a comparable continuing professional competency program; and</text> </paragraph> <paragraph num="B."> <text>The state of current residency accepts Maryland CPC requirements as satisfying its own comparable continuing professional competency program.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§3-208, 3-309, 3-309.1, and 3-309.2, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 19, 2013 (40:16 Md. R. 1342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective November 10, 2014 (41:22 Md. R. 1319)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective March 7, 2022 (49:5 Md. R. 365)</annotation> </annotations> </chapter> </subtitle> <subtitle num="22" heading="Board of Cosmetologists"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="General Requirements."> <paragraph num="A."> <text>A licensee, permit holder, or registrant shall be familiar with and comply with the laws and regulations governing the practice of beauty culture.</text> </paragraph> <paragraph num="B."> <text>Every licensee and registrant shall:</text> <paragraph num="(1)"> <text>Display a current and valid license in full view of the public at the practitioner's work station;</text> </paragraph> <paragraph num="(2)"> <text>Affix a current picture to the license; and</text> </paragraph> <paragraph num="(3)"> <text>Have available at all times valid government-issued photographic identification.</text> </paragraph> </paragraph> <paragraph num="C."> <text>When a senior cosmetologist or cosmetologist practices cosmetology in the residence of a patron, in a nursing home, or in a hospital, the following conditions shall be met:</text> <paragraph num="(1)"> <text>The services are sponsored by an authorized salon;</text> </paragraph> <paragraph num="(2)"> <text>The licensee is fully supplied with sanitized and disinfected equipment by the sponsoring salon and the implements and tools are carried back and forth in an appropriate manner to assure they are not contaminated;</text> </paragraph> <paragraph num="(3)"> <text>The sponsoring salon maintains complete records of all services performed, and the date, time, place, and charge for the services;</text> </paragraph> <paragraph num="(4)"> <text>All tools, equipment, and complete records are available for inspection;</text> </paragraph> <paragraph num="(5)"> <text>Board inspectors are permitted to conduct inspections of any area where cosmetology services are provided; and</text> </paragraph> <paragraph num="(6)"> <text>When the cosmetology services are provided in a nursing home, hospital, or similar facility, the:</text> <paragraph num="(a)"> <text>Patron is a:</text> <paragraph num="(i)"> <text>Resident of the facility, and</text> </paragraph> <paragraph num="(ii)"> <text>Customer of the beauty salon, preexisting or otherwise;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Facility does not hold itself out to the public as a provider of cosmetology services; and</text> </paragraph> <paragraph num="(c)"> <text>Compensation paid for the cosmetology services is ultimately paid to the licensee performing the services or to the sponsoring beauty salon.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>A licensee operating a barber shop shall comply with all pertinent sanitation regulations contained in COMAR 09.22.02.04—.06.</text> </paragraph> <paragraph num="E."> <text>A photography studio that provides hair styling or makeup services as a part of a photo package shall obtain an owner's permit, and the services shall be performed by an authorized licensee.</text> </paragraph> <paragraph num="F."> <text>A licensee, permit holder, or registrant shall promptly notify the Board of any change of address.</text> </paragraph> <paragraph num="G."> <text>The Board may initiate a criminal prosecution of a person who engages in the practice of beauty culture without a valid license or registration.</text> </paragraph> <paragraph num="H."> <text>A licensee or registrant is responsible for the sanitary condition of the licensee's or registrant's individual work station.</text> </paragraph> <paragraph num="I."> <text>A licensee, permit holder, or registrant may not knowingly interfere with the lawful activity of an inspector of the Board.</text> </paragraph> <paragraph num="J."> <text>The provision of cosmetology, esthetic, or nail technology services in a beauty salon is prima facie evidence that compensation has been, or will be, paid for the services rendered.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Senior Cosmetologist License."> <paragraph num="A."> <text>A senior cosmetologist is responsible for the theory and practical training of apprentices and limited practice apprentices in the cosmetologist's salon.</text> </paragraph> <paragraph num="B."> <text>A senior cosmetologist license authorizes the licensee to practice all aspects of beauty culture.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Cosmetologist License."> <text>A cosmetologist license authorizes the licensee to practice all aspects of beauty culture.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Esthetician License."> <paragraph num="A."> <text>An esthetician license authorizes the licensee to engage in providing esthetic services as defined in Business Occupations and Professions Article, §5-101(o), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>The term “massaging”, as used in Business Occupation and Professions Article, §5-101(o), Annotated Code of Maryland, means contact with the skin limited to the beautification, cleansing, and embellishment of the skin during the application and removal of skin care products.</text> </paragraph> <paragraph num="C."> <text>The term “exfoliating” as used in Business Occupation and Professions Article, §5-101(o), Annotated Code of Maryland, means to remove dead skin cells, dirt, bacteria, and excess oil from the skin.</text> </paragraph> <paragraph num="D."> <text>The term “cosmetic microneedling” as used in Business Occupation and Professions Article, §5-101(o), Annotated Code of Maryland, means the use of cosmetic, non-medical devices that have needles no longer than 1 mm and are used in a manner that does not penetrate the skin beyond the epidermis.</text> </paragraph> <paragraph num="E."> <text>The term “toning” as used in Business Occupation and Professions Article, §5-101(o), Annotated Code of Maryland, means the cleaning, manipulating and stimulating of skin by use of facials, face masks, and wraps.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Nail Technician License."> <text>A nail technician license authorizes the licensee to engage in the practice of:</text> <paragraph num="A."> <text>Massaging the hands and feet;</text> </paragraph> <paragraph num="B."> <text>Applying cosmetic preparations, nail enamels, antiseptics, lotions, creams, nail gel, nail wrappings, acrylics, and artificial nails; and</text> </paragraph> <paragraph num="C."> <text>Cutting, shaping, and similar work upon the nails.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Eyelash Extension Technician License."> <paragraph num="A."> <text>An eyelash extension technician license authorizes the licensee to engage in the practice of applying, removing, cleansing, and maintenance of semi-permanent individual or volume eyelash extensions to enhance the length, curl, fullness, and thickness of natural lashes.</text> </paragraph> <paragraph num="B."> <text>Temporary Eyelash Extension Technician License.</text> <paragraph num="(1)"> <text>The Board may issue a temporary eyelash extension technician license to an applicant who submits an application on or before December 31, 2026.</text> </paragraph> <paragraph num="(2)"> <text>An applicant for a temporary license shall submit to the Board an application on the form that the Board provides.</text> </paragraph> <paragraph num="(3)"> <text>To qualify for a temporary license, an applicant shall be at least 17 years old and have completed successfully a ninth grade education or the equivalent.</text> </paragraph> <paragraph num="(4)"> <text>Applicants for a temporary license are exempt from the training and exam requirements of Business Occupations and Professions Article, §5-305(c) and (h), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>The term of a temporary license is 1 year.</text> </paragraph> <paragraph num="(6)"> <text>The fee for a temporary license is $11.</text> </paragraph> <paragraph num="(7)"> <text>The Board may issue no more than one temporary license to an individual.</text> </paragraph> <paragraph num="(8)"> <text>Renewal.</text> <paragraph num="(a)"> <text>Temporary licenses may be renewed no more than one time for a term of 1 year.</text> </paragraph> <paragraph num="(b)"> <text>An applicant for the renewal of a temporary license shall submit to the Board an application on the form that the Board provides.</text> </paragraph> <paragraph num="(c)"> <text>The Board shall not renew a temporary license unless the applicant demonstrates good cause as to why they did not obtain a permanent eyelash technician license and that they are</text> <paragraph num="(i)"> <text>Enrolled in an eyelash extension course approved by the State Department of Education or the Maryland Higher Education Commission; or</text> </paragraph> <paragraph num="(ii)"> <text>Registered as an apprentice as provided under Business Occupations and Professions Article, §§5-404 and 5-505, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>The fee for the renewal of a temporary license is $11.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Cosmetologist Apprentice Registration."> <paragraph num="A."> <text>A cosmetologist apprentice registration authorizes the apprentice to learn all aspects of cosmetology under the direct supervision of a senior cosmetologist.</text> </paragraph> <paragraph num="B."> <text>One senior cosmetologist shall directly train one cosmetologist apprentice.</text> </paragraph> <paragraph num="C."> <text>Before becoming eligible to take the cosmetologist examination, a cosmetologist apprentice shall:</text> <paragraph num="(1)"> <text>Train at least 20 hours per week;</text> </paragraph> <paragraph num="(2)"> <text>Train for not less than 24, nor more than 36, months; and</text> </paragraph> <paragraph num="(3)"> <text>Complete the apprenticeship curriculum approved by the Board.</text> </paragraph> </paragraph> <paragraph num="D."> <text>For good cause, the Board may issue a new cosmetologist apprentice registration to an individual previously registered as a cosmetologist apprentice if:</text> <paragraph num="(1)"> <text>A minimum of 6 months has passed since the individual was last registered as a cosmetologist apprentice; and</text> </paragraph> <paragraph num="(2)"> <text>The individual surrenders the number of hours earned under any other cosmetologist apprentice registration.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A cosmetologist apprentice registration shall be obtained, and used, only for the purpose of receiving the amount of training required to qualify for a licensing examination given by the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Esthetician Apprentice Registration."> <paragraph num="A."> <text>An esthetician apprentice registration authorizes the esthetician apprentice to learn all aspects of providing esthetic services as defined in Business Occupations and Professions Article, §5-101(l), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>The term “massaging”, as used in Business Occupation and Professions Article, §5-101(l), Annotated Code of Maryland, means contact with the skin limited to the beautification, cleansing, and embellishment of the skin during the application and removal of skin care products.</text> </paragraph> <paragraph num="C."> <text>One senior cosmetologist or one licensed esthetician with 2 years experience shall directly train one esthetician apprentice.</text> </paragraph> <paragraph num="D."> <text>Before becoming eligible to take the esthetician examination, an esthetician apprentice shall:</text> <paragraph num="(1)"> <text>Train at least 20 hours per week;</text> </paragraph> <paragraph num="(2)"> <text>Train for not less than 12 or more than 24 months; and</text> </paragraph> <paragraph num="(3)"> <text>Complete the apprenticeship curriculum approved by the Board.</text> </paragraph> </paragraph> <paragraph num="E."> <text>For good cause, the Board may issue a new esthetician apprentice registration to an individual previously registered as a cosmetologist apprentice or an esthetician apprentice if:</text> <paragraph num="(1)"> <text>A minimum of 6 months has passed since the individual was last registered as a cosmetologist apprentice or an esthetician apprentice; and</text> </paragraph> <paragraph num="(2)"> <text>The individual surrenders the number of hours earned under any other cosmetologist apprentice or esthetician apprentice registration.</text> </paragraph> </paragraph> <paragraph num="F."> <text>An esthetician apprentice registration shall be obtained, and used, only for the purpose of receiving the amount of training required to qualify for a licensing examination given by the Board.</text> </paragraph> <paragraph num="G."> <text>An esthetician apprentice registration may be renewed one time.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Nail Technician Apprentice Registration."> <paragraph num="A."> <text>A nail technician apprentice registration authorizes the nail technician apprentice to learn all aspects of manicuring and pedicuring.</text> </paragraph> <paragraph num="B."> <text>One senior cosmetologist or one licensed nail technician with 2 years experience shall directly train one apprentice.</text> </paragraph> <paragraph num="C."> <text>Before becoming eligible to take the nail technician examination, a nail technician apprentice shall:</text> <paragraph num="(1)"> <text>Train at least 20 hours per week;</text> </paragraph> <paragraph num="(2)"> <text>Train for not less than 8 or more than 12 months; and</text> </paragraph> <paragraph num="(3)"> <text>Complete the apprenticeship curriculum approved by the Board.</text> </paragraph> </paragraph> <paragraph num="D."> <text>For good cause, the Board may issue a new nail technician apprentice registration to an individual previously registered as a cosmetologist apprentice or a nail technician apprentice if:</text> <paragraph num="(1)"> <text>A minimum of 6 months has passed since the individual was last registered as a cosmetologist apprentice or a nail technician apprentice; and</text> </paragraph> <paragraph num="(2)"> <text>The individual surrenders the number of hours earned under any other cosmetologist apprentice or nail technician apprentice registration.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A nail technician apprentice registration shall be obtained, and used, only for the purpose of receiving the amount of training required to qualify for a licensing examination given by the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Eyelash Extension Technician Apprentice Registration."> <paragraph num="A."> <text>An eyelash extension technician apprentice registration authorizes the eyelash extension technician apprentice to learn all aspects of applying, removing, cleansing, and maintaining semi-permanent individual or volume eyelash extensions to enhance the length, curl, fullness, and thickness of natural lashes.</text> </paragraph> <paragraph num="B."> <text>Beginning January 1, 2027, one senior cosmetologist who has completed a Board approved continuing education course regarding eyelash extension services or one licensed eyelash extension technician with 2 years’ experience as a licensed practitioner shall directly train one apprentice.</text> </paragraph> <paragraph num="C."> <text>Before becoming eligible to take the eyelash extension technician examination, an eyelash extension technician apprentice shall:</text> <paragraph num="(1)"> <text>Train at least 10 hours per week;</text> </paragraph> <paragraph num="(2)"> <text>Train for not less than 3 or more than 7 months; and</text> </paragraph> <paragraph num="(3)"> <text>Complete the apprenticeship curriculum approved by the Board.</text> </paragraph> </paragraph> <paragraph num="D."> <text>For good cause, the Board may issue a new eyelash extension technician apprentice registration to an individual previously registered as a cosmetologist apprentice or an eyelash extension technician apprentice if:</text> <paragraph num="(1)"> <text>A minimum of 6 months has passed since the individual was last registered as a cosmetologist apprentice or an eyelash extension technician apprentice; and</text> </paragraph> <paragraph num="(2)"> <text>The individual surrenders the number of hours earned under any other cosmetologist apprentice or eyelash extension technician apprentice registration.</text> </paragraph> </paragraph> <paragraph num="E."> <text>An eyelash extension technician apprentice registration shall be obtained and used only for the purpose of receiving the amount of training required to qualify for a licensing examination given by the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Supervision of an Apprentice."> <paragraph num="A."> <text>Prior to supervising an apprentice for the first time, a licensee shall participate in an orientation program administered by the Board.</text> </paragraph> <paragraph num="B."> <text>A licensee who supervises an apprentice shall:</text> <paragraph num="(1)"> <text>Ensure that the apprentice receives:</text> <paragraph num="(a)"> <text>At least 20 hours of training per week; and</text> </paragraph> <paragraph num="(b)"> <text>The required theory and practical training;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>File a monthly report, on a form supplied by the Board, stating the progress of each apprentice in the salon and identifying the designated licensee in charge of each apprentice;</text> </paragraph> <paragraph num="(3)"> <text>Advise the Board immediately, in writing, when an apprenticeship is discontinued, temporarily or otherwise; and</text> </paragraph> <paragraph num="(4)"> <text>Ensure that any apprentice is limited to and performs only the services authorized by the apprentice registration.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Unless the Board determines that exceptional circumstances exist, if a monthly report required by §A(2) of this regulation is not received by the Board within 90 days of the completion of the apprentice training:</text> <paragraph num="(1)"> <text>The report may not be received by the Board; and</text> </paragraph> <paragraph num="(2)"> <text>Credit may not be given for the training.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Apprenticeship Registration Requirements."> <text>A person may be registered as an apprentice if the person:</text> <paragraph num="A."> <text>Is at least 16 years old;</text> </paragraph> <paragraph num="B."> <text>Has secured a sponsoring salon in which to apprentice;</text> </paragraph> <paragraph num="C."> <text>Has been approved by the Board; and</text> </paragraph> <paragraph num="D."> <text>Prior to being registered as an apprentice, has participated in an orientation program administered by the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Examinations."> <paragraph num="A."> <text>The Board shall schedule examinations as often as necessary to meet the demand.</text> </paragraph> <paragraph num="B."> <text>Each qualified applicant for examination shall be sent a notice of the examination that contains the:</text> <paragraph num="(1)"> <text>Time, date, and location of the examination;</text> </paragraph> <paragraph num="(2)"> <text>Amount of time allotted for the examination;</text> </paragraph> <paragraph num="(3)"> <text>Areas that will be tested during the theoretical and practical portions of the examination;</text> </paragraph> <paragraph num="(4)"> <text>Requirements for models;</text> </paragraph> <paragraph num="(5)"> <text>Equipment the applicant shall bring;</text> </paragraph> <paragraph num="(6)"> <text>Requirements for passing the examination; and</text> </paragraph> <paragraph num="(7)"> <text>Board's policy on bringing books or other materials into the examination room.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Requirements for Taking Examination.</text> <paragraph num="(1)"> <text>A candidate shall arrive in a timely fashion to take the examination.</text> </paragraph> <paragraph num="(2)"> <text>A candidate shall present the notice of examination and a proper identification with the candidate's signature and photograph.</text> </paragraph> <paragraph num="(3)"> <text>A candidate may not bring books or papers into the examination room and may not use those materials during either the practical or the theoretical portion of the examination.</text> </paragraph> <paragraph num="(4)"> <text>A candidate taking the practical portion of an examination shall:</text> <paragraph num="(a)"> <text>Appear in a clean, washable garment;</text> </paragraph> <paragraph num="(b)"> <text>If taking the cosmetologist examination, appear with an appropriate mannequin head;</text> </paragraph> <paragraph num="(c)"> <text>If taking the nail technician examination, appear with an appropriate mannequin hand;</text> </paragraph> <paragraph num="(d)"> <text>If taking the esthetician examination:</text> <paragraph num="(i)"> <text>Be accompanied by a live model who is 16 years old or older; or</text> </paragraph> <paragraph num="(ii)"> <text>Appear with a mannequin head; and</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Appear with the equipment necessary to take the examination which shall be in a clean and disinfected condition and in good repair.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Disqualification. A candidate who violates any of the provisions of §C of this regulation may not be admitted to the examination and shall forfeit the examination fee.</text> </paragraph> <paragraph num="E."> <text>Interpreters—Foreign Language Dictionaries.</text> <paragraph num="(1)"> <text>The Board may permit a Board-approved interpreter to accompany an applicant and assist in the theory portion of the examination.</text> </paragraph> <paragraph num="(2)"> <text>If approved by the Board or its authorized representative, an applicant may use a word-for-word, bilingual dictionary during the theory portion of an examination.</text> </paragraph> <paragraph num="(3)"> <text>During any portion of an examination:</text> <paragraph num="(a)"> <text>A sign interpreter may assist an applicant who is hearing impaired; and</text> </paragraph> <paragraph num="(b)"> <text>A reader may assist an applicant who has dyslexia or another, similar reading impairment.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>When a practical test cannot be completed for any reason, the grade for that test shall be “incomplete” and not “failure.”</text> </paragraph> <paragraph num="G."> <text>Passing Examination.</text> <paragraph num="(1)"> <text>In order to be certified as passing an examination, a candidate shall:</text> <paragraph num="(a)"> <text>Receive a score of 75 percent or more on the practical portion of the examination;</text> </paragraph> <paragraph num="(b)"> <text>Score at least 75 percent or more on the theoretical portion of the examination; and</text> </paragraph> <paragraph num="(c)"> <text>Demonstrate a sufficient ability to verbally communicate and comprehend the English language in order to understand, converse, and properly respond to the requests, needs, and explanations of English speaking patrons.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An individual who passes one or more portions of the examination shall be excused from retaking the portion passed.</text> </paragraph> <paragraph num="(3)"> <text>An applicant who has not passed all parts of the examination within 1 year of the original examination date shall be required to retake the entire examination.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Content of Cosmetologist Examination.</text> <paragraph num="(1)"> <text>A cosmetologist examination shall consist of a theoretical portion and a practical portion.</text> </paragraph> <paragraph num="(2)"> <text>The theoretical portion of the cosmetologist examination shall consist of questions which embrace the subjects of cosmetology found in basic cosmetology textbooks including, but not limited to, the following:</text> <paragraph num="(a)"> <text>Sanitation and disinfection;</text> </paragraph> <paragraph num="(b)"> <text>Chemical applications;</text> </paragraph> <paragraph num="(c)"> <text>Hair cutting and styling techniques;</text> </paragraph> <paragraph num="(d)"> <text>Diseases and disorders;</text> </paragraph> <paragraph num="(e)"> <text>Facial massage;</text> </paragraph> <paragraph num="(f)"> <text>Skin care;</text> </paragraph> <paragraph num="(g)"> <text>Makeup application;</text> </paragraph> <paragraph num="(h)"> <text>Hair removal;</text> </paragraph> <paragraph num="(i)"> <text>Application of artificial nails;</text> </paragraph> <paragraph num="(j)"> <text>Manicuring and pedicuring procedures; and</text> </paragraph> <paragraph num="(k)"> <text>Laws and regulations regarding the practice of cosmetology.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The practical portion of the cosmetologist examination shall consist of the candidate demonstrating and explaining:</text> <paragraph num="(a)"> <text>Wet set or thermal curl set;</text> </paragraph> <paragraph num="(b)"> <text>Permanent cold wave;</text> </paragraph> <paragraph num="(c)"> <text>Chemical relaxing;</text> </paragraph> <paragraph num="(d)"> <text>Hair pressing;</text> </paragraph> <paragraph num="(e)"> <text>Croquignole curl;</text> </paragraph> <paragraph num="(f)"> <text>Bleach and tint;</text> </paragraph> <paragraph num="(g)"> <text>Blended haircut;</text> </paragraph> <paragraph num="(h)"> <text>Fingerwave;</text> </paragraph> <paragraph num="(i)"> <text>Pincurls;</text> </paragraph> <paragraph num="(j)"> <text>Roller placement; and</text> </paragraph> <paragraph num="(k)"> <text>Manicure.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Content of Senior Cosmetologist Examination.</text> <paragraph num="(1)"> <text>A senior cosmetologist examination shall consist of a theoretical portion only.</text> </paragraph> <paragraph num="(2)"> <text>A candidate shall be required to demonstrate a knowledge of cosmetology including, but not limited to, an advanced knowledge of:</text> <paragraph num="(a)"> <text>Sanitation and disinfection techniques;</text> </paragraph> <paragraph num="(b)"> <text>Chemical applications;</text> </paragraph> <paragraph num="(c)"> <text>Hair cutting and styling techniques;</text> </paragraph> <paragraph num="(d)"> <text>Diseases and disorders; and</text> </paragraph> <paragraph num="(e)"> <text>Laws and regulations regarding the practice of cosmetology.</text> </paragraph> </paragraph> </paragraph> <paragraph num="J."> <text>Content of Esthetician Examination.</text> <paragraph num="(1)"> <text>An esthetician examination shall consist of a theoretical portion and a practical portion.</text> </paragraph> <paragraph num="(2)"> <text>The theoretical portion of the esthetician examination shall consist of questions which embrace the subjects of esthetics found in basic esthetics textbooks including, but not limited to, the following:</text> <paragraph num="(a)"> <text>Sanitation and disinfection;</text> </paragraph> <paragraph num="(b)"> <text>Diseases and disorders;</text> </paragraph> <paragraph num="(c)"> <text>Facial massage;</text> </paragraph> <paragraph num="(d)"> <text>Skin care;</text> </paragraph> <paragraph num="(e)"> <text>Makeup application;</text> </paragraph> <paragraph num="(f)"> <text>Hair removal; and</text> </paragraph> <paragraph num="(g)"> <text>Laws and regulations regarding the practice of esthetics.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The practical portion of the esthetician examination shall consist of the candidate demonstrating and explaining:</text> <paragraph num="(a)"> <text>Patron preparation;</text> </paragraph> <paragraph num="(b)"> <text>Skin cleansing;</text> </paragraph> <paragraph num="(c)"> <text>Skin analysis;</text> </paragraph> <paragraph num="(d)"> <text>Location and names of motor points;</text> </paragraph> <paragraph num="(e)"> <text>Tweezing and arching of eyebrows;</text> </paragraph> <paragraph num="(f)"> <text>Massage movements; and</text> </paragraph> <paragraph num="(g)"> <text>Application of women's daytime makeup.</text> </paragraph> </paragraph> </paragraph> <paragraph num="K."> <text>Contents of Nail Technician Examination.</text> <paragraph num="(1)"> <text>A nail technician examination shall consist of a theoretical portion and a practical portion.</text> </paragraph> <paragraph num="(2)"> <text>The theoretical portion of the nail technician examination shall consist of questions which embrace the subjects of manicuring found in basic manicuring textbooks including, but not limited to, the following:</text> <paragraph num="(a)"> <text>Sanitation and disinfection;</text> </paragraph> <paragraph num="(b)"> <text>Diseases and disorders;</text> </paragraph> <paragraph num="(c)"> <text>Manicuring and pedicuring procedures;</text> </paragraph> <paragraph num="(d)"> <text>Application of artificial nails; and</text> </paragraph> <paragraph num="(e)"> <text>Laws and regulations regarding the practice of a nail technician.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The practical portion of the nail technician examination shall consist of the candidate demonstrating and explaining:</text> <paragraph num="(a)"> <text>Basic manicure;</text> </paragraph> <paragraph num="(b)"> <text>Hairline tip of a free edge;</text> </paragraph> <paragraph num="(c)"> <text>Half moon;</text> </paragraph> <paragraph num="(d)"> <text>Application of acrylic nails; and</text> </paragraph> <paragraph num="(e)"> <text>Pedicure procedure.</text> </paragraph> </paragraph> </paragraph> <paragraph num="L."> <text>Contents of Blow Drying Examination.</text> <paragraph num="(1)"> <text>A blow drying examination shall consist of a theoretical portion and a practical portion.</text> </paragraph> <paragraph num="(2)"> <text>The theoretical portion of the blow drying examination shall consist of questions which embrace the subjects of beautifying, cleaning, and arranging hair found in cosmetology textbooks including, but not limited to, the following:</text> <paragraph num="(a)"> <text>Sanitation and disinfection;</text> </paragraph> <paragraph num="(b)"> <text>Disease and disorders;</text> </paragraph> <paragraph num="(c)"> <text>Arranging hair;</text> </paragraph> <paragraph num="(d)"> <text>Cleansing hair;</text> </paragraph> <paragraph num="(e)"> <text>Curling hair;</text> </paragraph> <paragraph num="(f)"> <text>Dressing hair;</text> </paragraph> <paragraph num="(g)"> <text>Blow drying hair;</text> </paragraph> <paragraph num="(h)"> <text>Singeing hair; and</text> </paragraph> <paragraph num="(i)"> <text>Beautifying hair.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The practical portion of the blow drying examination shall consist of the candidate demonstrating and explaining:</text> <paragraph num="(a)"> <text>Arranging hair;</text> </paragraph> <paragraph num="(b)"> <text>Cleansing hair;</text> </paragraph> <paragraph num="(c)"> <text>Curling hair;</text> </paragraph> <paragraph num="(d)"> <text>Dressing hair;</text> </paragraph> <paragraph num="(e)"> <text>Blow drying hair;</text> </paragraph> <paragraph num="(f)"> <text>Singeing hair; and</text> </paragraph> <paragraph num="(g)"> <text>Beautifying hair.</text> </paragraph> </paragraph> </paragraph> <paragraph num="M."> <text>Content of Hair Stylist Examination.</text> <paragraph num="(1)"> <text>A hair stylist examination shall consist of a theoretical and a practical portion.</text> </paragraph> <paragraph num="(2)"> <text>The Theoretical portion of the hair stylist examination shall consist of questions which embrace the subjects of the hair styling found in basic cosmetology textbooks, including, but not limited to, the following:</text> <paragraph num="(a)"> <text>Sanitation and disinfection;</text> </paragraph> <paragraph num="(b)"> <text>Chemical applications;</text> </paragraph> <paragraph num="(c)"> <text>Hair cutting and styling techniques;</text> </paragraph> <paragraph num="(d)"> <text>Diseases and disorders; and</text> </paragraph> <paragraph num="(e)"> <text>Laws and regulations regarding the practice of hair styling.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The practical portion of the hair styling examination shall consist of the candidate demonstrating and explaining:</text> <paragraph num="(a)"> <text>Wet set or thermal curl set;</text> </paragraph> <paragraph num="(b)"> <text>Permanent cold wave;</text> </paragraph> <paragraph num="(c)"> <text>Chemical relaxing;</text> </paragraph> <paragraph num="(d)"> <text>Hair pressing;</text> </paragraph> <paragraph num="(e)"> <text>Croquignole curl;</text> </paragraph> <paragraph num="(f)"> <text>Bleach and tint;</text> </paragraph> <paragraph num="(g)"> <text>Blended haircut;</text> </paragraph> <paragraph num="(h)"> <text>Fingerwave;</text> </paragraph> <paragraph num="(i)"> <text>Pincurls; and</text> </paragraph> <paragraph num="(j)"> <text>Roller placement.</text> </paragraph> </paragraph> </paragraph> <paragraph num="N."> <text>Content of Eyelash Extension Examination.</text> <paragraph num="(1)"> <text>An eyelash extension examination shall consist of a theoretical and a practical portion.</text> </paragraph> <paragraph num="(2)"> <text>The theoretical portion of the eyelash extension examination shall consist of questions that relate to the subject of eyelash extensions, including, but not limited to, the following:</text> <paragraph num="(a)"> <text>Sanitation and safety;</text> </paragraph> <paragraph num="(b)"> <text>Lash extension types, adhesives, and tools;</text> </paragraph> <paragraph num="(c)"> <text>Lash anatomy and growth cycles;</text> </paragraph> <paragraph num="(d)"> <text>Contraindications and allergic reactions; and</text> </paragraph> <paragraph num="(e)"> <text>Laws and regulations regarding the practice of cosmetology.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The practical portion of the eyelash extension examination shall consist of the candidate demonstrating and explaining:</text> <paragraph num="(a)"> <text>Lash isolation;</text> </paragraph> <paragraph num="(b)"> <text>Lash extension application;</text> </paragraph> <paragraph num="(c)"> <text>Adhesive control;</text> </paragraph> <paragraph num="(d)"> <text>Lash extension removal;</text> </paragraph> <paragraph num="(e)"> <text>Client safety measures; and</text> </paragraph> <paragraph num="(f)"> <text>Sanitation practices.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Fees."> <paragraph num="A."> <text>Purpose. This regulation is intended to carry out the provisions of Business Occupations and Professions Article, Titles 4 and 5, and Business Regulation Article, §§2-106.13 and 2-106.14, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Barbers and State Board of Cosmetologists.</text> </paragraph> <paragraph num="B."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Barbers Board” means the State Board of Barbers.</text> </paragraph> <paragraph num="(b)"> <text>“Cosmetologists Board” means the State Board of Cosmetologists.</text> </paragraph> <paragraph num="(c)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a limited license and a reciprocal license.</text> </paragraph> <paragraph num="(d)"> <text>“Salon owner permit fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a salon permit.</text> </paragraph> <paragraph num="(e)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Examination Fees. An applicant for examination or reexamination shall pay an examination or reexamination fee directly to the testing service chosen by the Cosmetologists Board to develop or administer the examination.</text> </paragraph> <paragraph num="D."> <text>Average of Costs. In order to establish fees that more equitably distribute the costs associated with the operation of each board among similar boards, the Secretary may average the direct and indirect costs of the Barbers Board and the Cosmetologists Board, provided that the boards consent to having their direct and indirect costs averaged together.</text> </paragraph> <paragraph num="E."> <text>As provided for in Business Regulation Article, §§2-106.13 and 2-106.14, Annotated Code of Maryland, and this regulation, the Cosmetologist Board sets the following license and permit fees:</text> <paragraph num="(1)"> <text>Salon owner — $56;</text> </paragraph> <paragraph num="(2)"> <text>Senior cosmetologist — $28;</text> </paragraph> <paragraph num="(3)"> <text>Cosmetologist — $28;</text> </paragraph> <paragraph num="(4)"> <text>Blow dry — $28;</text> </paragraph> <paragraph num="(5)"> <text>Esthetician — $28;</text> </paragraph> <paragraph num="(6)"> <text>Nail technician — $28;</text> </paragraph> <paragraph num="(7)"> <text>Hair stylist — $28;</text> </paragraph> <paragraph num="(8)"> <text>Eyelash extension technician — $28;</text> </paragraph> <paragraph num="(9)"> <text>Apprentice — $11;</text> </paragraph> <paragraph num="(10)"> <text>Reinstatement:</text> <paragraph num="(a)"> <text>If the license of a senior cosmetologist, cosmetologist, esthetician, or nail technician license has expired, a reinstatement fee of $28 shall be paid in addition to the renewal fee in this section; and</text> </paragraph> <paragraph num="(b)"> <text>If the permit of a salon owner has expired, in addition to the renewal fee in this section:</text> <paragraph num="(i)"> <text>A reinstatement fee of $56 shall be paid if not more than 45 days have passed since the expiration of the permit; and</text> </paragraph> <paragraph num="(ii)"> <text>A pre-opening inspection fee of $169 shall be paid, and such an inspection shall be conducted, if more than 45 days have passed since the expiration of the permit; and</text> </paragraph> </paragraph> </paragraph> <paragraph num="(11)"> <text>Pre-opening inspection — $169.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A separate payment is required for each application.</text> </paragraph> <paragraph num="G."> <text>Payment in cash may not be accepted.</text> </paragraph> <paragraph num="H."> <text>All fees are nonrefundable.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Renewals."> <paragraph num="A."> <text>A renewal application for each license, permit, or registration shall be mailed to each licensee, permit holder, or cosmetologist apprentice at the last known address.</text> </paragraph> <paragraph num="B."> <text>A licensee, permit holder, or cosmetologist apprentice shall submit each application and the required payment at least 14 days before the expiration date of the existing license.</text> </paragraph> <paragraph num="C."> <text>An application that is incomplete or is not accompanied by the appropriate fee shall be returned to the applicant.</text> </paragraph> <paragraph num="D."> <text>A registered cosmetologist apprentice is limited to two renewals.</text> </paragraph> <paragraph num="E."> <text>A limited practice apprentice registration is not renewable.</text> </paragraph> <paragraph num="F."> <text>Prior to the expiration of each 2-year term, a licensee shall provide proof of satisfactory completion of continuing education requirements.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Compensation — Examiners and Inspectors."> <paragraph num="A."> <text>Examiners, appointed by the Board, shall be paid a per diem of at least $50 based on the State's budget.</text> </paragraph> <paragraph num="B."> <text>Inspectors, appointed by the Board, shall be paid a per diem of at least $50 based on the State's budget.</text> </paragraph> <paragraph num="C."> <text>All per diem employees are entitled to be reimbursed for traveling expenses in accordance with the State's policy.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Citations to Licensees."> <text>Unless otherwise indicated, the following civil penalties are applicable to the following violations of the laws and regulations of the Board of Cosmetologists discovered by a Board inspector during an inspection of a beauty salon:</text> <paragraph num="A."> <text>Working in a beauty salon for which a permit never has been issued or other unauthorized location — $300;</text> </paragraph> <paragraph num="B."> <text>Licensing:</text> <paragraph num="(1)"> <text>Operating without a valid license — $300;</text> </paragraph> <paragraph num="(2)"> <text>No photo on license — $100;</text> </paragraph> <paragraph num="(3)"> <text>No valid government-issued photo identification — $100;</text> </paragraph> <paragraph num="(4)"> <text>Services beyond scope — $300;</text> </paragraph> </paragraph> <paragraph num="C."> <text>Sanitation:</text> <paragraph num="(1)"> <text>Improper disinfection:</text> <paragraph num="(a)"> <text>Failure to wash implements before disinfection — $150;</text> </paragraph> <paragraph num="(b)"> <text>Failure to properly disinfect implements, bowls, basins, other areas — $150;</text> </paragraph> <paragraph num="(c)"> <text>Failure to properly store disinfected implements — $150;</text> </paragraph> <paragraph num="(d)"> <text>Failure to keep clean disinfectant on esthetician tray or nail technician table — $150;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Improper procedures for cut or blood-related incidents — formal hearing;</text> </paragraph> <paragraph num="(3)"> <text>Other:</text> <paragraph num="(a)"> <text>Poor lighting, heating, or ventilation — $50;</text> </paragraph> <paragraph num="(b)"> <text>Unclean walls, curtains, or floor coverings — $50;</text> </paragraph> <paragraph num="(c)"> <text>Absence of hot or cold running water — $50;</text> </paragraph> <paragraph num="(d)"> <text>Presence of rodents or insects — $50;</text> </paragraph> <paragraph num="(e)"> <text>Use of salon (shop) for sleeping or living — $100;</text> </paragraph> <paragraph num="(f)"> <text>Failure to promptly remove hair or debris — $50;</text> </paragraph> <paragraph num="(g)"> <text>Unsanitary restroom — $50;</text> </paragraph> <paragraph num="(h)"> <text>No soap dispenser and disposable towels — $50;</text> </paragraph> <paragraph num="(i)"> <text>Unclean operator's garments — $50;</text> </paragraph> <paragraph num="(j)"> <text>Failure to wash hands before each client — $50;</text> </paragraph> <paragraph num="(k)"> <text>No wet sanitizer at station — $50;</text> </paragraph> <paragraph num="(l)"> <text>No closed drawer or cabinet for disinfected implements at station — $100;</text> </paragraph> <paragraph num="(m)"> <text>Use of neck duster, powder puff, sponge, septic pencil, or lump alum on more than one client — $100;</text> </paragraph> <paragraph num="(n)"> <text>Improper application, removal, or discarding of lotions, oils, and other liquids — $100;</text> </paragraph> <paragraph num="(o)"> <text>Improper application of creams — $100;</text> </paragraph> <paragraph num="(p)"> <text>Improper maintenance of lotions, oils, and other liquids — $100;</text> </paragraph> <paragraph num="(q)"> <text>Failure to properly cover head, foot rest, or manicuring cushion — $100;</text> </paragraph> <paragraph num="(r)"> <text>Improper storage or disposal of towels — $50;</text> </paragraph> <paragraph num="(s)"> <text>Improper sanitation of pressing combs or curling irons — $100;</text> </paragraph> <paragraph num="(t)"> <text>Insufficient number of combs or brushes — $50;</text> </paragraph> <paragraph num="(u)"> <text>Failure to use protective neck strip — $50;</text> </paragraph> <paragraph num="(v)"> <text>Improperly washed or sanitized shampoo bowl — $50;</text> </paragraph> <paragraph num="(w)"> <text>Improper cleansing or sanitation of retention rods — $100;</text> </paragraph> <paragraph num="(x)"> <text>Failure to remove soiled items from top of work station after use — $50;</text> </paragraph> <paragraph num="(y)"> <text>Placement of pins or clips in mouth — $50;</text> </paragraph> <paragraph num="(z)"> <text>Use of implements dropped on floor without cleaning and disinfecting — $100;</text> </paragraph> <paragraph num="(aa)"> <text>Failure to sharpen lip or eyebrow pencil after each use — $100;</text> </paragraph> <paragraph num="(bb)"> <text>Failure to discard disposable implement or cosmetic after use — $100;</text> </paragraph> <paragraph num="(cc)"> <text>Use of hair removal wax for more than one client — $300;</text> </paragraph> <paragraph num="(dd)"> <text>Failure to launder nondisposable draping after each client — $50;</text> </paragraph> <paragraph num="(ee)"> <text>Unsanitary manicuring or eyelash extension table or surrounding area — $100;</text> </paragraph> <paragraph num="(ff)"> <text>Improper paraffin wax procedures — $100;</text> </paragraph> <paragraph num="(gg)"> <text>Improper use of electric files, bits, or sanding bands — $100;</text> </paragraph> <paragraph num="(hh)"> <text>Improper procedures when working on acrylic nails — $100;</text> </paragraph> <paragraph num="(ii)"> <text>Improper procedures when performing eyelash extension services — $100;</text> </paragraph> <paragraph num="(jj)"> <text>Failure to label eyelash adhesive with accurate date of opening or failure to discard eyelash adhesive container within 30 days of opening;</text> </paragraph> <paragraph num="(kk)"> <text>Any other sanitation violation— $50;</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Unauthorized services:</text> <paragraph num="(1)"> <text>Massage — $300;</text> </paragraph> <paragraph num="(2)"> <text>Microdermabrasion — formal hearing;</text> </paragraph> <paragraph num="(3)"> <text>Lasers — formal hearing;</text> </paragraph> <paragraph num="(4)"> <text>Chemical peels that penetrate the skin beyond the epidermis — formal hearing;</text> </paragraph> <paragraph num="(5)"> <text>Practice causing tissue destruction or penetration to the blood fluid barrier — formal hearing;</text> </paragraph> <paragraph num="(6)"> <text>Credo blade — $300;</text> </paragraph> </paragraph> <paragraph num="E."> <text>Prohibited practices:</text> <paragraph num="(1)"> <text>Services on client with infectious or contagious disease — formal hearing;</text> </paragraph> <paragraph num="(2)"> <text>Operator with infectious or contagious disease performing services — formal hearing;</text> </paragraph> <paragraph num="(3)"> <text>Services on inflamed skin or scalp without physician authorization — formal hearing;</text> </paragraph> <paragraph num="(4)"> <text>Removal of corns, calluses, or other growths of skin by cutting — $300;</text> </paragraph> <paragraph num="(5)"> <text>Use of electrical muscle stimulator devices — $300;</text> </paragraph> <paragraph num="(6)"> <text>Cosmetic tattooing — formal hearing;</text> </paragraph> <paragraph num="(7)"> <text>Presence of an animal other than a designated service animal — $100;</text> </paragraph> <paragraph num="(8)"> <text>Sale of used hairpieces — $300;</text> </paragraph> <paragraph num="(9)"> <text>Methyl methacrylate liquid monomer (MMA) — formal hearing;</text> </paragraph> </paragraph> <paragraph num="F."> <text>Interference with inspector — formal hearing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Failure to Respond."> <paragraph num="A."> <text>An applicant or licensee shall respond in writing to a written communication from the Board within 30 days of the date of mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by an applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Board in writing if there has been a change in the applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §5-314(a)(1)(viii), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, Titles 4 and 5; Business Regulation Article, §§2-106.13 and 2-106.14;Annotated Code of Maryland; Ch. 256, Acts of 2017</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 4, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective November 14, 1980 (7:23 Md. R. 2166); repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective July 1, 1991 (18:18 Md. R. 2001); emergency status expired January 1, 1992</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective February 14, 1992 (19:5 Md. R. 573); emergency status extended at 19:11 Md. R. 1011</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective November 14, 1980 (7:23 Md. R. 2166); repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C amended effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 repealed and new Regulation .02 adopted as an emergency provision effective July 1, 1991 (18:18 Md. R. 2001); emergency status extended at 19:2 Md. R. 150 and 19:11 Md. R. 1011</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A—C amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 repealed and new Regulation .03 adopted as an emergency provision effective July 1, 1991 (18:18 Md. R. 2001); emergency status expired January 1, 1992</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 repealed and new Regulation .03 adopted as an emergency provision effective February 14, 1992 (19:5 Md. R. 573); emergency status extended at 19:11 Md. R. 1011</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04C-1 adopted effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04F repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective November 14, 1980 (7:23 Md. R. 2166); June 17, 1985 (12:12 Md. R. 1163); March 23, 1987 (14:6 Md. R. 713); November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06D repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06D—F adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulations .06, .08, and .09 amended as an emergency provision effective July 1, 1991 (18:18 Md. R. 2001); emergency status extended at 19:2 Md. R. 150 and 19:11 Md. R. 1011</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A and C amended effective December 30, 1977 (4:27 Md. R. 2106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07E repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective February 4, 1976 (3:3 Md. R. 149)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended effective November 14, 1980 (7:23 Md. R. 2166); June 12, 1981 (8:12 Md. R. 1061); April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08C repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08C adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A amended effective August 21, 1989 (16:16 Md. R. 1750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09D repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09F amended effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09F-1 adopted effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 amended effective November 14, 1980 (7:23 Md. R. 2166); June 12, 1981 (8:12 Md. R. 1061)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12A amended effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12D amended effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 repealed effective December 15, 1978 (5:25 Md. R. 1853)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 adopted effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended effective June 11, 1990 (17:11 Md. R. 1343)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective August 21, 1989 (16:16 Md. R. 1750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14B amended effective December 30, 1977 (4:27 Md. R. 2106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 repealed and new Regulation .15 adopted effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15C—F amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15D amended effective February 4, 1976 (3:3 Md. R. 149)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15F amended effective February 4, 1976 (3:3 Md. R. 149); October 19, 1979 (6:21 Md. R. 1708)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16B amended effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16C amended effective March 3, 1976 (3:5 Md. R. 295); November 14, 1980 (7:23 Md. R. 2166); November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16D amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16F amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16H amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16I repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16I adopted effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16J amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16U amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16W amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16AA repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16BB adopted effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16CC adopted effective February 9, 1987 (14:3 Md. R. 272)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16DD adopted effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16EE adopted effective May 1, 1989 (16:8 Md. R. 909)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17F repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18A—D amended effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18C amended effective February 4, 1976 (3:3 Md. R. 149)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18D amended effective February 4, 1976 (3:3 Md. R. 149)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18H amended effective February 4, 1976 (3:3 Md. R. 149); March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19 repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulations .20—.24 adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulations .21, .22, and .24 amended as an emergency provision effective July 1, 1991 (18:18 Md. R. 2001); emergency status extended at 19:2 Md. R. 150 and 19:11 Md. R. 1011</annotation> <annotation type="History" subtype="Administrative History">Regulation .22G amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02—.24 repealed and new Regulations .01—.15 adopted effective June 22, 1992 (19:12 Md. R. 1133)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective December 14, 1998 (25:25 Md. R. 1831)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective May 13, 2002 (29:9 Md. R. 745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C amended effective July 17, 1995 (22:14 Md. R. 1052)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D amended effective September 4, 2000 (27:17 Md. R. 1618)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01J adopted effective May 13, 2002 (29:9 Md. R. 745)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective April 26, 2004 (31:8 Md. R. 646)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D amended effective September 4, 2000 (27:17 Md. R.1619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective September 4, 2000 (27:17 Md. R. 1618)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective April 29, 2002 (29:8 Md. R. 698)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07E adopted effective October 7, 1996 (23:20 Md. R. 1422)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07F adopted effective September 4, 2000 (27:17 Md. R. 1619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective April 26, 2004 (31:8 Md. R. 646)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A amended effective September 4, 2000 (27:17 Md. R. 1619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective February 14, 1994 (21:3 Md. R. 193)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08C amended effective September 4, 2000 (27:17 Md. R. 1619) April 29, 2002 (29:8 Md. R. 698)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08D adopted effective October 7, 1996 (23:20 Md. R. 1422)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08E adopted effective September 4, 2000 (27:17 Md. R. 1619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08F adopted effective September 4, 2000 (27:17 Md. R. 1619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A amended effective September 4, 2000 (27:17 Md. R. 1618)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective February 14, 1994 (21:3 Md. R. 193); September 4, 2000 (27:17 Md. R. 1618)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09C amended effective September 4, 2000 (27:17 Md. R. 1618); September 4, 2000 (27:17 Md. R. 1619); April 29, 2002 (29:8 Md. R. 698)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09D adopted effective October 7, 1996 (23:20 Md. R. 1422)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09D amended effective September 4, 2000 (27:17 Md. R. 1619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09E adopted effective September 4, 2000 (27:17 Md. R. 1619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 amended effective April 29, 2002 (29:8 Md. R. 699); February 6, 2012 (39:2 Md. R. 141)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11A amended effective February 6, 2012 (39:2 Md. R. 141)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12C amended effective November 6, 2006 (33:22 Md. R. 1732)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12E amended as an emergency provision effective July 23, 1993 (20:15 Md. R. 1218); amended permanently effective November 22, 1993 (20:23 Md. R. 1804)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12E amended as an emergency provision effective June 20, 1997 (24:15 Md. R. 1060); emergency status expired December 20, 1997</annotation> <annotation type="History" subtype="Administrative History">Regulation .12E amended effective March 9, 1998 (25:5 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12G amended effective April 29, 2002 (29:8 Md. R. 699)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12K amended effective September 4, 2000 (27:17 Md. R. 1618)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended as an emergency provision effective April 25, 1996 (23:10 Md. R. 728); emergency status expired July 15, 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended as an emergency provision effective July 1, 1997 (24:15 Md. R. 1060); emergency status expired December 1, 1997; amended permanently effective March 9, 1998 (25:5 Md. R. 368)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended effective September 4, 2000 (27:17 Md. R.1618)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended as an emergency provision effective October 1, 2002 (29:23 Md. R. 1807); emergency status expired April 2, 2003</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended as an emergency provision effective March 1, 2003 (30:13 Md. R. 851); emergency status extended at 30:25 Md. R. 1843); emergency status expired January 1, 2004; amended permanently effective January 5, 2004 (30:26 Md. R, 1913)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended as an emergency provision effective October 15, 2009 (36:23 Md. R. 1815); emergency status expired effective April 9, 2010; amended permanently effective June 14, 2010 (37:12 Md. R. 800)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended as an emergency provision effective December 19, 2014 (42:1 Md. R. 13); emergency status expired May 30, 2015</annotation> <annotation type="History" subtype="Administrative History">Regulation .13B amended as an emergency provision effective July 25, 1997 (24:17 Md. R. 1208); emergency status expired January 25, 1998; amended permanently effective March 9, 1998 (25:5 Md. R. 368)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13B amended effective September 4, 2000 (27:17 Md. R. 1618); September 4, 2000 (27:17 Md. R. 1619)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13C, E amended effective October 24, 2016 (43:21 Md. R. 1165)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13D amended effective December 14, 1998 (25:25 Md. R. 1831); May 2, 2011 (38:9 Md. R. 552)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 adopted effective July 31, 2006 (33:15 Md. R. 1280)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11C amended as an emergency provision effective July 8, 2020 (47:16 Md. R. 736); emergency status expired effective November 30, 2020</annotation> <annotation type="History" subtype="Administrative History">Regulation .11C amended effective March 22, 2021 (48:6 Md. R. 237)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11E amended effective June 3, 2019 (46:11 Md. R. 516)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 repealed and new Regulation .12 adopted effective November 5, 2018 (45:22 Md. R. 1027)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12E amended effective May 27, 2024 (51:10 Md. R. 525)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13F adopted effective May 1, 2023 (50:8 Md. R. 337)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15E amended effective March 23, 2020 (47:6 Md. R. 341)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 adopted effective January 28, 2019 (46:2 Md. R. 52)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective March 2, 2026 (53:4 Md. R. 184)</annotation> </annotations> </chapter> <chapter num="02" heading="Beauty Salons"> <regulation prefix="Regulation" num=".01" heading="Salon — General."> <paragraph num="A."> <text>Application for a salon permit shall be submitted to the Board together with certification of approval with respect to zoning, health, fire prevention, and all other laws, ordinances, and requirements applicable to the establishment.</text> </paragraph> <paragraph num="B."> <text>A person establishing a residential salon shall meet the following requirements in addition to the requirements set forth in §A of this regulation:</text> <paragraph num="(1)"> <text>The salon shall be completely separate and distinct from all living quarters;</text> </paragraph> <paragraph num="(2)"> <text>The salon shall be in compliance with all applicable laws, regulations, and ordinances;</text> </paragraph> <paragraph num="(3)"> <text>The salon shall have a separate outside entrance for use of salon patrons; and</text> </paragraph> <paragraph num="(4)"> <text>The salon shall have a restroom facility maintained for exclusive use by salon clients.</text> </paragraph> </paragraph> <paragraph num="C."> <text>More than one salon permit may not be issued for any one premises unless a separate and distinct salon entity is established on a different level of the one premises.</text> </paragraph> <paragraph num="D."> <text>Mobile Salons.</text> <paragraph num="(1)"> <text>All mobile units shall prominently display the name of the non-mobile beauty salon that serves as the mobile unit’s permanent base address on the outside of the unit.</text> </paragraph> <paragraph num="(2)"> <text>All health and safety rules governing cosmetology shall apply to mobile units unless otherwise specified.</text> </paragraph> <paragraph num="(3)"> <text>All storage containers, cabinets, and drawers shall have safety catches.</text> </paragraph> <paragraph num="(4)"> <text>All equipment not placed in storage cabinets or drawers shall be securely anchored.</text> </paragraph> <paragraph num="(5)"> <text>A ramp or lift shall be provided for access to the mobile unit if providing services for disabled individuals.</text> </paragraph> <paragraph num="(6)"> <text>Services may not be provided while the mobile unit is in motion.</text> </paragraph> <paragraph num="(7)"> <text>The owners of mobile units shall be responsible for adherence to all local, State, and federal laws and regulations regarding the operation of vehicles to be used as mobile units.</text> </paragraph> <paragraph num="(8)"> <text>An itinerary showing dates, locations, and times of service shall be made available, upon request, to an authorized representative of the board.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Pre-opening Inspection.</text> <paragraph num="(1)"> <text>Before a salon permit is issued, the premises shall be inspected by a Board member or inspector.</text> </paragraph> <paragraph num="(2)"> <text>If the premises are not in compliance with the regulations and laws governing beauty culture, the Board may refuse to issue the permit.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The Board may initiate a criminal prosecution of a person operating a beauty salon without a valid permit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Owner Responsibility."> <text>The holder of either a full service salon permit or a limited practice salon permit is responsible for:</text> <paragraph num="A."> <text>The condition and operation of the salon in compliance with the laws and regulations governing the practice of beauty culture;</text> </paragraph> <paragraph num="B."> <text>Displaying a sign containing the name and nature of the establishment, in at least 3-inch bold display-type lettering, on the outside of the premises in full view of the street or public walkway unless otherwise directed by the Board;</text> </paragraph> <paragraph num="C."> <text>Displaying, in full view of the public:</text> <paragraph num="(1)"> <text>The salon permit,</text> </paragraph> <paragraph num="(2)"> <text>A zoning certification or other approval for the practice of beauty culture on the premises, and</text> </paragraph> <paragraph num="(3)"> <text>A condensed version of the laws and regulations regarding the licensing and regulation of operators and salons, as provided by the Board;</text> </paragraph> </paragraph> <paragraph num="D."> <text>Ensuring that all employees of the salon are properly licensed or registered;</text> </paragraph> <paragraph num="E."> <text>Ensuring that an employee does not perform services beyond the scope of the applicable license or registration;</text> </paragraph> <paragraph num="F."> <text>Employing a sufficient number of licensed personnel who are qualified to supervise the training of apprentices to ensure that each apprentice being trained in the salon is individually supervised and trained.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Prohibitions."> <text>The following activities are prohibited in any full service or limited practice salon or in regard to any salon-sponsored services:</text> <paragraph num="A."> <text>The performance of services of any kind on a client who has an infectious or contagious disease that presents a hazard to others;</text> </paragraph> <paragraph num="B."> <text>The performance of services of any kind by a licensee or registrant who has an infectious or contagious disease that presents a hazard to clients;</text> </paragraph> <paragraph num="C."> <text>The performance of services of any kind upon the surface of a client's skin, scalp, or nail where the skin, scalp, or nail is inflamed or where a skin infection or eruption is present unless authorized by a physician;</text> </paragraph> <paragraph num="D."> <text>The removal of corns, calluses, or other growths of the skin, such as warts, by cutting;</text> </paragraph> <paragraph num="E."> <text>The use of electrical muscle stimulator devices purported to produce nonsurgical face or body lifts;</text> </paragraph> <paragraph num="F."> <text>Cosmetic tattooing;</text> </paragraph> <paragraph num="G."> <text>The presence of a dog, cat, bird, or any kind of animal on the salon premises with the exception of a designated service animal;</text> </paragraph> <paragraph num="H."> <text>The sale of any hairpieces which previously have been worn including, but not limited to wigs, toupees, wiglets, falls, and switches;</text> </paragraph> <paragraph num="I."> <text>The use or possession of a Credo blade or a similar razor-type implement used to cut growths on the skin;</text> </paragraph> <paragraph num="J."> <text>Unless an individual possesses a valid and appropriate health occupation license issued by the Maryland Department of Health:</text> <paragraph num="(1)"> <text>The use of lasers, microdermabrasion equipment, or any other mechanical device used to remove one or more layers of skin;</text> </paragraph> <paragraph num="(2)"> <text>The use of any product or method that causes tissue destruction or penetrates the blood fluid barrier;</text> </paragraph> <paragraph num="(3)"> <text>Chemical peels that penetrate the skin beyond the epidermis;</text> </paragraph> <paragraph num="(4)"> <text>Mechanical tissue alteration, including, but not limited to:</text> <paragraph num="(a)"> <text>Microdermabrasion; and</text> </paragraph> <paragraph num="(b)"> <text>Electrotherapy;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Contouring or sculpting using cryotherapy, radio frequency, or liposuction;</text> </paragraph> <paragraph num="(6)"> <text>Any procedure causing ablation of the dermis or hypodermis; and</text> </paragraph> <paragraph num="(7)"> <text>Any form of skin injections.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Sanitation Requirements — General."> <paragraph num="A."> <text>A full service beauty salon and a limited practice beauty salon shall comply with the sanitation provisions in §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitation Provisions.</text> <paragraph num="(1)"> <text>Every salon shall be well lighted, heated, and ventilated, and shall be kept in a clean and sanitary condition.</text> </paragraph> <paragraph num="(2)"> <text>The walls, curtains, and floor coverings in a salon shall be washed and kept clean.</text> </paragraph> <paragraph num="(3)"> <text>All salons shall be supplied with hot and cold running water.</text> </paragraph> <paragraph num="(4)"> <text>The premises shall be kept free from rodents, vermin, flies, or similar insects.</text> </paragraph> <paragraph num="(5)"> <text>The salon may not be used for sleeping or living quarters.</text> </paragraph> <paragraph num="(6)"> <text>All hair, nail service debris, cotton, or other waste material shall be removed from the floor without delay and deposited in a closed container and removed from the premises frequently.</text> </paragraph> <paragraph num="(7)"> <text>Rest rooms shall be kept in a sanitary condition and have a soap dispenser and disposable towels.</text> </paragraph> <paragraph num="(8)"> <text>All employees of a salon shall be attired in clean, washable garments.</text> </paragraph> <paragraph num="(9)"> <text>The hands of a licensee or registrant shall be washed before attending each client.</text> </paragraph> <paragraph num="(10)"> <text>Surgical latex gloves shall be worn if the licensee or registrant has a cut or open wound.</text> </paragraph> <paragraph num="(11)"> <text>Implements used in direct contact with a client shall be washed in hot, soapy water before being immersed in a disinfectant solution as specified in §B(12) of this regulation.</text> </paragraph> <paragraph num="(12)"> <text>Implements shall be disinfected in a wet sanitizer containing an EPA-registered disinfectant effective against HIV and hepatitis viruses, or a hospital-grade tuberculocidal disinfectant in a quantity sufficient to cover those portions of the implements that come in direct contact with a client.</text> </paragraph> <paragraph num="(13)"> <text>For each work station being used by a licensee or registrant, a salon shall have:</text> <paragraph num="(a)"> <text>At least one wet sanitizer containing a disinfectant solution as specified in §B(12) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>At least one closed, dry drawer or cabinet which contains no objects or substances other than those specified in §B(14) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Cleaned and disinfected implements and equipment shall be stored in a closed, dry cabinet or drawer which contains no other objects or substances.</text> </paragraph> <paragraph num="(15)"> <text>The use of neck dusters, powder puffs, sponges, styptic pencil, and lump alum or any other equipment or implement which cannot be sanitized and disinfected may not be used on more than one client.</text> </paragraph> <paragraph num="(16)"> <text>Lotions, oils, and any other type liquid shall be poured into a disinfected container or disinfected hand. Any excess remaining after application shall be discarded immediately and not returned to the original container or applied to another client.</text> </paragraph> <paragraph num="(17)"> <text>Lotions, ointments, creams, and powders shall be kept in clean closed containers. All cosmetic containers shall be recovered.</text> </paragraph> <paragraph num="(18)"> <text>Every head rest and foot rest shall be covered with a new clean towel or disposable paper for each client.</text> </paragraph> <paragraph num="(19)"> <text>A salon shall have a closed cabinet in which laundered towels are stored and a separate bin or hamper for the disposal of soiled towels. If the salon does its own laundering, the salon shall have both an automatic washer and dryer on the premises.</text> </paragraph> <paragraph num="(20)"> <text>Creams shall be dipped from a container with a clean spatula, and this instrument may not come in contact with the patron. Creams may not be removed with the fingers.</text> </paragraph> <paragraph num="(21)"> <text>An instrument that caused a skin abrasion or a cut to the skin shall be cleansed and disinfected immediately. If bleeding occurs, a tissue or cotton shall be used to collect the blood. Blood-contaminated materials shall be disposed of immediately in a sealed, double-plastic bag.</text> </paragraph> <paragraph num="(22)"> <text>A licensee or registrant whose hands come in contact with blood shall wash and disinfect them immediately.</text> </paragraph> <paragraph num="(23)"> <text>Pressing combs shall be kept clean and free of carbon, and a hot soda solution or similar cleansing agent shall be used for this purpose. Between clients, pressing combs shall be scrubbed with a stiff brush, rinsed, disinfected, and dried.</text> </paragraph> <paragraph num="(24)"> <text>Curling irons shall be wiped with a clean cloth after use on each client. They shall be cleansed in a soap solution containing a portion of ammonia or similar cleansing agent and wiped dry each day to keep them clean and free from rust, grease, and dirt.</text> </paragraph> <paragraph num="(25)"> <text>Hot combs and curling irons shall be used in a well ventilated area and wiped free of grease and hair with a paper towel or cloth prior to their placement in the heater.</text> </paragraph> <paragraph num="(26)"> <text>A minimum of eight combs and four brushes shall be available for each senior cosmetologist, cosmetologist, and cosmetologist apprentice.</text> </paragraph> <paragraph num="(27)"> <text>Protective neck strips or similar covering shall be used on each client.</text> </paragraph> <paragraph num="(28)"> <text>Shampoo bowls shall be washed after each shampoo and sanitized frequently with a disinfectant to assure cleanliness.</text> </paragraph> <paragraph num="(29)"> <text>Permanent waving retention rods shall be cleansed and sanitized after each use. End papers shall be discarded immediately after use.</text> </paragraph> <paragraph num="(30)"> <text>Soiled combs, brushes, towels, or other used material shall be removed from the tops of work stations immediately after use.</text> </paragraph> <paragraph num="(31)"> <text>Hair clips, hairpins, bobby pins, or similar implements may not be placed in the mouth.</text> </paragraph> <paragraph num="(32)"> <text>Objects dropped on the floor may not be used until they are cleansed and disinfected.</text> </paragraph> <paragraph num="(33)"> <text>Scissors, trimmers, clippers, and other implements which cannot be immersed in a disinfectant shall be cleaned and sprayed with an EPA-registered antimicrobial spray after each use.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Sanitation Requirements — Estheticians."> <paragraph num="A."> <text>In addition to the sanitation requirements in Regulation .04 of this chapter, all establishments that offer the services normally performed by an esthetician shall comply with the sanitation requirements in §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitation Requirements.</text> <paragraph num="(1)"> <text>Creams, lotions, powders, and other cosmetics shall be removed from the patron by means of disposable absorbent cotton, cleansing tissue, cotton swab, pledget, or other similar material.</text> </paragraph> <paragraph num="(2)"> <text>Lip and eyebrow pencils shall be sharpened after each use.</text> </paragraph> <paragraph num="(3)"> <text>Lip color, eye color, shadows, or other cosmetics shall be removed from the container by a spatula and applied to the client with a disposable or cleansed and sanitized applicator.</text> </paragraph> <paragraph num="(4)"> <text>Disposable lip, makeup, eyelash, or other cosmetic applicator shall be discarded immediately after use.</text> </paragraph> <paragraph num="(5)"> <text>Hair removal waxes may not be used for more than one client. Any excess wax left after client service shall be discarded immediately.</text> </paragraph> <paragraph num="(6)"> <text>Extraction lancets shall be cleaned and disinfected immediately after each use.</text> </paragraph> <paragraph num="(7)"> <text>An EPA-registered disinfectant effective against HIV and hepatitis viruses or a hospital-grade tuberculocidal disinfectant shall be:</text> <paragraph num="(a)"> <text>Kept on the esthetician tray for contact disinfection of implements that may come in contact with blood; and</text> </paragraph> <paragraph num="(b)"> <text>Changed after each use.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>Nondisposable drapings shall be laundered after each client.</text> </paragraph> <paragraph num="(9)"> <text>Microneedling.</text> <paragraph num="(a)"> <text>New needles must be used for each client.</text> </paragraph> <paragraph num="(b)"> <text>Needles must be discarded into a sharps container.</text> </paragraph> <paragraph num="(c)"> <text>Reusable equipment must be cleaned and disinfected after each client.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Sanitation Requirements — Nail Technician Services."> <paragraph num="A."> <text>In addition to the sanitation requirements in Regulation .04 of this chapter, all establishments offering the services normally performed by a nail technician shall comply with the requirements in §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitation Requirements.</text> <paragraph num="(1)"> <text>Finger bowls, manicure bowls, pedicure spas, and foot bath basins shall be disinfected after each client with:</text> <paragraph num="(a)"> <text>An EPA-registered disinfectant effective against HIV and hepatitis viruses; or</text> </paragraph> <paragraph num="(b)"> <text>A hospital-grade tuberculocidal disinfectant.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Oils used in a nail technology procedure shall be dropped onto a properly disinfected hand with a glass or plastic dropper, and any excess remaining after application shall be immediately discarded.</text> </paragraph> <paragraph num="(3)"> <text>The manicure table and surrounding areas shall be maintained in a sanitary condition at all times.</text> </paragraph> <paragraph num="(4)"> <text>Table tops, armrests, footrests, and any other surface that the client has physical contact with shall be disinfected after each client with:</text> <paragraph num="(a)"> <text>An EPA-registered disinfectant effective against HIV and hepatitis viruses; or</text> </paragraph> <paragraph num="(b)"> <text>A hospital-grade tuberculocidal disinfectant.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>A clean towel or disposable paper cover shall be placed over the manicure cushion and footrest and changed before each client.</text> </paragraph> <paragraph num="(6)"> <text>An emery board or disposable file shall be discarded after its use on a client.</text> </paragraph> <paragraph num="(7)"> <text>Except as provided in Regulation .04B(33) of this chapter, all implements used by a nail technician shall be cleansed in hot, soapy water and then immersed in a disinfecting solution as specified in Regulation .04B(12) of this chapter before reuse.</text> </paragraph> <paragraph num="(8)"> <text>An EPA-registered disinfectant effective against HIV and hepatitis viruses or a hospital-grade tuberculocidal disinfectant in a quantity sufficient to cover those portions of the implements that come in direct contact with the client shall be:</text> <paragraph num="(a)"> <text>Kept on the licensee's or registrant's table for contact disinfection of implements that may come in contact with blood; and</text> </paragraph> <paragraph num="(b)"> <text>Changed immediately upon becoming dirty, cloudy, or contaminated with blood.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>A complete set of manicuring implements shall be:</text> <paragraph num="(a)"> <text>Properly cleansed and disinfected, as specified in Regulation .04B(12) of this chapter, after use on a client; and</text> </paragraph> <paragraph num="(b)"> <text>Stored in an air-tight container or a wet sanitizer containing a disinfectant as specified in Regulation .04B(12) of this chapter.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>A sanitizable or washable file shall be properly disinfected, as specified in Regulation .04B(12) of this chapter, after each use.</text> </paragraph> <paragraph num="(11)"> <text>When paraffin wax is used:</text> <paragraph num="(a)"> <text>A client shall be free of broken skin or any skin disorder;</text> </paragraph> <paragraph num="(b)"> <text>Hands or feet of a client shall be properly disinfected before being dipped into paraffin wax;</text> </paragraph> <paragraph num="(c)"> <text>Hands or feet shall be covered with disposable plastic coverings after being dipped into the wax and before covering with cloth mitts, boots, or towels;</text> </paragraph> <paragraph num="(d)"> <text>Cloth mitts or towels used in paraffin wax services shall be kept in a closed container;</text> </paragraph> <paragraph num="(e)"> <text>Paraffin wax that has been removed from a client's hands or feet shall be discarded after each use; and</text> </paragraph> <paragraph num="(f)"> <text>Paraffin wax shall be kept free of any debris and in a sanitary manner at all times.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>Sanding bands used on electric file mandrels are for single use purposes and shall be disposed of after each use.</text> </paragraph> <paragraph num="(13)"> <text>Electric Files.</text> <paragraph num="(a)"> <text>Only electric files specifically manufactured for use in the nail technology industry shall be used during the performance of nail technology services.</text> </paragraph> <paragraph num="(b)"> <text>Modified craft and hobby drills may not be used during the performance of nail technology services.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Metal bits for electric files shall be properly disinfected after each client with an approved disinfectant as specified in Regulation .04B(12) of this chapter.</text> </paragraph> <paragraph num="(15)"> <text>Only bits specifically manufactured for use on the nail plate itself shall be used on the natural nail.</text> </paragraph> <paragraph num="(16)"> <text>Metal bits and sanding bands shall be used only on the surface of artificial nail enhancement products.</text> </paragraph> <paragraph num="(17)"> <text>During acrylic nail services, both the technician and client shall wear protective eye glasses or goggles when acrylic is being clipped, filed, or shaped.</text> </paragraph> <paragraph num="(18)"> <text>Artificial nail products:</text> <paragraph num="(a)"> <text>Shall be removed by using a solvent; and</text> </paragraph> <paragraph num="(b)"> <text>May not be pulled off the nail plate by the nail technician.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Sanitation Requirements—Eyelash Extensions."> <paragraph num="A."> <text>In addition to the sanitation requirements in Regulation .04 of this chapter, all establishments offering the services normally performed by eyelash extension technicians shall comply with the requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitation Requirements.</text> <paragraph num="(1)"> <text>If linens are used, clean linens must be used for each client.</text> </paragraph> <paragraph num="(2)"> <text>Hands must be washed immediately before and after serving each client.</text> </paragraph> <paragraph num="(3)"> <text>Chairs and beds, including headrests, must be cleaned and disinfected after providing services to each client. Chairs and beds must be made of or covered in a non-porous material that can be disinfected.</text> </paragraph> <paragraph num="(4)"> <text>Adhesive palettes must be disposed of after each use.</text> </paragraph> <paragraph num="(5)"> <text>When a container of adhesive used for eyelash extensions is first opened, it must be labeled with the date of opening, and such containers must be disposed of within 30 days of opening.</text> </paragraph> <paragraph num="(6)"> <text>Premade fans must not be reused.</text> </paragraph> <paragraph num="(7)"> <text>Disposable tools must not be reused.</text> </paragraph> <paragraph num="(8)"> <text>Gel pads and tape used to secure lower lashes must be disposed of after each use.</text> </paragraph> <paragraph num="(9)"> <text>Tape used must be medical grade.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Citations to Beauty Salons."> <text>Unless otherwise indicated, the following civil penalties are applicable to the following violations of the laws and regulations of the Board of Cosmetologists discovered by a Board inspector during an inspection of a beauty salon:</text> <paragraph num="A."> <text>Operating a beauty salon for which a permit:</text> <paragraph num="(1)"> <text>Never has been issued — formal hearing;</text> </paragraph> <paragraph num="(2)"> <text>Expired — $300;</text> </paragraph> </paragraph> <paragraph num="B."> <text>Licensing of personnel:</text> <paragraph num="(1)"> <text>Operating without a valid license — formal hearing;</text> </paragraph> <paragraph num="(2)"> <text>Services beyond scope — $300;</text> </paragraph> <paragraph num="(3)"> <text>Improper supervision of apprentice — $300;</text> </paragraph> <paragraph num="(4)"> <text>No valid government-issued photo identification — $100;</text> </paragraph> </paragraph> <paragraph num="C."> <text>Failure to display:</text> <paragraph num="(1)"> <text>Sign — $25;</text> </paragraph> <paragraph num="(2)"> <text>Permit — $50;</text> </paragraph> <paragraph num="(3)"> <text>Condensed rules and regulations — $100;</text> </paragraph> <paragraph num="(4)"> <text>Zoning certificate — $50;</text> </paragraph> </paragraph> <paragraph num="D."> <text>Sanitation, unauthorized services, prohibited practices, and interference with inspector. The civil penalties applicable to licensees under COMAR 09.22.01.17C-F apply to beauty salons.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, Title 5, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 4, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D and E repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 repealed effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D repealed effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03F repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective November 14, 1980 (7:23 Md. R. 2166); June 17, 1985 (12:12 Md. R. 1163); March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04C amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04E repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04E adopted effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05C repealed effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D amended effective November 14, 1980 (7:23 Md. R. 2166); November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05F amended effective November 14, 1980 (7:23 Md. R. 2166); repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05G repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective March 23, 1987 (14:6 Md. R. 714)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 repealed effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14A amended effective November 14, 1980 (7:23 Md. R. 2166); August 21, 1989 (16:16 Md. R. 1750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14B amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14D amended effective November 14, 1980 (7:23 Md. R. 2166); August 21, 1989 (16:16 Md. R. 1750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14E amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 repealed effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15A amended effective August 21, 1989 (16:16 Md. R. 1750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 amended effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16D amended effective October 19, 1979 (6:21 Md. R. 1708)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16E amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16G amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17A amended effective December 30, 1977 (4:27 Md. R. 2106)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17B amended effective December 30, 1977 (4:27 Md. R. 2106); November 14, 1980 (7:23 Md. R. 2166); June 17, 1985 (12:12 Md. R. 1163); June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17D—I adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17D amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17G amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17I amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18A amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18B amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18C repealed effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18C adopted effective March 23, 1987 (14:6 Md. R. 714)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19B amended effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19D, K, N amended effective November 22, 1982 (9:23 Md. R. 2258)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19E amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19F amended effective December 15, 1978 (5:25 Md. R. 1853); March 23, 1987 (14:6 Md. R. 714)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19L amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19O amended effective December 30, 1977 (4:27 Md. R. 2107); October 19, 1979 (6:21 Md. R. 1708); repealed effective November 22, 1982 (9:23 Md. R. 2258)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19P adopted effective October 19, 1979 (6:21 Md. R. 1708)</annotation> <annotation type="History" subtype="Administrative History">Regulation .19Q adopted effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20 amended effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20A amended effective October 19, 1979 (6:21 Md. R. 1708); March 23, 1987 (14:6 Md. R. 714)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20C amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20D and E repealed effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20D and E adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20F amended effective November 14, 1980 (7:23 Md. R. 2166); June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20F-1 adopted effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20G adopted effective October 19, 1979 (6:21 Md. R. 1708)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20H amended effective April 6, 1987 (14:7 Md. R. 830); May 15, 1989 (16:9 Md. R. 994)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20I amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20J amended effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20K amended effective November 14, 1980 (7:23 Md. R. 2166); June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20L amended effective October 19, 1979 (6:21 Md. R. 1708); November 14, 1980 (7:23 Md. R. 2166); June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20M adopted effective February 9, 1987 (14:3 Md. R. 273)</annotation> <annotation type="History" subtype="Administrative History">Regulation .20N—P adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21B repealed effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21C repealed effective November 16, 1987 (14:23 Md. R. 2414)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21E—G amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21F repealed effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21J repealed effective June 17, 1985 (12:12 Md. R. 1163)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22E—I amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22R amended effective November 14, 1980 (7:23 Md. R. 2166)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22T amended effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22U, V adopted effective June 13, 1988 (15:12 Md. R. 1445)</annotation> <annotation type="History" subtype="Administrative History">Regulation .23 adopted effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24 adopted effective March 23, 1987 (14:6 Md. R. 713)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25 adopted effective April 6, 1987 (14:7 Md. R. 830)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective June 22, 1992 (19:12 Md. R. 1133)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.06 adopted effective June 22, 1992 (19:12 Md. R. 1133)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D adopted effective October 22, 2018 (45:21 Md. R. 973)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B, C amended effective April 6, 1998 (25:7 Md. R. 526)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03G amended effective March 23, 2020 (47:6 Md. R. 341)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03H amended and I—K adopted effective September 12, 2005 (32:18 Md. R. 1519)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03J amended effective March 2, 2026 (53:4 Md. R. 184)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03J, K amended effective May 2, 2011 (38:9 Md. R. 552)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective April 6, 1998 (25:7 Md. R. 526); April 29, 2002 (29:8 Md. R. 699)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B amended effective April 29, 2002 (29:8 Md. R. 699); March 2, 2026 (53:4 Md. R. 184)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective September 4, 2000 (27:17 Md. R. 1618)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective March 9, 1998 (25:5 Md. R. 368)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 repealed and new Regulation .06 adopted effective April 29, 2002 (29:8 Md. R. 699)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective July 31, 2006 (33:15 Md. R. 1280)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07F amended effective March 23, 2020 (47:6 Md. R. 341)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective March 2, 2026 (53:4 Md. R. 184)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 recodified from Regulation .07 and amended effective March 2, 2026 (53:4 Md. R. 184)</annotation> </annotations> </chapter> <chapter num="03" heading="Schools"> <regulation prefix="Regulation" num=".01" heading="Public and Private Beauty Schools—General."> <text>The Board's inspectors may conduct inspections of those schools of beauty culture approved by the State Board of Education or the Maryland Higher Education Commission.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Prohibitions — Schools."> <text>The following activities are prohibited in a beauty school approved by the State Board of Education or the Maryland Higher Education Commission:</text> <paragraph num="A."> <text>The performance of services of any kind on a client who has an infectious or contagious disease that presents a hazard to others;</text> </paragraph> <paragraph num="B."> <text>The performance of services of any kind by a student who has an infectious or contagious disease that presents a hazard to clients;</text> </paragraph> <paragraph num="C."> <text>The performance of services of any kind upon the surface of a client's skin, scalp, or nail where the skin, scalp, or nail is inflamed or where a skin infection or eruption is present, unless authorized by a physician;</text> </paragraph> <paragraph num="D."> <text>The removal of corns, calluses, or other growths of the skin, such as warts, by cutting;</text> </paragraph> <paragraph num="E."> <text>The use of electrical muscle stimulator devices purported to produce nonsurgical face or body lifts;</text> </paragraph> <paragraph num="F."> <text>Cosmetic tatooing;</text> </paragraph> <paragraph num="G."> <text>The presence of a dog, cat, bird, or any kind of animal on the school premises with the exception of a designated service animal;</text> </paragraph> <paragraph num="H."> <text>The sale of any hairpieces which previously have been worn including, but not limited to, wigs, toupees, wiglets, falls, and switches;</text> </paragraph> <paragraph num="I."> <text>The use or possession of a Credo blade or a similar razor-type implement used to cut growths on the skin;</text> </paragraph> <paragraph num="J."> <text>The use or possession of lasers, microdermabrasion equipment, or any other mechanical device used to remove one or more layers of skin; and</text> </paragraph> <paragraph num="K."> <text>The use of any product or method that causes tissue destruction or penetrates the blood fluid barrier, including:</text> <paragraph num="(1)"> <text>Chemical peels; and</text> </paragraph> <paragraph num="(2)"> <text>Glycolic acids.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Sanitation Requirements—General."> <paragraph num="A."> <text>A cosmetology school approved by the State Board of Education or the Maryland Higher Education Commission shall comply with the sanitation provisions in §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitary Provisions.</text> <paragraph num="(1)"> <text>Every school shall be well lighted, heated, and ventilated, and shall be kept in a clean and sanitary condition.</text> </paragraph> <paragraph num="(2)"> <text>The walls, curtains, and floor coverings in a school shall be washed and kept clean.</text> </paragraph> <paragraph num="(3)"> <text>All schools shall be supplied with hot and cold running water.</text> </paragraph> <paragraph num="(4)"> <text>The premises shall be kept free from rodents, vermin, flies, or similar insects.</text> </paragraph> <paragraph num="(5)"> <text>The school may not be used for sleeping or living quarters.</text> </paragraph> <paragraph num="(6)"> <text>All hair, nail service debris, cotton, or other waste material shall be removed from the floor without delay and deposited in a closed container and removed from the premises frequently.</text> </paragraph> <paragraph num="(7)"> <text>Rest rooms shall be kept in a sanitary condition and have a soap dispenser and disposable towels.</text> </paragraph> <paragraph num="(8)"> <text>All students shall be attired in clean, washable garments.</text> </paragraph> <paragraph num="(9)"> <text>The hands of a student shall be washed before attending each client.</text> </paragraph> <paragraph num="(10)"> <text>Surgical latex gloves shall be worn if a student has a cut or open wound.</text> </paragraph> <paragraph num="(11)"> <text>Implements used in direct contact with a client shall be washed in hot, soapy water before being immersed in a disinfectant solution as specified in §B(12) of this regulation.</text> </paragraph> <paragraph num="(12)"> <text>Implements shall be disinfected in a wet sanitizer containing an EPA-registered disinfectant effective against HIV and hepatitis viruses, or a hospital-grade tuberculocidal disinfectant in a quantity sufficient to cover those portions of the implements that come in direct contact with a client.</text> </paragraph> <paragraph num="(13)"> <text>For each work station being used by a student, a school shall have:</text> <paragraph num="(a)"> <text>At least one wet sanitizer containing a disinfectant solution as specified in §B(12) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>At least one closed, dry drawer or cabinet which contains no other objects or substances.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Cleaned and disinfected implements and equipment shall be stored in a closed, dry cabinet or drawer which contains no other objects or substances.</text> </paragraph> <paragraph num="(15)"> <text>The use of neck dusters, powder puffs, sponges, styptic pencil, and lump alum or any other equipment or implement which cannot be sanitized and disinfected may not be used on more than one client.</text> </paragraph> <paragraph num="(16)"> <text>Lotions, oils, and any other type liquid shall be poured into a disinfected container or disinfected hand. Any excess remaining after application shall be discarded immediately and not returned to the original container or applied to another client.</text> </paragraph> <paragraph num="(17)"> <text>Lotions, ointments, creams, and powders shall be kept in clean closed containers. All cosmetic containers shall be recovered.</text> </paragraph> <paragraph num="(18)"> <text>Every head rest and foot rest shall be covered with a new clean towel or disposable paper for each client.</text> </paragraph> <paragraph num="(19)"> <text>A school shall have a closed cabinet in which laundered towels are stored and a separate bin or hamper for the disposal of soiled towels. If the school does its own laundering, the school shall have both an automatic washer and dryer on the premises.</text> </paragraph> <paragraph num="(20)"> <text>Creams shall be dipped from a container with a clean spatula, and this instrument may not come in contact with the patron. Creams may not be removed with the fingers.</text> </paragraph> <paragraph num="(21)"> <text>An instrument that caused a skin abrasion or a cut to the skin shall be cleansed and disinfected immediately. If bleeding occurs, a tissue or cotton shall be used to collect the blood. Blood-contaminated materials shall be disposed of immediately in a sealed, double-plastic bag.</text> </paragraph> <paragraph num="(22)"> <text>A student whose hands come in contact with blood shall wash and disinfect them immediately.</text> </paragraph> <paragraph num="(23)"> <text>Pressing combs shall be kept clean and free of carbon, and a hot soda solution or similar cleansing agent shall be used for this purpose. Between clients, pressing combs shall be scrubbed with a stiff brush, rinsed, disinfected, and dried.</text> </paragraph> <paragraph num="(24)"> <text>Curling irons shall be wiped with a clean cloth after use on each client. They shall be cleansed in a soap solution containing a portion of ammonia or similar cleansing agent and wiped dry each day to keep them clean and free from rust, grease, and dirt.</text> </paragraph> <paragraph num="(25)"> <text>Hot combs and curling irons shall be used in a well ventilated area and wiped free of grease and hair with a paper towel or cloth before their placement in the heater.</text> </paragraph> <paragraph num="(26)"> <text>A minimum of eight combs and four brushes shall be available for each student.</text> </paragraph> <paragraph num="(27)"> <text>Protective neck strips or similar covering shall be used on each client.</text> </paragraph> <paragraph num="(28)"> <text>Shampoo bowls shall be washed after each shampoo and sanitized frequently with a disinfectant to assure cleanliness.</text> </paragraph> <paragraph num="(29)"> <text>Permanent waving retention rods shall be cleansed and sanitized after each use. End papers shall be discarded immediately after use.</text> </paragraph> <paragraph num="(30)"> <text>Soiled combs, brushes, towels, or other used material shall be removed from the tops of work stations immediately after use.</text> </paragraph> <paragraph num="(31)"> <text>Hair clips, hairpins, bobby pins, or similar implements may not be placed in the mouth.</text> </paragraph> <paragraph num="(32)"> <text>Objects dropped on the floor may not be used until they are cleansed and disinfected.</text> </paragraph> <paragraph num="(33)"> <text>Scissors, trimmers, clippers, and other implements which cannot be immersed in a disinfectant shall be cleaned and sprayed with an EPA-registered antimicrobial spray after each use.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Sanitation Requirements—Estheticians."> <paragraph num="A."> <text>In addition to the sanitation requirements in Regulation .03 of this chapter, a cosmetology school approved by the State Board of Education or the Maryland Higher Education Commission that offers cosmetology services normally performed by an esthetician shall comply with the sanitation requirements in §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitation Requirements.</text> <paragraph num="(1)"> <text>Creams, lotions, powders, and other cosmetics shall be removed from the patron by means of disposable absorbent cotton, cleansing tissue, cotton swab, pledget, or other similar material.</text> </paragraph> <paragraph num="(2)"> <text>Lip and eyebrow pencils shall be sharpened after each use.</text> </paragraph> <paragraph num="(3)"> <text>Lip color, eye color, shadows, or other cosmetics shall be removed from the container by a spatula and applied to the client with a disposable or cleansed and sanitized applicator.</text> </paragraph> <paragraph num="(4)"> <text>Disposable lip, makeup, eyelash, or other cosmetic applicator shall be discarded immediately after use.</text> </paragraph> <paragraph num="(5)"> <text>Hair removal waxes may not be used for more than one client. Any excess wax left after client service shall be discarded immediately.</text> </paragraph> <paragraph num="(6)"> <text>Blood lancets shall be wrapped and discarded immediately after use.</text> </paragraph> <paragraph num="(7)"> <text>An EPA-registered disinfectant effective against HIV and hepatitis viruses or a hospital-grade tuberculocidal disinfectant shall be:</text> <paragraph num="(a)"> <text>Kept on the esthetician tray for contact disinfection of implements that may come in contact with blood; and</text> </paragraph> <paragraph num="(b)"> <text>Changed every 1 to 2 hours, or immediately upon becoming dirty, cloudy, or contaminated with blood.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>Nondisposable drapings shall be laundered after each client.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Sanitation Requirements—Nail Technician Services."> <paragraph num="A."> <text>In addition to the sanitation requirements in Regulation .03 of this chapter, a cosmetology school approved by the State Board of Education or the Maryland Higher Education Commission that offers cosmetology services normally performed by a nail technician shall comply with the requirements of §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Sanitation Requirements.</text> <paragraph num="(1)"> <text>Finger bowls, manicure bowls, pedicure spas, and foot bath basins shall be disinfected after each client with:</text> <paragraph num="(a)"> <text>An EPA-registered disinfectant effective against HIV and hepatitis viruses; or</text> </paragraph> <paragraph num="(b)"> <text>A hospital-grade tuberculocidal disinfectant.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Oils used in a nail technology procedure shall be dropped onto a properly disinfected hand with a glass or plastic dropper, and any excess remaining after application shall be immediately discarded.</text> </paragraph> <paragraph num="(3)"> <text>The manicure table and surrounding areas shall be maintained in a sanitary condition at all times.</text> </paragraph> <paragraph num="(4)"> <text>Table tops, armrests, footrests, and any other surface that the client has physical contact with shall be disinfected after each client with:</text> <paragraph num="(a)"> <text>An EPA-registered disinfectant effective against HIV and hepatitis viruses; or</text> </paragraph> <paragraph num="(b)"> <text>A hospital-grade tuberculocidal disinfectant.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>A clean towel or disposable paper cover shall be placed over the manicure cushion and footrest, and changed before each client.</text> </paragraph> <paragraph num="(6)"> <text>An emery board or disposable file shall be discarded after its use on a client.</text> </paragraph> <paragraph num="(7)"> <text>Except as provided in Regulation .03B(33) of this chapter, all implements used by a nail technician student shall be cleansed in hot, soapy water and then immersed in a disinfecting solution as specified in Regulation .03B(12) of this chapter before reuse.</text> </paragraph> <paragraph num="(8)"> <text>An EPA-registered disinfectant effective against HIV and hepatitis viruses or a hospital-grade tuberculocidal disinfectant in a quantity sufficient to cover those portions of the implements that come in direct contact with the client shall be:</text> <paragraph num="(a)"> <text>Kept on the student's table for contact disinfection of implements that may come in contact with blood; and</text> </paragraph> <paragraph num="(b)"> <text>Changed immediately upon becoming dirty, cloudy, or contaminated with blood.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>A complete set of manicuring implements shall be:</text> <paragraph num="(a)"> <text>Properly cleansed and disinfected, as specified in Regulation .03B(12) of this chapter, after use on a client; and</text> </paragraph> <paragraph num="(b)"> <text>Stored in an air-tight container or a wet sanitizer containing a disinfectant as specified in Regulation .03B(12) of this chapter.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>A sanitizable or washable file shall be properly disinfected, as specified in Regulation .03B(12) of this chapter, after each use.</text> </paragraph> <paragraph num="(11)"> <text>When paraffin wax is used:</text> <paragraph num="(a)"> <text>The client shall be free of broken skin or any skin disorder;</text> </paragraph> <paragraph num="(b)"> <text>The hands or feet of the client shall be properly disinfected before being dipped into paraffin wax;</text> </paragraph> <paragraph num="(c)"> <text>Hands or feet shall be covered with disposable plastic coverings after being dipped into the wax and before covering with cloth mitts, boots, or towels;</text> </paragraph> <paragraph num="(d)"> <text>Cloth mitts or towels used in paraffin wax services shall be kept in a closed container;</text> </paragraph> <paragraph num="(e)"> <text>Paraffin wax that has been removed from the client's hands or feet shall be discarded after each use; and</text> </paragraph> <paragraph num="(f)"> <text>Paraffin wax shall be kept free of any debris and in a sanitary manner at all times.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>Sanding bands used on electric file mandrels are for single use purposes and shall be disposed of after each use.</text> </paragraph> <paragraph num="(13)"> <text>Electric Files.</text> <paragraph num="(a)"> <text>Only electric files specifically manufactured for use in the nail technology industry shall be used during the performance of nail technology services.</text> </paragraph> <paragraph num="(b)"> <text>Modified craft and hobby drills may not be used during the performance of nail technology services.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Metal bits for electric files shall be properly disinfected after each client with an approved disinfectant as specified in Regulation .03B(12) of this chapter.</text> </paragraph> <paragraph num="(15)"> <text>Only bits which are specifically manufactured for use on the nail plate itself shall be used on the natural nail.</text> </paragraph> <paragraph num="(16)"> <text>Metal bits and sanding bands shall be used only on the surface of artificial nail enhancement products.</text> </paragraph> <paragraph num="(17)"> <text>During acrylic nail services, both the technician and client shall wear protective eye glasses or goggles when acrylic is being clipped, filed, or shaped.</text> </paragraph> <paragraph num="(18)"> <text>Artificial nail products:</text> <paragraph num="(a)"> <text>Shall be removed by using a solvent; and</text> </paragraph> <paragraph num="(b)"> <text>May not be pulled off the nail plate by the nail technician student.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Sanitation Requirements-Eyelash Extensions."> <text>In addition to the sanitation requirements in Regulation .03 of this chapter, a cosmetology school approved by the State Board of Education or the Maryland Higher Education Commission that offers cosmetology services normally performed by an eyelash extension technician shall comply with the requirements of COMAR 09.22.02.07B.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Complaints and Violations in Beauty Schools."> <paragraph num="A."> <text>This regulation applies whenever a complaint is made to the Board by an inspector, member of the Board, or any other person in regard to the sanitary condition of a cosmetology school or the sanitary practice of cosmetology performed at a cosmetology school.</text> </paragraph> <paragraph num="B."> <text>Upon receipt of a complaint, in compliance with Business Occupations and Professions Article, §5-509, Annotated Code of Maryland, an inspector shall investigate the complaint, and the Board shall determine if the complaint alleges grounds adequate to warrant action by the Board.</text> </paragraph> <paragraph num="C."> <text>If the Board determines that the complaint does not allege grounds adequate to warrant action by the Board, the Board shall dismiss the complaint.</text> </paragraph> <paragraph num="D."> <text>If the Board determines that the complaint does allege grounds adequate to warrant action by the Board, the Board shall notify the owner of the school, or an authorized representative of the school, in writing, and provide the owner of the school with an opportunity to correct the violation.</text> </paragraph> <paragraph num="E."> <text>If the owner corrects each alleged violation within 10 days of the written notification, the Board shall dismiss the complaint and notify the owner.</text> </paragraph> <paragraph num="F."> <text>If the owner fails to correct each alleged violation within 10 days of the written notification, the Board shall institute and conduct a hearing as provided in State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.</text> </paragraph> <paragraph num="G."> <text>If the Board conducts a hearing and concludes that the owner has violated one or more sanitation regulations, the Board may impose a fine not to exceed $300 for each violation.</text> </paragraph> <paragraph num="H."> <text>The Board shall report the sanitation violation and the amount of fine imposed to the Department of Education in regard to a public school or to the Maryland Higher Education Commission in regard to a private career school.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Citations to Schools."> <text>Unless otherwise indicated, the civil penalties applicable to licensees under COMAR 09.22.01.17C—F apply to schools.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, Title 5, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective May 23, 1986 (13:12 Md. R. 1371) (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted effective November 3, 1986 (13:22 Md. R. 2397)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective June 22, 1992 (19:12 Md. R. 1133)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.06 adopted effective June 22, 1992 (19:12 Md. R. 1133)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02G amended effective March 23, 2020 (47:6 Md. R. 342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02H amended and I—K adopted effective September 12, 2005 (32:18 Md. R. 1519)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective April 29, 2002 (29:8 Md. R. 699)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective March 9, 1998 (25:5 Md. R. 368); April 29, 2002 (29:8 Md. R. 699)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective April 29, 2002 (29:8 Md. R. 699)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective September 4, 2000 (27:17 Md. R. 1618)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 repealed and new Regulation .05 adopted effective April 29, 2002 (29:8 Md. R. 699)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective March 2, 2026 (53:4 Md. R. 184)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective July 31, 2006 (33:15 Md. R. 1280)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07B amended effective March 23, 2020 (47:6 Md. R. 342)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 recodified from Regulation .07 and amended effective March 2, 2026 (53:4 Md. R. 184)</annotation> </annotations> </chapter> <chapter num="04" heading="Continuing Education"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The State legislature has determined that it is in the best interest of the public to require licensed cosmetologists to comply with the continuing professional competency requirements as a prerequisite for the renewal of a license.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Approved continuing education course” means a course approved by the Maryland Board of Cosmetologists.</text> </paragraph> <paragraph num="(2)"> <text>“Board” means the Maryland Board of Cosmetologists.</text> </paragraph> <paragraph num="(3)"> <text>“Classroom instruction” means the art or science of teaching in a space:</text> <paragraph num="(a)"> <text>That is exclusively used for teaching during periods of instruction;</text> </paragraph> <paragraph num="(b)"> <text>That is conducive to learning; and</text> </paragraph> <paragraph num="(c)"> <text>Where an assigned instructor is present.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Contact Hour</text> <paragraph num="(a)"> <text>“Contact hour” means a period of 60 minutes in which actual learning takes place.</text> </paragraph> <paragraph num="(b)"> <text>“Contact hour” does not include</text> <paragraph num="(i)"> <text>A portion of the program devoted to registration, breaks, or meals; or</text> </paragraph> <paragraph num="(ii)"> <text>Fractions of an hour.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Continuing education course” means the basic measurement for a licensee’s direct participation in continuing education, consisting of 6 contact hours.</text> </paragraph> <paragraph num="(6)"> <text>“Continuing education course related to cosmetology” means a course that covers one or more of the following topics:</text> <paragraph num="(a)"> <text>Board Laws and Regulations (1 to 2 hours);</text> </paragraph> <paragraph num="(b)"> <text>Elective topics (1 to 4 hours);</text> </paragraph> <paragraph num="(c)"> <text>Health (1 to 2 hours);</text> </paragraph> <paragraph num="(d)"> <text>Safety (1 to 2 hours); or</text> </paragraph> <paragraph num="(e)"> <text>Welfare (1 to 2 hours).</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>“Course” means classroom or distance learning instruction of 1 clock hour, but not more than 6 clock hours.</text> </paragraph> <paragraph num="(8)"> <text>“Course provider” means someone who is qualified to conduct continuing education courses in accordance with Business Occupations and Professional Article, §5-205(c)(2), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(9)"> <text>Distance Learning Instruction.</text> <paragraph num="(a)"> <text>“Distance learning instruction” means the art or science of teaching where:</text> <paragraph num="(i)"> <text>The instructor and student may be separated by distance and time;</text> </paragraph> <paragraph num="(ii)"> <text>Equipment may be needed to communicate the content; or</text> </paragraph> <paragraph num="(iii)"> <text>The content is specifically developed for this form of instruction.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Distance learning instruction” includes any other delivery system approved by the Board.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Instructor” means an individual engaged by a course provider to teach a continuing education course.</text> </paragraph> <paragraph num="(11)"> <text>“License” means, unless the context requires otherwise, a license issued by the Board.</text> </paragraph> <paragraph num="(12)"> <text>“Licensee” means an individual awarded a license by the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements."> <paragraph num="A."> <text>Licensee Requirements.</text> <paragraph num="(1)"> <text>A licensee shall complete, as a condition for a license renewal, a minimum 6 credit hours of approved continuing education.</text> </paragraph> <paragraph num="(2)"> <text>A licensee shall provide proof of completion of continuing education courses by uploading the documentation to the Board’s website as provided by the Department.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Course Provider Requirements.</text> <paragraph num="(1)"> <text>A course provider shall get approval from the Maryland Board of Cosmetologists’ designee or Education Coordinator.</text> </paragraph> <paragraph num="(2)"> <text>The course provider shall submit grades for continuing education courses by uploading the documentation to the Board’s website as provided by the Department.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Course Provider Fees."> <text>Fees charged by the Board are as follows:</text> <paragraph num="A."> <text>Course providers shall pay a nonrefundable fee for each continuing education provider application.</text> </paragraph> <paragraph num="B."> <text>Providers shall pay a nonrefundable fee for each continuing education course approval application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Course Content."> <paragraph num="A."> <text>The Board may approve continuing education courses that include, but are not limited to, the following topics:</text> <paragraph num="(1)"> <text>Business;</text> </paragraph> <paragraph num="(2)"> <text>Communicable and infectious disease control;</text> </paragraph> <paragraph num="(3)"> <text>The practice of cosmetology, esthetics, eyelash extension techniques, and nail techniques;</text> </paragraph> <paragraph num="(4)"> <text>Ethics and standards of professional practice;</text> </paragraph> <paragraph num="(5)"> <text>Occupational health and safety;</text> </paragraph> <paragraph num="(6)"> <text>Product knowledge;</text> </paragraph> <paragraph num="(7)"> <text>Sanitation; and</text> </paragraph> <paragraph num="(8)"> <text>State of Maryland laws and regulations.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The subject matter of the course shall meet the following requirements:</text> <paragraph num="(1)"> <text>Address the protection of health and safety of the general public;</text> </paragraph> <paragraph num="(2)"> <text>Enable the licensee to serve the objectives of the consumer in a cosmetology transaction; or</text> </paragraph> <paragraph num="(3)"> <text>Enable the licensee to develop competency and professionalism in a changing marketplace.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The course shall meet the following criteria:</text> <paragraph num="(1)"> <text>Cover the topic area cited in the applications;</text> </paragraph> <paragraph num="(2)"> <text>Have an outline detailing the sequence of topics and the amount of time allotted to each topic;</text> </paragraph> <paragraph num="(3)"> <text>Content may not be materially changed without prior written approval of the Board; and</text> </paragraph> <paragraph num="(4)"> <text>Consist of at least 1 clock hour.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Facilities."> <text>Each classroom in which courses are given shall:</text> <paragraph num="A."> <text>Meet all fire, safety, zoning, and Americans with Disabilities Act (ADA) requirements;</text> </paragraph> <paragraph num="B."> <text>Be of sufficient size to comfortably accommodate all enrolled students;</text> </paragraph> <paragraph num="C."> <text>Provide an appropriate learning environment; and</text> </paragraph> <paragraph num="D."> <text>Be free of distractions that would disrupt class sessions.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Conduct of Courses."> <paragraph num="A."> <text>Scheduling.</text> <paragraph num="(1)"> <text>The maximum permissible class session without a break is 90 minutes.</text> </paragraph> <paragraph num="(2)"> <text>A course scheduled for more than 4 hours in a single day shall include a meal break of at least 30 minutes, but not more than 90 minutes.</text> </paragraph> <paragraph num="(3)"> <text>A course shall begin promptly at the scheduled time.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Records.</text> <paragraph num="(1)"> <text>The course provider shall require each licensee to show photo identification in order to be admitted to a class for which the licensee has enrolled.</text> </paragraph> <paragraph num="(2)"> <text>The course provider shall maintain a sign-in sheet containing:</text> <paragraph num="(a)"> <text>The printed names and the signatures of all enrolled licensees on their arrival; and</text> </paragraph> <paragraph num="(b)"> <text>Notation by the instructor or monitor of the beginning and end times of any absences of the licensee from the class during the instructional period.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The course provider shall give each student at check-in a copy of the continuing education student information sheet furnished to the provider by the Board unless the sheet has previously been made available to students electronically.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Monitors.</text> <paragraph num="(1)"> <text>A monitor is not required if the class consists of 25 or fewer pre-registered students.</text> </paragraph> <paragraph num="(2)"> <text>Monitors are required under the following conditions:</text> <paragraph num="(a)"> <text>26 to 50 preregistered students — 1 monitor;</text> </paragraph> <paragraph num="(b)"> <text>51 to 100 preregistered students — 2 monitors; and</text> </paragraph> <paragraph num="(c)"> <text>More than 100 preregistered students — 1 additional monitor for each additional 100 students.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>The instructor shall teach the course in substantially the same manner as that set forth in the outline submitted to the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Distance Learning."> <paragraph num="A."> <text>The course provider of a distance learning course shall obtain approval of the technical aspects of a course from an entity recognized by the Board in the field of technical expertise before submitting the course to the Board for review of its substance and subject matter.</text> </paragraph> <paragraph num="B."> <text>Technical staff:</text> <paragraph num="(1)"> <text>The course provider’s technical staff may answer student questions about technical support and delivery method;</text> </paragraph> <paragraph num="(2)"> <text>The course provider’s technical staff may not answer questions about content; and</text> </paragraph> <paragraph num="(3)"> <text>The assigned instructor shall respond to questions from students about course content within 2 business days.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The course provider shall be responsible for establishing guidelines for the completion of a distance learning course and any specific components of the course.</text> </paragraph> <paragraph num="D."> <text>A distance learning instruction course shall include the following requirements:</text> <paragraph num="(1)"> <text>The student shall complete the instructional module or modules and receive a passing grade on a final examination administered and graded by the approved provider;</text> </paragraph> <paragraph num="(2)"> <text>The passing grade shall be 75 percent or higher; and</text> </paragraph> <paragraph num="(3)"> <text>If a student fails initially to achieve a passing score on a final exam, the student shall successfully pass the examination within the period set by the course provider in order to use the course for credit toward the continuing education requirement.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Student Affirmation.</text> <paragraph num="(1)"> <text>The course provider shall be responsible for obtaining from each student who has completed a distance learning course an affirmation that states, “I (name of student) affirm that I have personally completed every requirement of the course and that I have not provided any aspect of the course to others.”</text> </paragraph> <paragraph num="(2)"> <text>The course provider may obtain the affirmation described in §E(1) of this regulation by electronic means.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Audit."> <paragraph num="A."> <text>The Board shall conduct random audits of licensees in conjunction with license renewal requirements.</text> </paragraph> <paragraph num="B."> <text>The Board shall send an audit letter at the close of the renewal period to licensees subject to audit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Penalties."> <text>A licensee who submits false continuing education documentation at the time of license renewal shall be subject to any and all available disciplinary action available pursuant to Business Occupations and Professional Article, §5-314, Annotated Code of Maryland</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§5-205 and 5-311, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: Effective date: May 1, 2023 (50:8 Md. R. 337)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective March 2, 2026 (53:4 Md. R. 184)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A amended effective March 2, 2026 (53:4 Md. R. 184)</annotation> </annotations> </chapter> </subtitle> <subtitle num="23" heading="Board for Professional Engineers"> <chapter num="01" heading="Procedural Regulations"> <regulation prefix="Regulation" num=".01" heading="Duties of Board Officers."> <paragraph num="A."> <text>The Chairman shall preside at meetings of the Board, execute the decisions of the Board, and perform other duties which the Board may from time to time direct.</text> </paragraph> <paragraph num="B."> <text>The Vice-Chairman shall perform duties that the Board may from time to time direct. In the absence of the Chairman, the Vice-Chairman shall preside at meetings of the Board and perform other duties of the Chairman as directed by the Board.</text> </paragraph> <paragraph num="C."> <text>The Secretary shall perform such duties as the Board may from time to time direct.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Board Meetings."> <paragraph num="A."> <text>A meeting of the Board shall be held each month at the Maryland Department of Labor for the purpose of acting upon applications and conducting other business, except that a specific meeting may be cancelled by the consent of the Board.</text> </paragraph> <paragraph num="B."> <text>The regular meeting held in the month of July shall be designated the Annual Meeting. At this meeting, Board officers shall be elected for the fiscal year beginning July 1. If the July meeting is cancelled, the next regular meeting shall be designated the Annual Meeting.</text> </paragraph> <paragraph num="C."> <text>Special meetings, in addition to the regular meetings, may be held at any time or location at the discretion of the Board.</text> </paragraph> <paragraph num="D."> <text>A special meeting may be called by the Board or by the Chairman.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Licensee's Seal."> <paragraph num="A."> <text>A licensee who engages in the practice of engineering in Maryland shall obtain an impression seal or a rubber stamp facsimile.</text> </paragraph> <paragraph num="B."> <text>A licensee's seal shall be a seal consisting of the pictorial device of the Great Seal of Maryland as a center, surrounded by the words “State of Maryland” and “Professional Engineer” and the licensee's name and license number.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Examinations."> <paragraph num="A."> <text>All examinations, except by specific action of the Board to the contrary, shall be those developed by the National Council of Examiners for Engineering and Surveying (NCEES).</text> </paragraph> <paragraph num="B."> <text>An applicant shall apply directly to NCEES to take or retake the Fundamentals of Engineering examination.</text> </paragraph> <paragraph num="C."> <text>An applicant to take or retake any of the Principles and Practice of Engineering examinations (the PE examination) shall apply directly to the Board. Applications which are not complete in all respects, as detailed in the most current application form, will not be reviewed by the Board.</text> </paragraph> <paragraph num="D."> <text>An applicant who fails any PE examination three times may take the examination again only if the applicant complies with the requirements set forth in Business Occupations and Professions Article, §14-309, Annotated Code of Maryland, and submits to the Board documentation that is acceptable to the Board indicating the applicant’s updated work experience or education.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§14-205 and 14-208; State Government Article, §10-204; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective dates:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.08 effective April 9, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 effective November 27, 1974 (1:5 Md. R. 241)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective January 23, 1981 (8:2 Md. R. 111)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective April 23, 1984 (11:8 Md. R. 714)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective December 24, 1982 (9:24 Md. R. 2389); July 9, 1990 (17:13 Md. R. 1610)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09C—F amended effective February 14, 1983 (10:3 Md. R. 209)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 28, 1992 (19:19 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective March 1, 2004 (31:4 Md. R. 314)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective June 13, 2011 (38:12 Md. R. 704); September 1, 2014 (41:17 Md. R. 970); April 8, 2019 (46:7 Md. R. 370)</annotation> </annotations> </chapter> <chapter num="02" heading="Hearing Regulations"> <regulation prefix="Regulation" num=".01" heading="Hearings Before the Board."> <paragraph num="A."> <text>Except as otherwise provided in §B of this regulation, all contested case hearings before the Board are governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>The administrative unit shall send the hearing notice described in COMAR 09.01.02.07B at least 30 days before the hearing.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Hearings Delegated to the Office of Administrative Hearings."> <text>All contested case hearings delegated to the Office of Administrative Hearings are governed by COMAR 09.01.03.</text> </regulation> <annotations> <annotation type="Authority">State Government Article, §10-204; Business Occupations and Professions Article, §§14-205 and 14-208; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 23, 1981 (8:2 Md. R. 111)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 28, 1992 (19:19 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.08 repealed and new Regulations .01 and .02 adopted effective March 1, 2004 (31:4 Md. R. 314)</annotation> </annotations> </chapter> <chapter num="03" heading="Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Responsibility to the Public."> <text>A licensee shall make every reasonable effort to protect the safety, health, property, and welfare of the public. If the licensee's professional judgement is overruled under circumstances when the safety, health, property, or welfare of the public is endangered, the licensee shall inform the employer or client of the possible consequences.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Public Statements, Reports, and Testimony."> <paragraph num="A."> <text>A licensee making public statements on engineering questions shall disclose when the licensee is being compensated for making the statement.</text> </paragraph> <paragraph num="B."> <text>A licensee may express publicly a professional opinion on an engineering subject only when that opinion is founded upon adequate knowledge of the material facts and a background of technical competence in the subject matter.</text> </paragraph> <paragraph num="C."> <text>In any professional report, statement, or testimony, a licensee may not be untruthful, deceptive, or misleading.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Competency for Assignments Undertaken or Approved."> <paragraph num="A."> <text>In practicing engineering, a licensee shall act with reasonable care and competence, and shall apply the technical knowledge and skills which are ordinarily applied by professional engineers of good standing, practicing in the same field of engineering.</text> </paragraph> <paragraph num="B."> <text>A licensee may undertake to perform engineering assignments only when qualified to do so by education or experience, or both, in the specific field of engineering involved.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Conflicts of Interest."> <paragraph num="A."> <text>A licensee shall make every effort to avoid conflicts of interest with the employer or client. Whenever conflicts of interest appear unavoidable, however, the licensee shall disclose promptly and fully all the circumstances to the employer or client.</text> </paragraph> <paragraph num="B."> <text>A licensee shall inform promptly an employer or client of any business association, interest, or circumstances which may influence the judgment or the quality of services rendered to the employer or client.</text> </paragraph> <paragraph num="C."> <text>A licensee may not accept compensation, financial or other, from more than one party for services pertaining to a project unless full disclosure is made by the licensee to all interested parties.</text> </paragraph> <paragraph num="D."> <text>A licensee may not solicit or accept financial or other valuable consideration from any material or equipment supplier for specifying the supplier's products, except when the licensee is a previously announced employee or agent of the supplier.</text> </paragraph> <paragraph num="E."> <text>When acting as the interpreter of engineering documents and the judge of performance under the documents, a licensee shall render decisions impartially, not favoring either party to the documents.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Full Disclosure."> <paragraph num="A."> <text>A licensee shall accurately represent to a prospective or existing client or employer the licensee's qualifications and the scope of the licensee's responsibility in connection with work for which the licensee is claiming credit.</text> </paragraph> <paragraph num="B."> <text>A licensee may not deliberately make a materially false statement or fail deliberately to disclose a material fact requested in connection with the licensee's application for licensure or renewal of licensure.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Compliance with Laws."> <paragraph num="A."> <text>In the conduct of the licensee's engineering practice, the licensee may not knowingly violate any state or federal criminal laws.</text> </paragraph> <paragraph num="B."> <text>A licensee shall comply with the licensing laws and regulations governing the licensee's professional practice in this or any other jurisdiction in which the licensee practices engineering.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Professional Conduct."> <paragraph num="A."> <text>A licensee may not either offer or make any payment or gift to a government official, whether elected or appointed, with the intent of influencing the official's judgment in connection with a prospective or existing project in which the licensee is interested.</text> </paragraph> <paragraph num="B."> <text>A licensee may not either offer or make any gifts, other than gifts of nominal value including, for example, reasonable entertainment and hospitality, with the intent of influencing the judgment of an existing or prospective client in connection with a project in which the licensee is interested.</text> </paragraph> <paragraph num="C."> <text>A licensee may not engage in conduct involving fraud or wanton disregard of the rights of others.</text> </paragraph> <paragraph num="D."> <text>A licensee may not assist the application for licensure of a person known by the licensee to be unqualified in respect to education, training, experience, or character.</text> </paragraph> <paragraph num="E."> <text>A licensee possessing knowledge of a violation of this chapter by another licensee shall report this knowledge to the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Names of Entities."> <paragraph num="A."> <text>An individual, a partnership, a corporation, a limited liability company, or any other entity through which engineering is practiced, shall use a name that complies with appropriate requirements set forth in the Corporations and Associations Article, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 14, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>A business entity may not use the term “engineering” or any of its derivatives, unless that entity employs, on a regular basis, a licensed professional engineer.</text> </paragraph> <paragraph num="C."> <text>A misleading designation may not be used or implied in the name of a sole proprietorship, partnership, or corporation, limited liability company, or any other entity offering engineering services in Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Signing and Sealing Requirements."> <paragraph num="A."> <text>A licensee may sign and seal plans, specifications, drawings, reports, or other documents that are required to be signed and sealed pursuant to the Business Occupations and Professions Article, §14-4A-02, Annotated Code of Maryland, only if the following requirements are met:</text> <paragraph num="(1)"> <text>The licensee is competent in the subject matter of those documents by virtue of education or experience, or both; and</text> </paragraph> <paragraph num="(2)"> <text>The licensee either:</text> <paragraph num="(a)"> <text>Personally prepared the documents, or</text> </paragraph> <paragraph num="(b)"> <text>Approved the documents.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Definition. For purposes of §A(2)(b) of this regulation, the term “approved” means that the licensee satisfied the following criteria:</text> <paragraph num="(1)"> <text>Had technical knowledge and responsible control over the content of technical submissions during their preparation; and</text> </paragraph> <paragraph num="(2)"> <text>Performed substantive review and had authority to make revisions with regard to the preparation of submissions described in this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A licensee may complete, correct, revise, or add to the work performed by another licensee when engaged to do so by a client, if the following requirements are met:</text> <paragraph num="(1)"> <text>The client furnishes the documentation of the work submitted to the client by the first licensee;</text> </paragraph> <paragraph num="(2)"> <text>The first licensee, if still engaged in a business of providing engineering services, is notified in writing by the second licensee of the engagement referred to in this section immediately upon acceptance of the engagement; and</text> </paragraph> <paragraph num="(3)"> <text>The second licensee signs, seals, and is responsible for the completions, corrections, revisions, or additions that the second licensee made.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Nothing in §C of this regulation is intended to relieve the first licensee from any liability that the first licensee is deemed to assume for work performed by the first licensee pursuant to the requirements set forth in this regulation.</text> </paragraph> <paragraph num="E."> <text>Original Signature.</text> <paragraph num="(1)"> <text>A licensee who prepared or approved documents in accordance with the criteria set forth in this regulation shall place the licensee’s original signature and date of the signature on the documents required to be signed and sealed pursuant to Business Occupations and Professions Article, §14-4A-02, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>For the purposes of this regulation, the term “original signature” means:</text> <paragraph num="(a)"> <text>A handwritten signature in permanent ink; or</text> </paragraph> <paragraph num="(b)"> <text>A digital signature, which satisfies the following requirements:</text> <paragraph num="(i)"> <text>It contains identification unique to a licensee using it, such as the licensee’s name and license number;</text> </paragraph> <paragraph num="(ii)"> <text>It is under the exclusive control of the licensee using it;</text> </paragraph> <paragraph num="(iii)"> <text>It cannot be repudiated and is independently verifiable; and</text> </paragraph> <paragraph num="(iv)"> <text>It is linked to the document in such a manner that any subsequent modifications to the document after the digital signature was appended to it will result in the document no longer being prepared or approved by the licensee.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Nothing in this regulation is intended to modify any of the requirements applicable to professional certifications or titleblocks more specifically set forth in Regulation .10 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Titleblock Rules."> <paragraph num="A."> <text>A person may not remove a titleblock from any print or reproduction of the documents described in this chapter.</text> </paragraph> <paragraph num="B."> <text>The titleblock shall contain at least the printed name of the engineering entity.</text> </paragraph> <paragraph num="C."> <text>The directors of a corporation, partners of a partnership, or members of a limited liability company through which engineering is practiced, may designate another employee of the entity to sign and seal the documents in accordance with the requirements set forth in this chapter, if:</text> <paragraph num="(1)"> <text>The designee is licensed in the State to practice engineering; and</text> </paragraph> <paragraph num="(2)"> <text>The designee prepared or approved the documents for a particular project in accordance with this chapter.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Documents described in this chapter shall contain the following certification: “Professional Certification. I hereby certify that these documents were prepared or approved by me, and that I am a duly licensed professional engineer under the laws of the State of Maryland, License No._____, Expiration Date:_______________.”</text> </paragraph> <paragraph num="E."> <text>The titleblock, certification, seal, and signature shall appear close to each other.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Failure to Respond."> <paragraph num="A."> <text>An applicant or licensee shall respond in writing to a written communication from the Board within 30 days of the date of mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last known address furnished to the Board by an applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Board in writing if there has been a change in applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §14-317(a)(1)(vi), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§14-205, 14-208, and 14-4A-02, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: June 11, 1975 (2:13 Md. R. 929)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01, .04, .05, and .07 amended effective December 29, 1978 (5:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Originally promulgated as COMAR 09.23.01.10. Recodified effective January 23, 1981 (8:2 Md. R. 111)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D adopted effective September 7, 1987 (14:18 Md. R. 1965)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 28, 1992 (19:19 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02—.06 repealed and new Regulations .02—.10 adopted effective December 29, 1997 (24:26 Md. R. 1757)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective March 1, 2004 (31:4 Md. R. 314)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective September 1, 2014 (41:17 Md. R. 970)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09E amended effective July 16, 2018 (45:14 Md. R. 696)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10D,E adopted effective July 2, 2007 (34:13 Md. R. 1151)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 adopted effective October 20, 2008 (35:21 Md. R. 1824)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective December 17, 2018 (45:25 Md. R. 1205)</annotation> </annotations> </chapter> <chapter num="04" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§2-106.1 and 2-106.2, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 14, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Architects, the State Board of Certified Interior Designers, the State Board of Examiners of Landscape Architects, the State Board for Professional Engineers, and the State Board for Professional Land Surveyors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board for Professional Engineers.</text> </paragraph> <paragraph num="(2)"> <text>“Design boards” means collectively the:</text> <paragraph num="(a)"> <text>State Board of Architects;</text> </paragraph> <paragraph num="(b)"> <text>State Board of Certified Interior Designers;</text> </paragraph> <paragraph num="(c)"> <text>State Board of Examiners of Landscape Architects;</text> </paragraph> <paragraph num="(d)"> <text>Board; and</text> </paragraph> <paragraph num="(e)"> <text>State Board for Professional Land Surveyors.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a limited license and a reciprocal license.</text> </paragraph> <paragraph num="(4)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the design boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the design boards. Based on these calculations, the Board sets the following fees:</text> <paragraph num="(1)"> <text>License fee — $86;</text> </paragraph> <paragraph num="(2)"> <text>Permit fee — $112;</text> </paragraph> <paragraph num="(3)"> <text>Engineer-in-training certification fee — $17;</text> </paragraph> <paragraph num="(4)"> <text>Nonrefundable initial application fee payable in connection with:</text> <paragraph num="(a)"> <text>An application for license — $56;</text> </paragraph> <paragraph num="(b)"> <text>An application for license by reciprocity — $56;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Reinstatement fee — $112;</text> </paragraph> <paragraph num="(6)"> <text>Retired Status License fee — $56;</text> </paragraph> <paragraph num="(7)"> <text>Reactivation fee — $112;</text> </paragraph> <paragraph num="(8)"> <text>Verification fee — $22;</text> </paragraph> <paragraph num="(9)"> <text>Replacement license certificate fee — $39.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An applicant for the appropriate licensing examination shall pay the examination, re-examination, or testing service fees directly to the National Council of Examiners for Engineering and Surveying (NCEES), as these fees are established by NCEES.</text> </paragraph> <paragraph num="C."> <text>An applicant approved by the Board to take the appropriate licensing examination, and to whom the Board or the Board’s designee sent an applicable admission notice, is not entitled to a refund of applicable fees paid under §B of this regulation.</text> </paragraph> <paragraph num="D."> <text>An applicant who notifies the Board or the Board’s designee of the applicant's election not to take the appropriate licensing examination before the Board or the Board’s designee sends to the applicant an applicable admission notice is entitled to a refund of applicable fees under §B of this regulation.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§14-101, 14-205, 14-207—14-209, 14-306, 14-307, 14-307.1, 14-310—14-312, 14-314—14-316, and 14-320; Business Regulation Article, §§2-106, 2-106.1, and 2-106.2; State Government Article, §10-204; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 28, 1981 (8:19 Md. R. 1565)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 25, 1983 (10:8 Md. R. 725); December 28, 1987 (14:26 Md. R. 2745); August 8, 1988 (15:16 Md. R. 1914); October 17, 1988 (15:21 Md. R. 2468); July 19, 1993 (20:14 Md. R. 1168); February 28, 1994 (21:4 Md. R. 276)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulation .01 adopted as an emergency provision effective August 22, 1997 (24:19 Md. R. 1335); adopted permanently effective December 29, 1997 (24:26 Md. R. 1757)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective October 15, 1998 (25:23 Md. R. 1694); emergency status expired April 15, 1999</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective June 7, 1999 (26:13 Md. R. 1017); emergency status expired August 22, 2000; amended permanently effective October 18, 1999 (26:21 Md. R. 1629)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective December 11, 2000 (28:1 Md. R. 20); amended permanently effective April 30, 2001 (28:8 Md. R. 760)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended as an emergency provision effective February 25, 2000 (27:7 Md. R. 703); amended permanently effective October 30, 2000 (27:21 Md. R. 1975)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective December 24, 1982 (9:24 Md. R. 2389)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 repealed effective September 28, 1992 (19:19 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulations .01—.03 adopted as an emergency provision effective July 1, 2003 (30:14 Md. R. 933); adopted permanently effective November 10, 2003 (30:22 Md. R. 1579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective July 11, 2011 (38:14 Md. R. 789)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective March 12, 2007 (34:5 Md. R. 560); November 1, 2010 (37:22 Md. R. 1553); January 23, 2012 (39:1 Md. R. 17); March 4, 2013 (40:4 Md. R. 345); December 12, 2013 (40:24 Md. R. 2016); July 8, 2024 (51:13 Md. R. 647)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective May 10, 2004 (31:9 Md. R. 712)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended as an emergency provision effective April 13, 2008 (35:9 Md. R. 892); amended permanently effective July 17, 2008 (35:14 Md. R. 1246)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B, E amended as an emergency provision effective April 4, 2006 (33:9 Md. R. 795); amended permanently effective August 14, 2006 (33:16 Md. R. 1365)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective January 23, 2012 (39:1 Md. R. 17); November 11, 2013 (40:22 Md. R. 1876); April 24, 2017 (Md. R. 402); September 10, 2018 (45:18 Md. R. 834)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E repealed effective September 10, 2018 (45:18 Md. R. 834)</annotation> </annotations> </chapter> <chapter num="05" heading="Unapproved Option—Engineering Curriculum"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the Board for Professional Engineers.</text> </paragraph> <paragraph num="(2)"> <text>“Engineering subject” means an area of study rooted in mathematics and basic sciences but carried further towards creative application and design by providing a bridge between basic science and engineering practice.</text> </paragraph> <paragraph num="(3)"> <text>“One quarter hour” means credit which is awarded for instruction equivalent to 2/3 of the contact hours required for 1 semester hour of credit.</text> </paragraph> <paragraph num="(4)"> <text>“One semester hour” means credit which is awarded for a minimum of:</text> <paragraph num="(a)"> <text>15 hours (50 minutes each) of actual class time, exclusive of registration, study days, and holidays;</text> </paragraph> <paragraph num="(b)"> <text>30 (50 minutes each) of supervised laboratory time, exclusive of registration, study days, and holidays.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Engineering Curriculum."> <paragraph num="A."> <text>An engineering curriculum is a course of study which imparts knowledge of the mathematical and natural sciences and trains an individual to apply that knowledge to developing ways to use the materials and forces of nature for the benefit of mankind. An “engineering curriculum of 4 scholastic years or more” is defined to be both an approved and unapproved college or university engineering and sciences curriculum consisting of at least:</text> <paragraph num="(1)"> <text>15 semester-hours of instruction in mathematics that emphasizes mathematical concepts and principles rather than computation, which shall include differential calculus, integral calculus, and differential equations;</text> </paragraph> <paragraph num="(2)"> <text>15 semester-hours of instruction in basic sciences including general chemistry and general physics with calculus;</text> </paragraph> <paragraph num="(3)"> <text>30 semester-hours of instruction in engineering subjects, that includes a course, project, or thesis that focuses upon engineering design; and</text> </paragraph> <paragraph num="(4)"> <text>15 semester-hours of instruction in advanced mathematics, basic science, or engineering.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Incorporated in the engineering curriculum as integral elements of instruction shall be:</text> <paragraph num="(1)"> <text>Hands-on, quantitative laboratory work correlated with the science and design instruction;</text> </paragraph> <paragraph num="(2)"> <text>For graduation subsequent to 1975, at least one high-level computer language such as FORTRAN, PASCAL, C/C++, or MATLAB so that the student is able to compose computer programs to solve problems in science and design; and</text> </paragraph> <paragraph num="(3)"> <text>Demonstrated familiarity with probability, statistics, and linear algebra.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Engineering Subject Courses."> <text>Engineering subject courses shall be selected from subject areas such as:</text> <paragraph num="A."> <text>Statics and dynamics;</text> </paragraph> <paragraph num="B."> <text>Strength of materials;</text> </paragraph> <paragraph num="C."> <text>Materials science;</text> </paragraph> <paragraph num="D."> <text>Thermodynamics;</text> </paragraph> <paragraph num="E."> <text>Transfer and transport phenomena;</text> </paragraph> <paragraph num="F."> <text>Electrical, electronic, and computer engineering;</text> </paragraph> <paragraph num="G."> <text>Solid state physics, nuclear physics, and quantum optics;</text> </paragraph> <paragraph num="H."> <text>Physical chemistry, inorganic, and organic chemistry;</text> </paragraph> <paragraph num="I."> <text>Electrodynamics;</text> </paragraph> <paragraph num="J."> <text>Digital signals and systems;</text> </paragraph> <paragraph num="K."> <text>Finite element analysis;</text> </paragraph> <paragraph num="L."> <text>Transient analysis and feedback control theory;</text> </paragraph> <paragraph num="M."> <text>Engineering design;</text> </paragraph> <paragraph num="N."> <text>Fluid mechanics, hydraulics, and gas dynamics;</text> </paragraph> <paragraph num="O."> <text>Civil and structural engineering;</text> </paragraph> <paragraph num="P."> <text>Sanitary and environmental engineering;</text> </paragraph> <paragraph num="Q."> <text>Computer science, other than computer programming skills;</text> </paragraph> <paragraph num="R."> <text>Biochemistry, biophysics, and biomechanics;</text> </paragraph> <paragraph num="S."> <text>Geochemistry and geophysics;</text> </paragraph> <paragraph num="T."> <text>Engineering economics; or</text> </paragraph> <paragraph num="U."> <text>Other subject areas acceptable to the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Evidence of Completion."> <text>An applicant who has graduated from a college or university curriculum which does not meet the standards set forth in Regulation .02 of this chapter may present to the Board evidence of satisfactory completion of instruction in other programs of study required by the Board to meet the requirements of Regulation .02 of this chapter.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Burden of Persuasion."> <text>The applicant shall:</text> <paragraph num="A."> <text>Have the burden of persuasion that the applicant's curriculum is substantially equal to the engineering curriculum defined in Regulation .02 of this chapter.</text> </paragraph> <paragraph num="B."> <text>Submit a university circular, official college catalog which includes, as a minimum, brief course descriptions of the courses identified in the student academic transcript or an independent evaluation satisfactory to the Board. When the evidence submitted by the applicant does not appear to the Board to qualify the curriculum as an engineering curriculum, the Board may require the applicant to submit further evidence.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Approved and Unapproved Curricula."> <text>The Board considers an applicant's curriculum to be an approved curriculum if the applicant is:</text> <paragraph num="A."> <text>A graduate of a bachelor's degree program in a branch of engineering for which the college or university has met the basic-level criteria of the Engineering Accreditation Commission (EAC) of the Accreditation Board for Engineering and Technology (ABET), and which is listed in the ABET Accreditation Yearbook, as it may be amended or modified from time to time;</text> </paragraph> <paragraph num="B."> <text>A graduate of a master's or doctoral degree program in a branch of engineering for which the college or university has met the advanced-level criteria of the EAC/ABET, and which is listed in the ABET Accreditation Yearbook, as it may be amended or modified from time to time;</text> </paragraph> <paragraph num="C."> <text>A graduate of a master's or doctoral degree program in a branch of engineering for which the college or university has met the basic-level criteria described in §A of this regulation; or</text> </paragraph> <paragraph num="D."> <text>A graduate of a degree program approved by the Board.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§14-205, 14-208, and 14-305, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 14, 1988 (15:1 Md. R. 19)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 28, 1992 (19:19 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective June 26, 2000 (27:12 Md. R. 1139)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective March 4, 2002 (29:4 Md. R. 417)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03F—H and M amended and N—U adopted effective March 4, 2002 (29:4 Md. R. 417)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 repealed and Regulation .06 amended and recodified to Regulation .05 effective March 4, 2002 (29:4 Md. R. 417)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective March 4, 2002 (29:4 Md. R. 417)</annotation> </annotations> </chapter> <chapter num="06" heading="Continuing Professional Competency Requirements"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The public interest requires that professional engineers provide competent services in all areas of practice. The State legislature has determined that it is in the best interest of the public to require professional engineers to comply with the continuing professional competency requirements as a prerequisite to the renewal of a license.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Activity” means attending and completing any qualifying courses, seminars, workshops, technical presentations, and other qualifying programs with a clear purpose and objective that will maintain, improve, or expand the skills and knowledge relevant to the licensee’s field of practice. Regular duties in the course of employment are not considered qualified activities.</text> </paragraph> <paragraph num="(2)"> <text>"Authorized provider” means an organization or individual reviewed and approved by the Board.</text> </paragraph> <paragraph num="(3)"> <text>“Board” means the State Board for Professional Engineers.</text> </paragraph> <paragraph num="(4)"> <text>“Dual Licensee” means a person who is licensed as both a professional engineer and a professional land or property line surveyor.</text> </paragraph> <paragraph num="(5)"> <text>“NCEES” means the National Council of Examiners for Engineering and Surveying.</text> </paragraph> <paragraph num="(6)"> <text>“Professional Development Hour (PDH)” means a contact hour (nominal) of instruction or presentation and is the common denominator for other units of credit.</text> </paragraph> <paragraph num="(7)"> <text>“Qualifying program” means any course, seminar, workshop, technical presentation, or other qualifying offering that meets the criteria set forth in Regulation .04 of this chapter.</text> </paragraph> <paragraph num="(8)"> <text>“Reporting period” means a 2-year licensing period immediately preceding a current individual licensing term.</text> </paragraph> <paragraph num="(9)"> <text>“Self-directed activity” means an activity that does not involve a face-to-face direct learning experience. The self-directed activity may include, but is not limited to, correspondence courses, online courses, and televised, videotaped, or audiotaped presentations and shall provide for, in addition to the requirements in Regulation .04 of this chapter, clear outcome measures in the form of a narrative, test, report, study, research paper, or any other appropriate form or method.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements."> <paragraph num="A."> <text>A licensee shall complete a minimum of 16 PDH units earned from the participation in and completion of qualifying programs described in Regulation .04 of this chapter as a condition of license renewal in each individual biennial licensing term.</text> </paragraph> <paragraph num="B."> <text>A minimum of 1 PDH unit in each individual biennial licensing term shall be earned from the participation in and the completion of qualifying programs with content areas related to the following:</text> <paragraph num="(1)"> <text>The awareness of ethical concerns and conflicts related to the practice of engineering;</text> </paragraph> <paragraph num="(2)"> <text>An enhanced familiarity with the code of conduct for professional engineers;</text> </paragraph> <paragraph num="(3)"> <text>An understanding of standards of practice or care related to the practice of engineering; or</text> </paragraph> <paragraph num="(4)"> <text>Laws and regulations applicable to the practice of engineering in Maryland.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A maximum of 8 PDH units earned in excess of 16 units that are required for a license renewal during the licensing term can be carried forward to apply as credit toward the next individual licensing term.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Qualifying Programs."> <paragraph num="A."> <text>Programs shall meet at least the following criteria in order to be considered qualifying programs:</text> <paragraph num="(1)"> <text>Maintain and enhance professional competency of professional engineers; and</text> </paragraph> <paragraph num="(2)"> <text>Foster improvement, advancement, and extension of professional skills and knowledge related to the practice of engineering.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Qualifying programs shall have the following content areas:</text> <paragraph num="(1)"> <text>Technical, research, analytical, or design aspects of engineering;</text> </paragraph> <paragraph num="(2)"> <text>Laws and regulations applicable to the practice of engineering in Maryland;</text> </paragraph> <paragraph num="(3)"> <text>Engineering-related computer hardware and software topics;</text> </paragraph> <paragraph num="(4)"> <text>Standards of practice or care;</text> </paragraph> <paragraph num="(5)"> <text>Professional engineering ethics;</text> </paragraph> <paragraph num="(6)"> <text>Project management, risk assessment and management, or emergency and disaster management; or</text> </paragraph> <paragraph num="(7)"> <text>Similar topics aimed to maintain, improve, or expand the skills and knowledge relevant to the licensee’s field of practice.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The determination of whether the activity constitutes a qualifying activity is within the discretion of the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Sources of Credit."> <paragraph num="A."> <text>A licensee may earn PDH units by any of the following methods:</text> <paragraph num="(1)"> <text>Attending and successfully completing qualifying programs in which the teaching methodology consists primarily of systematic presentation of subjects related to the practice of engineering, and which programs are:</text> <paragraph num="(a)"> <text>Offered by pre-approved or other authorized providers;</text> </paragraph> <paragraph num="(b)"> <text>Have a stated purpose and defined content areas; and</text> </paragraph> <paragraph num="(c)"> <text>Have a clearly stated duration.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Serving as a single or first author of an original paper on engineering subject matters published in magazines, journals, professional proceedings, or other similar publications intended for professional use and distribution;</text> </paragraph> <paragraph num="(3)"> <text>Serving as a single or first author of an original published book on engineering subject matters that exhibits excellence in scholarship and has a significant impact and influence on the direction of engineering;</text> </paragraph> <paragraph num="(4)"> <text>Subject to limitations set forth in Regulation .06 of this chapter, active participation in an engineering professional or technical society;</text> </paragraph> <paragraph num="(5)"> <text>Obtaining a patent;</text> </paragraph> <paragraph num="(6)"> <text>Subject to limitations set forth in this Regulation .05, teaching or lecturing of a qualified program, as described in Regulation .04 of this chapter;</text> </paragraph> <paragraph num="(7)"> <text>Developing examination questions accepted for use on NCEES examinations; or</text> </paragraph> <paragraph num="(8)"> <text>Other appropriate methods approved by the Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A licensee may not earn credits for such activities as:</text> <paragraph num="(1)"> <text>Regular employment as a professional engineer, full-time faculty member, or expert witness;</text> </paragraph> <paragraph num="(2)"> <text>Marketing or business development or sales;</text> </paragraph> <paragraph num="(3)"> <text>Equipment demonstrations or trade show displays;</text> </paragraph> <paragraph num="(4)"> <text>Time management techniques and strategies;</text> </paragraph> <paragraph num="(5)"> <text>Computer-aided drafting;</text> </paragraph> <paragraph num="(6)"> <text>Repetitive attendance of the same course or activity;</text> </paragraph> <paragraph num="(7)"> <text>Attending committee meetings or general business meetings of any organization;</text> </paragraph> <paragraph num="(8)"> <text>Conversational language courses for personal use;</text> </paragraph> <paragraph num="(9)"> <text>Executive coaching;</text> </paragraph> <paragraph num="(10)"> <text>Basic computer software, including, but not limited to, Excel, Word, Outlook, and similar basic computer software; or</text> </paragraph> <paragraph num="(11)"> <text>Any other topics not relevant to the practice of engineering.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Values of Units."> <paragraph num="A."> <text>PDH units are earned or converted from other units of credit as follows:</text> <paragraph num="(1)"> <text>1 college or unit semester hour — 45 PDH units;</text> </paragraph> <paragraph num="(2)"> <text>1 college or unit quarter hour — 30 PDH units;</text> </paragraph> <paragraph num="(3)"> <text>1 continuing education unit — 10 PDH units;</text> </paragraph> <paragraph num="(4)"> <text>Each published paper or article on an engineering subject as identified in Regulation .04 of this chapter — 5 PDH units;</text> </paragraph> <paragraph num="(5)"> <text>Each published book on an engineering subject — 24 PDH units;</text> </paragraph> <paragraph num="(6)"> <text>Teaching of engineering and related subjects on a part-time basis, provided that:</text> <paragraph num="(a)"> <text>The presenter may claim credit for the first time presentation of the qualifying program; and</text> </paragraph> <paragraph num="(b)"> <text>The presenter may claim up to 2 times the number of PDH units awarded by the Board for the same program;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Participation in engineering, professional or technical societies, regardless of the number of organizations a licensee may be serving on simultaneously, as an officer, provided that the credit is not considered earned until the end of each year of service completed — 1 PDH unit;</text> </paragraph> <paragraph num="(8)"> <text>Work related to the development and submission of examination questions subject to the following limitations:</text> <paragraph num="(a)"> <text>Questions accepted for use on NCEES examinations — 2 PDH units per accepted question, up to 4 PDH units per year; and</text> </paragraph> <paragraph num="(b)"> <text>Attendance and participation in NCEES exam development committee meetings — up to 6 PDH units per year; and</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>Obtaining a patent — 8 PDH units.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The final determinations of value and other matters related to the PDH units are the responsibility of the licensee, subject to review and approval by the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Authorizations of Providers/Other Presenters."> <paragraph num="A."> <text>The Board will review and, if appropriate, approve the providers of the qualifying programs.</text> </paragraph> <paragraph num="B."> <text>Providers’ Eligibility/Other Presenters.</text> <paragraph num="(1)"> <text>The following providers are considered to be preauthorized providers without any further action by the Board:</text> <paragraph num="(a)"> <text>National (ABET/EAC), regional, or State accredited academic institutions;</text> </paragraph> <paragraph num="(b)"> <text>National, State, or regional engineering professional or technical societies or organizations;</text> </paragraph> <paragraph num="(c)"> <text>NCEES;</text> </paragraph> <paragraph num="(d)"> <text>American Council of Engineering Companies;</text> </paragraph> <paragraph num="(e)"> <text>International Association for Continuing Education and Training;</text> </paragraph> <paragraph num="(f)"> <text>Entities that are currently certified as approved providers by preauthorized providers; and</text> </paragraph> <paragraph num="(g)"> <text>Other entities that may from time to time become approved by the Board.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In order to be eligible to become an approved provider, the provider must offer the qualifying activity that meets the criteria set forth in Regulation .04 of this chapter.</text> </paragraph> <paragraph num="(3)"> <text>The Board may allow appropriate credits for the attendance and participation in a technical activity or presentation by companies or organizations, whether or not approved by the Board under this regulation, if:</text> <paragraph num="(a)"> <text>The activity or presentation is consistent with Regulation .04 of this chapter; and</text> </paragraph> <paragraph num="(b)"> <text>A licensee maintains required documentation in accordance with Regulation .08 of this chapter, including a test or other appropriate outcome measure acceptable to the Board.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Approval of Providers.</text> <paragraph num="(a)"> <text>The individuals or entities that are not considered to be pre-approved providers, including, but not limited to, professional firms conducting in-house presentations, may be approved by the Board to become authorized providers upon application and approval by the Board.</text> </paragraph> <paragraph num="(b)"> <text>During the application process, the Board will evaluate the suitability of the provider to serve as an approved provider.</text> </paragraph> <paragraph num="(c)"> <text>The provider shall submit general information that will enable the Board to evaluate the provider’s qualifications. At a minimum, the Board requires the following information to be submitted with each application for approval:</text> <paragraph num="(i)"> <text>The types and descriptions of proposed or existing courses intended to be offered;</text> </paragraph> <paragraph num="(ii)"> <text>The number of PDH units to be awarded for each course;</text> </paragraph> <paragraph num="(iii)"> <text>The identity and qualifications of the course instructors;</text> </paragraph> <paragraph num="(iv)"> <text>The explanation and sample of outcome measures for any self-directed programs that may be offered; and</text> </paragraph> <paragraph num="(v)"> <text>The sample course outlines detailing the content of activity to be offered.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>The Board may suspend or revoke authorization as a provider if, in the judgment of the Board, the intent of Business Occupations and Professions Article, §14-314(f), Annotated Code of Maryland, is no longer served.</text> </paragraph> <paragraph num="(e)"> <text>An individual or organization whose provider's privilege has been suspended or revoked may appeal to the Board for a hearing, within 30 days after notification of the action by the Board.</text> </paragraph> <paragraph num="(f)"> <text>The Board may require approved providers to document the CPC activities for audit by the Board at any time within the 6-year period after the first presentation of the programs. Documentation shall include registration and attendance records, stated purpose, content, presentation, time and length of the activity, and participant evaluations.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>The Board shall maintain and make available to licensees, as often as it considers appropriate, a roster of approved providers.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Record Keeping."> <paragraph num="A."> <text>Responsibility to Maintain Records.</text> <paragraph num="(1)"> <text>The responsibility of maintaining records to be used to support the continuing professional competency credit claim is the responsibility of each licensee.</text> </paragraph> <paragraph num="(2)"> <text>A licensee shall maintain the records for a period of at least 4 years from the date of completion of the qualifying program.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Documentation referred to in §A(2) of this regulation, includes, but is not limited to, the following:</text> <paragraph num="(1)"> <text>Certificates of participation;</text> </paragraph> <paragraph num="(2)"> <text>Transcripts, if appropriate;</text> </paragraph> <paragraph num="(3)"> <text>Reprints of publications;</text> </paragraph> <paragraph num="(4)"> <text>Proof of presentations;</text> </paragraph> <paragraph num="(5)"> <text>Title and description of the activity;</text> </paragraph> <paragraph num="(6)"> <text>Dates and times attended;</text> </paragraph> <paragraph num="(7)"> <text>Presenter’s name; and</text> </paragraph> <paragraph num="(8)"> <text>Any other information that may be required by the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Reporting Requirements for License Renewal."> <paragraph num="A."> <text>A licensee shall attest on the license renewal form to the fact that the licensee has completed all applicable CPC requirements set forth in this chapter before the licensee’s license expiration date.</text> </paragraph> <paragraph num="B."> <text>The Board at its discretion may audit licensees to ascertain compliance with CPC requirements.</text> </paragraph> <paragraph num="C."> <text>Licensees who are audited shall provide any additional documentation required by the Board to complete the audit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Exceptions from Compliance with CPC Requirements."> <paragraph num="A."> <text>Notwithstanding other requirements set forth in this chapter, a licensee who is granted an initial license may renew a license for the next full term without complying with the CPC requirements if:</text> <paragraph num="(1)"> <text>The licensee has been granted an initial license and is renewing a license for the next full term; and</text> </paragraph> <paragraph num="(2)"> <text>The licensee qualifies under the criteria set forth in Title 2.5, Business Regulation Article, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Compliance Exception Request.</text> <paragraph num="(1)"> <text>If a licensee is unable to comply with all or part of CPC requirements due to physical disability, illness, or other extenuating circumstances, the licensee may request the Board or the Board’s administrative designee grant a one-time exception from compliance (Compliance Exception Request), provided that the Compliance Exception Request is filed with the Board or the Board’s administrative designee at least 30 days prior to the licensee’s license expiration date.</text> </paragraph> <paragraph num="(2)"> <text>If a Compliance Exception Request is based on physical disability or illness, the licensee must provide the Board or the Board’s designee with written documentation acceptable to the Board supporting the basis for the request.</text> </paragraph> <paragraph num="(3)"> <text>A Compliance Exception Request must be accompanied by a detailed proposal acceptable to the Board indicating the licensee’s intended plan of compliance with CPC requirements within no later than 6 months after the license expiration date. Failure to provide the acceptable plan of compliance within the time period specified in this regulation may result in the Board’s administrative dismissal of the Compliance Exception Request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Failure to Meet the CPC Requirements."> <text>In the event a licensee fails to comply with the CPC requirements set forth in this chapter, the Board, subject to the hearing provisions of Business Occupations and Professions Article, §14–319, Annotated Code of Maryland, may take any and all available disciplinary actions under Business Occupations and Professions Article, §14–317, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Reinstatement of License."> <text>A licensee who wishes to reinstate a license shall fulfill at least 16 PDH units by attending and successfully completing one or more qualifying programs described in Regulations .03 and .04 of this chapter for the immediately preceding CPC reporting period and pay all applicable fees.</text> </regulation> <regulation prefix="Regulation" num=".13" heading="Retired Status."> <text>An individual who elected to receive retired status license shall be exempt from the compliance with the CPC requirements. In the event such individual elects to have the license reactivated, the individual shall fulfill at least 16 PDH units by attending and successfully completing one or more qualifying programs described in Regulations .03 and .04 of this chapter.</text> </regulation> <regulation prefix="Regulation" num=".14" heading="Dual Licensees."> <text>A licensee who maintains current licenses in the State of Maryland both as a professional engineer and as a professional land or property line surveyor shall fulfill at least 8 PDH units that satisfy the CPC requirements set forth in COMAR 09.13.08 applicable to licensed professional land or property line surveyors, and at least 8 PDH units that satisfy the CPC requirements of this chapter.</text> </regulation> <regulation prefix="Regulation" num=".15" heading="CPC Units Earned in Other States."> <text>The Board will accept CPC units earned for qualifying activities completed in other jurisdictions, provided that:</text> <paragraph num="A."> <text>The activity is consistent and complies with the requisite criteria set forth in this chapter;</text> </paragraph> <paragraph num="B."> <text>An out-of-State licensee provides evidence of attending and completing a qualifying activity in another state, together with the applicable number of CPC units earned; and</text> </paragraph> <paragraph num="C."> <text>An out-of-State licensee otherwise fulfills all other applicable license renewal requirements in the State of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §14-314, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 11, 2011 (38:14 Md. R. 789)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective August 18, 2014 (41:16 Md. R. 945)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective January 15, 2018 (45:1 Md. R. 13)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15 adopted effective July 27, 2020 (47:15 Md. R. 713)</annotation> </annotations> </chapter> </subtitle> <subtitle num="24" heading="Board of Public Accountancy"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="The Board."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated:</text> <paragraph num="(1)"> <text>“Client” means the person that retains a licensee for the performance of professional services.</text> </paragraph> <paragraph num="(2)"> <text>Contingent Fee.</text> <paragraph num="(a)"> <text>“Contingent fee” means a fee established for the performance of any service pursuant to an arrangement in which no fee will be charged unless a specified finding or result is attained, or in which the amount of the fee is otherwise dependent upon the finding or result of the service.</text> </paragraph> <paragraph num="(b)"> <text>“Contingent fee” does not apply to professional services:</text> <paragraph num="(i)"> <text>Involving tax matters, if the fee is determined based on the results of judicial proceedings or the findings of governmental agencies; and</text> </paragraph> <paragraph num="(ii)"> <text>For which the fees are to be fixed by the courts or other public authorities.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Financial statements” means statements and related footnotes that purport to show actual or anticipated financial position which relates to a point in time or results of operations, cash flow, or changes in financial position which relate to a period of time, on the basis of generally accepted accounting principles or another comprehensive basis of accounting. The term includes specific elements, accounts, or items of the financial statements, but does not include incidental financial data included in management advisory services reports to support recommendations to a client, nor does it include tax returns and supporting schedules.</text> </paragraph> <paragraph num="(4)"> <text>“Management course” means a course in business-related subjects of 3 semester hours taken to fulfill the requirement for a major in accounting and includes the study of:</text> <paragraph num="(a)"> <text>Controlling;</text> </paragraph> <paragraph num="(b)"> <text>Decision making;</text> </paragraph> <paragraph num="(c)"> <text>Leadership;</text> </paragraph> <paragraph num="(d)"> <text>Organization; and</text> </paragraph> <paragraph num="(e)"> <text>Planning.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Other Compensation.</text> <paragraph num="(a)"> <text>“Other compensation” means compensation received by a licensee who is engaged in the practice of certified public accountancy other than for the performance of professional services, including compensation for the sale of products other than the work product of the licensee, or for referral of products or services of others.</text> </paragraph> <paragraph num="(b)"> <text>“Other compensation” does not include gifts valued at $100 or less in a single calendar year.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Practice of certified public accountancy” means to perform any of the following accountancy services:</text> <paragraph num="(a)"> <text>Conducting an audit or an examination of financial statements; or</text> </paragraph> <paragraph num="(b)"> <text>Providing a written certificate or opinion as to the correctness of the information or the fairness of the presentation of the information in any financial statement, schedule, report or exhibit.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Practice of Public Accountancy.</text> <paragraph num="(a)"> <text>“Practice of public accountancy” means the offering to perform or the performance by a person while holding out to the public as a licensee, for a client or potential client:</text> <paragraph num="(i)"> <text>Services involving the use of accounting or auditing skills, including the issuance of reports on financial statements;</text> </paragraph> <paragraph num="(ii)"> <text>One or more types of management advisory services, consulting, or financial planning services; or</text> </paragraph> <paragraph num="(iii)"> <text>The preparation of tax returns or the furnishing of advice on tax matters.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Practice of public accountancy” includes the practice of certified public accountancy.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Professional services” means any services performed or offered to be performed by a licensed certified public accountant or permit holder for a client in the course of the practice of public accountancy.</text> </paragraph> <paragraph num="(9)"> <text>“U.S. business law” means a course in accounting education of 3 or more semester hours taken to fulfill the requirement for a major in accounting, and includes the analysis and study of the law regarding:</text> <paragraph num="(a)"> <text>Agency;</text> </paragraph> <paragraph num="(b)"> <text>Contracts;</text> </paragraph> <paragraph num="(c)"> <text>Employment;</text> </paragraph> <paragraph num="(d)"> <text>Insurance;</text> </paragraph> <paragraph num="(e)"> <text>Negotiable instruments;</text> </paragraph> <paragraph num="(f)"> <text>Personal or real property; and</text> </paragraph> <paragraph num="(g)"> <text>Sales.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>Written Certificate or Opinion as to the Correctness of the Financial Statement or as to the Fairness of the Presentation.</text> <paragraph num="(a)"> <text>“Written certificate or opinion as to the correctness of the financial statement or as to the fairness of the presentation” means an opinion, report, or other form of language that states or implies assurance as to the reliability of any financial statements, and that also includes or is accompanied by any statement or implication that the person or firm issuing the written certificate or opinion has special knowledge or competence in accounting or auditing. This statement or implication of special knowledge or competence may arise from use by the issuer of the report of names or titles indicating that the person is a certified public accountant or auditor, or may arise from the language of the certificate or opinion itself.</text> </paragraph> <paragraph num="(b)"> <text>“Written certificate or opinion as to the correctness of the financial statement or as to the fairness of the presentation” includes any:</text> <paragraph num="(i)"> <text>Form of language which expressly disclaims an opinion when that form of language is conventionally understood to imply any positive assurance as to the reliability of the financial statements referred to; and</text> </paragraph> <paragraph num="(ii)"> <text>Other form of language that is conventionally understood to imply positive assurance or special knowledge or competence.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>“Written certificate or opinion as to the correctness of the financial statement or as to the fairness of the presentation” may include special competence on the part of the person or firm issuing the language in this subsection.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>The Board shall hold an annual meeting in July of each year or at such other time as the members of the Board may vote upon, for the purpose of electing officers. Monthly meetings may be held on dates mutually convenient to the members of the Board. Special meetings shall be held, after reasonable notice, at the call of the Chairman or of any two Board members. Notice of all meetings and hearings shall be published in the Maryland Register.</text> </paragraph> <paragraph num="C."> <text>The Chairman shall preside at all meetings and shall perform such duties as the Board may direct. At any meeting at which the Chairman is absent, the Secretary-Treasurer shall act in the Chairman's place.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Repealed." /> <regulation prefix="Regulation" num=".03" heading="Repealed." /> <regulation prefix="Regulation" num=".04" heading="Repealed." /> <regulation prefix="Regulation" num=".05" heading="Transfer of Grades."> <paragraph num="A."> <text>An applicant who has passed all sections of the Uniform CPA Examination in another state is entitled to receive a license to practice certified public accountancy from the Board without retaking the examination in Maryland if the applicant meets all of the following qualifications:</text> <paragraph num="(1)"> <text>The applicant either:</text> <paragraph num="(a)"> <text>Under the paper and pencil testing format, sat for all sections of the initial examination and all unsuccessfully completed sections of subsequent examination; or</text> </paragraph> <paragraph num="(b)"> <text>Under the computerized testing format, passed all sections of the examination within 18 months from the date the first section was passed;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The applicant is of good moral character;</text> </paragraph> <paragraph num="(3)"> <text>The applicant is 18 years old;</text> </paragraph> <paragraph num="(4)"> <text>The applicant has never been licensed as a certified public accountant in any state; and</text> </paragraph> <paragraph num="(5)"> <text>The applicant either:</text> <paragraph num="(a)"> <text>Met the requirements of education and experience as specified in Business Occupations and Professions Article, Title 2, Subtitle 3, Annotated Code of Maryland, at the time of initially applying to take the examination in the other state; or</text> </paragraph> <paragraph num="(b)"> <text>Meets the current requirements of education and experience as specified in Business Occupations and Professions Article, Title 2, Subtitle 3, Annotated Code of Maryland.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>An applicant who has met the requirements of §A(2)—(4) of this regulation and, under the paper and pencil format, sat for all sections of the initial examination and all unsuccessfully completed sections of subsequent examinations, and has passed two or more sections in another state or territory, but has not passed all sections of the examination, shall be given conditional credit for the sections passed, in accordance with Regulation .05 of this chapter.</text> </paragraph> <paragraph num="C."> <text>An applicant who has met the requirements of §A(2) — (4) of this regulation but, under the computerized testing format, has not passed all sections of the examination, shall be given conditional credit for the sections passed in accordance with Regulation .05 of this chapter.</text> </paragraph> <paragraph num="D."> <text>An applicant who passed the examination more than 4 years prior to applying for transfer of grades must complete 80 hours of continuing education in compliance with COMAR 09.24.02 before receiving a license to practice certified public accountancy.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Code of Professional Conduct."> <paragraph num="A."> <text>Independence.</text> <paragraph num="(1)"> <text>A licensee who is performing an engagement in which the licensee is to issue a written certificate or opinion, other than one in which a lack of independence is disclosed, shall be independent with respect to the client in fact and appearance.</text> </paragraph> <paragraph num="(2)"> <text>Independence is considered to be impaired if, for example, during the period of a licensee's professional engagement, or at the time of issuing the written certificate or opinion, the licensee:</text> <paragraph num="(a)"> <text>Had or was committed to acquire any direct or material indirect financial interest in the client;</text> </paragraph> <paragraph num="(b)"> <text>Was a trustee of any trust, or personal representative of any estate, if this trust or estate had or was committed to acquire any direct or material indirect financial interest in the client;</text> </paragraph> <paragraph num="(c)"> <text>Had any joint, closely held business investment with the client or any officer, director, or principal stockholder of the client which was material in relation to the net worth of either the licensee or the client; or</text> </paragraph> <paragraph num="(d)"> <text>Had any loan to or from the client or any officer, director, or principal stockholder of the client other than loans of the following kinds made by a financial institution under normal lending procedures, terms, and requirements:</text> <paragraph num="(i)"> <text>Loans obtained by the licensee which are not material in relation to the net worth of the licensee,</text> </paragraph> <paragraph num="(ii)"> <text>Home mortgages, and</text> </paragraph> <paragraph num="(iii)"> <text>Other secured loans, except those secured solely by a guarantee of the licensee.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>Independence is also considered to be impaired if, during the period covered by the financial statements, during the period of the professional engagement, or at the time of issuing the written certificate or opinion, the licensee:</text> <paragraph num="(a)"> <text>Was connected with the client as a promoter, underwriter, or voting trustee, a director, or officer or in any capacity equivalent to that of a member of management or of an employee;</text> </paragraph> <paragraph num="(b)"> <text>Was a trustee for any pension or profit-sharing trust of the client; or</text> </paragraph> <paragraph num="(c)"> <text>Received other compensation from a third party, or had a commitment to receive other compensation from the client or a third party, with respect to services or products procured or to be procured by the client.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The examples in §A(2) of this regulation are not intended to be all-inclusive.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A licensee may not in the performance of professional services knowingly misrepresent facts, or subordinate judgement to others. In tax practice, however, a licensee may resolve doubt in favor of the client as long as there is reasonable support for the licensee's position.</text> </paragraph> <paragraph num="C."> <text>A licensee may not, during the period in which the licensee is engaged to perform any of the following services, and during the period covered by any historical financial statements involved in the listed services:</text> <paragraph num="(1)"> <text>Perform for a contingent fee any professional services for, or receive a contingent fee from a client for whom the licensee or the licensee's firm performs:</text> <paragraph num="(a)"> <text>An audit or review of a financial statement;</text> </paragraph> <paragraph num="(b)"> <text>A compilation of a financial statement, when the licensee expects, or reasonably might expect, that a third party will use the financial statement and the licensee's compilation report does not disclose a lack of independence; or</text> </paragraph> <paragraph num="(c)"> <text>An examination of prospective financial information; or</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Prepare an original or amended tax return or claim for a tax refund for a contingent fee for any client.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A licensee may not concurrently engage in the practice of certified public accountancy and in any other business or occupation which impairs independence or objectivity in rendering professional services.</text> </paragraph> <paragraph num="E."> <text>With respect to other compensation:</text> <paragraph num="(1)"> <text>A licensee who receives or agrees to receive other compensation with respect to services or products recommended, referred, or sold by the licensee to another person shall make, not later than the making of the recommendation, referral, or sale, the following disclosures to the other person in writing:</text> <paragraph num="(a)"> <text>If the other person is a client, the nature, source, and amount of the other compensation, or</text> </paragraph> <paragraph num="(b)"> <text>If the other person is not a client, the nature and source only of any other compensation received from a third party;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The disclosure required by this regulation shall be made regardless of the amount, as defined by Regulation .01A(4) of this chapter, of the other compensation involved;</text> </paragraph> <paragraph num="(3)"> <text>This regulation does not apply to payments received from the sale of all or a material part of an accounting practice, or to retirement payments to persons formerly engaged in the practice of public accountancy;</text> </paragraph> <paragraph num="(4)"> <text>Compliance with the requirements of this section does not constitute a defense to a charge of impaired independence under §A(3)(c) of this regulation.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A licensee may not pay a commission to a third party to obtain a client unless, before being engaged by the client, the licensee discloses to the client in writing the fact and the amount of the commission. This regulation does not apply to payments made by a licensee for the purchase of all or a material part of an accounting practice, or to retirement payments to persons formerly engaged in the practice of public accountancy.</text> </paragraph> <paragraph num="G."> <text>Competence and Technical Standards.</text> <paragraph num="(1)"> <text>A licensee may not undertake any engagement for the performance of professional services which the licensee cannot reasonably expect to complete with due professional competence, including compliance, where applicable, with §G(2)—(4) of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>A licensee may not permit the licensee's name to be associated with financial statements in such a manner as to imply that the licensee is acting as an independent certified public accountant with respect to these financial statements unless the licensee has complied with applicable generally accepted auditing standards, as such standards may be amended, modified, issued, or reissued. Statements on auditing standards issued, reissued, amended, or modified, from time to time, by the American Institute of Certified Public Accountants, and other pronouncements having similar generally recognized authority, are considered to be interpretations of generally accepted auditing standards, and departures therefrom shall be justified by those who do not follow them.</text> </paragraph> <paragraph num="(3)"> <text>A licensee may not issue a report asserting that financial statements are presented in conformity with generally accepted at that time accounting principles if these financial statements contain any departure from those accounting principles which have a material effect on the financial statements taken as a whole, unless the licensee can demonstrate that by reason of unusual circumstances the financial statements would otherwise have been misleading. In this case, the licensee's report shall describe the departure, the approximate effects thereof, if practicable, and the reasons why compliance with the principle would result in a misleading statement. For purposes of this regulation, generally accepted accounting principles are considered to be defined by pronouncements issued, reissued, amended, or modified, from time to time, by the Financial Accounting Standards Board and its predecessor and successor entities and similar pronouncements issued by other entities having similar generally recognized authority.</text> </paragraph> <paragraph num="(4)"> <text>A licensee in the performance of accounting and review services or management advisory services, consulting, financial planning, or tax services shall conform to the professional standards applicable to these services at the time the services are performed.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Responsibilities to Clients.</text> <paragraph num="(1)"> <text>Except by permission of the client or the heirs, successors, or personal representatives of the client, a licensee or any partner, officer, shareholder, or employee of a licensee may not voluntarily disclose information communicated by the client relating to and in connection with professional services rendered to the client by the licensee. This regulation does not:</text> <paragraph num="(a)"> <text>Relieve a licensee of any obligations under §G of this regulation;</text> </paragraph> <paragraph num="(b)"> <text>Affect in any way a licensee's obligation to comply with a validly issued subpoena or summons in a criminal or bankruptcy case;</text> </paragraph> <paragraph num="(c)"> <text>Prohibit disclosures in the course of a quality review of a licensee's professional services; or</text> </paragraph> <paragraph num="(d)"> <text>Preclude a licensee from responding to any inquiry made by the Board or any investigative or disciplinary body established by law or formally recognized by the Board.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Members and agents of the Board and professional practice reviewers may not disclose any client information which comes to their attention from licensees in disciplinary proceedings or otherwise in carrying out their responsibilities, except that they may furnish this information to an investigative or disciplinary body of the kind referred to above.</text> </paragraph> <paragraph num="(3)"> <text>A licensee shall furnish to the licensee's client or former client, upon request and reasonable notice made within a reasonable time after original issuance of the document in question:</text> <paragraph num="(a)"> <text>A copy of a tax return of the client;</text> </paragraph> <paragraph num="(b)"> <text>A copy of any report, or other document, issued by the licensee to or for this client;</text> </paragraph> <paragraph num="(c)"> <text>Any accounting or other records belonging to, or obtained from or on behalf of, the client which the licensee removed from the client's premises or received from the client's account, but the licensee may make and retain copies of these documents when they form the basis for work done by the licensee; and</text> </paragraph> <paragraph num="(d)"> <text>A copy of the licensee's working papers, to the extent that these working papers include records which would ordinarily constitute part of the client's records and are not otherwise available to the client.</text> </paragraph> </paragraph> </paragraph> <paragraph num="I."> <text>Other Responsibilities and Practices.</text> <paragraph num="(1)"> <text>A licensee may not commit any act that reflects adversely on the licensee's fitness to engage in the practice of public accountancy.</text> </paragraph> <paragraph num="(2)"> <text>A licensee may not permit others to carry out on the licensee's behalf, either with or without compensation, acts which, if carried out by the licensee, would place the licensee in violation of the Code of Professional Conduct.</text> </paragraph> <paragraph num="(3)"> <text>A licensee may practice public accountancy only in a proprietorship, a partnership, or a professional corporation, organized in accordance with Business Occupations and Professions Article, Title 2, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>A licensee may not engage in the practice of public accountancy using a professional or firm name or designation which is misleading in any way, about the legal form of the firm, or about those who are partners, members, directors, or shareholders of the firm, or about any other matter. However, names of one or more former partners, members, directors, or shareholders may be included in the name of a firm or its successor, with the written consent of the former partner, member, director, or shareholder. A partner, member, director, or shareholder surviving the death of all other partners, members, directors, or shareholders may continue to practice under a firm name for 1 year after becoming a sole practitioner. An accounting firm may not use in its name terms such as “Group”, “and Company”, “and Associates”, or similar terms which imply the presence in the firm of more licensees than those identified by name in the firm name unless the number of licensees associated with the firm, whether as partners, shareholders, members, directors, or full-time employees, exceeds the number of licensees named in the firm name.</text> </paragraph> <paragraph num="(5)"> <text>Failure to Respond.</text> <paragraph num="(a)"> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="(b)"> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="(c)"> <text>It is the responsibility of the applicant or licensee to notify the Board in writing if there has been a change in the applicant’s or licensee’s address.</text> </paragraph> <paragraph num="(d)"> <text>Failure to respond as required by the regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §2-315(a)(1)(xii), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Advertising and Solicitation.</text> <paragraph num="(a)"> <text>A licensee may not use or participate in the use of any form of communication, written or oral, having reference to the licensee's professional services, which contains a false, fraudulent, misleading, deceptive, or unfair statement or claim.</text> </paragraph> <paragraph num="(b)"> <text>A licensee may not solicit clients by the use of coercion, duress, compulsion, intimidation, threats, overreaching, or vexatious or harassing conduct.</text> </paragraph> <paragraph num="(c)"> <text>A false, fraudulent, misleading, deceptive, or unfair statement or claim includes but is not limited to a statement or claim which:</text> <paragraph num="(i)"> <text>Contains a misrepresentation of fact;</text> </paragraph> <paragraph num="(ii)"> <text>Is likely to mislead or deceive because it fails to make full disclosure of relevant facts;</text> </paragraph> <paragraph num="(iii)"> <text>Is intended or likely to create false or unjustified expectations of favorable results;</text> </paragraph> <paragraph num="(iv)"> <text>Implies educational or professional attainments or licensing recognition not supported in fact;</text> </paragraph> <paragraph num="(v)"> <text>Represents that professional services can or will be competently performed for a stated fee when this is not the case, or makes representations with respect to fees for professional services that do not disclose all variables that reasonably may be expected to affect the fees that will in fact be charged; or</text> </paragraph> <paragraph num="(vi)"> <text>Contains other representations or implications that in reasonable probability will cause those of ordinary prudence to misunderstand or be deceived.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>A licensee or CPA firm offering or performing public accounting services on an Internet webpage or website shall include the following information on the webpage or website:</text> <paragraph num="(i)"> <text>Name of the licensee or firm;</text> </paragraph> <paragraph num="(ii)"> <text>Principal place of business of the licensee or firm;</text> </paragraph> <paragraph num="(iii)"> <text>Business phone of the licensee or firm; and</text> </paragraph> <paragraph num="(iv)"> <text>The Maryland license or permit number issued by the Board accompanied by the language “Maryland license number” or “Maryland permit number”, as appropriate.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>A CPA firm webpage or website need not include the individual registration number of each CPA firm member.</text> </paragraph> </paragraph> </paragraph> <paragraph num="J."> <text>Requirement to Disclose Conviction or Sanction to Board.</text> <paragraph num="(1)"> <text>A licensee or permit holder shall disclose to the Board that the licensee or permit holder has been:</text> <paragraph num="(a)"> <text>Convicted of a felony under the laws of the United States or any state;</text> </paragraph> <paragraph num="(b)"> <text>Convicted of a misdemeanor under the laws of the United States or any state; or</text> </paragraph> <paragraph num="(c)"> <text>Sanctioned by a unit of federal or state government, or any regulatory entity established by law.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The disclosure under §J(1) of this regulation shall be made:</text> <paragraph num="(a)"> <text>In writing; and</text> </paragraph> <paragraph num="(b)"> <text>Within 30 days of the date of the conviction or sanction.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The fact that a licensee or permit holder has appealed a conviction or sanction does not relieve the licensee or permit holder of the obligation to comply with §J of this regulation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="General Hearing Rules."> <text>The regulations set forth in COMAR 09.01.02 shall govern hearings before the Board.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Interpretive Regulation on “Conviction” under Business Occupations and Professions Article, §3-315(a)(3), Annotated Code of Maryland."> <text>In proceedings for suspension or revocation of any license or permit the Board will regard “conviction” under Business Occupations and Professions Article, §3-315(a)(3), Annotated Code of Maryland, to have occurred upon the entering of a guilty verdict or acceptance of a plea of nolo contendere in a court of competent jurisdiction.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Fees."> <paragraph num="A."> <text>An applicant for a licensing examination shall pay to the Board the examination fee in an amount or amounts set by one or more entities selected by the Board to develop, administer, or score the examination.</text> </paragraph> <paragraph num="B."> <text>Other fees to be charged by the Board are as follows:</text> <paragraph num="(1)"> <text>Original examination application fee — $67;</text> </paragraph> <paragraph num="(2)"> <text>Application for reciprocity — $75;</text> </paragraph> <paragraph num="(3)"> <text>License fee — $24;</text> </paragraph> <paragraph num="(4)"> <text>Renewal fee — $63;</text> </paragraph> <paragraph num="(5)"> <text>Application for inactive status — $31;</text> </paragraph> <paragraph num="(6)"> <text>Renewal for inactive status — $31;</text> </paragraph> <paragraph num="(7)"> <text>Reinstatement for inactive status — $63;</text> </paragraph> <paragraph num="(8)"> <text>Reactivation from inactive status — $63;</text> </paragraph> <paragraph num="(9)"> <text>Reinstatement of expired license — $126;</text> </paragraph> <paragraph num="(10)"> <text>Firm application fee — $75;</text> </paragraph> <paragraph num="(11)"> <text>Firm permit fee — $75;</text> </paragraph> <paragraph num="(12)"> <text>Firm renewal fee — $151;</text> </paragraph> <paragraph num="(13)"> <text>Firm reinstatement fee — $303;</text> </paragraph> <paragraph num="(14)"> <text>Transfer of grades application — $75;</text> </paragraph> <paragraph num="(15)"> <text>Duplicate license certificate — $56;</text> </paragraph> <paragraph num="(16)"> <text>Verification fee (letter of good standing) — $25.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Compilation Reporting Language."> <text>A compilation does not constitute the practice of certified public accountancy if the compilation report:</text> <paragraph num="A."> <text>Includes the statement “The preparer of this report has not undergone and is not required to undergo peer review”.</text> </paragraph> <paragraph num="B."> <text>Does not reference the Statements on Standards for Accounting and Review Services issued by the AICPA.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§2-102, 2-207, 2-209, 2-304—2-307, 2-309, 2-311, 2-313, 2-315, 2-410, and 2-416, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 effective May 2, 1972</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 amended effective May 12, 1976 (3:10 Md. R. 529)</annotation> <annotation type="History" subtype="Administrative History">Regulations .04—.06 adopted effective May 12, 1976 (3:10 Md. R. 529)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 25, 1978 (5:17 Md. R. 1329)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective January 26, 1987 (14:2 Md. R. 128); September 19, 1988 (15:19 Md. R. 2246)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective June 16, 1986 (13:12 Md. R. 1374)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective October 25, 1982 (9:21 Md. R. 2105)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective April 2, 1990 (17:6 Md. R. 740)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective November 30, 1987 (14:24 Md. R. 2554); September 19, 1988 (15:19 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D amended effective October 5, 1979 (6:20 Md. R. 1628); December 20, 1982 (9:25 Md. R. 2479); January 26, 1987 (14:2 Md. R. 128); September 19, 1988 (15:19 Md. R. 2246)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E amended effective November 3, 1986 (13:22 Md. R. 2397); January 26, 1987 (14:2 Md. R. 128); May 4, 1987 (14:9 Md. R. 1080)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03G amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03H amended effective January 26, 1987 (14:2 Md. R. 128); September 19, 1988 (15:19 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03K adopted effective November 3, 1978 (5:22 Md. R. 1672)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03K amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A and B amended effective April 11, 1983 (10:7 Md. R. 633); January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D amended effective December 20, 1982 (9:25 Md. R. 2479); January 26, 1987 (14:2 Md. R. 128); March 23, 1987 (14:6 Md. R. 714)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A, B, O amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective October 24, 1983 (10:21 Md. R. 1901)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 adopted effective March 23, 1987 (14:6 Md. R. 714)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08A, B amended effective November 2, 1987 (14:22 Md. R. 2339)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08M adopted effective September 19, 1988 (15:19 Md. R. 2247)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective September 28, 1992 (19:19 Md. R. 1705)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective March 20, 2000 (27:5 Md. R. 583); December 31, 2007 (34:26 Md. R. 2261)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective August 28, 1995 (22:17 Md. R. 1317)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, C amended and E, F adopted effective August 15, 1994 (21:16 Md. R. 1383)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, D, F, G amended effective September 9, 1996 (23:18 Md. R. 1316)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B, C amended effective June 29, 1998 (25:13 Md. R. 993)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 repealed effective March 29, 2004 (31:6 Md. R. 508)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A, C amended as an emergency provision effective January 1, 2004 (31:3 Md. R. 206)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended as an emergency provision effective May 15, 1998 (25:12 Md. R. 943); amended permanently effective October 5, 1998 (25:20 Md. R. 1528)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03G adopted effective April 14, 2003 (30:7 Md. R. 487)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03H adopted as an emergency provision effective August 1, 2003 (30:20 Md. R. 1445); emergency status extended at 31:1 Md. R. 28</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 repealed effective March 29, 2004 (31:6 Md. R. 508)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective May 9, 1994 (21:9 Md. R. 750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 repealed effective March 29, 2004 (31:6 Md. R. 508)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A amended effective July 19, 1993 (20:14 Md. R. 1168); December 28, 1998 (25:26 Md. R. 1921); May 9, 2005 (32:9 Md. R. 848); December 28, 2009 (36:26 Md. R. 1994)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B amended effective May 9, 2005 (32:9 Md. R. 848)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05C adopted effective May 9, 2005 (32:9 Md. R. 848)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D adopted effective December 28, 2009 (36:26 Md. R. 1994)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06C amended effective March 20, 2000 (27:5 Md. R. 583); December 31, 2007 (34:26 Md. R. 2261)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06G amended effective October 19, 1998 (25:21 Md. R. 1573)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06I amended effective October 10, 1994 (21:20 Md. R. 1732); December 28, 1998 (25:26 Md. R. 1921); January 28, 2019 (46:2 Md. R. 52)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06J adopted effective April 28, 2014 (41:8 Md. R. 470)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 repealed and new Regulation .07 adopted effective September 29, 2003 (30:19 Md. R. 1331)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended as an emergency provision effective January 15, 1993 (20:3 Md. R. 255); emergency status expired July 15, 1993</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective July 19, 1993 (20:14 Md. R. 1169)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended as an emergency provision effective July 1, 1998 (25:18 Md. R. 1431); amended permanently effective December 28, 1998 (25:26 Md. R. 1921)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective September 22, 2008 (35:19 Md. R. 1716); May 17, 2010 (37:10 Md. R. 721); June 1, 2012 (39:9 Md. R. 611); May 1, 2014 (41:8 Md. R. 470); April 10, 2017 (44:7 Md. R. 354)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A, B amended as an emergency provision effective January 20, 1995 (22:3 Md. R. 150); amended permanently effective June 5, 1995 (22:11 Md. R. 820)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A, B amended effective May 6, 1996 (23:9 Md. R. 670)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A, B amended as an emergency provision effective January 10, 2001 (28:3 Md. R. 202); emergency status expired July 10, 2001 (Emergency provisions are temporary and not printed in COMAR)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A, B amended as an emergency provision effective June 22, 2001 (28:14 Md. R. 1319); emergency status expired December 15, 2001; amended permanently effective January 7, 2002 (28:26 Md. R. 2272)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A, B amended as an emergency provision effective May 1, 2002 (29:12 Md. R. 924); amended permanently effective September 2, 2002 (29:17 Md. R. 1380)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09A, B amended as an emergency provision effective January 1, 2004 (31:3 Md. R. 206); amended permanently effective March 29, 2004 (31:6 Md. R. 508)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective July 1, 2005 (32:11 Md. R. 982)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended as an emergency provision effective August 14, 2006 (33:16 Md. R. 1362); amended permanently effective October 1, 2006 (33:19 Md. R. 1559)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09B amended effective August 16, 2007 (34:16 Md. R. 1431); August 14, 2008 (35:16 Md. R. 1391); June 10, 2024 (51:11 Md. R. 580)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09H adopted as an emergency provision effective November 18, 1994 (21:25 Md. R. 2093); adopted permanently effective April 24, 1995 (22:8 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09O, P adopted effective April 24, 1995 (22:8 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09P repealed effective October 10, 2016 (43:20 Md. R. 1109)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 adopted effective June 1, 2012 (39:9 Md. R. 611)</annotation> <annotation type="History" subtype="Administrative History">Annotation: COMAR 09.24.01.01A(5) and .04B(2) cited in Attorney General Opinion No. 81-010 (March 4, 1981), which clarified the definition of the term “audit”.</annotation> </annotations> </chapter> <chapter num="02" heading="Continuing Education"> <regulation prefix="Regulation" num=".01" heading="Citation of Regulations, Applicability, and Purpose."> <paragraph num="A."> <text>These regulations may be cited and referred to as the “Accountancy Continuing Education Regulations”. The continuing education requirement applies to all persons licensed under Business Occupations and Professions Article, Annotated Code of Maryland, to practice certified public accountancy in this State.</text> </paragraph> <paragraph num="B."> <text>The requirement does not apply to those licensees who have been placed on inactive status.</text> </paragraph> <paragraph num="C."> <text>The public interest requires that certified public accountants provide competent service in all areas of their practice. The State legislature has determined that it is in the public interest to require certified public accountants employed in or engaged in public accounting to comply with the continuing education requirements as a prerequisite to the renewal of a license.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Application date” means:</text> <paragraph num="(a)"> <text>The date and time an online license application is electronically submitted to the Board;</text> </paragraph> <paragraph num="(b)"> <text>The date a mailed, paper license application is postmarked by the U.S. Postal Service; or</text> </paragraph> <paragraph num="(c)"> <text>The date a paper license application otherwise delivered is stamped by the Board.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Carried forward” means eligible to be counted towards the continuing education requirement for the following 2-year licensing term.</text> </paragraph> <paragraph num="(3)"> <text>“Certificate of attendance” means a document issued and signed by the instructor, or other qualified program representative, that:</text> <paragraph num="(a)"> <text>Certifies an individual’s attendance at a continuing education program; and</text> </paragraph> <paragraph num="(b)"> <text>Includes the following:</text> <paragraph num="(i)"> <text>The name of the attendee;</text> </paragraph> <paragraph num="(ii)"> <text>The title of the program;</text> </paragraph> <paragraph num="(iii)"> <text>The subject matter presented;</text> </paragraph> <paragraph num="(iv)"> <text>The method by which the subject matter was presented;</text> </paragraph> <paragraph num="(v)"> <text>The number of credit hours earned by the attendee;</text> </paragraph> <paragraph num="(vi)"> <text>The name of the entity sponsoring the program; and</text> </paragraph> <paragraph num="(vii)"> <text>The date of the program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Certificate of completion” means a document issued and signed by a qualified program representative that:</text> <paragraph num="(a)"> <text>Certifies that an individual has successfully completed the learning objectives of the continuing education program; and</text> </paragraph> <paragraph num="(b)"> <text>Includes the following:</text> <paragraph num="(i)"> <text>The name of the attendee;</text> </paragraph> <paragraph num="(ii)"> <text>The title of the program;</text> </paragraph> <paragraph num="(iii)"> <text>The subject matter presented;</text> </paragraph> <paragraph num="(iv)"> <text>The method by which the subject matter was presented;</text> </paragraph> <paragraph num="(v)"> <text>The number of credit hours earned by the attendee;</text> </paragraph> <paragraph num="(vi)"> <text>The name of the entity sponsoring the program;</text> </paragraph> <paragraph num="(vii)"> <text>The date of the program; and</text> </paragraph> <paragraph num="(viii)"> <text>The registry number of the program sponsor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Continuing education publication” means information pertaining to the practice of public accountancy prepared and issued for distribution or sale to the public for the purpose of providing continuing education instruction.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Basic Requirement."> <paragraph num="A."> <text>An applicant for license renewal shall complete, prior to submitting an application, a minimum of 80 credit hours of qualifying continuing education in each 2-year license term.</text> </paragraph> <paragraph num="B."> <text>The requirement in §A of this regulation does not apply to the first renewal of a license.</text> </paragraph> <paragraph num="C."> <text>Professional Ethics.</text> <paragraph num="(1)"> <text>A minimum of 4 credit hours of the continuing education for each 2-year license term shall be in professional ethics.</text> </paragraph> <paragraph num="(2)"> <text>Credit hours in professional ethics in excess of 4 hours in a 2-year license term may not be carried forward to satisfy this requirement.</text> </paragraph> <paragraph num="(3)"> <text>Credit hours in professional ethics in excess of 4 hours in a 2-year license term may be carried forward to meet the requirement of §A of this regulation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Except as provided in §C of this regulation, qualifying credit hours in excess of the 80 credit hours required for a 2-year license term, up to a maximum of 80 credit hours, may be carried forward to apply to the following 2-year license term.</text> </paragraph> <paragraph num="E."> <text>Qualifying credit hours reported in a license renewal application in excess of the 80 credit hour requirement in §A of this regulation may only be carried forward to apply to the following 2-year license term.</text> </paragraph> <paragraph num="F."> <text>The Board shall allow a maximum of 80 credit hours of qualifying continuing education earned in the initial license term to be carried forward if the credit hours are properly reported on the first renewal application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Qualifying Continuing Education Programs and Methods."> <paragraph num="A."> <text>The overriding consideration in determining whether a specific program or method qualifies is that it shall be a program or method of learning which contributes directly to the professional competence of an individual after this individual has been licensed to practice certified public accountancy.</text> </paragraph> <paragraph num="B."> <text>Group Continuing Education Programs.</text> <paragraph num="(1)"> <text>A group continuing education program will qualify only if it meets §A of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>Types of group continuing education programs would include:</text> <paragraph num="(a)"> <text>Professional development programs of recognized national and state accounting organizations and their chapters;</text> </paragraph> <paragraph num="(b)"> <text>Technical sessions at meetings of recognized national and state accounting organizations and their chapters;</text> </paragraph> <paragraph num="(c)"> <text>Non-credit courses at universities and colleges;</text> </paragraph> <paragraph num="(d)"> <text>In-firm education programs; and</text> </paragraph> <paragraph num="(e)"> <text>Programs offered by other recognized professional or industrial organizations.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An individual who reports participation in a qualifying group continuing education program to satisfy the continuing education requirements of this chapter shall provide, upon the Board’s request, the following documentation:</text> <paragraph num="(a)"> <text>A certificate of completion; or</text> </paragraph> <paragraph num="(b)"> <text>A certificate of attendance.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>University and College Courses.</text> <paragraph num="(1)"> <text>University and college courses taken for academic credit at an institution of higher education that meets the requirements of Business Occupations and Professions Article, §2-303(c), Annotated Code of Maryland, will qualify only if §A of this regulation is met.</text> </paragraph> <paragraph num="(2)"> <text>Credit towards the continuing education requirement will be calculated as follows:</text> <paragraph num="(a)"> <text>15 hours for each semester hour credit; and</text> </paragraph> <paragraph num="(b)"> <text>10 hours for each quarter hour credit.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An individual who reports completion of a university or college course to satisfy the continuing education requirements of this chapter shall provide, upon the Board’s request, an official transcript that includes the course.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Other Programs.</text> <paragraph num="(1)"> <text>A program other than a group program will qualify only if the program meets the requirements of §A of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>An individual who reports participation in a program other than a group continuing education program to satisfy the continuing education requirements of this chapter shall provide, upon the Board’s request, the following documentation:</text> <paragraph num="(a)"> <text>A certificate of completion; or</text> </paragraph> <paragraph num="(b)"> <text>A certificate of attendance.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Electronic Self-Study. In order to qualify, an electronic self-study program of 10-minute duration must include:</text> <paragraph num="(a)"> <text>At least one stated learning objective; and</text> </paragraph> <paragraph num="(b)"> <text>Require the participant to correctly answer at least two final assessment questions at the end of the program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Peer Reviews.</text> <paragraph num="(1)"> <text>A peer review shall qualify if conducted in accordance with Business Occupations and Professions Article, Title 2, Subtitle 4A, Annotated Code of Maryland, and COMAR 09.24.06.</text> </paragraph> <paragraph num="(2)"> <text>Calculation of Credit for Peer Reviews.</text> <paragraph num="(a)"> <text>Only an individual in a firm that receives a “passing” peer review report with no deficiencies may receive credit.</text> </paragraph> <paragraph num="(b)"> <text>The peer reviewer shall allocate the credit hours among the engagement personnel in attendance at the exit conference for the peer review.</text> </paragraph> <paragraph num="(c)"> <text>The peer reviewer shall allocate a maximum of:</text> <paragraph num="(i)"> <text>12 hours for an engagement review; and</text> </paragraph> <paragraph num="(ii)"> <text>16 hours for a system review.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Peer review credit hours may not exceed 16 credit hours per individual for any license period.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An individual who reports participation in a peer review to satisfy the continuing education requirements of this chapter shall provide, upon the Board’s request, a written certification signed and dated by the peer reviewer indicating the following:</text> <paragraph num="(a)"> <text>The name of the individual receiving credit;</text> </paragraph> <paragraph num="(b)"> <text>The name of the reviewed firm;</text> </paragraph> <paragraph num="(c)"> <text>The permit number of the reviewed firm;</text> </paragraph> <paragraph num="(d)"> <text>The type of peer review performed; and</text> </paragraph> <paragraph num="(e)"> <text>The number of credit hours awarded to the individual.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Continuing Education Publications.</text> <paragraph num="(1)"> <text>An individual may receive continuing education credit for authoring or contributing to a continuing education publication that:</text> <paragraph num="(a)"> <text>Meets §A of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>Has been reviewed prior to publication by a qualified independent party.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Credit Hours.</text> <paragraph num="(a)"> <text>The Board shall determine the number of credit hours to be awarded to an individual for authoring or contributing to a continuing education publication based on the time spent by the individual:</text> <paragraph num="(i)"> <text>Performing research associated with the continuing education publication; and</text> </paragraph> <paragraph num="(ii)"> <text>Writing the continuing education publication.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>An individual may be awarded a maximum of 10 credit hours for each continuing education publication.</text> </paragraph> <paragraph num="(c)"> <text>Continuing education publication credit hours may not exceed 40 credit hours per individual for any license period.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Documentation. An individual who reports authoring or contributing to a continuing education publication to satisfy the continuing education requirements of this chapter shall provide, upon the Board’s request, the following documentation:</text> <paragraph num="(a)"> <text>For printed media, the individual shall provide a copy of the published work.</text> </paragraph> <paragraph num="(b)"> <text>For digital media, the individual shall provide a copy of the published work.</text> </paragraph> <paragraph num="(c)"> <text>For online media, the individual shall provide:</text> <paragraph num="(i)"> <text>The complete uniform resource locator of the published work;</text> </paragraph> <paragraph num="(ii)"> <text>The title of the published work; and</text> </paragraph> <paragraph num="(iii)"> <text>The date of the published work.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>For all types of media, the individual shall, on a form provided by the Board:</text> <paragraph num="(i)"> <text>Certify the hours spent by the individual researching and writing the continuing education publication; and</text> </paragraph> <paragraph num="(ii)"> <text>Identify the independent party who reviewed the continuing education publication.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>Services as a Teacher, Lecturer, or Discussion Leader.</text> <paragraph num="(1)"> <text>An individual may receive continuing education credit for services as a teacher, lecturer, or discussion leader that meet §A of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>Credit Hours.</text> <paragraph num="(a)"> <text>An individual who provides services as a teacher, lecturer, or discussion leader will be awarded credit hours for a presentation of a course or program in the following amounts:</text> <paragraph num="(i)"> <text>For a university or college course offered at an institution of higher education that meets the requirements of Business Occupations and Professions Article, §2-303(c), Annotated Code of Maryland, the individual shall receive 15 hours of continuing education for each semester hour credit of the course and 10 hours of continuing education for each quarter hour credit of the course; or</text> </paragraph> <paragraph num="(ii)"> <text>For any other course or program, the individual shall receive three times the credit hours of the course or program.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Credit hours for services as a teacher, lecturer, or discussion leader may not exceed 45 credit hours per individual for any license period.</text> </paragraph> <paragraph num="(c)"> <text>An individual may only be awarded credit hours for the first time presentation of a course or program within a 2-year license term.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Documentation. An individual who reports services as a teacher, lecturer, or discussion leader to satisfy the continuing education requirements of this chapter shall provide, upon the Board’s request, the following documentation:</text> <paragraph num="(a)"> <text>The professional credentials of the individual;</text> </paragraph> <paragraph num="(b)"> <text>The name of the course or program;</text> </paragraph> <paragraph num="(c)"> <text>The group or institution offering the course or program;</text> </paragraph> <paragraph num="(d)"> <text>An outline or syllabus of the subject matter presented;</text> </paragraph> <paragraph num="(e)"> <text>The date of the presentation;</text> </paragraph> <paragraph num="(f)"> <text>The location of the presentation; and</text> </paragraph> <paragraph num="(g)"> <text>The duration of the presentation.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Controls and Reporting."> <paragraph num="A."> <text>Applicants for license renewal or reinstatement shall provide a certification of compliance with the license requirements, under Business Occupations and Professions Article, §§2-311 and 2-312, Annotated Code of Maryland, under penalty of perjury, in an appropriate form specified by the Board.</text> </paragraph> <paragraph num="B."> <text>An applicant for license renewal or reinstatement who reports continuing education credit hours to the Board shall retain the applicable documentation of the credit hours, as specified in this chapter, for a period of 4 years from the application date.</text> </paragraph> <paragraph num="C."> <text>The Board, at its discretion, may verify the information and documentation supporting the certification of continuing education credit hours reported. Upon request, the individual who reported the continuing education credit hours shall submit to the Board, or its designee, copies of the original documentation.</text> </paragraph> <paragraph num="D."> <text>An applicant for license renewal or reinstatement may request a modification of continuing professional education credit hours previously reported to the Board provided that the applicant:</text> <paragraph num="(1)"> <text>Makes the request in writing within 30 days of the application date; and</text> </paragraph> <paragraph num="(2)"> <text>Provides to the Board the documentation identified in §A of this regulation for the continuing professional education credit hours claimed.</text> </paragraph> </paragraph> <paragraph num="E."> <text>An applicant for reinstatement may only report continuing education hours earned within 2 years of the application date.</text> </paragraph> <paragraph num="F."> <text>Credit Hour Calculation. For purposes of these regulations, the Board shall calculate continuing education credit hours as follows:</text> <paragraph num="(1)"> <text>50 minutes of instruction shall be considered equivalent to 1 credit hour;</text> </paragraph> <paragraph num="(2)"> <text>25 minutes of instruction shall be considered equivalent to .5 credit hour;</text> </paragraph> <paragraph num="(3)"> <text>10 minutes of instruction shall be considered equivalent to .2 credit hour;</text> </paragraph> <paragraph num="(4)"> <text>Instruction of duration other than set forth in §F(1)—(3) of this regulation shall be rounded down to the lowest 10-minute increment; and</text> </paragraph> <paragraph num="(5)"> <text>Instruction of a duration less than 10 minutes may not qualify for continuing education credit.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Exceptions."> <text>The Board may issue a license to any applicant who has not fully complied with the continuing education requirements in cases when failure by the applicant to fulfill this requirement has been caused by reason of any of the following:</text> <paragraph num="A."> <text>Health as certified by a medical doctor;</text> </paragraph> <paragraph num="B."> <text>Military service on extended active duty with the armed forces of the United States;</text> </paragraph> <paragraph num="C."> <text>Other good and valid causes, as determined and approved by the Board.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§2-207(a), 2-311, and 2-312, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 5, 1977 (4:1 Md. R. 17)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective August 25, 1978 (5:17 Md. R. 1329)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective February 28, 1994 (21:4 Md. R. 276)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective January 26, 1987 (14:2 Md. R. 128); October 1, 2006 (32:23 Md. R. 1825); May 18, 2009 (36:10 Md. R. 716)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended and C repealed effective August 15, 1983 (10:16 Md. R. 1454)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective December 28, 1998 (25:26 Md. R. 1921)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C adopted effective September 9, 1996 (23:18 Md. R. 1316)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective May 17, 2010 (37:10 Md. R. 721)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02E amended effective December 31, 2007 (34:26 Md. R. 2261)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02F adopted effective May 17, 2010 (37:10 Md. R. 721)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective November 30, 1987 (14:24 Md. R. 2554); December 28, 1998 (25:26 Md. R. 1921); May 18, 2009 (36:10 Md. R. 716)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B, E amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03H adopted effective December 31, 2007 (34:26 Md. R. 2262)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective January 26, 1987 (14:2 Md. R. 128); December 28, 1998 (25:26 Md. R. 1921)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective December 31, 2007 (34:26 Md. R. 2261)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D adopted effective September 9, 1996 (23:18 Md. R. 1316)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D repealed effective December 28, 1998 (25:26 Md. R. 1921)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04D adopted effective April 28, 2014 (41:8 Md. R. 470)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective January 26, 1987 (14:2 Md. R. 128)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective March 30, 2015 (42:6 Md. R. 511)</annotation> </annotations> </chapter> <chapter num="03" heading="Practical Work Experience"> <regulation prefix="Regulation" num=".01" heading="Experience Required for Initial License."> <paragraph num="A."> <text>In order to receive an initial license, an applicant shall provide evidence of practical work experience meeting the requirements of Business Occupations and Professions Article, §2-302(f), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Verification of Work Experience.</text> <paragraph num="(1)"> <text>Only work experience verified by a certified public accountant holding an active license may be approved.</text> </paragraph> <paragraph num="(2)"> <text>The Board may require a certified public accountant who has verified an applicant's work experience to provide evidence sufficient to support the verification.</text> </paragraph> <paragraph num="(3)"> <text>The Board may require a certified public accountant who has refused to verify an applicant's work experience to explain the refusal to the Board, either in writing, or in person.</text> </paragraph> <paragraph num="(4)"> <text>The Board may require an applicant to provide additional information concerning the applicant's work experience.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Evaluation and Approval of Work Experience. The Board shall consider the following factors in determining whether to approve an applicant's verified work experience:</text> <paragraph num="(1)"> <text>The complexity of the work experience; and</text> </paragraph> <paragraph num="(2)"> <text>The diversity of the work experience.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §2-207(a), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: August 25, 1978 (5:17 Md. R. 1329)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective October 5, 1979 (6:20 Md. R. 1628); April 11, 1983 (10:7 Md. R. 633); January 26, 1987 (14:2 Md. R. 128); July 19, 1993 (20:14 Md. R. 1169)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulation .01 adopted effective January 8, 2001 (27:26 Md. R. 2358)</annotation> </annotations> </chapter> <chapter num="04" heading="Firm Permits and Ownership"> <regulation prefix="Regulation" num=".01" heading="Permits."> <text>Except sole proprietorships, any firm in which certified public accountancy is practiced shall have a permit issued by the Board under the requirements in Business Occupations and Professions Article, Title 2, Subtitle 4, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Ownership Interest."> <text>A majority of the ownership interest, in terms of financial interests and voting rights, of a firm in which certified public accountancy is practiced shall be owned by individuals licensed to practice certified public accountancy in this State or another state.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Registration of the Firm."> <text>Any firm in which certified public accountancy is practiced shall designate and identify to the Board an individual licensed to practice certified public accountancy in this State who shall be responsible for the proper registration of the firm and communication with the Board.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Nonlicensee Owners."> <paragraph num="A."> <text>An individual not licensed to practice certified public accountancy may have an ownership interest in a firm in which certified public accountancy is practiced, if the individual is an active participant in the business of the firm or its affiliated entities.</text> </paragraph> <paragraph num="B."> <text>To determine whether a nonlicensee owner is an active participant in the business of the firm or its affiliated entities, the Board shall consider the:</text> <paragraph num="(1)"> <text>Number of hours the nonlicensee owner devotes to firm business or the business of its affiliated entities; and</text> </paragraph> <paragraph num="(2)"> <text>Type of activities the nonlicensee owner performs for the firm or its affiliated entities.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A nonlicensee owner may be a:</text> <paragraph num="(1)"> <text>Natural person; or</text> </paragraph> <paragraph num="(2)"> <text>Business entity, if each ultimate beneficial owner of equity interest in that entity is a natural person actively participating in the business of the firm or its affiliated entities.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A nonlicensee's ownership interest shall revert to the firm when the nonlicensee's active participation in the business of the firm or its affiliated entities ceases.</text> </paragraph> <paragraph num="E."> <text>The Board may deny, suspend, or revoke a permit for a firm in which certified public accountancy is practiced if a nonlicensee having interest in the firm or its affiliated entities:</text> <paragraph num="(1)"> <text>Has been convicted under the laws of the United States or any state of a:</text> <paragraph num="(a)"> <text>Felony; or</text> </paragraph> <paragraph num="(b)"> <text>Misdemeanor containing an element of fraud or misrepresentation;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Violates any provision of Business Occupations and Professions Article, Title 2, Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(3)"> <text>Violates any provision of COMAR 09.24.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The name of an owner not licensed to practice certified public accountancy may not be included in the name of the certified public accountancy firm.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§2-207 and 2-401—2-403, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 29, 2003 (30:19 Md. R. 1331)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective May 18, 2009 (36:10 Md. R. 716)</annotation> </annotations> </chapter> <chapter num="05" heading="Examinations"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter establishes criteria for the Uniform CPA Examination, which:</text> <paragraph num="A."> <text>Tests the knowledge and skills required by the Board for performance as an entry-level certified public accountant; and</text> </paragraph> <paragraph num="B."> <text>Includes the subject areas of accounting, auditing, and related knowledge and skills as the Board may require.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Administration window” means one of four quarterly periods during the year in which a candidate may sit for any section of the Uniform CPA Examination.</text> </paragraph> <paragraph num="(2)"> <text>“Applicant” means an individual who applies to take the Uniform CPA Examination.</text> </paragraph> <paragraph num="(3)"> <text>“Candidate” means an individual who is approved by the Board to take the Uniform CPA Examination.</text> </paragraph> <paragraph num="(4)"> <text>“Cheating” means:</text> <paragraph num="(a)"> <text>Falsifying or misrepresenting educational credentials or other information required by the Board for qualification for the Uniform CPA Examination;</text> </paragraph> <paragraph num="(b)"> <text>Communicating inside or outside of an examination facility for the purpose of exchanging information about examination subject matter during the administration of any examination section;</text> </paragraph> <paragraph num="(c)"> <text>Copying another candidate's answers during the administration of the examination;</text> </paragraph> <paragraph num="(d)"> <text>Substituting another person to sit in a test facility while the examination is in progress;</text> </paragraph> <paragraph num="(e)"> <text>Referring to any material or electronic media other than material provided by the examination facility for the purpose of completing the examination; or</text> </paragraph> <paragraph num="(f)"> <text>Attempting to gain an unfair advantage over other candidates by any other means.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Examination section” means one of four parts of the Uniform CPA Examination.</text> </paragraph> <paragraph num="(6)"> <text>“Notice to schedule” means notification sent to a candidate that authorizes the candidate to schedule an examination.</text> </paragraph> <paragraph num="(7)"> <text>“Notify in writing” means notice by regular mail, email, or other electronic means.</text> </paragraph> <paragraph num="(8)"> <text>“Passing score” means a score of 75 or greater on each section of the Uniform CPA Examination.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Educational Requirements."> <paragraph num="A."> <text>To take the Uniform CPA Examination, an applicant shall satisfactorily complete:</text> <paragraph num="(1)"> <text>Unless otherwise indicated, a minimum of 27 undergraduate semester hours of accounting education to include each of the following subjects:</text> <paragraph num="(a)"> <text>Auditing of at least 3 undergraduate semester hours;</text> </paragraph> <paragraph num="(b)"> <text>Financial accounting of at least 9 undergraduate semester hours;</text> </paragraph> <paragraph num="(c)"> <text>Accounting information systems of at least 3 undergraduate semester hours; and</text> </paragraph> <paragraph num="(d)"> <text>U.S. federal income tax of at least 3 undergraduate semester hours; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>At least 3 undergraduate semester hours in:</text> <paragraph num="(a)"> <text>Business ethics; or</text> </paragraph> <paragraph num="(b)"> <text>Accounting ethics.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>In order to become licensed, in addition to satisfactorily completing the requirements set forth in §A of this regulation, an applicant shall satisfactorily complete 3 undergraduate semester hours in business law and a minimum of 18 undergraduate semester hours in the following business-related subjects, including 3 undergraduate semester hours in at least five of the following subjects:</text> <paragraph num="(1)"> <text>Statistics;</text> </paragraph> <paragraph num="(2)"> <text>Economics;</text> </paragraph> <paragraph num="(3)"> <text>Corporation or business finance;</text> </paragraph> <paragraph num="(4)"> <text>Management;</text> </paragraph> <paragraph num="(5)"> <text>Data analytics;</text> </paragraph> <paragraph num="(6)"> <text>Marketing;</text> </paragraph> <paragraph num="(7)"> <text>Business communication;</text> </paragraph> <paragraph num="(8)"> <text>Information technology/systems;</text> </paragraph> <paragraph num="(9)"> <text>Quantitative methods; or</text> </paragraph> <paragraph num="(10)"> <text>Other business-related content areas included in the Uniform CPA Examination Blueprints.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The following may be accepted as fulfilling a part or all of the semester hours requirement under §A of this regulation, at either the graduate or undergraduate level, if the accredited institution granting the credits reports the credits on an official transcript without qualification or limitation and if the credits are acceptable by the accredited institution in the institution's own graduate or undergraduate degree-granting programs:</text> <paragraph num="(1)"> <text>Independent study courses;</text> </paragraph> <paragraph num="(2)"> <text>Correspondence courses;</text> </paragraph> <paragraph num="(3)"> <text>College Level Entrance Programs (CLEP); and</text> </paragraph> <paragraph num="(4)"> <text>Credits earned only by examination.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If qualification is sought on the basis of a combination of graduate and undergraduate courses:</text> <paragraph num="(1)"> <text>3 undergraduate level semester hours shall be considered equivalent to 2 graduate level semester hours; and</text> </paragraph> <paragraph num="(2)"> <text>A higher than baccalaureate degree is not required to fulfill this requirement.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If qualification is sought on the basis of a combination of semester and quarter hour courses:</text> <paragraph num="(1)"> <text>1 undergraduate level quarter hour shall be considered equivalent to .667 semester hours; and</text> </paragraph> <paragraph num="(2)"> <text>1 graduate level quarter hour shall be considered equivalent to 1 undergraduate semester hour.</text> </paragraph> </paragraph> <paragraph num="F."> <text>If an applicant has received an accounting degree, or has taken course work to supplement a non-accounting degree, at a school or college that is not a member of the Association to Advance Collegiate Schools of Business or not accredited as provided by Business Occupations and Professions Article, Title 2, Annotated Code of Maryland, the Board may:</text> <paragraph num="(1)"> <text>Seek the advice of consultants as to the academic standing of the institution;</text> </paragraph> <paragraph num="(2)"> <text>Charge the applicant the reasonable cost of the consultation;</text> </paragraph> <paragraph num="(3)"> <text>Upon receipt of the report of the consultants, the Board may decide to reject, or to accept within its lawful discretion, either:</text> <paragraph num="(a)"> <text>The entire academic program; or</text> </paragraph> <paragraph num="(b)"> <text>Any part of the academic program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="G."> <text>If only a part of the academic program is accepted under §F(3)(b) of this regulation, the Board shall specify the courses to be taken at an accredited institution for the applicant to qualify.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Filing an Application with the Board."> <paragraph num="A."> <text>Each original applicant shall:</text> <paragraph num="(1)"> <text>File an application with the Board on forms that the Board approves; and</text> </paragraph> <paragraph num="(2)"> <text>Submit the appropriate fee and the official transcripts demonstrating completion of the educational requirements set forth in Regulation .03 of this chapter to the address designated by the Board on the appropriate application forms.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A candidate may choose to take the examination sections individually and in any order.</text> </paragraph> <paragraph num="C."> <text>An application to take a reexamination shall be submitted on a form, or in a manner, determined by the Board.</text> </paragraph> <paragraph num="D."> <text>For examinations administered after November 6, 2003, a candidate approved to take the examination before July 1, 1999 shall meet the requirements of Regulation .03 of this chapter unless the candidate:</text> <paragraph num="(1)"> <text>Has earned conditional credit under Regulation .04 of this chapter; or</text> </paragraph> <paragraph num="(2)"> <text>Was present for the examinations administered in:</text> <paragraph num="(a)"> <text>May 2003; or</text> </paragraph> <paragraph num="(b)"> <text>November 2003.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>The Board shall give examinations to applicants, at least twice a year, at times and places that the Board determines.</text> </paragraph> <paragraph num="F."> <text>Notification of Candidate Eligibility and Notice to Schedule.</text> <paragraph num="(1)"> <text>The Board or its designee shall issue a notice to schedule upon:</text> <paragraph num="(a)"> <text>The original candidate's approval to take the Uniform CPA Examination and payment of appropriate examination fees; or</text> </paragraph> <paragraph num="(b)"> <text>Receipt of payment of appropriate examination fees from a reexamination candidate.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The notice to schedule is valid for 180 days from the date issued.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A candidate may not retake a failed examination section during the same administration window.</text> </paragraph> <paragraph num="H."> <text>After filing the proper application and fee, if a candidate does not appear at the exam as scheduled, the candidate forfeits the application fee.</text> </paragraph> <paragraph num="I."> <text>A candidate may not transfer fees from one administration window to another.</text> </paragraph> <paragraph num="J."> <text>If the examination is offered on a continuous basis with no administration window limitations, a candidate may retake a failed examination section once their grade for that section has been released.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Conditional Credit."> <paragraph num="A."> <text>A candidate who received a score of 75 or higher in any examination section shall earn conditional credit for passing the section.</text> </paragraph> <paragraph num="B."> <text>A candidate who receives conditional credit is excused from retaking the examination section passed, if the candidate passes the remaining sections of the examination within 30 months from the date the first section was passed.</text> </paragraph> <paragraph num="C."> <text>A candidate who fails to pass all sections of the examination within 30 months from the date the first section is passed loses conditional credit for the first section and shall pass the section again before 30 months elapse from the date the next examination section is passed.</text> </paragraph> <paragraph num="D."> <text>The conditional credit period may be extended by the Board upon a candidate's showing of reasons, acceptable to the Board, why the candidate is unable to take an examination.</text> </paragraph> <paragraph num="E."> <text>As soon as practicable after the grading of the examination papers, each candidate shall be notified in writing of the candidate's grades on each subject taken.</text> </paragraph> <paragraph num="F."> <text>Within a period of 60 days after release of grades, a candidate may request permission to review the candidate's examination by writing to the Board.</text> </paragraph> <paragraph num="G."> <text>Conditional Credit Transition.</text> <paragraph num="(1)"> <text>Candidates who have earned conditional credit for examination sections passed under the paper and pencil format shall retain conditional credit as follows:</text> <paragraph num="(a)"> <text>The Accounting and Reporting examination section under the paper and pencil format shall be considered equivalent to the Regulation examination section under the computerized testing format;</text> </paragraph> <paragraph num="(b)"> <text>The Auditing examination section under the paper and pencil format shall be considered equivalent to the Auditing and Attestation examination section under the computerized testing format;</text> </paragraph> <paragraph num="(c)"> <text>The Business Law and Professional Responsibilities examination section under the paper and pencil format shall be considered equivalent to the Business Environment and Concepts examination section under the computerized testing format; and</text> </paragraph> <paragraph num="(d)"> <text>The Financial Accounting and Reporting examination section under the paper and pencil format shall be considered equivalent to the Financial Accounting and Reporting examination section under the computerized testing format.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Duration of Conditional Credit from Paper and Pencil Format.</text> <paragraph num="(a)"> <text>Conditional credit earned in November 2001, expires on the earlier of:</text> <paragraph num="(i)"> <text>The candidate's first attempt to pass the remaining examination sections, if unsuccessful; or</text> </paragraph> <paragraph num="(ii)"> <text>May 31, 2004.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Conditional credit earned in May 2002, expires on the earlier of:</text> <paragraph num="(i)"> <text>The candidate's second attempt to pass the remaining examination sections, if unsuccessful; or</text> </paragraph> <paragraph num="(ii)"> <text>November 30, 2004.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Conditional credit earned in November 2002, expires on the earlier of:</text> <paragraph num="(i)"> <text>The candidate's third attempt to pass the remaining examination sections, if unsuccessful; or</text> </paragraph> <paragraph num="(ii)"> <text>May 31, 2005.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Conditional credit earned in May 2003, expires on the earlier of:</text> <paragraph num="(i)"> <text>The candidate's fourth attempt to pass the remaining examination sections, if unsuccessful; or</text> </paragraph> <paragraph num="(ii)"> <text>November 30, 2005.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Conditional credit earned in November 2003, expires on the earlier of:</text> <paragraph num="(i)"> <text>The candidate's fifth attempt to pass the remaining examination sections, if unsuccessful; or</text> </paragraph> <paragraph num="(ii)"> <text>May 31, 2006.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Professional Ethics Examination."> <paragraph num="A."> <text>Before applying for a license, an individual who has successfully passed all of the examination sections of the Uniform CPA Examination shall pass the examination in professional ethics approved by the Board.</text> </paragraph> <paragraph num="B."> <text>The individual shall pay the cost of the examination in professional ethics.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§2-207, 2-303, 2-305, and 2-307, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 29, 2004 (31:6 Md. R. 508)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective December 31, 2007 (34:26 Md. R. 2262); October 3, 2011 (38:20 Md. R. 1202); April 28, 2014 (41:8 Md. R. 470)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective May 18, 2009 (36:10 Md. R. 716)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A, B, F amended effective January 8, 2024 (50:26 Md. R. 1131)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04J adopted effective June 29, 2020 (47:13 Md. R. 641)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B, C amended effective January 8, 2024 (50:26 Md. R. 1131)</annotation> </annotations> </chapter> <chapter num="06" heading="Peer Review"> <regulation prefix="Regulation" num=".01" heading="Scope."> <paragraph num="A."> <text>A firm that provides any of the services described in Business Occupations and Professions Article, §2-4A-04, Annotated Code of Maryland, shall be required to undergo, at least once every 3 years, a peer review as a condition of permit renewal.</text> </paragraph> <paragraph num="B."> <text>A licensee who provides any of the services described in Business Occupations and Professions Article, §2-4A-04, Annotated Code of Maryland, in a firm holding a permit issued by the Board is not required to undergo a separate peer review as a condition for license renewal.</text> </paragraph> <paragraph num="C."> <text>A licensee who provides any of the services described in Business Occupations and Professions Article, §2-4A-04, Annotated Code of Maryland, other than in a firm holding a permit issued by the Board, shall be required to undergo, at least once every 3 years, a peer review as a condition of license renewal.</text> </paragraph> <paragraph num="D."> <text>For purposes of this requirement, firms or licensees that only provide compilation services to clients for management use only, the products of which are not disclosed to third parties, are not required to have a peer review as described in Business Occupations and Professions Article, §2-4A-02, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Requirements for Peer Reviews."> <paragraph num="A."> <text>In order to qualify for purposes of license or permit renewal, a peer review shall be conducted in an approved peer review program in accordance with:</text> <paragraph num="(1)"> <text>The Standards for Performing and Reporting on Peer Reviews of the American Institute of Certified Public Accountants; or</text> </paragraph> <paragraph num="(2)"> <text>An equivalent set of standards approved by the Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Board shall maintain on its website a list of all approved peer review programs and standards.</text> </paragraph> <paragraph num="C."> <text>To the extent that there is any conflict between any peer review standards approved by the Board and Maryland law or regulations, Maryland law and regulations shall prevail.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements for Peer Reviewers."> <paragraph num="A."> <text>Approval by the Board.</text> <paragraph num="(1)"> <text>Before conducting a peer review, an individual shall be approved by the Board.</text> </paragraph> <paragraph num="(2)"> <text>An individual seeking Board approval as a peer reviewer shall file an application on a form provided by the Board.</text> </paragraph> <paragraph num="(3)"> <text>An individual who is authorized as a peer reviewer by a program approved by the Board shall be provisionally approved by the Board pending verification of the individual's qualifications.</text> </paragraph> <paragraph num="(4)"> <text>The Board shall approve an individual it considers qualified to conduct peer reviews.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In order to receive and maintain approval as a peer reviewer from the Board, an individual shall comply with the requirements set forth in Business Occupations and Professions Article, §2-4A-05, Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>The Board may revoke its approval of a peer reviewer for the reasons set forth in Business Occupations and Professions Article, §2-4A-05(g), Annotated Code of Maryland.</text> </paragraph> <paragraph num="D."> <text>A peer reviewer shall conduct a peer review intended to satisfy the requirement set forth in Business Occupations and Professions Article, §2-4A-02, Annotated Code of Maryland, in accordance with a peer review program approved by the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Peer Review Reporting."> <paragraph num="A."> <text>An approved peer review program shall notify the Board upon completion of a peer review within that program that is intended to satisfy the peer review requirements of the Maryland Public Accountancy Law.</text> </paragraph> <paragraph num="B."> <text>A peer reviewer shall ensure that a copy of the report of findings is provided to the Board only under the circumstances set forth in Business Occupations and Professions Article, §2-4A-05(e), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§2-207 and 2-4A-01—2-4A-06, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 9, 2006 (33:20 Md. R. 1615)</annotation> </annotations> </chapter> <chapter num="07" heading="Notification of Intent to Practice" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: October 9, 2006 (33:20 Md. R. 1615)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective May 18, 2009 (36:10 Md. R. 717)</annotation> </annotations> </chapter> </subtitle> <subtitle num="25" heading="Secondhand Precious Metals and Gem Dealers and Pawnbrokers"> <chapter num="01" heading="Licenses"> <regulation prefix="Regulation" num=".01" heading="License Required."> <paragraph num="A."> <text>Individuals engaged in the business of buying, acquiring, or trading commercially with members of the public in secondhand precious metals are required to be licensed as dealers unless specially exempt under Business Regulation Article, §12-102, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Each of the following individuals, when engaged in the secondhand precious metals business, shall be licensed as dealers:</text> <paragraph num="(1)"> <text>In a sole proprietorship, the owner shall be licensed as a dealer;</text> </paragraph> <paragraph num="(2)"> <text>In a partnership, each partner shall be licensed as a dealer;</text> </paragraph> <paragraph num="(3)"> <text>In a corporation whose stock is not publicly traded on one of the stock exchanges, the individual who owns the controlling interest in the corporation shall be licensed as a dealer;</text> </paragraph> <paragraph num="(4)"> <text>In a corporation whose stock is publicly traded, the individual who is the manager of the shop which deals in secondhand precious metals shall be licensed as a dealer.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="License Address."> <paragraph num="A."> <text>A dealer's license may only be issued for a specific fixed address.</text> </paragraph> <paragraph num="B."> <text>A license may not be transferred to another address.</text> </paragraph> <paragraph num="C."> <text>If a dealer moves the place of business to a new address, the dealer shall obtain a new license before engaging in the secondhand precious metals business at the new address.</text> </paragraph> <paragraph num="D."> <text>If a dealer has more than one place of business, a separate license shall be obtained for each address.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="License Name."> <paragraph num="A."> <text>A dealer's license may be issued only in the name of an individual. If the individual operates under a trade name or through a corporation or other commercial entity, the trade name, the corporate name, or business name shall be listed on the license.</text> </paragraph> <paragraph num="B."> <text>A licensee may not operate as a secondhand precious metals dealer under any name other than the individual's name unless the trade name, corporate name, or name of the business is listed on the dealer's license and is certified to the Department of Assessments and Taxation under Article 2, §18, Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>A licensee shall only use the trade, corporate, or business name listed on the license.</text> </paragraph> <paragraph num="D."> <text>A licensee may only effect a change of a trade, corporate, or business name if the licensee:</text> <paragraph num="(1)"> <text>Notifies the Secretary of the licensee's intent to change the trade, corporate, or business name; and</text> </paragraph> <paragraph num="(2)"> <text>Receives approval from the Secretary of the change of the trade, corporate, or business name.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="License Renewal."> <paragraph num="A."> <text>Each secondhand precious metals dealer's license issued by the Secretary of Labor expires on April 30 of each even-numbered year, irrespective of the date when the license was issued.</text> </paragraph> <paragraph num="B."> <text>If a fully executed application for renewal is filed before the expiration of a dealer's license, the licensee may continue to operate as a dealer while the application for renewal is pending.</text> </paragraph> <paragraph num="C."> <text>If an application for renewal is not filed until after the expiration of a dealer's license, the dealer may not engage in the secondhand precious metals business until the required State police investigation is complete and the application for renewal is finally approved by the Secretary of Labor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Employees of the Licensee."> <paragraph num="A."> <text>At the time an individual applies for a license, the individual shall:</text> <paragraph num="(1)"> <text>On a form provided by the Secretary, submit the name of each employee who, on behalf of the applicant, will engage in a precious metal object transaction or pawn transaction;</text> </paragraph> <paragraph num="(2)"> <text>Submit documents, as required by the Secretary, necessary to conduct a criminal background investigation for each employee who will engage in a precious metal object or pawn transaction; and</text> </paragraph> <paragraph num="(3)"> <text>Pay the fee for each employee pursuant to Business Regulation Article, §12-203, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A current licensee shall notify the Secretary, under the requirements of §A of this regulation, of the identity of an employee whom the licensee intends to hire to engage in a precious metal object or pawn transaction.</text> </paragraph> <paragraph num="C."> <text>The licensee may not permit an employee to engage in a precious metal object or pawn transaction until the Secretary notifies the licensee of the licensee's compliance with §A or B of this regulation.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, Title 12, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 24, 1990 (17:25 Md. R. 2907)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective September 9, 1996 (23:18 Md. R. 1316)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective September 9, 1996 (23:18 Md. R. 1316)</annotation> </annotations> </chapter> <chapter num="02" heading="Registration of Weights and Measures"> <regulation prefix="Regulation" num=".01" heading="Definition."> <text>“Weight and measure” has the meaning stated in Agriculture Article, §11-101, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Registration Required."> <paragraph num="A."> <text>A licensed dealer shall register with the Department of Agriculture any weights and measures which are used in buying from, selling to, or trading commercially with the public, any secondhand precious metal object.</text> </paragraph> <paragraph num="B."> <text>Registration with the Department of Agriculture shall be in accordance with Agriculture Article, §§11-204.1—11-204.7, Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>A licensed dealer shall display the registration conspicuously in the place of business of the licensee.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article §§12-103 and 12-302(a)(3)(iv), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 24, 1994 (21:21 Md. R. 1814)</annotation> </annotations> </chapter> <chapter num="03" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Secretary or the Secretary’s designee a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Secretary or the Secretary’s designee shall send a written communication by first-class mail to the last business address furnished to the Secretary or the Secretary’s designee by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Secretary in writing if there has been a change in an applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Secretary or the Secretary’s designee to be a violation of Business Regulation Article, §12-209(a)(2)(ix), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article §§12-103, 12-207(g), and 12-209(a)(2)(ix), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 31, 2018 (45:26 Md. R. 1241)</annotation> </annotations> </chapter> </subtitle> <subtitle num="26" heading="Board of Pilots"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Board Meetings."> <paragraph num="A."> <text>Regular meetings of the Board shall be held quarterly at a time and date set by the Board.</text> </paragraph> <paragraph num="B."> <text>Special Meetings.</text> <paragraph num="(1)"> <text>Special meetings of the Board may be called at the request of:</text> <paragraph num="(a)"> <text>The Chairman; or</text> </paragraph> <paragraph num="(b)"> <text>Three members of the Board.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Special meetings of the Board may be held at a time and date directed by the Chairman.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Qualification Committee."> <paragraph num="A."> <text>The pilot members and a consumer member of the Board shall constitute the Qualification Committee.</text> </paragraph> <paragraph num="B."> <text>The Qualification Committee may evaluate and conduct the actual observation of demonstrated performance required for licensure as a pilot under any kind of license at the direction of the Board and report its recommendations to the Board.</text> </paragraph> <paragraph num="C."> <text>The Qualification Committee may develop model training programs for Board approval designed for apprentices and pilots with limited licenses in order to acquire sufficient ability, skill, and experience required for licensure under any kind of license.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Incident Committee."> <paragraph num="A."> <text>The Chairman shall appoint one pilot member and one industry member to constitute the Incident Committee.</text> </paragraph> <paragraph num="B."> <text>The Incident Committee shall:</text> <paragraph num="(1)"> <text>Review all complaints filed with the Board and reports of incidents filed by a licensed pilot; and</text> </paragraph> <paragraph num="(2)"> <text>Make recommendations to the full Board on the disposition of each matter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Before making a recommendation on a complaint or an incident, the Incident Committee may request that the Department perform an investigation to obtain additional information. After receipt of this information, the Committee shall make the recommendation to the full Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Reports of Incidents."> <text>A licensed pilot involved in an incident that is required to be reported to the United States Coast Guard shall file a written report of the incident with the Board within 7 calendar days after the date of the incident. The written report shall contain a detailed factual account of the incident.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Complaint Procedure."> <paragraph num="A."> <text>A complaint against a licensed pilot may be filed by a member of the Board or by any other person.</text> </paragraph> <paragraph num="B."> <text>A complaint shall be in writing and shall state specifically the facts on which the complaint is based.</text> </paragraph> <paragraph num="C."> <text>The complaint shall be submitted to the Secretary of the Board, who shall assign it a tracking number and refer it to the Incident Committee.</text> </paragraph> <paragraph num="D."> <text>The Incident Committee shall:</text> <paragraph num="(1)"> <text>Investigate all complaints filed with the Board to determine if the facts alleged could form the basis for disciplinary action against the licensee under Business Occupations and Professions Article, §11-409, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>Within 30 days of the Committee's receipt of the complaint, make a report to the Board on the progress of the investigation;</text> </paragraph> <paragraph num="(3)"> <text>Except as provided in §D(4) of this regulation, within 60 days of the Committee's receipt of the complaint, make a recommendation to the Board for the disposition of the complaint; and</text> </paragraph> <paragraph num="(4)"> <text>Within 30 days of receipt of the report of an investigator appointed pursuant to Business Occupations and Professions Article, §11-208(c), Annotated Code of Maryland, make a recommendation to the Board for the disposition of the complaint.</text> </paragraph> </paragraph> <paragraph num="E."> <text>The Board shall review the recommendation of the Incident Committee at its next meeting.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Relief Pilot."> <paragraph num="A."> <text>When it is necessary for reasons of safe, efficient, or reliable pilotage that a pilot be relieved of his duties, the pilot so requesting shall arrange in a timely fashion for a relief pilot to be transferred aboard the vessel at an appropriate transfer point.</text> </paragraph> <paragraph num="B."> <text>The provisions of this regulation are effective as long as the Public Service Commission provides a tariff for rates and charges applicable to a relief pilot requested under the circumstances in this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Communications with the Board."> <paragraph num="A."> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond within 30 days of the date of mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first class mail to the last known address furnished to the Board by an applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Board in writing if there has been a change in applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §11-409, Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §11-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 2, 1969</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective November 22, 1982 (9:23 Md. R. 2259)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective August 31, 1981 (8:17 Md. R. 1419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 repealed effective August 27, 1984 (11:17 Md. R. 1491)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.10 repealed effective July 29, 1985 (12:15 Md. 1516)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.06 adopted effective July 29, 1985 (12:15 Md. R. 1516)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 9, 1991 (18:24 Md. R. 2643)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective September 28, 1992 (19:19 Md. R. 1706)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective May 26, 2003 (30:10 Md. R. 668)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective June 20, 2005 (32:12 Md. R. 1046)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective May 31, 2010 (37:11 Md. R. 765)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended and C adopted effective May 10, 2004 (31:9 Md. R. 712)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 recodified to Regulation .06, existing Regulation .06 repealed, and new Regulation .05 adopted effective June 20, 2005 (32:12 Md. R. 1046)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A amended effective December 11, 2003 (30:24 Md. R. 1739)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective March 11, 2019 (46:5 Md. R. 305)</annotation> </annotations> </chapter> <chapter num="02" heading="Pilots-in-Training, and Limited and Unlimited Licensed Pilots"> <regulation prefix="Regulation" num=".01" heading="Appointment of Pilot-in-Training."> <paragraph num="A."> <text>If the Board determines that it is necessary for the protection of the commercial interest of the State, the Board may appoint any number of qualified applicants to be pilots-in-training.</text> </paragraph> <paragraph num="B."> <text>In evaluating the commercial interest of the State, the Board may consider the State's interest in the availability of efficient, safe, and reliable pilotage services.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Selection of Pilots-in-Training."> <paragraph num="A."> <text>An applicant meeting the qualifications of the Business Occupations and Professions Article, §11-303, Annotated Code of Maryland, shall complete an application form approved by the Board.</text> </paragraph> <paragraph num="B."> <text>In addition to the application form, an applicant shall submit:</text> <paragraph num="(1)"> <text>A transcript from the applicant's postsecondary education institution, if applicable;</text> </paragraph> <paragraph num="(2)"> <text>A copy of the applicant's valid United States Coast Guard license;</text> </paragraph> <paragraph num="(3)"> <text>The applicant's maritime employment history; and</text> </paragraph> <paragraph num="(4)"> <text>An application fee of $25.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If an applicant fails to comply with these regulations, the applicant may not be eligible for selection as a pilot-in-training.</text> </paragraph> <paragraph num="D."> <text>The Board shall maintain a list of qualified applicants from which candidates shall be selected when the Board determines that apprentice pilots are required under Regulation .01 of this chapter.</text> </paragraph> <paragraph num="E."> <text>To compile the list of qualified applicants, the Board:</text> <paragraph num="(1)"> <text>Shall review the applications of all eligible applicants;</text> </paragraph> <paragraph num="(2)"> <text>May conduct personal interviews of eligible applicants that it considers necessary and under the circumstances that it may direct; and</text> </paragraph> <paragraph num="(3)"> <text>Shall rank them in the order in which they would be selected if the need for pilots-in-training arises.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Selection from the List.</text> <paragraph num="(1)"> <text>If the Board determines that pilots-in-training are required under Regulation .01 of this chapter, the Board shall select them beginning with the top ranked on the existing list.</text> </paragraph> <paragraph num="(2)"> <text>If the list is older than 1 year, the Board may require qualified applicants to update relevant information before the selection process.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Maintenance of the List.</text> <paragraph num="(1)"> <text>Unless the Board determines that the list should be extended for 1 additional year, the list of qualified applicants shall be maintained for a period of 2 years from the date it is compiled by the Board.</text> </paragraph> <paragraph num="(2)"> <text>Before the expiration of the list, a new list shall be prepared based on new applications.</text> </paragraph> <paragraph num="(3)"> <text>All existing applications must be renewed to be considered for the subsequent list.</text> </paragraph> <paragraph num="(4)"> <text>A list of qualified applicants compiled before October 1, 2004, shall be maintained for 1 year.</text> </paragraph> </paragraph> <paragraph num="H."> <text>An applicant selected under §F of this regulation shall pass an additional physical examination, as required by the Board, before the applicant may be appointed a pilot-in-training.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Limited Licensed Pilot."> <paragraph num="A."> <text>A pilot-in-training shall serve under the supervision of unlimited licensed pilots for at least 2 years after the appointment of the pilot-in-training before being licensed as a limited licensed pilot.</text> </paragraph> <paragraph num="B."> <text>Before an eligible pilot-in-training may be licensed as a limited licensed pilot, the pilot-in-training shall:</text> <paragraph num="(1)"> <text>File an application approved by the Board; and</text> </paragraph> <paragraph num="(2)"> <text>Demonstrate to the satisfaction of the Board by actual observation of demonstrated performance that the pilot-in-training possesses sufficient ability, skill, and experience.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In evaluating the ability, skill, and experience of a pilot-in-training, the Board shall consider the following:</text> <paragraph num="(1)"> <text>The recommendation of the Qualification Committee;</text> </paragraph> <paragraph num="(2)"> <text>The recommendation of the supervising licensed pilots;</text> </paragraph> <paragraph num="(3)"> <text>Any license issued to the pilot-in-training by the United States Coast Guard;</text> </paragraph> <paragraph num="(4)"> <text>The training program of the pilot-in-training including but not limited to:</text> <paragraph num="(a)"> <text>The number of trips;</text> </paragraph> <paragraph num="(b)"> <text>Types of vessels; and</text> </paragraph> <paragraph num="(c)"> <text>Pilotage routes in the training program; and</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Other pertinent factors identified by the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Raise in Grade of Limited Licensed Pilot."> <paragraph num="A."> <text>A limited licensed pilot holding a license to pilot vessels not exceeding 32 feet draft may apply for a license to pilot vessels not exceeding 36 feet draft.</text> </paragraph> <paragraph num="B."> <text>A limited licensed pilot holding a license to pilot vessels not exceeding 36 feet draft may apply for a license to pilot vessels not exceeding 40 feet draft.</text> </paragraph> <paragraph num="C."> <text>Before a limited licensed pilot under §§A and B of this regulation may be granted a raise in grade license, the limited licensed pilot shall:</text> <paragraph num="(1)"> <text>File an application approved by the Board; and</text> </paragraph> <paragraph num="(2)"> <text>Demonstrate to the satisfaction of the Board by actual observation of demonstrated performance that the limited licensed pilot possesses sufficient ability, skill, and experience.</text> </paragraph> </paragraph> <paragraph num="D."> <text>In evaluating the ability, skill, and experience of a limited licensed pilot, the Board shall consider the following:</text> <paragraph num="(1)"> <text>The recommendation of the Qualification Committee;</text> </paragraph> <paragraph num="(2)"> <text>The length of time that the limited licensed pilot has piloted vessels under the lower draft limited license;</text> </paragraph> <paragraph num="(3)"> <text>The number of vessels piloted;</text> </paragraph> <paragraph num="(4)"> <text>The pilotage routes;</text> </paragraph> <paragraph num="(5)"> <text>Any other licenses obtained by the limited licensed pilot; and</text> </paragraph> <paragraph num="(6)"> <text>Other pertinent factors identified by the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Unlimited Licensed Pilot."> <paragraph num="A."> <text>A limited licensed pilot shall serve for at least 3 years after being licensed before being licensed as an unlimited licensed pilot.</text> </paragraph> <paragraph num="B."> <text>Before an eligible limited licensed pilot may be licensed as an unlimited licensed pilot, the limited licensed pilot shall:</text> <paragraph num="(1)"> <text>File an application approved by the Board; and</text> </paragraph> <paragraph num="(2)"> <text>Demonstrate to the satisfaction of the Board by actual observation of demonstrated performance that the limited licensed pilot possesses sufficient ability, skill, and experience.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In evaluating the ability, skill, and experience of a limited licensed pilot, the Board shall consider the following:</text> <paragraph num="(1)"> <text>The recommendations of the Qualification Committee;</text> </paragraph> <paragraph num="(2)"> <text>The length of time that the limited licensed pilot has piloted vessels;</text> </paragraph> <paragraph num="(3)"> <text>The number of vessels piloted;</text> </paragraph> <paragraph num="(4)"> <text>The pilotage routes;</text> </paragraph> <paragraph num="(5)"> <text>Any other licenses obtained by the limited licensed pilot; and</text> </paragraph> <paragraph num="(6)"> <text>Other pertinent factors identified by the Board.</text> </paragraph> </paragraph> <paragraph num="D."> <text>An application filed under this regulation may be treated as an application filed under Regulation .04 of this chapter in the discretion of the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Continuing Education."> <paragraph num="A."> <text>Once every 5 years, a licensed pilot shall satisfactorily complete a course approved by the Board or a course offered at an institute approved by the Board in each of the following subject areas:</text> <paragraph num="(1)"> <text>Bridge Resource Management for Pilots;</text> </paragraph> <paragraph num="(2)"> <text>Differential Global Positioning System;</text> </paragraph> <paragraph num="(3)"> <text>E-Navigation;</text> </paragraph> <paragraph num="(4)"> <text>Current and emerging marine navigation, steering, and propulsion technologies; and</text> </paragraph> <paragraph num="(5)"> <text>Any other subject areas that are or may be designated by the United States Coast Guard or the Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>At the request of a pilot, the Board may give the pilot an additional year beyond the normal 5-year time period on one continuing education cycle to extend the renewal date of the ARPA or ROR so that the dates are coincident for the purposes of federal licensing requirements.</text> </paragraph> <paragraph num="C."> <text>A licensed pilot who completed a required course while a pilot-in-training shall complete the course again within 5 years of the prior course completion and every 5 years thereafter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Reporting Requirements for License Renewal."> <paragraph num="A."> <text>A licensee shall provide the Board with satisfactory evidence of completion of the continuing education requirements either through electronic completion notices provided directly to the Board by the course provider or through other documentation from the course provider that is acceptable to the Board.</text> </paragraph> <paragraph num="B."> <text>The documentation shall be submitted within 30 days of the completion of the course.</text> </paragraph> <paragraph num="C."> <text>The Board at its discretion may audit up to 10 percent of randomly selected licensees to ascertain compliance with the continuing education requirements.</text> </paragraph> <paragraph num="D."> <text>Licensees who are audited shall provide any additional documentation required by the Board to complete the audit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Maintenance of Federal License."> <paragraph num="A."> <text>Each licensed pilot shall maintain an active United States Coast Guard license.</text> </paragraph> <paragraph num="B."> <text>A licensed pilot shall give the Board immediate notice of any lapse in the pilot's United States Coast Guard license.</text> </paragraph> <paragraph num="C."> <text>If the lapse is the result of a delay that occurs in the United States Coast Guard renewal process, the pilot shall be permitted to continue piloting pending re-issuance of the license upon a showing by the pilot to the Board that:</text> <paragraph num="(1)"> <text>A timely application for the renewal of the license has been made;</text> </paragraph> <paragraph num="(2)"> <text>There are no known impediments to renewal of the license; and</text> </paragraph> <paragraph num="(3)"> <text>A licensed physician or physician's assistant has certified that the pilot is in good health and has no physical impairment or medical condition that would render the pilot physically unable to perform the ordinary duties of the license.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§11-205, 11-403, 11-406, and 11-406.1, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 29, 1985 (12:15 Md. R. 1516)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective February 10, 1986 (13:3 Md. R. 271)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective August 21, 1989 (16:16 Md. R. 1750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective December 11, 2003 (30:24 Md. R. 1740)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective September 28, 1992 (19:19 Md. R. 1706)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03F adopted effective August 25, 1986 (13:17 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03G amended effective January 6, 2005 (31:26 Md. R. 1861)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective December 11, 2003 (30:24 Md. R. 1739)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective February 23, 1998 (25:4 Md. R. 243)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective February 23, 1998 (25:4 Md. R. 243)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective April 7, 1997 (24:7 Md. R. 552)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A amended effective December 11, 2003 (30:24 Md. R. 1740)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective June 20, 2005 (32:12 Md. R. 1046), except that Regulation .02 repealed effective November 1, 2005</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A, B amended effective March 21, 2011 (38:6 Md. R. 394)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective May 31, 2010 (37:11 Md. R. 765)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06A amended effective February 24, 2020 (47:4 Md. R. 261)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective May 31, 2010 (37:11 Md. R. 765)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 adopted effective May 31, 2010 (37:11 Md. R. 765)</annotation> </annotations> </chapter> <chapter num="03" heading="Hearing Regulations"> <regulation prefix="Regulation" num=".01" heading="Hearings."> <paragraph num="A."> <text>All contested case hearings before the Board shall be governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>All contested case hearings delegated to the Office of Administrative Hearings shall be governed by COMAR 09.01.03.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, § 11-205(a), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 29, 1985 (12:15 Md. R. 1516)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 repealed and new Regulation .01 adopted effective December 11, 2003 (30:24 Md. R. 1739)</annotation> </annotations> </chapter> <chapter num="04" heading="Work Rules"> <regulation prefix="Regulation" num=".01" heading="Committee on Work Rules."> <paragraph num="A."> <text>The Chairman shall appoint one consumer member, one member representing the steamship industry, and one pilot member to serve on the Committee on Work Rules.</text> </paragraph> <paragraph num="B."> <text>The Association shall submit to the Committee all proposed changes in the Association's work rules that affect pilot list administration, appointments, assignment intervals, or relief pilots.</text> </paragraph> <paragraph num="C."> <text>The Committee may meet in person or through a conference call to consider and discuss whether any of the proposed changes affect safe operations of vessels by Maryland pilots and, if so, what action should be taken on them.</text> </paragraph> <paragraph num="D."> <text>Within 15 days of the submission, the Committee shall notify the Association whether it has determined that any of the proposed changes affect safe operations of vessels by Maryland pilots, and if so, whether those changes have been preliminarily approved or have been referred to the full Board for its consideration.</text> </paragraph> <paragraph num="E."> <text>The Association may immediately implement the changes which have been preliminarily approved, subject to the Board's subsequent review.</text> </paragraph> <paragraph num="F."> <text>The Committee shall promptly report to the Board on the changes in the work rules that it has:</text> <paragraph num="(1)"> <text>Preliminarily approved; and</text> </paragraph> <paragraph num="(2)"> <text>Referred to the Board for its consideration.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The Board shall consider the proposed changes referred to it by the Committee, as well as those changes preliminarily approved by the Committee, at its next scheduled business meeting.</text> </paragraph> <paragraph num="H."> <text>Work rule changes approved by the Board under §G of this regulation shall go into effect immediately upon approval, unless the work rule change specifies a different date.</text> </paragraph> <paragraph num="I."> <text>Work rule changes that had been implemented as a result of preliminary approval by the Committee and that have been subsequently disapproved by the Board shall be discontinued at the earliest possible time after the Board's action.</text> </paragraph> <paragraph num="J."> <text>The Committee and the Board may not take a position on proposed changes that the Committee determines do not affect safe operations of vessels by Maryland pilots.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §11-205, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 11, 2003 (30:24 Md. R. 1740)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective May 31, 2010 (37:11 Md. R. 765)</annotation> </annotations> </chapter> <chapter num="05" heading="Cross Training"> <regulation prefix="Regulation" num=".01" heading="Unlimited Licensed Pilot."> <text>An unlimited licensed pilot who, without the supervision of a licensed docking master, berthed, unberthed, or shifted at least 50 vessels within a port with tug assistance before October 1, 2004, may be assigned that work without the need for additional experience or training.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Training for Work with Tug Assistance."> <text>Except as provided in Regulation .01 of this chapter, a pilot who held an unlimited license before October 1, 2004, shall satisfy the following requirements before the pilot may be assigned work that includes the berthing and unberthing of vessels with tug assistance or the shifting of a vessel within a port with tug assistance:</text> <paragraph num="A."> <text>Successful performance of a minimum of 200 berthings, unberthings, or shifts under the supervision of a pilot who held a docking master license before October 1, 2004, or who is qualified under this chapter;</text> </paragraph> <paragraph num="B."> <text>The recommendation of the Association that the pilot be permitted to receive pilotage assignments that include the berthing and unberthing of vessels with tug assistance and the shifting of vessels within a port with tug assistance; and</text> </paragraph> <paragraph num="C."> <text>Sufficient ability, skill, and experience in the berthing and unberthing of vessels with tug assistance and the shifting of vessels within a port with tug assistance as demonstrated to the satisfaction of the Board by actual observation of performance.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Piloting Within Certain Areas."> <text>Without additional experience or training, a pilot who held a docking master's license before October 1, 2004, may pilot a vessel when the vessel is inside North Point or within 10 miles of the Cove Point or Piney Point terminals.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§11-205 and 11-406.1, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective October 1, 2004 (31:20 Md. R. 1482); adopted permanently effective February 28, 2005 (32:4 Md. R. 410)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective June 20, 2005 (32:12 Md. R. 1046)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 adopted effective November 6, 2006 (33:22 Md. R. 1732)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective February 11, 2008 (35:3 Md. R. 289)</annotation> </annotations> </chapter> </subtitle> <subtitle num="27" heading="Board of Docking Masters"> <chapter num="01" heading="General Regulations" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: December 24, 2001 (28:25 Md. R. 2190)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective March 22, 2010 (37:6 Md. R. 477)</annotation> </annotations> </chapter> <chapter num="02" heading="Trainees" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: December 24, 2001 (28:25 Md. R. 2190)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective December 11, 2003 (30:24 Md. R. 1740)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective March 22, 2010 (37:6 Md. R. 477)</annotation> </annotations> </chapter> <chapter num="03" heading="Code of Ethics" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date: April 15, 2002 (29:7 Md. R. 619)</annotation> <annotation type="History" subtype="Administrative History">Chapter repealed effective March 22, 2010 (37:6 Md. R. 477)</annotation> </annotations> </chapter> </subtitle> <subtitle num="28" heading="Board of Examiners of Landscape Architects"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <text>The definitions set forth in the Business Occupations and Professions Article, §9-101, Annotated Code of Maryland, apply in this chapter unless otherwise noted.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Filing of Applications."> <paragraph num="A."> <text>An application for admittance to the examination or for registration to practice landscape architecture shall be submitted on the form provided by the Board and will be received at any time during regular business hours at the office of the Board. The application shall be filed with the Board at least 90 days before the date of the examination.</text> </paragraph> <paragraph num="B."> <text>The application fee shall accompany the application. Application fees are not refundable.</text> </paragraph> <paragraph num="C."> <text>The Board may require an applicant to submit, with the formal application, documentary evidence of experiential or educational qualifications.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Examinations."> <paragraph num="A."> <text>Scope of the Examination.</text> <paragraph num="(1)"> <text>The scope of the examinations will be established by the Board.</text> </paragraph> <paragraph num="(2)"> <text>The examinations shall:</text> <paragraph num="(a)"> <text>Be designed to determine the qualifications of the applicant to practice landscape architecture;</text> </paragraph> <paragraph num="(b)"> <text>Cover such technical, professional and practical subjects as relates to the practice of the profession of landscape architecture;</text> </paragraph> <paragraph num="(c)"> <text>Cover the basic arts and sciences, a knowledge of which is material and necessary to the proper understanding, application, and qualification for practice of the profession of landscape architecture.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>The minimum passing grade in all subjects of the examination shall be established by the Board.</text> </paragraph> <paragraph num="C."> <text>An applicant receiving a passing grade on a subject included in the examination will be given credit for that subject.</text> </paragraph> <paragraph num="D."> <text>Applicants may take all or any parts of the original examination or the re-examination.</text> </paragraph> <paragraph num="E."> <text>Applicants desiring to retake certain subjects of the examination may be required to appear before the Board and furnish evidence of satisfactory study and preparation before readmittance to the examination.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Qualifications for Examination."> <text>To qualify for the examination, the applicant shall meet the requirements as set out in Business Occupations and Professions Article, §9-305, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Embossing Seals and Rubber Stamp Facsimiles."> <paragraph num="A."> <text>For the purpose of sealing and signing all final drawings, plans, specifications, reports, and other contract documents, referred to in Business Occupations and Professions Article, §9-501, Annotated Code of Maryland, each licensed landscape architect shall obtain an individual seal to be used on documents prepared by the licensee or under the licensee's supervision. The seal shall imprint the name of the landscape architect and the license number.</text> </paragraph> <paragraph num="B."> <text>A rubber stamp facsimile of the seal and the live signature of the landscape architect may be applied to tracings to produce legible reproduction of the drawings or to prints made from the tracings. This provision, however, does not in any manner modify the requirements of Business Occupations and Professions Article, §9-501, Annotated Code of Maryland, in reference to use of the impression seal and signature.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§9-206(a), 9-207(a), and 9-304(2), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: September 25, 1971</annotation> <annotation type="History" subtype="Administrative History">The Board of Landscape Architects was transferred from the jurisdiction of the Department of Natural Resources to the Department of Licensing and Regulation, effective January 1, 1974 (2:6 Md. R. 442)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01D amended effective April 8, 1985 (12:7 Md. R. 701)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective October 21, 1996 (23:21 Md. R. 1467)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective October 7, 1985 (12:20 Md. R. 1925)</annotation> <annotation type="History" subtype="Administrative History">Regulations .04F—I, .08B and C, and .11A amended, and .05 repealed effective November 5, 1984 (11:22 Md. R. 1898)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04G amended effective February 22, 1988 (15:4 Md. R. 472); July 9, 1990 (17:13 Md. R. 1610)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04I and J repealed effective October 10, 1983 (10:20 Md. R. 1786)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective October 7, 1985 (12:20 Md. R. 1925)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended effective October 12, 1981 (8:20 Md. R. 1634); July 5, 1982 (9:13 Md. R. 1350); July 4, 1983 (10:13 Md. R. 1180); February 27, 1984 (11:4 Md. R. 314); November 5, 1984 (11:22 Md. R. 1989); February 22, 1988 (15:4 Md. R. 472); April 2, 1990 (17:6 Md. R. 741); September 3, 1990 (17:17 Md. R. 2080); April 13, 1992 (19:7 Md. R. 746); February 15, 1993 (20:3 Md. R. 258); February 28, 1994 (21:4 Md. R. 276)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended as an emergency provision effective October 19, 1994 (21:23 Md. R. 1929); emergency status expired April 19, 1995; amended permanently effective April 24, 1995 (22:8 Md. R. 595)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended as an emergency provision effective August 28, 1995 (22:19 Md. R. 1469); emergency status expired February 15, 1996; adopted permanently effective March 11, 1996 (23:5 Md. R. 378)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 repealed and new Regulation .13 adopted as an emergency provision effective September 19, 1997 (24:21 Md. R. 1444); emergency status extended at 25:8 Md. R. 594; adopted permanently effective April 20, 1998 (25:8 Md. R. 596)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended as an emergency provision effective April 12, 1999 (26:10 Md. R. 793); emergency status expired October 12, 1999</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended as an emergency provision effective November 22, 1999(26:27 Md. R. 2014); emergency status expired May 15, 2000</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended as an emergency provision effective May 16, 2000 (27:13 Md. R. 1209); emergency status expired July 1, 2000</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended effective October 30, 2000 (27:21 Md. R. 1975)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended as an emergency provision effective December 11, 2000 (28:1 Md. R. 20); amended permanently effective April 16, 2001 (28:7 Md. R. 689)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13A amended effective August 20, 2001 (28:16 Md. R. 1482); April 29, 2002 (29:8 Md. R. 699)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 repealed as an emergency provision effective July 1, 2003 (30:14 Md. R. 933); repealed permanently effective November 10, 2003 (30:22 Md. R. 1579)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective November 10, 2003 (30:22 Md. R. 1579)</annotation> </annotations> </chapter> <chapter num="02" heading="Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Responsibility to the Public."> <text>A licensee shall make every reasonable effort to protect the safety, health, property, and welfare of the public. If the licensee's professional judgment is overruled under circumstances where the safety, health, property, or welfare of the public is endangered, the licensee shall inform the employer or client of the possible consequences.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Public Statements, Reports, and Testimony."> <paragraph num="A."> <text>A licensee may not make statements or reports or give expert testimony on landscape architectural matters connected with public policy if the remarks are inspired or paid for by an interested party, unless the remarks are preceded by:</text> <paragraph num="(1)"> <text>Identification;</text> </paragraph> <paragraph num="(2)"> <text>Disclosing the identity of the party on whose behalf the remarks are being offered; and</text> </paragraph> <paragraph num="(3)"> <text>Revealing the existence of any pecuniary interest in the matter.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A licensee may express publicly a professional opinion on a landscape architectural subject only when that opinion is founded upon adequate knowledge of the material facts and a background of technical competence in the subject matter.</text> </paragraph> <paragraph num="C."> <text>In any professional report, statement, or testimony, a licensee may not be untruthful, deceptive, or misleading.</text> </paragraph> <paragraph num="D."> <text>A licensee may not affix a professional seal other than the licensee's own seal to a professional document.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Competency for Assignments Undertaken or Approved."> <paragraph num="A."> <text>A licensee may undertake to perform landscape architectural assignments only when qualified to do so by education or experience, or both. If the competence of a licensee to perform an assignment is questioned, the Board either upon request of the licensee, or by its own motion, may require the licensee to submit to a formal or informal inquiry by or on behalf of the Board.</text> </paragraph> <paragraph num="B."> <text>A licensee may sign or seal landscape architectural documents only if the:</text> <paragraph num="(1)"> <text>Licensee is competent in the subject matter of those documents by virtue of education or experience, or both; or</text> </paragraph> <paragraph num="(2)"> <text>Documents were prepared under the licensee's direction as principal by an individual competent in the subject matter of those documents by virtue of education or experience, or both.</text> </paragraph> </paragraph> <paragraph num="C."> <text>When using the seal, a licensee shall affix the licensee's signature immediately adjacent to the impression of the seal.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Conflicts of Interest."> <paragraph num="A."> <text>A licensee shall make every effort to avoid conflicts of interest with the employer or client. Whenever conflicts of interest appear unavoidable, however, the licensee shall disclose promptly and fully all the circumstances to the employer or client.</text> </paragraph> <paragraph num="B."> <text>A licensee shall inform promptly an employer or client of any business association, interests, or circumstances which may influence the judgment or the quality of services rendered to the employer or client.</text> </paragraph> <paragraph num="C."> <text>A licensee may not accept compensation, financial or other, from more than one party for services on a project or for services pertaining to a project unless full disclosure is made by the licensee to all interested parties.</text> </paragraph> <paragraph num="D."> <text>A licensee may not solicit or accept financial or other valuable consideration from a material supplier or equipment supplier for specifying the supplier's projects, except when the licensee is a previously announced employee or agent of the supplier.</text> </paragraph> <paragraph num="E."> <text>Except for gifts of only token value, a licensee may not solicit or accept gratuities, directly or indirectly, from any contractor, architect, engineer, or other party dealing with the licensee's employer or client in connection with work for which the licensee is responsible.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Improper Solicitation of Professional Employment."> <paragraph num="A."> <text>Except for gifts of only token value and the usual commissions paid to licensed employment agencies, a licensee may not compensate, give anything of value, or offer to compensate or give anything of value:</text> <paragraph num="(1)"> <text>To a person or organization to recommend or secure employment as a landscape architect; or</text> </paragraph> <paragraph num="(2)"> <text>As a reward for having made a recommendation resulting in his employment as a landscape architect.</text> </paragraph> </paragraph> <paragraph num="B."> <text>When competing for professional employment, a licensee may not falsify or permit misrepresentation of the licensee's qualifications or those of the licensee's associates.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Knowledge of Improper Conduct by Others."> <text>Except to the extent the rules of privilege recognized in this State apply, when questioned by a member or authorized representative of the Board concerning an alleged violation of another person or organization, a licensee may not conceal or refuse to divulge any information or make false or misleading statements about the matter.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond within 30 days of the date of mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last known address furnished to the Board by an applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is a responsibility of an applicant or licensee to notify the Board in writing if there has been a change in the applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §9-310(a)(1)(vi), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §9-206, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 24, 1995 (22:8 Md. R. 596)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 adopted effective February 25, 2019 (46:4 Md. R. 191)</annotation> </annotations> </chapter> <chapter num="03" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§2-106.1 and 2-106.2, Annotated Code of Maryland, and Business Occupations and Professions Article, Title 9, Annotated Code of Maryland. In particular, it is intended to set various fees in order to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the State Board of Architects, the State Board of Certified Interior Designers, the State Board of Examiners of Landscape Architects, the State Board for Professional Engineers, and the State Board for Professional Land Surveyors.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board” means the State Board of Examiners of Landscape Architects.</text> </paragraph> <paragraph num="(2)"> <text>“Design boards” means collectively the:</text> <paragraph num="(a)"> <text>State Board of Architects;</text> </paragraph> <paragraph num="(b)"> <text>State Board of Certified Interior Designers;</text> </paragraph> <paragraph num="(c)"> <text>Board;</text> </paragraph> <paragraph num="(d)"> <text>State Board for Professional Engineers; and</text> </paragraph> <paragraph num="(e)"> <text>State Board for Professional Land Surveyors.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“License fee” means the fee paid by an applicant or licensee, as applicable, in connection with the issuance and renewal of a license and the issuance of a reciprocal license.</text> </paragraph> <paragraph num="(4)"> <text>“Permit fee” means the fee paid in connection with the issuance and renewal of a permit.</text> </paragraph> <paragraph num="(5)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Fees and Costs."> <paragraph num="A."> <text>The Secretary and the design boards have agreed to average their direct and indirect costs, based on the calculation of costs performed by the Secretary in consultation with the design boards. Based on these calculations, the Board sets the following fees:</text> <paragraph num="(1)"> <text>License fee — $86;</text> </paragraph> <paragraph num="(2)"> <text>Permit fee — $112;</text> </paragraph> <paragraph num="(3)"> <text>Nonrefundable initial application fee payable in connection with:</text> <paragraph num="(a)"> <text>An application for permit — $39;</text> </paragraph> <paragraph num="(b)"> <text>An application for license by reciprocity — $56;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Reinstatement fee — $112.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An applicant shall be approved by the Board to take any section of the licensing examination.</text> </paragraph> <paragraph num="C."> <text>An applicant for the licensing examination shall pay examination fees directly to the Council of Landscape Architectural Registration Boards (CLARB) as these fees are established by CLARB.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§2-106, 2-106.1 and 2-106.2; Business Occupations and Professions Article, §§9-101, 9-206, 9-207, 9-304(2), 9-305.1, 9-306, 9-309, 9-313, 9-314, 9-405, 9-406, and 9-408; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.03 adopted as an emergency provision effective July 1, 2003 (30:14 Md. R. 933); adopted permanently effective November 10, 2003 (30:22 Md. R. 1579)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended as an emergency provision effective May 24, 2004 (31:12 Md. R. 908); emergency status expired November 24, 2004</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective February 28, 2005 (32:4 Md. R. 410); March 13, 2006 (33:5 Md. R. 519); December 18, 2006 (33:25 Md. R. 1951); April 23, 2007 (34:8 Md. R. 767); July 28, 2008 (35:15 Md. R. 1348); November 1, 2010 (37:22 Md. R. 1554)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective March 3, 2014 (41:4 Md. R. 300); May 27, 2024 (51:10 Md. R. 525)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C amended effective April 29, 2013 (40:8 Md. R. 723); May 27, 2024 (51:10 Md. R. 525)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03C, D amended effective April 16, 2012 (39:7 Md. R. 491)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D—K repealed effective April 29, 2013 (40:8 Md. R. 723)</annotation> </annotations> </chapter> <chapter num="04" heading="Continuing Professional Competency Requirements"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The State legislature has determined that, in order to safeguard the health, safety, and welfare of the public, licensed landscape architects must comply with the continuing professional competency (CPC) requirements as a prerequisite for the renewal of a license.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“ASLA” means the American Society of Landscape Architects.</text> </paragraph> <paragraph num="(2)"> <text>“ Board” means the State Board of Examiners of Landscape Architects.</text> </paragraph> <paragraph num="(3)"> <text>“College credit hour” means the credit for a course described in Regulation .04 of this chapter, offered by a university, college, or community college.</text> </paragraph> <paragraph num="(4)"> <text>“Continuing education standard activities” means traditional continuing education course work presented to students by an instructor in an in-person or virtual classroom format.</text> </paragraph> <paragraph num="(5)"> <text>“Continuing education alternative activities” means work that qualifies under this chapter for continuing professional competency credits that is not traditional continuing education course work presented to students by an instructor in an in-person or virtual classroom format.</text> </paragraph> <paragraph num="(6)"> <text>“Health, safety, and welfare (HSW) subjects” means content areas identified as such by Landscape Architecture Continuing Education System as those content areas may be updated or otherwise amended from time to time.</text> </paragraph> <paragraph num="(7)"> <text>“LACES” means Landscape Architecture Continuing Education System.</text> </paragraph> <paragraph num="(8)"> <text>“Professional development hour (PDH)” means a minimum of 50 minutes of face-to-face or distance learning instruction per 60-minute hour.</text> </paragraph> <paragraph num="(9)"> <text>“Qualifying activities” means professional development activities which qualify for PDH credit by meeting the following requirements:</text> <paragraph num="(a)"> <text>Meet the criteria set forth in Regulation .04 of this chapter; and</text> </paragraph> <paragraph num="(b)"> <text>Are approved and accepted for credit by LACES or the Board.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements."> <paragraph num="A."> <text>A licensee shall complete, as a condition of a license renewal in each individual 2-year-renewal cycle, a minimum of 24 PDHs . The 24 PDHs shall consist of a minimum of 16 PDHs in continuing education standard activities and a maximum of 8 PDHs in continuing education alternative activities. Of the 16 PDH continuing education standard activities, 8 PDHs shall be HSW-focused.</text> </paragraph> <paragraph num="B."> <text>A licensee may not be eligible to earn PDHs for a professional development activity that has not been approved for credit by LACES or the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Qualifying Activities."> <paragraph num="A."> <text>In order for an activity to be considered a qualifying continuing education standard activity or continuing education alternative activity, the activity shall meet the following criteria:</text> <paragraph num="(1)"> <text>Maintain, improve, or expand the skills and knowledge relevant to the practice of landscape architecture;</text> </paragraph> <paragraph num="(2)"> <text>Research, analysis, assessment, conservation, preservation, and enhancement of land use;</text> </paragraph> <paragraph num="(3)"> <text>Selection and allocation of cultural, historic, and natural resources;</text> </paragraph> <paragraph num="(4)"> <text>Laws and regulations applicable to the practice of landscape architecture in Maryland;</text> </paragraph> <paragraph num="(5)"> <text>Standards of practice or care applicable to the practice of landscape architecture; or</text> </paragraph> <paragraph num="(6)"> <text>Professional ethics as applicable to the practice of landscape architecture.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Qualifying continuing education standard activities include completing traditional continuing education course work that meets the requirements of §A of this regulation as well as the criteria below:</text> <paragraph num="(1)"> <text>Maintain and enhance professional competency;</text> </paragraph> <paragraph num="(2)"> <text>Foster improvement, advancement, and extension of professional skills and knowledge related to the practice of landscape architecture;</text> </paragraph> <paragraph num="(3)"> <text>Offer learning experiences relevant to current landscape architectural practices or those that relate to the public health, safety, and welfare;</text> </paragraph> <paragraph num="(4)"> <text>Be presented in a systematic manner that clearly defines learning objectives; and</text> </paragraph> <paragraph num="(5)"> <text>Be led or taught at a professional level by well-qualified professionals in a learning environment conducive to learning and appropriate for accomplishing learning objectives described in these regulations.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Qualifying continuing education alternative activities include participating in one of the following, provided it meets the requirements of §A of this regulation:</text> <paragraph num="(1)"> <text>Authorship of original published work, including books, articles, papers, or documents, or other media types at the discretion of the Board;</text> </paragraph> <paragraph num="(2)"> <text>Enrollment in and completion of a related, for-credit course at a university, college, or community college;</text> </paragraph> <paragraph num="(3)"> <text>Professional development work or professional or technical presentations made on matters related to landscape architecture at meetings, conventions, or conferences; or</text> </paragraph> <paragraph num="(4)"> <text>Other appropriate activities that may from time to time be approved by the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Nonqualifying Activities."> <text>Activities that do not meet the criteria set forth in Regulation .04 of this chapter shall be considered to be nonqualifying activities, including, but not limited to, the following:</text> <paragraph num="A."> <text>Regular employment as a licensed landscape architect or teacher or serving as an expert witness;</text> </paragraph> <paragraph num="B."> <text>Repetitive completion of the same courses or programs without substantial modifications or updates;</text> </paragraph> <paragraph num="C."> <text>Attending trainings or seminars related to time management techniques and strategies;</text> </paragraph> <paragraph num="D."> <text>Attending committee meetings or general business meetings of any organizations; and</text> </paragraph> <paragraph num="E."> <text>Other activities that, in the Board’s opinion, are not directly related to the practice of landscape architecture.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Sources of Credit and Determination of Units."> <paragraph num="A."> <text>A licensee may earn PDHs through participation in continuing education standard activities by attending and successfully completing traditional continuing education courses that meet the requirements of Regulation .04 of this chapter.</text> </paragraph> <paragraph num="B."> <text>PDH credit may be claimed only once for a particular course.</text> </paragraph> <paragraph num="C."> <text>A licensee shall apply to the Board for approval of PDHs through participation in continuing education alternative activities in accordance with Regulation .04 of this chapter under the following conversion schedule:</text> <paragraph num="(1)"> <text>Credited contribution to a print or digital publication of original work published in a periodical recognized by the Board, with a maximum of 3 PDHs applied for upon publication.</text> </paragraph> <paragraph num="(2)"> <text>Credited contribution to an original book, with a maximum of 5 PDHs applied for upon publication.</text> </paragraph> <paragraph num="(3)"> <text>Enrollment in and completion of a related, for-credit course at a university, college, or community college, with 1 PDH applied for upon completion of 1 college credit hour with a maximum of 3 total PDHs per for-credit course.</text> </paragraph> <paragraph num="(4)"> <text>Teach a traditional continuing education course, as follows:</text> <paragraph num="(a)"> <text>A maximum of two times the number of PDHs awarded under §A of this regulation for the taking of the course may be applied for.</text> </paragraph> <paragraph num="(b)"> <text>A licensee may only apply for this credit for the first time the traditional course is taught.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>The final determination of value, sources, and number of credits is within the discretion of the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Approval Process."> <paragraph num="A."> <text>Entities or individuals, including, but not limited to, professional firms conducting in-house presentations, may submit a specific professional development activity for review and approval by the Board.</text> </paragraph> <paragraph num="B."> <text>During the application process, the Board or the Board’s designee will evaluate the suitability of the activity and the qualifications of presenter.</text> </paragraph> <paragraph num="C."> <text>The presenter shall submit adequate information to enable the Board or the Board’s designee to evaluate the professional development activity. At a minimum, the Board requires the following information to be submitted with each application for approval:</text> <paragraph num="(1)"> <text>The types and descriptions of proposed or existing programs intended to be offered;</text> </paragraph> <paragraph num="(2)"> <text>The number of PDHs to be awarded for each activity; and</text> </paragraph> <paragraph num="(3)"> <text>The identity and qualifications of the instructors.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The Board may require presenters to document the offered activities for audit</text> </paragraph> <paragraph num="E."> <text>The Board may suspend or revoke its approval of an activity if, in the judgment of the Board, the intent of Business Occupations and Professions Article, §9-309, Annotated Code of Maryland, is no longer served or a presenter materially changed the content of the activity without the prior written approval of the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Record Keeping."> <paragraph num="A."> <text>Responsibility to Maintain Records.</text> <paragraph num="(1)"> <text>The responsibility of maintaining records to be used to support the continuing professional competency credit claim is the responsibility of each licensee.</text> </paragraph> <paragraph num="(2)"> <text>A licensee shall maintain the records for a period of at least 4 years from the date of completion of the qualifying activity.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Documentation referred to in §A(2) of this regulation, includes, but is not limited to, the following:</text> <paragraph num="(1)"> <text>Certificates of participation;</text> </paragraph> <paragraph num="(2)"> <text>Transcripts; or</text> </paragraph> <paragraph num="(3)"> <text>Any other appropriate evidence acceptable to the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Reporting Requirements for License Renewal."> <paragraph num="A."> <text>A licensee shall attest to the satisfactory completion of the CPC requirements set forth in this chapter before the licensee’s license expiration date.</text> </paragraph> <paragraph num="B."> <text>The Board at its discretion may audit licensees to ascertain compliance with CPC requirements.</text> </paragraph> <paragraph num="C."> <text>Licensees who are audited shall provide within 30 days of receipt of electronic notice of audit from the Board any additional documentation required by the Board to complete the audit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Extenuating Circumstances/Exceptions."> <paragraph num="A."> <text>Exemptions. Notwithstanding other requirements set forth in this chapter, a licensee may renew a license for the next full term without complying with the CPC requirements if:</text> <paragraph num="(1)"> <text>A licensee has been granted an initial license and is renewing a license for the next full term; or</text> </paragraph> <paragraph num="(2)"> <text>A licensee qualifies under the criteria set forth in Title 2.5, Business Regulation Article, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Compliance Exception Request.</text> <paragraph num="(1)"> <text>If a licensee is unable to comply with all or part of CPC requirements due to physical disability, illness, or other extenuating circumstances, the licensee may request the Board or the Board’s administrative designee to grant a one-time exception from compliance, provided that the request is filed with the Board or the Board’s administrative designee prior to the licensee’s license expiration date.</text> </paragraph> <paragraph num="(2)"> <text>If the request is based on physical disability or illness, the licensee must provide the Board or the Board’s administrative designee with a written documentation acceptable to the Board supporting the basis for the request.</text> </paragraph> <paragraph num="(3)"> <text>The request must be accompanied by a detailed proposal acceptable to the Board indicating a licensee’s intended plan of compliance with the CPC requirements within no later than 6 months after the license expiration date. Failure to provide the acceptable plan of compliance within the time period specified in this regulation may result in the Board’s administrative dismissal of the request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Failure to Meet the CPC Requirements."> <text>In the event a licensee fails to comply with the CPC requirements set forth in this chapter, the Board, subject to the hearing provisions of Business Occupations and Professions Article, §9–312, Annotated Code of Maryland, may take any and all available disciplinary actions under Business Occupations and Professions Article, §9–310, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".12" heading="Reinstatement of License."> <text>A licensee who wishes to reinstate a license shall fulfill past due CPC requirements for the immediately preceding CPC reporting periods up to 48 PDHs and pay all applicable fees.</text> </regulation> <regulation prefix="Regulation" num=".13" heading="CPC Units Earned in Other States."> <text>The Board will accept CPC units earned for activities completed in other jurisdictions, provided that:</text> <paragraph num="A."> <text>The activity has been approved by a licensing board in another jurisdiction; and</text> </paragraph> <paragraph num="B."> <text>The licensee otherwise fulfills all other applicable license renewal requirements in the State of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article §9-309, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 12, 2018 (45:3 Md. R. 156)</annotation> <annotation type="History" subtype="Administrative History">Regulation.01 amended effective August 7, 2023 (50:15 Md. R. 681)</annotation> <annotation type="History" subtype="Administrative History">Regulation.02B amended effective August 7, 2023 (50:15 Md. R. 681)</annotation> <annotation type="History" subtype="Administrative History">Regulation.03 amended effective August 7, 2023 (50:15 Md. R. 681)</annotation> <annotation type="History" subtype="Administrative History">Regulation.04 amended effective August 7, 2023 (50:15 Md. R. 681)</annotation> <annotation type="History" subtype="Administrative History">Regulation.05 amended effective August 7, 2023 (50:15 Md. R. 681)</annotation> <annotation type="History" subtype="Administrative History">Regulation.06 amended effective August 7, 2023 (50:15 Md. R. 681)</annotation> <annotation type="History" subtype="Administrative History">Regulation.08C repealed effective August 7, 2023 (50:15 Md. R. 681)</annotation> </annotations> </chapter> </subtitle> <subtitle num="29" heading="Board of Foresters"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Administrative Procedures of the Board."> <paragraph num="A."> <text>The Board shall elect its officers at its July meeting.</text> </paragraph> <paragraph num="B."> <text>Hearings. The regulations set forth in COMAR 09.01.02 shall govern hearings before the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Application for Licensing."> <paragraph num="A."> <text>Only the experience of the applicant in practicing forestry that was gained after the completion of the educational requirements under Business Occupations and Professions Article, §7-304(b), Annotated Code of Maryland shall be considered by the Board.</text> </paragraph> <paragraph num="B."> <text>An application shall contain:</text> <paragraph num="(1)"> <text>Statements made under oath showing the applicant's education, including the applicant's official college transcript, which reflects completion of a program accredited by the Society of American Foresters or approved by the Board, including:</text> <paragraph num="(a)"> <text>An undergraduate degree in forestry; or</text> </paragraph> <paragraph num="(b)"> <text>A master’s degree in forestry;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A detailed summary of the applicant's experience in practicing forestry that was obtained after the completion of the educational requirements under Business Occupations and Professions Article, §7-304(b), Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(3)"> <text>At least five signed references to indicate endorsement of the applicant, of which three or more shall be foresters having personal or professional knowledge of the applicant's forestry experience.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Procedures Governing Licensing."> <paragraph num="A."> <text>Seal. The seal shall be affixed on all plans, maps, reports and specifications prepared by the licensee, pursuant to the requirements of Business Occupations and Professions Article, §§7-401 and 7-402, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>A suspended, revoked or expired license may not be displayed in any public office or place of business by any licensee in connection with the practice of forestry.</text> </paragraph> <paragraph num="C."> <text>The Board shall issue a new license to replace any license destroyed or mutilated upon receipt by the Board of a written request.</text> </paragraph> <paragraph num="D."> <text>A licensee may display the title “Maryland Licensed Forester” any manner consistent with the practice of forestry.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Code of Professional Conduct."> <paragraph num="A."> <text>A licensee shall advocate and practice forest management consistent with ecologically sound principles.</text> </paragraph> <paragraph num="B."> <text>Knowledge and Skills. A licensee shall:</text> <paragraph num="(1)"> <text>Use knowledge and skills for the benefit of the public.</text> </paragraph> <paragraph num="(2)"> <text>Strive for accurate, current, and increasing knowledge of forestry.</text> </paragraph> <paragraph num="(3)"> <text>Communicate knowledge, when it is not confidential, and challenge and correct untrue statements about forestry.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Advertisements. A licensee:</text> <paragraph num="(1)"> <text>Shall advertise only in a dignified and truthful manner.</text> </paragraph> <paragraph num="(2)"> <text>Shall state services the licensee is qualified and prepared to perform.</text> </paragraph> <paragraph num="(3)"> <text>May include references to fees charged.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Public Comment. A licensee:</text> <paragraph num="(1)"> <text>Shall make public comment on forestry matters based upon accurate knowledge.</text> </paragraph> <paragraph num="(2)"> <text>May not distort or withhold pertinent information to substantiate a point of view.</text> </paragraph> <paragraph num="(3)"> <text>Shall indicate on whose behalf statements are made before commenting on forest policies and practices.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Services. A licensee:</text> <paragraph num="(1)"> <text>Shall perform services consistent with the highest standards of quality;</text> </paragraph> <paragraph num="(2)"> <text>Shall perform only those services for which the licensee is qualified by education or experience, or both;</text> </paragraph> <paragraph num="(3)"> <text>May not accept compensation or expenses from more than one employer for the same service unless the parties involved are informed and consent;</text> </paragraph> <paragraph num="(4)"> <text>Shall engage, or advise the licensee’s employer to engage, other experts and specialists in forestry or related fields if the employer's interest would be best served by this action;</text> </paragraph> <paragraph num="(5)"> <text>Shall work cooperatively with other professionals;</text> </paragraph> <paragraph num="(6)"> <text>Shall give credit for the methods, ideas, or assistance obtained from others; and</text> </paragraph> <paragraph num="(7)"> <text>In competition for supplying forestry services, shall encourage the prospective employer to base selection on comparison of qualifications and negotiation of fee or salary.</text> </paragraph> </paragraph> <paragraph num="F."> <text>A licensee who is asked to participate in forestry operations which deviate from accepted professional standards shall advise the employer in advance of the consequences of this deviation.</text> </paragraph> <paragraph num="G."> <text>A licensee may not voluntarily disclose information concerning the affairs of the licensee’s employer without the employer's express permission.</text> </paragraph> <paragraph num="H."> <text>A licensee shall avoid conflicts of interest or even the appearance of these conflicts. If, despite this precaution, a conflict of interest is discovered, the licensee shall promptly and fully disclose the conflict to the licensee’s employer, and the licensee shall be prepared to act immediately to resolve the conflict.</text> </paragraph> <paragraph num="I."> <text>A licensee may not, by false statements or dishonest action, injure the reputation or professional associations of another licensee.</text> </paragraph> <paragraph num="J."> <text>Information submitted by a licensee about a candidate for a prospective position, award, or elected office shall be accurate, factual, and objective.</text> </paragraph> <paragraph num="K."> <text>A licensee having evidence of a violation of Business Occupations and Professions Article, Title 7, Annotated Code of Maryland, or the regulations contained in this chapter, by another licensee shall present the information and complaints to the Board.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Continuing Education."> <paragraph num="A."> <text>Continuing Education Requirements.</text> <paragraph num="(1)"> <text>An applicant for license renewal shall complete, prior to submitting an application, a least 8 credit hours of qualifying continuing education in each 2-year license term.</text> </paragraph> <paragraph num="(2)"> <text>The continuing education requirement does not apply to the first renewal of a license by a licensee.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Qualifying continuing education shall be in technical forestry or forestry-related subject matter given by:</text> <paragraph num="(1)"> <text>The Department of Natural Resources Forest Service;</text> </paragraph> <paragraph num="(2)"> <text>The Maryland Department of Agriculture, Forest Pest Division or Soil Conservation District;</text> </paragraph> <paragraph num="(3)"> <text>The University of Maryland Extension, Natural Resources;</text> </paragraph> <paragraph num="(4)"> <text>The United States Department of Agriculture, Forest Service;</text> </paragraph> <paragraph num="(5)"> <text>The Society of American Foresters;</text> </paragraph> <paragraph num="(6)"> <text>A college or university accredited by the Society of American Foresters;</text> </paragraph> <paragraph num="(7)"> <text>A course certified by the Society of American Foresters' Continuing Forestry Education program;</text> </paragraph> <paragraph num="(8)"> <text>The Association of Consulting Foresters;</text> </paragraph> <paragraph num="(9)"> <text>The International Society of Arboriculture; or</text> </paragraph> <paragraph num="(10)"> <text>Other continuing education approved by the Board.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Credit for continuing education accrues at a rate of 1 hour for:</text> <paragraph num="(1)"> <text>Each 50 minutes of actual classroom activity; or</text> </paragraph> <paragraph num="(2)"> <text>3 hours of tour or field session activity.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A licensee, upon notification of audit of the continuing education reported on the license renewal application shall provide the following information:</text> <paragraph num="(1)"> <text>Name of provider;</text> </paragraph> <paragraph num="(2)"> <text>Name of course;</text> </paragraph> <paragraph num="(3)"> <text>Number of hours; and</text> </paragraph> <paragraph num="(4)"> <text>Dates attended.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Verification.</text> <paragraph num="(1)"> <text>The Board may verify, on a random basis, satisfactory completion of the requirements of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>A licensee shall retain the evidence to verify the satisfactory completion of the requirements of this regulation for a period of at least 2 years.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The Board may grant an additional period of time within which the deficiencies in satisfying the continuing education requirement may be corrected.</text> </paragraph> <paragraph num="G."> <text>Continuing education hours may not be carried over from one licensing period to the next.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond within 30 days of the date of mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Board in writing if there has been a change in the applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Business Occupations and Professions Article, §7-309(a)(1)(vii), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§7-206(a)(2), 7-304, 7-305(b)(1)(i0), and 7-309(a)(1)(vii), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 7, 1976 (3:1 Md. R. 40)</annotation> <annotation type="History" subtype="Administrative History">Regulations .02, .03, and .04 amended effective August 31, 1981 (8:17 Md. R. 1419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective March 13, 1995 (22:5 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D amended effective August 21, 1989 (16:16 Md. R. 1750)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective August 31, 1981 (8:17 Md. R. 1419)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 repealed and new Regulation .05 adopted effective May 23, 1994 (21:10 Md. R. 843)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective March 13, 1995 (22:5 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.06 repealed and new Regulations .01—.05 adopted effective May 8, 2017 (44:9 Md. R. 437)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective May 3, 2021 (48:9 Md. R. 359)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective February 25, 2019 (46:4 Md. R. 191)</annotation> </annotations> </chapter> </subtitle> <subtitle num="30" heading="Household Goods Movers"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter sets out the requirements and procedures for the registration of household goods movers.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Consumer” means the person who entered into a written contract with a household goods mover for loading, packing, moving, transporting, or storing household goods.</text> </paragraph> <paragraph num="(2)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(3)"> <text>“Household goods” means personal property of the consumer used for personal, family, or household purposes.</text> </paragraph> <paragraph num="(4)"> <text>“Household goods movers” means a person who provides household goods moving services.</text> </paragraph> <paragraph num="(5)"> <text>Household Goods Moving Services.</text> <paragraph num="(a)"> <text>“Household goods moving services“ means the loading, packing, moving, transporting, storing while in transit, unloading, or otherwise taking possession or control from a consumer of household goods for the purpose of moving them to another location at the direction of the consumer for a fee.</text> </paragraph> <paragraph num="(b)"> <text>“Household goods moving services” does not include moving household goods for disposal or destruction.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Registration fee” means the annual fee paid by an applicant or registrant, as applicable, in connection with the issuance or renewal of a registration.</text> </paragraph> <paragraph num="(7)"> <text>“Secretary” means the Secretary of the Department, or the Secretary’s designee.</text> </paragraph> <paragraph num="(8)"> <text>“State” means the State of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Application."> <paragraph num="A."> <text>A person who intends to provide household goods moving services shall submit an application for registration on the form approved by the Department.</text> </paragraph> <paragraph num="B."> <text>The form shall include at least the following information:</text> <paragraph num="(1)"> <text>The applicant’s name and all trade names under which the applicant intends to provide household goods moving services in the State;</text> </paragraph> <paragraph num="(2)"> <text>The applicant’s physical address, telephone number, and e–mail address;</text> </paragraph> <paragraph num="(3)"> <text>The name of all persons with at least 25 percent ownership in the applicant’s business;</text> </paragraph> <paragraph num="(4)"> <text>Previous applications:</text> <paragraph num="(a)"> <text>For those identified under §B(3) of this regulation if that person has previously applied for registration for another entity; and</text> </paragraph> <paragraph num="(b)"> <text>Identification of that person and the disposition of the application for the other entity;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The applicant’s Federal Employee Identification Number;</text> </paragraph> <paragraph num="(6)"> <text>The name of the applicant’s resident agent in the State, if any;</text> </paragraph> <paragraph num="(7)"> <text>The applicant’s U.S. Department of Transportation or State Department of Transportation number, as applicable;</text> </paragraph> <paragraph num="(8)"> <text>Insurance carrier and policy number showing liability and cargo coverage with the minimum standards in 49 C.F.R. Part 387.303;</text> </paragraph> <paragraph num="(9)"> <text>Proof of workers’ compensation coverage for all covered employees;</text> </paragraph> <paragraph num="(10)"> <text>A certificate of status, issued by the Maryland Department of Assessment and Taxation, or its equivalent, indicating the business is in good standing and dated not earlier than 30 days before the date of the application; and</text> </paragraph> <paragraph num="(11)"> <text>Other information that may be required by the Department.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An application for registration shall be accompanied by an application fee in the amount provided in Regulation .07 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Registration."> <paragraph num="A."> <text>The Department shall issue to each qualified applicant who submits a completed application form and the required fee the following:</text> <paragraph num="(1)"> <text>A unique registration number; and</text> </paragraph> <paragraph num="(2)"> <text>A registration certificate valid for one year.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A registrant is required to keep a copy of the registration in each of the trucks owned by the registrant when the vehicle is used to perform household goods moving services.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Renewal of Registration."> <paragraph num="A."> <text>Unless a registration is renewed for a 1-year term as provided in this regulation, the registration expires on the expiration date.</text> </paragraph> <paragraph num="B."> <text>At least 1 month before a registration expires:</text> <paragraph num="(1)"> <text>The Department shall mail or electronically transmit to the registrant the following:</text> <paragraph num="(a)"> <text>A renewal application form; and</text> </paragraph> <paragraph num="(b)"> <text>A notice that states:</text> <paragraph num="(i)"> <text>The date on which the current registration expires; and</text> </paragraph> <paragraph num="(ii)"> <text>The amount of the renewal fee.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>If an electronic transmission under §B(1) of this regulation is returned to the Department as undeliverable, the Department shall mail to the registrant, at the last known address of the registrant, the materials required under paragraph (1) of this subsection within 10 business days of the date the Department received the notice that the electronic transmission was undeliverable.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Before a registration expires, the registrant periodically may renew it for an additional 1–year term, if the registrant:</text> <paragraph num="(1)"> <text>Submits to the Department a renewal application on the form that the Department provides;</text> </paragraph> <paragraph num="(2)"> <text>Signs the renewal application under oath;</text> </paragraph> <paragraph num="(3)"> <text>Updates the information submitted in the original application and states that the information is current;</text> </paragraph> <paragraph num="(4)"> <text>Complies with each requirement applicable to the original application; and</text> </paragraph> <paragraph num="(5)"> <text>Pays the renewal fee.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Failure of the Department to timely notify a registrant of registration renewal does not affect a registrant’s obligation to file a renewal application prior to the expiration of the registration and payment of a renewal fee.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Reinstatement."> <paragraph num="A."> <text>If a registrant fails to renew a license for any reason, no household goods mover services may be offered or provided until the registration is reinstated.</text> </paragraph> <paragraph num="B."> <text>A request for reinstatement shall:</text> <paragraph num="(1)"> <text>Be in writing;</text> </paragraph> <paragraph num="(2)"> <text>Be on the form required by the Department; and</text> </paragraph> <paragraph num="(3)"> <text>Include payment of the reinstatement fee.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Fees."> <text>The following non-refundable fees shall be charged by the Department:</text> <paragraph num="A."> <text>Original registration application review—$250;</text> </paragraph> <paragraph num="B."> <text>Original registration—$325;</text> </paragraph> <paragraph num="C."> <text>Registration renewal—$325; and</text> </paragraph> <paragraph num="D."> <text>Late Renewal—$75, in addition to the fee set forth in §C of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Violations."> <text>A person or registrant who violates any of the following provisions regarding the household goods movers registration requirements may be subject to a civil penalty of up to $5,000:</text> <paragraph num="A."> <text>Failure to register as a mover of household goods;</text> </paragraph> <paragraph num="B."> <text>Providing false information on the registration application;</text> </paragraph> <paragraph num="C."> <text>Failure to comply with requirements set forth in Business Regulation Article, Title 8.5, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="D."> <text>Failure to comply with requirements set forth in these regulations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or registrant receives from the Department a written communication requesting a response, the applicant or registrant shall respond in writing within 30 days of the date of such communication.</text> </paragraph> <paragraph num="B."> <text>The Department shall send a written communication by first class mail or email to the last address or email address furnished to the Department by an applicant or registrant.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or registrant to notify the Department in writing if there has been a change in the applicant’s or registrant’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Secretary or the Secretary’s designee to be a violation of Business Regulation Article, §8.5-106, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Notice of Change of Licensing Information."> <text>In addition to the requirements of Business Regulation Article, Title 8.5, Annotated Code of Maryland, an applicant or registrant shall notify the Secretary or the Secretary’s designee, in writing, within 15 days of any change of the:</text> <paragraph num="A."> <text>Business name the applicant or registrant;</text> </paragraph> <paragraph num="B."> <text>Business address of the applicant or registrant; or</text> </paragraph> <paragraph num="C."> <text>Address of the business through which an applicant or registrant will provide or provides licensee household goods mover services.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§8.5-103, 8.5-104, 8.5-105.1, 8.5-105, 8.5-106, and 8.5-107, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 21, 2025 (52:14 Md. R. 712)</annotation> </annotations> </chapter> </subtitle> <subtitle num="31" heading="" /> <subtitle num="32" heading="Unemployment Insurance"> <chapter num="01" heading="Obligations of Employers"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter sets out the reporting requirements, payment requirements, and related procedures for employers.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Administrative fee” means the fee due and owing on an employer's taxable wage base under §8-605.1 of the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(2)"> <text>“Contributor” means an employing unit liable for contributions on taxable wages for covered employment.</text> </paragraph> <paragraph num="(3)"> <text>“Covered employment” means service performed for an employing unit that is subject to the Unemployment Insurance Law as determined by the Secretary.</text> </paragraph> <paragraph num="(4)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(5)"> <text>“Reimburser” means a nonprofit organization or governmental unit, as defined in the Unemployment Insurance Law, that elects to finance its Unemployment Insurance liability through self-insurance.</text> </paragraph> <paragraph num="(6)"> <text>“Secretary” means the Secretary of Labor or the Secretary's designee.</text> </paragraph> <paragraph num="(7)"> <text>“Unemployment Insurance Law” means Labor and Employment Article, Title 8, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Unless the context indicates otherwise, all other terms used in this chapter shall have the same meanings as in the Unemployment Insurance Law or in COMAR 09.32.02.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Reports to Determine Liability."> <paragraph num="A."> <text>Registration. An employer shall file a registration application with the Comptroller of the Treasury within 20 days after the first day the business begins operation.</text> </paragraph> <paragraph num="B."> <text>Further Information.</text> <paragraph num="(1)"> <text>Additional or supplemental reports to determine liability shall be filed at the Secretary's request.</text> </paragraph> <paragraph num="(2)"> <text>An employer that contends it is not liable under the Unemployment Insurance Law shall submit to the Secretary information to support that contention.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Determination. The Secretary shall review the registration application and any additional or supplemental reports to determine the employer's liability pursuant to the Unemployment Insurance Law.</text> </paragraph> <paragraph num="D."> <text>Review. An employing unit that disputes the liability determination may seek review of the determination pursuant to Labor and Employment Article, §8-604, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Posting of Notices."> <text>An employing unit currently assigned an account number shall post notices in a prominent place near the actual employment locations, in a number and form designated by the Secretary, informing employees:</text> <paragraph num="A."> <text>That the employing unit is liable for contributions or payments instead of contributions under the Unemployment Insurance Law;</text> </paragraph> <paragraph num="B."> <text>Of their rights to benefits under the Unemployment Insurance Law; and</text> </paragraph> <paragraph num="C."> <text>Of other information required by the Unemployment Insurance Law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Charging of Benefit Payments."> <paragraph num="A."> <text>Contributor.</text> <paragraph num="(1)"> <text>Benefit Payments Charged. Except as provided in §A(2) of this regulation or in the Unemployment Insurance Law, the earned-rate record of a contributor who is a base period employer shall be charged with all regular and work-sharing benefit payments, the appropriate share of extended benefit payments, and dependents' allowance.</text> </paragraph> <paragraph num="(2)"> <text>Benefit Payments Not Chargeable. Benefit payments may not be charged against the earned-rate record of a contributor who is a base period employer when the claimant:</text> <paragraph num="(a)"> <text>Voluntarily left employment:</text> <paragraph num="(i)"> <text>Without good cause,</text> </paragraph> <paragraph num="(ii)"> <text>To accept better employment, or</text> </paragraph> <paragraph num="(iii)"> <text>To enter a training program approved by the Secretary;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Has been discharged by the employer for gross misconduct as defined in the Unemployment Insurance Law;</text> </paragraph> <paragraph num="(c)"> <text>Was employed by the employing unit on a continuous part-time basis as of the date of the claimant’s initial claim for benefits; or</text> </paragraph> <paragraph num="(d)"> <text>Was employed in a work release program as set forth in the Unemployment Insurance Law, if the separation was caused by the claimant's release from prison.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Continuous Part-Time Basis. For the purposes of this regulation, employment is on a continuous part-time basis under Labor and Employment Article, Title 8, Subtitle 6, Annotated Code of Maryland if:</text> <paragraph num="(a)"> <text>The claimant was not employed by the employing unit on a full-time basis during the base period;</text> </paragraph> <paragraph num="(b)"> <text>The claimant continued to be employed by the employing unit on a part-time basis as of the date of the initial claim for benefits; and</text> </paragraph> <paragraph num="(c)"> <text>The employing unit did not cause the claimant’s part-time working hours to be reduced.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>When Charged.</text> <paragraph num="(a)"> <text>Benefit payments shall be charged to an employer's earned-rate record for the calendar quarter during which the benefits are paid.</text> </paragraph> <paragraph num="(b)"> <text>A notice of benefit payments charged to the contributor's earned-rate record shall be sent to the contributor at the end of each calendar quarter.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Benefit Overpayment Credit. When an overpayment of benefits is established, the overpayment shall be credited to the contributor's earned-rate record in the calendar quarter in which the overpayment is established.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Reimburser.</text> <paragraph num="(1)"> <text>A reimburser who is a base period employer shall reimburse the Unemployment Insurance Trust Fund for all regular and work-sharing benefit payments, the appropriate share of extended benefit payments, and dependents' allowance.</text> </paragraph> <paragraph num="(2)"> <text>A notice of benefit payments that must be reimbursed (Statement of Reimbursable Benefits) shall be sent to the reimburser at the end of each calendar quarter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Allocation.</text> <paragraph num="(1)"> <text>Reimbursers and Contributors.</text> <paragraph num="(a)"> <text>When not all of the claimant's base period employers are reimbursers, benefits paid to a claimant shall first be allocated to each reimburser in accordance with the Unemployment Insurance Law. The remainder of the claimant's benefit payments shall be charged to the earned-rate record of those base period employers who are contributors in the same ratio that each employer paid the claimant's total base period wages.</text> </paragraph> <paragraph num="(b)"> <text>When calculating the allocation, the percentage of the charge to each base period employer shall be rounded off to the nearest whole number.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Contributors. When all the claimant's base period employers are contributors, benefits paid to a claimant shall be allocated to each contributor in accordance with the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(3)"> <text>Reimbursers. When all the claimant's base period employers are reimbursers, benefits paid to a claimant shall be prorated to each reimburser in accordance with the Unemployment Insurance Law.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Charging of Out-of-State Benefit Payments. Except as provided in §A(2) of this regulation, when the State reimburses another state for benefits paid by that other state based on Maryland wages, the earned-rate record of each contributor shall be charged, and each reimburser shall be charged in the same ratio that each employer paid the claimant's total Maryland wages.</text> </paragraph> <paragraph num="E."> <text>Review. An employer who disputes the charging determination may seek review of the determination pursuant to Labor and Employment Article, §8-604, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Records."> <paragraph num="A."> <text>Responsibility of Employing Unit.</text> <paragraph num="(1)"> <text>An employing unit shall record the Social Security number of each of its employees. If an employee does not have a Social Security number, the employing unit shall require the employee to execute the proper application form to acquire a Social Security number within 5 days of the first day of employment.</text> </paragraph> <paragraph num="(2)"> <text>Employment Records.</text> <paragraph num="(a)"> <text>An employing unit shall keep employment records safe and readily accessible at the place of business of the employing unit. The records shall be retained and preserved for a period of 5 years from the last day of the calendar quarter to which the records relate.</text> </paragraph> <paragraph num="(b)"> <text>An employing unit that discontinues business shall keep employment records safe and readily accessible. The records shall be retained and preserved for a period of 5 years from the last day of the calendar quarter to which the records relate.</text> </paragraph> <paragraph num="(c)"> <text>Employment records include but are not limited to wage records, payroll registers, check registers, cash disbursements journals, cancelled checks, federal income tax returns (Schedule 1040C for individual proprietors), forms 1096 and 1099, and general ledgers.</text> </paragraph> <paragraph num="(d)"> <text>Employment records shall be made available to the Department for inspection and copying. Prior notice to the employing unit is not required.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Specific Contents of Wage Records. An employing unit shall include in its wage records:</text> <paragraph num="(1)"> <text>The dates of each pay period;</text> </paragraph> <paragraph num="(2)"> <text>All of the wages paid to each worker for each pay period and the total amount of wages paid for employment in the pay period, showing separately the amount of wages paid:</text> <paragraph num="(a)"> <text>In cash; and</text> </paragraph> <paragraph num="(b)"> <text>In any medium other than cash;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The method by which wages are computed;</text> </paragraph> <paragraph num="(4)"> <text>Hire date, separation date, and reason for separation of each worker;</text> </paragraph> <paragraph num="(5)"> <text>Name, address, and Social Security number of each worker; and</text> </paragraph> <paragraph num="(6)"> <text>With respect to individuals who work less than full-time:</text> <paragraph num="(a)"> <text>The wage rate;</text> </paragraph> <paragraph num="(b)"> <text>The number of hours worked each day;</text> </paragraph> <paragraph num="(c)"> <text>Wages earned by calendar week;</text> </paragraph> <paragraph num="(d)"> <text>Whether the individual worked less than full-time during the week; and</text> </paragraph> <paragraph num="(e)"> <text>Whether the individual worked all available hours.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Collateral Security Posted by Certain Reimbursers."> <paragraph num="A."> <text>Amount and Adjustment of Collateral.</text> <paragraph num="(1)"> <text>Nonprofit organizations that elect to make payments instead of contributions shall file collateral approved by the Secretary.</text> </paragraph> <paragraph num="(2)"> <text>The Secretary shall review the sufficiency of the collateral annually based on the previous year's taxable wages or on any other basis the Secretary deems appropriate. If the amount of existing collateral is less than the employer's average annual benefit costs for the preceding 2 years, the amount of the collateral shall be increased to equal the average annual benefit costs. The amount of the collateral may not exceed the maximum State tax rate multiplied by that employer's taxable payroll for the prior year.</text> </paragraph> <paragraph num="(3)"> <text>When the collateral is increased, the adjusted collateral shall be filed within 30 days of the Secretary's demand.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Collateral shall be posted with the Secretary in a form acceptable to the Secretary, which may include one or more of the following forms:</text> <paragraph num="(1)"> <text>A corporation bond issued by a company licensed to issue surety-type bonds;</text> </paragraph> <paragraph num="(2)"> <text>Cash deposit;</text> </paragraph> <paragraph num="(3)"> <text>Treasury notes or other evidence of federal indebtedness;</text> </paragraph> <paragraph num="(4)"> <text>Bonds or other evidence of indebtedness insured by the State that bind the full faith and credit of the State; or</text> </paragraph> <paragraph num="(5)"> <text>Irrevocable and unconditional letters of credit.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Group Reporting."> <paragraph num="A."> <text>Two or more reimbursers may maintain employment records and report to the Secretary as a group, provided the:</text> <paragraph num="(1)"> <text>Reimbursers are engaged in essentially the same industry, occupation, or activity; and</text> </paragraph> <paragraph num="(2)"> <text>Secretary finds that the risk to the Unemployment Insurance Fund represented by each of the members of the group is approximately the same as the risk represented by other members of the group.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An approved group of reimbursers shall maintain employment records as a group and report required information to the Secretary in one report covering the entire group.</text> </paragraph> <paragraph num="C."> <text>The group report shall designate which reimburser in the group received the services and paid the wages for each of the employees listed. The Secretary shall approve the method of designating the wages.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Contributions and Administrative Fees."> <paragraph num="A."> <text>Contributions and administrative fees are due and shall be paid on or before the last day of the month immediately following each calendar quarter.</text> </paragraph> <paragraph num="B."> <text>Contributions and administrative fees from an employer whose status is changed by cessation of business, or appointment of a receiver, trustee, trustee in bankruptcy, or other fiduciary are due and shall be paid within 5 days of the change in status.</text> </paragraph> <paragraph num="C."> <text>For payment of administrative fees, a fractional part of a cent:</text> <paragraph num="(1)"> <text>That is less than one-half cent shall be disregarded; and</text> </paragraph> <paragraph num="(2)"> <text>That is one-half cent or more shall be increased to 1 cent.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Failure to pay the required contributions in the prescribed manner shall result in the imposition of interest charges as provided in Labor and Employment Article, §8-628, Annotated Code of Maryland.</text> </paragraph> <paragraph num="E."> <text>Failure to pay the required administrative fees in the prescribed manner shall result in the imposition of interest charges as provided in Labor and Employment Article §8-628, Annotated Code of Maryland, for the nonpayment of contributions.</text> </paragraph> <paragraph num="F."> <text>The Secretary shall pay interest collected on administrative fees into the Special Administrative Expense Fund established under Labor and Employment Article, §8-419, Annotated Code of Maryland.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09-1" heading="Collection of Administrative Fees and Interest."> <paragraph num="A."> <text>Collection by Assessment.</text> <paragraph num="(1)"> <text>If an employing unit fails to pay administrative fees or related interest due based on information the employing unit provided in a contribution report, the Secretary:</text> <paragraph num="(a)"> <text>May assess the amount of the payment or interest due as prescribed under Labor and Employment Article, §8-629, Annotated Code of Maryland, for the nonpayment of contributions; and</text> </paragraph> <paragraph num="(b)"> <text>Notwithstanding §(2) of this regulation, may make an additional assessment if the contribution report is later determined to be incorrect.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An assessment under this regulation is final unless:</text> <paragraph num="(a)"> <text>An employing unit requests a review determination under Labor and Employment Article, §8-604, Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(b)"> <text>On its own motion, the Board of Appeals grants a hearing to consider whether the amount should be reduced.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Except in the case of a fraudulent contribution report or the failure to file a contribution report, written notice of an assessment under this regulation shall be sent to an employing unit within 3 years of the last day of the period at issue in the notice.</text> </paragraph> <paragraph num="(4)"> <text>If an employing unit fails to pay an assessment under this regulation, the Secretary may file a notice of lien in the circuit court of the county where the employing unit’s principal place of business is located, or a notice of lien in any other county that includes the information set forth in Labor and Employment Article, §8-629, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If, after an assessment, an employing unit fails to pay administrative fees or interest, the Secretary may collect the amount due by filing a civil action or pursuing any other available legal means.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Payments by Reimbursers."> <paragraph num="A."> <text>Payments by reimbursers are due and shall be paid within 30 days from the date set forth on the Statement of Reimburseable Benefits.</text> </paragraph> <paragraph num="B."> <text>Failure to make the required payment in the prescribed manner shall result in the imposition of interest charges as set forth in the Unemployment Insurance Law.</text> </paragraph> <paragraph num="C."> <text>A reimburser who fails to reimburse the Unemployment Insurance Fund for benefits paid:</text> <paragraph num="(1)"> <text>May lose its reimburser status and become a contributor as of the next January 1st for a period of 2 years; and</text> </paragraph> <paragraph num="(2)"> <text>Shall forfeit its collateral to the extent of the unpaid benefits.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Contribution Reports."> <paragraph num="A."> <text>A contributor shall file with the Secretary, on or before the contribution payment date, a complete and correct contribution report containing:</text> <paragraph num="(1)"> <text>Total quarterly wages paid by the contributor;</text> </paragraph> <paragraph num="(2)"> <text>Taxable quarterly wages paid by the contributor;</text> </paragraph> <paragraph num="(3)"> <text>Total wages in excess of $8,500 per year;</text> </paragraph> <paragraph num="(4)"> <text>Computation of contributions and administrative fees due;</text> </paragraph> <paragraph num="(5)"> <text>The employing unit's Maryland unemployment insurance account number;</text> </paragraph> <paragraph num="(6)"> <text>The employing unit's tax rate applicable to the quarter filed;</text> </paragraph> <paragraph num="(7)"> <text>The number of employees performing services for the employing unit in each month of the quarter;</text> </paragraph> <paragraph num="(8)"> <text>If applicable, penalties or interest as set forth in the Unemployment Insurance Law;</text> </paragraph> <paragraph num="(9)"> <text>The signature of the employing unit or authorized representative; and</text> </paragraph> <paragraph num="(10)"> <text>Other information the Secretary may require.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Contribution reports shall be filed by an employing unit that operates its business during a calendar quarter, even though no wages were paid during that quarter.</text> </paragraph> <paragraph num="C."> <text>Exceptions to Filing Date.</text> <paragraph num="(1)"> <text>An employing unit that transfers its business to another employer shall file a contribution report within 15 days from the date of discontinuation or transfer.</text> </paragraph> <paragraph num="(2)"> <text>An employing unit who otherwise discontinues its business or whose status is changed by appointment of a receiver, trustee, trustee in bankruptcy, or other fiduciary, shall file a contribution report within 5 days from the date of this change in status.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Employment Reports."> <paragraph num="A."> <text>An employing unit shall file with the Secretary on or before the contribution payment date, a complete and correct employment report containing:</text> <paragraph num="(1)"> <text>Name and Social Security number of each employee;</text> </paragraph> <paragraph num="(2)"> <text>The employing unit's Maryland unemployment insurance account number;</text> </paragraph> <paragraph num="(3)"> <text>Total quarterly wages paid to each employee;</text> </paragraph> <paragraph num="(4)"> <text>Total quarterly wages paid by the employing unit; and</text> </paragraph> <paragraph num="(5)"> <text>Other information the Secretary may require.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Exceptions to Filing Date.</text> <paragraph num="(1)"> <text>An employing unit that transfers its business to another employer shall file an employment report within 15 days from the date of the discontinuation or transfer.</text> </paragraph> <paragraph num="(2)"> <text>An employing unit that otherwise discontinues its business or whose status is changed by appointment of a receiver, trustee, trustee in bankruptcy, or other fiduciary, shall file an employment report within 5 days from the date of this change in status.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Closing of Accounts."> <paragraph num="A."> <text>An employing unit that anticipates that it will not report wages for a 12-month period shall notify the Secretary to close its account.</text> </paragraph> <paragraph num="B."> <text>An employing unit that has reported no wages for the 12-month period from July 1 through June 30 shall be presumed to no longer be an employing unit and its account shall be closed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Wages."> <paragraph num="A."> <text>Reporting.</text> <paragraph num="(1)"> <text>Wages to be reported on the quarterly employment report include:</text> <paragraph num="(a)"> <text>All remuneration paid to corporate officers for services rendered to the corporation. Corporation includes “subchapter S” corporations. Wages include draws, profit distributions, and dividends paid to corporate officers as remuneration for services rendered. The form in which remuneration for services is designated and the manner of payment is not determinative of what constitutes wages under the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(b)"> <text>The value of meals provided to employees unless meals are provided on the employing unit's premises and for the convenience of the employing unit.</text> </paragraph> <paragraph num="(c)"> <text>The value of lodging provided to employees unless the lodging is provided on the employing unit's premises, for the employing unit's convenience, and as a condition of employment.</text> </paragraph> <paragraph num="(d)"> <text>The amount of tips paid to an employee by a customer of the employing unit and reported by the employee to the employing unit as required by the applicable provisions of the Internal Revenue Code.</text> </paragraph> <paragraph num="(e)"> <text>The value of payments, other than those received under a workers' compensation law, provided by a third-party insurer on account of sickness or accident disability, or medical or hospitalization expenses in connection with sickness or accident disability if the employer paid insurance premiums upon which the payments were made.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Wages to be reported on the quarterly employment report do not include payments made by an employing unit:</text> <paragraph num="(a)"> <text>Into a deferred compensation plan that are not deducted from an employee's salary if the employee may withdraw money from the plan only on retirement or separation from employment;</text> </paragraph> <paragraph num="(b)"> <text>To, or on behalf of, former employees on active duty with the armed forces of the United States, if those payments are designed to supplement amounts received by them from the federal government.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Time for Reporting. Wages shall be reported on the quarterly employment report when actually or constructively paid. Wages are constructively paid when they are credited to the account of an employee or set apart for an employee so that the employee may draw upon the wages without substantial limitation or restriction.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Separation Notice."> <text>Separation notices shall be requested and submitted in accordance with the Unemployment Insurance Law and COMAR 09.32.02.05.</text> </regulation> <regulation prefix="Regulation" num=".15-1" heading="Report of Work Refusal."> <text>If an employer offers employment to an unemployed individual and the individual refuses the offer, the employer shall notify the Secretary in writing within 15 days after the refusal in order for the refusal to be considered in determining whether the individual is disqualified for benefits.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="Penalties and Interest Assessments."> <paragraph num="A."> <text>Penalties.</text> <paragraph num="(1)"> <text>Contribution Reports. An employing unit that fails to file a timely contribution report in the prescribed manner shall pay a penalty of $35.</text> </paragraph> <paragraph num="(2)"> <text>Employment Reports. An employing unit that fails to file a timely employment report in the prescribed manner shall pay a penalty of $35.</text> </paragraph> <paragraph num="(3)"> <text>Separation Reports. An employing unit that fails to file a timely separation report in the prescribed manner upon the Secretary's request shall pay a penalty of $15.</text> </paragraph> <paragraph num="(4)"> <text>Earnings Reports. An employing unit that fails to file a timely earnings report in the prescribed manner upon the Secretary's request shall pay a penalty of $15.</text> </paragraph> <paragraph num="(5)"> <text>An employing unit that submits a check or other negotiable instrument that is returned for insufficient funds shall pay a penalty of $25.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Interest on Past Due Contributions and Administrative Fees. An employing unit that fails to file a timely contribution report shall pay interest on contributions and administrative fees then due and unpaid at a rate in accordance with Regulation .09 of this chapter until the contribution report and payment is received.</text> </paragraph> <paragraph num="C."> <text>The Secretary may waive any penalties or interest for cause, upon the employer's request or upon the Secretary's review of the penalty or interest assessed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16-1" heading="Order of Payments."> <text>A payment made by an employing unit shall be applied in the following order to an amount due and owing at the time of payment:</text> <paragraph num="A."> <text>To any penalty imposed;</text> </paragraph> <paragraph num="B."> <text>To any interest due and owing on administrative fees;</text> </paragraph> <paragraph num="C."> <text>To any interest due and owing on contributions and reimbursement payments;</text> </paragraph> <paragraph num="D."> <text>To administrative fees; and</text> </paragraph> <paragraph num="E."> <text>To contributions or reimbursement payments.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Refunds and Adjustments."> <paragraph num="A."> <text>Application for refunds and adjustments of contributions, reimbursement payments, or related interest shall be processed in accordance with the Unemployment Insurance Law.</text> </paragraph> <paragraph num="B."> <text>Application for refunds and adjustments of administrative fees or related interest shall be processed in the manner set forth in the Unemployment Insurance Law for refunds and adjustments of contributions, except that the Secretary shall refund any such amounts erroneously collected from the Special Administrative Expense Fund.</text> </paragraph> <paragraph num="C."> <text>Refunds.</text> <paragraph num="(1)"> <text>Automatic Refund. In each quarter when the Secretary determines that a refund due an employing unit is less than $100, the Secretary shall automatically issue a refund to that employing unit.</text> </paragraph> <paragraph num="(2)"> <text>In each quarter when the Secretary determines that a refund due an employing unit is $100 or over, the refund may be applied to the employing unit's future indebtedness or refunded at the employing unit's request.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Presumption of Employee."> <paragraph num="A."> <text>Employee. A person performing services is presumed to be an employee, regardless of whether a common law master and servant relationship exists, unless specifically exempted under the Unemployment Insurance Law or these regulations.</text> </paragraph> <paragraph num="B."> <text>Independent Contractor.</text> <paragraph num="(1)"> <text>To overcome the employee presumption, an employing unit shall establish that the person performing services is an independent contractor.</text> </paragraph> <paragraph num="(2)"> <text>The Secretary shall determine that an employing unit has established that the person performing services is an independent contractor when the conditions in §B(3)(a)—(c) of this regulation are clearly shown.</text> </paragraph> <paragraph num="(3)"> <text>Circumstances evidencing the conditions mentioned in §B(2) of this regulation include, but are not limited to, the items listed after each condition:</text> <paragraph num="(a)"> <text>The person has been and will continue to be free from the employing unit's control or direction:</text> <paragraph num="(i)"> <text>The employing unit does not require the person to comply with detailed instructions about when, where, and how the person is to work,</text> </paragraph> <paragraph num="(ii)"> <text>The employing unit does not train the person to perform the service in a particular manner or using a particular method determined by the employing unit,</text> </paragraph> <paragraph num="(iii)"> <text>The employing unit does not establish set hours of work for the person performing the services,</text> </paragraph> <paragraph num="(iv)"> <text>The employing unit does not establish a schedule or routine for the person performing the service,</text> </paragraph> <paragraph num="(v)"> <text>The employing unit may not discharge the person for failure to obey the employing unit's specific instructions on how the service is to be performed;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The service is outside the usual course of business of the employing unit:</text> <paragraph num="(i)"> <text>The person performs the work off the employing unit's premises,</text> </paragraph> <paragraph num="(ii)"> <text>The person performs work that is not integrated into the employing unit's operation,</text> </paragraph> <paragraph num="(iii)"> <text>The service performed is unrelated to the employing unit's business;</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The person performing the service is customarily engaged in an independently established business:</text> <paragraph num="(i)"> <text>Maintains a business listing in the telephone directory,</text> </paragraph> <paragraph num="(ii)"> <text>Has his or her own place of business,</text> </paragraph> <paragraph num="(iii)"> <text>Has a financial investment in a related business and can incur a loss in the performance of the service,</text> </paragraph> <paragraph num="(iv)"> <text>Has his or her own equipment needed to perform the service,</text> </paragraph> <paragraph num="(v)"> <text>Determines the price of the service to be performed,</text> </paragraph> <paragraph num="(vi)"> <text>Employs others to perform the service,</text> </paragraph> <paragraph num="(vii)"> <text>Carries his or her own liability or workers' compensation insurance, or both,</text> </paragraph> <paragraph num="(viii)"> <text>Performs the service for more than one unrelated employer at the same time,</text> </paragraph> <paragraph num="(ix)"> <text>Sets his or her own hours,</text> </paragraph> <paragraph num="(x)"> <text>Is paid by the job.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18-1" heading="Repealed." /> <regulation prefix="Regulation" num=".18-2" heading="Covered Employment—Certain Business Entities."> <paragraph num="A."> <text>Sole Proprietorships.</text> <paragraph num="(1)"> <text>Except as otherwise provided, a person performing services for wages for a sole proprietorship is engaged in covered employment.</text> </paragraph> <paragraph num="(2)"> <text>The following persons employed by a sole proprietor are not engaged in covered employment:</text> <paragraph num="(a)"> <text>The sole proprietor;</text> </paragraph> <paragraph num="(b)"> <text>A spouse of the sole proprietor;</text> </paragraph> <paragraph num="(c)"> <text>Children of the sole proprietor under the age of 21; and</text> </paragraph> <paragraph num="(d)"> <text>Parents of the sole proprietor.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Partnerships.</text> <paragraph num="(1)"> <text>A partner in a partnership is not engaged in covered employment.</text> </paragraph> <paragraph num="(2)"> <text>If a partnership consists exclusively of spouses, then their children under 21 years old employed by the partnership are not engaged in covered employment.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Corporations with Revoked Charters.</text> <paragraph num="(1)"> <text>When a corporate charter has been forfeited or revoked and the entity continues to operate, the entity shall be treated as a sole proprietorship or a partnership, as determined by the Secretary.</text> </paragraph> <paragraph num="(2)"> <text>Persons determined by the Secretary to be sole proprietors or partners are not engaged in covered employment.</text> </paragraph> <paragraph num="(3)"> <text>Any other employee of the entity is engaged in covered employment.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Limited Liability Companies.</text> <paragraph num="(1)"> <text>If a limited liability company is automatically classified as a corporation or elects to be classified as a corporation for federal tax purposes, the limited liability company is treated as a corporation for Maryland unemployment insurance purposes. All persons, including members who receive remuneration from the limited liability company for services performed, are engaged in covered employment.</text> </paragraph> <paragraph num="(2)"> <text>If a limited liability company has a single member and is not classified as a corporation for federal tax purposes, the limited liability company is treated as a sole proprietorship for Maryland unemployment insurance purposes. The following persons employed by the single member limited liability company are not engaged in covered employment:</text> <paragraph num="(a)"> <text>The single member;</text> </paragraph> <paragraph num="(b)"> <text>The spouse of the member;</text> </paragraph> <paragraph num="(c)"> <text>Children younger than 21 years old of the member; and</text> </paragraph> <paragraph num="(d)"> <text>Parents of the member.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If a limited liability company consists of two or more members and is not classified as a corporation for federal tax purposes, the limited liability company is treated as a partnership for Maryland unemployment insurance purposes. The following persons employed by the limited liability company are not engaged in covered employment:</text> <paragraph num="(a)"> <text>The members; and</text> </paragraph> <paragraph num="(b)"> <text>Children younger than 21 years old of the member, if the members of the limited liability company consist exclusively of spouses.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".18-3" heading="Home Health Care Illustrations."> <paragraph num="A."> <text>The illustrations in this regulation provide guidance for the home health care industry in the application of Labor and Employment Article, §8-205, Annotated Code of Maryland and do not apply to any other State or federal labor law.</text> </paragraph> <paragraph num="B."> <text>Illustration 1.</text> <paragraph num="(1)"> <text>Extra Loving Care (“ELC”) is a Nursing Referral Service Agency (“NRSA”) licensed by the Maryland Department of Health (“MDH”) pursuant to COMAR 10.07.07. It has a registry of certified nursing assistants (“CNAs”), geriatric nursing assistants (“GNAs”) and licensed practical nurses (“LPNs”). The company verifies that all workers do not have a criminal background and are properly licensed before placing them on the registry.</text> </paragraph> <paragraph num="(2)"> <text>Before placing a worker on its registry, ELC requires that the worker attend mandatory training and receive a list of rules and policies to follow in clients’ homes. ELC assigns available workers on its registry to clients. ELC sets the workers’ schedules and requires documentation of the work performed, such as time sheets or notes.</text> </paragraph> <paragraph num="(3)"> <text>ELC determines the workers’ rates of pay and the workers cannot negotiate pay rates directly with ELC’s clients. Clients pay ELC and ELC deducts its fee and pays the workers. If a client is dissatisfied with a worker, the client contacts ELC directly. Each worker must sign an agreement with ELC that restricts his or her ability to enter into employment agreements with ELC’s clients, past or present.</text> </paragraph> <paragraph num="(4)"> <text>The workers on ELC’s registry are employees of ELC.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Illustration 2.</text> <paragraph num="(1)"> <text>Loving Care (“LC”) is a Nursing Referral Service Agency (“NRSA”) licensed by the Maryland Department of Health (“MDH”) pursuant to COMAR 10.07.07. It has a registry of certified nursing assistants (“CNAs”), geriatric nursing assistants (“GNAs”) and licensed practical nurses (“LPNs”). The company verifies that all workers do not have a criminal background and are properly licensed before placing them on the registry.</text> </paragraph> <paragraph num="(2)"> <text>LC provides its clients with the names and contact information for available workers on its registry. Once contacted, a worker may then set and adjust their work hours and may negotiate their rates of pay directly with the client, unless otherwise established by a third party payor. The workers on LC’s registry, in conjunction with the client, determine the client’s needs and use their own tools and equipment to carry out their services. Workers are not required to report hours to LC, although some workers maintain notes for their own records.</text> </paragraph> <paragraph num="(3)"> <text>Workers on LC’s registry carry their own workers’ compensation insurance and/or professional liability insurance coverage. Workers have their own independent businesses that are demonstrated by Federal Employer Identification Numbers (“FEINs”), tax returns, business cards, invoices, advertising and/or other indicia of operating an independently established business. Workers are responsible for maintaining necessary licensures and certifications, however, LC performs periodic credential checks to confirm that workers’ licenses and certifications are current.</text> </paragraph> <paragraph num="(4)"> <text>The workers on LC’s registry invoice clients directly and are paid directly by the client. The workers are then responsible for remitting any referral fee directly to LC. LC only deviates from this payment system in limited circumstances when an alternative method of payment is necessitated by a third party payor or other legal arrangement established for the benefit of the care recipient. If dissatisfied with a worker, the client informs the worker directly. The workers are not bound by a non-solicitation provision.</text> </paragraph> <paragraph num="(5)"> <text>The workers on LC’s registry are independent contractors.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Employment Not Covered when Services Performed for Certain Religiously Affiliated Organizations."> <paragraph num="A."> <text>A person is not engaged in covered employment when the person is employed by a church or convention or association of churches.</text> </paragraph> <paragraph num="B."> <text>A person is not engaged in covered employment when the person is employed by an organization which is:</text> <paragraph num="(1)"> <text>Operated, supervised, controlled, or principally supported by a church or convention or association of churches; and</text> </paragraph> <paragraph num="(2)"> <text>Operated primarily for religious purposes.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Circumstances that may support the determination that the organization is operated primarily for religious purposes include, but are not limited to:</text> <paragraph num="(1)"> <text>Interrelationship between affiliation with the church and institutional autonomy, including:</text> <paragraph num="(a)"> <text>Composition of governing board,</text> </paragraph> <paragraph num="(b)"> <text>Degree of supervision of church,</text> </paragraph> <paragraph num="(c)"> <text>Sources of financial support;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Extent of religious indoctrination, including:</text> <paragraph num="(a)"> <text>Stated purpose,</text> </paragraph> <paragraph num="(b)"> <text>Extent of encouragement of spiritual development,</text> </paragraph> <paragraph num="(c)"> <text>Composition of student body,</text> </paragraph> <paragraph num="(d)"> <text>Extent of religious exercises,</text> </paragraph> <paragraph num="(e)"> <text>Extent of prayer in the classroom,</text> </paragraph> <paragraph num="(f)"> <text>Extent of religion or theology classes,</text> </paragraph> <paragraph num="(g)"> <text>Degree of intellectual freedom in nontheology classes,</text> </paragraph> <paragraph num="(h)"> <text>Composition of faculty,</text> </paragraph> <paragraph num="(i)"> <text>Degree of academic freedom.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Covered Employment when Service Is Not Performed Entirely within the State."> <paragraph num="A."> <text>Localized Service. A person is engaged in covered employment in the State when the person's service is localized within the State. Service is localized when it is performed:</text> <paragraph num="(1)"> <text>Entirely within the State.</text> </paragraph> <paragraph num="(2)"> <text>Both within and outside the State, but the service performed outside the State is incidental to the service performed within the State. Service is incidental if it is temporary or transitory in nature, or consists of isolated transactions.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In determining whether the service of a worker is incidental or transitory, the Secretary shall consider the:</text> <paragraph num="(1)"> <text>Intention of the employing unit and employee as to whether the service is an isolated transaction or a regular part of the employee's work;</text> </paragraph> <paragraph num="(2)"> <text>Intention as to whether the employee will return to the State upon completion of the work outside the State; and</text> </paragraph> <paragraph num="(3)"> <text>Length of service with the employing unit within the State as compared to the length of service outside the State.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Base of Operations.</text> <paragraph num="(1)"> <text>A person is engaged in covered employment in this State when the person's service is not localized in any state, but some services are performed in the State and the person's base of operations is in the State.</text> </paragraph> <paragraph num="(2)"> <text>The base of operations is the place or fixed center, of more or less permanent nature, from which the employee starts work and to which he or she customarily returns in order to receive instructions from the employing unit or communications from customers or other persons, to replenish stocks and materials, to repair equipment, or to perform other functions necessary to the exercise of the employee's trade or profession.</text> </paragraph> <paragraph num="(3)"> <text>The base of operations may be the employee's business office, or the employment contract may specify a particular place at which the employee is to receive directions and instructions.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Place From Which Service is Directed or Controlled.</text> <paragraph num="(1)"> <text>A person is engaged in covered employment in this State when the person's service is not localized in any state and the person has no base of operations, or if the base of operations is in a state in which the employee performs no service, or if the base of operations moves from state to state, but the person's service is directed or controlled from this State.</text> </paragraph> <paragraph num="(2)"> <text>The place from which a person's service is directed or controlled is the place at which the basic authority exists and from which the general control emanates.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Place of Residence. When application of §§A—D of this regulation does not establish where the person's employment is covered, a person is engaged in covered employment in this State if the person's residence is in this State, provided some of the service is performed in this State.</text> </paragraph> <paragraph num="F."> <text>Reciprocal Coverage Agreement.</text> <paragraph num="(1)"> <text>When application of §§A—E of this regulation does not establish where the person's employment is covered, a person is engaged in covered employment in this State if the employing unit elects to cover in this State all the person's service either through an election of coverage or under a reciprocal coverage agreement.</text> </paragraph> <paragraph num="(2)"> <text>Under the reciprocal coverage agreement the service may be covered in this State if:</text> <paragraph num="(a)"> <text>Some part of the person's service is performed in this State;</text> </paragraph> <paragraph num="(b)"> <text>The person's residence is in this State; or</text> </paragraph> <paragraph num="(c)"> <text>The employer maintains a place of business in this State.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".21" heading="Successor Determinations Under §§8-613—and 8-614."> <paragraph num="A."> <text>Common ownership, management, or control exists between the successor employer and the predecessor employer when any person serves in any of the following positions in both the predecessor and successor employer:</text> <paragraph num="(1)"> <text>Sole proprietor, which includes spouse, children, and parents of a sole proprietor;</text> </paragraph> <paragraph num="(2)"> <text>Partner of a partnership;</text> </paragraph> <paragraph num="(3)"> <text>Member of a limited liability company;</text> </paragraph> <paragraph num="(4)"> <text>Chief Executive Officer;</text> </paragraph> <paragraph num="(5)"> <text>Chief Financial Officer;</text> </paragraph> <paragraph num="(6)"> <text>Any corporate officer; or</text> </paragraph> <paragraph num="(7)"> <text>Any shareholder owning, directly or indirectly, more than 50 percent of a corporation's stock.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An employer acquiring the assets, business, organization, or trade of a predecessor employer is not a successor employer for the purposes of attributing or assigning the rate of contribution if the acquiring employer:</text> <paragraph num="(1)"> <text>Has no common ownership, management, or control with the predecessor;</text> </paragraph> <paragraph num="(2)"> <text>Acquires less than 50 percent of the payrolls or employees of the predecessor; and</text> </paragraph> <paragraph num="(3)"> <text>Acquires less than 50 percent of the assets, business, organization, and trade of the predecessor.</text> </paragraph> </paragraph> <paragraph num="C."> <text>In acquisitions not involving common ownership, management, or control, the Secretary shall determine the proportionate value of assets, business, organization, and trade acquired by the successor based on a comparison to the total amount of assets, business, organization, and trade of the predecessor that existed on December 31 or, if the predecessor reported its financial performance based on a fiscal year (instead of calendar year), a comparison to the total amount of assets, business, organization, and trade of the predecessor that existed on the last day of the predecessor’s fiscal year immediately preceding the acquisition date.</text> </paragraph> <paragraph num="D."> <text>In acquisitions not involving common ownership, management, or control, the Secretary shall determine the proportionate share of the payrolls or number of employees acquired by the successor based on a comparison to the total payrolls or number of employees working for the predecessor on December 31 or, if the predecessor reported its financial performance based on a fiscal year (instead of calendar year), a comparison to the total payrolls or number of employees working for the predecessor on the last day of the predecessor’s fiscal year immediately preceding the acquisition date.</text> </paragraph> <paragraph num="E."> <text>In acquisitions not involving common ownership, management, or control, and subject to the limitation provided in §B of this regulation, if a person acquires a part of a business, trade, or organization and the employer is classified as a successor employer, the earned rate record of the acquired business, trade, or organization is transferred to the successor employer according to the percent of the payrolls or assets acquired.</text> </paragraph> <paragraph num="F."> <text>An employing unit that transfers all or part of its operations from another state to this State may be classified as a successor employer and assigned an earned rate in accordance with the Unemployment Insurance Law, provided the employing unit makes application to the Secretary for successor status effective upon the date of transfer.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".22" heading="Transfer of Operations from Another State."> <paragraph num="A."> <text>The transfer of a business from another state to this State within the meaning of the Unemployment Insurance Law occurs only when an operation maintained by an employing unit in another state has been closed, discontinued, or curtailed, in whole or in part, and that same operation is transferred into Maryland. The opening of new branches, new offices, or new retail outlets in this State does not constitute a transfer.</text> </paragraph> <paragraph num="B."> <text>In order to invoke the provisions of the Unemployment Insurance Law relating to an employer who transfers operations from another state in which the employer has had at least 3 years experience immediately preceding the transfer to this State, the employer shall submit the following on forms prescribed by the Secretary:</text> <paragraph num="(1)"> <text>Within 120 days of the transfer, written notice specifying the nature of the operations transferred and the state in which they were previously performed.</text> </paragraph> <paragraph num="(2)"> <text>Within 60 days from the date of this notice, a certification from the unemployment insurance agency of the state from which the employer's operations were transferred certifying all information required by the Unemployment Insurance Law for calculating an earned rate in this State, and any other additional information required by the Secretary. The certificate shall include information identifying wages paid in the other state together with the employer's annual payrolls and benefit charges as defined in the Unemployment Insurance Law, for the 3 years immediately preceding this computation date as defined in the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(3)"> <text>Upon the request of the Secretary, a certification from the other state containing all the information that the Secretary requires relating to benefit charges for the 12 consecutive month period preceding each subsequent computation date on the basis of wages paid in the other state. When this information is required, the employer shall furnish it not later than 60 days after the Secretary's request.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If the employer meets the conditions of this regulation, wages, remuneration, contributions, and benefits resulting in earned rate charges in connection with the transferred operations shall be deemed to have been paid in this State for the purpose of the Unemployment Insurance Law.</text> </paragraph> <paragraph num="D."> <text>Remuneration for services paid to employees in another state may not be considered wages with respect to any fiscal year for the purposes of this regulation or the provisions of the Unemployment Insurance Law unless the contributions due on the remuneration have been paid before the computation date for contribution rates in this State.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".23" heading="Common Paymasters."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>For the purpose of this regulation, “related corporation” means a member of a controlled group of corporations as the term is defined in the Internal Revenue Code.</text> </paragraph> <paragraph num="(2)"> <text>For purposes of this regulation, an individual is considered “concurrently employed” by two or more related corporations if the individual performs services for covered wages for the common paymaster for some portion of each calendar year.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Payment through Common Paymaster.</text> <paragraph num="(1)"> <text>When two or more related corporations concurrently employ the same individual and compensate that individual through a common paymaster, and when the common paymaster is one of the related corporations that employs the individual, each corporation shall be considered to have paid only the remuneration it actually disburses to that individual. If all the remuneration to the individual from the related corporations is disbursed through the common paymaster, the total amount of wages disbursed by the common paymaster shall be deemed wages subject to contribution and administrative fees. The common paymaster shall be responsible for filing the contribution report and the employment report.</text> </paragraph> <paragraph num="(2)"> <text>When two or more related corporations employ different individuals and compensate the individuals through a common paymaster, but the individual performs no service for the common paymaster during the calendar year, each corporation shall be considered to have paid only the remuneration it actually disburses to the individuals. The related corporations that pay the remuneration to the individuals shall each be responsible for filing the contribution reports and the employment reports.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The common paymaster shall notify the Secretary in writing, at least 30 days before the quarter for which the common paymaster reporting is to be effective, of the name and employer account number of each of the related corporations. The common paymaster shall notify the Secretary at least 30 days before any change or termination of the arrangement.</text> </paragraph> <paragraph num="D."> <text>If the common paymaster fails to remit contributions and administrative fees due, the common paymaster and each of the other related corporations shall be jointly and severally liable for the full amount of the unpaid portion of the contributions and administrative fees.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".24" heading="Deletion of Wages—Aggravated Misconduct."> <paragraph num="A."> <text>When a claimant is disqualified from receiving benefits for reasons determined to constitute aggravated misconduct under the Unemployment Insurance Law, wages from the base period employer against whom the aggravated misconduct was committed shall be deleted as set forth in §B of this regulation.</text> </paragraph> <paragraph num="B."> <text>Wages shall be deleted for:</text> <paragraph num="(1)"> <text>Only the employing unit from which the claimant was discharged or suspended for reasons which are determined to constitute aggravated misconduct in connection with the work; and</text> </paragraph> <paragraph num="(2)"> <text>Any benefit years beginning with and following the disqualification for discharge or suspension for reasons which constitute aggravated misconduct in connection with the work, except that if the benefit year has been established before the date of the discharge or suspension, the deletion takes effect beginning with the week of the disqualification.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A refund may not be made on any taxes paid on wages which are deleted as a result of the imposition of a disqualification for aggravated misconduct in connection with the work.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".25" heading="Unemployment Insurance Tax Preparers."> <paragraph num="A."> <text>Definition and Scope.</text> <paragraph num="(1)"> <text>Definition. “Unemployment insurance tax preparer” means a person who files quarterly unemployment insurance contribution reports or employment reports on behalf of employing units for compensation.</text> </paragraph> <paragraph num="(2)"> <text>Scope. Sections B and C of this regulation apply to unemployment insurance tax preparers who file on behalf of 100 or more employing units.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Method of Filing Contribution Reports and Employment Reports.</text> <paragraph num="(1)"> <text>An unemployment insurance tax preparer shall file the information required in Regulations .11 and .12 of this chapter by mail or electronic means.</text> </paragraph> <paragraph num="(2)"> <text>A contribution report or an employment report is deemed returned when it is either received by the Division of Unemployment Insurance or postmarked by the United States Post Office.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Method of Payment. An unemployment insurance tax preparer shall remit unemployment insurance contributions and administrative fees on behalf of employing units in one lump sum payment that covers in full the total contribution payments and administrative fees due for all the employing units that the preparer represents.</text> </paragraph> <paragraph num="D."> <text>Penalty and Interest. An employing unit whose unemployment insurance tax preparer fails to file the contribution reports, employment reports, or pay contributions or administrative fees in the prescribed manner is subject to the penalties and interest set forth in Regulations .09 and .16 of this chapter and the Unemployment Insurance Law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".26" heading="Professional Employer Organizations."> <paragraph num="A."> <text>Professional Employer Organization.</text> <paragraph num="(1)"> <text>“Professional employer organization” means an employing unit which places all or part of a client company's workers on its payroll or payrolls and, by written agreement, assigns or leases the workers to the client company.</text> </paragraph> <paragraph num="(2)"> <text>“Professional employer organization” does not mean a temporary help firm within the meaning of this subtitle.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Obligations of a Professional Employer Organization.</text> <paragraph num="(1)"> <text>A professional employer organization is subject to all of the rights and obligations of employing units under the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(2)"> <text>Acquisitions.</text> <paragraph num="(a)"> <text>Upon the acquisition of all or part of a client company's workers:</text> <paragraph num="(i)"> <text>A professional employer organization is initially classified as a successor employer for purposes of assigning a contribution rate, assessing administrative fees and tax liability, and transferring the taxable wage base of the workers who were placed on the professional employer organization's payroll; and</text> </paragraph> <paragraph num="(ii)"> <text>The client company is initially classified as a predecessor employer.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A subsequent acquisition or transfer, by sale or otherwise, of all or part of a professional employer organization's assets, business, organization, or trade is treated in accordance with the Unemployment Insurance Law.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Notification.</text> <paragraph num="(a)"> <text>A professional employer organization shall notify the Secretary in writing when the company places all or part of a client company's workers on its payroll.</text> </paragraph> <paragraph num="(b)"> <text>Notification shall be given within 30 days of placing the workers on the payroll and shall be provided in the form and manner required by the Secretary.</text> </paragraph> <paragraph num="(c)"> <text>Notification shall include, at a minimum, the following information:</text> <paragraph num="(i)"> <text>Name, address, and phone number of the professional employer organization;</text> </paragraph> <paragraph num="(ii)"> <text>Name, address, and phone number of the client company;</text> </paragraph> <paragraph num="(iii)"> <text>Date the professional employer organization acquired the client company's workers; and</text> </paragraph> <paragraph num="(iv)"> <text>Total number of workers acquired from the client company.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>Annual Report.</text> <paragraph num="(a)"> <text>On or before December 31 of each year, a professional employer organization shall file an annual report of the company's clients with the Secretary.</text> </paragraph> <paragraph num="(b)"> <text>The annual report shall be in writing and shall include:</text> <paragraph num="(i)"> <text>Name, address, and phone number of the professional employer organization; and</text> </paragraph> <paragraph num="(ii)"> <text>Names and addresses of client companies to whom the professional employer organization leases or assigns workers.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8-101, 8-206, 8-305, 8-421, 8-601, 8-602, 8-605.1, 8-613, 8-614, 8-625, 8-626, 8-1002.1, and 8-1005, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 1, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A amended effective March 1, 1982 (9:4 Md. R. 330)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective July 28, 1978 (5:15 Md. R. 1187)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A, D, F, G, H amended effective September 14, 1981 (8:18 Md. R. 1477)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05H amended effective March 30, 1977 (4:7 Md. R. 577); December 30, 1977 (4:27 Md. R. 2104)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08B amended effective September 14, 1981 (8:18 Md. R. 1477)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective December 10, 1975 (2:28 Md. R. 1666)</annotation> <annotation type="History" subtype="Administrative History">(Transferred from Department of Human Resources to Department of Employment and Training, effective October 1, 1983; recodified from COMAR 07.04.01 to 24.02.01)</annotation> <annotation type="History" subtype="Administrative History">Chapter, Reporting Requirements of Employing Units, repealed effective June 24, 1991 (18:12 Md. R. 1340)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.23, Obligations of Employers, adopted effective June 24, 1991 (18:12 Md. R. 1340)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective October 24, 1994 (21:21 Md. R. 1815)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09C amended effective November 23, 1992 (19:23 Md. R. 2042)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11A amended effective November 23, 1992 (19:23 Md. R. 2042); January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12A amended effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective October 24, 1994 (21:21 Md. R. 1815)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14A amended effective November 23, 1992 (19:23 Md. R. 2042)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15-1 adopted effective June 8, 1992 (19:11 Md. R. 1017)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16A and B amended effective November 23, 1992 (19:23 Md. R. 2042)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18-1 adopted effective October 24, 1994 (21:21 Md. R. 1815)</annotation> <annotation type="History" subtype="Administrative History">Regulation .22B amended effective November 23, 1992 (19:23 Md. R. 2042)</annotation> <annotation type="History" subtype="Administrative History">Regulation .24 adopted effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .25 adopted effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.02.01 to COMAR 09.32.01, May 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .05A amended effective March 11, 2019 (46:5 Md. R. 306)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06C amended effective May 4, 1998 (25:9 Md. R. 679)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12C amended effective May 4, 1998 (25:9 Md. R. 679)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13B amended effective May 4, 1998 (25:9 Md. R. 679)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14A amended effective January 1, 2007 (33:26 Md. R. 1996)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18-1 amended and recodified to Regulation .18-2, and new Regulation .18-1 adopted effective May 4, 1998 (25:9 Md. R. 679)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18-1 repealed effective January 7, 2013 (39:26 Md. R. 1664)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18-2D amended effective January 1, 2007 (33:26 Md. R. 1996)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18-3 adopted effective January 7, 2013 (39:26 Md. R. 1664)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21 repealed and new Regulation .21 adopted effective March 27, 2006 (33:6 Md. R. 578)</annotation> <annotation type="History" subtype="Administrative History">Regulation .21 amended effective April 24, 2017 (44:8 Md. R. 402)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 adopted effective May 4, 1998 (25:9 Md. R. 679)</annotation> <annotation type="History" subtype="Administrative History">Regulation .26 repealed and new Regulation .26 adopted effective March 27, 2006 (33:6 Md. R. 578)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 11, 2025 (52:24 Md. R. 1197)</annotation> </annotations> </chapter> <chapter num="02" heading="Claims for Benefits"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter sets out the registration and reporting requirements and procedures for individuals applying for unemployment insurance benefits.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Appointment” means reporting:</text> <paragraph num="(a)"> <text>By telephone, at a scheduled date and time, and at the telephone number provided by the claimant to the Secretary; or</text> </paragraph> <paragraph num="(b)"> <text>In person at a specific date, time, and place.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>“Basic weekly benefit amount” means the weekly benefit amount for a week of total unemployment excluding any allowance for dependents.</text> </paragraph> <paragraph num="(3)"> <text>“Benefits” means benefits pursuant to the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(4)"> <text>“Claim” means an application for benefits that is filed with the Secretary, either for the purpose of beginning a claim period, or for the purpose of claiming benefits for a compensable week.</text> </paragraph> <paragraph num="(5)"> <text>“Claim notification” means written notification sent to a claimant, by mail or electronic means, that provides instructions to the claimant for the filing of a continued claim or claims.</text> </paragraph> <paragraph num="(6)"> <text>“Continued claim” means one of a series of claims filed, for one or more weeks of continuous unemployment, following an initial or a reopened claim.</text> </paragraph> <paragraph num="(7)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(8)"> <text>“Dependent” means a claimant's child, stepchild, or legally adopted child who, at the beginning of a claimant's benefit year, is wholly or partially supported by the claimant and is younger than 16 years old.</text> </paragraph> <paragraph num="(9)"> <text>“Employment Service” means the Employment Service, an agency within the Department.</text> </paragraph> <paragraph num="(10)"> <text>“Initial claim” means an application for benefits filed with the Secretary. The three types of initial claims are as follows:</text> <paragraph num="(a)"> <text>“New claim” means the first claim filed requesting a determination of entitlement to and eligibility for compensation. “New claim” includes the first claim for extended or additional benefits, as described in COMAR 09.32.03.</text> </paragraph> <paragraph num="(b)"> <text>“Transitional claim” means the first claim filed at the expiration of a benefit year requesting a determination of eligibility and determination of a new benefit year. A transitional claim has an effective date within the 7-day period immediately following the benefit year ending date and a week for which compensation was claimed.</text> </paragraph> <paragraph num="(c)"> <text>“Additional claim” means the first claim filed within a benefit year after earning gross wages equal to or in excess of the weekly benefit amount during any given week.</text> </paragraph> </paragraph> <paragraph num="(11)"> <text>Office.</text> <paragraph num="(a)"> <text>“Office” means an office of the Department.</text> </paragraph> <paragraph num="(b)"> <text>“Office” includes a designated call center or electronic address.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Register” and “registration” mean that the individual is available for referral to job opportunities, training, and employment development services through the Department. When the filing of a claim permits an individual full use of the Employment Service, that filing constitutes registration.</text> </paragraph> <paragraph num="(13)"> <text>“Remuneration” means all compensation for services whether or not the compensation constitutes taxable wages under the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(14)"> <text>Reopened Claim.</text> <paragraph num="(a)"> <text>“Reopened claim” means the first claim filed after a break in continued claims during a benefit year caused by other than intervening employment, for example, illness, disqualification, unavailability, or failure to report for any reason other than employment.</text> </paragraph> <paragraph num="(b)"> <text>“Reopened claim” does not include a claim for extended or additional benefits as described in COMAR 09.32.03.</text> </paragraph> </paragraph> <paragraph num="(15)"> <text>“Secretary” means the Secretary of Labor or the Secretary's designee.</text> </paragraph> <paragraph num="(16)"> <text>“Unemployment Insurance Law” means Labor and Employment Article, Title 8, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(17)"> <text>“Week” means the calendar week beginning at 12:01 a.m. Sunday morning and ending at midnight the following Saturday.</text> </paragraph> <paragraph num="(18)"> <text>“Weekly benefit amount” means the weekly benefit amount for a week of total unemployment including any dependents' allowance.</text> </paragraph> <paragraph num="(19)"> <text>“Week of total unemployment” means a week during which a claimant performs no work for which wages are payable.</text> </paragraph> <paragraph num="(20)"> <text>“Working day” means a day other than Saturday, Sunday, or a State holiday.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Unless the context indicates otherwise, all other terms used in these regulations have the same meanings as provided in the Unemployment Insurance Law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Claims for Total Unemployment."> <paragraph num="A."> <text>Claims Generally. Except as otherwise provided, to file an initial or reopened claim for benefits, an individual shall report as instructed by the Secretary.</text> </paragraph> <paragraph num="B."> <text>A claimant who earns gross wages in 1 week equal to or more than the claimant's weekly benefit amount may not file subsequent continued claims for total unemployment, but shall file an initial claim in order to claim subsequent benefits.</text> </paragraph> <paragraph num="C."> <text>Initial and Reopened Claims. Except as otherwise provided, the:</text> <paragraph num="(1)"> <text>Effective date of an initial or reopened claim is the first day of the week in which an individual reports, registers, and files the initial or reopened claim as instructed by the Secretary;</text> </paragraph> <paragraph num="(2)"> <text>Claimant shall file initial or reopened claims in the manner and time frame prescribed by the Secretary;</text> </paragraph> <paragraph num="(3)"> <text>Secretary may direct that an initial or reopened claim be filed:</text> <paragraph num="(a)"> <text>By telephoning an office designated by the Secretary,</text> </paragraph> <paragraph num="(b)"> <text>By electronic means, to a site designated by the Secretary,</text> </paragraph> <paragraph num="(c)"> <text>By mailing, by first class mail, required documents to an office designated by the Secretary, or</text> </paragraph> <paragraph num="(d)"> <text>In person by reporting to an office designated by the Secretary;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Eligibility of an individual for benefits may not be determined until the individual provides a valid Social Security number.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Effective Date of Initial and Reopened Claims—Exceptions. The effective date of an initial or reopened claim may be other than as provided in §C of this regulation in the following situations:</text> <paragraph num="(1)"> <text>A claim may be backdated when a claimant reports partial earnings for a week before the initial claim, to the Sunday of that week provided the claim is filed not later than:</text> <paragraph num="(a)"> <text>30 days immediately following the close of that week, or</text> </paragraph> <paragraph num="(b)"> <text>2 weeks after the date the partial wages are paid;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A transitional claim shall be effective the day following the end of the preceding benefit year;</text> </paragraph> <paragraph num="(3)"> <text>Severe weather conditions exist, as declared by the Secretary;</text> </paragraph> <paragraph num="(4)"> <text>Clerical error attributable to the Department occurs;</text> </paragraph> <paragraph num="(5)"> <text>The office to which the claimant is instructed by the Secretary to report is closed for a reason other than that the day is not a working day;</text> </paragraph> <paragraph num="(6)"> <text>A claim may be backdated when the claimant did not file a claim in reasonable reliance on an invalid agreement to waive, release, or commute the claimant's rights to benefits as prohibited by the Unemployment Insurance Law.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Benefit Year.</text> <paragraph num="(1)"> <text>Except in the case of a transitional claim, the benefit year for a claimant begins with the Sunday of the first week for which the claimant files a valid new claim for benefits. This benefit year continues for 52 weeks.</text> </paragraph> <paragraph num="(2)"> <text>In the case of a transitional claim, the benefit year begins on the day immediately following the expiration date of the previous benefit year.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Reporting Requirements."> <paragraph num="A."> <text>Notification of Reporting Requirements. A claimant shall be notified in writing of the reporting requirements upon the filing of an initial or reopened claim and, if requested to do so, shall acknowledge the notification.</text> </paragraph> <paragraph num="B."> <text>Continued Claims.</text> <paragraph num="(1)"> <text>Except as otherwise provided, following an initial or reopened claim, a claimant shall file continued claims in the manner required by the Secretary.</text> </paragraph> <paragraph num="(2)"> <text>The Secretary may instruct a claimant to file a continued claim by:</text> <paragraph num="(a)"> <text>Telephoning the Department's interactive voice response unit; or</text> </paragraph> <paragraph num="(b)"> <text>Electronic means.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Continued claims shall be filed in the manner required by the Secretary not sooner than the Sunday immediately following the close of the week for which benefits are claimed and within the time allowed under §B(5) of this regulation.</text> </paragraph> <paragraph num="(4)"> <text>If appropriate, an open week shall be created for the first week which includes the date on which the initial or reopened claim was filed. Following the first week, the claimant shall file a continued claim on a weekly basis. If appropriate, the next open week to be filed shall be made available to the claimant upon the receipt of the preceding continued claim.</text> </paragraph> <paragraph num="(5)"> <text>Timely Filing.</text> <paragraph num="(a)"> <text>Continued claims shall be filed and received no later than 5 p.m. on the Friday following the week for which benefits are claimed in order to be timely. Late continued claims shall be considered timely only if the Department's error caused the claimant not to receive the claim forms or the claimant did not file a claim in reasonable reliance on an invalid agreement to waive, release, or commute the claimant's rights to benefits as prohibited by the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(b)"> <text>If the Secretary receives an untimely continued claim, the Secretary shall schedule the claimant for an appointment for a fact-finding interview pursuant to §C of this regulation.</text> </paragraph> <paragraph num="(c)"> <text>A claimant who fails to file a timely continued claim shall file an initial or reopened claim by telephoning an office designated by the Secretary, by electronic means, or by reporting in person to an office designated by the Secretary to reactivate the claim. Any weeks requested after filing an untimely continued claim but before reactivating the claim shall be denied.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Appointments.</text> <paragraph num="(1)"> <text>The Secretary may schedule an appointment for a claimant:</text> <paragraph num="(a)"> <text>Whenever there is an indication that the claimant does not meet the requirements of the Unemployment Insurance Law or these regulations; and</text> </paragraph> <paragraph num="(b)"> <text>Periodically to monitor the claimant's continuing ability to work, availability for work, and to assist the claimant in the work search process.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The claimant shall be given notice by mail or electronic means of the time, date, place, and type of the appointment and notified whether the appointment will be by telephone or in person. The notice shall include any issue to be resolved.</text> </paragraph> <paragraph num="(3)"> <text>If the claimant is unable to report as instructed for the appointment, the claimant shall complete the form provided and return it to the Secretary before the appointment. The claimant's response shall include the reason the claimant is unable to report as instructed and shall provide any information that should be considered on the issue to be resolved.</text> </paragraph> <paragraph num="(4)"> <text>If the claimant fails to report as instructed for the scheduled appointment or the office designated by the Secretary does not receive requested information from the claimant by the time of the appointment, the decision shall be based on information available to the Secretary at the time of the appointment.</text> </paragraph> <paragraph num="(5)"> <text>If the claimant fails to report as instructed for any scheduled Department appointment, benefits may be terminated or suspended for that reason alone.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04-1" heading="Claimant Reemployment Assistance Services."> <paragraph num="A."> <text>The Secretary shall establish criteria for a profiling system to identify claimants who are likely to exhaust unemployment insurance benefits and who will need reemployment assistance services to make a successful transition to new employment.</text> </paragraph> <paragraph num="B."> <text>When the Secretary determines that a claimant is likely to exhaust unemployment insurance benefits and will need reemployment assistance services to make a successful transition to new employment, the Secretary may schedule the claimant for appointments for reemployment assistance services. Reemployment assistance services may include:</text> <paragraph num="(1)"> <text>Job search assistance;</text> </paragraph> <paragraph num="(2)"> <text>Job placement;</text> </paragraph> <paragraph num="(3)"> <text>Counseling;</text> </paragraph> <paragraph num="(4)"> <text>Testing;</text> </paragraph> <paragraph num="(5)"> <text>Providing occupational and labor market information;</text> </paragraph> <paragraph num="(6)"> <text>Evaluations and assessments;</text> </paragraph> <paragraph num="(7)"> <text>Workshops;</text> </paragraph> <paragraph num="(8)"> <text>Job clubs;</text> </paragraph> <paragraph num="(9)"> <text>Referrals to employers; and</text> </paragraph> <paragraph num="(10)"> <text>Related services.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Regulation .04C of this chapter applies to the appointments scheduled pursuant to this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Separation Notices."> <paragraph num="A."> <text>The Secretary shall request on appropriate forms information pertaining to the separation of claimants from employment.</text> </paragraph> <paragraph num="B."> <text>When a claimant files a new claim, the Secretary shall request separation information from the claimant's base period employers and the claimant's other employers from the end of the base period to the filing of the claim. Each employer shall indicate on the separation notice the:</text> <paragraph num="(1)"> <text>Reason for the claimant's separation from employment;</text> </paragraph> <paragraph num="(2)"> <text>Last day that the claimant worked for that employer;</text> </paragraph> <paragraph num="(3)"> <text>Amount and form of any pension pay to which the claimant may be entitled, and whether the claimant contributed to the pension;</text> </paragraph> <paragraph num="(4)"> <text>Amount of any holiday pay, vacation pay, severance pay, or special pay paid or payable by the employer;</text> </paragraph> <paragraph num="(5)"> <text>Claimant's last weekly or hourly pay rate; and</text> </paragraph> <paragraph num="(6)"> <text>Other information that the Secretary may request.</text> </paragraph> </paragraph> <paragraph num="C."> <text>When a claimant files an additional claim for benefits, the Secretary shall request the information set forth in §B of this regulation from the claimant's last employer and any other employer for whom the claimant worked since the claimant last filed for benefits.</text> </paragraph> <paragraph num="D."> <text>An employer shall complete and return the separation notice to the address shown on the notice, or by electronic means, within the time prescribed in the Unemployment Insurance Law.</text> </paragraph> <paragraph num="E."> <text>A separation notice is deemed returned when it is either received by the Department or postmarked by the United States Post Office.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Claims during Temporary Mass Layoff."> <paragraph num="A."> <text>Definition. “Mass layoff” means the layoff from work of 25 or more workers in a single establishment for an expected duration of 7 days or more, at the same time, and for the same reason.</text> </paragraph> <paragraph num="B."> <text>Advance Knowledge. When the employer has advance knowledge of an expected mass layoff, the employer shall file with the Secretary a notice of the layoff 48 hours before the beginning of the layoff. This notice shall substitute for individual separation notices. The notice shall state:</text> <paragraph num="(1)"> <text>The date of the layoff;</text> </paragraph> <paragraph num="(2)"> <text>The reason for the layoff;</text> </paragraph> <paragraph num="(3)"> <text>The names and Social Security numbers of the employees affected, in Social Security number or alphabetical sequence;</text> </paragraph> <paragraph num="(4)"> <text>The amount and form of any pension pay to which an employee may be entitled, and whether the employee contributed to the pension;</text> </paragraph> <paragraph num="(5)"> <text>The amount of any vacation pay, holiday pay, severance pay, or special pay paid or payable by the employer;</text> </paragraph> <paragraph num="(6)"> <text>Any wage continuation as defined in Regulation .13 of this chapter; and</text> </paragraph> <paragraph num="(7)"> <text>Each employee's last weekly or hourly pay rate.</text> </paragraph> </paragraph> <paragraph num="C."> <text>No Advance Knowledge. When the employer has no advance knowledge of a mass layoff:</text> <paragraph num="(1)"> <text>Immediately upon the beginning of the layoff, the employer shall notify the Secretary of the layoff, the date of the layoff, and the reason for the layoff; and</text> </paragraph> <paragraph num="(2)"> <text>Within 48 hours after the beginning of the layoff, the employer shall file with the Secretary the information set forth in §B(3)—(7) of this regulation.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Modified Reporting. When the employer informs the Secretary in writing before the beginning of the mass layoff, the Secretary may adopt a plan modifying reporting requirements for these employees. Under the plan, the Department may distribute applications to the affected employees at offices located in close proximity to the employer or any other location. The Department may take claims directly from the employer on behalf of the employees. These applications, upon completion and return in accordance with the plan, shall constitute the employees' registrations for work and claims for benefits.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Work Search Exemption."> <paragraph num="A."> <text>Ten Week Exemption.</text> <paragraph num="(1)"> <text>The Secretary shall exempt only from the “actively seeking work” eligibility condition a claimant who, at the time the claimant files an initial claim, provides a definite return-to-work date to the same employer that is within 10 weeks of the last day of employment, if the:</text> <paragraph num="(a)"> <text>Return-to-work date is verified by that employer; and</text> </paragraph> <paragraph num="(b)"> <text>Layoff is as a result of vacation, inventory, or any other purpose causing unemployment, except a labor dispute.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Exemptions under this section may be granted for each period of unemployment of 10 weeks or less in 1 benefit year.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Eleven to Twenty-Six Week Exemption.</text> <paragraph num="(1)"> <text>The Secretary may exempt from only the “actively seeking work” eligibility condition a claimant who, at the time the claimant files an initial claim, provides a definite return-to-work date to the same employer that is 11 to 26 weeks from the last day of employment, if the:</text> <paragraph num="(a)"> <text>Return-to-work date is verified by that employer;</text> </paragraph> <paragraph num="(b)"> <text>Layoff is as a result of any purpose causing unemployment other than vacation, inventory, or labor dispute; and</text> </paragraph> <paragraph num="(c)"> <text>Employer and the affected employees jointly request the exemption through a written request that:</text> <paragraph num="(i)"> <text>Is submitted 2 weeks before the layoff (which requirement may be waived), and</text> </paragraph> <paragraph num="(ii)"> <text>Includes the name and Social Security number of each claimant for whom the request is made.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Secretary's determination to grant or deny the exemption under this section shall be based on:</text> <paragraph num="(a)"> <text>The reason for the layoff;</text> </paragraph> <paragraph num="(b)"> <text>The length of the layoff;</text> </paragraph> <paragraph num="(c)"> <text>Local labor market conditions; and</text> </paragraph> <paragraph num="(d)"> <text>The employer's earned-rate record for the 3 years preceding the request.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The Secretary shall grant or deny the request for the exemption within 15 days of receipt of the request.</text> </paragraph> <paragraph num="(4)"> <text>An exemption under this section may be granted only once during any 12-month period.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Exemptions granted under this regulation do not apply to any federal or State extended benefit programs.</text> </paragraph> <paragraph num="D."> <text>Work search exemptions granted for participation in approved training are described in COMAR 09.33.01.06.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07-1" heading="Qualified Individual with a Disability."> <text>For purposes of determining whether a claimant is able to work under §8-903 of the Unemployment Insurance Law, the term “qualified individual with a disability” as used there has the same meaning as it does under the Americans With Disabilities Act, 42 U.S.C. §12111.</text> </regulation> <regulation prefix="Regulation" num=".07-2" heading="Temporary Help Firm Former Employees."> <paragraph num="A."> <text>Applicability. This regulation does not apply to claimants granted work-search exemptions under Regulation .07 of this chapter.</text> </paragraph> <paragraph num="B."> <text>Definitions.</text> <paragraph num="(1)"> <text>In this regulation, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="(2)"> <text>Terms Defined.</text> <paragraph num="(a)"> <text>“Temporary help firm” means an entity that assigns its own employees to perform services for clients on a nonpermanent basis.</text> </paragraph> <paragraph num="(b)"> <text>“First week claimed” means the first week of benefits claimed in an initial claim.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Not Actively Seeking Work.</text> <paragraph num="(1)"> <text>Unless the claimant makes the showing required in §C(2) of this regulation, the Secretary shall determine that a claimant does not meet the “actively seeking work” eligibility condition during the first week claimed if:</text> <paragraph num="(a)"> <text>The claimant's last employer is a temporary help firm;</text> </paragraph> <paragraph num="(b)"> <text>That temporary help firm advised the claimant in writing before the end of the claimant's most recent work assignment that failure to request a new work assignment at the end of the current work assignment could result in a delay or denial of benefits; and</text> </paragraph> <paragraph num="(c)"> <text>That temporary help firm submits information, supported by contemporaneous documentation prepared in the ordinary course of business, for example, a telephone log, that the claimant did not request another work assignment after the claimant's most recent assignment ended.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The claimant may avoid the Secretary's determination in §C(1) of this regulation if the claimant shows that the claimant:</text> <paragraph num="(a)"> <text>Did request another assignment; or</text> </paragraph> <paragraph num="(b)"> <text>Had good cause for failing to request another assignment.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Claims during Labor Dispute."> <paragraph num="A."> <text>Notice by Employer.</text> <paragraph num="(1)"> <text>Immediately upon notice by the union of its intent to strike or the beginning of a labor dispute, the employer shall notify the Secretary of the existence of this dispute.</text> </paragraph> <paragraph num="(2)"> <text>Within 48 hours after the beginning of the dispute, the employer shall file with the Secretary a list stating the:</text> <paragraph num="(a)"> <text>Name, title, email address, telephone number, and address of the employer's representative;</text> </paragraph> <paragraph num="(b)"> <text>Name, title, email address, telephone number, and address of the union's representative;</text> </paragraph> <paragraph num="(c)"> <text>Last day of work of the employees who are not working as a result of the alleged labor dispute;</text> </paragraph> <paragraph num="(d)"> <text>Names and Social Security numbers of the employees who are participating in the dispute in Social Security number or alphabetical sequence; and</text> </paragraph> <paragraph num="(e)"> <text>Names and Social Security numbers of employees, in numerical or alphabetical order, who are not participating in the dispute but who are laid off by the employer as a result of the dispute.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The list in §A(2) of this regulation shall substitute for individual separation notices for the listed employees.</text> </paragraph> <paragraph num="(4)"> <text>When the dispute is over or the employees have returned to work, the employer shall so advise the Secretary.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Filing Claims.</text> <paragraph num="(1)"> <text>A claim of a claimant who is not working as a result of an alleged labor dispute is effective the first day of the week in which the claimant reports under the same terms and conditions as set forth for initial and reopened claims in Regulation .03 of this chapter.</text> </paragraph> <paragraph num="(2)"> <text>Claims made under this regulation shall be filed as instructed by the Secretary.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Claims Determination — Qualification. Qualification for benefits for claimants not working as a result of an alleged labor dispute shall be determined pursuant to COMAR 09.32.06.06.</text> </paragraph> <paragraph num="D."> <text>Claims Determination — Eligibility. Eligibility for benefits for claimants not working as a result of an alleged labor dispute shall be determined using the same criteria as used in determining eligibility for benefits for any other claimant.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Claims for Partial Benefits."> <paragraph num="A."> <text>Definition. A claimant shall be eligible for partial benefits for any week in which the claimant:</text> <paragraph num="(1)"> <text>Performed services for wages;</text> </paragraph> <paragraph num="(2)"> <text>Earned less in gross wages than the claimant's weekly benefit amount plus any allowance for a dependent to which the claimant is entitled under the Unemployment Insurance Law; and</text> </paragraph> <paragraph num="(3)"> <text>Meets all of the requirements set forth in the Unemployment Insurance Law.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A claimant who earns gross wages in 1 week equal to or more than the claimant's weekly benefit amount may not file subsequent continued claims for partial benefits, but shall file an initial claim in order to claim subsequent benefits.</text> </paragraph> <paragraph num="C."> <text>Reporting Requirements.</text> <paragraph num="(1)"> <text>A claimant for partial benefits shall comply with each reporting requirement set forth in Regulation .04 of this chapter.</text> </paragraph> <paragraph num="(2)"> <text>A claimant for partial benefits shall report gross wages during the week in which the claimant performed the services for which the wages were earned.</text> </paragraph> <paragraph num="(3)"> <text>A claimant for partial benefits shall be able to work, available to work, and actively seeking full-time employment.</text> </paragraph> <paragraph num="(4)"> <text>The effective date of a claim for partial benefits is as set forth in Regulation .03D(1) of this chapter.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Self-Employment. A claimant who is self-employed or regularly employed under conditions when the hours of work are not controlled by the employer, or who is paid on a commission basis, shall be eligible for partial benefits:</text> <paragraph num="(1)"> <text>When the remuneration is paid;</text> </paragraph> <paragraph num="(2)"> <text>If remuneration is less than the claimant's weekly benefit amount; and</text> </paragraph> <paragraph num="(3)"> <text>If the claimant is able and available to accept full-time work, and is actively seeking full-time work.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Vacation Pay or Holiday Pay. A claimant shall be considered partially unemployed with respect to any week during which the claimant receives or is eligible to receive vacation pay or holiday pay that is less than the claimant's weekly benefit amount.</text> </paragraph> <paragraph num="F."> <text>Method of Calculation.</text> <paragraph num="(1)"> <text>A claimant eligible for partial benefits shall be paid a benefit amount equal to the claimant's weekly benefit amount, less that part of the wages payable to the claimant in excess of the amount provided by the Unemployment Insurance Law.</text> </paragraph> <paragraph num="(2)"> <text>The partial benefit amount shall be rounded down to the nearest whole dollar.</text> </paragraph> <paragraph num="(3)"> <text>Partial benefits are payable until the maximum benefit amount is exhausted for the claimant's benefit year, provided all of the eligibility requirements of the Unemployment Insurance Law are met.</text> </paragraph> <paragraph num="(4)"> <text>A claimant may receive only 26 weeks of dependents' allowance regardless of the number of weeks the claimant receives partial benefits.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Dependents' Allowance."> <paragraph num="A."> <text>Time for Declaring Dependents. A claimant shall declare the claimant's dependents on the date that the claimant files a new or transitional claim for the benefit year. The time for declaration may not be extended, except for good cause.</text> </paragraph> <paragraph num="B."> <text>Verification.</text> <paragraph num="(1)"> <text>The claimant shall provide a Social Security number, a copy of the dependent's birth certificate, or other reliable means of proof within 30 days from the week in which the first continued claim in the benefit year is filed.</text> </paragraph> <paragraph num="(2)"> <text>A claimant who is otherwise eligible for benefits and who has not yet submitted the required dependents' allowance verification shall be paid benefits in the amount equal to the claimant's weekly benefit amount without the allowance for any unverified dependents. This shall continue until such time as verification is provided. Upon receipt, dependents' allowance shall be paid retroactively.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Dependent of One Claimant Only. Once a child has been determined to be a dependent child of any claimant, as of the first day of the claimant's benefit year, the child cannot be considered to be a dependent of any other claimant whose benefit year starts within 1 year of that year.</text> </paragraph> <paragraph num="D."> <text>Maximum Benefit Amount.</text> <paragraph num="(1)"> <text>The total of the claimant's basic weekly benefit amount plus the claimant's dependents' allowance may not exceed the maximum weekly benefit amount.</text> </paragraph> <paragraph num="(2)"> <text>When the total of a claimant's basic weekly benefit amount and dependents' allowance exceed the maximum weekly benefit amount, any other claimant who, at that time, is supporting the same dependents may claim the dependents' allowance for the balance of the latter claimant's benefit year.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Partial Earnings. As set forth in Regulation .10F(4) of this chapter, a claimant may receive only 26 weeks of dependents' allowance.</text> </paragraph> <paragraph num="F."> <text>Death of Claimant. The benefit year of a claimant who is receiving dependents' allowance is considered ended if the claimant dies. After that, any other claimant who, at that time, is supporting the same dependents, may claim the dependents' allowance for the balance of the living claimant's benefit year.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Holiday Pay or Vacation Pay."> <paragraph num="A."> <text>Definition. “Holiday pay” or “vacation pay” means the gross amount of holiday pay or vacation pay.</text> </paragraph> <paragraph num="B."> <text>Holiday pay or vacation pay is attributable to:</text> <paragraph num="(1)"> <text>The week or weeks designated by the employer or the collective bargaining agreement as the holidays or vacation days; or</text> </paragraph> <paragraph num="(2)"> <text>If not as designated in §B(1) of this regulation, the weeks during which it is paid.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Deductible Holiday Pay or Vacation Pay.</text> <paragraph num="(1)"> <text>Holiday pay or vacation pay shall be deducted from benefits if the claimant is notified of a definite return-to-work date on or before the date of layoff or separation. The reason for separation is not a determining factor.</text> </paragraph> <paragraph num="(2)"> <text>If the employer rescinds or modifies the return-to-work date originally given the claimant and extends the period of unemployment after the claimant files the initial or reopened claim, vacation pay or holiday pay shall be deducted only for the originally specified vacation or holiday period and may not be deducted for any period of additional unemployment resulting from the rescission or modification.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Nondeductible Holiday Pay or Vacation Pay. Holiday pay or vacation pay may not be deducted from unemployment insurance benefits if the holiday pay or vacation pay is paid:</text> <paragraph num="(1)"> <text>At the time of or after the claimant is separated from employment, and the claimant is separated from employment for an indefinite period or is permanently separated from employment; or</text> </paragraph> <paragraph num="(2)"> <text>By the employer or payable for any period which is outside of the terms of an employment agreement that specifies scheduled vacation or holiday periods or employee discretion in scheduling vacation or holiday periods.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Partial Earnings. Holiday pay or vacation pay that is less than the claimant's weekly benefit amount shall be deducted as partial earnings as set forth in Regulation .10E of this chapter.</text> </paragraph> <paragraph num="F."> <text>Holiday Pay and Vacation Pay Reportable and Taxable. Holiday pay or vacation pay is reportable and taxable for the purpose of the employer's contribution obligations under the Unemployment Insurance Law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Severance Pay, Dismissal Pay, or Pay instead of Notice of Termination."> <paragraph num="A."> <text>“Severance pay” is the gross amount of severance pay including severance pay that is contingent on the employee signing a release of liability or waiver agreement, dismissal pay, pay instead of notice of termination, wage continuation, or other remuneration paid or payable to the claimant upon separation from employment.</text> </paragraph> <paragraph num="B."> <text>Deducting Severance Pay.</text> <paragraph num="(1)"> <text>Severance pay shall be deducted from benefits.</text> </paragraph> <paragraph num="(2)"> <text>The Secretary shall allocate severance pay that is paid in a lump sum or in increments to a number of weeks following the date of separation, including the week during which the claimant was separated from employment. The Secretary shall allocate severance pay by:</text> <paragraph num="(a)"> <text>Calculating the entire amount of severance pay including any amount of severance pay that may be contingent on the employee signing a release of liability or waiver agreement;</text> </paragraph> <paragraph num="(b)"> <text>Calculating the claimant's daily wage by dividing the claimant's last weekly wage by seven;</text> </paragraph> <paragraph num="(c)"> <text>Calculating the number of days to which the severance pay applies by dividing the total amount of severance pay by the claimant's daily wage; and</text> </paragraph> <paragraph num="(d)"> <text>Applying the severance pay to the days immediately following the claimant's last day of service.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If severance pay allocated to a particular week is less than the claimant's weekly benefit amount, the claimant shall receive the difference.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Severance Pay Reportable and Taxable. Severance pay is reportable and taxable for the purpose of the employer's contribution obligations under the Unemployment Insurance Law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Retirement Payments."> <paragraph num="A."> <text>Definitions.</text> <paragraph num="(1)"> <text>“Contributory retirement plan” means a plan providing a retirement payment under which an employing unit pays or has paid some, but not all, of the premiums or contributions, and the claimant has paid some, but not all, of the premiums or contributions.</text> </paragraph> <paragraph num="(2)"> <text>“Lump-sum retirement payment” means the gross amount of a retirement payment that is paid in one payment. Any retirement payment paid in more than one payment is not a lump-sum retirement payment, even if the installments are paid irregularly.</text> </paragraph> <paragraph num="(3)"> <text>“Noncontributory retirement payment” means a plan providing a retirement payment under which an employing unit pays or has paid all premiums or contributions and the claimant pays or has paid none.</text> </paragraph> <paragraph num="(4)"> <text>“Periodic retirement payment” means the gross amount of a retirement payment payable on a recurring basis.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Deductible Retirement Payments.</text> <paragraph num="(1)"> <text>Retirement payments shall be deducted from benefits if the payments are made under a plan maintained or contributed to by a base period employer.</text> </paragraph> <paragraph num="(2)"> <text>Deductible retirement payments include but are not limited to:</text> <paragraph num="(a)"> <text>State government pensions;</text> </paragraph> <paragraph num="(b)"> <text>Local government pensions;</text> </paragraph> <paragraph num="(c)"> <text>Federal Civil Service retirement pensions and annuities;</text> </paragraph> <paragraph num="(d)"> <text>Federal Civil Service disability pensions;</text> </paragraph> <paragraph num="(e)"> <text>Private employer pensions;</text> </paragraph> <paragraph num="(f)"> <text>Military retirement pensions;</text> </paragraph> <paragraph num="(g)"> <text>Military disability pensions;</text> </paragraph> <paragraph num="(h)"> <text>Railroad retirement annuities;</text> </paragraph> <paragraph num="(i)"> <text>Individual Retirement Accounts (IRA) and Keogh Plans, to which the base period employer contributed directly;</text> </paragraph> <paragraph num="(j)"> <text>Trust, annuity, or insurance funds, to which the base period employer contributed; and</text> </paragraph> <paragraph num="(k)"> <text>Profit-sharing plans established to provide employees with income on retirement.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Nondeductible Retirement Payments. Retirement payments may not be deducted from benefits if the payments derive from:</text> <paragraph num="(1)"> <text>Social Security benefits;</text> </paragraph> <paragraph num="(2)"> <text>Survivor's or widow's pensions;</text> </paragraph> <paragraph num="(3)"> <text>Military service connected disability compensation as defined in 38 U.S.C. §301 et seq. (Veterans' Administration Disability Benefits);</text> </paragraph> <paragraph num="(4)"> <text>Temporary disability insurance; or</text> </paragraph> <paragraph num="(5)"> <text>Workers' compensation and black lung benefits.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Method of Deduction.</text> <paragraph num="(1)"> <text>Verification.</text> <paragraph num="(a)"> <text>A claimant shall provide documentary proof of any retirement payment. When the claimant cannot provide the verification, the Secretary shall request verification from the employer.</text> </paragraph> <paragraph num="(b)"> <text>When a claimant cannot provide documentary proof of the retirement payment, the claimant's sworn statement shall be accepted subject to employer verification and may not affect payment of claims.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Calculation. Deductible retirement payments shall be deducted from benefits payable to the claimant as follows:</text> <paragraph num="(a)"> <text>100 percent of each noncontributory retirement payment paid by or originating from a base period employer shall be fully deducted from basic weekly benefit amounts payable throughout the claimant's benefit year;</text> </paragraph> <paragraph num="(b)"> <text>50 percent of each contributory retirement payment paid by or originating from a base period employer shall be deducted from basic weekly benefit amounts payable throughout the claimant's benefit year;</text> </paragraph> <paragraph num="(c)"> <text>A periodic contributory or noncontributory retirement payment prorated by week shall be deducted from the claimant's basic weekly benefit amount beginning with the first week in which the effective date of the retirement payment falls and for which the claimant has filed a continued claim.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Dependents' Allowance. The deduction of retirement payments from benefits paid does not affect the weekly benefit amount for purposes of calculating the dependents' allowance, except that if no benefit payment is due after the deduction, the dependents' allowance is not payable.</text> </paragraph> <paragraph num="(4)"> <text>Duration of Benefit Payments. Benefits reduced as a result of a retirement payment deduction are payable until the maximum benefit amount is exhausted for the claimant's benefit year, provided all of the eligibility requirements of the Unemployment Insurance Law are met.</text> </paragraph> <paragraph num="(5)"> <text>Effect on Partial Earnings. If a claimant has partial earnings in any week for which the claimant's weekly benefit amount is to be reduced by a deductible retirement payment amount, the partial benefits are computed first, and the retirement payment is deducted from the remainder, if any.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Lump Sum Retirement Payments.</text> <paragraph num="(1)"> <text>Deductible Lump Sum Retirement Payments.</text> <paragraph num="(a)"> <text>Except as otherwise provided, a lump sum retirement payment shall be deducted from benefits if the payment is made under a plan maintained or contributed to by a base period employer.</text> </paragraph> <paragraph num="(b)"> <text>A deductible lump sum retirement payment shall be deducted from benefits payable to the claimant only if the payment is actually received within the claimant's first benefit year.</text> </paragraph> <paragraph num="(c)"> <text>A deductible lump sum retirement payment shall be deducted from benefits payable to the claimant as follows: A lump sum retirement payment shall be allocated by week, beginning with the week the claimant was separated from employment, according to the claimant's last weekly rate of pay.</text> </paragraph> <paragraph num="(d)"> <text>The allocation in §E(1)(c) of this regulation extends for as long as the employer maintaining or contributing to the plan is a base period employer.</text> </paragraph> <paragraph num="(e)"> <text>Other calculations concerning deductible lump sum retirement payments shall be made pursuant to §D of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Nondeductible Lump Sum Retirement Payments.</text> <paragraph num="(a)"> <text>A lump sum retirement payment or lump sum profit-sharing payment may not be deducted from benefits if the:</text> <paragraph num="(i)"> <text>Claimant is separated from employment due to layoff or shutdown of the operation;</text> </paragraph> <paragraph num="(ii)"> <text>Payment is received after the end of a benefit year in which the contributing employer is a base period employer; or</text> </paragraph> <paragraph num="(iii)"> <text>Claimant places the lump sum payment in a qualified retirement plan within 30 days of receipt.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>With regard to §E(2)(a)(iii) of this regulation, the:</text> <paragraph num="(i)"> <text>Claimant shall provide documentation to the Secretary that states that the lump sum retirement payment has been placed in a qualified retirement plan, and gives the name of the institution or fund in which the payment was placed;</text> </paragraph> <paragraph num="(ii)"> <text>Lump sum retirement payment shall be verified as set forth in §D(1) of this regulation.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Special Pay."> <paragraph num="A."> <text>Definition. “Special pay” means the gross amount of any bonus or other special payment paid or payable to the claimant by the employer that is not holiday pay, vacation pay, severance pay, or pension pay.</text> </paragraph> <paragraph num="B."> <text>Special pay is attributable to the week or weeks designated by the employer or the collective bargaining agreement, or if not so designated, the week or weeks during which the special pay is paid.</text> </paragraph> <paragraph num="C."> <text>Deductible Special Pay. Special pay shall be deducted from benefits for any week to which it is attributable if the claimant performed services during that week.</text> </paragraph> <paragraph num="D."> <text>Nondeductible Special Pay. Special pay may not be deducted from benefits for any week to which it is attributable if the claimant performed no services during that week.</text> </paragraph> <paragraph num="E."> <text>Partial Earnings. The sum of the deductible special pay and earnings for that week that is less than the claimant's weekly benefit amount shall be deducted pursuant to Regulation .10F of this chapter as partial earnings.</text> </paragraph> <paragraph num="F."> <text>Special Pay Reportable and Taxable. Special pay is reportable and taxable for the purpose of the employer's contribution obligations under the Unemployment Insurance Law.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Monetary Eligibility."> <paragraph num="A."> <text>The following payments are considered wages for the purpose of determining a claimant's monetary eligibility for benefits:</text> <paragraph num="(1)"> <text>Any wage received for covered employment as defined by the Unemployment Insurance Law;</text> </paragraph> <paragraph num="(2)"> <text>Holiday pay;</text> </paragraph> <paragraph num="(3)"> <text>Vacation pay; and</text> </paragraph> <paragraph num="(4)"> <text>Special pay.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Payments Not Considered Wages.</text> <paragraph num="(1)"> <text>The following payments are not considered wages for the purpose of determining a claimant's monetary eligibility for benefits:</text> <paragraph num="(a)"> <text>Severance pay, dismissal pay, wage continuation, or pay instead of notice of termination; and</text> </paragraph> <paragraph num="(b)"> <text>Pension.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Holiday pay, vacation pay, and special pay shall be considered wages for the purpose of determining a claimant's monetary eligibility at the time the payments are made even if the pay is attributed to a different time for benefit purposes.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".16" heading="Benefit Payment."> <paragraph num="A."> <text>Review of Claim. After an initial, reopened, or continued claim is filed, the Secretary shall review the claim and any separation information received from employers, together with any other available information to determine if the claimant is eligible for benefits for the week or weeks being claimed.</text> </paragraph> <paragraph num="B."> <text>Material Fact. A material fact is a fact that is of consequence to a decision regarding eligibility or disqualification for benefits.</text> </paragraph> <paragraph num="C."> <text>Payment of Benefits When Claimant Found Eligible and Not Disqualified.</text> <paragraph num="(1)"> <text>Benefit payments shall be initiated as quickly as administratively feasible when:</text> <paragraph num="(a)"> <text>There is no dispute of material fact;</text> </paragraph> <paragraph num="(b)"> <text>The Secretary finds the claimant eligible and not disqualified; and</text> </paragraph> <paragraph num="(c)"> <text>The Department receives the claimant's complete and correct continued claim.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Unless a question of continued eligibility arises, payment of benefits shall continue on a biweekly basis following the receipt of the claimant's complete and correct biweekly claim forms.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Fact-Finding Interview When There Is No Dispute of Material Fact. When the Secretary's review of an initial, reopened, or continued claim reveals no dispute of material fact, but the information reviewed indicates that the claimant may be ineligible or disqualified, the Secretary shall schedule the claimant for an appointment for a fact-finding interview pursuant to Regulation .04C of this chapter.</text> </paragraph> <paragraph num="E."> <text>Fact-Finding Proceeding When There Is a Dispute of Material Fact. When the Secretary's review of an initial, reopened, or continued claim reveals a dispute of material fact concerning whether the claimant is eligible or disqualified, the Secretary shall:</text> <paragraph num="(1)"> <text>Send a written notice by first-class mail or electronic means to the claimant and any employer who may have knowledge of the disputed facts, stating:</text> <paragraph num="(a)"> <text>The date, time, place, and type of the proceeding,</text> </paragraph> <paragraph num="(b)"> <text>The issues to be resolved at the proceeding,</text> </paragraph> <paragraph num="(c)"> <text>That the proceeding may result in the denial of benefits or may affect the employer's earned-rate record or reimbursement account, and</text> </paragraph> <paragraph num="(d)"> <text>That any party shall have the right to be present by telephone or in person as required by the Secretary and may be represented by an attorney or other representative of the party's choosing;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Conduct a proceeding at which the parties may:</text> <paragraph num="(a)"> <text>Be present, by telephone or in person, as required by the Secretary,</text> </paragraph> <paragraph num="(b)"> <text>Be represented by an attorney or other representative of the party's choosing,</text> </paragraph> <paragraph num="(c)"> <text>Present and rebut evidence and argument relating to the issues,</text> </paragraph> <paragraph num="(d)"> <text>Cross-examine any person who participates in person or by telephone at the proceeding and testifies or provides information relating to the issues, and</text> </paragraph> <paragraph num="(e)"> <text>Be given the opportunity to examine all evidence relating to that issue that is before the Secretary; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Provide a reasonable opportunity to a party to rebut any relevant evidence that the Secretary receives after the proceeding and that may be a basis for a decision.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Decision.</text> <paragraph num="(1)"> <text>After conducting an interview or a proceeding as set forth in §D or E of this regulation, the Secretary shall send a written decision to all parties by first-class mail or electronic means that:</text> <paragraph num="(a)"> <text>Informs the parties of the right to appeal pursuant to COMAR 09.32.06;</text> </paragraph> <paragraph num="(b)"> <text>States the provisions of the Unemployment Insurance Law on which the decision is based;</text> </paragraph> <paragraph num="(c)"> <text>Explains the reasons for the determination in sufficient detail to inform the parties why benefits were awarded or denied; and</text> </paragraph> <paragraph num="(d)"> <text>Explains what the claimant must do to requalify for benefits or purge the disqualification, if the determination denies benefits.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Benefit payments shall be initiated as quickly as administratively feasible in accordance with a decision awarding benefits.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Expedited Payment for Benefits Due Claimant.</text> <paragraph num="(1)"> <text>The Secretary may expedite payment for benefits due a claimant if the:</text> <paragraph num="(a)"> <text>Secretary has found the claimant eligible and not disqualified; and</text> </paragraph> <paragraph num="(b)"> <text>Claimant submits to the office designated by the Secretary:</text> <paragraph num="(i)"> <text>A complete and correct claim form for benefits due the claimant, and</text> </paragraph> <paragraph num="(ii)"> <text>Satisfactory evidence that an immediate financial hardship exists.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Examples of an immediate financial hardship include:</text> <paragraph num="(a)"> <text>Imminent eviction; or</text> </paragraph> <paragraph num="(b)"> <text>Utility cut-off notice.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Requirement for Earning Wages before Second Benefit Year."> <paragraph num="A."> <text>If a claimant receives benefits during a benefit year, the claimant may not be entitled to receive benefits in a subsequent benefit year unless the claimant earned wages after the beginning of the first benefit year as a result of performing services in insured work, and the wages are equal to not less than 10 times the claimant's weekly benefit amount.</text> </paragraph> <paragraph num="B."> <text>Special pay, severance pay, vacation pay, holiday pay, or prior earnings paid to a claimant at or after separation from employment do not constitute wages as a result of performing services in insured work.</text> </paragraph> <paragraph num="C."> <text>Remuneration earned by a claimant for performing services in another state in insured work as defined by that state's unemployment insurance law shall be treated the same as remuneration earned for services performed in Maryland in covered employment.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Week of Disqualification."> <text>If a claimant is disqualified from receiving benefits or found ineligible for benefits under the Unemployment Insurance Law, the first week of disqualification shall be the calendar week in which the act on which the disqualification is based occurred, or the calendar week beginning with the Sunday immediately before the last day of work, whichever is later.</text> </regulation> <regulation prefix="Regulation" num=".19" heading="First Day of Work and Last Day of Work on Midnight Shift."> <text>When a claimant is reemployed and the hours of work on the first shift worked begin before midnight on one day and end after midnight, the claimant's first day of work shall be the day on which the shift ends. When, before a period of unemployment, a claimant last works a shift which begins before midnight on one day and ends after midnight, the claimant's last day of work shall be the day on which the last shift ended.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8-101, 8-305, 8-805, 8-809, 8-902, 8-903, and 8-1004—8-1009, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 1, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .03H amended effective December 15, 1978 (5:25 Md. R. 1853)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective December 10, 1975 (2:28 Md. R. 1666); December 15, 1978 (5:25 Md. R. 1853); January 31, 1983 (10:2 Md. R. 108) (Transferred from Department of Human Services to Department of Employment and Training, effective October 1, 1983; recodified from COMAR 07.04.02 to 24.02.02)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.13, Reporting and Registration by Claimant for Benefits, repealed and new Regulations .01—.19, Claims for Benefits, adopted effective October 29, 1990 (17:21 Md. R. 2531)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D amended effective June 24, 1991 (18:12 Md. R. 1340)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03E amended effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective June 24, 1991 (18:12 Md. R. 1340); June 8, 1992 (19:11 Md. R. 1017)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04-1 adopted effective October 24, 1994 (21:21 Md. R. 1815)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07D adopted effective December 21, 1992 (19:25 Md. R. 2208)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07-1 adopted effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07-2 adopted effective October 1, 1995 (22:12 Md. R. 903)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14D amended effective October 24, 1994 (21:21 Md. R. 1815)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15-1 adopted effective June 8, 1992 (19:11 Md. R. 1017)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15-1B amended effective January 2, 1994 (20:26 Md. R. 2029)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16G adopted effective October 9, 1995 (22:20 Md. R. 1546)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.02.02 to COMAR 09.32.02, May 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10C amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11A, B amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 amended effective May 4, 1998 (25:9 Md. R. 679)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective April 24, 2017 (44:8 Md. R. 403)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14D amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .15-1B amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .16 amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 amended effective December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective April 24, 2017 (44:8 Md. R. 403)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective April 24, 2017 (44:8 Md. R. 404)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective April 24, 2017 (44:8 Md. R. 404)</annotation> </annotations> </chapter> <chapter num="03" heading="Extended Unemployment Insurance Benefits"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <text>All terms used in this regulation which are defined in the Unemployment Insurance Law shall have the same meanings as provided in that law.</text> <paragraph num="A."> <text>“Eligibility period” of an individual means the period of the weeks in his benefit year which begin in an extended benefit period, and, if his benefit year ends within the extended benefit period, any weeks after that which begin in that period.</text> </paragraph> <paragraph num="B."> <text>“Entitlement”. An individual is entitled to extended compensation for a week of unemployment in his eligibility period if, with respect to this week, he is an exhaustee under this regulation and he meets the requirements of the Unemployment Insurance Law and these regulations.</text> </paragraph> <paragraph num="C."> <text>“Exhaustee”. An individual is an exhaustee with respect to a week of unemployment of his eligibility period if:</text> <paragraph num="(1)"> <text>Either of the following conditions is satisfied:</text> <paragraph num="(a)"> <text>He has received, before that week, all the regular compensation payable to him according to the monetary determination for his current benefit year that includes the week, or</text> </paragraph> <paragraph num="(b)"> <text>His benefit year having expired before that week, he has insufficient wages or employment, or both, on the basis of which he could establish in any state a new benefit year that would include that week, or having established a new benefit year that includes the week, he is precluded from receiving regular compensation by reason of an Unemployment Insurance Law provision of the state which meets the requirement of §3304(a)(7) of the Internal Revenue Code of 1954;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>He has no right to unemployment compensation or allowances, as the case may be, under the following federal law, the Railroad Unemployment Insurance Act; and</text> </paragraph> <paragraph num="(3)"> <text>He has not received and is not seeking for the week unemployment compensation under the law of the Virgin Islands or of Canada, but if he is seeking this compensation and the appropriate agency finally determines that he is not entitled to compensation under this law, he is an exhaustee.</text> </paragraph> </paragraph> <paragraph num="D."> <text>“Extended benefits” means benefits (including benefits payable to federal civilian employees and to ex-servicemen pursuant to 5 U.S.C. Chapter 85) payable to an individual under the provisions of Labor and Employment Article, Title 8, Subtitle 11, Annotated Code of Maryland, for weeks of unemployment in his eligibility period.</text> </paragraph> <paragraph num="E."> <text>“Extended benefit period” means a period which:</text> <paragraph num="(1)"> <text>Begins with the third week after whichever of the following weeks occurs first:</text> <paragraph num="(a)"> <text>A week for which there is a national “on” indicator, or</text> </paragraph> <paragraph num="(b)"> <text>A week for which there is a State “on” indicator; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Ends with either of the following weeks, whichever occurs later:</text> <paragraph num="(a)"> <text>The third week after the first week for which there is both a national “off” indicator and a State “off” indicator, or</text> </paragraph> <paragraph num="(b)"> <text>The thirteenth consecutive week of this period, provided an extended benefit period may not begin by reason of a State “on” indicator before the fourteenth week following the end of a prior extended benefit period which was in effect with regard to this State.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>National “On” and “Off” Indicators. There is a “national 'on' indicator” for a week if the United States Secretary of Labor determines that for a period consisting of that week and the 12 immediately preceding weeks, the rate of insured unemployment (seasonally adjusted) for all states, based on the average monthly covered employment for the first 4 of the 6 most recent calendar quarters ending before the close of the period, equaled or exceeded 4.5 percent. There is a “national `off' indicator” for a week if the United States Secretary of Labor determines that for a period consisting of that week and the 12 immediately preceding weeks, the rate of insured unemployment (seasonally adjusted) for all states, based on the average monthly covered employment for the first 4 of the 6 most recent calendar quarters ending before the close of the period was less than 4.5 percent.</text> </paragraph> <paragraph num="G."> <text>“Rate of insured unemployment” for purposes of §I of this regulation means the percentage derived by dividing:</text> <paragraph num="(1)"> <text>The average weekly number of individuals filing claims in this State for weeks of unemployment with respect to the most recent 13-consecutive-week period, as determined by the Secretary on the basis of his reports to the United States Secretary of Labor, by</text> </paragraph> <paragraph num="(2)"> <text>The average monthly employment covered under the Unemployment Insurance Law for the first four of the most recent six completed calendar quarters ending before the end of the 13-week period.</text> </paragraph> </paragraph> <paragraph num="H."> <text>“Regular benefits” means benefits payable to an individual under the Unemployment Insurance Law or under any other State law (including benefits payable to federal civilian employees and to ex-servicemen pursuant to 5 U.S.C. Chapter 85), other than extended benefits.</text> </paragraph> <paragraph num="I."> <text>State “On” and “Off” Indicators. State “on” and “off” indicators may occur in either of the following two circumstances:</text> <paragraph num="(1)"> <text>There is a State “on” indicator in this State for a week if the Secretary determines, in accordance with the regulations of the United States Secretary of Labor, that for the period consisting of that week and the immediately preceding 12 weeks, the rate of insured unemployment (not seasonally adjusted) under the law equaled or exceeded 120 percent of the average of the rates for the corresponding 13-week period ending in each of the preceding 2 calendar years, and equaled or exceeded 4 percent. After a State “on” occurs pursuant to this section, there is a State “off” indicator for this State for a week if the Secretary determines, in accordance with the regulations of the United States Secretary of Labor, that for the period consisting of that week and the immediately preceding 12 weeks, the rate of insured unemployment (not seasonally adjusted) under the law was less than 120 percent of the average of the rates for the corresponding 13-week period ending in each of the preceding 2 calendar years or was less than 4 percent.</text> </paragraph> <paragraph num="(2)"> <text>There is a State “on” indicator in this State for a week if the Secretary determines, in accordance with the regulations of the United States Secretary of Labor, that for the period consisting of that week and the immediately preceding 12 weeks, the rate of insured unemployment (not seasonally adjusted) under the law equaled or exceeded 5 percent. After a State “on” indicator occurs pursuant to this section, there is a State “off” indicator for a week if the Secretary determines, in accordance with the regulations of the United States Secretary of Labor, that for the period consisting of that week and the immediately preceding 12 weeks, the rate of insured unemployment (not seasonally adjusted) under the law was less than 5 percent.</text> </paragraph> </paragraph> <paragraph num="J."> <text>“Total Extended Benefit Amount”. The total extended benefit amount payable to any eligible individual with respect to his applicable benefit year may not be less than whichever of the following is the least:</text> <paragraph num="(1)"> <text>50 percent of the total amount of regular compensation, (including dependents' allowances) payable to him during the benefit year under the law;</text> </paragraph> <paragraph num="(2)"> <text>13 times his average weekly benefit amount; or</text> </paragraph> <paragraph num="(3)"> <text>39 times his average weekly benefit amount, reduced by the regular compensation paid (or deemed paid) to him during the benefit year under that law.</text> </paragraph> </paragraph> <paragraph num="K."> <text>“Weekly Extended Benefit Amount”. The weekly benefit amount of extended benefits payable to an individual for a week of total unemployment in his eligibility period is the amount of regular benefits (including dependents' allowances) payable to him for a week of total unemployment during his applicable benefit year.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Computation of Rate of Insured Unemployment."> <paragraph num="A."> <text>National “On” and “Off” Indicators. The national “on” and “off” indicators shall be determined by the United States Secretary of Labor and upon notification by that officer concerning the existence of these indicators the Secretary shall act in response to them as provided by law.</text> </paragraph> <paragraph num="B."> <text>State “On” and “Off” Indicators.</text> <paragraph num="(1)"> <text>The Secretary shall determine the “rate of insured unemployment” for the purposes of the State “on” and “off” indicators. In making this determination he shall use a fraction, the numerator of which will be the weekly average number of weeks claimed in the State for the 13-week period ending with the week for which the determination is made (not seasonally adjusted) and the denominator of which shall be the average monthly employment covered under the State law for the first four of the last six calendar quarters ending before the close of the 13-week period. The quotient obtained is to be computed to four decimal places and is not to be otherwise rounded.</text> </paragraph> <paragraph num="(2)"> <text>The rate for the most recent 13-week period is to be divided by the average of the rates for the corresponding 13-week periods in each of the 2 preceding years to determine whether the rate is equal to 120 percent of the average rate for the 2 years. The quotient obtained shall be computed to four decimal places and may not be otherwise rounded. The average of the rates for the corresponding 13-week periods in each of the 2 preceding years shall be one-half the sum of the rates for the period computed to four decimal places and not otherwise rounded.</text> </paragraph> <paragraph num="(3)"> <text>For the purpose of determining the corresponding 13-week period ending in each of the preceding calendar years, the first week in any calendar year shall be the first full calendar week in that year. The Secretary shall utilize the list of numbered weeks for each calendar year beginning with the first Sunday in January, 1968, provided by the Secretary of Labor.</text> </paragraph> </paragraph> <paragraph num="C."> <text>For Both National and State Indicators. In determining the “weekly average number of weeks claimed” for any period, the Secretary shall count weeks claimed in continued claims (including interstate claims filed in the State) for total, partial, or part-total unemployment for regular or extended compensation, and shall exclude claims filed under 5 U.S.C. Chapter 85 (UCFE/UCX) and interstate claims filed against Maryland as liable state.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Extended Benefit Period: Beginning and Ending."> <paragraph num="A."> <text>Beginning and Ending an Extended Benefit Period.</text> <paragraph num="(1)"> <text>An extended benefit period in Maryland shall begin on the first day of the third calendar week after whichever of the following occurs first:</text> <paragraph num="(a)"> <text>A week for which there is a national “on” indicator; or</text> </paragraph> <paragraph num="(b)"> <text>A week for which there is an “on” indicator in Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An extended benefit in Maryland shall end on the last day of the third week after the first week for which there is both a national and a State “off” indicator. An extended benefit period established in Maryland before January 1, 1972 may be ended before that date solely on the basis of a State “off” indicator in Maryland.</text> </paragraph> <paragraph num="(3)"> <text>Notwithstanding the provisions of §A(2) of this regulation, an extended benefit period which becomes effective in Maryland shall continue for not less than 13 consecutive weeks.</text> </paragraph> <paragraph num="(4)"> <text>An extended benefit period may not begin by reason of a State “on” indicator before the fourteenth week after the close of a prior extended benefit period with respect to Maryland.</text> </paragraph> <paragraph num="(5)"> <text>“Week” for the purpose of determining whether a State “on” or “off” indicator occurs means a calendar week beginning at 12:01 a.m. Sunday and ending 12:00 p.m. on the following Saturday.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Announcement of the Beginning and Ending of an Extended Benefit Period. Whenever the Secretary determines that there is an “on” indicator in this State by reason of which an extended benefit period will begin or an “off” indicator by reason of which an extended benefit period will end, he shall promptly announce his determination through appropriate news media in the State. This announcement shall include the beginning or ending date of the extended benefit period, whichever is appropriate. If an extended benefit period is about to begin, the announcement shall also describe clearly what unemployed individuals may be eligible for extended compensation during the extended benefit period.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Extended Benefits To Federal Employees."> <text>This State shall pay, as agent for the Secretary of Labor, and shall be reimbursed as provided in 5 U.S.C. §8505 an amount equal to the additional cost of extended compensation paid to federal civilian workers and ex-servicemen pursuant to 5 U.S.C. Chapter 85.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Combined Wage Credits and Interstate Benefits."> <text>Where regular compensation exhausted by an individual or sharable regular compensation was based on combined wage credits earned in more than one state, Maryland shall pay extended benefits when it was the liable state so long as it is reimbursable in proper proportions as liable state under appropriate federal laws and regulations.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Terms and Conditions of State Law and Regulations."> <paragraph num="A."> <text>Applicability of State Law and Regulations. Except when the result would be inconsistent with the other provisions of the Unemployment Insurance Law or these regulations, the provisions of the Unemployment Insurance Law and regulations promulgated pursuant to it which apply to claims for, or the payment of, regular benefits shall apply to claims for, and the payment of, extended benefits.</text> </paragraph> <paragraph num="B."> <text>Effect of Disqualification for Regular Compensation on Entitlement to Extended Compensation. If the week of unemployment for which an individual claims extended compensation is a week to which a disqualification for regular benefits applies, the individual may not be entitled to extended compensation for that week.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Charging and Reimbursement."> <paragraph num="A."> <text>Charging Extended Compensation. The Secretary shall charge to the experience rating account or accounts of the respective base period employer or employers the appropriate share of any extended benefits paid a claimant in the same manner as regular benefits are charged under COMAR 09.32.01.05.</text> </paragraph> <paragraph num="B."> <text>Employer's Reimbursement of Extended Compensation. An employer who elects to come under the Unemployment Insurance Law as a reimburseable employer shall reimburse the Unemployment Insurance Fund for the appropriate share of any extended benefits chargeable to him as a base period employer in the same manner as he reimburses the Fund for regular benefits under COMAR 09.32.01.05.</text> </paragraph> <paragraph num="C."> <text>With respect to governmental entities (including the State, its political subdivisions, and instrumentalities of the State, of one or more subdivisions, of one or more states, and of one or more states and subdivisions), the appropriate share of any extended benefits shall be one-half of any extended benefits paid to these individuals for compensable weeks beginning on or before December 31, 1978, and all extended benefits paid to these individuals for compensable weeks beginning after December 31, 1978. With respect to all other employers, the appropriate share of any extended benefits shall be one-half of any extended benefits paid to these individuals.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Recovery Including Restitution and Offset."> <text>The provisions of Maryland law that apply to recovery of overpayments (including restitution and offset) shall apply to overpayments of extended compensation. If there is recovery of extended compensation, that proportion of the amount restored or offset which represents the federal share of the original payment shall be restored to the appropriate federal accounts.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Duplication."> <text>An individual who is entitled to both extended compensation under the Unemployment Insurance Law and training allowances under §203 of the Manpower Development and Training Act with respect to a week shall be treated as he would have been treated had he been entitled to both regular compensation and the training allowance.</text> </regulation> <regulation prefix="Regulation" num=".10" heading="Partial Claims."> <text>Provisions requiring the reduction of regular benefits by specified deductible income are also applicable to benefits paid under the Extended Benefits Program.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §8-305, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 1, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .01C, F, I amended effective December 1, 1978 (5:24 Md. R. 1796)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01F, I amended effective December 10, 1975 (2:28 Md. R. 1666)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective March 30, 1977 (4:7 Md. R. 577); December 1, 1978 (5:24 Md. R. 1796)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C amended effective July 25, 1980 (7:15 Md. R. 1423); March 6, 1981 (8:5 Md. R. 472)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective December 1, 1978 (5:24 Md. R. 1796)</annotation> <annotation type="History" subtype="Administrative History">(Transferred from Department of Human Services to Department of Employment and Training, effective October 1, 1983; recodified from</annotation> <annotation type="History" subtype="Administrative History">COMAR 07.04.03 to 24.02.03)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A and B amended effective June 8, 1992 (19:11 Md. R. 1017)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.02.03 to COMAR 09.32.03, May 1996</annotation> </annotations> </chapter> <chapter num="04" heading="Interstate Reciprocal Coverage Arrangements for Employer Elections to Cover Multi-State Workers"> <regulation prefix="Regulation" num=".01" heading="Relation to Subscribing States."> <text>This chapter shall regulate the Maryland Department of Labor in its cooperation with other states subscribing to the Interstate Reciprocal Coverage Arrangement hereinafter referred to as “the arrangements”.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, unless the context clearly indicates otherwise, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Agency” means any officer, board, commission, or other authority charged with the administration of the unemployment insurance law of a participating jurisdiction.</text> </paragraph> <paragraph num="(2)"> <text>“Interested jurisdiction” means any participating jurisdiction to which an election submitted under this regulation is sent for its approval. “Interested agency” means the agency of that jurisdiction.</text> </paragraph> <paragraph num="(3)"> <text>“Jurisdiction” means any state of the United States, the District of Columbia, Puerto Rico, Virgin Islands, Guam, and Samoa, or, with respect to the Federal Government, the coverage of any Federal Unemployment Law.</text> </paragraph> <paragraph num="(4)"> <text>“Participating jurisdiction” means a jurisdiction whose administrative agency has subscribed to the arrangement and whose adherence to it has not ended.</text> </paragraph> <paragraph num="(5)"> <text>“Services customarily performed by an individual in more than one jurisdiction” means service performed in more than one jurisdiction during a reasonable period, if the nature of the services gives reasonable assurance that they will continue to be performed in more than one jurisdiction or if these services are required or expected to be performed in more than one jurisdiction under the elections.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Submission and Approval of Coverage under the Interstate Reciprocal Coverage Arrangement."> <paragraph num="A."> <text>Any employing unit may file an election, on Form RC-1, to cover under the law of a single participating jurisdiction all the services performed for him by an individual who customarily works for him in more than one participating jurisdiction. An election as just described may be filed, with respect to an individual with any participating jurisdiction in which:</text> <paragraph num="(1)"> <text>Any part of the individual's services are performed;</text> </paragraph> <paragraph num="(2)"> <text>The individual has his residence; or</text> </paragraph> <paragraph num="(3)"> <text>The employing unit maintains a place of business to which the individual's services bears a reasonable relation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Approval of the Election.</text> <paragraph num="(1)"> <text>The agency of the elected jurisdiction (thus selected and determined) shall approve or disapprove the election.</text> </paragraph> <paragraph num="(2)"> <text>If the agency approves the election, it shall forward a copy of it to the agency of each other participating jurisdiction specified on the copy, under whose unemployment compensation law the individual or individuals in question might, in the absence of this election, be covered. Each interested agency shall approve or disapprove the election, as promptly as practicable, and shall notify the agency of the elected jurisdiction accordingly. If its law requires, any interested agency, before taking this action, may require from the electing employing unit satisfactory evidence that the affected employees have been notified of, and have acquiesced in, the election.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If the agency of the elected jurisdiction, or the agency of any interested jurisdiction, disapproves the election, the disapproving agency shall notify the elected jurisdiction and the electing employing unit of its action and of its reason for this action.</text> </paragraph> <paragraph num="D."> <text>Such an election shall take effect as to the elected jurisdiction only if approved by its agency and by one or more interested agencies. An election thus approved shall take effect, as to any interested agency, only if it is approved by the agency.</text> </paragraph> <paragraph num="E."> <text>In case any election is approved only in part, or is disapproved by some of the agencies, the electing employing unit may withdraw its election within 10 days after being notified of this action.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Effective Period of Elections."> <paragraph num="A."> <text>Commencement.</text> <paragraph num="(1)"> <text>An election duly approved under these regulations shall become effective at the beginning of the calendar quarter in which the election was submitted, unless the election as approved, specifies the beginning of a different calendar quarter.</text> </paragraph> <paragraph num="(2)"> <text>If the electing unit requests an earlier effective date than that beginning of the calendar quarter in which the election was submitted, the earlier date may be approved solely as to those interested jurisdictions in which the employer had no liability to pay contributions for the earlier period in question.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Termination.</text> <paragraph num="(1)"> <text>The application of an election to any individual under this regulation shall terminate, if the agency of the elected jurisdiction finds that the nature of the services customarily performed by the individual for the electing unit has changed, so that they are no longer customarily performed in more than one participating jurisdiction. This termination shall be effective as of the close of the calendar quarter in which notice of the finding is mailed to all parties affected.</text> </paragraph> <paragraph num="(2)"> <text>Except as provided in §B(1) of this regulation, each election approved here shall remain in effect through the close of the calendar year in which it is submitted, and afterwards until the close of the calendar quarter in which the electing unit gives written notice of its termination to all affected agencies.</text> </paragraph> <paragraph num="(3)"> <text>Whenever an election under this regulation ceases to apply to any individual, under §B(1) or (2) of this regulation, the electing unit shall notify the affected individual accordingly.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Reports and Notices by the Electing Unit."> <paragraph num="A."> <text>The electing unit shall promptly notify each individual affected by its approved election, on the Form RC-2 supplied by the elected jurisdiction, and shall furnish the elected agency a copy of this notice.</text> </paragraph> <paragraph num="B."> <text>Whenever an individual covered by an election under this regulation is separated from his employment, the electing unit shall again notify him, immediately, as to the jurisdiction under whose unemployment compensation law his services have been covered. If at the time of termination, the individual is not located in the elected jurisdiction, the electing unit shall notify him as to the procedure for filing interstate benefit claims.</text> </paragraph> <paragraph num="C."> <text>The electing unit shall immediately report to the elected jurisdiction any change which occurs in the conditions of employment pertinent to its election, such as cases where an individual's services for the employer cease to be customarily performed in more than one participating jurisdiction or where a change in the work assigned to an individual requires him to perform services in a new participating jurisdiction.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Approval of Reciprocal Coverage Elections."> <text>The Secretary or his designated representative shall approve or disapprove reciprocal coverage elections in accordance with these regulations.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §8-305, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 1, 1973</annotation> <annotation type="History" subtype="Administrative History">(Transferred from Department of Human Services to Department of Employment and Training, effective October 1, 1983; recodified from COMAR 07.04.04 to 24.02.04)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.02.04 to COMAR 09.32.04, May 1996</annotation> </annotations> </chapter> <chapter num="05" heading="Payment of Benefits to Interstate Claimants"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter shall regulate the Maryland Department of Labor in its administrative cooperation with other states adopting similar regulations for the payment of benefits to interstate claimants.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, unless the context clearly requires otherwise, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Agent state” means any state in which an individual files a claim for benefits from another state.</text> </paragraph> <paragraph num="(2)"> <text>“Basic Plan for Combining Wages” means an interstate agreement which establishes a system whereby unemployed workers who lack qualifying wages sufficient for benefits in any one state, may through combining wages from more than one state, become eligible for benefits.</text> </paragraph> <paragraph num="(3)"> <text>“Benefits” means the compensation payable to an individual, with respect to his unemployment, under the unemployment insurance law of any state.</text> </paragraph> <paragraph num="(4)"> <text>“Extended Plan for Combining Wages” means an interstate agreement which establishes a system whereby unemployed workers having sufficient base-period wages to qualify for less than maximum benefits in one or more states and insufficient base-period wages to qualify for benefits in one or more states, may increase the benefits to which they are entitled by combining wages in one of the states in which they have sufficient base-period wages with base-period wages in all states in which they have insufficient wages.</text> </paragraph> <paragraph num="(5)"> <text>“Interstate Benefit Payment Plan” means the plan approved by the Interstate Conference of Employment Security Agencies under which benefits shall be payable to unemployed individuals absent from the state (or states) in which benefit credits have been accumulated.</text> </paragraph> <paragraph num="(6)"> <text>“Interstate claimant” means an individual who claims benefits under the unemployment insurance law of one or more liable states through the facilities of an agent state. The term “interstate claimant” does not include any individual who customarily commutes from a residence in an agent state to work in a liable state unless the Maryland Department of Labor finds that this exclusion would create undue hardship on the claimants in specified areas.</text> </paragraph> <paragraph num="(7)"> <text>“Liable state” means any state against which an individual files, through another state, a claim for benefits.</text> </paragraph> <paragraph num="(8)"> <text>“State” includes District of Columbia, Puerto Rico, Virgin Islands, Guam, Samoa, and the Philippine Islands.</text> </paragraph> <paragraph num="(9)"> <text>“Week of unemployment” includes any week of unemployment as defined in the law of the liable state from which benefits with respect to these weeks are claimed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Registration for Work."> <paragraph num="A."> <text>Each interstate claimant shall be registered for work, through any public employment office in the agent state when and as required by the law, regulations, and procedures of the agent state. This registration shall be accepted as meeting the registration requirement of the liable state.</text> </paragraph> <paragraph num="B."> <text>Each agent state shall duly report to the liable state in question, whether each interstate claimant meets the registration requirements of the agent state.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Benefit Rights of Interstate Claimants."> <paragraph num="A."> <text>If a claimant files a claim against any state, and it is determined by that state that the claimant has available benefit credits in that state, then claims shall be filed only against the state as long as benefit credits are available in the state. After that, the claimant may file claims against any other state in which there are available benefit credits. For the purpose of this regulation, benefit credits shall be deemed to be unavailable whenever benefits have been exhausted, terminated, or postponed for an indefinite period or for the entire period in which benefits would otherwise be payable, or whenever benefits are affected by the application of a seasonal restriction.</text> </paragraph> <paragraph num="B."> <text>The benefit rights of interstate claimants established by these regulations shall apply only with respect to new claims (notices of unemployment) filed on or after July 5, 1953.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Claims for Benefits."> <paragraph num="A."> <text>Claims for benefits or waiting period shall be filed by interstate claimants on uniform interstate claim forms and in accordance with uniform procedures developed pursuant to the Interstate Benefit Payment Plan. Claims shall be filed in accordance with the type of week in use by the agent state. Any adjustments required to fit the type of week used by the liable state shall be made by the liable state on the basis of consecutive claims filed.</text> </paragraph> <paragraph num="B."> <text>Claims shall be filed in accordance with agent state regulations for interstate claims in local employment offices, or at an itinerant point, or by mail.</text> </paragraph> <paragraph num="C."> <text>With respect to claims for weeks of unemployment in which an individual was not working for his regular employer, the liable state, under circumstance which it considers good cause, shall accept a continued claim filed up to 1 week, or one reporting period, late. If a claimant files more than one reporting period late, an initial claim shall be used to begin a claim series and a continued claim for a past period may not be accepted.</text> </paragraph> <paragraph num="D."> <text>With respect to weeks of unemployment during which an individual is attached to his regular employer, the liable state shall accept any claim which is filed within the time limit applicable to the claims under the law of the agent state.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Determination of Claims."> <paragraph num="A."> <text>The agent state shall, in connection with each claim filed by an interstate claimant, ascertain and report to the liable state in question the facts relating to the claimant's availability for work and eligibility for benefits as are readily determinable in and by the agent state.</text> </paragraph> <paragraph num="B."> <text>The agent state's responsibility and authority in connection with the determination of interstate claims shall be limited to investigation and reporting of relevant facts. The agent state may not refuse to take an interstate claim.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Appellate Procedure."> <paragraph num="A."> <text>The agent state shall afford all reasonable cooperation in the taking of evidence and the holding of hearings in connection with appealed interstate claims.</text> </paragraph> <paragraph num="B."> <text>With respect to the time limits imposed by the law of a liable state upon the filing of an appeal in connection with a disputed benefit claim, an appeal made by an interstate claimant shall be deemed to have been made and communicated to the liable state on the date when it is received by any qualified officer of the agent state.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Extension of Interstate Benefit Payments To Include Claims Taken in and for Canada, Puerto Rico, and the Virgin Islands."> <text>These regulations shall apply in all its provisions to claims taken in and for Canada, Puerto Rico, and the Virgin Islands.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Combining Wage Credits."> <paragraph num="A."> <text>Claimants desiring to do so will be permitted to elect to combine wages under the terms of any plan for combining wage credits, of which Maryland is a cooperating member.</text> </paragraph> <paragraph num="B."> <text>All claims filed under the basic plan for combining wages shall be filed in accordance with the laws of the paying state under the terms of any Interstate Arrangement for the Combining of Wages to which Maryland is a party.</text> </paragraph> <paragraph num="C."> <text>All claims for benefits filed under the Extended Plan for Combining Wages shall be filed as follows:</text> <paragraph num="(1)"> <text>If claims are filed in other than the paying state, the Interstate Benefit Payment Procedure shall be followed.</text> </paragraph> <paragraph num="(2)"> <text>If claims are filed in the paying state, they shall be filed in the same manner as by any other claimant who is claiming benefits under the unemployment insurance law of that paying state.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §8-305, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 1, 1973</annotation> <annotation type="History" subtype="Administrative History">(Transferred from Department of Human Services to Department of Employment and Training, effective October 1, 1983; recodified from COMAR 07.04.05 to 24.02.05)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.02.05 to COMAR 09.32.05, May 1996</annotation> </annotations> </chapter> <chapter num="06" heading="Board of Appeals — Appeals Procedure"> <regulation prefix="Regulation" num=".01" heading="Appeals and Petitions for Review from Lower Appeals to the Board of Appeals."> <paragraph num="A."> <text>Manner of Filing.</text> <paragraph num="(1)"> <text>An appeal from a hearing examiner’s decision, or a petition for review to request a discretionary appeal of a hearing examiner’s decision under Labor and Employment Article, §8-5A-10(b)(2), Annotated Code of Maryland, shall be in writing and signed by the appealing party or the appealing party’s attorney or authorized representative.</text> </paragraph> <paragraph num="(2)"> <text>An appeal or a petition for review may be filed only by mail, facsimile, hand delivery to the administrative office of the Board of Appeals as listed on the hearing examiner decision, or other method of transmission established by the Board of Appeals. The appeal may not be filed by electronic mail.</text> </paragraph> <paragraph num="(3)"> <text>When filed by an attorney or authorized representative, an appeal from or petition for review of a hearing examiner’s decision shall be accompanied by a certification that a copy of the appeal or petition for review and all accompanying papers were mailed, or otherwise delivered in accordance with the format and procedures established by the Board of Appeals, to all other parties in the case. Failure to include the certification does not affect a determination as to the timeliness of the appeal. Failure to include the certification may result in a dismissal of the appeal or petition for review.</text> </paragraph> <paragraph num="(4)"> <text>In the event of an appeal or a petition for review from a hearing examiner’s decision involving more than one claimant on the same issue, the appeal or petition for review may be filed by the individual claimants or by an attorney or authorized representative on the claimants’ behalf. The attorney or authorized representative shall submit, together with the appeal or petition for review, a list containing the names, addresses, appeal numbers, and the last four digits of the Social Security numbers of the claimants who are parties to the appeal or petition for review.</text> </paragraph> <paragraph num="(5)"> <text>In the event of an appeal or petition for review from a hearing examiner’s decision involving a review determination issued under the Labor and Employment Article, Title 8, Subtitle 6, Annotated Code of Maryland, the employer, or the employer’s attorney or authorized representative, shall include the name of the employer, the employer’s address, employer account number, if any, the review determination number and a copy of the hearing examiner’s decision.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Time for Filing.</text> <paragraph num="(1)"> <text>Under Labor and Employment Article, §8-5A-10(a)(1), Annotated Code of Maryland, an appeal or petition for review from a hearing examiner’s decision involving a determination or redetermination of a claim shall be filed by a party within 15 calendar days after Lower Appeals sends a decision to the last known address of the party.</text> </paragraph> <paragraph num="(2)"> <text>Under Labor and Employment Article, §8-5A-10(a)(2), Annotated Code of Maryland, an appeal from a hearing examiner’s decision involving a review determination shall be filed by an employer within 30 calendar days after Lower Appeals sends the hearing examiner’s decision to the employer at the employer’s last known address.</text> </paragraph> <paragraph num="(3)"> <text>The period for filing an appeal or a petition for review may not be extended by the Board of Appeals.</text> </paragraph> <paragraph num="(4)"> <text>An appeal or petition for review is considered filed on the earliest of the following dates:</text> <paragraph num="(a)"> <text>The date an appeal or petition for review is delivered in person to the administrative office of the Board of Appeals;</text> </paragraph> <paragraph num="(b)"> <text>The U.S. Postal Service postmarked date on which an appeal or petition for review, properly addressed and stamped, is mailed to the administrative office of the Board of Appeals;</text> </paragraph> <paragraph num="(c)"> <text>The date on the appeal or petition for review itself when the envelope has an illegible postmark;</text> </paragraph> <paragraph num="(d)"> <text>The date an appeal or petition for review is received by facsimile transmission at the administrative office of the Board of Appeals; or</text> </paragraph> <paragraph num="(e)"> <text>The date an appeal is otherwise filed in accordance with the format and procedures established by the Board of Appeals.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Denial of Petition for Review. The Board of Appeals may deny a petition for review filed pursuant to Labor and Employment Article, §8-5A-10(b)(2), Annotated Code of Maryland, if it agrees with the hearing examiner’s decision.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Hearings."> <paragraph num="A."> <text>Scheduling Authority. The scheduling authority in the case of an appeal or a petition for review pending before the Board of Appeals is the Board of Appeals or its designee.</text> </paragraph> <paragraph num="B."> <text>Notice of Hearing.</text> <paragraph num="(1)"> <text>The Board of Appeals shall give interested parties at least 15 business days notice in writing of the time and place of any hearing before the Board of Appeals.</text> </paragraph> <paragraph num="(2)"> <text>Notice is sufficient when mailed to the party, postage prepaid, or otherwise delivered to the party in accordance with the format and procedures established by the Board of Appeals, at the last known address of the party.</text> </paragraph> <paragraph num="(3)"> <text>In the case of appeals or petitions for review filed under Regulation .01A(3) of this chapter, notice mailed or otherwise delivered to the attorney or authorized representative, plus notice mailed or otherwise delivered to each individual appellant who filed an individual appeal or a petition for review or to those persons who requested an individual notice, shall be sufficient notice to all parties represented by the attorney or authorized representative. This subsection shall also apply to notices of hearings in labor disputes in which the Board of Appeals has jurisdiction to issue original determinations.</text> </paragraph> <paragraph num="(4)"> <text>For notice purposes, the representation of a party by an attorney or authorized representative is effective on the date an appearance is entered in the case, or the date the appearance is noted in the appeal file, whichever is earlier.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Public Hearing. Hearings before the Board of Appeals shall be public. The record made in any appeal hearing is a public record. Media coverage of any hearing is permissible unless the Board of Appeals determines that it interferes with the hearing process.</text> </paragraph> <paragraph num="D."> <text>Record. The record made by or at the direction of the Board of Appeals is the only official transcript of the oral hearing. Additional recordings or transcriptions may be made by the parties at the hearings, or by third parties, only at the discretion of the Board of Appeals or its designee.</text> </paragraph> <paragraph num="E."> <text>Issues.</text> <paragraph num="(1)"> <text>The Board of Appeals shall inquire fully into the facts of the particular case. The Board of Appeals shall consider all issues expressly appealed by the party in the case and all issues expressly ruled upon in the decision of the hearing examiner. The appeal of a ruling under Labor and Employment Article, §8-1001, 8-1002, 8-1002.1, or 8-1003, Annotated Code of Maryland, shall be considered an appeal raising all four disqualification issues.</text> </paragraph> <paragraph num="(2)"> <text>Notwithstanding §E(1) of this regulation, the Board of Appeals may hear and determine any issue in the case, even if not expressly ruled upon by the hearing examiner or indicated in the notice of hearing, if the speedy administration of justice, without prejudice to any party, will be substantially served by doing so.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Representation.</text> <paragraph num="(1)"> <text>An interested party may appear without representation in any proceeding before the Board of Appeals.</text> </paragraph> <paragraph num="(2)"> <text>A party may be represented by an attorney admitted to practice by the Maryland Court of Appeals. Attorneys admitted to practice before the courts of any other state or territory of the United States may represent a party subject to the rules of the Maryland Court of Appeals.</text> </paragraph> <paragraph num="(3)"> <text>A claimant may also be represented by an authorized representative other than an attorney, but the representative may not charge or accept payment for the representation.</text> </paragraph> <paragraph num="(4)"> <text>An employer may appear for itself, or be represented by any other authorized representative.</text> </paragraph> <paragraph num="(5)"> <text>The Board of Appeals may prohibit an individual from representing others in a hearing if the Board of Appeals finds, after a special hearing convened for that purpose, that the individual has committed unethical conduct in relation to unemployment insurance claims and appeals.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Appointment of Interpreter.</text> <paragraph num="(1)"> <text>If a party or witness is hearing-impaired or mute, and because of this impediment cannot readily understand or communicate the spoken language, or if the party or witness is unable to communicate in the English language, the party or witness may apply to the Board of Appeals for the appointment of a qualified interpreter to assist that person. The scheduling authority may appoint an interpreter on its own motion.</text> </paragraph> <paragraph num="(2)"> <text>Upon application of the party or witness, the Board of Appeals shall appoint a qualified interpreter to assist that person.</text> </paragraph> <paragraph num="(3)"> <text>In selecting a qualified interpreter for appointment, the Board of Appeals may consult any directory of interpreters which is maintained by any court in this State.</text> </paragraph> <paragraph num="(4)"> <text>An interpreter appointed pursuant to this section shall be allowed reasonable compensation subject to approval of the Board of Appeals.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Procedure at Hearing.</text> <paragraph num="(1)"> <text>Unless the Board of Appeals has denied a petition for review, appeals to the Board of Appeals shall be considered upon the evidence in the record based on the hearing before the hearing examiner, but the Board of Appeals may direct the taking of testimony in addition to that contained in the record, in its discretion, or, after notice to the parties, hear the case de novo and disregard testimony taken previously, or take testimony in addition to that contained in the record made before the Lower Appeals Division.</text> </paragraph> <paragraph num="(2)"> <text>The Board of Appeals shall have the power to call, examine, and cross-examine witnesses and to introduce into the record documentary or other evidence. As authorized by the Board of Appeals, the parties to the hearing may be given an opportunity to cross-examine witnesses, call witnesses on their own behalf, to inspect documents, and to offer evidence in explanation or rebuttal.</text> </paragraph> <paragraph num="(3)"> <text>The Board of Appeals may also order the taking of testimony in a hearing before a special examiner, unless a party objects in writing.</text> </paragraph> <paragraph num="(4)"> <text>Upon request of any party at a hearing, the Board of Appeals or its designee shall grant the interested parties a reasonable time for oral argument.</text> </paragraph> <paragraph num="(5)"> <text>The Chairman shall preside at the hearings before the Board of Appeals and shall make all evidentiary and procedural rulings at the hearings. If the Chairman is not present at a hearing, each associate member shall, on alternate hearing days, exercise the powers of the Chairman at the hearing.</text> </paragraph> <paragraph num="(6)"> <text>Two members of the Board of Appeals shall constitute a quorum for the purpose of any hearing under this regulation.</text> </paragraph> <paragraph num="(7)"> <text>If the decision of the three members of the Board of Appeals is not unanimous, the decision of the majority of the members shall control. The minority member may file a dissenting opinion, together with the reasons for that dissent. Each member of the Board of Appeals who participates in a Board of Appeals hearing shall sign the decision on the case and shall indicate his or her concurring opinion, and shall state the reasons for that concurrence.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Evidence.</text> <paragraph num="(1)"> <text>Rules of Evidence. The hearings shall be conducted informally in a manner to ascertain the substantial rights of the parties, and the Board of Appeals may not be bound by common law or statutory rules as to the admissibility of evidence or by technical rules of procedures. Witnesses shall testify under oath or affirmation.</text> </paragraph> <paragraph num="(2)"> <text>Electronically Stored Records. A party who seeks to enter into evidence video recordings, audio recordings, or other electronically stored records shall produce at the hearing the equipment necessary to allow review of the contents of the records. The party offering the records shall have the continuing obligation to produce the equipment necessary to review the records if further administrative proceedings occur. If the party offering the records fails to produce the equipment necessary to review the records, the Board of Appeals may exclude the records from consideration.</text> </paragraph> <paragraph num="(3)"> <text>Agency Records.</text> <paragraph num="(a)"> <text>The records of the Maryland Department of Labor are public records and shall be competent evidence of the facts disclosed in the records. A witness is not required to introduce a public record into evidence. The burden shall be on the party objecting to any Department records being entered into evidence at the hearing to show by a preponderance of the credible evidence the legal reasons why the records should not be entered into evidence.</text> </paragraph> <paragraph num="(b)"> <text>Requests of any party to an appeal or petition for review for information from the records of the Maryland Department of Labor or the Board of Appeals shall be forwarded to the Secretary so that relevant and pertinent information may be furnished by the Secretary. Upon request, any party shall be furnished with any information contained in the appeals records that may be pertinent or material to the case. Requests for this information shall be made at least 5 business days before the hearing and state, with particularity, the nature of the information desired. Requests for information made after the fifth business day prior to the hearing, will be granted only at the discretion of the scheduling authority.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Evidence of Medical Condition. In any case when the medical condition of a party is at issue, the Board of Appeals, for good cause shown, may grant a party up to 10 days after the hearing to submit written medical documentation.</text> </paragraph> <paragraph num="(5)"> <text>Additional Records. The Board of Appeals, for good cause shown, may grant a party up to 10 calendar days after a hearing to submit additional records.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Subpoenas.</text> <paragraph num="(1)"> <text>The Board of Appeals may issue subpoenas, to be served by certified mail or by any individual who is not a party and who is 18 years old or older, to compel the attendance of witnesses and the production of books, papers, correspondence, and other records deemed necessary as evidence in writing.</text> </paragraph> <paragraph num="(2)"> <text>The scheduling authority may deny requests for subpoenas that it determines are frivolous or unreasonably burdensome to the other party, but requests may not be denied without substantial cause.</text> </paragraph> <paragraph num="(3)"> <text>Requests for subpoenas shall:</text> <paragraph num="(a)"> <text>Be in writing;</text> </paragraph> <paragraph num="(b)"> <text>State the name and address of the person to be subpoenaed;</text> </paragraph> <paragraph num="(c)"> <text>State the reason for the request;</text> </paragraph> <paragraph num="(d)"> <text>State with specificity the documents to be subpoenaed; and</text> </paragraph> <paragraph num="(e)"> <text>Be delivered to the scheduling authority at least 10 business days before the hearing date.</text> </paragraph> </paragraph> </paragraph> <paragraph num="K."> <text>Continuance of Hearing. The Board of Appeals, in its sole discretion, may continue any hearing. Whenever it appears that an investigation as to any matter material to the issues involved in the proceedings is necessary to aid in the determination of the case, the Board of Appeals may order an investigation to be made and may continue the hearing pending the investigation.</text> </paragraph> <paragraph num="L."> <text>Withdrawal of Appeals. At any time before the conclusion of a hearing before the Board of Appeals or before a decision is issued by the Board of Appeals, a party appealing from a hearing examiner’s decision may request that its appeal be withdrawn, and the Board of Appeals may permit the withdrawal. An approved withdrawal is a final decision and is not subject to a request to reopen. Approved withdrawn appeals shall not be subject to further review by the Board of Appeals.</text> </paragraph> <paragraph num="M."> <text>Dismissal of Appeal for Failure to Appear. If an appealing party fails to appear at a hearing after having been given the required notice of the hearing, the Board of Appeals may issue a decision on the facts available or may dismiss the appeal. A party’s failure to be present at the location designated for the hearing within 10 minutes of the time scheduled is a failure to appear within the meaning of this section.</text> </paragraph> <paragraph num="N."> <text>Reopening of Dismissed Case.</text> <paragraph num="(1)"> <text>A request for reopening of a dismissed case shall be in writing. If an attorney or authorized representative files a request on behalf of a party, the request shall include a notation that a copy of the reopening request was simultaneously mailed or delivered to the opposing parties. A failure to include this notation, however, does not affect the timeliness of the request.</text> </paragraph> <paragraph num="(2)"> <text>A request for the reopening of a case may be granted for the following reasons:</text> <paragraph num="(a)"> <text>The party received the hearing notice on or after the date of the hearing as a result of:</text> <paragraph num="(i)"> <text>An untimely or incorrect mailing or delivery of a hearing notice; or</text> </paragraph> <paragraph num="(ii)"> <text>A delay in the delivery of a hearing notice by the United States Postal Service;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>An emergency or other unforeseen and unavoidable circumstance that prevented a party from both attending the hearing and requesting a postponement of the hearing; or</text> </paragraph> <paragraph num="(c)"> <text>A party requested a postponement for the reasons listed in §N(2)(a) or (b) of this regulation, but the request was improperly denied.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Misreading of a properly prepared hearing notice as to the date, time, and place of the hearing is not good cause for reopening a dismissed case.</text> </paragraph> <paragraph num="(4)"> <text>A dismissal issued by the Board of Appeals after a scheduled hearing may be reopened only by a majority vote of the Board of Appeals taken within 10 calendar days of the date of the dismissal.</text> </paragraph> <paragraph num="(5)"> <text>The decision of the Chief Hearing Examiner of the Lower Appeals Division that there is not good cause to reopen a dismissed case is appealable to the Board of Appeals.</text> </paragraph> <paragraph num="(6)"> <text>The decision of the Chief Hearing Examiner of the Lower Appeals Division that there is good cause to reopen a dismissed case is appealable to the Board of Appeals only at the time that a decision on the merits of the underlying case is rendered.</text> </paragraph> </paragraph> <paragraph num="O."> <text>Failure to Appear Before Hearing Examiner.</text> <paragraph num="(1)"> <text>In the event that a party failed to appear for a hearing that resulted in a decision by a hearing examiner, the non-appearing party may request an opportunity to establish good cause for failing to appear for a hearing.</text> </paragraph> <paragraph num="(2)"> <text>A request for a hearing to determine if there is good cause for failing to appear shall be in writing, and shall be sent to the opposing party or parties. The Board of Appeals may order that a second hearing be held before a hearing examiner if the party establishes a reason listed in COMAR 09.32.11.02 for reopening a case or a procedural or due process violation.</text> </paragraph> </paragraph> <paragraph num="P."> <text>Attorney’s Fees.</text> <paragraph num="(1)"> <text>An attorney representing a claimant in a proceeding before the Board of Appeals may not charge a fee in excess of 200 percent of the claimant’s weekly benefit amount per case without the approval of the Board of Appeals.</text> </paragraph> <paragraph num="(2)"> <text>Requests for approval of fees greater than 200 percent of the claimant’s weekly benefit amount shall be accompanied by an itemized account of services rendered in the case. A request for the excess fee shall be submitted within 30 calendar days of the date of the issuance of the decision. The Board of Appeals shall have authority to approve a fee higher than the maximum allowed under §P(1) of this regulation based upon the complexity of the case and the reasonableness of the fees.</text> </paragraph> <paragraph num="(3)"> <text>The fee amounts set out in this subsection may be awarded in addition to any fees awarded by the Chief Hearing Examiner of the Lower Appeals Division.</text> </paragraph> </paragraph> <paragraph num="Q."> <text>Conflict of Interest. A member of the Board of Appeals may not participate in a hearing or appeal in which the member has an interest. A challenge as to the interest of a particular Board member shall be decided by the other members of the Board of Appeals.</text> </paragraph> <paragraph num="R."> <text>Postponement of Hearings.</text> <paragraph num="(1)"> <text>A request for the postponement of a case shall be in writing, addressed to the scheduling authority, and accompanied by a notation that a copy of the request was simultaneously mailed, or otherwise delivered in accordance with procedures established by the Board of Appeals, to the opposing party in the case.</text> </paragraph> <paragraph num="(2)"> <text>Unless the requirements of §R(5) of this regulation are met, a request for postponement shall be considered only if received by the scheduling authority at least 3 business days before the hearing date.</text> </paragraph> <paragraph num="(3)"> <text>The scheduling authority may postpone a hearing for good cause shown. The repeated inability of a party’s attorney or authorized representative to appear on account of a conflicting court date is not good cause.</text> </paragraph> <paragraph num="(4)"> <text>Documentary proof of the reason for postponement may be required by the scheduling authority. This documentation must be received by the scheduling authority at least 3 business days before the date of the originally scheduled hearing.</text> </paragraph> <paragraph num="(5)"> <text>A request for a postponement that is not received by the scheduling authority at least 3 business days before the hearing may be granted for good cause if:</text> <paragraph num="(a)"> <text>The request for postponement was postmarked at least 5 calendar days before the hearing date but was not received by the Board of Appeals until after the time set in §R(2) of this regulation;</text> </paragraph> <paragraph num="(b)"> <text>An error on the part of the Board of Appeals has caused such a delay in the requesting party’s receipt of the hearing notice that the requirement of §R(2) of this regulation could not reasonably be met, and the requesting party has taken timely and reasonable steps to request a postponement as soon as possible after receipt of the hearing notice; or</text> </paragraph> <paragraph num="(c)"> <text>The postponement is requested because of sudden and unforeseeable health problems, hazardous weather conditions, or the like, the emergency nature of which would cause a substantial hardship or injustice on a party if the case were not postponed.</text> </paragraph> </paragraph> </paragraph> <paragraph num="S."> <text>Witness Fees. Upon written request, a witness not employed by the Maryland Department of Labor who is subpoenaed for a hearing before the Board of Appeals shall be entitled to receive an attendance fee in the amount of $25 in a case when the witness is summoned to appear in the county where the witness lives or does business, or $50 in other cases. Fees for witnesses subpoenaed shall be paid by the Board of Appeals.</text> </paragraph> <paragraph num="T."> <text>Telephone Conference Hearings Before Special Examiners.</text> <paragraph num="(1)"> <text>Testimony before a special examiner designated by the Board of Appeals may be taken by telephone.</text> </paragraph> <paragraph num="(2)"> <text>A party not wishing to present testimony and evidence by telephone may appear at the hearing and present evidence in person at the location from which the telephone hearing is generated.</text> </paragraph> <paragraph num="(3)"> <text>In all telephone hearings, documentary evidence that a party participating by telephone intends to offer must be provided to the special examiner and all other parties at least 5 calendar days before the hearing. The special examiner may refuse to consider evidence that is not timely provided. Before the acceptance into evidence of documents at a telephone hearing, the special examiner shall allow the opposing party to cross–examine the submitting party or witness concerning the nature and veracity of the proffered document.</text> </paragraph> <paragraph num="(4)"> <text>A party shall be afforded all rights at a telephone hearing to which the party would be entitled at a regular hearing, subject only to the limitations of the physical arrangement.</text> </paragraph> <paragraph num="(5)"> <text>A party’s failure to call into a hearing, failure to answer the telephone, failure to have a telephone available for a hearing, or failure to be ready to proceed with the hearing shall be considered as a failure to appear at the hearing if these conditions exist for more than 10 minutes after the scheduled time for the hearing.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Withdrawal of Decision by the Board of Appeals."> <paragraph num="A."> <text>At any time within 10 calendar days of a decision pursuant to Labor and Employment Article, §8-806(h), Annotated Code of Maryland, the Board of Appeals may withdraw its decision by vote of a majority of its members. Notice shall promptly be given to all parties of the withdrawal. Upon withdrawing a decision, the Board of Appeals may issue a revised decision or hold the case for further hearing or argument. The 10-day period is not tolled by the filing of petitions, appeals, or correspondence from any party.</text> </paragraph> <paragraph num="B."> <text>A request for the Board of Appeals to withdraw its decision under §A of this regulation does not toll the time limit for filing an appeal to circuit court.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Remand to Hearing Examiner."> <paragraph num="A."> <text>The Board of Appeals may remand a case to a hearing examiner for purposes that it may direct. Cases remanded for a de novo or additional hearing shall be placed upon the calendar for prompt hearing. The hearing examiner to whom a case has been remanded for a new decision without a new hearing shall promptly issue the new decision.</text> </paragraph> <paragraph num="B."> <text>If a case is remanded for a new hearing, the previous decision of the hearing examiner shall remain in effect unless vacated by the Board of Appeals until the issuance of a new decision by a hearing examiner. Unless the Board of Appeals orders otherwise, upon the convening of the new hearing, the appellant before the Board of Appeals shall have the burden of going forward. If the appellant before the Board of Appeals does not appear at the remand hearing, the previous decision of the hearing examiner shall remain in effect or be reinstated.</text> </paragraph> <paragraph num="C."> <text>The Board of Appeals may issue specific directions to a hearing examiner with regard to the remand of any particular case.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Precedent Decisions."> <text>Decisions of the Board of Appeals designated as precedent by the Board shall constitute legal precedent for decisions of the hearing examiners.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Procedure for Hearings on Claims Under Labor and Employment Article, §8-1004, Annotated Code of Maryland."> <paragraph num="A."> <text>A claim involving the application of the provisions of Labor and Employment Article, §8-1004, Annotated Code of Maryland, that is referred to a special examiner by order of the Board of Appeals shall be presented, heard, and decided by the special examiner in the manner prescribed by the provisions of this chapter pertaining to hearings before the Board of Appeals.</text> </paragraph> <paragraph num="B."> <text>An appeal from the decision of a special examiner shall be decided by the Board of Appeals in the manner prescribed by the provisions of this chapter pertaining to an appeal from a decision of a hearing examiner.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Employer Appeals Arising Under Labor and Employment Article, §8-605(b), Annotated Code of Maryland."> <paragraph num="A."> <text>An employer aggrieved by a decision of the Lower Appeals Division appealable under Labor and Employment Article, §8-605(b), Annotated Code of Maryland, may file an appeal or petition for review within 30 calendar days after Lower Appeals sends the decision to the employer. The provisions of Regulations .01 and .02 of this chapter apply to these appeals.</text> </paragraph> <paragraph num="B."> <text>An appeal or petition for review shall include the following information:</text> <paragraph num="(1)"> <text>The name, address, employer account number, if any, and review determination number; and</text> </paragraph> <paragraph num="(2)"> <text>A copy of the decision of the Lower Appeals Division that is being appealed.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Board may refer an appeal or petition for review from Lower Appeals to a special examiner for a hearing and a proposed decision, which, if adopted by the Board of Appeals, shall be appealable to a circuit court of the State.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Judicial Review."> <text>Within 30 calendar days after the Board of Appeals mails or otherwise delivers its decision to a party, a party aggrieved by the decision may secure judicial review of the decision by appealing the decision in accordance with the provisions of Labor and Employment Article, §8-5A-12, Annotated Code of Maryland, the Maryland Rules of Procedure, and the appropriate rules of court.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Records and Transcripts."> <paragraph num="A."> <text>All documents received from a party shall be retained either in paper form or by scanning the document electronically into an electronic case file. In cases where duplicate copies of documents are received by the Board of Appeals, only the first copy of the document received by the Board of Appeals shall be retained in the paper or electronic case file.</text> </paragraph> <paragraph num="B."> <text>The Board of Appeals shall maintain a record of all testimony and proceedings before the Board of Appeals and its special examiners.</text> </paragraph> <paragraph num="C."> <text>Upon the filing of an appeal from a decision of the Board of Appeals to a circuit court, the record of the oral proceedings shall be transcribed.</text> </paragraph> <paragraph num="D."> <text>Except as otherwise provided by statute or regulation, the party filing the appeal with a circuit court shall pay to the Department the expense of the transcript, including a reasonable charge for the reproduction of exhibits, in advance of the transcript preparation.</text> </paragraph> <paragraph num="E."> <text>An individual claiming benefits may not be charged a fee for transcription of the oral proceedings in that individual’s case.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8-101, 8-5A-02, 8-5A-05, 8-5A-10, 8-504, 8-604, and 8-605, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 1, 1973</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective March 30, 1977 (4:7 Md. R. 578); December 30, 1977 (4:27 Md. R. 2105)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective March 30, 1977 (4:7 Md. R. 578)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06K amended as an emergency provision effective March 24, 1986 (13:8 Md. R. 897); emergency status extended at 13:17 Md. R. 1920; emergency status expired November 30, 1986</annotation> <annotation type="History" subtype="Administrative History">Regulation .07G amended effective July 28, 1978 (5:15 Md. R. 1187)</annotation> <annotation type="History" subtype="Administrative History">Transferred from Department of Human Resources to Department of Employment and Training, effective October 1, 1983; recodified from COMAR 07.04.06 to 24.02.06</annotation> <annotation type="History" subtype="Administrative History">Annotation: COMAR 24.02.06.02 cited in Johnson v. Department of Employment and Training, 67 Md. App. 712 (1986)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.12 repealed and new Regulations .01—.11 adopted effective December 1, 1986 (13:24 Md. R. 2562)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03-1 adopted effective June 8, 1992 (19:11 Md. R. 1017)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 repealed effective June 8, 1992 (19:11 Md. R. 1017)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12 adopted effective June 10, 1991 (18:11 Md. R. 1190); recodified to Regulation .11 effective June 8, 1992 (19:11 Md. R. 1017)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.02.06 to COMAR 09.32.09, May 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 5, 1999 (26:7 Md. R. 542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective April 5, 1999 (26:7 Md. R. 542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective April 5, 1999 (26:7 Md. R. 542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04C amended effective April 5, 1999 (26:7 Md. R. 542)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 repealed and Regulation .11 amended and recodified to Regulation .10 effective April 5, 1999 (26:7 Md. R. 542)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.10 repealed and new Regulations .01—.11 adopted effective December 13, 2010 (37:25 Md. R. 1737)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective July 16, 2018 (45:14 Md. R. 696)</annotation> </annotations> </chapter> <chapter num="07" heading="Reconsideration of Unemployment Insurance Overpayment Recovery and Waiver Request"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of these regulations is to establish procedures and interpret the standards for waiver of recovery of overpayments of unemployment insurance benefits, and to establish procedures for appealing the correctness of the application of an overpayment, in accordance with Labor and Employment Article, §8-809, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Scope and Applicability."> <text>These regulations apply to any claimant who has been found to have received an overpayment of unemployment insurance benefits and requested a waiver, unless the overpayment was determined to have resulted from fraud on the part of the claimant.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Claimant” means any individual who has filed a claim for unemployment insurance benefits.</text> </paragraph> <paragraph num="(2)"> <text>“Deliver” or “delivery” means the Department’s transmission of a communication to a claimant in accordance with the claimant’s preferred communication method. In cases involving notices of a decision of an overpayment waiver request, the term “deliver” or “delivery” means to also require transmission by first-class mail to the claimant’s last known address.</text> </paragraph> <paragraph num="(3)"> <text>“Deliver” or “delivery” means the Department's transmission of a communication to a claimant in accordance with the claimant's preferred communication method. In cases involving notices of a decision of an overpayment waiver request, the term “deliver” or “delivery” means to also require transmission by first-class mail to the claimant's last known address.</text> </paragraph> <paragraph num="(4)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(5)"> <text>“Overpaid claimant” means any claimant who has been determined to have received an overpayment of unemployment insurance benefits.</text> </paragraph> <paragraph num="(6)"> <text>“Overpayment” means any amount of unemployment insurance benefits received by an individual which has been determined to be in excess of that which the individual was entitled to receive under the applicable law.</text> </paragraph> <paragraph num="(7)"> <text>“Secretary” means the Secretary of Labor, or the Secretary's authorized representative.</text> </paragraph> <paragraph num="(8)"> <text>“Unemployment insurance benefits” means any monetary payments of benefits, including dependents' allowances, which are made pursuant to:</text> <paragraph num="(a)"> <text>The Unemployment Insurance Law and intended to replace income lost by reason of unemployment; or</text> </paragraph> <paragraph num="(b)"> <text>Another state's unemployment insurance law or an unemployment insurance benefit program of the United States, where the benefits paid are subject to a governmental offset agreement.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>“Unemployment Insurance Law” means Labor and Employment Article, Title 8, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Recovery of Overpayments."> <text>The Department may recover overpayments by beginning civil actions or, in the discretion of the Secretary, overpayment may be offset against current or future payments of unemployment insurance benefits to which the overpaid claimant is entitled. If the Department chooses to recover the overpayment by offset, the amount of the offset may be 100 percent of the current or future weekly benefit entitlement. The Department may not recover an overpayment before the time for requesting an overpayment waiver has expired, while a timely filed waiver request is pending decision by the Secretary or the Secretary’s designee, or while a timely filed appeal of the denial of an overpayment waiver request is pending.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Waiver of Recovery of Overpayments."> <paragraph num="A."> <text>Waiver of recovery of the overpayment will be approved when, in the judgment of the Secretary, the overpaid claimant:</text> <paragraph num="(1)"> <text>Is without fault; and</text> </paragraph> <paragraph num="(2)"> <text>Lacks the ability to pay now and in the foreseeable future, or is likely to be below the federal minimum poverty level and is likely to remain there for the foreseeable future.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If an overpaid claimant is found to be without fault because the overpayments were caused exclusively by agency error, the waiver request may be recommended.</text> </paragraph> <paragraph num="C."> <text>In any proceedings under these regulations, the overpaid claimant shall have the burden of proving entitlement to a waiver.</text> </paragraph> <paragraph num="D."> <text>An overpayment found to have been illegally received pursuant to Labor and Employment Article, §8-809, Annotated Code of Maryland, may not be waived.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Determination of Fault."> <paragraph num="A."> <text>“Fault”, as used in the phrase “without fault”, applies only to the fault of the overpaid claimant. Fault on the part of the Department in making the overpayment does not relieve the overpaid claimant of liability for repayment if the claimant's fault contributed to the overpayment.</text> </paragraph> <paragraph num="B."> <text>In determining whether an individual is at fault, the Secretary may consider the nature and cause of the overpayment and the capacity of the particular claimant to have recognized the error causing the overpayment. The elements which constitute fault on the part of the overpaid claimant depend upon whether the facts show:</text> <paragraph num="(1)"> <text>An incorrect statement made by the claimant which the claimant knew or should have known to be incorrect;</text> </paragraph> <paragraph num="(2)"> <text>Failure to furnish information which the claimant knew or should have known to be material, including failure to correct a monetary determination; or</text> </paragraph> <paragraph num="(3)"> <text>Acceptance of a payment which the claimant knew or should have known was incorrect.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The determination of what an overpaid claimant “should have known” is an issue of fact to be found by the administrative agency.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Notice of Recovery and Right to Request Waiver."> <text>When the Secretary decides to recover an overpayment, the Secretary shall notify the overpaid claimant in writing. The notice shall include:</text> <paragraph num="A."> <text>The amount to be recovered;</text> </paragraph> <paragraph num="B."> <text>The weeks with respect to which the benefits were paid;</text> </paragraph> <paragraph num="C."> <text>The provision of the law under which it was determined that the claimant was ineligible for benefits;</text> </paragraph> <paragraph num="D."> <text>A brief explanation of the means available to the Department for recovery of the overpayment;</text> </paragraph> <paragraph num="E."> <text>A statement directing the claimant to the claimant's local office to obtain an application for waiver of overpayment; and</text> </paragraph> <paragraph num="F."> <text>A statement advising that the claimant has 30 days from the date of the notice to submit an application for waiver of overpayments, unless the claimant can show good cause for not meeting the 30-day requirement.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Processing of Application for Waiver of Overpayment."> <paragraph num="A."> <text>After an application for waiver of overpayment is received, the local office representative shall determine the cause of the overpayment and forward the application to the Department's recoveries section. The recoveries section shall make the initial recommendation to recover or waive the overpayment.</text> </paragraph> <paragraph num="B."> <text>If the recommendation is to recover the overpayment and deny waiver, written notice shall be given to the claimant. The notice shall include a statement:</text> <paragraph num="(1)"> <text>Of the reasons for the proposed denial in accordance with Regulation .05 of this chapter, including a determination of fault and the claimant's ability to pay. If the waiver request is denied on the ground that the overpaid claimant was at fault, however, no further finding will be made.</text> </paragraph> <paragraph num="(2)"> <text>Advising the claimant of the right to provide additional information within 15 days to the Secretary for the Secretary's consideration.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Applications recommended for approval shall be forwarded to the Secretary.</text> </paragraph> <paragraph num="D."> <text>The Secretary may grant a waiver of overpayment only within 1 year of the initial determination establishing the overpayment. The 1-year period shall be stayed pending the outcome of any appeal.</text> </paragraph> <paragraph num="E."> <text>Following the grant or denial of a request for waiver of recovery of an overpayment, the Department shall promptly deliver to the claimant a written notice setting out the basis for grant or denial of the request and explaining the claimant's appeal rights.</text> </paragraph> <paragraph num="F."> <text>Within 30 days of the delivery of a denial of a request for waiver of a recovery of overpayment, a claimant may appeal the denial in accordance with COMAR 09.32.11 or, if the claimant disagrees with the decision issued, in accordance with COMAR 09.32.06, as applicable.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Interest on Overpayments."> <text>Interest on overpayments shall be calculated from the initial determination of the overpayment.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8-305 and 8-809, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.09 adopted as an emergency provision effective March 14, 1989 (16:7 Md. R. 809); emergency status expired July 14, 1989</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.09 adopted permanently effective November 13, 1989 (16:22 Md. R. 2366)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.02.07 to COMAR 09.32.07, May 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended as an emergency provision effective August 17, 2022 (49:20 Md. R. 909); emergency provision expired effective November 22, 2022</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective December 26, 2022 (49:26 Md. R. 1079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended as an emergency provision effective August 17, 2022 (49:20 Md. R. 909); emergency provision expired effective November 22, 2022</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective December 26, 2022 (49:26 Md. R. 1079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended as an emergency provision effective August 17, 2022 (49:20 Md. R. 909); emergency provision expired effective November 22, 2022</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective December 26, 2022 (49:26 Md. R. 1079)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08E, F adopted as an emergency provision effective August 17, 2022 (49:20 Md. R. 909); emergency provision expired effective November 22, 2022</annotation> <annotation type="History" subtype="Administrative History">Regulation .08E, F adopted effective December 26, 2022 (49:26 Md. R. 1079)</annotation> </annotations> </chapter> <chapter num="08" heading="Access to Unemployment Insurance Records"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter sets out the procedures for access to and inspection of unemployment insurance records related to the determination of a claim. The procedures described in this chapter are in addition to the procedures for obtaining access to and inspection of records under the Maryland Public Information Act pursuant to COMAR 09.01.04. A claimant or employer, as defined in this chapter, may choose to proceed under either COMAR 09.01.04 or this chapter in order to obtain access to and inspection of unemployment insurance records.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Claimant” means an individual who submits a claim for unemployment insurance benefits.</text> </paragraph> <paragraph num="(2)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(3)"> <text>“Employer” means a person or governmental entity who employs at least one individual within the State and who is an interested party in the determination of the claimant's claim.</text> </paragraph> <paragraph num="(4)"> <text>“Unemployment insurance office” means:</text> <paragraph num="(a)"> <text>Any local office that processes claims for unemployment insurance benefits; or</text> </paragraph> <paragraph num="(b)"> <text>The central office of the Office of Unemployment Insurance of the Maryland Department of Labor.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Applicability."> <text>This chapter applies only to requests made to an unemployment insurance office by a claimant or employer for the inspection or copying of unemployment insurance records related to the determination of a claim for unemployment insurance benefits.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Procedures."> <paragraph num="A."> <text>A claimant or employer, or an authorized representative of a claimant or employer, may request to inspect or copy the unemployment insurance records related to the determination of the claimant's claim for benefits. The request may be directed to either the manager of the unemployment insurance office where the claim was filed or the custodian of records of the Office of Unemployment Insurance.</text> </paragraph> <paragraph num="B."> <text>Upon the request of a claimant or employer, or an authorized representative, and upon the reasonable verification of the claimant's or employer's or representative's identify, the unemployment insurance office to whom the request was made shall, with reasonable promptness, make available to the requestor for inspection and copying unemployment insurance records related to the determination of the claimant's claim.</text> </paragraph> <paragraph num="C."> <text>A claimant or employer who requests access to and inspection of unemployment insurance records may inspect the records during the normal working hours of the unemployment insurance office to which the request was made.</text> </paragraph> <paragraph num="D."> <text>If a determination of a claim for unemployment insurance benefits is appealed, the unemployment insurance office where the claim was filed shall maintain a copy of all records upon which the determination is based and make them available to a claimant or employer, or the authorized representative of the claimant or employer, upon request.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §8-305, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 4, 1998 (25:9 Md. R. 679)</annotation> </annotations> </chapter> <chapter num="09" heading="Workplace Fraud"> <regulation prefix="Regulation" num=".01" heading="Evidence of a Knowing Violation."> <paragraph num="A."> <text>The Secretary may consider evidence under §B of this regulation that an employer knowingly failed to properly classify an employee.</text> </paragraph> <paragraph num="B."> <text>The evidence shall include the following:</text> <paragraph num="(1)"> <text>Any previous violation of the Workplace Fraud Act or a violation of any other state or federal law that involves similar issues related to the classification of employees;</text> </paragraph> <paragraph num="(2)"> <text>Refusal or failure of the employer to produce records requested pursuant to Labor and Employment Article, §8-625(b), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>Refusal or failure of the employer to cooperate with an investigation authorized under Labor and Employment Article, §8-306, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(4)"> <text>Evidence that the employer classifies differently individuals who perform substantially the same tasks, allowing for the business model described in Labor and Employment Article, §3-903(c)(3), Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(5)"> <text>Any other credible evidence of the employer's actual knowledge of, deliberate ignorance of, or reckless disregard for whether or not the worker is misclassified.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §8-201.1, 8-305, and 8-306, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 2, 2009 (36:22 Md. R. 1724)</annotation> </annotations> </chapter> <chapter num="10" heading="Employer Audits"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter sets out the Division of Unemployment Insurance's procedures for conducting an audit, the related requirements for employers, and procedures for agency level review prior to appeal.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <text>For the purpose of this chapter, “audit” means a review of an employer's records to ensure compliance with the Maryland Unemployment Insurance Law and regulations.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Audit Process."> <paragraph num="A."> <text>Assignment.</text> <paragraph num="(1)"> <text>Upon receipt of an audit assignment, a field auditor shall send an audit notice letter to the employer advising that the employer is the subject of an audit by the field investigation and audit unit.</text> </paragraph> <paragraph num="(2)"> <text>The letter shall:</text> <paragraph num="(a)"> <text>State the authority for conducting the audit;</text> </paragraph> <paragraph num="(b)"> <text>Contain a list of records that the auditor will review in order to conduct the audit; and</text> </paragraph> <paragraph num="(c)"> <text>Request that the employer contact the auditor within 15 business days to arrange a convenient time to conduct the audit.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Failure to Respond.</text> <paragraph num="(1)"> <text>If the employer fails to respond to the initial audit notice, the auditor shall send the employer a final audit notice requesting that the employer contact the auditor within 10 business days.</text> </paragraph> <paragraph num="(2)"> <text>The notice shall advise that if the employer fails to contact the auditor within 10 business days, a subpoena duces tecum may be issued compelling production of records.</text> </paragraph> </paragraph> <paragraph num="C."> <text>After the audit has been scheduled, the auditor may do any or all of the following:</text> <paragraph num="(1)"> <text>Require a meeting with the employer or the employer's designated representative;</text> </paragraph> <paragraph num="(2)"> <text>Interview the workers in question; or</text> </paragraph> <paragraph num="(3)"> <text>Request additional information or documentation from the employer.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Upon completion of the audit, if the auditor determines that no adjustment is necessary, a letter shall be sent to the employer advising the employer that no violation of the Maryland Unemployment Insurance Law was found for the audit period.</text> </paragraph> <paragraph num="E."> <text>Adjustments Needed.</text> <paragraph num="(1)"> <text>If, after completing the audit, the auditor finds that adjustments to the employer's account are warranted, the auditor shall notify the employer of the audit findings and the adjustments to be made to the account.</text> </paragraph> <paragraph num="(2)"> <text>The Preliminary Audit Findings letter shall state the basis for the audit findings, based on information the auditor has received.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Records."> <paragraph num="A."> <text>An auditor may request any records necessary from an employer including, but not limited to, those set forth in the Labor and Employment Article, §§8-306(b) and 8-625, Annotated Code of Maryland, and COMAR 09.32.01.06. Refusal or failure by an employer, or the employer's representative, to provide requested records to an auditor may result in the issuance of a subpoena.</text> </paragraph> <paragraph num="B."> <text>Refusal or failure by an employer, or the employer's representative, to provide requested documents after issuance of a subpoena may result in either or both of the following:</text> <paragraph num="(1)"> <text>Judicial enforcement of the subpoena; or</text> </paragraph> <paragraph num="(2)"> <text>Placement of estimated assessments on the employer's account. No judicial action to collect on estimated assessments will occur until a final determination is made.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Appeal of Audit Findings."> <paragraph num="A."> <text>If an auditor determines that adjustments to an employer's account are warranted, the auditor shall issue preliminary audit findings.</text> </paragraph> <paragraph num="B."> <text>If the employer disagrees with the preliminary audit findings, the employer may request a review determination within 30 days of the date of the preliminary audit letter.</text> </paragraph> <paragraph num="C."> <text>Upon receipt of a request for a review determination, a reviewer designated by the Secretary shall be assigned to conduct the review determination.</text> </paragraph> <paragraph num="D."> <text>The designated reviewer may:</text> <paragraph num="(1)"> <text>Review the audit work papers;</text> </paragraph> <paragraph num="(2)"> <text>Speak to the employer and designated representative; and</text> </paragraph> <paragraph num="(3)"> <text>Request any additional information the reviewer deems necessary.</text> </paragraph> </paragraph> <paragraph num="E."> <text>In addition, the employer may provide any documentation to the reviewer that the employer believes supports its position.</text> </paragraph> <paragraph num="F."> <text>If the employer fails to provide the additional information requested by the Reviewer within the timeframe established by the Reviewer, the Reviewer shall make a determination based on the available information.</text> </paragraph> <paragraph num="G."> <text>Upon completion of the review determination, the reviewer shall prepare a detailed written decision affirming or reversing the findings of the field auditor.</text> </paragraph> <paragraph num="H."> <text>The review determination shall:</text> <paragraph num="(1)"> <text>State in detail the facts upon which the reviewer relied in order to affirm or adjust the audit findings; and</text> </paragraph> <paragraph num="(2)"> <text>Advise the employer that if the employer disagrees with the review determination, the employer may file an appeal with the Board of Appeals in accordance with procedure and time periods set forth in the Maryland Unemployment Insurance Law.</text> </paragraph> </paragraph> <paragraph num="I."> <text>If an employer does not request a review determination within the 30-day period for requesting a review determination:</text> <paragraph num="(1)"> <text>The preliminary audit findings shall become final; and</text> </paragraph> <paragraph num="(2)"> <text>The employer shall be sent a notice of determination advising the employer that the employer may file an appeal with the Board of Appeals in accordance with procedure and time periods set forth in the Maryland Unemployment Insurance Law.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8-305, 8-306, 8-602, and 8-625, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 26, 2010 (37:15 Md. R. 998)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05H, I amended effective April 24, 2017 (44:8 Md. R. 403)</annotation> </annotations> </chapter> <chapter num="11" heading="Lower Appeals Division — Appeals Procedure"> <regulation prefix="Regulation" num=".01" heading="Filing of Appeal."> <paragraph num="A."> <text>Manner of Filing.</text> <paragraph num="(1)"> <text>An appeal from a claims examiner's determination or an appeal of a review determination shall be in writing and signed by the party appealing, or the party's attorney or authorized representative. The appeal may be filed by mail, by facsimile, by hand delivery to the Lower Appeals administrative office at the Lower Appeals Division address listed on the benefit determination or review determination, or by other electronic means in a format approved by the Chief Hearing Examiner.</text> </paragraph> <paragraph num="(2)"> <text>In the event of an appeal from a determination of a claims examiner involving more than one claimant on the same issue, the appeal may be filed by the individual claimants or by an authorized representative on their behalf. The authorized representative shall submit, together with the appeal, a list containing the names, addresses, and last four digits of the Social Security numbers of the claimants who are parties to the appeal.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Time for Filing.</text> <paragraph num="(1)"> <text>An appeal from a claims examiner’s determination shall be filed within 15 calendar days after the determination is mailed or otherwise sent to the last known address of the party.</text> </paragraph> <paragraph num="(2)"> <text>An appeal from a review determination shall be filed within 30 calendar days after the review determination is mailed or otherwise sent to the last known address of the party.</text> </paragraph> <paragraph num="(3)"> <text>An appeal is considered filed on the earliest of the following dates:</text> <paragraph num="(a)"> <text>The date an appeal is delivered in person to the administrative office of the Lower Appeals Division;</text> </paragraph> <paragraph num="(b)"> <text>The U.S. Postal Service postmark date on which an appeal, properly addressed and stamped, is mailed to the administrative office of the Lower Appeals Division;</text> </paragraph> <paragraph num="(c)"> <text>The date on the appeal itself when the envelope has an illegible postmark; or</text> </paragraph> <paragraph num="(d)"> <text>The date an appeal is received by facsimile or other electronic means in a format approved by the Chief Hearing Examiner at the administrative office of the Lower Appeals Division.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>The period for filing an appeal from the claims examiner's determination or an appeal of a review determination may be extended by the Hearing Examiner for good cause shown.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Hearings Before the Hearing Examiner."> <paragraph num="A."> <text>Scheduling Authority. The scheduling authority in the case of an appeal pending before a Hearing Examiner is the Chief Hearing Examiner or the Chief Hearing Examiner’s designee.</text> </paragraph> <paragraph num="B."> <text>Notice of Hearing.</text> <paragraph num="(1)"> <text>The interested parties shall be given at least 7 business days notice in writing of the time and place of any hearing before the Hearing Examiner.</text> </paragraph> <paragraph num="(2)"> <text>Notice is sufficient when mailed to the party, postage prepaid, at the last known post office address of the party or by electronic means in a format approved by the Chief Hearing Examiner, if the party has opted to receive notice by electronic means.</text> </paragraph> <paragraph num="(3)"> <text>In the case of appeals filed under Regulation .01A(2) of this chapter, notice sent in accordance with §B(2) of this regulation to the attorney or authorized representative, and to each individual appellant who filed an individual appeal or who requested individual notice, shall be sufficient notice to all parties represented by the attorney or authorized representative.</text> </paragraph> <paragraph num="(4)"> <text>For notice purposes, the representation of parties by attorneys or authorized representatives is effective on the date an appearance is entered in the case, or the date the appearance is noted in the appeal file, whichever is earlier.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Pretrial Conference. In appeals of review determinations resolving issues arising under Labor and Employment Article, §8-602(a)(2) and (5), Annotated Code of Maryland, the Chief Hearing Examiner may consider a motion of a party requesting a scheduling conference to resolve preliminary issues including, but not limited to, the exchange of documentation, the exchange of lists of potential witnesses, and proposed stipulations.</text> </paragraph> <paragraph num="D."> <text>Public Hearing. Hearings before the Hearing Examiner shall be public. The record made in any appeal hearing is a public record. Media coverage of any hearing is permissible unless the Hearing Examiner determines that it interferes with the hearing process.</text> </paragraph> <paragraph num="E."> <text>Record. The recording made by or at the direction of the Hearing Examiner is the only official record of the oral hearing. Additional recordings or transcriptions may be made by the parties at the hearing, or by third parties, only at the discretion of the Hearing Examiner hearing the case.</text> </paragraph> <paragraph num="F."> <text>Issues. The Hearing Examiner shall inquire fully into the facts of the particular case. A Hearing Examiner shall consider the issue expressly ruled upon in the determination of the claims examiner or the review determination from which the appeal was filed.</text> </paragraph> <paragraph num="G."> <text>Representation.</text> <paragraph num="(1)"> <text>An interested party may appear without representation in any proceeding before a Hearing Examiner.</text> </paragraph> <paragraph num="(2)"> <text>A party may be represented by an attorney admitted to practice by the Maryland Court of Appeals or by an authorized representative. Attorneys admitted to practice before the courts of any other state or territory of the United States may represent a party subject to the rules of the Maryland Court of Appeals.</text> </paragraph> <paragraph num="(3)"> <text>A claimant may also be represented by an authorized representative other than an attorney, but the representative may not charge or accept payment for the representation.</text> </paragraph> <paragraph num="(4)"> <text>An employer may appear for itself, or be represented by any other authorized representative.</text> </paragraph> <paragraph num="(5)"> <text>The Chief Hearing Examiner may prohibit an individual from representing others in a hearing if the Chief Hearing Examiner finds, after a special hearing convened for that purpose, that the individual has committed unethical conduct in relation to unemployment insurance claims or appeals.</text> </paragraph> </paragraph> <paragraph num="H."> <text>Attorney’s Fees.</text> <paragraph num="(1)"> <text>An attorney representing a claimant in any proceeding before a Hearing Examiner may not charge a fee in excess of 200 percent of the claimant’s weekly benefit amount per case without the approval of the Chief Hearing Examiner.</text> </paragraph> <paragraph num="(2)"> <text>Requests for approval of fees greater than 200 percent of the claimant’s weekly benefit amount shall be accompanied by an itemized account of services rendered in the case. A request for the excess fee shall be submitted within 30 calendar days of the date of the issuance of the decision. The Chief Hearing Examiner shall have authority to approve a fee higher than the maximum allowed under §H(1) of this regulation based upon the complexity of the case and the reasonableness of the fee. The fee shall be reviewable by the Board of Appeals upon written protest of either the claimant or the attorney.</text> </paragraph> <paragraph num="(3)"> <text>The fee amounts set out in §H(1) and (2) of this regulation may be awarded for each level of appeal.</text> </paragraph> <paragraph num="(4)"> <text>Although the maximum fee allowed is governed by these regulations, payment of the fee allowed is a private matter left solely to the claimant and the claimant’s attorney.</text> </paragraph> </paragraph> <paragraph num="I."> <text>Appointment of Interpreter.</text> <paragraph num="(1)"> <text>If a party or witness is hearing-impaired or mute, and because of this impediment cannot readily understand or communicate the spoken language, or if the party or witness is unable to communicate in the English language, the party or witness may apply to the Chief Hearing Examiner for the appointment of a qualified interpreter to assist that person.</text> </paragraph> <paragraph num="(2)"> <text>Upon application of the party or witness, the Chief Hearing Examiner shall appoint a qualified interpreter to assist that person. The Chief Hearing Examiner may also appoint an interpreter on his or her own motion.</text> </paragraph> <paragraph num="(3)"> <text>In selecting a qualified interpreter for appointment, the Chief Hearing Examiner may consult any directory of interpreters maintained by any court in this State.</text> </paragraph> <paragraph num="(4)"> <text>An interpreter, appointed pursuant to this section, shall be allowed reasonable compensation subject to approval of the Chief Hearing Examiner.</text> </paragraph> </paragraph> <paragraph num="J."> <text>Evidence.</text> <paragraph num="(1)"> <text>Rules of Evidence. The hearings shall be conducted informally in a manner to ascertain the substantial rights of the parties. The Hearing Examiner is not bound by common law or statutory rules as to the admissibility of evidence or by technical rules of procedures. Witnesses shall testify under oath or affirmation.</text> </paragraph> <paragraph num="(2)"> <text>Electronically Stored Records. A party who seeks to enter into evidence videotapes, audiotapes, or other electronically stored records shall produce at the hearing the equipment necessary to allow review of the contents of the records. The party offering the records shall have the continuing obligation to produce the equipment necessary to review the records if further administrative proceedings occur. If the party offering the records fails to produce the equipment necessary to review the records, the Hearing Examiner may exclude the records from consideration.</text> </paragraph> <paragraph num="(3)"> <text>Agency Record. For purposes of an appeal from a claims examiner's determination, the official Agency record shall consist of the appeal letter and envelope or other evidence showing its manner of submission, and the Agency Fact Finding Report. For purposes of an appeal from a review determination, the official Agency record shall consist of the appeal letter and envelope or other evidence showing its manner of submission, and the review determination under review. Upon request of a party to an appeal for information from other records of the Department, the Hearing Examiner shall forward the request to the Secretary so that information that may be relevant and pertinent and that is not by definition a part of the Agency record, may be furnished by the Secretary. Upon request, any party shall be furnished with any information contained in the official Agency record, or other Agency documents in the custody of the Secretary that may be pertinent or material to the case. Requests for this information shall be made at least 3 business days before the hearing and shall state, as nearly as possible, the nature of the information desired. Requests made after this time will be granted only at the discretion of the scheduling authority. The records of the Maryland Department of Labor shall be deemed self-authenticating for purposes of admission under the Rules of Evidence. The Hearing Examiner shall admit the Agency record, including the Agency Fact-Finding Report, into evidence at the hearing, without the need for an Agency representative to appear at the hearing to authenticate or introduce it. The Hearing Examiner shall consider the Agency record when making a final decision, giving weight to the Agency Fact-Finding Report that the Hearing Examiner deems appropriate.</text> </paragraph> <paragraph num="(4)"> <text>Evidence of Medical Condition. In any case where the medical condition of a party is at issue, the Hearing Examiner, for good cause shown, may grant a party up to 10 calendar days after the hearing to submit written medical documentation.</text> </paragraph> </paragraph> <paragraph num="K."> <text>Subpoenas.</text> <paragraph num="(1)"> <text>The Hearing Examiner may issue subpoenas, to be served by first-class mail, or by any individual who is not a party and who is at least 18 years of age, to compel the attendance of witnesses and the production of books, papers, correspondence, and other records deemed necessary as evidence in writing.</text> </paragraph> <paragraph num="(2)"> <text>The scheduling authority may deny requests for subpoenas that request irrelevant information, or are frivolous or unreasonably burdensome to the other party. A request for a subpoena may not be denied without substantial cause.</text> </paragraph> <paragraph num="(3)"> <text>Requests for subpoenas shall:</text> <paragraph num="(a)"> <text>Be in writing;</text> </paragraph> <paragraph num="(b)"> <text>State the name and address of the person to be subpoenaed;</text> </paragraph> <paragraph num="(c)"> <text>State with specificity the documents to be produced;</text> </paragraph> <paragraph num="(d)"> <text>State the reason for the request; and</text> </paragraph> <paragraph num="(e)"> <text>Be delivered to the scheduling authority at least 5 business days before the date of the hearing.</text> </paragraph> </paragraph> </paragraph> <paragraph num="L."> <text>Procedure at Hearing. The Hearing Examiner may call, examine, and cross-examine witnesses and may introduce into the record documentary or other evidence. The parties to the hearing shall be given an opportunity to call witnesses on their own behalf, cross-examine witnesses, inspect documents, and offer evidence in explanation or rebuttal. The Hearing Examiner may order the taking of additional testimony as the Hearing Examiner considers necessary. Upon the request of any party at the hearing, the Hearing Examiner shall grant a reasonable time for oral argument by the interested parties.</text> </paragraph> <paragraph num="M."> <text>Continuance of Hearing. The Hearing Examiner may continue any hearing and make any direction or instruction necessary for the efficient disposition of the matter at the Hearing Examiner’s discretion.</text> </paragraph> <paragraph num="N."> <text>Withdrawal of Appeals. At any time before the hearing, a party appealing from a determination of a claims examiner or appealing a review determination may request that the appeal be withdrawn, and the Hearing Examiner shall permit the withdrawal. After the hearing has commenced or concluded, a withdrawal may be permitted for good cause shown. A request for withdrawal shall be submitted in writing or placed on the record during a hearing. An approved withdrawal is a final decision and is not subject to a request to reopen.</text> </paragraph> <paragraph num="O."> <text>Dismissal of Appeal When Appealing Party Fails to Appear. If a party appealing the determination of a claims examiner or appealing a review determination fails to appear at a hearing after having been given the required notice, the Hearing Examiner may issue a decision on the facts available or may dismiss the appeal. Failure to be present at the location designated for the hearing within 10 minutes of the time scheduled shall be considered a failure to appear within the meaning of this section.</text> </paragraph> <paragraph num="P."> <text>Request by Appealing Party to Reopen Dismissed Case.</text> <paragraph num="(1)"> <text>A request to reopen a dismissed case shall be in writing and a copy shall be sent to the opposing party. Failure to notify the opposing party does not affect the timeliness of the request.</text> </paragraph> <paragraph num="(2)"> <text>A request to reopen a case may be granted for the following reasons:</text> <paragraph num="(a)"> <text>The party received the hearing notice on or after the date of the hearing as a result of:</text> <paragraph num="(i)"> <text>An untimely or incorrect mailing or electronic transmission of a hearing notice; or</text> </paragraph> <paragraph num="(ii)"> <text>A delay in the delivery of a hearing notice by the United States Postal Service;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>An emergency or other unforeseen and unavoidable circumstance that prevented a party from both attending the hearing and requesting a postponement of the hearing; or</text> </paragraph> <paragraph num="(c)"> <text>A party requested a postponement for the reasons listed in §P(2)(a) or (b) of this regulation, but it was improperly denied.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Misreading of a properly prepared hearing notice as to the date, time, and place of the hearing is not good cause for reopening a dismissed case.</text> </paragraph> <paragraph num="(4)"> <text>A request to reopen a case dismissed by a Hearing Examiner shall be delivered or postmarked within 7 business days after the date the dismissal was mailed to the last known address of the requesting party. The Chief Hearing Examiner may:</text> <paragraph num="(a)"> <text>Grant the requesting party up to 10 calendar days to provide documentary evidence of the reason for the requested reopening; or</text> </paragraph> <paragraph num="(b)"> <text>Deny a request to reopen in writing or grant a further hearing to determine if good cause exists.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Documentation submitted in support of a request to reopen a case shall become part of the record of that case.</text> </paragraph> <paragraph num="(6)"> <text>A further hearing granted to determine if there is good cause for reopening a case may be consolidated with a further hearing on the merits unless, in the judgment of the Chief Hearing Examiner, this consolidation would result in substantial inconvenience for either party.</text> </paragraph> <paragraph num="(7)"> <text>A decision by the Chief Hearing Examiner that there is not good cause to reopen a dismissed appeal is appealable to the Board of Appeals.</text> </paragraph> <paragraph num="(8)"> <text>A decision by the Chief Hearing Examiner that there is good cause to reopen a dismissed case is appealable to the Board of Appeals only at the time that a decision on the merits is also reached.</text> </paragraph> </paragraph> <paragraph num="Q."> <text>Conflicts of Interest.</text> <paragraph num="(1)"> <text>A Hearing Examiner may not participate in a hearing in which the Hearing Examiner or a family member has a personal financial interest. The challenge to the interest of a Hearing Examiner shall be decided by the Chief Hearing Examiner. The challenge to the interest of the Chief Hearing Examiner, when the Chief Hearing Examiner is hearing a case, shall be decided by the Board of Appeals.</text> </paragraph> <paragraph num="(2)"> <text>A decisions by the Chief Hearing Examiner as to a conflict of interest of a Hearing Examiner, and a challenge to the interest of the Chief Hearing Examiner may be appealed to the Board of Appeals but only at the time that a decision on the merits is also reached.</text> </paragraph> </paragraph> <paragraph num="R."> <text>Postponement of Hearings.</text> <paragraph num="(1)"> <text>A request for the postponement of a case shall be in writing, addressed to the Chief Hearing Examiner, and submitted to the Lower Appeals Division by mail, fax, or hand delivery. A copy of the request shall be simultaneously mailed to the opposing party in the case.</text> </paragraph> <paragraph num="(2)"> <text>Subject to the requirements of §R(5) of this regulation, a request for postponement shall be considered only if the request is received by the Chief Hearing Examiner at least 3 business days before the hearing.</text> </paragraph> <paragraph num="(3)"> <text>The Chief Hearing Examiner may postpone a hearing for good cause shown. The repeated inability of a party's attorney or authorized representative to appear on account of a conflicting court date shall not constitute good cause.</text> </paragraph> <paragraph num="(4)"> <text>The Chief Hearing Examiner may require documentary proof of the reason for the postponement. This documentation must be received by the Chief Hearing Examiner at least 3 business days before the date of the originally scheduled hearing.</text> </paragraph> <paragraph num="(5)"> <text>A request for a postponement that is not received by the Chief Hearing Examiner at least 3 business days before the hearing may be granted for good cause if:</text> <paragraph num="(a)"> <text>The request for postponement was postmarked at least 5 calendar days before the hearing date but was not received by the Lower Appeals Division until after the time set in §R(2) of this regulation;</text> </paragraph> <paragraph num="(b)"> <text>An error on the part of the Lower Appeals Division has caused such a delay in the requesting party's receipt of the hearing notice that the requirement of §R(2) of this regulation could not reasonably be met, and the requesting party has taken timely and reasonable steps to request a postponement as soon as possible after receipt of the hearing notice; or</text> </paragraph> <paragraph num="(c)"> <text>The postponement request is based on sudden and unforeseeable health problems, hazardous weather conditions, or the like, the emergency nature of which would cause a substantial hardship or injustice on a party if the case were not postponed.</text> </paragraph> </paragraph> </paragraph> <paragraph num="S."> <text>Witness Fees.</text> <paragraph num="(1)"> <text>Upon written request, a witness not employed by the Maryland Department of Labor, who is subpoenaed for a hearing before a Hearing Examiner, shall be entitled to receive an attendance fee in the amount of $25 in a case when the witness is summoned to appear in the county where the witness lives or does business, or $50 in other cases.</text> </paragraph> <paragraph num="(2)"> <text>Fees allowed in accordance with §S(1) of this regulation for witnesses subpoenaed shall be paid by the Lower Appeals Division.</text> </paragraph> </paragraph> <paragraph num="T."> <text>Telephone Conference Hearings.</text> <paragraph num="(1)"> <text>Testimony before a Hearing Examiner may be taken by telephone.</text> </paragraph> <paragraph num="(2)"> <text>A party not wishing to present testimony and evidence by telephone has a right to appear at the hearing and present evidence in person at the location from which the telephone hearing is being generated.</text> </paragraph> <paragraph num="(3)"> <text>In all telephone hearings, documentary evidence which a party intends to offer shall be mailed, or sent via electronic means in a format approved by the Chief Hearing Examiner if the parties have opted to receive notice by electronic means, to the Hearing Examiner and all other parties before the hearing. The Hearing Examiner may refuse to consider evidence that is not timely sent to or received by the Hearing Examiner and all parties before the hearing. Before the acceptance of any evidence, the Hearing Examiner shall allow the opposing party to cross-examine the submitting party or witness concerning the nature and authenticity of the proffered evidence. A party shall be afforded all rights at a telephone hearing to which the party would be entitled at a regular hearing, subject only to the limitations of the physical arrangement.</text> </paragraph> <paragraph num="(4)"> <text>In the case of a telephone hearing, the failure to answer the telephone, the failure to have a telephone available for the hearing, or the failure to be ready to proceed with the hearing shall be considered as a failure to appear at the hearing if these conditions exist for more than 10 minutes after the scheduled time for the hearing.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Hearing Examiner Decision."> <paragraph num="A."> <text>After the hearing before the Hearing Examiner, the parties and the Secretary shall be notified of the decision of the Hearing Examiner and the reasons for it.</text> </paragraph> <paragraph num="B."> <text>The Hearing Examiner's decision shall include specific findings of fact on all relevant factual issues, and conclusions of law which apply the law to the facts found.</text> </paragraph> <paragraph num="C."> <text>Decisions of the Board of Appeals designated as precedent by the Board constitute legal precedent for the Hearing Examiner's decisions.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Review by the Board of Appeals."> <text>If the Hearing Examiner does not affirm the determination of the claims examiner or the review determination, the decision shall be accompanied by the notice of the right of appeal to the Board of Appeals. If the Hearing Examiner affirms the determination of the claims examiner or the review determination, the decision shall be accompanied by the notice of the provisions of the law providing for petition for review to request a discretionary appeal.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §8-504, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 13, 2010 (37:25 Md. R. 1737)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 23, 2018 (45:8 Md. R. 420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective April 23, 2018 (45:8 Md. R. 420)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02I amended effective April 24, 2017 (44:8 Md. R. 403)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective April 23, 2018 (45:8 Md. R. 420)</annotation> </annotations> </chapter> <chapter num="12" heading="Procedures for Initial Determination of Unemployment Insurance Overpayments and for Appeals of Overpayment Determinations"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of these regulations is to establish procedures for the initial determination of overpayments of unemployment insurance benefits, and to establish the appeal process of such determinations in accordance with Labor and Employment Article, §8-809(c), Annotated Code of Maryland, and applicable federal law.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Scope and Applicability."> <text>These regulations apply to any claimant whom the Secretary or the Secretary’s designee has reason to believe may have received an overpayment of unemployment insurance benefits or has been determined to have received an overpayment of unemployment insurance benefits.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Pre-Determination Investigations."> <paragraph num="A."> <text>Before determining that a claimant has been overpaid, the Secretary or the Secretary’s designee shall conduct a pre-determination investigation in accordance with Labor and Employment Article, Title 8, Annotated Code of Maryland, and other applicable law.</text> </paragraph> <paragraph num="B."> <text>As a part of the pre-determination investigation, the Department shall take the following steps:</text> <paragraph num="(1)"> <text>Make reasonable attempts to promptly contact the claimant to whom the potential overpayment was made and provide the claimant with an opportunity to respond to requests for information about the potential overpayment;</text> </paragraph> <paragraph num="(2)"> <text>Independently verify information received from a computer cross-match with a federal database or other automatic processes or matches;</text> </paragraph> <paragraph num="(3)"> <text>Make reasonable attempts to gather all relevant information that is of sufficient quality and quantity to support the findings and rationale for the determination; and</text> </paragraph> <paragraph num="(4)"> <text>Provide the claimant an opportunity to rebut information received from a computer cross-match with any database, or from an employer or other outside source.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If the Secretary’s or Secretary’s designee’s review reveals a dispute of material fact concerning whether the claimant is eligible or disqualified, the Secretary or the Secretary’s designee shall conduct a proceeding in accordance with COMAR 09.32.02.16E.</text> </paragraph> <paragraph num="D."> <text>The notice of the proceedings shall be set forth as follows:</text> <paragraph num="(1)"> <text>The Secretary’s designee shall deliver notice to the claimant in accordance with the claimant’s preferred method of communication; and</text> </paragraph> <paragraph num="(2)"> <text>The notice described in this regulation shall contain the following information:</text> <paragraph num="(a)"> <text>The issues to be resolved at the proceeding;</text> </paragraph> <paragraph num="(b)"> <text>The date, time, and place of a proceeding to determine whether the claimant was overpaid;</text> </paragraph> <paragraph num="(c)"> <text>Notice that the proceeding may result in an overpayment determination that may lead to an enforceable monetary judgment against the claimant, in addition to or instead of the reduction or elimination of current or future benefits; and</text> </paragraph> <paragraph num="(d)"> <text>Notice that any party shall have the right to be present by telephone or in person, as required by the Secretary or the Secretary’s designee, and may be represented by an attorney or other representative of the party’s choosing.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>During the proceeding described above, the parties may:</text> <paragraph num="(1)"> <text>Be present, by telephone or in person, as required by the Secretary;</text> </paragraph> <paragraph num="(2)"> <text>Be represented by an attorney or other representative of the party’s choosing;</text> </paragraph> <paragraph num="(3)"> <text>Present and rebut evidence and argument relating to the issues;</text> </paragraph> <paragraph num="(4)"> <text>Cross-examine any person who participates in person or by telephone at the proceeding and testifies or provides information relating to the issues; and</text> </paragraph> <paragraph num="(5)"> <text>Be given the opportunity to examine all evidence relating to any issue that is before the Secretary and all evidence upon which the Secretary may rely in reaching a determination.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Notice of Determination of Overpayment."> <paragraph num="A."> <text>If, after conducting the investigation under Regulation .03 of this chapter, the Secretary or the Secretary’s designee determines that the claimant was overpaid, the Secretary or the Secretary’s designee shall deliver notice to the claimant.</text> </paragraph> <paragraph num="B."> <text>The notice shall be delivered to the claimant by first-class mail to the claimant’s last known address and in accordance with the claimant’s preferred communication method, if other than first-class mail, and shall:</text> <paragraph num="(1)"> <text>Contain all information required by Labor and Employment Article, §8-809(c)(1), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>Provide that the claimant has been determined liable to refund the amount of benefits to which the claimant is not entitled and that the amount, if not previously collected, shall be deducted from future benefits payable to the claimant, unless the claimant exercises the claimant’s appeal rights more specifically set forth in Regulation .05 of this chapter, or waiver rights more specifically set forth in COMAR 09.32.07; and</text> </paragraph> <paragraph num="(3)"> <text>Provide information on the procedures to request an overpayment waiver.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The notice described above may not reference fraud, unless the Secretary or the Secretary’s designee has determined that the overpayment resulted from fraud.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Appeal Procedures."> <paragraph num="A."> <text>In the event a claimant challenges the finding of overpayment, or the amount of overpayment, the claimant may appeal the Department’s determination, provided, however, that any appeal exercised pursuant to the provisions of this chapter shall be limited solely to the overpayment issue.</text> </paragraph> <paragraph num="B."> <text>If no appeal is taken within 30 days after delivery of the notice of overpayment determination, no timely filed waiver request is pending decision by the Secretary or the Secretary’s designee, and no timely filed appeal of the denial of an overpayment waiver request is pending, the overpayment determination will be considered final and the court shall, upon application of the Department, enter a judgment in the amount provided by the notice of overpayment determination</text> </paragraph> <paragraph num="C."> <text>Appeals described in this regulation shall be made in accordance with COMAR 09.32.11 or, if the claimant disagrees with the decision issued, in accordance with COMAR 09.32.06, as applicable.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8-305 and 8-809, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.05 adopted as an emergency provision effective August 17, 2022 (49:20 Md. R. 909); emergency provision expired effective November 22, 2022</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.05 adopted effective March 6, 2023 (50:4 Md. R. 122)</annotation> </annotations> </chapter> </subtitle> <subtitle num="33" heading="Job Service"> <chapter num="01" heading="Job Service"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>These regulations set forth the policies and procedures for employers and applicants seeking to use the Maryland Job Service.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Objective."> <text>Job Service shall operate a labor exchange system that has the capacity to:</text> <paragraph num="A."> <text>Assist job seekers in finding employment;</text> </paragraph> <paragraph num="B."> <text>Assist employers in filling jobs;</text> </paragraph> <paragraph num="C."> <text>Facilitate the match between job seekers and employers;</text> </paragraph> <paragraph num="D."> <text>Participate in a system for clearing labor among the states, including the use of standardized classification systems issued by the Secretary of the U.S. Department of Labor;</text> </paragraph> <paragraph num="E."> <text>Meet the work test requirements of the Unemployment Insurance Law; and</text> </paragraph> <paragraph num="F."> <text>Meet other requirements arising from changes in legislation or regulations.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Applicant” means an individual who applies for Job Service services.</text> </paragraph> <paragraph num="(2)"> <text>“Complaint” means an allegation made or referred to Job Service of a violation of the federal Job Service regulations or other federal, State, or local employment-related law.</text> </paragraph> <paragraph num="(3)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(4)"> <text>“Employer” means a person or entity that:</text> <paragraph num="(a)"> <text>Currently has a location within the United States to which U.S. workers and alien workers with valid work permits may be referred for employment;</text> </paragraph> <paragraph num="(b)"> <text>Proposes to employ a worker; and</text> </paragraph> <paragraph num="(c)"> <text>Has an employer relationship with respect to employees as indicated by the fact that it hires, pays, fires, supervises, and otherwise controls the work of the employee.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Job Service” means the Maryland Job Service, a program of the Office of Employment Services within the Department.</text> </paragraph> <paragraph num="(6)"> <text>“Public employment office” means an office of the Department maintained for the purpose of providing placement and other services of the public employment service system.</text> </paragraph> <paragraph num="(7)"> <text>“Secretary” means the Secretary of Labor or the Secretary's designee.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Compliance with Law."> <text>The Job Service shall be administered in accordance with the Wagner-Peyser Act, 29 U.S.C. §49, regulations adopted by the United States Employment Service, and the Labor and Employment Article, §8-803, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Job Placement."> <paragraph num="A."> <text>Job Order.</text> <paragraph num="(1)"> <text>An employer may place a job order with Job Service. A job order is a single request for referral of one or more applicants to fill one or more job openings in a single occupational classification. The job order shall provide sufficient information to describe the job.</text> </paragraph> <paragraph num="(2)"> <text>Pursuant to 20 CFR §652.8(j) and COMAR 01.01.1988.05, Job Service shall fill all job orders on a nondiscriminatory basis, and shall decline any job order carrying a specification or limitation as to political or religious opinion or affiliation, marital status, race, color, creed, or national origin, or as to sex or age, unless sex or age constitutes a bona fide occupational qualification, or as to the physical or mental disability of a qualified individual with a disability.</text> </paragraph> <paragraph num="(3)"> <text>Pursuant to 20 CFR §652.8(j), Job Service shall accept and attempt to accommodate employers' valid affirmative action requests in job orders by referring a significant number of qualified applicants from the target groups.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Applicant. An individual may become a Job Service applicant by applying to Job Service.</text> </paragraph> <paragraph num="C."> <text>Job Referral.</text> <paragraph num="(1)"> <text>Job Service staff shall review the applicant's completed application to assess the applicant's qualifications.</text> </paragraph> <paragraph num="(2)"> <text>When appropriate, Job Service shall attempt to match the applicant's qualification with the specifications set forth in a job order or otherwise attempt to develop a job opportunity for the applicant.</text> </paragraph> <paragraph num="(3)"> <text>Job Service may refer one or more applicants to an employer in response to a job order.</text> </paragraph> <paragraph num="(4)"> <text>If an applicant fails to appear for three scheduled appointments with employers within a 12-month period, Job Service may refuse to refer the applicant for 1 year following the third missed appointment.</text> </paragraph> <paragraph num="(5)"> <text>Applicants exhibiting disruptive behavior at a public employment office on a given day may not be referred to an employer that day.</text> </paragraph> </paragraph> <paragraph num="D."> <text>No Guarantees. Neither the United States Department of Labor nor the Maryland Department of Labor guarantees the truthfulness or accuracy of information obtained from employers or applicants.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Determinations of Eligibility for Unemployment Insurance."> <paragraph num="A."> <text>Suitable Employment.</text> <paragraph num="(1)"> <text>The work test necessary to determine whether suitable work is available to an unemployment insurance claimant shall be performed by either Job Service staff, or another employee of the Department designated by the manager of the public employment office serving the claimant.</text> </paragraph> <paragraph num="(2)"> <text>The following factors shall be considered in making the determination if suitable work is available to a claimant:</text> <paragraph num="(a)"> <text>Claimant's skills;</text> </paragraph> <paragraph num="(b)"> <text>Claimant's training;</text> </paragraph> <paragraph num="(c)"> <text>Claimant's experience;</text> </paragraph> <paragraph num="(d)"> <text>Claimant's capabilities;</text> </paragraph> <paragraph num="(e)"> <text>Claimant's prior earnings;</text> </paragraph> <paragraph num="(f)"> <text>Claimant's length of unemployment;</text> </paragraph> <paragraph num="(g)"> <text>Claimant's prospects for securing customary occupation in the local area;</text> </paragraph> <paragraph num="(h)"> <text>The distance of available work from claimant's residence;</text> </paragraph> <paragraph num="(i)"> <text>Wages, hours, or other conditions of the work offered are substantially less favorable than those prevailing for similar work in the locality;</text> </paragraph> <paragraph num="(j)"> <text>The position offered is vacant due directly to a strike, lockout, or other labor dispute;</text> </paragraph> <paragraph num="(k)"> <text>As a condition of being employed, the individual will be required to forfeit rights secured by the National Labor Relations Act; and</text> </paragraph> <paragraph num="(l)"> <text>Any other factors that the Secretary determines are relevant.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Approved Training.</text> <paragraph num="(1)"> <text>Job Service shall determine whether an employment-related training program is approved for the purposes of granting a work search waiver to unemployment insurance claimants.</text> </paragraph> <paragraph num="(2)"> <text>Job Service shall consider the following factors in determining whether to approve a training program:</text> <paragraph num="(a)"> <text>Whether the prospects for the claimant's employment in the occupation for which the claimant has existing training and experience are minimal;</text> </paragraph> <paragraph num="(b)"> <text>Whether the training program will prepare the claimant for employment in a career in which there are job opportunities;</text> </paragraph> <paragraph num="(c)"> <text>Whether participating in the training program will effectively prevent the claimant from conducting work search or employment activities during the claimant's normal work hours;</text> </paragraph> <paragraph num="(d)"> <text>Whether the claimant could reasonably be required to attend a similar training program at times that would not conflict with the claimant's normal work hours;</text> </paragraph> <paragraph num="(e)"> <text>Whether the claimant has been accepted into the training program; and</text> </paragraph> <paragraph num="(f)"> <text>Any other factors that the Secretary determines are relevant.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>A work search exemption may not be granted for:</text> <paragraph num="(a)"> <text>A self-study program that does not require on-premises attendance;</text> </paragraph> <paragraph num="(b)"> <text>A program not accredited by or approved by the appropriate authority, unless the program lasts 13 weeks or less and the training is in a field for which there are jobs in the local labor market; or</text> </paragraph> <paragraph num="(c)"> <text>Education leading to a college or post-college degree, unless the claimant will attain the degree in 26 weeks or less and the training is in a field for which there are jobs in the local labor market.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>A claimant who is granted a work search waiver due to participation in approved training shall submit each week attendance and progress reports on Department forms.</text> </paragraph> <paragraph num="(5)"> <text>A claimant who fails to attend training or to submit the required forms shall have the work search exemption withdrawn.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Job Service Fees."> <paragraph num="A."> <text>Job Service may not charge a referral fee to individuals who seek employment.</text> </paragraph> <paragraph num="B."> <text>Job Service may not charge a fee to employers for placing job orders.</text> </paragraph> <paragraph num="C."> <text>Job Service may charge a fee to employers requesting special services such as interviewing, screening, or training applicants at a location other than a public employment office.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Job Service Complaint System."> <paragraph num="A."> <text>Complaints. Both of the following types of complaints shall be made and processed in accordance with the Job Service Complaint System described in 20 CFR §§658.400—658.418:</text> <paragraph num="(1)"> <text>Complaints that are made against an employer about the specific job to which the applicant was referred by Job Service and that allege a violation of employment-related law or of the terms and conditions of the job order; and</text> </paragraph> <paragraph num="(2)"> <text>Complaints about Job Service actions or omissions.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Hearings. The Office of Administrative Hearings shall hold the Job Service Complaint System hearings as required in 29 CFR §658.417, using the procedures set forth in COMAR Title 28.</text> </paragraph> <paragraph num="C."> <text>Complaints alleging discrimination shall be filed and processed according to the procedures in 29 CFR 31 and 32.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Waiver."> <text>The Secretary may waive or vary particular provisions of these regulations to the extent that the waiver is not inconsistent with relevant State or federal law.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8-303 and 8-305, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 4, 1976 (3:3 Md. R. 149)</annotation> <annotation type="History" subtype="Administrative History">(Transferred from Department of Human Services to Department of Employment and Training, effective October 1, 1983; recodified from COMAR 07.05.02 to</annotation> <annotation type="History" subtype="Administrative History">24.03.01)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04, Job Service Bank System, repealed and Regulations .01—.09, Job Service, adopted effective August 3, 1992 (19:15 Md. R. 1393)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective December 21, 1992 (19:25 Md. R. 2208)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.03.01 to COMAR 09.33.01, May 1996</annotation> </annotations> </chapter> <chapter num="02" heading="Economic Stabilization"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The Economic Stabilization Act regulations provide notice requirements and guidelines for employers faced with a major reduction in the workforce.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Exemptions."> <text>This chapter does not apply to a reduction in operations as described in Labor and Employment Article, §11-302, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Bulk claims” means deploying Maryland Division of Unemployment Insurance to the employer’s and employees’ place of business to assist the employees in filing unemployment claims through the unemployment online claim filing system for incidents where 25 or more workers are laid off at one time.</text> </paragraph> <paragraph num="(2)"> <text>“Employee” has the meaning stated in Labor and Employment Article, §11-301(b), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(3)"> <text>Employer.</text> <paragraph num="(a)"> <text>“Employer” means a person, corporation, or other entity that:</text> <paragraph num="(i)"> <text>Operates an industrial, commercial, or business enterprise;</text> </paragraph> <paragraph num="(ii)"> <text>Employs at least 50 employees;</text> </paragraph> <paragraph num="(iii)"> <text>Has been operating for at least 1 year; and</text> </paragraph> <paragraph num="(iv)"> <text>Is operating in the State of Maryland.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Employer” does not mean the State or its political subdivisions.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>“Permanent” has the meaning stated in Labor and Employment Article, §11-301(d), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>“Reduction in operations” has the meaning stated in Labor and Employment Article, §11-301(e), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Remote worker” refers to an employee, or multiple employees operating under the same Employer Identification Number, with a permanent work arrangement under which they are scheduled to perform duties, responsibilities, and other authorized activities of such employee’s position at an approved worksite other than the assigned workplace.</text> </paragraph> <paragraph num="(7)"> <text>“Secretary” means the Secretary of the Maryland Department of Labor.</text> </paragraph> <paragraph num="(8)"> <text>“Telework” refers to a worksite flexibility agreement for the purpose of allowing an employee or employees to perform their duties, responsibilities, and other authorized activities of such employee’s position from an approved alternative worksite other than the employee’s official duty station.</text> </paragraph> <paragraph num="(9)"> <text>Workplace.</text> <paragraph num="(a)"> <text>“Workplace” has the meaning stated in Labor and Employment Article, §11-301(f), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Workplace” includes the official duty station or agency worksite for telework employees within the State of Maryland.</text> </paragraph> <paragraph num="(c)"> <text>“Workplace” includes the entire State of Maryland, which is considered a single workplace for any remote worker or collection of remote workers.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Notice."> <text>At least 60 calendar days prior to initiating a reduction in operations, an employer shall provide written notice as required by Labor and Employment Article, §11-305, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Guidelines for Employers Anticipating a Permanent Reduction in Operations."> <paragraph num="A."> <text>Employers facing a reduction in shall use their best efforts to meet with employee representatives regarding concessions or alternatives, or both, in an effort to prevent closure and the reduction in operations.</text> </paragraph> <paragraph num="B."> <text>Termination Phase-In.</text> <paragraph num="(1)"> <text>Meet with employee representatives regarding concessions or alternatives, or both, to closure in order to save the place and save jobs;</text> </paragraph> <paragraph num="(2)"> <text>If collective bargaining agreements are in force, then the employer shall implement the provisions of each agreement as the agreement pertains to termination and seniority.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Post Termination Benefits.</text> <paragraph num="(1)"> <text>Employers should consider continuing non-work-related benefits for as long as feasible following termination.</text> </paragraph> <paragraph num="(2)"> <text>Employers should consider offering laid-off employees the following benefits:</text> <paragraph num="(a)"> <text>Health care coverage or the option of continuing, at the employee's own expense, the employee's current health care coverage:</text> <paragraph num="(i)"> <text>For at least 6 months following termination; or</text> </paragraph> <paragraph num="(ii)"> <text>Until other employment is secured;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Participation rights in employee credit unions; and</text> </paragraph> <paragraph num="(c)"> <text>Other special company benefits.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Special Termination Benefits.</text> <paragraph num="(1)"> <text>Employers should consider providing the following special benefits:</text> <paragraph num="(a)"> <text>Retraining allowances, which:</text> <paragraph num="(i)"> <text>Could range from $1,000 to $1,800; and</text> </paragraph> <paragraph num="(ii)"> <text>Can be utilized by any employee who both enrolls and completes a retraining program or career-related educational program;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>A severance pay package tied to the employee's wage level or length of employment, or both;</text> </paragraph> <paragraph num="(c)"> <text>Job search assistance or job clubs which include instruction on how to:</text> <paragraph num="(i)"> <text>Market employment skills;</text> </paragraph> <paragraph num="(ii)"> <text>Complete resumes/applications;</text> </paragraph> <paragraph num="(iii)"> <text>Interview;</text> </paragraph> <paragraph num="(iv)"> <text>Look for work; and</text> </paragraph> <paragraph num="(v)"> <text>Utilize labor market information.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Employers may implement on-site displaced worker centers to provide a central place for the dissemination of all termination services and information.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Assistance from the Maryland Department of Labor."> <paragraph num="A."> <text>The Maryland Department of Labor shall make the Rapid Response Program available to employers consisting of:</text> <paragraph num="(1)"> <text>On-site unemployment insurance bulk claims registration;</text> </paragraph> <paragraph num="(2)"> <text>Registration of federal trade readjustment services;</text> </paragraph> <paragraph num="(3)"> <text>Labor market and retraining information;</text> </paragraph> <paragraph num="(4)"> <text>Job placement services;</text> </paragraph> <paragraph num="(5)"> <text>Job seeking and finding information; and</text> </paragraph> <paragraph num="(6)"> <text>Referral to retraining opportunities.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Maryland Department of Labor shall assist employers in planning for and implementing a program to provide reemployment services for displaced or soon to be displaced workers by attempting to provide:</text> <paragraph num="(1)"> <text>Assistance with planning for reemployment services to the work force;</text> </paragraph> <paragraph num="(2)"> <text>Assistance with planning for and implementing an on-site displaced worker assistance center; and</text> </paragraph> <paragraph num="(3)"> <text>Financial resources, as available, to assist with a wide range of employment and training services.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Mechanisms to Start Assistance Programs from the Maryland Department of Labor."> <paragraph num="A."> <text>.Employers may contact the Assistant Secretary for the Division of Workforce Development and Adult Learning.</text> </paragraph> <paragraph num="B."> <text>The Secretary shall:</text> <paragraph num="(1)"> <text>Monitor layoffs to identify employers who are likely to experience a reduction in operations;</text> </paragraph> <paragraph num="(2)"> <text>Identify employers likely to experience a reduction in operations; and</text> </paragraph> <paragraph num="(3)"> <text>Contact all employers in the State who appear to be faced with or planning a permanent reduction in operations. This contact shall be:</text> <paragraph num="(a)"> <text>; Considered confidential, commercial, and financial information;</text> </paragraph> <paragraph num="(b)"> <text>Directed to the chief executive of the business; and</text> </paragraph> <paragraph num="(c)"> <text>For the purpose of offering:</text> <paragraph num="(i)"> <text>Planning assistance; and</text> </paragraph> <paragraph num="(ii)"> <text>Assistance in providing services, if needed.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>If the employer approves, the Maryland Department of Labor may contact other partner organizations to provide whatever assistance and resources are deemed appropriate.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Order Compelling Compliance."> <paragraph num="A."> <text>Issuance.</text> <paragraph num="(1)"> <text>If, after investigation, the Secretary, or the Secretary’s designee, believes an employer has violated Labor and Employment Article, §11-305, Annotated Code of Maryland, or a regulation adopted pursuant to this Act, the Secretary shall, with reasonable promptness, issue an order compelling compliance.</text> </paragraph> <paragraph num="(2)"> <text>An order shall:</text> <paragraph num="(a)"> <text>Be in writing;</text> </paragraph> <paragraph num="(b)"> <text>Describe with specificity the nature of the alleged violation;</text> </paragraph> <paragraph num="(c)"> <text>State the penalty, if any, that the Secretary proposes to assess under Labor and Employment Article, §11-306, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(d)"> <text>Inform a party of the requirements of §B(2) of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Enforcement.</text> <paragraph num="(1)"> <text>A party to whom an order is issued may file with the Secretary, or the Secretary’s designee, a written notice of contest to the proposed penalty.</text> </paragraph> <paragraph num="(2)"> <text>Notice shall be:</text> <paragraph num="(a)"> <text>In writing; and</text> </paragraph> <paragraph num="(b)"> <text>Postmarked within 15 business days of the date of the order.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>If a party does not file proper notice of contest, any proposed penalty becomes final upon the expiration of 15 business days following the party's receipt of the order.</text> </paragraph> <paragraph num="(4)"> <text>If a party files a notice of contest in accordance with this regulation, the Secretary, or the Secretary’s designee, shall delegate the hearing to the Office of Administrative Hearings.</text> </paragraph> <paragraph num="(5)"> <text>A contested hearing shall be governed by COMAR 09.01.03.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Penalties and Scope."> <paragraph num="A."> <text>This regulation applies to the assessment of civil penalties by the Secretary, or the Secretary’s designee, under Labor and Employment Article, §11-306, Annotated Code of Maryland, in all cases arising from a violation of Labor and Employment Article, §11-305, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>In assessing a penalty for a violation of the law, a regulation, or an order, the Secretary or the Secretary’s designee shall consider the factors listed in Labor and Employment Article, §11-306(b), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§11-301—11-306, State Government Article, §10-206, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 19, 1986 (13:10 Md. R. 1158)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.03.03 to COMAR 24.03.02</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.03.02 to COMAR 09.33.02, May 1996</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective October 13, 2025 (52:20 Md. R. 1000)</annotation> </annotations> </chapter> <chapter num="03" heading="Hospital Employees Retraining Program"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The purpose of these regulations is to establish a program to provide employment and retraining assistance to displaced hospital employees who are unemployed or may become unemployed due to a hospital's change in status as more particularly described in Health-General Article, Title 19, Subtitle 3, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Acquisition” has the meaning stated in Labor and Employment Article, §11-201(a)(2), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Closure” has the meaning stated in Labor and Employment Article, §11-201(a)(3), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(3)"> <text>“Commission” means the Health Services Cost Review Commission.</text> </paragraph> <paragraph num="(4)"> <text>“Division” means the Division of Workforce Development and Adult Learning of the Maryland Department of Labor.</text> </paragraph> <paragraph num="(5)"> <text>“Downsize” has the meaning stated in Labor and Employment Article, §11-201(a)(5), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(6)"> <text>“Full delicensure” has the meaning stated in Health-General Article, §19-326.1(a)(6), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(7)"> <text>“Fund” has the meaning stated in Labor and Employment Article, §11-201(g), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(8)"> <text>“Hospital” means a health care facility as defined in Health-General Article, §19-301(f), Annotated Code of Maryland, whose rates have been approved by the Commission.</text> </paragraph> <paragraph num="(9)"> <text>“May become unemployed” means the employee is at risk of displacement during the next 90 days due to hospital acquisition, closure, partial closure, merger, delicensure, partial delicensure, or downsizing, and the:</text> <paragraph num="(a)"> <text>Employee has received written notice from the hospital that the employee is in a position or job classification that may be affected by acquisition, closure, partial closure, merger, delicensure, partial delicensure, or downsizing;</text> </paragraph> <paragraph num="(b)"> <text>Hospital has notified the Maryland Department of Labor or the Commission, pursuant to Regulation .03B(1) of this chapter, that the employee will be laid off due to acquisition, closure, partial closure, merger, delicensure, partial delicensure, or downsizing; or</text> </paragraph> <paragraph num="(c)"> <text>Hospital has notified the Maryland Department of Labor, pursuant to Regulation .03B(2) of this chapter, that the employee will be laid off.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Merger” has the meaning stated in Labor and Employment Article, §11-201(a)(6), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(11)"> <text>“Partial closure” has the meaning stated in Labor and Employment Article, §11-201(a)(7), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(12)"> <text>“Partial delicensure” has the meaning stated in Health-General Article, §19-326.1(a)(9), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(13)"> <text>“Physician” has the meaning stated in Health-General Article, §1-101(j), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(14)"> <text>“Physician assistant” has the meaning stated in Health Occupations Article, §15-101(o), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(15)"> <text>“Program” means the program established for the retraining of and job search assistance for eligible hospital employees who may become unemployed.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Eligibility for Services."> <paragraph num="A."> <text>An individual may be eligible for service through the Hospital Employees Retraining Program if the individual:</text> <paragraph num="(1)"> <text>Is included in a hospital's listing of employees scheduled for layoff as required by §B of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>Either meets the eligibility requirements for unemployment insurance benefits under Labor and Employment Article, Title 8, Annotated Code of Maryland, or may become unemployed and provides the Maryland Department of Labor with a copy of any notice received from the hospital which informed the individual that the individual may become unemployed;</text> </paragraph> <paragraph num="(3)"> <text>Is not an independent third-party contractor; and</text> </paragraph> <paragraph num="(4)"> <text>Is not an executive employee, physician or physician’s assistant.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Voluntary Closure, Merger, Downsizing, or Delicensure of Hospital.</text> <paragraph num="(1)"> <text>A hospital that is:</text> <paragraph num="(a)"> <text>Planning to close;</text> </paragraph> <paragraph num="(b)"> <text>Planning to partially close;</text> </paragraph> <paragraph num="(c)"> <text>Planning to merge with another institution voluntarily;</text> </paragraph> <paragraph num="(d)"> <text>Is subject to acquisition; or</text> </paragraph> <paragraph num="(e)"> <text>Has been fully or partially delicensed by the Secretary of Health, shall provide the Maryland Department of Labor and the Commission with a listing of all employees who will be laid off due to the circumstances described in this Regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A hospital that is planning to downsize shall provide the Maryland Department of Labor with a listing of employees who will be laid off due to downsizing of the hospital.</text> </paragraph> <paragraph num="(3)"> <text>The hospital shall submit the listing at least 90 days before the scheduled date of the voluntary closure, partial closure, acquisition, downsizing, or merger, or within 90 days of full or partial delicensure by the Secretary of Health. However, the period may be waived in whole or in part by the Maryland Department of Labor and the Commission for good cause.</text> </paragraph> <paragraph num="(4)"> <text>The hospital shall include the following information in the listing for each affected employee:</text> <paragraph num="(a)"> <text>Full name;</text> </paragraph> <paragraph num="(b)"> <text>Social Security number;</text> </paragraph> <paragraph num="(c)"> <text>Job title;</text> </paragraph> <paragraph num="(d)"> <text>Description of job duties;</text> </paragraph> <paragraph num="(e)"> <text>Length of service;</text> </paragraph> <paragraph num="(f)"> <text>Rate of pay at time of layoff; and</text> </paragraph> <paragraph num="(g)"> <text>Scheduled date of layoff.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Services Provided."> <paragraph num="A."> <text>The Hospital Employees Retraining Program shall be administered in accordance with guidelines and policies, adopted by the Division.</text> </paragraph> <paragraph num="B."> <text>Availability of Services.</text> <paragraph num="(1)"> <text>The provision of services under this chapter is subject to the continued availability of monies in the Hospital Employees Retraining Fund.</text> </paragraph> <paragraph num="(2)"> <text>The Maryland Department of Labor may decide how to allocate funds in the Hospital Employees Retraining Fund in order to serve hospital employees who are unemployed or may become unemployed as a result of the closure, downsizing, merger, or delicensure of a hospital.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Filing of Complaints."> <paragraph num="A."> <text>A hospital employee may file a complaint regarding a determination of eligibility or the provision of services under the Hospital Employees Retraining Program.</text> </paragraph> <paragraph num="B."> <text>Complaints may be filed in writing with the Assistant Secretary of the Division.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Hospital Employees Retraining Fund."> <paragraph num="A."> <text>The Maryland Department of Labor shall establish a Hospital Employees Retraining Fund to pay for the costs of the Hospital Employees Retraining Program.</text> </paragraph> <paragraph num="B."> <text>Fund Revenues.</text> <paragraph num="(1)"> <text>If a hospital closes, merges, or is fully delicensed and workers are displaced under Health-General Article, §19-325, Annotated Code of Maryland, the Health Services Cost Review Commission shall assess a fee as required by Health-General Article, §19-326.1(b), Annotated Code of Maryland, to be paid within 30 days of the assessment.</text> </paragraph> <paragraph num="(2)"> <text>Each hospital regulated by the Commission shall pay an annual fee as required by Health-General Article, §19-326.1(c)(1), Annotated Code of Maryland, by July 1 of each year.</text> </paragraph> <paragraph num="(3)"> <text>If a hospital does not pay the fee by the date specified in this section, the Maryland Department of Labor shall assess interest on the amount due at the rate of 1-1/2 percent per month calculated on a daily basis.</text> </paragraph> <paragraph num="(4)"> <text>If in any year the Fund is depleted, each hospital regulated by the Commission shall pay to the Department a direct remittance to address the needs resulting from a partial closure, downsizing, acquisition, or partial delicensure of a hospital, as required by Health-General Article, §19-326.1(d), Annotated Code of Maryland, within 30 days of receipt of the notice of assessment from the Commission.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Hospital Employees Retraining Fund may be used only for expenses incurred for the administration and operation of the Hospital Employees Retraining Program including the costs of maintaining the Fund. Allowable costs may include but are not limited to:</text> <paragraph num="(1)"> <text>Training, employment, and supportive services pursuant to the policies of the Division;</text> </paragraph> <paragraph num="(2)"> <text>Payments to vendors to provide services necessary for the operation of the Program; and</text> </paragraph> <paragraph num="(3)"> <text>Administrative costs for the management of the Program and the Fund, which may not exceed 15 percent of the total program costs.</text> </paragraph> </paragraph> <paragraph num="D."> <text>At the end of each fiscal year ending on June 30, any unexpended funds remaining in the Fund shall be returned to the hospitals that contributed to the Fund on a pro rata basis as required by Labor and Employment Article, §11-201(h), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§2-102 and 2-105;Health-General Article, §§19-223, 19-325, and 19-326.1;Labor and Employment Article, §11-201; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.06 adopted as an emergency provision effective July 18,</annotation> <annotation type="History" subtype="Administrative History">1986 (13:16 Md. R. 1824); emergency status expired October 31, 1986</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.06 adopted effective September 7, 1987 (14:18 Md. R. 1968)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.03.04 to COMAR 24.03.03</annotation> <annotation type="History" subtype="Administrative History">Regulations .03, .05, and .06 amended effective August 3, 1992 (19:15 Md. R. 1393)</annotation> <annotation type="History" subtype="Administrative History">Chapter recodified from COMAR 24.03.03 to COMAR 09.33.03, May 1996</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective December 29, 1997 (24:26 Md. R. 1757); July 25, 2022 (49:15 Md. R. 738)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective December 29, 1997 (24:26 Md. R. 1757)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective July 25, 2022 (49:15 Md. R. 738)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective December 29, 1997 (24:26 Md. R. 1757); July 25, 2022 (49:15 Md. R. 738)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 amended effective December 29, 1997 (24:26 Md. R. 1757); July 25, 2022 (49:15 Md. R. 738)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B amended effective July 25, 2022 (49:15 Md. R. 738)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective December 29, 1997 (24:26 Md. R. 1757)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B, C amended effective July 25, 2022 (49:15 Md. R. 738)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06D adopted effective July 25, 2022 (49:15 Md. R. 738)</annotation> </annotations> </chapter> </subtitle> <subtitle num="34" heading="Office of Cemetery Oversight"> <chapter num="01" heading="Registration and Permit Requirements"> <regulation prefix="Regulation" num=".01" heading="Scope."> <paragraph num="A."> <text>This chapter governs the:</text> <paragraph num="(1)"> <text>Registration of individuals who operate cemeteries and provide burial goods for either human or pet remains in the State; and</text> </paragraph> <paragraph num="(2)"> <text>Application procedures for persons requiring a permit to operate a cemetery or provide burial goods for either human or pet remains in this State.</text> </paragraph> </paragraph> <paragraph num="B."> <text>This chapter does not apply to:</text> <paragraph num="(1)"> <text>A person that owns and operates a bona fide religious, nonprofit cemetery in this State;</text> </paragraph> <paragraph num="(2)"> <text>The operation of a funeral establishment in this State, including the sale of burial goods in the ordinary course of the funeral establishment's business;</text> </paragraph> <paragraph num="(3)"> <text>A licensed funeral director acting within the scope of a State funeral director's license;</text> </paragraph> <paragraph num="(4)"> <text>A mortician acting within the scope of a State mortician's license;</text> </paragraph> <paragraph num="(5)"> <text>A not-for-profit organization created before 1900 by an act of the General Assembly;</text> </paragraph> <paragraph num="(6)"> <text>A county, city, or municipal corporation that owns and operates a cemetery in the State; or</text> </paragraph> <paragraph num="(7)"> <text>A veterans' cemetery operated by the State.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Balance sheet” means a statement of financial position which presents assets, liabilities, and stockholders' equity or fund balance, and distinguishes current assets and current liabilities from other assets and liabilities.</text> </paragraph> <paragraph num="(2)"> <text>“Bona fide religious, nonprofit cemetery” means a cemetery which is owned and operated solely by a religious organization and is established as a nonprofit business entity.</text> </paragraph> <paragraph num="(3)"> <text>“Burial goods” means goods that are used in connection with either human or pet burial.</text> </paragraph> <paragraph num="(4)"> <text>“Cemetery” means the interment of either human or pet remains.</text> </paragraph> <paragraph num="(5)"> <text>“Comparative balance sheet” means a statement of financial position which presents assets, liabilities, and stockholders' equity or fund balance, and compares a previous year's results with the most recent year's results.</text> </paragraph> <paragraph num="(6)"> <text>“Contract” means an agreement between a consumer and a cemetery or burial goods business for any service or any burial good purchased from a cemetery or burial goods business.</text> </paragraph> <paragraph num="(7)"> <text>“Development stage enterprise financial sheet” means a financial statement which is prepared in conformity with generally accepted accounting principles and which includes the following:</text> <paragraph num="(a)"> <text>A balance sheet;</text> </paragraph> <paragraph num="(b)"> <text>An income statement;</text> </paragraph> <paragraph num="(c)"> <text>A statement of changes in financial position; and</text> </paragraph> <paragraph num="(d)"> <text>A detailed statement of stockholders' equity.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Director” means the Director of the Office of Cemetery Oversight.</text> </paragraph> <paragraph num="(9)"> <text>“Office” means the Office of Cemetery Oversight.</text> </paragraph> <paragraph num="(10)"> <text>“Registered cemeterian” means an individual who:</text> <paragraph num="(a)"> <text>Is registered to operate a cemetery as a sole proprietor or on behalf of a sole proprietor or permit holder; and</text> </paragraph> <paragraph num="(b)"> <text>May employ sales counselors to provide burial space, goods, or services.</text> </paragraph> </paragraph> <paragraph num="(11)"> <text>“Registered sales counselor” means an individual employed by a cemetery or burial goods business who provides burial space, goods, or services.</text> </paragraph> <paragraph num="(12)"> <text>“Registered seller” means an individual who:</text> <paragraph num="(a)"> <text>Is registered to provide burial goods as a sole proprietor or on behalf of a sole proprietor or permit holder to operate a burial goods business; and</text> </paragraph> <paragraph num="(b)"> <text>May employ sales counselors.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>“Responsible party” means a sole proprietor or the individual designated by a partnership, limited liability company, or corporation to be responsible for the operations of a cemetery or burial goods business.</text> </paragraph> <paragraph num="(14)"> <text>“Substantial doubt” means that a certified public accountant, after reviewing a business's balance sheet, related note disclosures, and supplementary information, determines that a company's ability to continue as a going concern is in doubt or that a company is unable to continue to meet its obligations as they become due without substantial disposition of assets outside the ordinary course of business, restructuring of debt, externally forced revisions of its operations, or similar actions.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Exception from Permit and Registration Requirements."> <paragraph num="A."> <text>Except as provided in §§C and D of this regulation, a bona fide religious, nonprofit cemetery is exempt from the permit requirements in this chapter.</text> </paragraph> <paragraph num="B."> <text>Except as provided in §§C and D of this regulation, an owner, operator, or employee of a bona fide religious, nonprofit cemetery is exempt from the registration requirements of this chapter.</text> </paragraph> <paragraph num="C."> <text>A bona fide religious, nonprofit cemetery in which burials have taken place within the previous 5 years, shall file with the Director, once every 2 years, a statement that includes the name, address, and telephone number of the:</text> <paragraph num="(1)"> <text>Cemetery;</text> </paragraph> <paragraph num="(2)"> <text>Religious organization that owns and operates the cemetery; and</text> </paragraph> <paragraph num="(3)"> <text>Individual who is responsible for the oversight of the cemetery.</text> </paragraph> </paragraph> <paragraph num="D."> <text>If the Director determines that a cemetery claiming exemption under Business Regulation, §5-102, Annotated Code of Maryland, is no longer exempt, that cemetery and its owners, operators, and employees shall apply for the required permits and registrations within 30 days of the determination.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Permit—Requirements for Initial Permit of Business."> <paragraph num="A."> <text>A corporation, limited liability company, or partnership shall receive a permit to operate a cemetery or to provide burial goods in this State if the corporation, limited liability company, or partnership meets the permit requirements in this regulation.</text> </paragraph> <paragraph num="B."> <text>A corporation, limited liability company, or partnership shall receive a permit from the Office if the entity:</text> <paragraph num="(1)"> <text>Completes an application on a form provided by the Director;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable permit fees under COMAR 09.34.03;</text> </paragraph> <paragraph num="(3)"> <text>Provides the name, address, and phone number of each affiliated cemetery or burial goods business;</text> </paragraph> <paragraph num="(4)"> <text>Designates a registered cemeterian or registered seller as the responsible party for each affiliated cemetery or burial goods business provided that the registered cemeterian or registered seller may not be designated as the responsible party for more than a combined total of three cemeteries or burial goods businesses;</text> </paragraph> <paragraph num="(5)"> <text>Provides a list of the officers, directors, members, partners, agents, and employees of the entity applying for the permit;</text> </paragraph> <paragraph num="(6)"> <text>Provides the number of required sales contracts entered into within the business' last 2 fiscal years; and</text> </paragraph> <paragraph num="(7)"> <text>Complies with the appropriate financial stability requirements under Regulation .06 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Registration — Requirements for Initial Registration of Individuals Who Operate Cemeteries or Provide Burial Goods."> <paragraph num="A."> <text>An individual shall be registered by the Office if the individual meets the registration requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>An individual shall be registered with the Office if the individual:</text> <paragraph num="(1)"> <text>Completes a registration application supplied by the Office;</text> </paragraph> <paragraph num="(2)"> <text>Pays the initial nonrefundable application fee and any additional fees set by the Director under COMAR 09.34.03;</text> </paragraph> <paragraph num="(3)"> <text>Is 18 years old or older;</text> </paragraph> <paragraph num="(4)"> <text>Is of good character and reputation, and lists the applicant's previous three employers;</text> </paragraph> <paragraph num="(5)"> <text>States the name and mailing address of the cemetery or burial goods business with which the applicant is affiliated;</text> </paragraph> <paragraph num="(6)"> <text>States whether the cemetery or burial goods business with which the applicant is affiliated is owned or controlled by:</text> <paragraph num="(a)"> <text>A partnership;</text> </paragraph> <paragraph num="(b)"> <text>A limited liability company;</text> </paragraph> <paragraph num="(c)"> <text>A corporation; or</text> </paragraph> <paragraph num="(d)"> <text>A sole proprietorship;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>States whether the application is for:</text> <paragraph num="(a)"> <text>Registered cemeterian;</text> </paragraph> <paragraph num="(b)"> <text>Registered seller;</text> </paragraph> <paragraph num="(c)"> <text>Sales counselor; and</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>If the applicant is a responsible party, demonstrates financial stability under Regulation .06 of this chapter for the permit or sole proprietor application of the cemetery or burial goods business with which the applicant is affiliated.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Additional Requirements.</text> <paragraph num="(1)"> <text>An individual applying for initial registration shall provide the Office with a detailed description of activities including, but not limited to, whether the applicant has:</text> <paragraph num="(a)"> <text>Had a license, certification, registration, or permit of the type for which application is being made ever denied, suspended, or revoked by Maryland or any jurisdiction;</text> </paragraph> <paragraph num="(b)"> <text>Been convicted of a felony in any state or federal court;</text> </paragraph> <paragraph num="(c)"> <text>Been convicted in any state or federal court of a misdemeanor directly related to the ownership or operation of a cemetery or burial goods business;</text> </paragraph> <paragraph num="(d)"> <text>Had any civil judgments or settlements within the 5 years before applying for registration which relate directly to the operation of a cemetery or providing burial goods or services;</text> </paragraph> <paragraph num="(e)"> <text>Been convicted by a court in this State of violating a usury provision under Commercial Law Article, Title 12, Annotated Code of Maryland, or an unfair and deceptive trade practices provision under Commercial Law Article, Title 13, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(f)"> <text>Filed for bankruptcy.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Additional Information. An applicant shall submit copies of all:</text> <paragraph num="(a)"> <text>Charging documents which were issued and docket entries for convictions which occurred before applying for registration, for a misdemeanor or felony referred to in §C(1) of this regulation;</text> </paragraph> <paragraph num="(b)"> <text>Disciplinary actions, judgments, and final orders which occurred or were issued, before applying for registration for any regulatory probation, suspension, or revocation, referred to in §C(1)(a) of this regulation, in Maryland or any jurisdiction; and</text> </paragraph> <paragraph num="(c)"> <text>Civil judgments or settlements against the applicant within the past 5 years which relate directly to the operation of a cemetery or providing burial goods.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>An individual may not be designated as the responsible party for more than a combined total of three cemeteries or burial goods businesses.</text> </paragraph> <paragraph num="E."> <text>An individual may be issued registrations for affiliations with more than one cemetery or burial goods business if each affiliated cemetery or burial goods business is owned by the same individual or entity.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Business Application — Financial Stability."> <paragraph num="A."> <text>The following are the categories of cemeteries and burial goods businesses for purposes of determining financial stability:</text> <paragraph num="(1)"> <text>A for-profit cemetery or a cemetery which sells burial goods making initial application;</text> </paragraph> <paragraph num="(2)"> <text>A nonprofit cemetery which does not sell burial goods making initial or renewal application;</text> </paragraph> <paragraph num="(3)"> <text>A for-profit cemetery or a cemetery which sells burial goods applying for renewal of permit;</text> </paragraph> <paragraph num="(4)"> <text>A burial goods business or new burial goods business making initial application, or existing burial goods business applying for renewal;</text> </paragraph> <paragraph num="(5)"> <text>A new cemetery which sells burial goods or new cemetery which does not sell burial goods; and</text> </paragraph> <paragraph num="(6)"> <text>A cemetery which no longer sells goods or space and in which an average of five or fewer interments have occurred within the past 3 fiscal years.</text> </paragraph> </paragraph> <paragraph num="B."> <text>To determine financial stability of each category of affiliated cemetery or burial goods business, the responsible party shall:</text> <paragraph num="(1)"> <text>Submit an application on a form supplied by the Director;</text> </paragraph> <paragraph num="(2)"> <text>Be in good standing with the Maryland Department of Assessments and Taxation or have an equivalent status, as determined by the Director;</text> </paragraph> <paragraph num="(3)"> <text>Submit any additional documentation required as set forth in §§C—H of this regulation; and</text> </paragraph> <paragraph num="(4)"> <text>If the applicant is a cemetery, state whether the cemetery is organized as a for-profit or nonprofit operation and whether it sells burial goods.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The responsible party for a cemetery described in §A(1) of this regulation shall submit:</text> <paragraph num="(1)"> <text>A balance sheet; and</text> </paragraph> <paragraph num="(2)"> <text>A review by a certified public accountant retained by the affiliated cemetery, prepared in accordance with generally accepted accounting principles, as to the financial stability of the cemetery.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The responsible party for a cemetery described in §A(2) of this regulation shall submit an affidavit which states that the cemetery does not sell burial goods and has nonprofit status.</text> </paragraph> <paragraph num="E."> <text>The responsible party for a cemetery in §A(3) of this regulation shall submit:</text> <paragraph num="(1)"> <text>A comparative balance sheet; and</text> </paragraph> <paragraph num="(2)"> <text>A review by a certified public accountant retained by the affiliated cemetery, prepared in accordance with accepted accounting principles, as to the financial stability of the cemetery.</text> </paragraph> </paragraph> <paragraph num="F."> <text>The responsible party for a burial goods business in §A(4) of this regulation shall submit the documents required by §B(1) and (2) of this regulation.</text> </paragraph> <paragraph num="G."> <text>Development Stage Enterprise Financial Sheet.</text> <paragraph num="(1)"> <text>The responsible party for a cemetery described in §A(5) of this regulation shall submit a development stage enterprise financial sheet, prepared in accordance with generally accepted accounting principles, by a certified public accountant retained by the affiliated cemetery.</text> </paragraph> <paragraph num="(2)"> <text>If the certified public accountant retained by the affiliated cemetery has substantial doubt about the reporting entity's ability to continue in business beyond 1 year from the development stage enterprise financial sheet, the certified public accountant shall specifically reference this concern in the development stage enterprise financial sheet.</text> </paragraph> </paragraph> <paragraph num="H."> <text>The responsible party for a cemetery described in §A(6) of this regulation shall submit an affidavit stating that the cemetery no longer sells space or goods and that there has been an average of five or fewer interments per year in the past 3 fiscal years.</text> </paragraph> <paragraph num="I."> <text>The balance sheet and the comparative balance sheet in this regulation shall include:</text> <paragraph num="(1)"> <text>Note disclosures which, if applicable to the affiliated cemetery or burial goods business, shall include:</text> <paragraph num="(a)"> <text>A description of how cemetery roadways, garden features, and other features of the cemetery are accounted for, whether as fixed assets and depreciated, or as cost of the grave space inventory and part of cost of sales as spaces are sold;</text> </paragraph> <paragraph num="(b)"> <text>The method of providing for allowance for cancellations on installment contracts;</text> </paragraph> <paragraph num="(c)"> <text>The method of accounting for developed burial gardens, constructed mausoleum crypt or niche inventories, and related cost of sales;</text> </paragraph> <paragraph num="(d)"> <text>Receivables sold with recourse;</text> </paragraph> <paragraph num="(e)"> <text>The method of accounting for preconstruction sales of burial gardens, mausoleum crypts, or niche spaces;</text> </paragraph> <paragraph num="(f)"> <text>A description of how the obligation for undelivered merchandise sold as preneed is accounted for;</text> </paragraph> <paragraph num="(g)"> <text>The method of recognizing preneed sales of services and related costs;</text> </paragraph> <paragraph num="(h)"> <text>The nature and amount of any perpetual care assets included in the classified balance sheet, which may or may not be in accordance with generally accepted accounting principles;</text> </paragraph> <paragraph num="(i)"> <text>The existence and nature of any nonstatutory trust funds;</text> </paragraph> <paragraph num="(j)"> <text>Loans or other amounts receivable from, or payable to, merchandise and service trust funds or perpetual care trust funds not otherwise reported on the face of the classified balance sheet or in the supplementary information; and</text> </paragraph> <paragraph num="(k)"> <text>A description of loans or other amounts receivable from, or payable to, shareholders, directors, trustees, or officers; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Supplementary information which, if applicable to the affiliated cemetery or burial goods business, shall include:</text> <paragraph num="(a)"> <text>Amounts of installment contracts receivable for which customer payments are more than 120 days beyond their scheduled payment dates and the dollar amounts that are beyond the 120 days; and</text> </paragraph> <paragraph num="(b)"> <text>Details of liabilities due upon collection of final payment on installment contracts receivable.</text> </paragraph> </paragraph> </paragraph> <paragraph num="J."> <text>The balance sheet and comparative balance sheet, related note disclosures, and supplementary information submitted to the Office shall be that of the most recently ended fiscal year of the affiliated cemetery. The comparative balance sheet shall also include a comparison with the statements submitted for the reported fiscal year in the previous application.</text> </paragraph> <paragraph num="K."> <text>If the certified public accountant has substantial doubt about the reporting entity's ability to continue in business beyond 1 year from the balance sheet date, the certified public accountant shall specifically reference this concern in the review report or related note disclosures, or both.</text> </paragraph> <paragraph num="L."> <text>If the cemetery or burial goods business is owned by a publicly traded company, or is owned by a company or individual that normally reports its financial statements on a consolidated basis, the balance sheet may be prepared on a combined basis for all of its cemeteries or burial goods businesses located in Maryland, only if the publicly traded company, company, or individual that owns multiple cemeteries or burial goods businesses guarantees its obligations to consumers among all of its Maryland properties or businesses that are included in the combined report.</text> </paragraph> <paragraph num="M."> <text>The Office may waive the financial stability requirement of this regulation only if the affiliated cemetery or burial goods business has fulfilled the financial stability requirements of this regulation within the past 2 years.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Change of Information."> <text>The responsible party shall notify the Office of any change in the information provided in the application for a permit or registration either before or after the issuance of a permit or registration within 1 week from the date of a change.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Setting of Fees."> <text>All fees shall be set by the Director. The fee schedule is set forth in COMAR 09.34.03.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Renewal."> <paragraph num="A."> <text>A person who is registered or permitted with the Office may renew registration or a permit every 2 years beginning on a date specified by the Office in the following manner:</text> <paragraph num="(1)"> <text>Complete the renewal application on a form supplied by the Director;</text> </paragraph> <paragraph num="(2)"> <text>Pay the renewal fee set in COMAR 09.34.03;</text> </paragraph> <paragraph num="(3)"> <text>Meet the initial registration or permit requirements under Regulations .04, .05, and .06 of this chapter;</text> </paragraph> <paragraph num="(4)"> <text>Submit the documentation required by Regulation .06 of this chapter, and (5) If a balance sheet is required, submit a comparative balance sheet, related note disclosures, and supplementary information based on the requirements for a comparative balance sheet of Regulation .06 of this chapter accompanied by a review report prepared by a retained certified public accountant.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Before the expiration date of the registration or permit, a registrant or permit holder shall complete and return the renewal form and renewal fee according to instructions. After the expiration date, if a registrant or permit holder has not yet applied for renewal, the registrant or permit holder is no longer authorized to engage in the operation of a cemetery or to provide burial goods in this State.</text> </paragraph> <paragraph num="C."> <text>If a registrant or permit holder completes and returns the renewal form before the deadline established by the Office, and the Office does not renew the registration or permit before the registration or permit expires, the registrant or permit holder is considered to be actively registered or permitted until receipt from the Office of either a renewed registration or permit or a notice of denial of registration or permit.</text> </paragraph> <paragraph num="D."> <text>If a registrant or permit holder applies for renewal past the renewal deadline established by the Office, the registrant or permit holder shall pay the renewal fee plus the late renewal fee under COMAR 09.34.03.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Lapsed Registration."> <text>A person who has been registered or permitted by the Office and who has allowed the registration or permit to lapse for at least 6 months may apply for registration or a permit in the following manner:</text> <paragraph num="A."> <text>Complete an initial registration or permit application on a form supplied by the Office;</text> </paragraph> <paragraph num="B."> <text>Pay the initial registration or permit fee and the late renewal fee under COMAR 09.34.03;</text> </paragraph> <paragraph num="C."> <text>Meet the initial registration or permit requirements under Regulations .04, .05, and .06 of this chapter;</text> </paragraph> <paragraph num="D."> <text>Submit the documentation required by Regulation .06 of this chapter;</text> </paragraph> <paragraph num="E."> <text>If a balance sheet is required, submit a comparative balance sheet, related note disclosures, and supplementary information based on the requirements for a comparative balance sheet of Regulation .06 of this chapter accompanied by a review report prepared by a retained certified public accountant; and</text> </paragraph> <paragraph num="F."> <text>Provide a full, written explanation to the Office detailing the reasons why the registration or permit was allowed to expire and why registration or a permit is now sought.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Hearings."> <paragraph num="A."> <text>Registration or Permit Denial. An applicant, registrant, or permit holder applying for an initial or renewal registration or permit may be denied approval subject to the hearing provisions of Business Regulation Article, §5-311, Annotated Code of Maryland, for any of the grounds listed in Business Regulation Article, §5-310, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Hearing Before Director.</text> <paragraph num="(1)"> <text>Except as otherwise provided in §B(2)—(6) of this regulation, all contested case hearings before the Director shall be governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="(2)"> <text>In addition to the actions provided in COMAR 09.01.02.03C, the Director shall attempt to negotiate a settlement of a complaint between the complainant and a registrant or permit holder. If the Director is unable to negotiate a settlement of a complaint, the Director may, at the request of either party, refer the complaint to the Office of the Attorney General or the Office of Administrative Hearings for binding arbitration, if both parties agree to binding arbitration.</text> </paragraph> <paragraph num="(3)"> <text>An applicant who has been notified that a new or renewal registration or permit has been or may be denied and who requests a hearing before the Director must file the request for a hearing not later than 30 days after the date the notice or proposed action was mailed.</text> </paragraph> <paragraph num="(4)"> <text>The Director shall send the hearing notice described in COMAR 09.01.02.07B at least 10 days before the hearing, or, if the parties have agreed to a date for which 10 days notice cannot be given, at the earliest time possible.</text> </paragraph> <paragraph num="(5)"> <text>The notice to an applicant that a new or renewal registration or permit has been or may be denied shall state that the proposed action of the Director shall be affirmed if:</text> <paragraph num="(a)"> <text>A hearing is not requested within 30 days after the date the notice of proposed action was mailed; or</text> </paragraph> <paragraph num="(b)"> <text>The applicant fails to appear for the hearing after requesting a hearing.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>If, after a hearing, the proposed action of the Director is upheld, the appellant shall pay the hearing costs as described in COMAR 09.34.03.03F.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Hearings Delegated to the Office of Administrative Hearings. All contested case hearings delegated to the Office of Administrative Hearings shall be governed by COMAR 09.01.03.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Display of Registration or Permit."> <text>A registrant or permit holder shall display the registration or permit conspicuously at each business address of the registrant or permit holder.</text> </regulation> <regulation prefix="Regulation" num=".13" heading="Communication from Director — Failure to Respond."> <paragraph num="A."> <text>Definition.</text> <paragraph num="(1)"> <text>In this regulation, the following term has the meaning indicated.</text> </paragraph> <paragraph num="(2)"> <text>Term Defined — Person.</text> <paragraph num="(a)"> <text>“Person” has the meaning provided in Business Regulation Article, §1-101(g), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>“Person” includes:</text> <paragraph num="(i)"> <text>Any registrant or permit holder under Business Regulation Article, Title 5, Annotated Code of Maryland, and any applicant for a registration or permit to operate a cemetery or crematory, or to provide burial goods, in this State; and</text> </paragraph> <paragraph num="(ii)"> <text>Any other person required under the provisions of Business Regulation Article, Title 5, Annotated Code of Maryland, or any regulation in this subtitle, to respond to a communication from the Director.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Duty to Respond.</text> <paragraph num="(1)"> <text>If a person receives from the Director or the Office a written communication requesting a response, the person shall respond in writing, by first-class mail, within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="(2)"> <text>It is the responsibility of a person to notify the Office in writing if there has been a change in the person’s address.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Failure to respond as required by this regulation may be considered by the Director to be a violation of Business Regulation Article, Title 5, Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§5-204—5-205, 5-301—5-308, and 5-401—5-405, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 28, 1998 (25:26 Md. R. 1922)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective March 18, 2002 (29:5 Md. R. 503)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective April 29, 2024 (51:8 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective April 29, 2024 (51:8 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective February 13, 2006 (33:3 Md. R. 241); April 29, 2024 (51:8 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05C amended effective May 8, 2017 (44:9 Md. R. 438)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D adopted effective February 13, 2006 (33:3 Md. R. 241)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05D amended effective April 29, 2024 (51:8 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05E adopted effective February 13, 2006 (33:3 Md. R. 241)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B amended effective May 8, 2017 (44:9 Md. R. 438)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective November 23, 2006 (33:23 Md. R. 1794)</annotation> <annotation type="History" subtype="Administrative History">Regulation .13 adopted effective April 29, 2024 (51:8 Md. R. 366)</annotation> </annotations> </chapter> <chapter num="02" heading="Perpetual Care"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs each sole proprietor registered cemeterian or permit holder for either human or pet remains who is required to have a perpetual care trust fund and identifies the information which must be provided to the Office of Cemetery Oversight as part of the perpetual care trust report.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definition."> <paragraph num="A."> <text>In this chapter, the following term has the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Income of a Perpetual Care Trust Fund.</text> <paragraph num="(1)"> <text>“Income of a perpetual care trust fund” means interest or dividends earned on the perpetual care trust fund.</text> </paragraph> <paragraph num="(2)"> <text>“Income of a perpetual care trust fund” does not include realized capital gains of a perpetual care trust fund.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Perpetual Care Report."> <text>The perpetual care trust report shall comply with the requirements of Business Regulation Article, §5-606, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Realized Capital Gains of a Perpetual Care Trust Fund."> <text>Realized capital gains of a perpetual care trust fund are not income of the perpetual care trust fund and shall be deposited in the perpetual care trust fund as principal.</text> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§5-204 5-605, and 5-606, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 13, 2006 (33:3 Md. R. 241)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 29, 2024 (51:8 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective May 8, 2017 (44:9 Md. R. 438)</annotation> </annotations> </chapter> <chapter num="03" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Registration Fees."> <paragraph num="A."> <text>Initial registration fees are as follows:</text> <paragraph num="(1)"> <text>Registered cemeterian/registered seller who is a sole proprietor of a cemetery or burial goods business — $150 plus $30 per sales contract of $250 or more entered into within the business’ past 2 fiscal years;</text> </paragraph> <paragraph num="(2)"> <text>Registered cemeterian/registered seller who is not a sole proprietor of a cemetery or burial goods business — $150;</text> </paragraph> <paragraph num="(3)"> <text>Registered cemeterian who operates a nonprofit cemetery which does not sell burial goods — $50;</text> </paragraph> <paragraph num="(4)"> <text>Sales counselor — $100.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Registration renewal fees are as follows:</text> <paragraph num="(1)"> <text>Registered cemeterian/registered seller who is a sole proprietor of a cemetery or burial goods business — $150 plus $30 per sales contract of $250 or more entered into within the business’ past 2 fiscal years;</text> </paragraph> <paragraph num="(2)"> <text>Registered cemeterian/registered seller who is not a sole proprietor of a cemetery or burial goods business — $150;</text> </paragraph> <paragraph num="(3)"> <text>Registered cemeterian who operates a nonprofit cemetery which does not sell burial goods — $50;</text> </paragraph> <paragraph num="(4)"> <text>Sales counselor — $100.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The late renewal fee is $100.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Permit Fees."> <text>Permit fees are as follows:</text> <paragraph num="A."> <text>Initial permit fee — $200 plus $30 per sales contract of $250 or more entered into within the business’ past 2 fiscal years;</text> </paragraph> <paragraph num="B."> <text>Permit renewal fee — $200 plus $30 per sales contract of $250 or more entered into within the business’ past 2 fiscal years;</text> </paragraph> <paragraph num="C."> <text>Initial permit fee for a nonprofit cemetery which does not sell sales contracts — $50;</text> </paragraph> <paragraph num="D."> <text>Permit renewal fee for a nonprofit cemetery which does not sell sales contracts — $50;</text> </paragraph> <paragraph num="E."> <text>Late renewal fee — $100.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Other Fees."> <text>Other fees are as follows:</text> <paragraph num="A."> <text>Replacement of registration — $50;</text> </paragraph> <paragraph num="B."> <text>Replacement of permit — $50;</text> </paragraph> <paragraph num="C."> <text>Returned check fee — $50;</text> </paragraph> <paragraph num="D."> <text>Annual perpetual care trust report fee — $25;</text> </paragraph> <paragraph num="E."> <text>Annual preneed sales trust report fee — $25;</text> </paragraph> <paragraph num="F."> <text>Hearing costs described in Business Regulation Article, §5-312(h), Annotated Code of Maryland, shall be determined to be the cost of a court reporter and the transcripts ordered by the Office or by the Office of the Attorney General for the purpose of presenting a case alleging violation of Business Regulation Article, §5-310, Annotated Code of Maryland, before the Office or the Office of Administrative Hearings;</text> </paragraph> <paragraph num="G."> <text>Additional copy of registration — $50;</text> </paragraph> <paragraph num="H."> <text>Additional copy of permit — $50;</text> </paragraph> <paragraph num="I."> <text>Business name change — $25;</text> </paragraph> <paragraph num="J."> <text>Personal name change — $25; and</text> </paragraph> <paragraph num="K."> <text>Business address change — $25.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§5-204, 5-205, 5-303, 5-307, 5-312, 5-404, 5-605, and 5-710, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 28, 1998 (25:26 Md. R. 1923)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised as an emergency provision effective September 1, 2001 (28:19 Md. R. 1676); emergency status expired March 1, 2002</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective March 18, 2002 (29:5 Md. R. 503)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective April 10, 2006 (33:7 Md. R. 668)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A, B amended effective April 29, 2013 (40:8 Md. R. 723); April 29, 2024 (51:8 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective April 29, 2024 (51:8 Md. R. 367)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02A, B amended effective April 29, 2013 (40:8 Md. R. 723)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03D, E amended effective October 22, 2007 (34:21 Md. R. 1914)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03I—K amended effective September 26, 2016 (43:19 Md. R. 1072)</annotation> </annotations> </chapter> <chapter num="04" heading="Code of Ethics and Professional Standards"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs any person who holds a registration or permit to operate a cemetery or to provide burial goods for either human or pet remains in this State.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>Burial Space.</text> <paragraph num="(a)"> <text>“Burial space” means land or space in a structure used or to be used for human interment.</text> </paragraph> <paragraph num="(b)"> <text>“Burial space” includes an interment right in the land or space.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Consumer.</text> <paragraph num="(a)"> <text>“Consumer” means an actual or prospective purchaser, lessee, or recipient of consumer goods, consumer services, consumer realty, or consumer credit.</text> </paragraph> <paragraph num="(b)"> <text>“Consumer” includes an individual directed by the consumer, or properly acting on behalf of a deceased consumer, to inquire about the cost or purchase of burial space or burial goods or to act on behalf of the consumer.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Decedent” means a person or pet who is no longer living.</text> </paragraph> <paragraph num="(4)"> <text>“Installation of a memorial” includes the installation of a foundation for a memorial.</text> </paragraph> <paragraph num="(5)"> <text>“Licensee” means a person licensed by the State agency to sell burial space, burial goods, or burial services.</text> </paragraph> <paragraph num="(6)"> <text>“Memorial” means a marker, memorial, monument, scroll, urn, vase, or other permanent fixture used to memorialize a burial space.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="General Professional Practices."> <paragraph num="A."> <text>A registrant or permit holder shall:</text> <paragraph num="(1)"> <text>Act in a manner that respects and protects the dignity of a decedent and the decedent’s family or pet’s owner;</text> </paragraph> <paragraph num="(2)"> <text>Conduct business in a reasonable, usual, and customary manner;</text> </paragraph> <paragraph num="(3)"> <text>Comply with the State public health laws as set forth in Health-General Article, §4-215 and §5-501 et seq., Annotated Code of Maryland;</text> </paragraph> <paragraph num="(4)"> <text>Comply with Commercial Law Article, Titles 12 and 13, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(5)"> <text>Implement and follow through on all arrangements agreed upon between a consumer and the cemetery or burial goods business;</text> </paragraph> <paragraph num="(6)"> <text>Provide appropriate services for and respect the rights of individuals without regard to age, race, creed, national origin, gender, disability, marital status, political belief, religious affiliation, social or economic status, or social preferences;</text> </paragraph> <paragraph num="(7)"> <text>Comply with the State laws for cremation;</text> </paragraph> <paragraph num="(8)"> <text>Be sensitive and responsive to the bereavement needs of a decedent’s family or pet’s owner;</text> </paragraph> <paragraph num="(9)"> <text>Complete the obligations of a paid-in-full contract within a reasonable time of the need for these goods and services;</text> </paragraph> <paragraph num="(10)"> <text>Comply with all laws dealing with the operation of a cemetery or providing burial goods;</text> </paragraph> <paragraph num="(11)"> <text>Be responsible for repair or replacement of any memorial damaged or improperly set by the registrant or the registrant's or permit holder's employees;</text> </paragraph> <paragraph num="(12)"> <text>Disclose to a consumer orally and in writing at or before the time of a preneed sale all goods and services that are reasonably expected to be required at the time of need that are not included in the preneed burial contract, including:</text> <paragraph num="(a)"> <text>Interment or entombment fees including opening and closing costs, and any additional fees associated with an extra depth interment,</text> </paragraph> <paragraph num="(b)"> <text>A vault or grave liner or the installation of a vault or grave liner, or both,</text> </paragraph> <paragraph num="(c)"> <text>Removal and replacement of a footing or memorial, or both, for the opening and closing of a burial space,</text> </paragraph> <paragraph num="(d)"> <text>Imposition of additional fees for weekend, holiday, or after hours interment, including any rights to a refund or reimbursement of the fees for services paid in advance but not utilized, and notification that any additional fees imposed for weekend, holiday, or after hours interment will be those listed on the current general price list at the time of need, and</text> </paragraph> <paragraph num="(e)"> <text>Any other goods or services for which the registrant or permit holder charges a fee including but not limited to memorial care fees, vault inspection fees, vault installation fees, lay-out fees, temporary marker fees, memorial inscription fees, and inspection fees;</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>Disclose to a consumer orally and in writing at or before the time of a sale of a monument, memorial, or other permanent product used to identify a human or pet burial space all goods and services related to the monument, memorial, or other permanent product that are reasonably expected to be required for the full use and care of the product at the time of need that are not included in the burial contract, including:</text> <paragraph num="(a)"> <text>Installation of memorials,</text> </paragraph> <paragraph num="(b)"> <text>Inspection and lay-out fees charged by cemeteries in connection with the installation of foundations, memorials, or both,</text> </paragraph> <paragraph num="(c)"> <text>Removal and resetting fees,</text> </paragraph> <paragraph num="(d)"> <text>Memorial care fees,</text> </paragraph> <paragraph num="(e)"> <text>Date of death inscription, and</text> </paragraph> <paragraph num="(f)"> <text>Any other goods, services, or fees directly related to or reasonably expected to be required for full use and care of installed memorials;</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>State to a consumer in clear understandable language orally and in writing, at the time of entering into a contract, all cancellation and refund rights which may be available to the consumer, including rights relating to burial spaces, caskets, and burial goods considered delivered;</text> </paragraph> <paragraph num="(15)"> <text>Disclose to a consumer, orally and in writing, the responsibility of the registrant or permit holder for the continued care of memorials after purchase;</text> </paragraph> <paragraph num="(16)"> <text>Disclose to a consumer, orally and in writing, at or before the time of an at-need sale that:</text> <paragraph num="(a)"> <text>Memorials and foundations for memorials may be purchased either from the cemetery or an outside burial goods business; and</text> </paragraph> <paragraph num="(b)"> <text>The installation or servicing of memorials, including foundations, may be purchased from either the cemetery or an outside burial goods business;</text> </paragraph> </paragraph> <paragraph num="(17)"> <text>Provide to any person who requests information, at the office, regarding burial space, burial goods, or burial services, the general price list for the person to retain;</text> </paragraph> <paragraph num="(18)"> <text>Provide accurate information, orally, from the general price list to any person who requests information, by telephone, regarding specific burial space, burial goods, or burial services;</text> </paragraph> <paragraph num="(19)"> <text>Present to a consumer a balanced display of various cost options of burial goods or services offered for sale; and</text> </paragraph> <paragraph num="(20)"> <text>Comply with any oral or written disclosure requirements in this chapter by obtaining a signed acknowledgment from the consumer.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A registrant or permit holder may not:</text> <paragraph num="(1)"> <text>Place advertisements which include statements:</text> <paragraph num="(a)"> <text>Containing misrepresentation of facts,</text> </paragraph> <paragraph num="(b)"> <text>Likely to mislead or deceive because in context the statement makes only a partial disclosure of relevant facts,</text> </paragraph> <paragraph num="(c)"> <text>Relating to fees without reasonable disclosure of all relevant variables so that the statement would not be misunderstood or be deceptive to a consumer, or</text> </paragraph> <paragraph num="(d)"> <text>Containing representations or implications that in reasonable probability can be expected to cause an ordinarily prudent person to misunderstand or be deceived;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Use, or participate in the use of, any form of communication to consumers containing a false, fraudulent, misleading, deceptive, or unfair statement or claim;</text> </paragraph> <paragraph num="(3)"> <text>Operate a cemetery or provide burial goods while under the influence of alcohol, an illegal drug, or a controlled dangerous substance which has not been prescribed by a physician;</text> </paragraph> <paragraph num="(4)"> <text>Fail to provide care to a memorial or burial space if the registrant or permit holder agrees to provide this care;</text> </paragraph> <paragraph num="(5)"> <text>Provide less care to or state or imply that less care is given a memorial or burial space if a memorial is obtained from a person other than the registrant or permit holder; and</text> </paragraph> <paragraph num="(6)"> <text>Pay or agree to pay any sum or any thing of value to any person, who is not licensed or registered by a State agency to sell burial space, or burial goods or services, for soliciting or referring, at need, a consumer for the purchase of burial space, or burial goods or services.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Professional Standards for Registered Cemeterians and Permit Holders that Own or Operate Cemeteries."> <paragraph num="A."> <text>A registered cemeterian or cemetery permit holder shall:</text> <paragraph num="(1)"> <text>Maintain cemetery grounds and structures in a reasonable condition;</text> </paragraph> <paragraph num="(2)"> <text>Keep accurate records of all sales and interments, including a map or plat which identifies the section name, lot number, and site number of each burial space in the cemetery or mausoleum or both;</text> </paragraph> <paragraph num="(3)"> <text>Establish and maintain a record with the dates, locations, facts, and any permit required under Health-General Article, §4-215(e), Annotated Code of Maryland, relative to the relocation of human remains, including cremated human remains, from an existing burial space to another burial space;</text> </paragraph> <paragraph num="(4)"> <text>Provide to a consumer, orally and in writing, at the time of entering into a contract for a memorial, a statement of the cemetery's policy on the use of independent monument companies;</text> </paragraph> <paragraph num="(5)"> <text>Provide to a consumer, within 1 business day, a response to an authorization request for the installation or servicing of a foundation or burial goods;</text> </paragraph> <paragraph num="(6)"> <text>Provide to a consumer, upon request, within 1 business day, information about the rules and regulations for a section and area of the cemetery, including the specifications, standards, and requirements, and any fees for the installation and type of memorial;</text> </paragraph> <paragraph num="(7)"> <text>Provide, upon request, to a consumer, within 1 business day, information regarding the exact location of a burial space for the purpose of installing or servicing a memorial;</text> </paragraph> <paragraph num="(8)"> <text>Have the same specifications, standards, and requirements for the installation of memorials in the registrant's or permit holder's cemetery regardless of who sold the memorial; and</text> </paragraph> <paragraph num="(9)"> <text>Disclose to a consumer, orally and in writing, at the time of entering into a contract, the number of interments that may be placed in each burial space and their disposition within a burial space.</text> </paragraph> <paragraph num="(10)"> <text>Disclose to the owner of the burial space, in writing, if damage has occurred to the integrity of a casket, liner, vault, crypt, mausoleum space, or columbarium space within 10 days of discovery of the damage;</text> </paragraph> <paragraph num="(11)"> <text>If the damage which has occurred to the integrity of a casket, liner, vault, crypt, mausoleum space, or columbarium space, was caused by the actions of the cemetery, offer to repair or to supply to the owner of the burial space a reasonable and comparable alternative burial space, casket, liner, vault, crypt, mausoleum space, or columbarium space; and</text> </paragraph> <paragraph num="(12)"> <text>Maintain in the cemetery's office, for inspection by consumers, a current and complete listing of the rules and requirements of the cemetery including those related to memorialization, interment, memorial services, burial space embellishments, and hours of operation.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A registered cemeterian or cemetery permit holder may not:</text> <paragraph num="(1)"> <text>State or imply that the State requires a consumer to come to a cemetery before an interment is performed;</text> </paragraph> <paragraph num="(2)"> <text>Charge extra fees for the storage of a casket, or the opening and closing of a burial space after hours, due to a delay in burial attributable to a breakdown of equipment or to the registrant's or permit holder's actions;</text> </paragraph> <paragraph num="(3)"> <text>Charge a fee for disclosing any information which is needed to install or service a memorial;</text> </paragraph> <paragraph num="(4)"> <text>Establish any policy or rule which unreasonably impedes, prohibits, or restricts anyone from viewing the lowering of a casket or participating in a funeral service at a burial space;</text> </paragraph> <paragraph num="(5)"> <text>Knowingly or intentionally open a burial space other than that which the lot owner, next-of-kin, family, or their agent or personal representative owns or purchased for right of burial;</text> </paragraph> <paragraph num="(6)"> <text>Knowingly or intentionally resell a burial space which has already been sold for future use or in which an interment exists;</text> </paragraph> <paragraph num="(7)"> <text>Charge any fees relating to the installation or servicing of burial goods purchased from a registered cemetarian, registered seller, or permit holder, other than the registered cemeterian or permit holder, unless the fee is reasonable and is based on actual labor and other appropriate costs; and.</text> </paragraph> <paragraph num="(8)"> <text>Charge a fee for any memorial care other than perpetual memorial care.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§5-204,5-205, 5-303, 5-307, 5-312, and 5-404, 5-605, 5-710, and 5-801, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 22, 1999 (26:6 Md. R. 485)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 29, 2024 (51:8 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective February 13, 2006 (33:3 Md. R. 241); April 29, 2024 (51:8 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03A amended effective February 13, 2006 (33:3 Md. R. 241); April 29, 2024 (51:8 Md. R. 366)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective December 10, 2001 (28:24 Md. R. 2128); February 13, 2006 (33:3 Md. R. 241)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective February 13, 2006 (33:3 Md. R. 241)</annotation> </annotations> </chapter> <chapter num="05" heading="Crematories — Definitions"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the definition of terms used in COMAR 09.34.06, COMAR 09.34.07, COMAR 09.34.08 and COMAR 09.34.09.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In COMAR 09.34.06, COMAR 09.34.07, COMAR 09.34.08, and COMAR 09.34.09, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Advertisement” means the publication, dissemination, or circulation of any oral or written matter, including labeling, which directly or indirectly calls to the attention of the public the goods or services one has to offer.</text> </paragraph> <paragraph num="(2)"> <text>“Alkaline hydrolysis” means the process of reducing human remains using water, alkaline chemicals, and heat inside a watertight vessel to accelerate decomposition.</text> </paragraph> <paragraph num="(3)"> <text>“Authorizing agent” means an individual who has legal authority to arrange for and make decisions regarding the final disposition of human remains, including cremation or alkaline hydrolysis.</text> </paragraph> <paragraph num="(4)"> <text>“Board” means the Board of Morticians and Funeral Directors.</text> </paragraph> <paragraph num="(5)"> <text>Consumer.</text> <paragraph num="(a)"> <text>“Consumer” means an actual or prospective purchaser of consumer services, consumer goods, or consumer credit.</text> </paragraph> <paragraph num="(b)"> <text>“Consumer” includes an individual directed by the consumer, or properly acting on behalf of a deceased consumer, to inquire about the cost or purchase of cremation services or cremation related goods, or to act on behalf of the consumer.</text> </paragraph> <paragraph num="(c)"> <text>“Consumer” includes a funeral establishment contracting with a crematory or the authorizing agent of a decedent contracting with a crematory.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Cremated human remains” means the recoverable bone fragments of a deceased person that result from the completion of cremation.</text> </paragraph> <paragraph num="(7)"> <text>“Cremation” means disposition of a dead human body by means of incineration.</text> </paragraph> <paragraph num="(8)"> <text>“Cremation container” means a readily combustible, rigid container in which human remains are sent to the crematory and then placed in the cremator for cremation.</text> </paragraph> <paragraph num="(9)"> <text>“Cremator” means the machinery within which the process of cremation begins.</text> </paragraph> <paragraph num="(10)"> <text>“Crematory” means a building, portion or a building, or structure that houses the necessary appliances and facilities for cremation, alkaline hydrolysis, or both.</text> </paragraph> <paragraph num="(11)"> <text>“Decedent” means a dead human being.</text> </paragraph> <paragraph num="(12)"> <text>“Embalming” means the disinfection or preserving of human remains by arterial or cavity injection or any other type of preservation.</text> </paragraph> <paragraph num="(13)"> <text>“Engage in the operation of a crematory” means controlling or managing a crematory.</text> </paragraph> <paragraph num="(14)"> <text>“Holding facility” means an area, within or adjacent to a crematory, designed for the retention of human remains before cremation or alkaline hydrolysis.</text> </paragraph> <paragraph num="(15)"> <text>Human Remains.</text> <paragraph num="(a)"> <text>“Human remains” means:</text> <paragraph num="(i)"> <text>The body of a deceased person; or</text> </paragraph> <paragraph num="(ii)"> <text>A part of a body or limb that has been removed from a living person.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Human remains” includes the body or part of a body or limb in any state of decomposition.</text> </paragraph> </paragraph> <paragraph num="(16)"> <text>“Hydrolysis container” means a container, including a body bag, in which human remains are sent to the crematory for alkaline hydrolysis, but the human remains may be removed prior to the start of the process of alkaline hydrolysis.</text> </paragraph> <paragraph num="(17)"> <text>“Hydrolysis unit” means the watertight vessel in which the process of alkaline hydrolysis occurs.</text> </paragraph> <paragraph num="(18)"> <text>“Hydrolyzed human remains” means the recoverable bone fragments of a deceased person that result from the completion of alkaline hydrolysis.</text> </paragraph> <paragraph num="(19)"> <text>“Office” means the Office of Cemetery Oversight.</text> </paragraph> <paragraph num="(20)"> <text>“Permit” means a permit issued by the Office to allow a person to operate a business which engages in the operation of a crematory or to act as a registered crematory operator.</text> </paragraph> <paragraph num="(21)"> <text>“Permit holder” means the holder of a permit under Business Regulation Article, Title 5, Annotated Code of Maryland, to engage in the operation of a crematory or to act as a registered crematory operator.</text> </paragraph> <paragraph num="(22)"> <text>“Person” means an individual, receiver, trustee, corporation, limited liability company, or partnership.</text> </paragraph> <paragraph num="(23)"> <text>“Processed human remains” means the end result of pulverization.</text> </paragraph> <paragraph num="(24)"> <text>“Pulverization” means the process following cremation or alkaline hydrolysis of crushing, grinding, or milling cremated or hydrolyzed human remains into fine particles or powder, leaving bone fragments reduced to 5 millimeters or less.</text> </paragraph> <paragraph num="(25)"> <text>“Registered crematory operator” means an individual registered to operate a crematory as a sole proprietor or on behalf of a sole proprietor or permit holder.</text> </paragraph> <paragraph num="(26)"> <text>“Responsible party” means a sole proprietor or the individual designated by a corporation, limited liability company, or partnership, which holds a permit to engage in the operation of a crematory, to be responsible for the operations of the crematory.</text> </paragraph> <paragraph num="(27)"> <text>“Sealable container” means any container in which processed human remains can be placed and sealed so as to prevent leakage of the processed human remains or the entry of any foreign material.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §5-204; Health-General Article, §5-508; Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 31, 2014 (41:6 Md. R. 378)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> </annotations> </chapter> <chapter num="06" heading="Crematories — Permit and Registration Process and Fees"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the permit process for persons, regulated under Business Regulation Article, Title 5, Annotated Code of Maryland, who operate a crematory in the State and the fees for crematory and registered crematory operator permits.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Permit Issuing Agency."> <paragraph num="A."> <text>A person who holds a permit or registration under Business Regulation Article, Title 5, Annotated Code of Maryland, and owns a greater interest in a crematory than a licensee under Health Occupations Article, Title 7, Annotated Code of Maryland, shall obtain a permit to engage in the operation of a crematory from the Office.</text> </paragraph> <paragraph num="B."> <text>A person whose ownership interest in a crematory is equal to the ownership interest in the crematory of a licensee under Health Occupations Article, Title 7, Annotated Code of Maryland, shall obtain a permit to engage in the operation of a crematory from the Office.</text> </paragraph> <paragraph num="C."> <text>A person who owns a crematory and is neither a licensee under Health Occupations Article, Title 7, Annotated Code of Maryland, nor a registrant or permit holder under Business Occupations Article, Title 5, Annotated Code of Maryland, shall obtain a permit to engage in the operation of a crematory from the Office.</text> </paragraph> <paragraph num="D."> <text>A person who is a licensee or holder of a corporation license under Health Occupations Article, Title 7, Annotated Code of Maryland, and owns a greater interest in a crematory than a person who holds a permit or registration under Business Regulation Article, Title 5, Annotated Code of Maryland, shall obtain a permit to engage in the operation of a crematory from the Board.</text> </paragraph> <paragraph num="E."> <text>An individual, who is designated as the registered crematory operator by a person required to obtain a permit to operate a crematory from the Office, shall obtain a registered crematory operator permit from the Office.</text> </paragraph> <paragraph num="F."> <text>All operating crematories and individuals designated as the registered crematory operator required to obtain a permit from the Office shall apply to the Office for a permit.</text> </paragraph> <paragraph num="G."> <text>A permit issued by the Office shall specify if the crematory is authorized to offer and perform either cremation services, alkaline hydrolysis services, or both.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Permit — Requirements for Permit for a Crematory Owned by a Corporation, Limited Liability Company, or Partnership."> <paragraph num="A."> <text>A corporation, limited liability company, or partnership shall receive a permit to operate a crematory in this State if the corporation, limited liability company, or partnership meets the permit requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>A corporation, limited liability company, or partnership shall receive a permit if the entity:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Provides the name, address, and phone number of each affiliated crematory;</text> </paragraph> <paragraph num="(4)"> <text>Designates a registered crematory operator as the responsible party for each affiliated crematory provided that:</text> <paragraph num="(a)"> <text>The registered crematory operator may not be designated as the responsible party for more than a total of two crematories; and</text> </paragraph> <paragraph num="(b)"> <text>A registered crematory operator shall be registered to operate a cremator, an alkaline hydrolysis unit, or both;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Provides a list of the officers, directors, members, partners, agents, and employees of the entity applying for the permit;</text> </paragraph> <paragraph num="(6)"> <text>Provides a certificate of status, issued by the Maryland Department of Assessments and Taxation, indicating that the entity is in good standing, or its equivalent as determined by the Office, and dated not earlier than 30 days before the date of the application; and</text> </paragraph> <paragraph num="(7)"> <text>Provides an affidavit stating that:</text> <paragraph num="(a)"> <text>No federal or State taxes or fees are delinquent; and</text> </paragraph> <paragraph num="(b)"> <text>The corporation, limited liability company or partnership is financially stable.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Permit — Requirements for Permit for a Crematory Owned by a Sole Proprietor."> <paragraph num="A."> <text>A sole proprietor applicant for a crematory permit shall receive a permit to operate a crematory in this State if the sole proprietor applicant meets the permit requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>A sole proprietor shall receive a permit if the sole proprietor:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Provides the name, address, and phone number of each affiliated crematory;</text> </paragraph> <paragraph num="(4)"> <text>Designates a registered crematory operator as the responsible party for each affiliated crematory provided that:</text> <paragraph num="(a)"> <text>The registered crematory operator may not be designated as the responsible party for more than a total of two crematories; and</text> </paragraph> <paragraph num="(b)"> <text>A registered crematory operator shall be registered to operate a cremator, alkaline hydrolysis unit, or both; and</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Provides an affidavit stating that:</text> <paragraph num="(a)"> <text>No federal or State taxes or fees are delinquent; and</text> </paragraph> <paragraph num="(b)"> <text>The crematory business is financially stable.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Permit — Requirements for Registration for a Registered Crematory Operator."> <paragraph num="A."> <text>An individual shall register with and receive a permit from the Office as a registered crematory operator if the individual meets the registration requirements of this regulation. The permit shall specify whether the individual’s training and registration required by this chapter permits the individual to operate a cremator, alkaline hydrolysis unit, or both.</text> </paragraph> <paragraph num="B."> <text>An individual shall be registered with the Office as a registered crematory operator if the individual:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Is 18 years old or older;</text> </paragraph> <paragraph num="(4)"> <text>Is of good character and reputation and provides at least three character references from employers, community leaders, or professional societies, that the applicant is an individual of good character and reputation;</text> </paragraph> <paragraph num="(5)"> <text>Has achieved certification as a crematory operator by the Cremation Association of North America, International Cemetery, Cremation and Funeral Association, or other equivalent certification recognized by the Office and the Board;</text> </paragraph> <paragraph num="(6)"> <text>Has successfully completed the operator training course of the manufacturer of the cremator or alkaline hydrolysis unit located in the crematory with which the applicant is affiliated;</text> </paragraph> <paragraph num="(7)"> <text>States the name and mailing address of the crematory with which the applicant is affiliated;</text> </paragraph> <paragraph num="(8)"> <text>States whether the crematory with which the applicant is affiliated is owned or controlled by:</text> <paragraph num="(a)"> <text>A corporation;</text> </paragraph> <paragraph num="(b)"> <text>A partnership;</text> </paragraph> <paragraph num="(c)"> <text>A limited liability company; or</text> </paragraph> <paragraph num="(d)"> <text>A sole proprietorship; and</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>States whether the applicant is the responsible party for the affiliated crematory.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Additional Requirements.</text> <paragraph num="(1)"> <text>An individual applying for a permit as a registered crematory operator shall provide the Office with a detailed description of activities including, but not limited to, whether the applicant has:</text> <paragraph num="(a)"> <text>Had a license, certification, registration, or permit of the type for which the application is being made ever denied, suspended, or revoked by any jurisdiction;</text> </paragraph> <paragraph num="(b)"> <text>Been convicted of a felony in any State or federal court;</text> </paragraph> <paragraph num="(c)"> <text>Been convicted in any State or federal court of a misdemeanor directly related to the ownership or operation of a crematory;</text> </paragraph> <paragraph num="(d)"> <text>Had any civil judgments or settlements within the 5 years before applying for a permit which directly related to the ownership or operation of a crematory; or</text> </paragraph> <paragraph num="(e)"> <text>Been convicted by a court in this State of violating a usury provision under Commercial Law Article, Title 12, Annotated Code of Maryland, or an unfair and deceptive trade practices provision under Commercial Law Article, Title 13, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An applicant shall submit copies of all:</text> <paragraph num="(a)"> <text>Charging documents which were issued and docket entries for convictions, which occurred before applying for a permit, for a misdemeanor or felony referred to in §C(1)(b),(c), or (e) of this regulation;</text> </paragraph> <paragraph num="(b)"> <text>Disciplinary actions, judgments, and final orders which occurred or were issued before applying for a permit for any regulatory probation, suspension, or revocation referred to in §C(1)(a) of this regulation; and</text> </paragraph> <paragraph num="(c)"> <text>Civil judgments or settlements against the applicant within the past 5 years which directly relate to the ownership or operation of a crematory.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An individual applying for a permit, who is designated by the permit holder as the responsible party, shall state the name and residential address of each employee who sells goods or services to the public while engaging in the operation of a crematory.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A registered crematory operator may not be designated as the responsible party for more than two crematories.</text> </paragraph> <paragraph num="E."> <text>An individual may be issued permits for affiliations with more than one crematory if each affiliated crematory is owned by the same individual or entity.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Permit — Requirements for Permit for a New Crematory Owned by a Corporation, Limited Liability Company, or Partnership."> <paragraph num="A."> <text>A corporation, limited liability company, or partnership shall receive a permit to operate a new crematory in this State if the corporation, limited liability company, or partnership meets the permit requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>A corporation, limited liability company, or partnership shall receive a permit from the Office if, at least 30 days prior to the opening of the new crematory, the entity:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Provides the name, address, and phone number of each affiliated crematory;</text> </paragraph> <paragraph num="(4)"> <text>Designates a registered crematory operator as the responsible party for each affiliated crematory provided that:</text> <paragraph num="(a)"> <text>The registered crematory operator may not be designated as the responsible party for more than a total of two crematories; and</text> </paragraph> <paragraph num="(b)"> <text>A registered crematory operator shall be registered to operate a cremator, alkaline hydrolysis unit, or both.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Provides a list of the officers, members, partners, agents, and employees of the entity applying for the permit; and</text> </paragraph> <paragraph num="(6)"> <text>Provides an affidavit stating that the corporation, limited liability company, or partnership:</text> <paragraph num="(a)"> <text>Is financially stable; and</text> </paragraph> <paragraph num="(b)"> <text>Has the ability to continue to operate the crematory business for a 2-year period after issuance of a permit.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Permit — Requirements for a New Crematory Owned by a Sole Proprietor."> <paragraph num="A."> <text>A sole proprietor applicant for a new crematory shall receive a permit to operate if the sole proprietor applicant meets the permit requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>A sole proprietor shall receive a permit from the Office if, at least 30 days prior to the opening of the new crematory, the sole proprietor applicant:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Provides the name, address, and phone number of each affiliated crematory;</text> </paragraph> <paragraph num="(4)"> <text>Designates a registered crematory operator as the responsible party for each affiliated crematory provided that:</text> <paragraph num="(a)"> <text>The registered crematory operator may not be designated as the responsible party for more than a total of two crematories; and</text> </paragraph> <paragraph num="(b)"> <text>A registered crematory operator shall be registered to operate a cremator, alkaline hydrolysis unit, or both; and</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Provides an affidavit stating that the new crematory business:</text> <paragraph num="(a)"> <text>Is financially stable; and</text> </paragraph> <paragraph num="(b)"> <text>Has the ability to continue to operate the crematory business for a 2-year period after issuance of a permit.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Before applying to the Office for a permit, a crematory shall have in its employ an individual who holds a certification from:</text> <paragraph num="(1)"> <text>The Cremation Association of North America;</text> </paragraph> <paragraph num="(2)"> <text>The International Cemetery, Cremation and Funeral Association; or</text> </paragraph> <paragraph num="(3)"> <text>Another equivalent body recognized by the Office and the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Change of Information."> <text>The responsible party shall notify the Office of any change in the information provided in the application for permit for a crematory or for a permit as a registered crematory operator, either before or after the issuance of a permit, within 1 week of the date of the change.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Renewal."> <paragraph num="A."> <text>Before the expiration date of a permit, a permit holder shall complete and return the renewal form, pay the renewal fee, and submit any required documentation.</text> </paragraph> <paragraph num="B."> <text>A person who has a permit to engage in the operation of a crematory or a permit as a registered crematory operator may renew the permit every 2 years, beginning on a date specified by the Office, in the following manner:</text> <paragraph num="(1)"> <text>Complete the renewal application form;</text> </paragraph> <paragraph num="(2)"> <text>Pay the nonrefundable renewal fee set forth in Regulation .13 of this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Meet the permit requirements under Regulation .03, .04, or .05 of this chapter; and</text> </paragraph> <paragraph num="(4)"> <text>Submit the documentation required by Regulation .03, .04, or .05 of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>After the expiration date of a permit, if a permit holder has not yet applied for renewal, the permit holder is no longer authorized to engage in the operation of a crematory or to act as a registered crematory operator.</text> </paragraph> <paragraph num="D."> <text>If a permit holder completes the renewal application process set forth in Regulation .09B of this chapter before the expiration date of the permit and the Office does not renew the permit before its expiration date, the permit holder is considered to be actively permitted until receipt from the Office of either a renewed permit or a notice of denial of a permit.</text> </paragraph> <paragraph num="E."> <text>If a permit holder applies for renewal of a permit after the expiration date of the permit, the permit holder shall pay the renewal fee plus the late renewal fee under Regulation .12 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Lapsed Permit."> <text>A person who has been issued a permit and who has allowed the permit to lapse for at least 6 months may apply for a permit in the following manner:</text> <paragraph num="A."> <text>Complete a permit application form;</text> </paragraph> <paragraph num="B."> <text>Pay the permit fee and the late renewal fee under Regulation .12 of this chapter;</text> </paragraph> <paragraph num="C."> <text>Meet the permit requirements under Regulation .03, .04, or .05 of this chapter;</text> </paragraph> <paragraph num="D."> <text>Submit the documentation required by Regulation .03, .04, or .05 of this chapter;</text> </paragraph> <paragraph num="E."> <text>Provide a full written explanation to the Office detailing the reasons why the permit was allowed to expire and why a permit is now sought; and</text> </paragraph> <paragraph num="F."> <text>Submit to the Office an affidavit stating that the person did not engage in the operation of a crematory or act as a registered crematory operator in this State while the permit was lapsed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Hearings — Permit Denial."> <paragraph num="A."> <text>Permit Denial. An applicant or permit holder applying for an initial or renewal permit to the Office may be denied the issuance of a permit, subject to the hearing provisions of Business Regulation Article, §5-312, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Hearing Before Director of Office.</text> <paragraph num="(1)"> <text>Except as otherwise provided in §B(2)—(6) of this regulation, all contested cases before the Director of the Office shall be governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="(2)"> <text>An applicant who has been notified that a new or renewal permit has been or may be denied and who requests a hearing before the Director of the Office must file the request for a hearing not later than 30 days after the notice of proposed action was mailed.</text> </paragraph> <paragraph num="(3)"> <text>The Director of the Office shall send the hearing notice described in COMAR 09.01.02.07B at least 10 days before the hearing or, if the parties have agreed to a date for which 10 days notice cannot be given, at the earliest time possible.</text> </paragraph> <paragraph num="(4)"> <text>The notice to an applicant that a new or renewal permit has been or may be denied shall state that the proposed action of the Director of the Office shall be affirmed if:</text> <paragraph num="(a)"> <text>A hearing is not requested within 30 days after the date the notice of proposed action was mailed; or</text> </paragraph> <paragraph num="(b)"> <text>The applicant fails to appear for the hearing after requesting a hearing.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>If, after a hearing, the proposed action of the Director of the Office is upheld, the appellant shall pay the hearing costs described in Regulation .12 of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Hearings Delegated by the Office to the Office of Administrative Hearings. All contested case hearings delegated to the Office of Administrative Hearings shall be governed by COMAR 09.01.03.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Fees."> <paragraph num="A."> <text>Permit fees:</text> <paragraph num="(1)"> <text>Crematory permit — $350;</text> </paragraph> <paragraph num="(2)"> <text>Registered Crematory Operator permit — $300;</text> </paragraph> <paragraph num="(3)"> <text>Crematory permit renewal — $350;</text> </paragraph> <paragraph num="(4)"> <text>Registered Crematory Operator permit renewal — $300; and</text> </paragraph> <paragraph num="(5)"> <text>Late renewal fee — $200.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Miscellaneous fees:</text> <paragraph num="(1)"> <text>Replacement of permit — $50;</text> </paragraph> <paragraph num="(2)"> <text>Returned check fee — $50;</text> </paragraph> <paragraph num="(3)"> <text>Additional copy of permit — $50;</text> </paragraph> <paragraph num="(4)"> <text>Business name change — $50;</text> </paragraph> <paragraph num="(5)"> <text>Personal name change — $50;</text> </paragraph> <paragraph num="(6)"> <text>Business address change — $50; and</text> </paragraph> <paragraph num="(7)"> <text>Annual preneed sales trust report — $25.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Hearing costs described in Business Regulation Article, §5-312(h), Annotated Code of Maryland, shall be determined to be the cost of a court reporter and the transcripts ordered by the Office, or by the Office of the Attorney General, for the purpose of presenting a case alleging violation of Business Regulation Article, Title 5, Annotated Code of Maryland, before the Office or before the Office of Administrative Hearings,</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Display of Permit."> <text>A permit holder shall display the permit conspicuously, in a public area at each business address of the permit holder.</text> </regulation> <regulation prefix="Regulation" num=".14" heading="Cremation Prior to Obtaining a Permit."> <text>A crematory may cremate or hydrolyze the human remains of one decedent prior to obtaining a permit from the Office, provided:</text> <paragraph num="A."> <text>The cremation or alkaline hydrolysis is only performed as part of the manufacturer’s operator training course for the cremation machinery or alkaline hydrolysis unit in which the cremation or alkaline hydrolysis takes place; and</text> </paragraph> <paragraph num="B."> <text>The person or persons with the right to final disposition of the decedent are notified and have given permission prior to the cremation or alkaline hydrolysis.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§5-102, 5-204, 5-205, 5-301—5-310, 5-312, 5-401—5-403, and 5-901—5-905, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 31, 2014 (41:6 Md. R. 378)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 adopted as an emergency provision effective August 28, 2014 (41:19 Md. R. 1074); adopted permanently effective November 24, 2014 (41:23 Md. R. 1372)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D, F, amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02G adopted effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03B amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04B amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06B, C amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07B, C amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .14 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> </annotations> </chapter> <chapter num="07" heading="Crematories — Inspections, Complaints, and Discipline"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs crematory inspections, the complaint process, investigations, grounds for discipline, and penalties.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Inspection by the Office."> <paragraph num="A."> <text>A crematory shall be available for inspection by a representative of the Office at any time during operating hours. The permit holder or registered crematory operator shall be available to accompany the inspector during the inspection and sign the initial inspection report. A copy of the inspection report shall be provided to the permit holder or registered crematory operator.</text> </paragraph> <paragraph num="B."> <text>Each crematory shall be inspected:</text> <paragraph num="(1)"> <text>On at least a biennial basis;</text> </paragraph> <paragraph num="(2)"> <text>In furtherance of an investigation; or</text> </paragraph> <paragraph num="(3)"> <text>Upon the sale or change of ownership of the crematory.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A crematory shall maintain the following minimum standards:</text> <paragraph num="(1)"> <text>The premises shall be maintained in a sanitary manner to comply with Centers for Disease Control’s guidelines on universal precautions;</text> </paragraph> <paragraph num="(2)"> <text>Except by express, written consent of the authorizing agents to perform simultaneous, multiple cremations or alkaline hydrolyses, there shall be no more than one human body cremated or hydrolyzed in a single cremator or alkaline hydrolysis unit at a time;</text> </paragraph> <paragraph num="(3)"> <text>A cremator or alkaline hydrolysis unit shall be cleaned completely after each cremation or alkaline hydrolysis;</text> </paragraph> <paragraph num="(4)"> <text>There may not be co-mingling of human remains and pet remains in refrigeration units, cremators, or alkaline hydrolysis units;</text> </paragraph> <paragraph num="(5)"> <text>Separate cremators or alkaline hydrolysis units shall be dedicated for the cremation or alkaline hydrolysis of human remains and the cremation or alkaline hydrolysis of pets;</text> </paragraph> <paragraph num="(6)"> <text>There may not be:</text> <paragraph num="(a)"> <text>Co-mingling of processed human remains with other processed human remains or pet remains;</text> </paragraph> <paragraph num="(b)"> <text>Scooping of processed human remains from a bucket containing commingled processed human remains; or</text> </paragraph> <paragraph num="(c)"> <text>Any form of misrepresentation in the return of processed human remains;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Excluding a deceased person with a known communicable infection, human remains shall be properly identified before cremation or alkaline hydrolysis by verifying that the documentation accompanying the human remains is consistent with a visual observation of the human remains;</text> </paragraph> <paragraph num="(8)"> <text>A burial transit permit shall be an original document pertaining to the deceased;</text> </paragraph> <paragraph num="(9)"> <text>Each crematory shall have:</text> <paragraph num="(a)"> <text>A sink with hot and cold water in the room in which the crematory equipment is housed; and</text> </paragraph> <paragraph num="(b)"> <text>The tools necessary to thoroughly clean the floor within the room housing the crematory equipment with water and an appropriate sanitizing agent;</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>The name of the deceased shall be visible on the outside of the crematory container;</text> </paragraph> <paragraph num="(11)"> <text>Human remains shall be properly stored prior to cremation or alkaline hydrolysis;</text> </paragraph> <paragraph num="(12)"> <text>Crematories shall:</text> <paragraph num="(a)"> <text>Use only mechanical pulverizing equipment meeting industry standards that has been thoroughly brushed as clean as possible between each use; and</text> </paragraph> <paragraph num="(b)"> <text>Pulverize the processed human remains with a mortar and pestle when the processed human remains are not sufficient in amount for pulverizing in mechanical equipment;</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>Separate pulverizing drums shall be dedicated for processed human remains and processed pet remains;</text> </paragraph> <paragraph num="(14)"> <text>Before pulverizing, the mechanical pulverizer shall be clamped;</text> </paragraph> <paragraph num="(15)"> <text>A crematory may not refuse to release processed human remains pending payment of outstanding fees;</text> </paragraph> <paragraph num="(16)"> <text>Cremators without safety devices that prevent the automatic door from dropping unintentionally shall be retrofitted with such safety devices;</text> </paragraph> <paragraph num="(17)"> <text>Portable fans may not be used in the area of the cremator or pulverizing equipment;</text> </paragraph> <paragraph num="(18)"> <text>There shall be a minimum of 6 inches between a cremator smoke stack and the roof of the crematory;</text> </paragraph> <paragraph num="(19)"> <text>A cremator shall have, visible on its front, a warning sign stating “No leaning past the door of the cremator.”;</text> </paragraph> <paragraph num="(20)"> <text>The permit holder or registered crematory operator shall be present at the crematory during regular business hours; and</text> </paragraph> <paragraph num="(21)"> <text>All individuals who operate the cremator or alkaline hydrolysis unit in a crematory shall be certified by the Cremation Association of North America, International Cemetery, Cremation and Funeral Association, or other equivalent certification recognized by the Office and the Board. Individuals receiving training toward certification to operate a cremator or alkaline hydrolysis unit shall be allowed to work under the supervision of a registered crematory operator who has the required certification for a period not to exceed 6 months.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The following completed forms shall be available at all times for inspection and copying and are subject to be pulled at random by the inspector:</text> <paragraph num="(1)"> <text>Crematory services authorization form;</text> </paragraph> <paragraph num="(2)"> <text>Burial transit permit;</text> </paragraph> <paragraph num="(3)"> <text>Delegation of authority form;</text> </paragraph> <paragraph num="(4)"> <text>Receipt for human remains;</text> </paragraph> <paragraph num="(5)"> <text>Record of cremation or alkaline hydrolysis;</text> </paragraph> <paragraph num="(6)"> <text>Certificate of cremation or alkaline hydrolysis; and</text> </paragraph> <paragraph num="(7)"> <text>Return of processed human remains certificate.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Inspection results shall be written on forms approved by the Office.</text> </paragraph> <paragraph num="F."> <text>The representative of the Office performing the inspection shall, upon completion of the inspection:</text> <paragraph num="(1)"> <text>Apprise the permit holder of the findings of the inspection; and</text> </paragraph> <paragraph num="(2)"> <text>Provide the permit holder or a representative of the permit holder with a copy of the inspection report.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The permit holder or representative of the permit holder shall sign and verify receipt of the inspection report.</text> </paragraph> <paragraph num="H."> <text>At the time of the Office’s inspection, the permit holder shall provide written documentation to the Office’s inspector that:</text> <paragraph num="(1)"> <text>The crematory equipment has been inspected in accordance with manufacturer specifications;</text> </paragraph> <paragraph num="(2)"> <text>In accordance with manufacturer specifications, it is not time for a manufacturer’s inspection; or</text> </paragraph> <paragraph num="(3)"> <text>The permit holder has requested that the manufacturer conduct an inspection of the crematory equipment.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Crematory Inspection Report, Deficiencies, Violations, and Penalties."> <paragraph num="A."> <text>The Director of the Office shall review the inspection report and make a determination as to whether a deficiency exists.</text> </paragraph> <paragraph num="B."> <text>The Office shall notify the permit holder of the results of the inspection by providing a copy of the inspection report to the permit holder.</text> </paragraph> <paragraph num="C."> <text>If a permit holder passes an inspection, the permit holder shall prominently display, in public view on the premises, a statement issued by the Office that the crematory has successfully passed an inspection.</text> </paragraph> <paragraph num="D."> <text>If the Director of the Office finds a deficiency, the Director of the Office shall:</text> <paragraph num="(1)"> <text>Within 7 days notify the permit holder of the deficiency or failure to pass the inspection; and</text> </paragraph> <paragraph num="(2)"> <text>Provide a copy of the inspection report, notice of the deficiency, or failure to pass the inspection to the crematory permit holder within 30 days of completion of the inspection.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Correction of Deficiency.</text> <paragraph num="(1)"> <text>Except as provided in this section, a crematory permit holder shall correct a deficiency within 30 days after receipt of notification or sooner as determined by the Office.</text> </paragraph> <paragraph num="(2)"> <text>The Office may require immediate correction of a deficiency if the Office considers the correction necessary in the interest of public health.</text> </paragraph> <paragraph num="(3)"> <text>The crematory permit holder may request an extension of time within which to correct a deficiency.</text> </paragraph> <paragraph num="(4)"> <text>The Office may approve an extension of time for correction of a deficiency.</text> </paragraph> <paragraph num="(5)"> <text>Upon completion of the correction of all deficiencies, the crematory permit holder shall notify the Office.</text> </paragraph> <paragraph num="(6)"> <text>Upon notification by the crematory permit holder, a representative of the Office shall re-inspect the crematory.</text> </paragraph> <paragraph num="(7)"> <text>The Office shall notify the crematory permit holder, in writing, of the results of the re-inspection report by providing a copy of a new inspection report to the crematory permit holder.</text> </paragraph> <paragraph num="(8)"> <text>If re-inspection reveals additional deficiencies not cited in the first report, the crematory permit holder shall correct those deficiencies in the time period specified by the Office unless an extension of time for correction of the additional deficiencies is requested by the crematory permit holder and approved by the Office.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Penalties. In the event that a crematory permit holder fails to allow an inspection of the crematory or fails to comply with a notice to correct deficiencies or violations within the time specified, the Office shall:</text> <paragraph num="(1)"> <text>Deem the failure to be a threat to the public health, safety, or welfare requiring immediate action;</text> </paragraph> <paragraph num="(2)"> <text>Summarily suspend the crematory permit as provided under State Government Article, §10-226(c)(2), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>Provide notice of the Office’s action to the crematory permit holder; and</text> </paragraph> <paragraph num="(4)"> <text>Provide the crematory permit holder a subsequent opportunity for a hearing pursuant to Business Regulation Article, §5-312, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Complaints."> <paragraph num="A."> <text>A complaint regarding a permit holder or a registered crematory operator under the jurisdiction of the Office shall be:</text> <paragraph num="(1)"> <text>Filed by the complainant, on a form devised by the Office in compliance with the provisions of Business Regulation Article, §5-311(b), Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(2)"> <text>Processed in accordance with the provisions of Business Regulation Article, §5-311(c)—(h), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Office may initiate a complaint or investigation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Investigations."> <text>The Office and the Board may share investigative information and conduct joint investigations.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Grounds for Discipline and Penalties."> <paragraph num="A."> <text>Subject to the hearing provisions of Business Regulations Article, §5-312, Annotated Code of Maryland, the Director of the Office of Cemetery Oversight may deny a crematory permit or registered crematory operator permit to an applicant, reprimand any person required to obtain a crematory permit or registered crematory operator permit, or suspend or revoke a crematory permit or registered crematory operator permit of an applicant or permit holder, or an agent, employee, officer, director, or partner of the applicant or permit holder for the reasons set forth in Business Regulation Article, §5-310, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>The Director of the Office may seek the remedies and may impose the penalties set forth in Business Regulation Article, Title 5, Annotated Code of Maryland, for violations of that title.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§5-204, 5-310, and 5-311, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 31, 2014 (41:6 Md. R. 378)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> </annotations> </chapter> <chapter num="08" heading="Crematories — Crematory Procedures"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the procedures to be followed by a permit holder in performing a cremation or alkaline hydrolysis in this State.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Removal, Identification, and Transportation of Human Remains."> <paragraph num="A."> <text>Upon receipt of human remains, a permit holder, in the presence of the authorizing agent or representative of the funeral establishment engaging crematory services, shall:</text> <paragraph num="(1)"> <text>Verify that the information on the wrist tag of the human remains is consistent with the documentation accompanying the human remains and consistent with the visual observation of the human remains;</text> </paragraph> <paragraph num="(2)"> <text>Use a metal detector wand to inspect for the presence of any battery operated, implanted devices including pacemakers, defibrillators, or pain relief devices;</text> </paragraph> <paragraph num="(3)"> <text>Refuse to accept human remains for cremation or alkaline hydrolysis if an inspection of the human remains indicates the presence of any battery operated, implanted device;</text> </paragraph> <paragraph num="(4)"> <text>Remove and properly dispose of any hazardous object or any other materials that the permitted designee of the permit holder deems should be removed from the human remains or crematory container in order to prevent harm to the public health or damage to the cremator or alkaline hydrolysis unit;</text> </paragraph> <paragraph num="(5)"> <text>Remove any jewelry on the human remains or in the crematory container;</text> </paragraph> <paragraph num="(6)"> <text>Return any removed jewelry to the authorizing agent or representative of the funeral establishment engaging [cremation] crematory services; and</text> </paragraph> <paragraph num="(7)"> <text>Obtain a signed, itemized receipt from the authorizing agent or representative of the funeral establishment engaging crematory services for the removed jewelry and retain the receipt as a permanent record.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Foreign objects removed from the human remains:</text> <paragraph num="(1)"> <text>Shall be treated as medical waste and disposed of accordingly; and</text> </paragraph> <paragraph num="(2)"> <text>May not be donated until a sterilization process through a third party, recognized by the Office, to dispose properly of medical waste has been performed.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Materials identifying the human remains placed in the custody of a permit holder shall contain the following information:</text> <paragraph num="(1)"> <text>Name;</text> </paragraph> <paragraph num="(2)"> <text>Date of birth;</text> </paragraph> <paragraph num="(3)"> <text>Date of death;</text> </paragraph> <paragraph num="(4)"> <text>Name of funeral establishment or authorizing agent;</text> </paragraph> <paragraph num="(5)"> <text>Gender; and</text> </paragraph> <paragraph num="(6)"> <text>Name and relationship of authorizing agent to the decedent.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A permit holder shall not accept unidentified human remains for cremation or alkaline hydrolysis.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Crematory Containers."> <paragraph num="A."> <text>A cremation container:</text> <paragraph num="(1)"> <text>Shall be a readily combustible, rigid container suitable for cremation;</text> </paragraph> <paragraph num="(2)"> <text>Shall provide a completely enclosed covering for the human remains;</text> </paragraph> <paragraph num="(3)"> <text>Shall be resistant to leakage or spillage;</text> </paragraph> <paragraph num="(4)"> <text>Shall be of sufficient strength and rigidity for ease of handling;</text> </paragraph> <paragraph num="(5)"> <text>Shall provide protection to the health and safety of crematory establishment personnel;</text> </paragraph> <paragraph num="(6)"> <text>Shall comply with all local, State, and federal governmental emissions regulations; and</text> </paragraph> <paragraph num="(7)"> <text>May not be composed of metal or polyethylene material.</text> </paragraph> <paragraph num="(8)"> <text>A cremation container which appears to be heavily coated with varnish, lacquer, or any other highly combustible substance shall be:</text> <paragraph num="(a)"> <text>Placed in a cold cremator within which no cremation has occurred in the prior 4 hours; or</text> </paragraph> <paragraph num="(b)"> <text>Coated completely with water before being placed in the cremator.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>An alkaline hydrolysis container:</text> <paragraph num="(1)"> <text>Shall completely enclose the human remains;</text> </paragraph> <paragraph num="(2)"> <text>Shall be resistant to leakage or spillage;</text> </paragraph> <paragraph num="(3)"> <text>Shall provide protection to the health and safety of crematory establishment personnel and the public; and</text> </paragraph> <paragraph num="(4)"> <text>May be removed prior to the start of the alkaline hydrolysis process as long as the human remains are covered to protect the dignity of the decedent.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Holding Facilities."> <text>A holding facility shall:</text> <paragraph num="A."> <text>Comply with applicable public health laws;</text> </paragraph> <paragraph num="B."> <text>Preserve the dignity of human remains;</text> </paragraph> <paragraph num="C."> <text>Recognize the integrity, health, and safety of crematory establishment personnel; and</text> </paragraph> <paragraph num="D."> <text>Be secure from access by unauthorized persons.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Holding Remains."> <paragraph num="A."> <text>Unless prevented by emergency circumstances, human remains that have been designated for cremation or alkaline hydrolysis shall be cremated or hydrolyzed by a permit holder within 48 hours after receipt.</text> </paragraph> <paragraph num="B."> <text>A permit holder may not hold human remains for cremation or alkaline hydrolysis unless the human remains are contained within an individual, closed cremation or alkaline hydrolysis container as required under Regulation .03 of this chapter.</text> </paragraph> <paragraph num="C."> <text>A permit holder may not accept a cremation or alkaline hydrolysis container from which there is any evidence of leakage of the body fluids from the human remains therein.</text> </paragraph> <paragraph num="D."> <text>Whenever a permit holder is unable to cremate or hydrolyze human remains within 48 hours of taking custody thereof due to emergency circumstances, the permit holder shall maintain the human remains in a refrigerated holding facility, either on or off site, at 44° F or less, unless the remains have been embalmed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Identification of Human Remains Immediately Prior to Cremation or Alkaline Hydrolysis."> <paragraph num="A."> <text>Immediately prior to being placed within the cremator or alkaline hydrolysis unit, a designee of the permit holder shall:</text> <paragraph num="(1)"> <text>Verify the identification of the human remains; and</text> </paragraph> <paragraph num="(2)"> <text>Place in the cremator or alkaline hydrolysis unit the hard metal or plastic identification disc of the human remains being processed where it shall remain in place until the cremation or alkaline hydrolysis process is complete.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The designee of the permit holder who is operating the cremator may not leave the immediate area of the cremator during the cremation process</text> </paragraph> <paragraph num="C."> <text>The alkaline hydrolysis unit shall be monitored at all times during alkaline hydrolysis.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Crematory Services Authorization."> <paragraph num="A."> <text>Except as otherwise provided in this regulation, a permit holder may not cremate or hydrolyze human remains until:</text> <paragraph num="(1)"> <text>The body has been identified as required by Health Occupations Article, §7-411, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>The crematory has received:</text> <paragraph num="(a)"> <text>A crematory services authorization on a form approved by the Office and signed by an authorizing agent;</text> </paragraph> <paragraph num="(b)"> <text>If applicable, a written delegation document or facsimile; and</text> </paragraph> <paragraph num="(c)"> <text>Any other documentation required by federal, State, or local law; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The permit holder has documented that at least 12 hours have elapsed from the time of death of the individual whose remains are to be processed.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The crematory services authorization form shall:</text> <paragraph num="(1)"> <text>Be provided by the permit holder to the authorizing agent, and signed by the authorizing agent;</text> </paragraph> <paragraph num="(2)"> <text>Contain the following information:</text> <paragraph num="(a)"> <text>The identity of the decedent;</text> </paragraph> <paragraph num="(b)"> <text>Date of death;</text> </paragraph> <paragraph num="(c)"> <text>The name and address of the crematory where the cremation or alkaline hydrolysis will occur;</text> </paragraph> <paragraph num="(d)"> <text>The name and address of the authorizing agent and the relationship between the authorizing agent and the deceased;</text> </paragraph> <paragraph num="(e)"> <text>Authorization for the permit holder to cremate or hydrolyze the human remains;</text> </paragraph> <paragraph num="(f)"> <text>Indicate whether the decedent is a veteran, as defined in State Government Article, §9-90,1 Annotated Code of Maryland, or an eligible dependent, as defined in Business Regulation Article, §5-803, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(g)"> <text>Authorization to verify that the following have been removed prior to cremation or alkaline hydrolysis:</text> <paragraph num="(i)"> <text>Implanted pacemaker or defibrillator; or</text> </paragraph> <paragraph num="(ii)"> <text>Any other materials that the crematory authority deems should be removed to prevent harm to the public health or damage to equipment;</text> </paragraph> </paragraph> <paragraph num="(h)"> <text>A representation by the authorizing agent that radiological implant treatment has not occurred to the human remains within 5 days before cremation or alkaline hydrolysis;</text> </paragraph> <paragraph num="(i)"> <text>A representation that the authorizing agent is aware of no objection to the human remains being processed by any person who has a right to control the disposition of the human remains; and</text> </paragraph> <paragraph num="(j)"> <text>The name and address of the person authorized to claim the processed remains from the permit holder or accept the processed remains via registered mail; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Be signed by the authorizing agent.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If an authorizing agent is not available to execute the crematory services authorization form, the authorizing agent may delegate that authority to another individual:</text> <paragraph num="(1)"> <text>In writing; or</text> </paragraph> <paragraph num="(2)"> <text>If located outside the area, by transmitting to the crematory authority:</text> <paragraph num="(a)"> <text>A signed, notarized statement, electronically or by facsimile device, that contains the name, address, and relationship of the sender to the deceased and the name and address of the individual to whom authority is delegated; and</text> </paragraph> <paragraph num="(b)"> <text>Once the authorizing agent is located in the area, a notarized statement, through the United States Postal Service attesting to the delegation of authority.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Upon receipt of the written delegation document or a copy of the delegation statement transmitted electronically or by facsimile device, the crematory authority shall allow the named individual to serve as the authorizing agent. The documents shall be signed by the authorizing agent in the presence of a notary.</text> </paragraph> <paragraph num="E."> <text>A person signing a crematory services authorization form is deemed to warrant the truthfulness of any facts set forth in the authorization form, including the identity of the deceased whose remains are sought to be processed and the authority of that person to order such a cremation or alkaline hydrolysis.</text> </paragraph> <paragraph num="F."> <text>A permit holder shall notify and obtain the written consent of the authorizing agent before the cremation or alkaline hydrolysis of human remains at a location other than the location named on the cremation or alkaline hydrolysis authorization form.</text> </paragraph> <paragraph num="G."> <text>A permit holder shall maintain a copy of every crematory services authorization form required under this regulation as permanent records.</text> </paragraph> <paragraph num="H."> <text>Crematory services authorization records are subject to inspection and copying by the Office.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Record of Receipt of Remains."> <paragraph num="A."> <text>A permit holder shall provide to an individual who delivers human remains for cremation or alkaline hydrolysis a receipt signed by both the permit holder and the person who delivered the human remains, that includes the:</text> <paragraph num="(1)"> <text>Name of the individual from whom the human remains were received and the name of the individual's employer, if any;</text> </paragraph> <paragraph num="(2)"> <text>Name and address of the crematory authority;</text> </paragraph> <paragraph num="(3)"> <text>Name and address of the deceased;</text> </paragraph> <paragraph num="(4)"> <text>Gender of the deceased;</text> </paragraph> <paragraph num="(5)"> <text>Date of death of deceased; and</text> </paragraph> <paragraph num="(6)"> <text>Verification of authorized burial transit permit.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The permit holder shall maintain a record of each cremation or alkaline hydrolysis which shall include the:</text> <paragraph num="(1)"> <text>Name of the deceased;</text> </paragraph> <paragraph num="(2)"> <text>Date of birth of the deceased;</text> </paragraph> <paragraph num="(3)"> <text>Date of death of the deceased;</text> </paragraph> <paragraph num="(4)"> <text>Gender of the deceased;</text> </paragraph> <paragraph num="(5)"> <text>Name and address of the authorizing agent;</text> </paragraph> <paragraph num="(6)"> <text>Date, time, and location of cremation or alkaline hydrolysis; and</text> </paragraph> <paragraph num="(7)"> <text>Name of the individual who performed the cremation or alkaline hydrolysis.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The permit holder shall provide a certificate of disposition of processed human remains to the authorizing agent or funeral establishment that arranged for the cremation or alkaline hydrolysis that contains the:</text> <paragraph num="(1)"> <text>Name of the deceased;</text> </paragraph> <paragraph num="(2)"> <text>Name of the authorizing agent;</text> </paragraph> <paragraph num="(3)"> <text>Date, time, and location where cremation or alkaline hydrolysis occurred;</text> </paragraph> <paragraph num="(4)"> <text>Name of the individual who performed the cremation or alkaline hydrolysis;</text> </paragraph> <paragraph num="(5)"> <text>Name and address of the person who received the processed human remains from the permit holder; and</text> </paragraph> <paragraph num="(6)"> <text>If ascertainable, the location, including the name of the cemetery and plot location if the remains are interred, the manner, and the date of the disposition of the processed human remains.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The permit holder shall maintain a copy of every record and receipt required by this regulation as permanent records.</text> </paragraph> <paragraph num="E."> <text>All records required to be maintained by a permit holder by this chapter are subject to inspection and copying by the Office.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Use of a Casket; Embalming."> <paragraph num="A."> <text>Except as provided in §B of this regulation, a permit holder may not:</text> <paragraph num="(1)"> <text>Require that human remains be placed in a casket before cremation or that human remains be cremated in a casket;</text> </paragraph> <paragraph num="(2)"> <text>Refuse to accept human remains for cremation because the remains are not in a casket; or</text> </paragraph> <paragraph num="(3)"> <text>Refuse to accept human remains for cremation because the remains are in a suitable, combustible wooden casket, but may request the authorizing agent or funeral establishment engaging the services of the permit holder to remove the metal mattress holder in the casket.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Human remains delivered to a permit holder may not be removed from the cremation container and the cremation container shall be cremated with the human remains unless the authorizing agent for the deceased requests that the human remains be placed in the cremator without enclosure in a cremation container.</text> </paragraph> <paragraph num="C."> <text>The cremation container shall be cremated with the human remains unless the authorizing agent for the deceased requests a more natural environment for the deceased. A permit holder is not required to accept this manner of disposition.</text> </paragraph> <paragraph num="D."> <text>A permit holder may not require that human remains be subjected to embalming before cremation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Disposition of Processed Human Remains."> <paragraph num="A."> <text>Upon completion of the cremation or alkaline hydrolysis, insofar as is possible:</text> <paragraph num="(1)"> <text>All of the recoverable residue of the cremation or alkaline hydrolysis process shall be:</text> <paragraph num="(a)"> <text>Removed from the cremator or alkaline hydrolysis unit; and</text> </paragraph> <paragraph num="(b)"> <text>Except for medical devices remaining after cremation or alkaline hydrolysis, pulverized; and</text> </paragraph> <paragraph num="(c)"> <text>Placed in a sealable container; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The identification disc required by Health Occupations Article, §7-411, Annotated Code of Maryland, shall be:</text> <paragraph num="(a)"> <text>Removed from the cremator or alkaline hydrolysis unit; and</text> </paragraph> <paragraph num="(b)"> <text>Placed in the sealable container with the processed human remains.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Medical devices which remain after the completion of the cremation or alkaline hydrolysis process shall be treated as medical waste and disposed of accordingly.</text> </paragraph> <paragraph num="C."> <text>After pulverization, all of the processed human remains, together with the identification disc, shall be placed in a sealable container.</text> </paragraph> <paragraph num="D."> <text>If the sealable container opening is not of adequate dimensions to accommodate an identification disc, it shall be affixed to the exterior of the sealable container and a record of the cremation number shall be placed in the sealable container.</text> </paragraph> <paragraph num="E."> <text>If all of the processed human remains and the identification tag will not fit within the dimensions of a sealable container, the remainder of the processed human remains shall be returned to the authorizing agent, or the agent's representative, in a separate, sealable container. Container seams shall be taped.</text> </paragraph> <paragraph num="F."> <text>If the processed human remains and identification tag do not adequately fill the container's interior dimensions, the extra space may be filled with packing material that will not become intermingled with the processed human remains and then securely closed.</text> </paragraph> <paragraph num="G."> <text>If a sealable container containing processed human remains is to be shipped, the sealable container shall:</text> <paragraph num="(1)"> <text>Be placed within a separate sturdy box with all box seams securely taped closed; and</text> </paragraph> <paragraph num="(2)"> <text>Have the name of the deceased person whose processed human remains are contained therein legibly written on the outside of the container.</text> </paragraph> </paragraph> <paragraph num="H."> <text>If processed human remains have been in the possession of a permit holder, as originally authorized by the authorizing agent, without instructions for disposition, for a period of 10 days or more from the date of cremation or alkaline hydrolysis, the permit holder may send the processed human remains, using the current mailing standard approved by the U.S. Postal Service, to the authorizing agent.</text> </paragraph> <paragraph num="I."> <text>Veteran and Eligible Dependent Decedents.</text> <paragraph num="(1)"> <text>Unless the authorizing agent directs otherwise, if a permit holder in possession of processed remains of a decedent veteran or a decedent eligible dependent shall provide the decedent’s identifying information to a veterans service organization, as defined in Business Regulation Article, §5-803, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>The veterans service organization will notify the permit holder whether the decedent is a veteran or eligible dependent eligible for burial in a veterans cemetery.</text> </paragraph> <paragraph num="(3)"> <text>If the unclaimed processed remains are those of a veteran or an eligible dependent, the permit holder may transfer the processed remains to a veterans service organization for the purpose of disposition of the processed remains.</text> </paragraph> <paragraph num="(4)"> <text>If a veterans service organization does not take possession of unclaimed processed remains that qualify for a plot in a State veterans cemetery under State Government Article, §9-906, Annotated Code of Maryland, within 10 days after the permit holder receives the notification required this regulation, permit holder shall:</text> <paragraph num="(a)"> <text>Notify the Department of Veterans and Military Families of the status of the processed remains for the purpose of the appropriate disposition of the processed remains; and</text> </paragraph> <paragraph num="(b)"> <text>Transfer the processed remains to the Department of Veterans and Military Families for the purpose of the appropriate disposition of the processed remains.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Tools."> <paragraph num="A."> <text>A crematory offering cremation shall maintain, at its own expense, the following tool inventory:</text> <paragraph num="(1)"> <text>Safety placement tool measuring a minimum of 49 inches in length;</text> </paragraph> <paragraph num="(2)"> <text>Wire brushes for cleaning cremators;</text> </paragraph> <paragraph num="(3)"> <text>Brush with fine bristles for cleaning pulverizers;</text> </paragraph> <paragraph num="(4)"> <text>Mortar and pestle;</text> </paragraph> <paragraph num="(5)"> <text>Funnel;</text> </paragraph> <paragraph num="(6)"> <text>High temperature protective gloves and heat resistant leather gloves;</text> </paragraph> <paragraph num="(7)"> <text>Hand magnet and metal detector wand to detect and remove metal from cremated human remains;</text> </paragraph> <paragraph num="(8)"> <text>Tweezers to remove nonmetal objects from cremated human remains; and</text> </paragraph> <paragraph num="(9)"> <text>National Institute for Occupational Safety & Health certified N95 filtering facepiece respirators.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A crematory offering alkaline hydrolysis shall maintain, at its own expense, the following tool inventory:</text> <paragraph num="(1)"> <text>Suitable tools for cleaning the alkaline hydrolysis unit;</text> </paragraph> <paragraph num="(2)"> <text>Brush with fine bristles for cleaning pulverizers;</text> </paragraph> <paragraph num="(3)"> <text>Mortar and pestle;</text> </paragraph> <paragraph num="(4)"> <text>Funnel;</text> </paragraph> <paragraph num="(5)"> <text>Hand magnet and metal detector wand to detect and remove metal from hydrolyzed human remains;</text> </paragraph> <paragraph num="(6)"> <text>Tweezers to remove nonmetal objects from hydrolyzed human remains;</text> </paragraph> <paragraph num="(7)"> <text>National Institute for Occupational Safety & Health certified respirators; and</text> </paragraph> <paragraph num="(8)"> <text>An emergency shower and eyewash combination unit meeting the criteria established under the American National Standards Institute and the International Safety Equipment Association Z358.1-2014 (R2020) or its successor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Visitors."> <paragraph num="A."> <text>The crematory permit holder or registered crematory operator shall:</text> <paragraph num="(1)"> <text>Submit to the Office the number of persons not affiliated with the operation of the crematory who can safely be within the same room and within 10 feet of the cremator door; and</text> </paragraph> <paragraph num="(2)"> <text>Verify to the Office that the crematory permit holder has submitted the information required in §A(1) of this regulation to their liability insurance carrier.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Crematories that begin operation after July 1, 2014, shall construct a viewing room the area of the cremator or alkaline hydrolysis unit if the permit holder intends to permit more than two visitors present in the area of the cremator or alkaline hydrolysis unit during a cremation.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §5-204, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 31, 2014 (41:6 Md. R. 378)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .09 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11 amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> <annotation type="History" subtype="Administrative History">Regulation .12B amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> </annotations> </chapter> <chapter num="09" heading="Crematories — Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs any person who holds a permit, pursuant to Business Regulation Article, Title 5, Annotated Code of Maryland, to engage in the operation of a crematory or to act as a registered crematory operator.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="General Professional Practices."> <paragraph num="A."> <text>A permit holder shall:</text> <paragraph num="(1)"> <text>Act in a manner that respects and protects the dignity of a decedent and the decedent’s family;</text> </paragraph> <paragraph num="(2)"> <text>Conduct business in a reasonable, usual, and customary manner;</text> </paragraph> <paragraph num="(3)"> <text>Comply with the State public health laws as set forth in Health General Article, §§4-215 and 5-501 et seq., Annotated Code of Maryland;</text> </paragraph> <paragraph num="(4)"> <text>Comply with Business Regulation Article, Title 5, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(5)"> <text>Comply with the Commercial Law Article, Titles 12 and 13, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(6)"> <text>Implement and follow through on all arrangements agreed upon between a consumer and the crematory;</text> </paragraph> <paragraph num="(7)"> <text>Provide appropriate services for and respect the rights of individuals without regard to age, race, creed, national origin, gender, disability, marital status, political belief, religious affiliation, social or economic status, or social preferences;</text> </paragraph> <paragraph num="(8)"> <text>Comply with all local, State, and federal laws for regarding the disposition of human remains;</text> </paragraph> <paragraph num="(9)"> <text>Be sensitive and responsive to the bereavement needs of a decedent’s family;</text> </paragraph> <paragraph num="(10)"> <text>Provide a general price list in effect at that time, in accordance with the requirements of the Federal Trade Commission’s funeral rule found at 16 CFR part 453; and</text> </paragraph> <paragraph num="(11)"> <text>Provide accurate information from the general price list to any person who requests information, by telephone, regarding cremation related goods or services.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In advertising, a permit holder may not include statements:</text> <paragraph num="(1)"> <text>That are misrepresentations of facts;</text> </paragraph> <paragraph num="(2)"> <text>That are likely to mislead or deceive because, in context, the statement makes only a partial disclosure of relevant facts;</text> </paragraph> <paragraph num="(3)"> <text>Relating to fees without reasonable disclosure of all relevant variables so that the statement would not be misunderstood or be deceptive to a consumer; or</text> </paragraph> <paragraph num="(4)"> <text>Containing representations or implications that in reasonable probability can be expected to cause an ordinarily prudent person to misunderstand or be deceived.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A permit holder or registered crematory operator may not:</text> <paragraph num="(1)"> <text>Use, or participate in the use of, any form of communication to consumers containing a false, fraudulent, misleading, deceptive, or unfair statement or claim; or</text> </paragraph> <paragraph num="(2)"> <text>Operate a crematory or perform a cremation or alkaline hydrolysis while under the influence of alcohol, an illegal drug, or a controlled dangerous substance which has not been prescribed by a physician.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§5-204 and 5-310, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 31, 2014 (41:6 Md. R. 378)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02C amended effective April 13, 2026 (53:7 Md. R. 327)</annotation> </annotations> </chapter> <chapter num="10" heading="Natural Organic Reduction — Definitions"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the definitions of terms used in COMAR 09.34.11, COMAR 09.34.12, COMAR 09.34.13, and COMAR 09.34.14.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In COMAR 09.34.11, COMAR 09.34.12, COMAR 09.34.13, and COMAR 09.34.14, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Advertisement” means the publication, dissemination, or circulation of any oral or written matter, including labeling, which directly or indirectly calls to the attention of the public the goods or services one has to offer.</text> </paragraph> <paragraph num="(2)"> <text>“Aerobic” means the biochemical decomposition of organic matter primarily into stabilized solids and carbon dioxide by microorganisms in the presence of air.</text> </paragraph> <paragraph num="(3)"> <text>“Authorizing Agent” means an individual who has legal authority to arrange for and make decisions regarding the final disposition of human remains.</text> </paragraph> <paragraph num="(4)"> <text>“Board” means the Board of Morticians and Funeral Directors.</text> </paragraph> <paragraph num="(5)"> <text>“Bulking agent” means a material added to remains to increase porosity and facilitate aeration during natural organic reduction and can only be organic materials and cannot include synthetic microbes, insects, or chemicals.</text> </paragraph> <paragraph num="(6)"> <text>Consumer.</text> <paragraph num="(a)"> <text>“Consumer” means an actual or prospective purchaser of consumer services, consumer goods, or consumer credit.</text> </paragraph> <paragraph num="(b)"> <text>“Consumer” includes an individual directed by the consumer, or properly acting on behalf of a deceased consumer, to inquire about the cost or purchase of reduction services or reduction related goods, or to act on behalf of the consumer.</text> </paragraph> <paragraph num="(c)"> <text>“Consumer” includes a funeral establishment contracting with a reduction facility authorizing agent of a decedent contracting with a reduction facility.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Curing.</text> <paragraph num="(a)"> <text>“Curing” means the phase of the reduction process after:</text> <paragraph num="(i)"> <text>Most of the human remains have completed natural organic reduction and stabilized; and</text> </paragraph> <paragraph num="(ii)"> <text>Any pathogen reduction process needed for the soil remains to meet the standards set in COMAR 09.34.13.11.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Curing” includes periods in which the soil remains are managed to increase maturity prior to the completion of natural organic reduction.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Decedent” means a dead human being.</text> </paragraph> <paragraph num="(9)"> <text>“Director” means the Director of the Office of Cemetery Oversight.</text> </paragraph> <paragraph num="(10)"> <text>“Engage in the Operation of a reduction facility” means:</text> <paragraph num="(a)"> <text>Controlling or managing a reduction facility.</text> </paragraph> <paragraph num="(b)"> <text>“Engage in the operation of a reduction facility” does not include:</text> <paragraph num="(i)"> <text>The practice of funeral direction or the practice of mortuary science; or</text> </paragraph> <paragraph num="(ii)"> <text>Assistance in making decisions and filling out forms that are not directly related to natural organic reduction;</text> </paragraph> <paragraph num="(iii)"> <text>Obtaining vital statistics, signatures, and other information necessary to complete a death certificate;</text> </paragraph> <paragraph num="(iv)"> <text>Transportation of a body to the place of disposition; or</text> </paragraph> <paragraph num="(v)"> <text>Any other services regarding the disposition of a body that are not directly related to natural organic reduction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(11)"> <text>“Holding facility” means an area, within or adjacent to a reduction facility, designed for the retention of human remains before natural organic reduction begins.</text> </paragraph> <paragraph num="(12)"> <text>“Funeral establishment” means a building, structure, or premises licensed by the Board, with facilities for:</text> <paragraph num="(a)"> <text>Embalming or holding of human remains for disposition;</text> </paragraph> <paragraph num="(b)"> <text>Viewing of the human remains; and</text> </paragraph> <paragraph num="(c)"> <text>Funeral services.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>Human Remains.</text> <paragraph num="(a)"> <text>“Human remains” means:</text> <paragraph num="(i)"> <text>The body of a deceased person; or</text> </paragraph> <paragraph num="(ii)"> <text>A part of a body or limb that has been removed from a living person.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Human remains” includes the body or part of a body or limb in any state of decomposition.</text> </paragraph> <paragraph num="(c)"> <text>“Human remains” does not include soil remains produced after the completion of natural organic reduction.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>“Label” means the display of all written, printed, or graphic matter on the soil remains container or a statement accompanying a soil remains container.</text> </paragraph> <paragraph num="(15)"> <text>“Mature” means the characteristics of a soil after completing natural organic reduction so that is harmless to plant growth if used as a topsoil or soil supplement and it sufficiently stable that it will not generate nuisance odors and can be returned to the authorizing agent or the authorizing agent’s designee as soil remains.</text> </paragraph> <paragraph num="(16)"> <text>“Natural Organic Reduction” means the contained, accelerated, aerobic degradation of human remains into soil.</text> </paragraph> <paragraph num="(17)"> <text>“Office” means the Office of Cemetery Oversight.</text> </paragraph> <paragraph num="(18)"> <text>“Organic” means any natural biological substance of plant origin that is capable of microbial degradation.</text> </paragraph> <paragraph num="(19)"> <text>“Organic materials” means biodegradable materials such as wood chips, straw, and alfalfa added to the vessel to facilitate the natural organic reduction process and create nutrient-rich soil.</text> </paragraph> <paragraph num="(20)"> <text>“Pathogenic organisms” means disease-causing organisms including, but not limited to bacteria, viruses, protozoa and viable helminth ova.</text> </paragraph> <paragraph num="(21)"> <text>“Permit” means a permit issued by the Office to allow a sole proprietor, partnership, limited liability company, or corporation to operate a business which engages in the operation of a reduction facility or an individual to act as a registered reduction operator.</text> </paragraph> <paragraph num="(22)"> <text>“Permit Holder” means the holder of a permit under Business Regulation Article, Title 5, Annotated Code of Maryland, to engage in the operation of a reduction facility or to act as a registered reduction operator.</text> </paragraph> <paragraph num="(23)"> <text>“Pulverization” means the process of breaking down of skeletal remains into fine particles or powder by crushing, grinding, or milling after natural organic reduction leaving bone fragments reduced to 5 millimeters or less.</text> </paragraph> <paragraph num="(24)"> <text>“Reduction container” means a leak-proof container, including a body bag or casket, in which human remains are transported to the reduction facility for natural organic reduction, but the human remains are removed from prior to the start of the natural organic reduction process.</text> </paragraph> <paragraph num="(25)"> <text>“Reduction facility” means a building, portion of a building, or enclosed structure that houses the necessary appliances, containers, and facilities for performing natural organic reduction.</text> </paragraph> <paragraph num="(26)"> <text>“Registered Reduction Operator” means an individual registered with the Office to operate a reduction facility as a sole proprietor or on behalf of a sole proprietor or a permit holder.</text> </paragraph> <paragraph num="(27)"> <text>“Responsible Party” means a sole proprietor or the individual designated by a corporation, limited liability company, or partnership which holds a permit to engage in the operation of a reduction facility, to be the registered reduction operator responsible for the operations of the reduction facility.</text> </paragraph> <paragraph num="(28)"> <text>“Soil Remains” means the soil produced at final disposition of a dead human body at a reduction facility by completion of natural organic reduction.</text> </paragraph> <paragraph num="(29)"> <text>“Soil remains container” means a closable container, including an urn, box, or sack, in which soil remains are returned to the authorizing agent or the authorizing agent’s designee following the completion of natural organic reduction.</text> </paragraph> <paragraph num="(30)"> <text>“Vector” means a carrier organism that is capable of transmitting a pathogen to another organism and includes, but is not limited to, flies and other insects, rodents, birds and vermin.</text> </paragraph> <paragraph num="(31)"> <text>“Vessel” means the chamber, container, or pod into which the remains are placed for natural organic reduction. The vessel shall:</text> <paragraph num="(a)"> <text>Promote aerobic reduction during natural organic reduction; and</text> </paragraph> <paragraph num="(b)"> <text>Be leak-proof, durable, noncorrosive, and fully sealed.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, § 5-204, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 287)</annotation> </annotations> </chapter> <chapter num="11" heading="Natural Organic Reduction—Permits, Registration Process, and Fees"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the permit process for persons, regulated under Business Regulation Article, Title 5, Annotated Code of Maryland, who operate a reduction facility in the State and the fees for reduction facilities and registered reduction operator permits.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Permit Issuing Agency."> <paragraph num="A."> <text>A person who holds a permit or registration under Business Regulation Article, Title 5, Annotated Code of Maryland, and owns a greater interest in a reduction facility than a licensee under Health Occupations Article, Title 7, Annotated Code of Maryland, shall obtain a permit to engage in the operation of a reduction facility from the Office.</text> </paragraph> <paragraph num="B."> <text>A person whose ownership interest in a reduction facility is equal to the ownership interest in the reduction facility of a licensee under Health Occupations Article, Title 7, Annotated Code of Maryland, shall obtain a permit to engage in the operation of a reduction facility from the Office.</text> </paragraph> <paragraph num="C."> <text>A person who owns a reduction facility and is neither a licensee under Health Occupations Article, Title 7, Annotated Code of Maryland, nor a registrant or permit holder under Business Regulation Article, Title 5, Annotated Code of Maryland, shall obtain a permit to engage in the operation of a reduction facility from the Office.</text> </paragraph> <paragraph num="D."> <text>A person who is a licensee or holder of a corporation license under Health Occupations Article, Title 7, Annotated Code of Maryland, and owns a greater interest in a reduction facility than a person who holds a permit or registration under Business Regulation Article, Title 5, Annotated Code of Maryland, shall obtain a permit to engage in the operation of a reduction facility from the Board.</text> </paragraph> <paragraph num="E."> <text>An individual, who is designated as the registered reduction operator by a person required to obtain a permit to operate a reduction facility from the Office, shall obtain a registered reduction operator permit from the Office.</text> </paragraph> <paragraph num="F."> <text>All operating reduction facilities and individuals designated as the registered reduction operator required to obtain a permit from the Office shall apply to the Office for a permit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Permit Requirements for a Reduction Facility Owned by a Corporation, Limited Liability Company, or Partnership."> <paragraph num="A."> <text>A corporation, limited liability company, or partnership shall receive a permit to operate a reduction facility in this State if the corporation, limited liability company, or partnership meets the permit requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>A corporation, limited liability company, or partnership shall receive a permit if the entity:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Provides the name, address, and phone number of each affiliated reduction facility;</text> </paragraph> <paragraph num="(4)"> <text>Designates a registered reduction operator as the responsible party for each affiliated reduction facility provided that the registered reduction operator may not be designated as the responsible party for more than a total of two reduction facilities;</text> </paragraph> <paragraph num="(5)"> <text>Provides a list of the officers, directors, members, partners, agents, and employees of the entity applying for the permit;</text> </paragraph> <paragraph num="(6)"> <text>Provides a certificate of status, issued by the Maryland Department of Assessments and Taxation, indicating that the entity is in good standing, or its equivalent as determined by the Office, and dated not earlier than 30 days before the date of the application;</text> </paragraph> <paragraph num="(7)"> <text>Provides evidence of a bond, letter of credit, or trust account established to meet the requirements of Regulation .07 of this chapter; and</text> </paragraph> <paragraph num="(8)"> <text>Provides an affidavit stating that:</text> <paragraph num="(a)"> <text>No local, federal, or State taxes or fees are delinquent; and</text> </paragraph> <paragraph num="(b)"> <text>The corporation, limited liability company or partnership is financially stable.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Permit Requirements for a Reduction Facility Owned by a Sole Proprietor."> <paragraph num="A."> <text>A sole proprietor applicant for a reduction facility permit shall receive a permit to operate a reduction facility in this State if the sole proprietor applicant meets the permit requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>A sole proprietor shall receive a permit if the sole proprietor:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Provides the name, address, and phone number of each affiliated reduction facility;</text> </paragraph> <paragraph num="(4)"> <text>Designates a registered reduction operator as the responsible party for each affiliated reduction facility provided that the registered reduction operator may not be designated as the responsible party for more than a total of two reduction facilities;</text> </paragraph> <paragraph num="(5)"> <text>Provides evidence of a bond, letter of credit, or trust account established to meet the requirements of Regulation .07 of this chapter;</text> </paragraph> <paragraph num="(6)"> <text>Provides an affidavit stating that:</text> <paragraph num="(a)"> <text>No local, federal, or State taxes or fees are delinquent; and</text> </paragraph> <paragraph num="(b)"> <text>The reduction facility business is financially stable.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Permit Requirements for Registration for a Registered Reduction Operator."> <paragraph num="A."> <text>An individual shall register with and receive a permit from the Office as a registered reduction operator if the individual meets the registration requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>An individual shall be registered with the Office as a registered reduction operator if the individual:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Is 18 years old or older;</text> </paragraph> <paragraph num="(4)"> <text>Is of good character and reputation and provides at least three character references from employers, community leaders, or professional societies, that the applicant is an individual of good character and reputation;</text> </paragraph> <paragraph num="(5)"> <text>Has achieved certification as a reduction operator by the Cremation Association of North America, International Cemetery, Cremation and Funeral Association, or other equivalent certification recognized by the Office and the Board;</text> </paragraph> <paragraph num="(6)"> <text>Has successfully completed the operator training course of the manufacturer of each vessel located in the reduction facility with which the applicant is affiliated;</text> </paragraph> <paragraph num="(7)"> <text>States the name and mailing address of the reduction facility with which the applicant is affiliated;</text> </paragraph> <paragraph num="(8)"> <text>States whether the reduction facility with which the applicant is affiliated is owned or controlled by:</text> <paragraph num="(a)"> <text>A corporation;</text> </paragraph> <paragraph num="(b)"> <text>A partnership;</text> </paragraph> <paragraph num="(c)"> <text>A limited liability company; or</text> </paragraph> <paragraph num="(d)"> <text>A sole proprietorship; and</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>States whether the applicant is the responsible party for the affiliated reduction facility.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Additional Requirements.</text> <paragraph num="(1)"> <text>An individual applying for a permit as a registered reduction operator shall provide the Office with a detailed description of activities including, but not limited to, whether the applicant has:</text> <paragraph num="(a)"> <text>Had a license, certification, registration, or permit of the type for which the application is being made ever denied, suspended, or revoked by any jurisdiction;</text> </paragraph> <paragraph num="(b)"> <text>Been convicted of a felony in any state or federal court;</text> </paragraph> <paragraph num="(c)"> <text>Been convicted in any State or federal court of a misdemeanor directly related to the ownership or operation of a reduction facility;</text> </paragraph> <paragraph num="(d)"> <text>Had any civil judgments or settlements within the 5 years before applying for a permit which directly related to the ownership or operation of a reduction facility; or</text> </paragraph> <paragraph num="(e)"> <text>Been convicted by a court in this State of violating a usury provision under Commercial Law Article, Title 12, Annotated Code of Maryland, or an unfair and deceptive trade practices provision under Commercial Law Article, Title 13, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An applicant shall submit copies of all:</text> <paragraph num="(a)"> <text>Charging documents which were issued and docket entries for convictions, which occurred before applying for a permit, for a misdemeanor or felony referred to in §C(1)(b), (c), or (e) of this regulation;</text> </paragraph> <paragraph num="(b)"> <text>Disciplinary actions, judgments, and final orders which occurred or were issued before applying for a permit for any regulatory probation, suspension, or revocation referred to in §C(1)(a) of this regulation; and</text> </paragraph> <paragraph num="(c)"> <text>Civil judgments or settlements against the applicant within the past 5 years which directly relate to the ownership or operation of a reduction facility.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>An individual applying for a permit, who is designated by the permit holder as the responsible party, shall state the name and residential address of each employee who sells goods or services to the public while engaging in the operation of a reduction facility.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A registered reduction operator may not be designated as the responsible party for more than two reduction facilities.</text> </paragraph> <paragraph num="E."> <text>An individual may be issued permits for affiliations with more than two reduction facilities if each affiliated reduction facility is owned by the same individual or entity.</text> </paragraph> <paragraph num="F."> <text>An individual who will become the registered reduction operator for a reduction facility which was in operation prior to the effective date of this chapter or for a reduction facility which has filed an application for a permit pursuant to this chapter shall obtain the certification and training required by §B(5) and (6) of this regulation within 90 days from the effective date of this chapter or be subject to action by the Office.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Permit Requirements for a New Reduction Facility."> <paragraph num="A."> <text>A sole proprietor, corporation, limited liability company, or partnership shall receive a permit to operate a new reduction facility in this State if the sole proprietor, corporation, limited liability company, or partnership meets the permit requirements of this regulation.</text> </paragraph> <paragraph num="B."> <text>A sole proprietor, corporation, limited liability company, or partnership shall receive a permit from the Office if, at least 30 days prior to the opening of the new reduction facility, the entity:</text> <paragraph num="(1)"> <text>Completes an application form;</text> </paragraph> <paragraph num="(2)"> <text>Pays the nonrefundable application fee and any other fees due under this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Provides the name, address, and phone number of each affiliated reduction facility;</text> </paragraph> <paragraph num="(4)"> <text>Designates a registered reduction operator as the responsible party for each affiliated reduction facility provided that the registered reduction operator may not be designated as the responsible party for more than a total of two reduction facilities;</text> </paragraph> <paragraph num="(5)"> <text>A corporation, limited liability company, or partnership shall provide a list of the officers, members, partners, agents, and employees of the entity applying for the permit;</text> </paragraph> <paragraph num="(6)"> <text>Provides evidence of a surety bond established to meet the requirements of Regulation .07 of this chapter; and</text> </paragraph> <paragraph num="(7)"> <text>Provides an affidavit stating that the sole proprietor, corporation, limited liability company, or partnership:</text> <paragraph num="(a)"> <text>Is financially stable; and</text> </paragraph> <paragraph num="(b)"> <text>Has the ability to continue to operate the reduction facility business for a 2-year period after issuance of a permit.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Surety Bond Requirements."> <paragraph num="A."> <text>With each application for a new permit and renewal for an existing permit, a permit holder or an applicant shall provide proof of a surety bond with the Office.</text> </paragraph> <paragraph num="B."> <text>Surety Bond.</text> <paragraph num="(1)"> <text>The bond shall run to the Office, as obligee, for the benefit of:</text> <paragraph num="(a)"> <text>The State; and</text> </paragraph> <paragraph num="(b)"> <text>Any consumer who has been damaged by a violation committed by a permit holder of any law or regulation governing the activities of reduction facilities.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The bond shall be:</text> <paragraph num="(a)"> <text>In an amount determined by the Office under §C of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>Issued by a surety company that:</text> <paragraph num="(i)"> <text>Is authorized to do business in the State;</text> </paragraph> <paragraph num="(ii)"> <text>Holds a certificate of authority issued by the Maryland Insurance Commissioner; and</text> </paragraph> <paragraph num="(iii)"> <text>Conditioned that the licensee shall comply with all Maryland laws regulating the activities of natural organic reduction.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>The liability of the surety:</text> <paragraph num="(a)"> <text>Shall be continuous;</text> </paragraph> <paragraph num="(b)"> <text>May not be aggregated or cumulative, whether or not the bond is renewed, continued, replaced, or modified;</text> </paragraph> <paragraph num="(c)"> <text>May not be determined by adding together the penal sum of the bond, or any part of the penal sum of the bond, in existence at any two or more points in time;</text> </paragraph> <paragraph num="(d)"> <text>Shall be considered to be one continuous obligation, regardless of increases or decreases in the penal sum of the bond;</text> </paragraph> <paragraph num="(e)"> <text>May not be affected by:</text> <paragraph num="(i)"> <text>The insolvency or bankruptcy of the permit holder;</text> </paragraph> <paragraph num="(ii)"> <text>Any misrepresentation, breach of warranty, failure to pay a premium, or any other act or omission of the permit holder or an agent of the permit holder; or</text> </paragraph> <paragraph num="(iii)"> <text>The suspension of the permit;</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>May not require an administrative enforcement action by the Office as a prerequisite to liability; and</text> </paragraph> <paragraph num="(g)"> <text>Shall continue for 3 years after the later of the date on which:</text> <paragraph num="(i)"> <text>The bond is canceled; or</text> </paragraph> <paragraph num="(ii)"> <text>The permit holder, for any reason, ceases to be permitted.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(4)"> <text>A bond may be canceled by the surety or the licensee by giving notice of cancellation to the Office. Notice of cancellation shall:</text> <paragraph num="(a)"> <text>Be in writing; and</text> </paragraph> <paragraph num="(b)"> <text>Be sent by certified mail, return receipt requested.</text> </paragraph> <paragraph num="(c)"> <text>A cancellation of a bond is not effective until 90 days after receipt of a notice of cancellation by the Office.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>A claim against the bond may be filed with the surety by:</text> <paragraph num="(a)"> <text>A claimant; or</text> </paragraph> <paragraph num="(b)"> <text>The Office for the benefit of a claimant or the State.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>If the amount of claims against a bond exceeds the amount of the bond, the surety:</text> <paragraph num="(a)"> <text>Shall pay the amount of the bond to the Office for pro rata distribution to claimants; and</text> </paragraph> <paragraph num="(b)"> <text>Is relieved of liability under the bond.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>If the penal amount of a bond is reduced by payment of a claim or judgment, the permit holder shall file a new or additional bond with the Office.</text> </paragraph> <paragraph num="(8)"> <text>A penalty imposed against a permit holder under Business Regulation Article, §5-905, Annotated Code of Maryland may be collected and paid from the proceeds of a bond required under this section.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Annuity and Surety Bond.</text> <paragraph num="(1)"> <text>The amount of the surety bond under §B of this regulation shall be in an amount of not less than $10,000 and not more than $20,000, as determined by the Office for each vessel used for natural organic reduction by the permit holder.</text> </paragraph> <paragraph num="(2)"> <text>In setting the amount of the surety bond, the Office may consider:</text> <paragraph num="(a)"> <text>The nature and volume of the business or proposed business of the permit holder or applicant;</text> </paragraph> <paragraph num="(b)"> <text>The financial condition of the permit holder or applicant, including:</text> <paragraph num="(i)"> <text>The amount, nature, quality, and liquidity of the assets of the permit holder or applicant;</text> </paragraph> <paragraph num="(ii)"> <text>The amount and nature of the liabilities, including contingent liabilities, of the permit holder or applicant;</text> </paragraph> <paragraph num="(iii)"> <text>The history of and prospects for the permit holder or applicant to earn and retain income;</text> </paragraph> <paragraph num="(iv)"> <text>The potential harm to consumers if the applicant or permit holder becomes financially impaired; and</text> </paragraph> <paragraph num="(v)"> <text>Any other factor that the Office considers relevant.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Subject to approval by the Office, an applicant for a permit who files an application for a new permit or renewal of a permit may satisfy the bonding requirement under this section by establishing a trust account with or obtaining an irrevocable letter of credit from a financial institution insured by the Federal Deposit Insurance Corporation in an amount equal to the bond required under this section.</text> </paragraph> <paragraph num="E."> <text>If a permit holder is subject to a receivership proceeding, the Office or a court-appointed receiver without regard to any priorities, preferences, or adverse claims, may:</text> <paragraph num="(1)"> <text>Reduce the bond or the deposit in lieu of a bond to cash; and</text> </paragraph> <paragraph num="(2)"> <text>Use the cash to defray the costs associated with the receivership.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Change of Information."> <text>The responsible party shall notify the Office of any change in the information provided in the application for permit for a reduction facility or for a permit as a registered reduction operator, either before or after the issuance of a permit, within 1 week of the date of the change.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Renewal."> <paragraph num="A."> <text>Before the expiration date of a permit, a permit holder shall complete and return the renewal form, pay the renewal fee, and submit any required documentation.</text> </paragraph> <paragraph num="B."> <text>A person who has a permit to engage in the operation of a reduction facility or a permit as a registered reduction operator may renew the permit every 2 years, beginning on a date specified by the Office, in the following manner:</text> <paragraph num="(1)"> <text>Complete the renewal application form;</text> </paragraph> <paragraph num="(2)"> <text>Pay the nonrefundable renewal fee set forth in Regulation .12 of this chapter;</text> </paragraph> <paragraph num="(3)"> <text>Meet the permit requirements under Regulation .03, .04, or .05 of this chapter; and</text> </paragraph> <paragraph num="(4)"> <text>Submit the documentation required by Regulation .03, .04, or .05 of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>After the expiration date of a permit, if a permit holder has not yet applied for renewal, the permit holder is no longer authorized to engage in the operation of a reduction facility or to act as a registered reduction operator.</text> </paragraph> <paragraph num="D."> <text>If a permit holder completes the renewal application process set forth in §B of this regulation before the expiration date of the permit and the Office does not renew the permit before its expiration date, the permit holder is considered to be actively permitted until receipt from the Office of either a renewed permit or a notice of denial of a permit.</text> </paragraph> <paragraph num="E."> <text>If a permit holder applies for renewal of a permit after the expiration date of the permit, the permit holder shall pay the renewal fee plus the late renewal fee under Regulation .12 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Lapsed Permit."> <text>A person who has been issued a permit and who has allowed the permit to lapse for at least 6 months may apply for a permit in the following manner:</text> <paragraph num="A."> <text>Complete a permit application form;</text> </paragraph> <paragraph num="B."> <text>Pay the permit fee and the late renewal fee under Regulation .12 of this chapter;</text> </paragraph> <paragraph num="C."> <text>Meet the permit requirements under Regulation .03, .04, or .05 of this chapter;</text> </paragraph> <paragraph num="D."> <text>Submit the documentation required by Regulation .03, .04, or .05 of this chapter;</text> </paragraph> <paragraph num="E."> <text>Provide a full written explanation to the Office detailing the reasons why the permit was allowed to expire and why a permit is now sought; and</text> </paragraph> <paragraph num="F."> <text>Submit to the Office an affidavit stating that the person did not engage in the operation of a reduction facility or act as a registered reduction operator in this State while the permit was lapsed.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Hearings—Permit Denial."> <paragraph num="A."> <text>Permit Denial. An applicant or permit holder applying for an initial or renewal permit to the Office may be denied the issuance of a permit, subject to the hearing provisions of Business Regulation Article, §5-312, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>Hearing Before Director of Office.</text> <paragraph num="(1)"> <text>Except as otherwise provided in §B(2)-(6) of this regulation, all contested cases before the Director of the Office shall be governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="(2)"> <text>An applicant who has been notified that a new or renewal permit has been or may be denied and who requests a hearing before the Director of the Office must file the request for a hearing not later than 30 days after the notice of proposed action was mailed.</text> </paragraph> <paragraph num="(3)"> <text>The Director of the Office shall send the hearing notice described in COMAR 09.01.02.07B at least 10 days before the hearing or, if the parties have agreed to a date for which 10 days notice cannot be given, at the earliest time possible.</text> </paragraph> <paragraph num="(4)"> <text>The notice to an applicant that a new or renewal permit has been or may be denied shall state that the proposed action of the Director of the Office shall be affirmed if:</text> <paragraph num="(a)"> <text>A hearing is not requested within 30 days after the date the notice of proposed action was mailed; or</text> </paragraph> <paragraph num="(b)"> <text>The applicant fails to appear for the hearing after requesting a hearing.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>If, after a hearing, the proposed action of the Director of the Office is upheld, the appellant shall pay the hearing costs described in Regulation .12 of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Hearings Delegated by the Office to the Office of Administrative Hearings. All contested case hearings delegated to the Office of Administrative Hearings shall be governed by COMAR 09.01.03.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Fees."> <paragraph num="A."> <text>Permit fees:</text> <paragraph num="(1)"> <text>Initial and renewal reduction facility permit – $350;</text> </paragraph> <paragraph num="(2)"> <text>Initial and renewal registered reduction operator permit – $300; and</text> </paragraph> <paragraph num="(3)"> <text>Late renewal fee – $200.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Miscellaneous fees:</text> <paragraph num="(1)"> <text>Replacement of permit – $50;</text> </paragraph> <paragraph num="(2)"> <text>Returned check fee – $50;</text> </paragraph> <paragraph num="(3)"> <text>Additional copy of permit – $50;</text> </paragraph> <paragraph num="(4)"> <text>Business name change – $50;</text> </paragraph> <paragraph num="(5)"> <text>Personal name change – $50; and</text> </paragraph> <paragraph num="(6)"> <text>Business address change – $50.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Hearing costs described in Business Regulation Article, §5-312(h), Annotated Code of Maryland, shall be determined to be the cost of a court reporter and the transcripts ordered by the Office, or by the Office of the Attorney General, for the purpose of presenting a case alleging violation of Business Regulation Article, Title 5, Annotated Code of Maryland, before the Office or before the Office of Administrative Hearings.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Display of Permit."> <text>A permit holder shall display the permit conspicuously, in a public area at each business address of the permit holder.</text> </regulation> <regulation prefix="Regulation" num=".14" heading="Reduction Prior to Obtaining a Permit."> <text>Reduction facilities may perform the natural organic reduction of one decedent prior to obtaining a permit from the Office provided:</text> <paragraph num="A."> <text>The natural organic reduction is only performed as part of the manufacturer’s operator training course for the vessel in which the natural organic reduction takes place; and</text> </paragraph> <paragraph num="B."> <text>The authorizing agent of the decedent is notified and has given permission prior to the natural organic reduction.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §5-204, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 287)</annotation> </annotations> </chapter> <chapter num="12" heading="Natural Organic Reduction—Inspections, Complaints, and Discipline"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs reduction facility inspections, the complaint process, investigations, grounds for discipline, and penalties.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Inspection by the Office."> <paragraph num="A."> <text>A reduction facility shall be available for inspection by a representative of the Office at any time during operating hours.</text> </paragraph> <paragraph num="B."> <text>Each reduction facility shall be inspected:</text> <paragraph num="(1)"> <text>On at least a biennial basis;</text> </paragraph> <paragraph num="(2)"> <text>In furtherance of an investigation; or</text> </paragraph> <paragraph num="(3)"> <text>Upon the initial permitting, sale, or change of ownership of the reduction facility.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A reduction facility shall maintain the following minimum standards:</text> <paragraph num="(1)"> <text>The premises shall be maintained in a safe and sanitary manner to comply with Centers for Disease Control's guidelines on universal precautions and the Maryland Occupational Safety and Health Act;</text> </paragraph> <paragraph num="(2)"> <text>Except by express, written consent of the authorizing agents to perform simultaneous, multiple reductions, there shall be no more than one decedent in a single vessel at a time;</text> </paragraph> <paragraph num="(3)"> <text>A vessel shall be cleaned after each natural organic reduction to prevent unauthorized co-mingling;</text> </paragraph> <paragraph num="(4)"> <text>There may not be co-mingling of human remains and pet remains in the holding facility;</text> </paragraph> <paragraph num="(5)"> <text>Separate vessels shall be dedicated for the reduction of human remains and the reduction of pet remains;</text> </paragraph> <paragraph num="(6)"> <text>There may not be:</text> <paragraph num="(a)"> <text>Co-mingling of one decedent’s soil remains with another decedent’s soil remains or reduced pet remains without written consent by the authorizing agent;</text> </paragraph> <paragraph num="(b)"> <text>Any form of misrepresentation in the return of soil remains;</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Human remains shall be properly identified before natural organic reduction by verifying that the documentation accompanying the human remains is consistent with a visual observation of the human remains;</text> </paragraph> <paragraph num="(8)"> <text>A burial transit permit shall be an original document pertaining to the decedent;</text> </paragraph> <paragraph num="(9)"> <text>Each reduction facility shall have:</text> <paragraph num="(a)"> <text>A sink with hot and cold water in the room in which the vessel is housed; and</text> </paragraph> <paragraph num="(b)"> <text>The equipment necessary to thoroughly clean the floor within the room housing the vessel with water and an appropriate sanitizing agent;</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>The name of the decedent shall be visible on the outside of the vessel;</text> </paragraph> <paragraph num="(11)"> <text>Human remains shall be properly stored prior to natural organic reduction;</text> </paragraph> <paragraph num="(12)"> <text>Reduction facilities shall:</text> <paragraph num="(a)"> <text>Use only mechanical pulverizing equipment meeting industry standards that are cleaned between each use; and</text> </paragraph> <paragraph num="(b)"> <text>Pulverize the soil remains with a mortar and pestle when the soil remains are not sufficient in amount for pulverizing in mechanical equipment;</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>Separate pulverizing drums shall be dedicated for soil remains and reduced pet remains;</text> </paragraph> <paragraph num="(14)"> <text>A reduction facility may not refuse to release soil remains pending payment of outstanding fees;</text> </paragraph> <paragraph num="(15)"> <text>Portable fans may not be used in the area of the vessel, where curing occurs, or pulverizing equipment;</text> </paragraph> <paragraph num="(16)"> <text>A registered reduction operator shall be present at the reduction facility during regular business hours;</text> </paragraph> <paragraph num="(17)"> <text>Reduction facilities shall be capable of monitoring the status of each vessel’s progress during natural organic reduction; and</text> </paragraph> <paragraph num="(18)"> <text>All individuals who operate the vessels in a reduction facility shall be certified by the Cremation Association of North America, International Cemetery, Cremation and Funeral Association, or other equivalent certification recognized by the Office and the Board. Individuals receiving training toward certification to operate a vessel shall be allowed to work under the supervision of a registered reduction operator with written permission from the Office.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The following completed forms shall be available at all times for inspection and copying and are subject to be pulled at random by the inspector:</text> <paragraph num="(1)"> <text>Natural organic reduction authorization form;</text> </paragraph> <paragraph num="(2)"> <text>Burial transit permit;</text> </paragraph> <paragraph num="(3)"> <text>Delegation of authority form;</text> </paragraph> <paragraph num="(4)"> <text>Receipt for human remains;</text> </paragraph> <paragraph num="(5)"> <text>Record of each natural organic reduction, including evidence of all human remains reaching a minimum temperature of 131 degrees Fahrenheit for 72 consecutive hours during the natural organic reduction;</text> </paragraph> <paragraph num="(6)"> <text>Certificate of natural organic reduction;</text> </paragraph> <paragraph num="(7)"> <text>Return of soil remains certificate; and</text> </paragraph> <paragraph num="(8)"> <text>Reduction Facility Operations Plan (RFOP).</text> <paragraph num="(a)"> <text>A reduction facility shall have and follow an RFOP that contains a high-level overview of the operational procedures for the reduction facility in order to comply with the requirements of these regulations, to include:</text> <paragraph num="(i)"> <text>A description of the methods, equipment, and bulking agents to be used;</text> </paragraph> <paragraph num="(ii)"> <text>A description of the movement of materials throughout the reduction process, including a description of the locations to be used at the reduction facility for receipt, active reduction, curing, and storage phases.</text> </paragraph> <paragraph num="(iii)"> <text>Total amount of vessels;</text> </paragraph> <paragraph num="(iv)"> <text>A plan for the prevention of nuisances, including odors;</text> </paragraph> <paragraph num="(v)"> <text>A plan for the prevention of harborage and infestation of vectors;</text> </paragraph> <paragraph num="(vi)"> <text>A plan and procedure for monitoring temperature of each vessel, including a procedure for demonstrating that the pathogen reduction requirements of Regulation .11 of this chapter are met;</text> </paragraph> <paragraph num="(vii)"> <text>A plan and procedure for monitoring moisture during reduction;</text> </paragraph> <paragraph num="(viii)"> <text>A plan for periodic inspection of the site by the reduction operator or personnel;</text> </paragraph> <paragraph num="(ix)"> <text>A description of an ongoing testing program to ensure the safety of soil remains produced, compliant with Regulation .11 of this chapter;</text> </paragraph> <paragraph num="(x)"> <text>A procedure for recording instances where soil remains failed the testing program and actions taken by the registered reduction operator to bring the soil remains into compliance with Regulation .11 of this chapter; and</text> </paragraph> <paragraph num="(xi)"> <text>Establish any other reasonable prohibition, rule, or requirement the Director determines is necessary to protect the public health and safety during the process of natural organic reduction.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The registered reduction operator shall review the RFOP internally every 6 months and update the RFOP when there is a change in registered reduction operators, procedures, or bulking agents.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Inspection results shall be written on forms approved by the Office.</text> </paragraph> <paragraph num="F."> <text>The representative of the Office performing the inspection shall, upon completion of the inspection:</text> <paragraph num="(1)"> <text>Apprise the permit holder of the findings of the inspection; and</text> </paragraph> <paragraph num="(2)"> <text>Provide the permit holder or a representative of the permit holder with a copy of the inspection report.</text> </paragraph> </paragraph> <paragraph num="G."> <text>The permit holder or representative of the permit holder shall sign and verify receipt of the inspection report.</text> </paragraph> <paragraph num="H."> <text>At the time of the Office's inspection, the permit holder shall provide written documentation to the Office’s inspector that:</text> <paragraph num="(1)"> <text>The vessel has been inspected in accordance with manufacturer specifications;</text> </paragraph> <paragraph num="(2)"> <text>In accordance with manufacturer specifications, it is not time for a manufacturer's inspection; or</text> </paragraph> <paragraph num="(3)"> <text>The permit holder has requested that the manufacturer conduct an inspection of the vessel.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Reports, Deficiencies, Violations, and Penalties."> <paragraph num="A."> <text>The Director shall review the inspection report and make a determination as to whether a deficiency exists.</text> </paragraph> <paragraph num="B."> <text>The Office shall notify the permit holder of the results of the inspection by providing a copy of the inspection report to the permit holder.</text> </paragraph> <paragraph num="C."> <text>If a permit holder passes an inspection, the permit holder shall prominently display, in public view on the premises, a statement issued by the Office that the reduction facility has successfully passed an inspection.</text> </paragraph> <paragraph num="D."> <text>If the Director finds a deficiency, the Director shall:</text> <paragraph num="(1)"> <text>Within 7 days notify the permit holder of the deficiency or failure to pass the inspection; and</text> </paragraph> <paragraph num="(2)"> <text>Provide a copy of the inspection report, notice of the deficiency, or failure to pass the inspection to the permit holder within 30 days of completion of the inspection.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Correction of Deficiency.</text> <paragraph num="(1)"> <text>Except as provided in this section, a permit holder shall correct a deficiency within 30 days after receipt of notification or sooner as determined by the Office.</text> </paragraph> <paragraph num="(2)"> <text>The Office may require immediate correction of a deficiency if the Office considers the correction necessary in the interest of public health.</text> </paragraph> <paragraph num="(3)"> <text>The permit holder may request an extension of time within which to correct a deficiency.</text> </paragraph> <paragraph num="(4)"> <text>The Office may approve an extension of time for correction of a deficiency.</text> </paragraph> <paragraph num="(5)"> <text>Upon completion of the correction of all deficiencies, the permit holder shall notify the Office.</text> </paragraph> <paragraph num="(6)"> <text>Upon notification by the permit holder, a representative of the Office shall re-inspect the reduction facility.</text> </paragraph> <paragraph num="(7)"> <text>The Office shall notify the permit holder, in writing, of the results of the re-inspection report by providing a copy of a new inspection report to the permit holder.</text> </paragraph> <paragraph num="(8)"> <text>If re-inspection reveals additional deficiencies not cited in the first report, the permit holder shall correct those deficiencies in the time period specified by the Office unless an extension of time for correction of the additional deficiencies is requested by the permit holder and approved by the Office.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Penalties. In the event that a permit holder fails to allow an inspection of the reduction facility or fails to comply with a notice to correct deficiencies or violations within the time specified, the Office shall:</text> <paragraph num="(1)"> <text>Deem the failure to be a threat to the public health, safety, or welfare requiring immediate action;</text> </paragraph> <paragraph num="(2)"> <text>Summarily suspend the permit as provided under State Government Article, §10-226(c)(2), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>Provide notice of the Office's action to the permit holder; and</text> </paragraph> <paragraph num="(4)"> <text>Provide the permit holder a subsequent opportunity for a hearing pursuant to Business Regulation Article, §5-312, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Complaints."> <paragraph num="A."> <text>A complaint regarding a reduction facility or a registered reduction operator under the jurisdiction of the Office shall be:</text> <paragraph num="(1)"> <text>Filed by the complainant, on a form devised by the Office in compliance with the provisions of Business Regulation Article, §5-311(b), Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(2)"> <text>Processed in accordance with the provisions of Business Regulation Article, §5-311(c)—(h), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Office may initiate a complaint or investigation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Investigations."> <text>The Office and the Board may share investigative information and conduct joint investigations.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Grounds for Discipline."> <paragraph num="A."> <text>Subject to the hearing provisions of Business Regulations Article, §5-312, Annotated Code of Maryland, the Office may deny a reduction facility permit or registered reduction operator permit to an applicant, reprimand any person required to obtain a reduction facility permit or registered reduction operator permit, or suspend or revoke a reduction facility permit or registered reduction operator permit of an applicant or permit holder, or an agent, employee, officer, director, or partner of the applicant or permit holder for the reasons set forth in Business Regulation Article, §5-310, Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>The Office may seek the remedies and may impose the penalties set forth in Business Regulation Article, Title 5, Annotated Code of Maryland, for violations of that title.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, § 5-204, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 287)</annotation> </annotations> </chapter> <chapter num="13" heading="Natural Organic Reduction—Inspections, Complaints, and Discipline"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs the procedures to be followed by a permit holder in performing natural organic reduction in this State.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Removal, Identification, and Transportation of Human Remains."> <paragraph num="A."> <text>Upon receipt of human remains, a registered reduction operator, in the presence of the authorizing agent or representative of the funeral establishment engaging reduction facility services, shall:</text> <paragraph num="(1)"> <text>Verify that the information on the wrist tag of the human remains is consistent with the documentation accompanying the human remains and consistent with the visual observation of the human remains;</text> </paragraph> <paragraph num="(2)"> <text>Verify with a hand magnet or metal detector wand that any battery operated, implanted devices including pacemakers, defibrillators, or pain relief devices are removed before the process may begin;</text> </paragraph> <paragraph num="(3)"> <text>Refuse to accept human remains for natural organic reduction if human remains are confirmed to have or suspected of having one or more of the following conditions:</text> <paragraph num="(a)"> <text>A radioactive seed implant within thirty days of death;</text> </paragraph> <paragraph num="(b)"> <text>A nuclear pacemaker;</text> </paragraph> <paragraph num="(c)"> <text>Perishing as a result of a radiologic incident or accident, unless a written release is provided by the Maryland Department of Environment Radiological Health Program or other local, state, or federal agency in charge of the response to the radiological incident or accident; or</text> </paragraph> <paragraph num="(d)"> <text>A presence of Creutzfeldt-Jakob disease or other prion disease, Ebola virus infection, mycobacterium tuberculosis infection, or any other infection, disease, or biological condition identified by the Director based on the reasonable recommendation of federal, state, or local health authority;</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Remove and properly dispose of any hazardous object or any other materials that the registered reduction operator deems should be removed from the human remains or vessel in order to prevent harm to the public health or damage to the vessel;</text> </paragraph> <paragraph num="(5)"> <text>Remove any jewelry on the human remains or in the vessel;</text> </paragraph> <paragraph num="(6)"> <text>Return any removed jewelry to the authorizing agent or representative of the funeral establishment engaging natural organic reduction services; and</text> </paragraph> <paragraph num="(7)"> <text>Obtain a signed, itemized receipt from the authorizing agent or representative of the funeral establishment engaging natural organic reduction services for the removed jewelry and retain the receipt as a permanent record.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Foreign objects removed from human remains:</text> <paragraph num="(1)"> <text>Shall be treated as medical waste and disposed of accordingly; and</text> </paragraph> <paragraph num="(2)"> <text>May not be donated until a sterilization process through a third party, recognized by the Office, to dispose properly of medical waste has been performed.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Materials identifying the human remains placed in the custody of a permit holder shall contain the following information:</text> <paragraph num="(1)"> <text>Name;</text> </paragraph> <paragraph num="(2)"> <text>Date of birth;</text> </paragraph> <paragraph num="(3)"> <text>Date of death;</text> </paragraph> <paragraph num="(4)"> <text>Name of funeral establishment or authorizing agent;</text> </paragraph> <paragraph num="(5)"> <text>Gender; and</text> </paragraph> <paragraph num="(6)"> <text>Name and relationship to the decedent of authorizing agent.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A permit holder shall not accept unidentified human remains for reduction.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Vessels."> <text>Vessel requirements. The vessel shall:</text> <paragraph num="A."> <text>Be leak-proof, durable, noncorrosive, and fully sealed;</text> </paragraph> <paragraph num="B."> <text>Enable accurate testing of temperature designed to measure from the interior of the vessel and the accurate collection of any other data required by the natural organic reduction process used by the reduction facility;</text> </paragraph> <paragraph num="C."> <text>Prevent vectors from entering the vessel; and</text> </paragraph> <paragraph num="D."> <text>Control odor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Holding Facilities."> <text>Holding facility requirements. A holding facility shall:</text> <paragraph num="A."> <text>Comply with applicable public health laws;</text> </paragraph> <paragraph num="B."> <text>Preserve the dignity of human remains;</text> </paragraph> <paragraph num="C."> <text>Recognize the integrity, health, and safety of reduction facility establishment personnel; and</text> </paragraph> <paragraph num="D."> <text>Be secure from access by unauthorized persons.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Holding Remains."> <paragraph num="A."> <text>Unless prevented by emergency circumstances, human remains that have been designated for natural organic reduction shall be placed in a vessel and begin natural organic reduction services within 48 hours of receipt.</text> </paragraph> <paragraph num="B."> <text>A registered reduction operator may not hold human remains for natural organic reduction unless the human remains are contained within a reduction container.</text> </paragraph> <paragraph num="C."> <text>A registered reduction operator may not accept a reduction container from which there is any evidence of leakage of bodily fluids from the human remains therein.</text> </paragraph> <paragraph num="D."> <text>Whenever a registered reduction operator is unable to perform natural organic reduction services on a decedent within 48 hours of taking custody thereof due to emergency circumstances, the registered reduction operator shall maintain the human remains in a refrigerated holding facility, either on or off site, at 44° F or less.</text> </paragraph> <paragraph num="E."> <text>If any remains exhibit an objectionable odor either at delivery or at any time thereafter, reduction of such remains shall commence as soon as possible after they have been accepted by the registered reduction operator or as soon as possible after the objectionable odor is first detected.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Identification of Human Remains Immediately Prior to Natural Organic Reduction."> <text>Immediately prior to being placed within the vessel, a registered reduction operator shall:</text> <paragraph num="A."> <text>Verify the identification of the human remains; and</text> </paragraph> <paragraph num="B."> <text>Place in the vessel the hard metal or plastic identification disc of the human remains receiving natural organic reduction services where it shall remain in place until the natural organic reduction process is complete.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Natural Organic Reduction Authorization."> <paragraph num="A."> <text>Except as otherwise provided in this regulation, a registered reduction operator may not perform natural organic reduction on human remains until:</text> <paragraph num="(1)"> <text>The human remains have been identified as required by Health Occupations Article, §7-411, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>The reduction facility has received:</text> <paragraph num="(a)"> <text>A natural organic reduction authorization form on a form approved by the Office and signed by an authorizing agent;</text> </paragraph> <paragraph num="(b)"> <text>If applicable, a written delegation document, paper or electronic;</text> </paragraph> <paragraph num="(c)"> <text>Any other documentation required by federal, State, or local law; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The registered reduction operator has documented that at least 12 hours have elapsed from the time of death of the individual whose remains are to receive natural organic reduction services.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The natural organic reduction authorization form shall:</text> <paragraph num="(1)"> <text>Be provided by the permit holder to the authorizing agent, and signed by the authorizing agent;</text> </paragraph> <paragraph num="(2)"> <text>Contain the following information:</text> <paragraph num="(a)"> <text>The identity of the decedent;</text> </paragraph> <paragraph num="(b)"> <text>Date of death;</text> </paragraph> <paragraph num="(c)"> <text>The name and address of the reduction facility where the natural organic reduction will occur;</text> </paragraph> <paragraph num="(d)"> <text>The name and address of the authorizing agent and the relationship between the authorizing agent and the deceased;</text> </paragraph> <paragraph num="(e)"> <text>Disclose that the authorizing agent may not use or dispose of soil remains:</text> <paragraph num="(i)"> <text>On public or private property without the prior written permission of the owner or surviving owner of the property;</text> </paragraph> <paragraph num="(ii)"> <text>By using the soil remains to grow food for consumption by humans or livestock;</text> </paragraph> <paragraph num="(iii)"> <text>By selling or reselling the soil remains to a third party; or</text> </paragraph> <paragraph num="(iv)"> <text>By combining or incorporating the soil remains into compost offered for sale to consumers or for commercial or agricultural purchasers;</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>Indicate whether the decedent is a veteran, as defined in § 9-901 of the State Government Article, or an eligible dependent, as defined in §5-803 of the Business Regulation Article;</text> </paragraph> <paragraph num="(g)"> <text>Authorization for the registered reduction operator to perform natural organic reduction services;</text> </paragraph> <paragraph num="(h)"> <text>Authorization to verify that the following have been removed prior to perform natural organic reduction:</text> <paragraph num="(i)"> <text>Implanted pacemaker or defibrillator; or</text> </paragraph> <paragraph num="(ii)"> <text>Any other materials that the registered reduction operator deems should be removed to prevent harm to the public health or damage to equipment;</text> </paragraph> </paragraph> <paragraph num="(i)"> <text>A representation by the authorizing agent that none of the following apply:</text> <paragraph num="(i)"> <text>A radioactive seed implant within thirty days of death until such time that thirty days have elapsed or the organ containing the seed(s) has been removed;</text> </paragraph> <paragraph num="(ii)"> <text>Containing a nuclear pacemaker until such time that the nuclear pacemaker is removed;</text> </paragraph> <paragraph num="(iii)"> <text>Perishing as a result of a radiologic incident or accident, unless a written release is provided by the department of health office of radiation protection or other state or federal agency in charge of the response to the radiological incident or accident; or</text> </paragraph> <paragraph num="(iv)"> <text>There is a presence of Creutzfeldt-Jakob disease or other prion disease, Ebola virus infection, mycobacterium tuberculosis infection, or any other infection, disease, or biological condition identified by the Director based on the reasonable recommendation of federal, state, or local health authority;</text> </paragraph> </paragraph> <paragraph num="(j)"> <text>A representation that the authorizing agent is aware of no objection to the decedent receiving natural organic reduction services by any person who has a right to control the disposition of the decedent;</text> </paragraph> <paragraph num="(k)"> <text>The name and address of the person authorized to claim the soil remains from the reduction facility or accept the soil remains via certified mail;</text> </paragraph> <paragraph num="(l)"> <text>Informs the authorizing agent of the procedures that will be followed if disposition instructions are not received within sixty days of the permit holder first attempts to contact the authorizing agent to notify the authorizing agent the natural organic reduction service is complete;</text> </paragraph> <paragraph num="(m)"> <text>Informs the authorizing agent that recovery of the soil remains after the disposition may not be possible; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Be signed by the authorizing agent.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If an authorizing agent is not available to execute the natural organic reduction authorization form, the authorizing agent may delegate that authority to another individual:</text> <paragraph num="(1)"> <text>In writing; or</text> </paragraph> <paragraph num="(2)"> <text>If located outside the area, by transmitting to the permit holder:</text> <paragraph num="(a)"> <text>A signed, notarized statement, electronically or by facsimile device, that contains the name, address, and relationship of the sender to the decedent and the name and address of the individual to whom authority is delegated; and</text> </paragraph> <paragraph num="(b)"> <text>Once the authorizing agent is located in the area, a notarized statement attesting to the delegation of authority.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>Upon receipt of the written delegation document or a copy of the delegation statement transmitted electronically or by facsimile device, the permit holder shall allow the named individual to serve as the authorizing agent. The documents shall be signed by the authorizing agent in the presence of a notary.</text> </paragraph> <paragraph num="E."> <text>A person signing a natural organic reduction authorization form is deemed to warrant the truthfulness of any facts set forth in the natural organic reduction authorization form, including the identity of the decedent whose remains are receiving natural organic reduction and the authority of that person to order natural organic reduction.</text> </paragraph> <paragraph num="F."> <text>A permit holder shall notify and obtain the written consent of the authorizing agent before the natural organic reduction of human remains at a location other than the location named on the reduction authorization form.</text> </paragraph> <paragraph num="G."> <text>A permit shall maintain a copy of every natural organic reduction authorization form required under this regulation as permanent records.</text> </paragraph> <paragraph num="H."> <text>Natural organic reduction authorization records are subject to inspection and copying by the Office.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Record of Receipt of Remains."> <paragraph num="A."> <text>A registered reduction operator shall provide to an individual who delivers human remains for natural organic reduction a receipt signed by both the registered reduction operator and the person who delivered the human remains, that includes the:</text> <paragraph num="(1)"> <text>Name of the individual from whom the human remains were received and the name of the individual’s employer, if any;</text> </paragraph> <paragraph num="(2)"> <text>Name and address of the reduction facility;</text> </paragraph> <paragraph num="(3)"> <text>Name and address of the decedent;</text> </paragraph> <paragraph num="(4)"> <text>Gender of the decedent;</text> </paragraph> <paragraph num="(5)"> <text>Date of death of decedent; and</text> </paragraph> <paragraph num="(6)"> <text>Verification of authorized burial transit permit.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The permit holder shall maintain a record of each natural organic reduction which shall include the:</text> <paragraph num="(1)"> <text>Name of the decedent;</text> </paragraph> <paragraph num="(2)"> <text>Date of birth of the decedent;</text> </paragraph> <paragraph num="(3)"> <text>Date of death of the decedent;</text> </paragraph> <paragraph num="(4)"> <text>Gender of the decedent;</text> </paragraph> <paragraph num="(5)"> <text>Name and address of the authorizing agent;</text> </paragraph> <paragraph num="(6)"> <text>Relationship of the authorizing agent to the decedent;</text> </paragraph> <paragraph num="(7)"> <text>Date, time, and location of the reduction facility; and</text> </paragraph> <paragraph num="(8)"> <text>Name of the registered reduction operator who performed the natural organic reduction.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The permit holder shall provide a certificate of disposition of soil remains to the authorizing agent or funeral establishment that arranged for the natural organic reduction that contains the:</text> <paragraph num="(1)"> <text>Name of the decedent;</text> </paragraph> <paragraph num="(2)"> <text>Name of the authorizing agent;</text> </paragraph> <paragraph num="(3)"> <text>Relationship of the authorizing agent to the decedent;</text> </paragraph> <paragraph num="(4)"> <text>Date, time, and location where the natural organic reduction occurred;</text> </paragraph> <paragraph num="(5)"> <text>Name of the registered reduction operator who performed the natural organic reduction;</text> </paragraph> <paragraph num="(6)"> <text>Name and address of the person who received the soil remains from the permit holder; and</text> </paragraph> <paragraph num="(7)"> <text>If ascertainable, the location, including the name of the cemetery and plot location if the soil remains are interred, the manner, and the date of the disposition of the soil remains.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The permit holder shall maintain a copy of every record and receipt required by this regulation as permanent records.</text> </paragraph> <paragraph num="E."> <text>All records required to be maintained by a permit holder by this chapter are subject to inspection and copying by the Office.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Reduction Procedures and Prohibited Acts."> <paragraph num="A."> <text>Basic Operating Requirements.</text> <paragraph num="(1)"> <text>The permit holder shall keep a permanent record of:</text> <paragraph num="(a)"> <text>The starting and ending date of each natural organic reduction; and</text> </paragraph> <paragraph num="(b)"> <text>The daily temperature data for each natural organic reduction, including records showing that the minimum temperature of 131 degrees Fahrenheit was reached for seventy-two consecutive hours.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Registered reduction operator shall ensure:</text> <paragraph num="(a)"> <text>Only a vessel that is designed to promote aerobic reduction, minimizes odors and vectors, and is leak-proof, durable, noncorrosive, and fully sealed is used for natural organic reduction;</text> </paragraph> <paragraph num="(b)"> <text>A registered reduction operator is on site during business hours;</text> </paragraph> <paragraph num="(c)"> <text>A registered reduction operator is able to monitor active vessels at all times;</text> </paragraph> <paragraph num="(d)"> <text>Compliance with all other applicable local, State, and federal laws and regulations; and</text> </paragraph> <paragraph num="(e)"> <text>Vessels reach an internal minimum temperature of 131 degrees Fahrenheit for seventy-two consecutive hours during natural organic reduction.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The reduction facility shall be maintained in a clean and sanitary condition.</text> </paragraph> <paragraph num="(4)"> <text>The reduction facility, including the bulking agent receipt area, bulking agent storage area, active vessel storage area, curing area, and soil remains storage areas, shall be maintained to prevent nuisances, odors and vectors.</text> </paragraph> <paragraph num="(5)"> <text>Bulking agents shall be received in a timeframe and managed to prevent nuisance odors, unauthorized discharge of contact water, fire, and scavenging by vectors.</text> </paragraph> <paragraph num="(6)"> <text>Veteran and Eligible Dependent Decedents.</text> <paragraph num="(a)"> <text>Unless the authorizing agent directs otherwise, a permit holder in possession of human remains of a decedent veteran or a decedent eligible dependent shall, within 5 business days of the initiation of the natural organic reduction provide the decedent’s identifying information to a veterans service organization, as defined in § 5-803 of the Business Regulation Article.</text> </paragraph> <paragraph num="(b)"> <text>The veterans service organization will notify the permit holder whether the decedent is a veteran or eligible dependent eligible for burial in a veterans cemetery.</text> </paragraph> <paragraph num="(c)"> <text>The permit holder will notify the authorizing agent whether the decedent is eligible for burial in a veterans cemetery. The authorizing agent may authorize the permit holder to:</text> <paragraph num="(i)"> <text>Transfer a portion of the soil remains to a veterans service organization that grants permission for the purpose of disposition; and</text> </paragraph> <paragraph num="(ii)"> <text>Transfer the balance of the soil remains to a cemetery or the owner of a woodland protected under the Forest Conservation Act.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>If a veterans service organization does not take possession of a portion of unclaimed soil remains under this regulation that qualifies for a plot in a State veterans cemetery under § 9-906 of the State Government Article, within 10 days after the reduction facility receives the notification, the reduction facility shall:</text> <paragraph num="(i)"> <text>notify the Department of Veterans and Military Families of the status of the soil remains for the purpose of the appropriate disposition of the soil remains;</text> </paragraph> <paragraph num="(ii)"> <text>transfer the soil remains to the Department of Veterans and Military Families for the purpose of the appropriate disposition of the soil remains; and</text> </paragraph> <paragraph num="(iii)"> <text>if authorized by the cemetery or owner, transfer the balance of the soil remains to a cemetery or the owner of a woodland protected under the Forest Conservation Act.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(7)"> <text>Soil remains may not be stored on site for longer than 12 months, unless approved by the Office on a case-specific basis and addressed in the RFOP.</text> </paragraph> </paragraph> <paragraph num="B."> <text>General Restrictions.</text> <paragraph num="(1)"> <text>A permit holder shall not engage in operating a reduction facility in a manner which will likely:</text> <paragraph num="(a)"> <text>Create a nuisance;</text> </paragraph> <paragraph num="(b)"> <text>Be conducive to insect and rodent infestation or the harborage of animals;</text> </paragraph> <paragraph num="(c)"> <text>Cause nuisance odors or other air pollution in violation of state, local, or federal laws and regulations unless permitted by state, federal, or local authorities;</text> </paragraph> <paragraph num="(d)"> <text>Cause a discharge of liquid or solid waste derived from human remains to waters of this State unless otherwise permitted by state, federal, or local authorities; or</text> </paragraph> <paragraph num="(e)"> <text>Create other hazards to the public health, safety, or comfort as may be determined by state, federal, or local authorities.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A registered reduction operator may not:</text> <paragraph num="(a)"> <text>Perform natural organic reduction on human remains which are known, or reasonably suspected, to have been embalmed or have an infection, disease, or other biological condition that renders the process of natural organic reduction or the soil remains unreasonably unsafe, including:</text> <paragraph num="(i)"> <text>Creutzfeldt-Jakob disease or other prion disease;</text> </paragraph> <paragraph num="(ii)"> <text>Ebola virus infection;</text> </paragraph> <paragraph num="(iii)"> <text>Mycobacterium tuberculosis infection;</text> </paragraph> <paragraph num="(iv)"> <text>The presence of diagnostic or therapeutic radioisotopes; or</text> </paragraph> <paragraph num="(v)"> <text>Any other infection, disease, or biological condition identified by the Director based on the reasonable recommendation of a federal, State, or local health authority;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Use or dispose of soil remains on public or private property without the prior written permission of the owner or surviving owner of the property;</text> </paragraph> <paragraph num="(c)"> <text>Knowingly use or sell the soil remains to grow food for consumption by humans or livestock;</text> </paragraph> <paragraph num="(d)"> <text>Combining or incorporating the soil remains into compost offered for sale to consumers or for commercial or agricultural purchasers.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>The Office, in exercising its authority under these regulations with respect to granting or renewing permits or inspecting a reduction facility may consider any documentation required under these regulations to evaluate whether any of the conditions described in these regulations is likely to occur or has occurred.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Disposition of Soil Remains."> <paragraph num="A."> <text>Upon completion of the natural organic reduction process, insofar as is possible:</text> <paragraph num="(1)"> <text>All of the recoverable soil remains shall be:</text> <paragraph num="(a)"> <text>Removed from the vessel;</text> </paragraph> <paragraph num="(b)"> <text>Except for medical devices remaining after reduction, pulverized; and</text> </paragraph> <paragraph num="(c)"> <text>Placed in a soil remains container; and</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The identification disc required by Health Occupations Article, §7-411, Annotated Code of Maryland, shall be:</text> <paragraph num="(a)"> <text>Removed from the vessel; and</text> </paragraph> <paragraph num="(b)"> <text>Placed in the soil remains container with the soil remains.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Medical devices which remain after the completion of the natural organic reduction process shall be treated as medical waste and disposed of accordingly.</text> </paragraph> <paragraph num="C."> <text>After pulverization, all soil remains, together with the identification disc, shall be placed in a soil remains container or containers adequate to accommodate the soil remains.</text> </paragraph> <paragraph num="D."> <text>A registered reduction operator is responsible for the label or labeling or providing on a written invoice or shipping statement indicating the soil remains containers, and a person may not use or dispose of soil remains produced by natural organic reduction:</text> <paragraph num="(1)"> <text>On public or private property without the prior written permission of the owner or surviving owner of the property;</text> </paragraph> <paragraph num="(2)"> <text>By using the soil remains to grow food for consumption by humans or livestock;</text> </paragraph> <paragraph num="(3)"> <text>By selling or reselling the soil remains to a third party; or</text> </paragraph> <paragraph num="(4)"> <text>By combining or incorporating the soil remains into compost offered for sale to consumers or for commercial or agricultural purchasers.</text> </paragraph> </paragraph> <paragraph num="E."> <text>If a soil remains container is to be shipped, the soil remains container shall have the name of the decedent contained therein legibly written on the outside of the soil remains container.</text> </paragraph> <paragraph num="F."> <text>If soil remains have been in the possession of a permit holder without instructions for disposition for a period of 90 days or more from the date of reduction, the permit holder may arrange for disposition in any legal manner, provided the entity:</text> <paragraph num="(1)"> <text>Attempts to contact the authorizing agent for disposition instructions by certified mail to the last known address;</text> </paragraph> <paragraph num="(2)"> <text>Informs the authorizing agent at the time of authorization the procedures that will be followed if disposition instructions are not received;</text> </paragraph> <paragraph num="(3)"> <text>Informs the authorizing agent at the time of authorization that disposition will occur in a manner at the permit holder’s discretion if disposition instructions are not received within sixty days of the first attempt to notify the authorizing agent of the completion of natural organic reduction;</text> </paragraph> <paragraph num="(4)"> <text>Informs the authorizing agent that recovery of the soil remains after disposition may not be possible; and</text> </paragraph> <paragraph num="(5)"> <text>Maintains a permanent record of the location of disposition.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A permit holder making disposition arrangements of unclaimed soil remains will not be liable for the disposition or nonrecoverability of the soil remains.</text> </paragraph> <paragraph num="H."> <text>Bodily fluids, blood, tissues, and waste removed from human remains must be kept with the body in the vessel.</text> </paragraph> <paragraph num="I."> <text>All containers and liners used to receive solid or fluid materials removed from human remains must be cleaned and disinfected immediately after use and disposed of in accordance with local ordinances and other applicable laws and rules for infectious waste.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Testing of Soil Remains."> <paragraph num="A."> <text>A permit holder shall:</text> <paragraph num="(1)"> <text>Upon initial receipt of permit from the Office, test, using a third-party laboratory, the reduction facility’s initial 20 instances of soil remains for the parameters identified in Table A, and any additional instances of soil remains necessary to achieve 20 reductions meeting the parameters identified in Table A;</text> </paragraph> <paragraph num="(2)"> <text>After 20 soil remains meet the limits outlined in Table A, analyze, at a minimum, 25 percent of a reduction facility’s monthly instances of soil remains for the parameters identified in Table A until 80 total instances have met the requirements in Table A;</text> </paragraph> <paragraph num="(3)"> <text>Ensure the third-party laboratory described under §A(1) of this regulation:</text> <paragraph num="(a)"> <text>Uses a sampling method such as described in the U.S. Composting Council 2002 Test Methods for the Examination of Composting and Compost, Method 02.01-A through E, or its successor;</text> </paragraph> <paragraph num="(b)"> <text>Confirms Soil remains have less than 0.01 mg/kg dry weight of physical contaminants which include, but are not limited to, intact bone, dental fillings, and medical implants; and</text> </paragraph> <paragraph num="(c)"> <text>Tests for arsenic, cadmium, lead, mercury, and selenium, and either fecal coliform or salmonella in soil remains to meet the testing parameters and limits identified in Table A.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Other local, State, or federal authorities may require tests of soil remains for additional parameters.</text> </paragraph> <paragraph num="C."> <text>A permit holder may not release any soil remains that exceed the limits identified in Table A.</text> <paragraph num="D."> <text>Any soil remains that exceed the parameters identified in Table A must undergo additional pathogen treatment processes as described in Title 40 of the Code of Federal Regulations, Part 503, Appendix B until the soil tests within the limits identified in Table A.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Tools."> <text>Permit holders providing natural organic reduction services shall maintain, at its own expense, the following tool inventory:</text> <paragraph num="A."> <text>Suitable tools for cleaning a vessel;</text> </paragraph> <paragraph num="B."> <text>Suitable tools for cleaning pulverizers;</text> </paragraph> <paragraph num="C."> <text>Mortar and pestle;</text> </paragraph> <paragraph num="D."> <text>Hand magnet and metal detector wand to detect and remove metal from soil remains;</text> </paragraph> <paragraph num="E."> <text>Tweezers to remove nonmetal objects from soil remains;</text> </paragraph> <paragraph num="F."> <text>National Institute for Occupational Safety & Health certified N95 filtering facepiece respirators; and</text> </paragraph> <paragraph num="G."> <text>An emergency eyewash unit meeting the criteria established under the American National Standards Institute and the International Safety Equipment Association Z358.1-2014 (R2020) or its successor.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Visitors."> <paragraph num="A."> <text>Privacy. Entrances and exterior windows of the reduction facility shall be maintained at all times to secure privacy, including:</text> <paragraph num="(1)"> <text>Doors shall be tight closing and rigid;</text> </paragraph> <paragraph num="(2)"> <text>Windows shall be covered;</text> </paragraph> <paragraph num="(3)"> <text>Entrances other than to the office or ceremony room shall be marked “private” or “authorized entry only” to preclude entry by unauthorized persons; and</text> </paragraph> <paragraph num="(4)"> <text>Entrances shall be locked and secured when not actively attended by one or more authorized persons.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Access. No persons except authorized persons shall be admitted into the holding facility while human remains are being stored and no persons except authorized persons shall be admitted into the area containing vessels for natural organic reduction while the decedents are receiving natural organic reduction. Authorized persons shall enter and remain in the holding facility or vessel area only as necessary to perform or assist with the performance of reduction facility business and operations. On admittance, authorized persons shall comply with all rules of the reduction facility and not infringe upon the privacy and dignity of the remains of decedents.</text> </paragraph> <paragraph num="C."> <text>Dignity of ceremony room. A reduction facility may have a ceremony room available for viewings and ceremonies. The ceremony room shall be separated from the holding facility. The holding facility interior shall not be visible from the ceremony room. No persons except authorized persons shall be admitted into the ceremony room during the commencement of natural organic reduction.</text> </paragraph> <paragraph num="D."> <text>Authorized Persons. The following are authorized persons:</text> <paragraph num="(1)"> <text>Licensed funeral directors, morticians, and enrolled students of mortuary science;</text> </paragraph> <paragraph num="(2)"> <text>Officers and directors of the reduction facility;</text> </paragraph> <paragraph num="(3)"> <text>Authorized employees or agents of the reduction facility;</text> </paragraph> <paragraph num="(4)"> <text>Public officers acting in the discharge of their duties;</text> </paragraph> <paragraph num="(5)"> <text>Authorized instructors of funeral directing schools;</text> </paragraph> <paragraph num="(6)"> <text>The person or persons in control of disposition;</text> </paragraph> <paragraph num="(7)"> <text>Members of the immediate family of the decedent, their authorizing agent and designated representatives; and</text> </paragraph> <paragraph num="(8)"> <text>Other individuals authorized by the authorizing agent or accompanied by reduction facility staff.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §5-204, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 287)</annotation> </annotations> </chapter> <chapter num="14" heading="Natural Organic Reduction—Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Scope."> <text>This chapter governs any person who holds a permit, pursuant to Business Regulation Article, Title 5, Annotated Code of Maryland, to engage in the operation of a reduction facility or to act as a registered reduction operator.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="General Professional Practice."> <paragraph num="A."> <text>A permit holder shall:</text> <paragraph num="(1)"> <text>Act in a manner that respects and protects the dignity of a decedent and the decedent’s family;</text> </paragraph> <paragraph num="(2)"> <text>Conduct business in a reasonable, usual, and customary manner;</text> </paragraph> <paragraph num="(3)"> <text>Comply with the State public health laws as set forth in Health General Article, §§4-215 and 5-501 to 5-1001, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(4)"> <text>Comply with Business Regulation Article, Title 5, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(5)"> <text>Comply with the Commercial Law Article, Titles 12 and 13, Annotated Code of Maryland;</text> </paragraph> <paragraph num="(6)"> <text>Implement and follow through on all arrangements agreed upon between a consumer and the reduction facility;</text> </paragraph> <paragraph num="(7)"> <text>Provide appropriate services for and respect the rights of individuals without regard to age, race, creed, national origin, gender, disability, marital status, political belief, religious affiliation, social or economic status, or social preferences;</text> </paragraph> <paragraph num="(8)"> <text>Comply with all local, State, and federal laws regarding the disposition of human remains;</text> </paragraph> <paragraph num="(9)"> <text>Be sensitive and responsive to the bereavement needs of a decedent’s family;</text> </paragraph> <paragraph num="(10)"> <text>Provide a general price list in effect at that time, in accordance with the requirements of the Federal Trade Commission’s funeral rule found at 16 CFR part 453; and</text> </paragraph> <paragraph num="(11)"> <text>Provide accurate information from the general price list to any person who requests information, by telephone, regarding natural organic reduction related goods or services.</text> </paragraph> </paragraph> <paragraph num="B."> <text>In advertising, a permit holder may not include statements:</text> <paragraph num="(1)"> <text>That are misrepresentations of facts;</text> </paragraph> <paragraph num="(2)"> <text>That are likely to mislead or deceive because, in context, the statement makes only a partial disclosure of relevant facts;</text> </paragraph> <paragraph num="(3)"> <text>Relating to fees without reasonable disclosure of all relevant variables so that the statement would not be misunderstood or be deceptive to a consumer; or</text> </paragraph> <paragraph num="(4)"> <text>Containing representations or implications that in reasonable probability can be expected to cause an ordinarily prudent person to misunderstand or be deceived.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A permit holder or registered reduction operator may not:</text> <paragraph num="(1)"> <text>Use, or participate in the use of, any form of communication to consumers containing a false, fraudulent, misleading, deceptive, or unfair statement or claim; or</text> </paragraph> <paragraph num="(2)"> <text>Operate a reduction facility or perform a natural organic reduction while under the influence of alcohol, an illegal drug, or a controlled dangerous substance which has not been prescribed by a physician.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, § 5-204, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 287)</annotation> </annotations> </chapter> </subtitle> <subtitle num="35" heading="Elevator Safety Review Board"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Fees."> <text>This chapter is intended to set various fees to cover the actual documented direct and indirect costs of fulfilling the statutory and regulatory duties of the Elevator Safety Review Board (the Board). Therefore, the Board hereby sets the following fees:</text> <paragraph num="A."> <text>Nonrefundable application fee for an Elevator Mechanic license, Elevator Contractor license, Elevator Renovator Mechanic license, Elevator Renovator Contractor license, and Accessibility Lift Mechanic license: $25</text> </paragraph> <paragraph num="B."> <text>Initial license fee:</text> <paragraph num="(1)"> <text>Elevator Mechanic license and Elevator Renovator Mechanic license: —$175</text> </paragraph> <paragraph num="(2)"> <text>Elevator Contractor license and Elevator Renovator Contractor license:—$275</text> </paragraph> <paragraph num="(3)"> <text>Accessibility Lift Mechanic license:—$125</text> </paragraph> </paragraph> <paragraph num="C."> <text>Renewal license fee:</text> <paragraph num="(1)"> <text>Elevator Mechanic license and Elevator Renovator Mechanic license: —200</text> </paragraph> <paragraph num="(2)"> <text>Elevator Contractor license and Elevator Renovator Contractor license: $300</text> </paragraph> <paragraph num="(3)"> <text>Accessibility Lift Mechanic license:—$150</text> </paragraph> </paragraph> <paragraph num="D."> <text>License reinstatement fee, payable in addition to any applicable renewal fees:—$25</text> </paragraph> <paragraph num="E."> <text>License verification fee:—$25</text> </paragraph> <paragraph num="F."> <text>Temporary Elevator Mechanic license:</text> <paragraph num="(1)"> <text>$25 for a 30-day initial license; and</text> </paragraph> <paragraph num="(2)"> <text>$10 for each 30-day renewal license.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-822.1, 12-823, 12-824, 12-833.1, 12-834, and 12-837, Annotated Code of Maryland; Chs. 306 and 307, Acts of 2012</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective January 31, 2002 (29:4 Md. R. 412); adopted permanently effective May 27, 2002 (29:10 Md. R. 826)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed and new Regulation .01 adopted as an emergency provision effective November 14, 2012 (39:25 Md. R. 1609); adopted permanently effective April 15, 2013 (40:7 Md. R. 610)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective May 12, 2014 (41:9 Md. R. 520)</annotation> </annotations> </chapter> <chapter num="02" heading="Qualifications"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Board" means the Elevator Safety Review Board.</text> </paragraph> <paragraph num="(2)"> <text>“Safety Code” has the meaning set forth in Public Safety Article, §12-801(p), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(3)"> <text>“Third-party qualified elevator inspector” has the meaning set forth in Public Safety Article, §12-801(r), Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Qualifications for an Elevator Renovator Mechanic’s License."> <paragraph num="A."> <text>An applicant who applies for an elevator renovator mechanic’s license on or before January 1, 2013, shall demonstrate to the Board a minimum of 3 years of relevant work experience in elevator renovation that is acceptable to the Board.</text> </paragraph> <paragraph num="B."> <text>An applicant who applies for an elevator renovator mechanic’s license after January 1, 2013, shall:</text> <paragraph num="(1)"> <text>Demonstrate to the Board an acceptable combination of relevant work experience and education; and</text> </paragraph> <paragraph num="(2)"> <text>Pass an exam approved by the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Qualifications for an Elevator Renovator Contractor’s License."> <paragraph num="A."> <text>An applicant who applies for an elevator renovator contractor’s license on or before January 1, 2013, shall demonstrate to the Board a minimum of 3 years of relevant work experience in elevator renovation that is acceptable to the Board.</text> </paragraph> <paragraph num="B."> <text>An applicant who applies for an elevator renovator contractor’s license pursuant to §A of this regulation, shall have until January 1, 2013, to have at least one of its employees or responsible management personnel pass an exam approved by the Board.</text> </paragraph> <paragraph num="C."> <text>An applicant who applies for an elevator renovator contractor’s license after January 1, 2013, shall:</text> <paragraph num="(1)"> <text>Demonstrate to the Board an acceptable combination of relevant work experience and education; and</text> </paragraph> <paragraph num="(2)"> <text>Pass an exam approved by the Board.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Application for a Temporary Elevator Mechanic License."> <paragraph num="A."> <text>A temporary elevator mechanic license may be issued by the Board upon receipt of the following:</text> <paragraph num="(1)"> <text>An application on a form provided by the Board from a licensed elevator contractor that includes:</text> <paragraph num="(a)"> <text>A statement from a licensed elevator contractor that a licensed elevator mechanic is not available to perform construction, maintenance, or service and repair of elevators due to a labor shortage; and</text> </paragraph> <paragraph num="(b)"> <text>A certification by the licensed elevator contractor that the individual to receive the temporary license possesses sufficient documented education and experience to perform as an elevator mechanic without direct and immediate supervision;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An application on a form provided by the Board from an applicant seeking a temporary mechanic license; and</text> </paragraph> <paragraph num="(3)"> <text>A nonrefundable temporary mechanic license fee as established under COMAR 09.35.01.01.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A temporary elevator mechanic license is valid for 30 days from the date of issuance.</text> </paragraph> <paragraph num="C."> <text>The Board may deny a request from a licensed elevator contractor who does not hold a license in good standing or who is the subject of an active or pending complaint.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Qualifications for a Temporary Elevator Mechanic License."> <paragraph num="A."> <text>The following individuals may be considered for a temporary elevator mechanic license:</text> <paragraph num="(1)"> <text>An individual who has a minimum of 3 years of acceptable work experience in the elevator industry performing construction, maintenance, service, or repair of elevators and is a second year apprentice enrolled in an approved apprenticeship and training program;</text> </paragraph> <paragraph num="(2)"> <text>An individual who has a minimum of 5 years of acceptable work experience in the elevator industry performing construction, maintenance, service, or repair of elevators under a licensed elevator mechanic; and</text> </paragraph> <paragraph num="(3)"> <text>An individual who has a minimum of 3 years of acceptable work experience in the elevator industry performing construction, maintenance, service, or repair of elevators and holds a license in good standing with no violations in any other state.</text> </paragraph> </paragraph> <paragraph num="B."> <text>All qualifying education and experience shall be documented by the licensed elevator contractor on an application provided by the Board.</text> </paragraph> <paragraph num="C."> <text>Out-of-State individuals shall submit a letter of good standing from the state of licensure in addition to the required application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Renewal of Temporary Elevator Mechanic License."> <paragraph num="A."> <text>The Board may renew a temporary elevator mechanic license for additional 30 day periods as long as a licensed elevator mechanic is unavailable and the holder of the temporary license remains an employee of the certifying licensed elevator contractor.</text> </paragraph> <paragraph num="B."> <text>To renew the temporary elevator mechanic license, the licensed elevator contractor shall submit the following:</text> <paragraph num="(1)"> <text>A written notification to the Board that a shortage of license elevator mechanics continues;</text> </paragraph> <paragraph num="(2)"> <text>A completed renewal application on a form the Board provides; and</text> </paragraph> <paragraph num="(3)"> <text>A nonrefundable renewal fee pursuant to COMAR 09.35.01.01.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Board may refuse to renew the temporary license of a temporary licensee if the Board determines that the individual has had an adequate opportunity to obtain licensure under Public Safety Article, §12-827, Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-823(4), 12-826, 12-827(c), and 12-834, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 9, 2012 (39:13 Md. R. 785)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04 adopted effective January 13, 2020 (47:1 Md. R. 12)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective January 13, 2020 (47:1 Md. R. 12)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective January 13, 2020 (47:1 Md. R. 12)</annotation> </annotations> </chapter> <chapter num="03" heading="Scope of Practice"> <regulation prefix="Regulation" num=".01" heading="Scope of Practice for Elevator Renovator Mechanics."> <paragraph num="A."> <text>An elevator renovator mechanic may not engage in any work that affects the moving or mechanical parts of an elevator.</text> </paragraph> <paragraph num="B."> <text>All elevator renovations shall be compliant with the Safety Code.</text> </paragraph> <paragraph num="C."> <text>If an elevator renovator mechanic performs any work that affects the weight, cab size, or fire ratings of an elevator, the work shall be performed in compliance with any applicable requirements of the Safety Code and, to the extent required, be done in consultation with a licensed elevator contractor or mechanic.</text> </paragraph> <paragraph num="D."> <text>If the renovation “alters” the elevator, as defined by the Safety Code, then a final inspection shall be performed by the Maryland Department of Labor's Division of Labor and Industry.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Scope of Practice for Elevator Renovator Contractors."> <paragraph num="A."> <text>An elevator renovator contractor may not engage in any work that affects the moving or mechanical parts of an elevator.</text> </paragraph> <paragraph num="B."> <text>If an elevator renovator contractor performs any work that affects the weight, cab size, or fire ratings of an elevator, the work shall be performed in compliance with any applicable requirements of the Safety Code and, to the extent required, be done in consultation with a licensed elevator contractor or mechanic.</text> </paragraph> <paragraph num="C."> <text>If the renovation “alters” the elevator as defined by the Safety Code, then a final inspection shall be performed by the Maryland Department of Labor's Division of Labor and Industry.</text> </paragraph> <paragraph num="D."> <text>Thirty days prior to the anticipated completion date of any elevator alteration, an elevator renovator contractor shall request a final acceptance inspection in accordance with COMAR 09.12.81.04.</text> </paragraph> <paragraph num="E."> <text>Prior to putting the elevator back in service, the elevator renovator contractor shall ensure that an inspection is performed by an authorized third-party qualified elevator inspector to determine compliance with applicable law, regulations, and the Safety Code. If the authorized third-party qualified elevator inspector determines that the renovation “alters” the elevator, as defined in the Safety Code, then a final acceptance inspection is required as described in §D of this regulation.</text> </paragraph> <paragraph num="F."> <text>A copy of the inspection report resulting from the final acceptance inspection required by COMAR 09.12.81.04 shall be provided to the owner of the elevator.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-823(4), 12-826, and 12-827(c), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 9, 2012 (39:13 Md. R. 785)</annotation> </annotations> </chapter> <chapter num="04" heading="Continuing Professional Competency"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>The public interest requires that licensees holding applicable licenses pursuant to Public Safety Article, Title 12, Subtitle 8, Annotated Code of Maryland, provide competent services in all areas of practice. The State legislature has determined that it is in the best interest of the public to require licensees to comply with the continuing professional competency requirements as a prerequisite to the renewal of an applicable license.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meaning indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Activity” means attending and completing qualifying courses, seminars, workshops, technical presentations, and other qualifying programs that meet the criteria and objectives of continuing professional competency.</text> </paragraph> <paragraph num="(2)"> <text>“Authorized provider” means an organization or individual reviewed and approved by the CPC Standards Committee.</text> </paragraph> <paragraph num="(3)"> <text>“Board” means the Elevator Safety Review Board.</text> </paragraph> <paragraph num="(4)"> <text>“Continuing Professional Competency (CPC) unit” means 1 hour of instruction, presentation, or other activity.</text> </paragraph> <paragraph num="(5)"> <text>“Course” means a qualifying offering with a clear purpose and objective to maintain, improve, or expand the skills and knowledge of a licensee’s field of practice.</text> </paragraph> <paragraph num="(6)"> <text>“CPC Standards Committee” means a committee of Board members as established in Regulation .05 of this chapter.</text> </paragraph> <paragraph num="(7)"> <text>“Qualifying program” means any course, seminar, workshop, technical presentation, or any other qualifying offering that meets the criteria set forth in Regulation .04 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Requirements."> <text>A licensee shall complete a minimum of 8 CPC units during each licensing renewal period.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Criteria for Qualifying Programs."> <text>Programs shall meet at least the following criteria in order to be considered qualifying programs:</text> <paragraph num="A."> <text>Maintain and enhance professional competency of licensees regulated by the Board;</text> </paragraph> <paragraph num="B."> <text>Foster improvement, advancement, and extension of the mechanical and other appropriate professional skills and knowledge related to the work performed by licensees regulated by the Board;</text> </paragraph> <paragraph num="C."> <text>Be offered by an authorized provider;</text> </paragraph> <paragraph num="D."> <text>Have a stated purpose and defined content area;</text> </paragraph> <paragraph num="E."> <text>Be presented by presenters who are qualified in the defined content area; and</text> </paragraph> <paragraph num="F."> <text>Have a clearly stated time duration.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Authorization of Providers."> <paragraph num="A."> <text>Responsibility for Authorizing Providers.</text> <paragraph num="(1)"> <text>The Board shall select and establish a committee to recommend the approval of providers of the CPC units (the “CPC Standards Committee”).</text> </paragraph> <paragraph num="(2)"> <text>The CPC Standards Committee shall consist of the following individuals:</text> <paragraph num="(a)"> <text>One renovator member; and</text> </paragraph> <paragraph num="(b)"> <text>Two members from the following three categories of Board members:</text> <paragraph num="(i)"> <text>A major elevator manufacturing company or its authorized representative;</text> </paragraph> <paragraph num="(ii)"> <text>An elevator servicing company; or</text> </paragraph> <paragraph num="(iii)"> <text>A representative of labor involved in the installation, maintenance, and repair of elevators.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>The Board shall assign to the CPC Standards Committee the responsibility for reviewing and recommending the approval of providers to the Board. The Committee shall establish guidelines and procedures for the recommendation of approval of authorized providers in accordance with the objectives stated in this regulation and Regulation .04 of this chapter.</text> </paragraph> <paragraph num="(4)"> <text>If requested by the Board, the CPC Standards Committee shall submit quarterly reports to the Board containing the list of authorized providers approved by the Committee in the previous calendar quarter, together with any other information requested by the Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Providers’ Eligibility.</text> <paragraph num="(1)"> <text>The following are authorized providers without any further action by the CPC Standards Committee or the Board:</text> <paragraph num="(a)"> <text>National Association of Elevator Contractors;</text> </paragraph> <paragraph num="(b)"> <text>American Society of Mechanical Engineers;</text> </paragraph> <paragraph num="(c)"> <text>National Elevator Industry Educational Program; and</text> </paragraph> <paragraph num="(d)"> <text>Elevator Industry Work Preservation Fund.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The CPC Standards Committee may recommend to the Board approval of other providers or programs, if:</text> <paragraph num="(a)"> <text>The provider’s program meets the criteria set forth in Regulation .04 of this chapter; and</text> </paragraph> <paragraph num="(b)"> <text>The provider submits general information that will enable the Board to evaluate the provider’s qualifications, including, at a minimum, the following information with each application for approval:</text> <paragraph num="(i)"> <text>The types and descriptions of proposed or existing courses intended to be offered;</text> </paragraph> <paragraph num="(ii)"> <text>The number of CPC units to be awarded for each course;</text> </paragraph> <paragraph num="(iii)"> <text>The identity and qualifications of the course instructors; and</text> </paragraph> <paragraph num="(iv)"> <text>The proposed course outlines detailing the content of instruction to be offered.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>The Board may suspend or revoke authorization as a provider if, in the judgment of the Board, the provider no longer meets the objective of providing useful, current, and technically accurate information to the licensees.</text> </paragraph> <paragraph num="(4)"> <text>Individuals or organizations that have not been recommended for authorized provider status by the Committee may appeal that decision to the Board within 30 days after the CPC Standards Committee notifies the individual or organization of the recommendation.</text> </paragraph> <paragraph num="(5)"> <text>The Board may require approved providers to document the CPC activities for audit by the Board at any time. Documentation shall include registration and attendance records, stated purpose, content, presentation, time and length of the activity, and participant evaluations.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The Board shall maintain and make available to licensees the roster of approved providers.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Record Keeping."> <paragraph num="A."> <text>Responsibility to Maintain Records.</text> <paragraph num="(1)"> <text>It is the responsibility of the licensee to maintain records to be used to support the licensee’s continuing professional competency credit claim.</text> </paragraph> <paragraph num="(2)"> <text>A licensee shall maintain the records for a period of at least 4 years from the date of completion of the qualifying program.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Documentation referred to in §A(2) of this regulation includes, but is not limited to, the following:</text> <paragraph num="(1)"> <text>Certificates of participation;</text> </paragraph> <paragraph num="(2)"> <text>Transcripts, if appropriate;</text> </paragraph> <paragraph num="(3)"> <text>Title and description of the activity;</text> </paragraph> <paragraph num="(4)"> <text>Dates attended;</text> </paragraph> <paragraph num="(5)"> <text>Presenter’s name; and</text> </paragraph> <paragraph num="(6)"> <text>Any other appropriate information.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Reporting Requirements for License Renewal."> <paragraph num="A."> <text>A licensee shall attest on the license renewal form to the fact that the licensee has completed all applicable CPC requirements set forth in this chapter by the last day of the month preceding the month in which the licensee's individual license is required to be renewed for the following 2-year licensing term.</text> </paragraph> <paragraph num="B."> <text>The Board at its discretion may audit randomly selected licensees to verify compliance with CPC requirements.</text> </paragraph> <paragraph num="C."> <text>Licensees who are audited shall provide any additional documentation required by the Board to complete the audit.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Failure to Meet the CPC Requirements."> <text>In the event a licensee fails to comply with the CPC requirements set forth in this chapter, the Board, subject to the hearing provisions of Public Safety Article, §12-838, Annotated Code of Maryland, may take disciplinary action pursuant to Public Safety Article, §12-837, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".09" heading="Reinstatement of License."> <text>A licensee who wishes to reinstate a license after failing to complete the CPC requirements shall fulfill past due CPC requirements for the previous CPC reporting periods up to 16 CPC units (8 CPC units for up to two licensing periods) and pay all past due fees, unless the Board finds extenuating circumstances that establish good cause for a temporary waiver of the licensee’s failure to complete the CPC requirements.</text> </regulation> <regulation prefix="Regulation" num=".10" heading="Failure to Respond."> <paragraph num="A."> <text>If an applicant or licensee receives from the Board a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Board in writing if there has been a change in the applicant’s or licensee’s address</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Board to be a violation of Public Safety Article, §12-837(a)(7), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Public Safety Article, §§12-823(4), 12-833(d), and 12-837(a)(7), Annotated Code of Maryland; Ch. 5, §2, Acts of 2003</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 28, 2014 (41:8 Md. R. 470)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 repealed effective June 5, 2017 (44:11 Md. R. 524)</annotation> <annotation type="History" subtype="Administrative History">Regulation .10 adopted effective January 28, 2019 (46:2 Md. R. 52)</annotation> </annotations> </chapter> </subtitle> <subtitle num="36" heading="Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors — Home Inspectors"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Time Limitations for Filing Complaints."> <text>The Commission may summarily dismiss any complaint brought against a licensee after 3 years from the date of the home inspection report from which the complaint arises, unless the Commission finds that the complainant's delay in bringing the complaint was justified and that the delay does not result in an undue burden for the licensee.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Correspondence with the Commission."> <paragraph num="A."> <text>If an applicant or licensee receives from the Commission a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Commission shall send a written communication by first-class mail to the last address furnished to the Commission by the applicant or registrant.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Commission in writing if there has been a change in an applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Commission to be a violation of Business Occupations and Professions Article, §16-701.1(a)(7), Annotated Code of Maryland</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-216, 16-220, 16-601, and 16-701.1(a)(7), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 7, 2013 (39:26 Md. R. 1664)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 adopted effective January 14, 2019 (46:1 Md. R. 11)</annotation> </annotations> </chapter> <chapter num="02" heading="Work Experience Requirements" reason="Repealed"> <annotations> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective January 31, 2002 (29:4 Md. R. 412); adopted permanently effective May 27, 2002 (29:10 Md. R. 826)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 repealed effective May 22, 2017 (44:10 Md. R. 472)</annotation> </annotations> </chapter> <chapter num="03" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="License Fees."> <paragraph num="A."> <text>Pursuant to Business Occupations and Professions Article, Title 16, Annotated Code of Maryland, the Commission shall set fees to produce funds to approximate the cost of maintaining the Commission.</text> </paragraph> <paragraph num="B."> <text>The Commission shall charge the following amounts:</text> <paragraph num="(1)"> <text>License application fee — $50;</text> </paragraph> <paragraph num="(2)"> <text>License renewal fee — $325;</text> </paragraph> <paragraph num="(3)"> <text>License reinstatement fee — $50;</text> </paragraph> <paragraph num="(4)"> <text>Reciprocal license application fee — $50;</text> </paragraph> <paragraph num="(5)"> <text>Original license fee — $325.</text> </paragraph> </paragraph> <paragraph num="C."> <text>The failure without good cause to pay any fees or charges due under this regulation is grounds for disciplinary action under Business Occupations and Professions Article, §16-701.1(a)(7), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-216, 16-217, 16-3A-02, 16-3A-03, 16-3A-05, 16-3A-07, and 16-3A-08, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective January 31, 2002 (29:4 Md. R. 412); adopted permanently effective May 27, 2002 (29:10 Md. R. 826)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended as an emergency provision effective February 24, 2012 (39:6 Md. R. 405); amended permanently effective May 28, 2012 (39:10 Md. R. 659)</annotation> </annotations> </chapter> <chapter num="04" heading="Responsibilities of Licensees"> <regulation prefix="Regulation" num=".01" heading="Responsibilities of Licensees."> <text>A licensee shall undertake to provide home inspection services only if the licensee is qualified by training, education and experience to provide the required services.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Time to Request a Formal Hearing."> <paragraph num="A."> <text>A license applicant or a licensee shall request, in writing, a hearing within 30 days of a decision by the Commission to deny an initial license or renewal of a license.</text> </paragraph> <paragraph num="B."> <text>The 30-day time period referred to in §A of this regulation begins on the date notification of an adverse decision by the Commission was sent to the last known address of the licensee or applicant.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Notice of Change of Licensing Information."> <text>In addition to the requirements of Business Occupations and Professions Article, §16-4A-03, Annotated Code of Maryland, a licensed home inspector shall notify the Commission, in writing, within 15 days, of any change of the business name or address of the licensee or of a change of the business name or address of the business through which the licensee performs home inspection services.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-216 and 16A-3A-02, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 adopted as an emergency provision effective January 31, 2002 (29:4 Md. R. 412); adopted permanently effective May 27, 2002 (29:10 Md. R. 826)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective January 14, 2019 (46:1 Md. R. 11)</annotation> </annotations> </chapter> <chapter num="05" heading="Hearing Regulations"> <regulation prefix="Regulation" num=".01" heading="Contested Case Hearings."> <paragraph num="A."> <text>Except as provided in §§B and C of this regulation, all contested case hearings before the Commission are governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="B."> <text>Contested case hearings before the Commission shall be conducted before the Home Inspector Hearing Board in accordance with Business Occupations and Professions Article, §§16-210.1 and 16-211, Annotated Code of Maryland.</text> </paragraph> <paragraph num="C."> <text>In accordance with Business Occupations and Professions Article, §16-211(d), Annotated Code of Maryland, the Commission or any of its members may file an exception to the decision of the Hearing Board within 15 days after the filing of the Hearing Board's decision.</text> </paragraph> <paragraph num="D."> <text>If a timely exception under §C of this regulation is filed, the Commission shall set the matter in for a hearing before the Commission.</text> </paragraph> <paragraph num="E."> <text>All contested hearings delegated to the Office of Administrative Hearings are governed by COMAR 09.01.03.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, § 16-216, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 15, 2004 (31:5 Md. R. 448)</annotation> </annotations> </chapter> <chapter num="06" heading="Code of Ethics"> <regulation prefix="Regulation" num=".01" heading="Responsibilities to the Public."> <text>A home inspector shall:</text> <paragraph num="A."> <text>Act as an impartial third party;</text> </paragraph> <paragraph num="B."> <text>Discharge the home inspector's duties:</text> <paragraph num="(1)"> <text>With integrity and fidelity to the public;</text> </paragraph> <paragraph num="(2)"> <text>With fairness and objectivity to all parties; and</text> </paragraph> <paragraph num="(3)"> <text>Without bias to any party;</text> </paragraph> </paragraph> <paragraph num="C."> <text>Always act in good faith towards a client;</text> </paragraph> <paragraph num="D."> <text>Express an opinion only if it is based on practical experience and personal knowledge;</text> </paragraph> <paragraph num="E."> <text>Promptly inform a client of any business association, interest, or circumstance that may influence the home inspector's judgment or the quality of the home inspector's inspection service to the client;</text> </paragraph> <paragraph num="F."> <text>Make every effort to uphold, maintain, and improve the professional practice, integrity, and reputation of the home inspection industry; and</text> </paragraph> <paragraph num="G."> <text>Obey all federal and state laws, regulations, and local ordinances.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Prohibitions."> <paragraph num="A."> <text>A home inspector may not:</text> <paragraph num="(1)"> <text>Except under circumstances in which the safety, health, property, or welfare of the public is endangered, disclose any information concerning the results of an inspection without the approval of the client for whom the inspection was performed;</text> </paragraph> <paragraph num="(2)"> <text>Accept compensation, financial or otherwise, from more than one interested party for the same service on the same property unless the home inspector makes full disclosure to all interested parties and obtains the consent of all interested parties; or</text> </paragraph> <paragraph num="(3)"> <text>Accept or offer a commission or allowance, directly or indirectly, to or from another party dealing with the client in connection with home inspection services for which the home inspector is responsible.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector may not:</text> <paragraph num="(1)"> <text>Sell or offer to sell products for the repair of defects or the correction of deficiencies disclosed during an inspection to the client for a period of 1 year from the date of the inspection;</text> </paragraph> <paragraph num="(2)"> <text>Provide or offer to provide services to repair defects or correct deficiencies disclosed during an inspection for a period of 1 year from the date of the inspection; or</text> </paragraph> <paragraph num="(3)"> <text>Express an appraisal or opinion of the market value of the inspected property within the context of the inspection.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Additional Services."> <text>A home inspector may provide additional inspection services to the client if the home inspector discloses to the client that the additional inspection services are not part of the home inspection.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Conflicts of Interest."> <paragraph num="A."> <text>A home inspector shall avoid conflicts of interest with a client or an owner of property that is subject to an inspection by the home inspector.</text> </paragraph> <paragraph num="B."> <text>If a conflict appears unavoidable, the home inspector shall disclose promptly and fully all circumstances of the conflict to the client.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-208(a)(2), 16-216(2), and 16-3A-07(e), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 11, 2008 (35:3 Md. R. 289)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01E, F amended effective March 31, 2025 (52:6 Md. R. 267)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01G adopted effective March 31, 2025 (52:6 Md. R. 267)</annotation> </annotations> </chapter> <chapter num="07" heading="Minimum Standards of Practice"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>Activate.</text> <paragraph num="(a)"> <text>“Activate” means to turn on, supply power, or enable systems, equipment, or devices to become active by normal control means.</text> </paragraph> <paragraph num="(b)"> <text>“Activate” includes:</text> <paragraph num="(i)"> <text>Turning on the gas or water supply valves to fixtures and appliances; and</text> </paragraph> <paragraph num="(ii)"> <text>Activating electrical breakers or fuses.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Additional Inspection Services.</text> <paragraph num="(a)"> <text>“Additional inspection services” means any service offered in addition to the home inspection as defined in Standards of Practice for Maryland Licensed Home Inspectors.</text> </paragraph> <paragraph num="(b)"> <text>“Additional inspection services” includes, but is not limited to:</text> <paragraph num="(i)"> <text>Services to detect the presence of a wood-destroying insect or organism; and</text> </paragraph> <paragraph num="(ii)"> <text>Inspection and testing to evaluate the functional ability of septic system including drain and sewage lines.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>“Additional inspection services” includes environmental testing that includes, but is not limited to, tests to determine:</text> <paragraph num="(i)"> <text>Radon levels;</text> </paragraph> <paragraph num="(ii)"> <text>Well water potability; and</text> </paragraph> <paragraph num="(iii)"> <text>Air quality, to include testing for the presence of contaminants, mold spores, noxious gases and other harmful particulates in the air supply.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>“Adversely affect” means to constitute, or potentially constitute, a negative or destructive impact on the durability or soundness of a system, component, or structure.</text> </paragraph> <paragraph num="(4)"> <text>Alarm System.</text> <paragraph num="(a)"> <text>“Alarm system” means a device to generate an audible or visible warning of an unsafe condition.</text> </paragraph> <paragraph num="(b)"> <text>“Alarm system” includes, but is not limited to:</text> <paragraph num="(i)"> <text>A warning device, installed or freestanding;</text> </paragraph> <paragraph num="(ii)"> <text>A carbon monoxide detector and alarm;</text> </paragraph> <paragraph num="(iii)"> <text>A flue gas detector;</text> </paragraph> <paragraph num="(iv)"> <text>A water or other spillage detector;</text> </paragraph> <paragraph num="(v)"> <text>Security equipment;</text> </paragraph> <paragraph num="(vi)"> <text>An ejector pump; and</text> </paragraph> <paragraph num="(vii)"> <text>A smoke detector or alarm.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>“Automatic safety controls” means a device designed and installed to protect systems and components from unsafe conditions.</text> </paragraph> <paragraph num="(6)"> <text>“Component” means a permanently installed appliance, fixture, element, or part of a system necessary for the system to operate as designed.</text> </paragraph> <paragraph num="(7)"> <text>“CSST” means corrugated stainless steel tubing used as flexible gas piping in fuel distribution systems.</text> </paragraph> <paragraph num="(8)"> <text>“Decorative” means ornamental or not required for the operation of the essential systems and components of a home.</text> </paragraph> <paragraph num="(9)"> <text>“Describe” means to include in the written report:</text> <paragraph num="(a)"> <text>A description of a system or component by its type or other observed significant characteristics to distinguish it from other systems or components;</text> </paragraph> <paragraph num="(b)"> <text>The condition of the inspected item and indicate its proper operation or function; and</text> </paragraph> <paragraph num="(c)"> <text>A statement of recommended corrective action, if appropriate.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>“Dismantle” means to take apart or remove any component, device, or piece of equipment that would not be taken apart or removed by a homeowner in the course of normal and routine homeowner maintenance.</text> </paragraph> <paragraph num="(11)"> <text>“Engineering service” means a professional service or creative work requiring:</text> <paragraph num="(a)"> <text>Engineering education, training, and experience; and</text> </paragraph> <paragraph num="(b)"> <text>The application of special knowledge of the mathematical, physical, and engineering sciences to professional service or creative work such as consultation, investigation, evaluation, planning, design, and supervision of construction for the purpose of assuring compliance with the specifications and design, in conjunction with structures, buildings, machines, equipment, works, or processes.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Functional drainage” means a drain is:</text> <paragraph num="(a)"> <text>Able to empty in a reasonable amount of time; and</text> </paragraph> <paragraph num="(b)"> <text>Not subject to overflow when one of its supply faucets is left on.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>“Functional flow” means sufficient water flow to provide uninterrupted supply to the highest unrestricted tap or faucet farthest from the source when a single intermediate unrestricted tap or faucet is operated simultaneously with uninterrupted flow.</text> </paragraph> <paragraph num="(14)"> <text>“Further evaluation” means an examination and analysis by a qualified professional, tradesman, or service technician beyond that provided by the home inspection.</text> </paragraph> <paragraph num="(15)"> <text>Heat Source.</text> <paragraph num="(a)"> <text>“Heat source” means a mechanical means to transfer heat.</text> </paragraph> <paragraph num="(b)"> <text>“Heat source” includes, but is not limited to:</text> <paragraph num="(i)"> <text>A radiator;</text> </paragraph> <paragraph num="(ii)"> <text>A convector unit;</text> </paragraph> <paragraph num="(iii)"> <text>A radiant panel;</text> </paragraph> <paragraph num="(iv)"> <text>A heat pipe;</text> </paragraph> <paragraph num="(v)"> <text>Ductwork;</text> </paragraph> <paragraph num="(vi)"> <text>A grille;</text> </paragraph> <paragraph num="(vii)"> <text>A register; and</text> </paragraph> <paragraph num="(viii)"> <text>Any other device from which heat is intended to be emitted.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(16)"> <text>“Household appliance” means an installed kitchen or laundry apparatus designed to perform a particular task or function.</text> </paragraph> <paragraph num="(17)"> <text>“Inspect” means to examine readily accessible systems and components of a building in a non-invasive manner and in accordance with the standards of practice set forth in this chapter, using normal operating controls and opening readily openable access panels.</text> </paragraph> <paragraph num="(18)"> <text>“Installed” means attached such that removal requires tools.</text> </paragraph> <paragraph num="(19)"> <text>“Intended function” means:</text> <paragraph num="(a)"> <text>Performing, or being able to perform, the usual function for which an item is designed or fitted; and</text> </paragraph> <paragraph num="(b)"> <text>Being in a condition or state of repair appropriate to an item's function, age, and location.</text> </paragraph> </paragraph> <paragraph num="(20)"> <text>“Normal operating control” means a device, such as a thermostat, switch, or valve, that may be operated by an individual and does not require specialized skill or knowledge.</text> </paragraph> <paragraph num="(21)"> <text>“Readily accessible” means available for visual inspection without requiring moving of personal property, dismantling, destructive measures, or any action that will likely involve risk to a person or property and does not include opening an access panel or cover that is sealed and cannot be returned to its existing condition.</text> </paragraph> <paragraph num="(22)"> <text>“Readily openable access panel” means a panel provided for homeowner inspection and maintenance that:</text> <paragraph num="(a)"> <text>Is within normal reach;</text> </paragraph> <paragraph num="(b)"> <text>Can be easily removed by one person; and</text> </paragraph> <paragraph num="(c)"> <text>Is not sealed in place.</text> </paragraph> </paragraph> <paragraph num="(23)"> <text>Recreational Facility.</text> <paragraph num="(a)"> <text>“Recreational facility” means a fitness or entertainment device or equipment.</text> </paragraph> <paragraph num="(b)"> <text>“Recreational facility” includes, but is not limited to:</text> <paragraph num="(i)"> <text>A spa;</text> </paragraph> <paragraph num="(ii)"> <text>A sauna;</text> </paragraph> <paragraph num="(iii)"> <text>A steam bath;</text> </paragraph> <paragraph num="(iv)"> <text>Exercise equipment;</text> </paragraph> <paragraph num="(v)"> <text>Entertainment devices;</text> </paragraph> <paragraph num="(vi)"> <text>Athletic equipment;</text> </paragraph> <paragraph num="(vii)"> <text>Playground equipment; and</text> </paragraph> <paragraph num="(viii)"> <text>Other similar equipment and associated accessories.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(24)"> <text>“Representative number” means a quantity of components of any system or structure enough like others in its class or kind so as to serve as an example of the class or kind.</text> </paragraph> <paragraph num="(25)"> <text>“Roof drainage system” means a component used to carry water off a roof and away from a building.</text> </paragraph> <paragraph num="(26)"> <text>“Shut down” means a state in which a system or component cannot be operated by normal operating controls.</text> </paragraph> <paragraph num="(27)"> <text>“Significantly deficient” means to be unsafe or not functioning as deigned or intended.</text> </paragraph> <paragraph num="(28)"> <text>Solid Fuel Burning Appliance.</text> <paragraph num="(a)"> <text>“Solid fuel burning appliance” means a hearth and fire chamber or similar prepared place:</text> <paragraph num="(i)"> <text>In which a fire may be built; and</text> </paragraph> <paragraph num="(ii)"> <text>That is constructed in conjunction with a chimney.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>“Solid fuel burning appliance” includes a listed assembly of a fire chamber, its chimney, and related factory-made parts designed for unit assembly without requiring field construction.</text> </paragraph> </paragraph> <paragraph num="(29)"> <text>“Structural component” means a component that supports non-variable forces or weights and variable forces or weights.</text> </paragraph> <paragraph num="(30)"> <text>“System” means a combination of interacting or interdependent components that are designed and assembled to carry out one or more functions.</text> </paragraph> <paragraph num="(31)"> <text>“Technically exhaustive” means an investigation to identify concealed conditions or latent defects that involves dismantling, extensive use of advanced techniques, measurements, instruments, testing, calculations, or other means.</text> </paragraph> <paragraph num="(32)"> <text>“Under-floor crawl space” means the area within the confines of the foundation and between the ground and the underside of the floor.</text> </paragraph> <paragraph num="(33)"> <text>“Unsafe” means a condition in a readily accessible installed system or component that:</text> <paragraph num="(a)"> <text>Is determined to create a significant risk of personal injury during normal, day-to-day use; and</text> </paragraph> <paragraph num="(b)"> <text>May be the result of damage, deterioration, improper installation, or a change in accepted residential construction standards.</text> </paragraph> </paragraph> <paragraph num="(34)"> <text>Wiring Methods.</text> <paragraph num="(a)"> <text>“Wiring methods” means the identification of electrical conductors or wires by their general type.</text> </paragraph> <paragraph num="(b)"> <text>“Wiring methods” includes, but is not limited to:</text> <paragraph num="(i)"> <text>Nonmetallic sheathed cable;</text> </paragraph> <paragraph num="(ii)"> <text>Armored cable; and</text> </paragraph> <paragraph num="(iii)"> <text>Knob and tube.</text> </paragraph> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="General."> <paragraph num="A."> <text>Purpose. In the general public interest, the standards of practice set forth in this chapter are promulgated to establish a minimum and uniform standard of performance to be exercised by a home inspector licensed by the Maryland State Commission of Real Estate Appraisers and Home Inspectors.</text> </paragraph> <paragraph num="B."> <text>Conflicts. If this chapter conflicts with other federal or State requirements, the home inspector shall follow the more stringent requirements.</text> </paragraph> <paragraph num="C."> <text>Scope. The standards of practice set forth in this chapter apply only to the inspection of a residential building containing one to four dwelling units.</text> </paragraph> <paragraph num="D."> <text>Inspections.</text> <paragraph num="(1)"> <text>The standards of practice set forth in this chapter:</text> <paragraph num="(a)"> <text>Identify the items, components, systems, and certain terms included in the scope of a home inspection; and</text> </paragraph> <paragraph num="(b)"> <text>Apply to a visual inspection of the readily accessible areas of the included items, components, and systems to determine if, at the time of the home inspection, the items, components, and systems are performing their intended function or are determined to be significantly deficient.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>A home inspection performed in accordance with the standards of practice set forth in this chapter:</text> <paragraph num="(a)"> <text>Shall be conducted while the licensed home inspector who is responsible for preparing the report in accordance with Business Occupations and Professions Article, § 16-101(i), Annotated Code of Maryland, is physically on-site at the property to be inspected;</text> </paragraph> <paragraph num="(b)"> <text>Is intended to provide a client with objective information regarding the condition of the systems and components of a home at the time of the home inspection;</text> </paragraph> <paragraph num="(c)"> <text>Acts to identify visible defects and conditions that, in the judgment of the home inspector, adversely affect the function or integrity of the items, components, and systems inspected, including those items or components near the end of their serviceable life;</text> </paragraph> <paragraph num="(d)"> <text>May not be construed as a compliance inspection pursuant to any code or governmental regulation;</text> </paragraph> <paragraph num="(e)"> <text>Is not intended to be construed as a guarantee, warranty, or any form of insurance;</text> </paragraph> <paragraph num="(f)"> <text>Is not an express or implied warranty or a guarantee of the adequacy, performance, or useful life of any item, component, or system in, on, or about the inspected property;</text> </paragraph> <paragraph num="(g)"> <text>Is based on the visual observation of the home inspector; and</text> </paragraph> <paragraph num="(h)"> <text>Shall be performed in a time period sufficient to allow compliance with the provisions of the standards of practice set forth in this chapter.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Representative Number. For the purpose of making a finding or conclusion as a result of a home inspection, a home inspector may consider a representative number of:</text> <paragraph num="(1)"> <text>Electrical outlets;</text> </paragraph> <paragraph num="(2)"> <text>Exterior windows;</text> </paragraph> <paragraph num="(3)"> <text>Doors;</text> </paragraph> <paragraph num="(4)"> <text>Siding materials; and</text> </paragraph> <paragraph num="(5)"> <text>Exposed attic and floor, including attic and floor framing.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Report. A home inspection report:</text> <paragraph num="(1)"> <text>Shall contain the written opinion of the home inspector based on the judgment and experience of the home inspector;</text> </paragraph> <paragraph num="(2)"> <text>Shall contain a description of systems and components in accordance with §D of this regulation;</text> </paragraph> <paragraph num="(3)"> <text>Is not intended to be technically exhaustive; and</text> </paragraph> <paragraph num="(4)"> <text>May identify items in need of further evaluation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Limitations and Exclusions."> <paragraph num="A."> <text>A home inspection performed in accordance with the standards of practice set forth in this chapter:</text> <paragraph num="(1)"> <text>Is not technically exhaustive; and</text> </paragraph> <paragraph num="(2)"> <text>May not identify concealed conditions or latent defects.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Except as may be required by lawful authority, a home inspector is not required to perform any action or make any determination unless specifically stated in the standards of practice set forth in this chapter.</text> </paragraph> <paragraph num="C."> <text>A home inspector is not required to determine any of the following:</text> <paragraph num="(1)"> <text>Condition of a system or component that is not readily accessible;</text> </paragraph> <paragraph num="(2)"> <text>Remaining life of any system or component;</text> </paragraph> <paragraph num="(3)"> <text>Strength, adequacy, effectiveness, or efficiency of any system or component;</text> </paragraph> <paragraph num="(4)"> <text>Causes of any condition or deficiency;</text> </paragraph> <paragraph num="(5)"> <text>Methods, materials, or costs of corrections;</text> </paragraph> <paragraph num="(6)"> <text>Future conditions, including, but not limited to, failure of systems and components;</text> </paragraph> <paragraph num="(7)"> <text>Suitability of the property for any specialized use;</text> </paragraph> <paragraph num="(8)"> <text>Property boundary lines or encroachments;</text> </paragraph> <paragraph num="(9)"> <text>Compliance of the structure with applicable provisions of local ordinances, regulations, or codes;</text> </paragraph> <paragraph num="(10)"> <text>Market value of the property or its marketability;</text> </paragraph> <paragraph num="(11)"> <text>Advisability of the purchase of the property;</text> </paragraph> <paragraph num="(12)"> <text>Indoor air quality or sickness of any building, including, but not limited to, the presence or absence of all manner of biological activity, such as carcinogens, mold, insects, birds, pets, mammals, and other flora and fauna, and their consequent damage, toxicity, odors, waste products, and noxiousness;</text> </paragraph> <paragraph num="(13)"> <text>Effectiveness of any system installed or methods utilized to control or remove suspected hazardous substances;</text> </paragraph> <paragraph num="(14)"> <text>Operating costs of a system or component;</text> </paragraph> <paragraph num="(15)"> <text>Acoustical properties of any system or component; or</text> </paragraph> <paragraph num="(16)"> <text>Existence of manufacturer's recalls.</text> </paragraph> </paragraph> <paragraph num="D."> <text>A home inspector is not required to offer or perform any of the following:</text> <paragraph num="(1)"> <text>Any act or service contrary to law;</text> </paragraph> <paragraph num="(2)"> <text>Engineering services;</text> </paragraph> <paragraph num="(3)"> <text>Work in any trade or any professional service other than home inspection; or</text> </paragraph> <paragraph num="(4)"> <text>Warranties or guarantees of any kind.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A home inspector is not required to operate or activate:</text> <paragraph num="(1)"> <text>A system or component that</text> <paragraph num="(a)"> <text>Is shut down or otherwise inoperable; or</text> </paragraph> <paragraph num="(b)"> <text>Does not respond to normal operating controls;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Shut off valves and manual stop valves;</text> </paragraph> <paragraph num="(3)"> <text>Automatic safety controls;</text> </paragraph> <paragraph num="(4)"> <text>Remote controlled devices via WiFi, Bluetooth, RF, or other electronic means; and</text> </paragraph> <paragraph num="(5)"> <text>Any Smart Home System and associated device..</text> </paragraph> </paragraph> <paragraph num="F."> <text>A home inspector is not required to enter:</text> <paragraph num="(1)"> <text>Any area that may be, in the opinion of the home inspector, dangerous to the inspector or other persons or may damage the property or its systems or components; or</text> </paragraph> <paragraph num="(2)"> <text>Under-floor crawl spaces, attics, or other unfinished areas that are not readily accessible.</text> </paragraph> </paragraph> <paragraph num="G."> <text>A home inspector is not required to inspect any of the following:</text> <paragraph num="(1)"> <text>Underground items, including, but not limited to, underground storage tanks or other underground indications of their presence, whether abandoned or active;</text> </paragraph> <paragraph num="(2)"> <text>Systems or components that are not installed;</text> </paragraph> <paragraph num="(3)"> <text>Decorative items;</text> </paragraph> <paragraph num="(4)"> <text>Systems or components located in areas that cannot be entered in accordance with the standards of practice set forth in this chapter;</text> </paragraph> <paragraph num="(5)"> <text>Detached structures other than garages and carports;</text> </paragraph> <paragraph num="(6)"> <text>Recreational facilities;</text> </paragraph> <paragraph num="(7)"> <text>Common elements or common areas in multiunit housing, such as condominium properties or cooperative housing; or</text> </paragraph> <paragraph num="(8)"> <text>A common condominium component or system or evaluated condominium reserve accounts.</text> </paragraph> </paragraph> <paragraph num="H."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Perform any procedure or operation that may be, in the opinion of the inspector, dangerous to the inspector or other persons or damage the property or its systems or components;</text> </paragraph> <paragraph num="(2)"> <text>Move suspended ceiling tiles, personal property, furniture, equipment, plants, soil, snow, ice, or debris;</text> </paragraph> <paragraph num="(3)"> <text>Dismantle any system or component, except as explicitly required by the standards of practice set forth in this chapter;</text> </paragraph> <paragraph num="(4)"> <text>Include in a written report any information from any source concerning previous:</text> <paragraph num="(a)"> <text>Property, geological, environmental, or hazardous waste conditions;</text> </paragraph> <paragraph num="(b)"> <text>Manufacturer recalls or conformance of proper manufacturer's installation of any component or system; or</text> </paragraph> <paragraph num="(c)"> <text>Information contained in a consumer protection bulletin of publication;</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Anticipate or speculate about possible future events or conditions, including but not limited to:</text> <paragraph num="(a)"> <text>Decay, deterioration, or damage that may occur after the inspection;</text> </paragraph> <paragraph num="(b)"> <text>Deficiencies from abuse, misuse, or lack of use;</text> </paragraph> <paragraph num="(c)"> <text>Changes in performance of any component or system due to changes in use or occupancy;</text> </paragraph> <paragraph num="(d)"> <text>The consequences of the inspection or its effects on current or future buyers and sellers;</text> </paragraph> <paragraph num="(e)"> <text>Common household accidents, personal injury, or death;</text> </paragraph> <paragraph num="(f)"> <text>Water intrusion; or</text> </paragraph> <paragraph num="(g)"> <text>The future performance of any system or system component; and</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Provide additional inspection services not specifically set forth in this chapter and in accordance with COMAR 09.36.06.03 and Regulation .02 of this chapter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Structural System."> <paragraph num="A."> <text>A home inspector shall visually inspect the accessible structural system, including the structural components.</text> </paragraph> <paragraph num="B."> <text>A home inspector shall describe the visible types and materials of the structural system, including the:</text> <paragraph num="(1)"> <text>Foundation including a reference to the location of access and methods used to inspect the under-floor crawl spaces and basements;</text> </paragraph> <paragraph num="(2)"> <text>Floor structure;</text> </paragraph> <paragraph num="(3)"> <text>Wall structure;</text> </paragraph> <paragraph num="(4)"> <text>Ceiling structure;</text> </paragraph> <paragraph num="(5)"> <text>Roof structure, including a reference to the location of access and methods used to inspect the attic; and</text> </paragraph> <paragraph num="(6)"> <text>Conditions that adversely impact the structure.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Probing.</text> <paragraph num="(1)"> <text>A home inspector shall probe a representative number of structural components where deterioration is suspected or where clear indications of possible deterioration exist.</text> </paragraph> <paragraph num="(2)"> <text>Probing is not required:</text> <paragraph num="(a)"> <text>If it will damage any finished surface; or</text> </paragraph> <paragraph num="(b)"> <text>Where no deterioration is visible.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Provide any engineering service; or</text> </paragraph> <paragraph num="(2)"> <text>Offer an opinion as to the adequacy of any structural system or component.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Exterior."> <paragraph num="A."> <text>A home inspector shall visually inspect the accessible exterior components, including:</text> <paragraph num="(1)"> <text>Exterior wall covering, flashing, and trim;</text> </paragraph> <paragraph num="(2)"> <text>All exterior doors;</text> </paragraph> <paragraph num="(3)"> <text>Attached decks, balconies, stoops, steps and stringers, porches, and their associated railings and balusters;</text> </paragraph> <paragraph num="(4)"> <text>Eaves, soffits, and fascias that are accessible from the ground level;</text> </paragraph> <paragraph num="(5)"> <text>Vegetation, grading, surface drainage, and retaining walls on the property if any of these may adversely affect the building; and</text> </paragraph> <paragraph num="(6)"> <text>Walkways, patios, and driveways leading to dwelling entrances.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector shall describe:</text> <paragraph num="(1)"> <text>The exterior:</text> <paragraph num="(a)"> <text>Wall covering;</text> </paragraph> <paragraph num="(b)"> <text>Flashing;</text> </paragraph> <paragraph num="(c)"> <text>Trim; and</text> </paragraph> <paragraph num="(d)"> <text>Doors;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Deck components, including the absence of flashing at the ledger board;</text> </paragraph> <paragraph num="(3)"> <text>Eaves, soffits, and facias;</text> </paragraph> <paragraph num="(4)"> <text>Walkways, patios, driveways, including trip hazards; and</text> </paragraph> <paragraph num="(5)"> <text>Grading and surface drainage that may adversely affect the building.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A home inspector is not required to inspect any of the following:</text> <paragraph num="(1)"> <text>Screening, shutters, awnings, and similar seasonal accessories:</text> </paragraph> <paragraph num="(2)"> <text>Fences, including each fence gate;</text> </paragraph> <paragraph num="(3)"> <text>Geological, geotechnical, or hydrological conditions;</text> </paragraph> <paragraph num="(4)"> <text>Recreational facilities;</text> </paragraph> <paragraph num="(5)"> <text>Outbuildings;</text> </paragraph> <paragraph num="(6)"> <text>Seawalls, break-walls, and docks; or</text> </paragraph> <paragraph num="(7)"> <text>Erosion control and earth stabilization measures.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Roof System."> <paragraph num="A."> <text>A home inspector shall visually inspect the accessible roof system, including:</text> <paragraph num="(1)"> <text>The roof covering;</text> </paragraph> <paragraph num="(2)"> <text>Roof drainage components;</text> </paragraph> <paragraph num="(3)"> <text>Flashings; and</text> </paragraph> <paragraph num="(4)"> <text>Skylights, chimneys, and roof penetrations.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector shall describe the roof covering including the type and material and report the methods used to inspect the roof.</text> </paragraph> <paragraph num="C."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Inspect:</text> <paragraph num="(a)"> <text>Antennae and lightning arrestor systems;</text> </paragraph> <paragraph num="(b)"> <text>Interiors of flues or chimneys that are not readily accessible;</text> </paragraph> <paragraph num="(c)"> <text>Solar panels; or</text> </paragraph> <paragraph num="(d)"> <text>Other installed accessories;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Walk on or access a roof where it could damage the roof or roofing material or be unsafe for the home inspector;</text> </paragraph> <paragraph num="(3)"> <text>Remove snow, ice, debris, or other conditions that prohibit the observation of the roof surfaces; or</text> </paragraph> <paragraph num="(4)"> <text>Determine:</text> <paragraph num="(a)"> <text>The remaining life expectancy of roof coverings;</text> </paragraph> <paragraph num="(b)"> <text>The presence or absence of hail damage;</text> </paragraph> <paragraph num="(c)"> <text>Manufacturer's defects;</text> </paragraph> <paragraph num="(d)"> <text>Installation methods; or</text> </paragraph> <paragraph num="(e)"> <text>The number of layers of roofing material.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Plumbing System."> <paragraph num="A."> <text>A home inspector shall visually inspect the accessible plumbing system, including:</text> <paragraph num="(1)"> <text>Interior water supply and distribution systems, including all fixtures and faucets;</text> </paragraph> <paragraph num="(2)"> <text>Drain, waste, and vent systems, including all fixtures;</text> </paragraph> <paragraph num="(3)"> <text>Water heating equipment;</text> </paragraph> <paragraph num="(4)"> <text>Vent systems, flues, and chimneys;</text> </paragraph> <paragraph num="(5)"> <text>Fuel storage and fuel distribution systems for the presence of CSST;</text> </paragraph> <paragraph num="(6)"> <text>Drainage sumps, sump pumps, and related piping;</text> </paragraph> <paragraph num="(7)"> <text>The functional flow of all fixtures and faucets; and</text> </paragraph> <paragraph num="(8)"> <text>The functional drainage of all fixtures.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector shall describe the type and material of the plumbing system, including:</text> <paragraph num="(1)"> <text>Water supply, drain, waste, and vent piping materials, including waste cleanout access location:</text> </paragraph> <paragraph num="(2)"> <text>Water heating equipment, including the energy source;</text> </paragraph> <paragraph num="(3)"> <text>The location of the main water and hose bib shut-off valves;</text> </paragraph> <paragraph num="(4)"> <text>The location of the main fuel shut-off valve; and</text> </paragraph> <paragraph num="(5)"> <text>The presence of CSST with the recommendation that the bonding of the CSST be reviewed by a licensed master electrician.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Inspect any of the following:</text> <paragraph num="(a)"> <text>Clothes washing machine connections;</text> </paragraph> <paragraph num="(b)"> <text>Interiors of flues or chimneys that are not readily accessible;</text> </paragraph> <paragraph num="(c)"> <text>Wells, well pumps, or water storage related equipment;</text> </paragraph> <paragraph num="(d)"> <text>Water conditioning systems;</text> </paragraph> <paragraph num="(e)"> <text>Solar, geothermal, or other renewable energy water heating systems;</text> </paragraph> <paragraph num="(f)"> <text>Fire and lawn sprinkler systems; or</text> </paragraph> <paragraph num="(g)"> <text>Private waste disposal systems;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Determine:</text> <paragraph num="(a)"> <text>Whether water supply and waste disposal systems are public or private;</text> </paragraph> <paragraph num="(b)"> <text>The quantity or quality of the water supply; or</text> </paragraph> <paragraph num="(c)"> <text>The function of expansion tanks, anti-siphon devices, and water circulating systems;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Operate or activate safety valves or shut-off valves; or</text> </paragraph> <paragraph num="(4)"> <text>Test shower pans or other fixtures for leaks.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Electrical Systems."> <paragraph num="A."> <text>A home inspector shall visually inspect the accessible electrical system, including:</text> <paragraph num="(1)"> <text>The service drop;</text> </paragraph> <paragraph num="(2)"> <text>Service entrance conductors, cables, and raceways;</text> </paragraph> <paragraph num="(3)"> <text>Service equipment and main disconnects;</text> </paragraph> <paragraph num="(4)"> <text>Service grounding;</text> </paragraph> <paragraph num="(5)"> <text>System bonding;</text> </paragraph> <paragraph num="(6)"> <text>Interior components of service panels and distribution panels;</text> </paragraph> <paragraph num="(7)"> <text>Conductors;</text> </paragraph> <paragraph num="(8)"> <text>Overcurrent protection devices;</text> </paragraph> <paragraph num="(9)"> <text>A representative number of installed lighting fixtures, switches, and receptacles;</text> </paragraph> <paragraph num="(10)"> <text>Ground fault and arc fault circuit interrupters; and</text> </paragraph> <paragraph num="(11)"> <text>The general condition of visible branch circuit conductors that may constitute a hazard to the occupant or the structure by reason of improper use or installation of electrical components.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector shall describe the type and materials of the electrical system, including the:</text> <paragraph num="(1)"> <text>Amperage and voltage rating of the service;</text> </paragraph> <paragraph num="(2)"> <text>Location of:</text> <paragraph num="(a)"> <text>Main disconnect;</text> </paragraph> <paragraph num="(b)"> <text>Service equipment;</text> </paragraph> <paragraph num="(c)"> <text>Distribution panels; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Wiring methods.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If applicable, a home inspector shall describe the:</text> <paragraph num="(1)"> <text>Presence of solid conductor aluminum branch circuit wiring;</text> </paragraph> <paragraph num="(2)"> <text>Presence or absence of:</text> <paragraph num="(a)"> <text>Smoke alarms; or</text> </paragraph> <paragraph num="(b)"> <text>Carbon monoxide alarms; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Presence of:</text> <paragraph num="(a)"> <text>Non-arc-resistant CSST gas piping with the recommendation that the bonding of the CSST be reviewed by a licensed master electrician; and</text> </paragraph> <paragraph num="(b)"> <text>Alternative energy systems, including disconnect locations.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Inspect:</text> <paragraph num="(a)"> <text>Remote control devices, unless the device is the only control device;</text> </paragraph> <paragraph num="(b)"> <text>Alarm systems and components;</text> </paragraph> <paragraph num="(c)"> <text>Low voltage wiring systems and components;</text> </paragraph> <paragraph num="(d)"> <text>Ancillary wiring, systems, and components that are not a part of the primary electrical power distribution system; or</text> </paragraph> <paragraph num="(e)"> <text>the existing bonding method for CSST; or</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Measure amperage, voltage, or impedance.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Heating System."> <paragraph num="A."> <text>A home inspector shall visually inspect accessible:</text> <paragraph num="(1)"> <text>Installed heating equipment;</text> </paragraph> <paragraph num="(2)"> <text>Vent systems, flues, and chimneys; and</text> </paragraph> <paragraph num="(3)"> <text>Heat Sources.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector shall describe:</text> <paragraph num="(1)"> <text>The type of system;</text> </paragraph> <paragraph num="(2)"> <text>Energy sources; and</text> </paragraph> <paragraph num="(3)"> <text>Heating methods by distinguishing characteristics and means of distribution.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A home inspector shall operate the heating system using normal operating controls, including emergency or auxiliary modes, if applicable.</text> </paragraph> <paragraph num="D."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Inspect:</text> <paragraph num="(a)"> <text>Flue or chimney interiors that are not readily accessible;</text> </paragraph> <paragraph num="(b)"> <text>Heat exchangers;</text> </paragraph> <paragraph num="(c)"> <text>Humidifiers or dehumidifiers;</text> </paragraph> <paragraph num="(d)"> <text>Electronic air filters; or</text> </paragraph> <paragraph num="(e)"> <text>Solar space heating systems; or</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Determine the adequacy of the heat system or the distribution balance.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Air-Conditioning System."> <paragraph num="A."> <text>A home inspector shall inspect the accessible installed central and through-wall cooling equipment.</text> </paragraph> <paragraph num="B."> <text>A home inspector shall describe:</text> <paragraph num="(1)"> <text>Permanently installed cooling equipment;</text> </paragraph> <paragraph num="(2)"> <text>Energy sources;</text> </paragraph> <paragraph num="(3)"> <text>Cooling methods by distinguishing characteristics and means of distribution; and</text> </paragraph> <paragraph num="(4)"> <text>Condensate drainage system.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A home inspector shall operate the cooling system using normal operating controls and describe that the system was operated.</text> </paragraph> <paragraph num="D."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Inspect electronic air filters;</text> </paragraph> <paragraph num="(2)"> <text>Determine the adequacy of the cooling system or the distribution balance; or</text> </paragraph> <paragraph num="(3)"> <text>Operate the cooling equipment if it may damage the system or components.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Interior."> <paragraph num="A."> <text>A home inspector shall visually inspect accessible:</text> <paragraph num="(1)"> <text>Walls, ceilings, and floors;</text> </paragraph> <paragraph num="(2)"> <text>Ramps, steps, stairways, landings, and railings;</text> </paragraph> <paragraph num="(3)"> <text>Countertops and installed cabinets;</text> </paragraph> <paragraph num="(4)"> <text>Doors and windows, including safety glazing;</text> </paragraph> <paragraph num="(5)"> <text>Garage doors and garage door operators; and</text> </paragraph> <paragraph num="(6)"> <text>Household appliances including installed ovens, ranges, surface cooking appliances, microwave ovens, dishwashing machines, and food waste grinders by using normal operating controls to activate the primary function.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector shall describe a condition that presents, at the time of the inspection, an unsafe condition.</text> </paragraph> <paragraph num="C."> <text>A home inspector is not required to inspect:</text> <paragraph num="(1)"> <text>Paint, wallpaper, and other finish treatments;</text> </paragraph> <paragraph num="(2)"> <text>Carpeting;</text> </paragraph> <paragraph num="(3)"> <text>Window treatments, including window glass types or coatings;</text> </paragraph> <paragraph num="(4)"> <text>Central vacuum systems;</text> </paragraph> <paragraph num="(5)"> <text>Recreational facilities;</text> </paragraph> <paragraph num="(6)"> <text>Appliances not listed in section §A(6) of this regulation;</text> </paragraph> <paragraph num="(7)"> <text>Each control or feature of an inspected appliance; or</text> </paragraph> <paragraph num="(8)"> <text>Microwave radiation leakage.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Insulation and Ventilation."> <paragraph num="A."> <text>A home inspector shall visually inspect accessible:</text> <paragraph num="(1)"> <text>Insulation and vapor retarders in unfinished spaces;</text> </paragraph> <paragraph num="(2)"> <text>Ventilation of attics and foundation areas; and</text> </paragraph> <paragraph num="(3)"> <text>Mechanical ventilation systems.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector shall describe:</text> <paragraph num="(1)"> <text>Insulation and vapor retarders or barriers in accessible unfinished spaces;</text> </paragraph> <paragraph num="(2)"> <text>If applicable, the absence of insulation in unfinished spaces at conditioned surfaces; and</text> </paragraph> <paragraph num="(3)"> <text>The presence or absence of a moisture barrier in a crawlspace.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Disturb insulation, retarders, or barriers; or</text> </paragraph> <paragraph num="(2)"> <text>Determine indoor air quality.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".13" heading="Fireplaces and Solid Fuel Burning Appliances."> <paragraph num="A."> <text>A home inspector shall visually inspect accessible:</text> <paragraph num="(1)"> <text>System components of fireplaces and solid fuel burning appliances; and</text> </paragraph> <paragraph num="(2)"> <text>Vent systems, flues, and chimneys.</text> </paragraph> </paragraph> <paragraph num="B."> <text>A home inspector shall describe:</text> <paragraph num="(1)"> <text>Fireplaces and solid fuel burning appliances; and</text> </paragraph> <paragraph num="(2)"> <text>Chimneys.</text> </paragraph> </paragraph> <paragraph num="C."> <text>A home inspector is not required to:</text> <paragraph num="(1)"> <text>Inspect any of the following:</text> <paragraph num="(a)"> <text>Interiors of flues or chimneys:</text> </paragraph> <paragraph num="(b)"> <text>Fire Screens and doors;</text> </paragraph> <paragraph num="(c)"> <text>Seals and gaskets;</text> </paragraph> <paragraph num="(d)"> <text>Automatic fuel feed devices;</text> </paragraph> <paragraph num="(e)"> <text>Mantels and fireplace surrounds;</text> </paragraph> <paragraph num="(f)"> <text>Combustion make-up air devices;</text> </paragraph> <paragraph num="(g)"> <text>Gravity-controlled and fan-assisted heat distribution assists; or</text> </paragraph> <paragraph num="(h)"> <text>Detached chimneys or solid fuel or gas burning appliances;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Ignite or extinguish fires;</text> </paragraph> <paragraph num="(3)"> <text>Determine draft characteristics; or</text> </paragraph> <paragraph num="(4)"> <text>Move fireplace inserts or stove or firebox contents.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-208(a) 16-216(2), and 16-701.1(a)(3) and (7), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 11, 2008 (35:3 Md. R. 289)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B amended effective March 17, 2014 (41:5 Md. R. 343)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02D amended effective August 19, 2024 (51:16 Md. R. 742)</annotation> <annotation type="History" subtype="Administrative History">Regulation .07A, B amended effective March 17, 2014 (41:5 Md. R. 343)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08C, D amended effective March 17, 2014 (41:5 Md. R. 343)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective December 22, 2025 (52:25 Md. R. 1268)</annotation> </annotations> </chapter> <chapter num="08" heading="Continuing Professional Competency"> <regulation prefix="Regulation" num=".01" heading="Citation of Regulations, Applicability, and Purpose."> <paragraph num="A."> <text>These regulations may be cited and referred to as the “Home Inspector Continuing Professional Competency Regulations”. The continuing professional requirements apply to all persons licensed under Business Occupations and Professions Article, Annotated Code of Maryland, to provide home inspection services in this State.</text> </paragraph> <paragraph num="B."> <text>The public interest requires that home inspectors provide competent home inspection services to the public. The General Assembly has determined that it is in the public interest to require home inspectors to comply with the continuing professional competency requirements as a prerequisite to the renewal of a license.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Basic Requirement."> <paragraph num="A."> <text>A renewal applicant shall complete at least 30 hours of qualifying continuing professional competency for each 2-year registration term.</text> </paragraph> <paragraph num="B."> <text>Effective October 1, 2024, in accordance with §A of this regulation, a licensed home inspector applying for license renewal shall successfully complete during the preceding 2-year license cycle a minimum of:</text> <paragraph num="(1)"> <text>2 hours of education related to home inspection report writing in accordance with Regulation .03F(1) of this chapter; and</text> </paragraph> <paragraph num="(2)"> <text>2 hours of education related to the minimum standards of practice in accordance with COMAR 09.36.07 and Regulation .03F(3) of this chapter.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Acquisition of Continuing Professional Competency.</text> <paragraph num="(1)"> <text>The continuing professional competency required by §A of this regulation shall have been obtained during the 24 months immediately preceding license renewal.</text> </paragraph> <paragraph num="(2)"> <text>Continuing professional competency hours required by §A of this regulation obtained prior to the immediately preceding license term may not be considered toward an applicant’s eligibility for license renewal.</text> </paragraph> <paragraph num="(3)"> <text>Continuing professional competency hours earned in excess of the 30 hours for a 2-year license term may not be credited towards the continuing professional competency requirement for a subsequent 2-year license term.</text> </paragraph> <paragraph num="(4)"> <text>Not more than 8 hours of continuing professional competency education required by §A of this regulation in a particular subject matter area set forth in Regulation .03F of this chapter may be credited toward an applicant’s eligibility for license renewal.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Up to 30 percent of the total continuing professional competency hours required by §A of this regulation may be obtained in other than a classroom setting.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Programs Which Qualify."> <paragraph num="A."> <text>The overriding consideration in determining whether a specific program qualifies is that it shall be a formal program of learning which contributes directly to the professional competence of the individual.</text> </paragraph> <paragraph num="B."> <text>Group Continuing Professional Competency Programs.</text> <paragraph num="(1)"> <text>Group continuing professional competency programs will qualify only if §A of this regulation is met and:</text> <paragraph num="(a)"> <text>An outline is prepared in advance and preserved for review by the Commission, if required;</text> </paragraph> <paragraph num="(b)"> <text>The program is at least 1 hour (50-minute instruction period) in length;</text> </paragraph> <paragraph num="(c)"> <text>The program is conducted by a qualified instructor;</text> </paragraph> <paragraph num="(d)"> <text>A record of attendance is preserved; and</text> </paragraph> <paragraph num="(e)"> <text>The sponsor agrees to admit a member of the Commission on request to monitor the program.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>These programs include:</text> <paragraph num="(a)"> <text>Professional development programs of recognized national home inspection organizations;</text> </paragraph> <paragraph num="(b)"> <text>Technical sessions at meetings of recognized national home inspection organizations;</text> </paragraph> <paragraph num="(c)"> <text>Noncredit short courses at universities and colleges;</text> </paragraph> <paragraph num="(d)"> <text>Formal, organized, in-firm education programs as approved by the Commission; and</text> </paragraph> <paragraph num="(e)"> <text>Programs offered by other recognized professional or industrial organizations.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>University and college courses taken for academic credit will qualify only if §A of this regulation is met. Credit towards the continuing professional competency requirement will be calculated at 15 hours for each semester hour credit and 10 hours for each quarter hour credit.</text> </paragraph> <paragraph num="D."> <text>Other Programs. A program other than a group program will qualify only if:</text> <paragraph num="(1)"> <text>The program meets the requirements of §A of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>An outline is prepared in advance and preserved for review by the Commission, if required;</text> </paragraph> <paragraph num="(3)"> <text>The program is at least 1 hour (50-minute instruction period) in length; and</text> </paragraph> <paragraph num="(4)"> <text>The program provides evidence of satisfactory completion.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Teacher, Lecturer, or Discussion Leader.</text> <paragraph num="(1)"> <text>Services as a teacher, lecturer, or discussion leader in subjects qualifying for continuing professional competency credit will be included to the extent that it contributes to the applicant’s professional competence. Repetitious presentation, that is, those that are substantially the same subject material, may be included only once each reporting period.</text> </paragraph> <paragraph num="(2)"> <text>A teacher, lecturer, or discussion leader of a qualifying continuing professional competency program shall receive:</text> <paragraph num="(a)"> <text>3 hours of continuing professional competency credit for every hour of presentation for a first-time presentation of a program; and</text> </paragraph> <paragraph num="(b)"> <text>1 hour of continuing professional competency credit for every hour of presentation for all subsequent presentations of a program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Subject Matter. The following general subject matter areas are acceptable to the extent that they contribute directly to the expertise of home inspector or the provision of home inspection services:</text> <paragraph num="(1)"> <text>Home inspection report writing;</text> </paragraph> <paragraph num="(2)"> <text>Home Inspector Code of Ethics;</text> </paragraph> <paragraph num="(3)"> <text>Home Inspector Standards of Practice;</text> </paragraph> <paragraph num="(4)"> <text>Structural systems;</text> </paragraph> <paragraph num="(5)"> <text>Exterior systems;</text> </paragraph> <paragraph num="(6)"> <text>Roofing systems;</text> </paragraph> <paragraph num="(7)"> <text>Plumbing systems;</text> </paragraph> <paragraph num="(8)"> <text>Electrical systems;</text> </paragraph> <paragraph num="(9)"> <text>Air conditioning systems;</text> </paragraph> <paragraph num="(10)"> <text>Insulation and ventilation systems;</text> </paragraph> <paragraph num="(11)"> <text>Fireplace and solid burning systems;</text> </paragraph> <paragraph num="(12)"> <text>Heating systems;</text> </paragraph> <paragraph num="(13)"> <text>Environmental hazards; and</text> </paragraph> <paragraph num="(14)"> <text>Others, if the applicant can demonstrate a direct relationship between the course and the provision of home inspection services.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Documentation. The following minimum information concerning each continuing professional competency course shall be maintained by the renewal applicant for 5 years from the date of renewal:</text> <paragraph num="(1)"> <text>Sponsoring organization;</text> </paragraph> <paragraph num="(2)"> <text>Course location;</text> </paragraph> <paragraph num="(3)"> <text>Program title;</text> </paragraph> <paragraph num="(4)"> <text>Topical course outline;</text> </paragraph> <paragraph num="(5)"> <text>Content description;</text> </paragraph> <paragraph num="(6)"> <text>Dates attended;</text> </paragraph> <paragraph num="(7)"> <text>Hours claimed; and</text> </paragraph> <paragraph num="(8)"> <text>Information reflecting the expertise of the instructor in the subject matter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Controls and Reporting."> <paragraph num="A."> <text>A renewal applicant shall provide a certification of compliance with renewal requirements, under Business Occupations and Professions Article, §16-3A-07, Annotated Code of Maryland, under penalty of perjury, in an appropriate form specified by the Commission.</text> </paragraph> <paragraph num="B."> <text>The Commission, at its discretion, may verify the information and documentation supporting a renewal applicant’s certification of continuing professional competency credit. Upon request, the renewal applicant shall submit to the Commission, or its designee, copies of the original documentation supporting the certification provided under §A of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Exceptions."> <text>The Commission may issue a registration to a renewal applicant who has not fully complied with the continuing professional competency requirements in cases when failure by the applicant to fulfill this requirement has been caused by reason of any of the following:</text> <paragraph num="A."> <text>Health as certified by a medical doctor;</text> </paragraph> <paragraph num="B."> <text>Military service on extended active duty with the armed forces of the United States; or</text> </paragraph> <paragraph num="C."> <text>Other good and valid causes, as determined and approved by the Commission.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-216 and 16-3A-07(e), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: July 22, 2013 (40:14 Md. R. 1174)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective March 31, 2025 (52:6 Md. R. 267)</annotation> </annotations> </chapter> </subtitle> <subtitle num="37" heading="Workforce Development and Adult Learning"> <chapter num="01" heading="Alternate Ways to Earn a High School Diploma"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Applicant” means the individual who is seeking to earn a high school diploma by examination.</text> </paragraph> <paragraph num="(2)"> <text>“Candidate” means an individual who is deemed eligible to take, scheduled to sit for, or has taken the high school equivalency test.</text> </paragraph> <paragraph num="(3)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(4)"> <text>“GED Option Program” means a program administered by the State Department of Education that creates a pathway to a high school diploma by examination for currently enrolled high school English language learner students under the age of 21 years who have experienced interrupted education and have a lower level of English proficiency than their peers.</text> </paragraph> <paragraph num="(5)"> <text>“High school equivalency test” means an examination program authorized by the Department and the Maryland State Board of Education as a method for earning a high school diploma.</text> </paragraph> <paragraph num="(6)"> <text>“Module” means a single subject area being measured by the Test.</text> </paragraph> <paragraph num="(7)"> <text>“Online Proctored” means the administration format for the Test whereby candidates can access and complete the Test from a virtual location that meets the criteria and is delivered online and is continually monitored by a trained staff member of the Testing Service.</text> </paragraph> <paragraph num="(8)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> <paragraph num="(9)"> <text>“State Board” means the Maryland State Board of Education.</text> </paragraph> <paragraph num="(10)"> <text>“Test” means the instrument given by a high school equivalency test program for the purpose of earning a Maryland High School Diploma.</text> </paragraph> <paragraph num="(11)"> <text>“Testing Service” means a contractor awarded to provide a high school equivalency test.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="High School by Examination Program Description."> <paragraph num="A."> <text>The High School by Examination program offers an alternate and acceptable way for an individual who has not received a high school diploma is eligible pursuant to Regulation .04 of this chapter to earn a Maryland High School Diploma.</text> </paragraph> <paragraph num="B."> <text>Candidates who successfully complete a Test are awarded a Maryland High School Diploma by the State Board and the Department.</text> </paragraph> <paragraph num="C."> <text>A successful candidate may not be awarded any other Maryland High School Diploma either by the State Board, the Department, or by a local school system.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="The High School by Examination Tests — Scope and Content."> <paragraph num="A."> <text>The Test will measure the major subject area skills required of a high school education as determined by a testing service.</text> </paragraph> <paragraph num="B."> <text>The Test will be offered in modules of each of the major subject areas and each module may be scheduled separately.</text> </paragraph> <paragraph num="C."> <text>The Test is given:</text> <paragraph num="(1)"> <text>On a computer at an approved test center; or</text> </paragraph> <paragraph num="(2)"> <text>Online as permitted by the Department.</text> </paragraph> </paragraph> <paragraph num="D."> <text>The State Board shall review and approve the State agreement with the Department and a testing service issuing the Test.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Applicant Eligibility."> <text>An applicant is eligible to take the Test if the applicant:</text> <paragraph num="A."> <text>Resides in the State of Maryland at the time of testing;</text> </paragraph> <paragraph num="B."> <text>Is not subject to compulsory school attendance set by Education Article, §7-301, Annotated Code of Maryland; and</text> </paragraph> <paragraph num="C."> <text>Either:</text> <paragraph num="(1)"> <text>Meets both of the following requirements:</text> <paragraph num="(a)"> <text>Has not obtained a Maryland High School Diploma, or a high school certificate or, diploma or equivalency issued by another state or non-U.S. or correspondence school; and</text> </paragraph> <paragraph num="(b)"> <text>Has been officially withdrawn from a regular full-time public or private school; or</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Has obtained a Maryland High School Certificate of Program Completion in accordance with COMAR 13A.03.02.09E; or</text> </paragraph> <paragraph num="(3)"> <text>Is enrolled in a GED Option Program.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Scheduling of Testing."> <paragraph num="A."> <text>Various test centers shall be operated throughout Maryland and online.</text> </paragraph> <paragraph num="B."> <text>Scheduling of the Test shall be done by the applicant via the internet. A link to the Test application, schedule, and other pertinent information shall be posted on the Department's website.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Requirements for Applying to Take the Test."> <paragraph num="A."> <text>An applicant shall be required to demonstrate identity, age, and residency by providing one of the following at the time of testing:</text> <paragraph num="(1)"> <text>A current official Maryland driver's license or current official Maryland learner's permit;</text> </paragraph> <paragraph num="(2)"> <text>A current official Maryland identification (ID) card issued by the Motor Vehicle Administration;</text> </paragraph> <paragraph num="(3)"> <text>A current official photo ID issued to an incarcerated individual, with name, current address, date of birth, and signature, by the Department of Juvenile Services, the Department of Public Safety and Correctional Services, or other residential facility accepted by the Adult Education Director or the Director’s designee;</text> </paragraph> <paragraph num="(4)"> <text>A current official photo ID issued to an individual under supervision by the Department of Juvenile Services, with name, current address, date of birth, signature, and current residential address issued by the Department of Juvenile Services accepted by the Adult Education Director or the Director’s designee;</text> </paragraph> <paragraph num="(5)"> <text>A current active duty military ID card for in person testing;</text> </paragraph> <paragraph num="(6)"> <text>A valid passport and additional documentation that demonstrates residency in Maryland; or</text> </paragraph> <paragraph num="(7)"> <text>GED Option candidates may use a current school photo ID issued to an individual, with name, current address, date of birth, and signature approved by the Adult Education Director or the Director’s designee.</text> </paragraph> </paragraph> <paragraph num="B."> <text>If none of the forms of identification and residency identified in §A of this regulation are attainable, prior to scheduling a Test, the applicant may apply to the Secretary for a waiver in accordance with the procedures set out in Regulation .18 of this chapter. The applicant shall provide to the Department one or more forms of identification which collectively show name, address, date of birth, signature, and photograph. If the Secretary or the Secretary’s designee is satisfied that the documentation of identification is authentic and valid, and the individual meets age and residency requirements, the Secretary may issue a waiver. The applicant shall present the documentation submitted to the Secretary in support of the waiver to the test center.</text> </paragraph> <paragraph num="C."> <text>In addition to the documentation required in §A or B of this regulation, the applicant shall:</text> <paragraph num="(1)"> <text>Provide the applicant's signature verifying his or her identity and residency in Maryland at the time of testing;</text> </paragraph> <paragraph num="(2)"> <text>Remit the appropriate fee along with the completed application at the time of registration; and</text> </paragraph> <paragraph num="(3)"> <text>For an applicant younger than 18 years of age, present to the Department prior to the scheduling of a Test:</text> <paragraph num="(a)"> <text>Written verification of school withdrawal from an official of the last regular full-time public or private school attended;</text> </paragraph> <paragraph num="(b)"> <text>Verification of home schooling pursuant to COMAR 13A.10.01 from an official of the:</text> <paragraph num="(i)"> <text>Supervising public or private school system; or</text> </paragraph> <paragraph num="(ii)"> <text>School or institution offering an educational program operated by a bona fide church organization; or</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>A Maryland High School Certificate of Program Completion.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Fee Schedule."> <paragraph num="A."> <text>The Department shall establish a reasonable fee schedule for the scheduling of tests, issuance of diplomas and transcripts, and related costs associated with the administration of the Test Program.</text> </paragraph> <paragraph num="B."> <text>Only duplicate copies of official transcripts and diplomas may be issued with remittance of fee.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Admission to the Test Center."> <paragraph num="A."> <text>Confirmation of test date and location shall be transmitted electronically to candidates before the assigned test date.</text> </paragraph> <paragraph num="B."> <text>To be admitted to the test center, each candidate shall present documentation verifying identity, age, and Maryland residency as described in Regulation .06A of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Minimum Score Requirements for Award of Maryland High School Diploma."> <paragraph num="A."> <text>To qualify for a Maryland High School Diploma by examination, a candidate shall earn the minimum passing score for each test module and the overall passing score for the entire battery of the Test established by the testing service.</text> </paragraph> <paragraph num="B."> <text>Once a candidate receives a passing score on an individual module, that score remains valid towards the achievement of a Maryland High School Diploma until a new series of tests has been issued by the testing service.</text> </paragraph> <paragraph num="C."> <text>In the event that a new series of tests has been issued, the Secretary may determine how and for how long passing scores on the previous series can be applied to the achievement of a Maryland High School Diploma.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Requirements for Retesting."> <paragraph num="A."> <text>Candidates who have failed one or more modules of the Test and candidates who fail to report to the Test on the assigned date may register for a retest/reschedule and may be charged the applicable testing fee.</text> </paragraph> <paragraph num="B."> <text>Candidates who are retested shall be administered a different form of the Test from that previously administered.</text> </paragraph> <paragraph num="C."> <text>A candidate seeking to retest shall register as proscribed in Regulation .05 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Permanent Record Changes."> <paragraph num="A."> <text>Changes may not be made to a candidate’s record after the diploma has been awarded unless the changes are a result of an error on behalf of the testing service or the Department or a legally verifiable name change.</text> </paragraph> <paragraph num="B."> <text>The Adult Education Director or the Director’s designee shall make changes when the Department is known to be in error.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Retention of Scores."> <text>All scores shall be retained in perpetuity by the Department</text> </regulation> <regulation prefix="Regulation" num=".13" heading="Language Options for Test."> <paragraph num="A."> <text>Each module of the Test, may be taken in a selected language as available from the Testing Service.</text> </paragraph> <paragraph num="B."> <text>If a candidate chooses to take a module in a selected language, the entire module must be taken in the same language.</text> </paragraph> <paragraph num="C."> <text>Separate modules may be taken in different languages if available from the Testing Service.</text> </paragraph> <paragraph num="D."> <text>A candidate who obtains passing scores on the selected language tests and who obtains the required overall passing score, shall be awarded a Maryland High School Diploma.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".14" heading="Accommodations for Individuals with Disabilities."> <paragraph num="A."> <text>Accommodations for candidates with disabilities shall be made available. Individuals who request testing accommodations shall provide appropriate documentation of their disability and the need for the requested testing accommodations, prior to scheduling.</text> </paragraph> <paragraph num="B."> <text>An individualized assessment of each request for testing accommodations shall be made based on the documentation provided and in accordance with the documentation policies of the Testing Service.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".15" heading="Tests Taken Out of State."> <text>Candidates who have passed a Test module outside of Maryland may transfer those results for credit towards a Maryland High School Diploma if that Test module is a current, valid, approved exam within Maryland, and the Applicant has not previously been issued a high school diploma or credential.</text> </regulation> <regulation prefix="Regulation" num=".16" heading="Testing for Individuals Whose High School Records Are Unobtainable."> <paragraph num="A."> <text>An applicant, high school graduate, or nongraduate whose records are unobtainable may take the Test and be awarded a diploma without verification of school withdrawal required in Regulation .06C(3) of this chapter by:</text> <paragraph num="(1)"> <text>Making a written request to the Adult Education Director; and</text> </paragraph> <paragraph num="(2)"> <text>Providing evidence that shows attempts made to obtain official verification.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Based on the facts and extenuating circumstances of each case, the Adult Education Director or the Director’s designee has discretion to grant or deny requests to take the Test without official verification of school withdrawal.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".17" heading="Test Security."> <paragraph num="A."> <text>To protect the security of the tests, the integrity of the testing procedure, and the validity of test scores, the Adult Education Director or the Director’s designee has authority to request from the Testing Service the invalidation and revocation of test scores and to require the candidate to retest.</text> </paragraph> <paragraph num="B."> <text>Misrepresentation of information on the Test application form may result in the revocation of the diploma.</text> </paragraph> <paragraph num="C."> <text>Any violation of testing and test center policy may result in ejection from the test and test center and may result in a revocation of test scores and the Maryland High School Diploma.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".18" heading="Waivers."> <paragraph num="A."> <text>Waivers to the requirements of Regulations .06(A) and .07 of this chapter are granted only by the Secretary or the Secretary’s designee in exceptional circumstances if it is in the candidate's best interest and in accordance with testing standards.</text> </paragraph> <paragraph num="B."> <text>If the candidate is a student with a disability who receives special education and related services from a public or nonpublic program, the candidate must request a waiver of withdrawal from the Secretary prior to registration which requires that:</text> <paragraph num="(1)"> <text>The waiver application to the Secretary or the Secretary’s designee shall include a copy of the student's current individualized education program indicating:</text> <paragraph num="(a)"> <text>That preparation for and taking of the Test is part of the student's transition plan pursuant to COMAR 13A.05.01.09A(3); and</text> </paragraph> <paragraph num="(b)"> <text>Any accommodations that the student may need for the Test;</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If it is necessary for the student to continue to attend school after the date of the filing of the waiver request in order to receive a free appropriate public education, the request shall indicate:</text> <paragraph num="(a)"> <text>That the student will withdraw from school before the testing date; and</text> </paragraph> <paragraph num="(b)"> <text>The date upon which the student will withdraw from school;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>The request shall be appended with a release that:</text> <paragraph num="(a)"> <text>States that the parent has approved the waiver request and understands that receipt of a Maryland High School Diploma will conclude the student's eligibility for special education and related services;</text> </paragraph> <paragraph num="(b)"> <text>Is signed by the student's parent; and</text> </paragraph> <paragraph num="(c)"> <text>Is on a form approved by the Department; and</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Upon receipt of notice from the Department that the candidate has failed to pass the Test, the local school system shall convene an individualized education program team meeting pursuant to COMAR 13A.05.01.07—.08 to plan for:</text> <paragraph num="(a)"> <text>The student's resumption of special education and related services within 90 days of the Test date; and</text> </paragraph> <paragraph num="(b)"> <text>Compensatory services for the period in which the student was withdrawn from school, as appropriate.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>The decision of the Secretary or the Secretary’s designee on a waiver request is final.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".19" heading="Diplomas."> <paragraph num="A."> <text>A Maryland High School Diploma shall be awarded to all candidates who successfully complete the Test. Diplomas shall be awarded within a reasonable time period by the Department or its designee.</text> </paragraph> <paragraph num="B."> <text>The diplomas shall be awarded by the State Board and the Department and shall bear the signatures of the Board President and the Secretary.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".20" heading="Maryland Adult External High School Program."> <paragraph num="A."> <text>Program Description.</text> <paragraph num="(1)"> <text>The Maryland Adult External High School Program is designed to recognize demonstrated competence in adults, regardless of whether the skill was acquired in a formal school setting.</text> </paragraph> <paragraph num="(2)"> <text>Competencies areas addressed by the assessment are established by the National External Diploma Program.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Procedures for Administering the Maryland Adult External High School Program and the Issuance of a Diploma.</text> <paragraph num="(1)"> <text>The Maryland Adult External High School Program is administered under a license agreement with the National External Diploma Program (NEDP) by the Maryland Department of Labor in consultation with the State Board.</text> </paragraph> <paragraph num="(2)"> <text>Local grantees receiving Department funding to implement the Maryland Adult External High School Program shall operate the program according to NEDP standards and requirements in addition to provisions identified in annual requests for proposals and requirements determined by the Department.</text> </paragraph> <paragraph num="(3)"> <text>Requirements for the program are described in manuals available at the Maryland Department of Labor, 1100 North Eutaw Street, Baltimore, Maryland 21201. These manuals describe all diagnostic and assessment instruments, administrative procedures, evaluation criteria, eligibility of applicants, and requirements for a diploma.</text> </paragraph> <paragraph num="(4)"> <text>Residents of Maryland 18 years old or older who are not currently enrolled in a high school, who are not high school graduates, and who pass a screening test are eligible to register for the program.</text> </paragraph> <paragraph num="(5)"> <text>A registration fee shall be charged of each individual at the time of entering the program. If a student leaves the program before completion and subsequently elects to register at a later time, a new registration fee may be charged.</text> </paragraph> <paragraph num="(6)"> <text>The required assessment instruments shall comply with the most current standards and materials of the NEDP program to assure that they are valid.</text> </paragraph> <paragraph num="(7)"> <text>A Maryland high school diploma shall be awarded to each graduate upon certification by the External Diploma Regional Center Director that the program requirements have been satisfactorily met. Diplomas shall be awarded monthly. The diplomas shall be awarded by the State Board and the Department and shall bear the signatures of the Board President and the Secretary.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§11-807 and 11-808, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 14, 2010 (37:1 Md. R. 14)</annotation> <annotation type="History" subtype="Administrative History">Regulation .04A, C amended effective November 28, 2011 (38:24 Md. R. 1501)</annotation> <annotation type="History" subtype="Administrative History">Regulation .06 amended effective November 28, 2011 (38:24 Md. R. 1501)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective November 28, 2011 (38:24 Md. R. 1501)</annotation> <annotation type="History" subtype="Administrative History">Regulation .11A amended effective November 28, 2011 (38:24 Md. R. 1501)</annotation> <annotation type="History" subtype="Administrative History">Regulation .17A, C amended effective November 28, 2011 (38:24 Md. R. 1501)</annotation> <annotation type="History" subtype="Administrative History">Regulation .18 amended effective November 28, 2011 (38:24 Md. R. 1501)</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.20 amended effective April 28, 2014 (41:8 Md. R. 470)</annotation> <annotation type="History" subtype="Administrative History">Chapter revised effective July 21, 2025 (52:14 Md. R. 712)</annotation> </annotations> </chapter> <chapter num="02" heading="Correctional Institutions Mandatory Educational and Workforce Skills Training Program"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Case Management” means the Department of Public Safety and Correctional Services employees responsible for oversight of the Correctional Education mandatory educational program and workforce skills training program.</text> </paragraph> <paragraph num="(2)"> <text>“Correctional Education” means the Maryland Department of Labor employees responsible for administering the correctional education and workforce skills training programs at correctional institutions.</text> </paragraph> <paragraph num="(3)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(4)"> <text>“GED®” means testing offered as an alternate and acceptable way for an individual older than the age requirement for compulsory school attendance to earn a Maryland high school diploma.</text> </paragraph> <paragraph num="(5)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Purpose."> <text>The purpose of this regulation is to implement a mandatory educational and workforce skills training program in each of the correctional institutions in the Department of Public Safety and Correctional Services (DPSCS) to meet the needs of the inmates.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Exemption From Participation."> <text>An inmate is not required to participate in a mandatory educational and workforce skills training program if the inmate has a medical, developmental, or learning disability, which justifies an exemption, verified by:</text> <paragraph num="A."> <text>An Individualized Education Program (IEP) pursuant to the Individuals with Disabilities in Education Act (IDEA); or</text> </paragraph> <paragraph num="B."> <text>Other competent medical or educational documentation acceptable to the Secretary or his designee.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Required Participation."> <text>An inmate is required to participate in a mandatory educational and workforce skills training program if the inmate:</text> <paragraph num="A."> <text>Does not possess a verified high school diploma or a GED® diploma;</text> </paragraph> <paragraph num="B."> <text>Was received by the DPSCS after July 1, 1987;</text> </paragraph> <paragraph num="C."> <text>Has 18 months or more remaining to be served on the inmate’s sentence before a mandatory supervision release date; and</text> </paragraph> <paragraph num="D."> <text>Is not exempted due to a medical, developmental, or learning disability under Regulation .03 of this chapter.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Program Participation."> <paragraph num="A."> <text>If an inmate meets the participation requirements of Regulation .04 of this chapter, Case Management shall refer the inmate to the mandatory educational and workforce skills training program.</text> </paragraph> <paragraph num="B."> <text>If Case Management determines that the individual should pursue an educational program:</text> <paragraph num="(1)"> <text>The inmate shall be assessed by Correctional Education with the Test of Adult Basic Education (TABE) or comparable educational assessment and placed into Beginning Literacy, Adult Basic Education, or Adult Secondary Educational Program, as appropriate, pursuant to the inmate’s personalized education plan;</text> </paragraph> <paragraph num="(2)"> <text>The inmate shall actively participate in a mandatory educational program for not less than 240 days, with the educational standard being the attainment of a high school diploma.</text> </paragraph> <paragraph num="(3)"> <text>An inmate may continue in the education program beyond 240 days at Case Management’s discretion.</text> </paragraph> <paragraph num="(4)"> <text>Time of participation shall be calculated as follows:</text> <paragraph num="(a)"> <text>Days shall mean calendar days, with the calculation beginning on the first day the inmate is assigned to attend class by Case Management, counting continuously until 240 days are complete;</text> </paragraph> <paragraph num="(b)"> <text>The calculation may be suspended at the discretion of Case Management due to the inmate’s illness, removal, reassignment, or transfer to another institution and shall continue from where it was suspended upon an inmate’s return to an educational program, unless Case Management deems such calculation to be inappropriate;</text> </paragraph> <paragraph num="(c)"> <text>The 240 days requirement for mandatory education shall be waived if the inmate acquires a high school diploma before the expiration of 240 days.</text> </paragraph> <paragraph num="(d)"> <text>The 240 days requirement for mandatory education shall apply to inmates who meet the participation requirements of Regulation .04 of this chapter and who have not completed the mandatory education requirement prior to October 1, 2021.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>The inmate shall comply with Correctional Education and Case Management rules of attendance and conduct.</text> </paragraph> <paragraph num="(6)"> <text>Infractions of the rules or DPSCS disciplinary action for conduct outside the educational program may result in Case Management removing the inmate from the educational program for:</text> <paragraph num="(a)"> <text>Refusal to submit to TABE or educational assessment;</text> </paragraph> <paragraph num="(b)"> <text>Refusal to attend scheduled educational program classes;</text> </paragraph> <paragraph num="(c)"> <text>Lack of demonstrated academic progress;</text> </paragraph> <paragraph num="(d)"> <text>Inappropriate behavior; or</text> </paragraph> <paragraph num="(e)"> <text>Conviction of violating an institutional rule.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>An inmate who is 21 years of age or younger shall have priority status for placement.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If Case Management determines that the inmate should pursue a workforce skills training program in lieu of an educational program:</text> <paragraph num="(1)"> <text>The inmate shall be assessed by Correctional Education and, in consultation with Case Management, be placed into an appropriate workforce skills training program;</text> </paragraph> <paragraph num="(2)"> <text>The inmate shall actively participate in a workforce skills training program until the inmate is able to demonstrate proficiency in the subject skill as determined by Correctional Education and Case Management.</text> </paragraph> <paragraph num="(3)"> <text>The inmate may participate in additional workforce skills training programs at Case Management’s discretion.</text> </paragraph> <paragraph num="(4)"> <text>The inmate shall comply with Correctional Education and Case Management rules of attendance and conduct.</text> </paragraph> <paragraph num="(5)"> <text>Infractions of these rules or DPSCS disciplinary action for conduct outside the workforce program may result in Case Management removing the inmate from the workforce program for:</text> <paragraph num="(a)"> <text>Refusal to submit to assessment;</text> </paragraph> <paragraph num="(b)"> <text>Refusal to attend scheduled training;</text> </paragraph> <paragraph num="(c)"> <text>Lack of demonstrated progress;</text> </paragraph> <paragraph num="(d)"> <text>Inappropriate behavior; or</text> </paragraph> <paragraph num="(e)"> <text>Conviction of violating an institutional rule.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Removal from the Mandatory Educational and Workforce Skills Training Program."> <paragraph num="A."> <text>If an inmate is removed from a mandatory educational program or a workforce skills training program for an infraction of Regulation .05C of this chapter, the inmate may:</text> <paragraph num="(1)"> <text>Be charged with a Category II rule violation;</text> </paragraph> <paragraph num="(2)"> <text>Lose all good time credits and all special project credits;</text> </paragraph> <paragraph num="(3)"> <text>Have all visits suspended indefinitely; and</text> </paragraph> <paragraph num="(4)"> <text>Be placed on unassigned status and not be assigned to any other job or program assignment, waiting list or job bank.</text> </paragraph> </paragraph> <paragraph num="B."> <text>An inmate may be returned to an educational program by Case Management after removal for an infraction of Regulation .05 of this chapter if the inmate:</text> <paragraph num="(1)"> <text>Agrees to submit to TABE or educational assessment;</text> </paragraph> <paragraph num="(2)"> <text>Agrees to attend scheduled educational program classes;</text> </paragraph> <paragraph num="(3)"> <text>Demonstrates academic progress;</text> </paragraph> <paragraph num="(4)"> <text>Agrees to refrain from inappropriate behavior; and</text> </paragraph> <paragraph num="(5)"> <text>Agrees to refrain from violating institutional rules.</text> </paragraph> </paragraph> <paragraph num="C."> <text>An inmate may be returned to a workforce program after removal for an infraction of Regulation .05 of this chapter if Case Management deems it appropriate.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Reporting Requirement."> <text>The DPSCS shall report to the Parole Commission the progress of an inmate upon completion of or removal from the mandatory educational and workforce skills training program.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Inmate under an IEP."> <text>Notwithstanding the provisions of this chapter, an inmate 21 years of age or younger with an Individualized Education Program (IEP) pursuant to the Individuals with Disabilities in Education Act (IDEA) must be provided educational services pursuant to the IEP upon admission to a correctional institution and for the duration required under the IEP. DPSCS shall promptly notify Case Management of an inmate’s IEP status.</text> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§11-902(b) and 11-903, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: November 25, 2013 (40:23 Md. R. 1934)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05B amended effective October 4, 2021 (48:20 Md. R. 851)</annotation> </annotations> </chapter> <chapter num="03" heading="Grant Programs for the Public Safety Apprenticeship Program and the Apprenticeship Career Training Pilot Program for Formerly Incarcerated Individuals"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>These regulations prescribe the policies, procedures, and authorizations for administering the Public Safety Apprenticeship Program and the Apprenticeship Career Training Pilot Program for Formerly Incarcerated Individuals.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Act” means Labor and Employment Article, §§11-603 and 11-604, Annotated Code of Maryland, as amended.</text> </paragraph> <paragraph num="(2)"> <text>“Council” means the Maryland Apprenticeship and Training Council.</text> </paragraph> <paragraph num="(3)"> <text>“Department” means the Department of Labor.</text> </paragraph> <paragraph num="(4)"> <text>“Division” means the Division of Workforce Development and Adult Learning.</text> </paragraph> <paragraph num="(5)"> <text>“Grantee” means an employer to whom an award is made under the terms of this chapter.</text> </paragraph> <paragraph num="(6)"> <text>“Program” means the grant programs for the Public Safety Apprenticeship Program and the Apprenticeship Career Training Pilot Program for Formerly Incarcerated Individuals.</text> </paragraph> <paragraph num="(7)"> <text>“Public safety agency” has the meaning set forth in Labor and Employment Article, §11-603(a)(4), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(8)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Application and Review Procedures."> <paragraph num="A."> <text>Grant Application.</text> <paragraph num="(1)"> <text>An applicant may apply for a grant under the Act as set forth in this regulation.</text> </paragraph> <paragraph num="(2)"> <text>An applicant shall apply to the Department on an application prescribed by the Department.</text> </paragraph> <paragraph num="(3)"> <text>An applicant shall submit documentation that the Department requires to establish the eligibility of the applicant and apprentice.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Review Procedures.</text> <paragraph num="(1)"> <text>Upon receipt of the grant application and any required documentation, the Department shall review each application to determine whether an applicant will be awarded a grant.</text> </paragraph> <paragraph num="(2)"> <text>The Secretary may delegate to the Assistant Secretary of the Division or an employee of the Department the authority to review grant applications and supporting documentation.</text> </paragraph> <paragraph num="(3)"> <text>If a grant application is rejected, the Department shall notify the applicant in writing within 60 days of receipt of the grant application.</text> </paragraph> <paragraph num="(4)"> <text>The notice of grant rejection shall state the reason the grant was rejected.</text> </paragraph> <paragraph num="(5)"> <text>An applicant may request reconsideration within 15 days of the date of the notice of grant rejection by filing a request in writing with the Assistant Secretary of the Division.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Grant Monitoring."> <text>The Department may monitor grants and disbursement of grant funds to ensure that grant funds are properly disbursed.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Retention of Grant Records."> <paragraph num="A."> <text>Grantees shall retain and maintain all records regarding the application for at least 3 years after the final disbursement of grnt funds.</text> </paragraph> <paragraph num="B."> <text>The records shall be open to the inspections of representatives of the Department during reasonable working hours.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Application Records."> <text>The Department shall ensure that Program guidelines, information and application forms are publicly available on the Department’s website and at its offices.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Waiver."> <text>The Secretary may waive or modify a particular provision of this chapter to the extent that the waiver is not inconsistent with the Act if, in the determination of the Secretary, the application of a regulation in a specific case is inequitable or contrary to the purposes of the Act.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Amount of Public Safety Apprenticeship Program Grant."> <paragraph num="A."> <text>The maximum amount that a Public Safety Agency may be awarded for a Start Up grant may not exceed $200,000.</text> </paragraph> <paragraph num="B."> <text>The maximum amount that a Public Safety Agency may be awarded for a Stabilization grant may not exceed $5,000 per registered apprentice.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Amount of Apprenticeship Career Training Pilot Program Grant for Formerly Incarcerated Individuals."> <paragraph num="A."> <text>The maximum amount that a grantee may be awarded during a fiscal year may not exceed $25,000.</text> </paragraph> <paragraph num="B."> <text>Grants may not exceed $1,000 per apprentice employed by a grantee.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§11-603 and 11-604, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: April 19, 2021 (48:8 Md. R. 309)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 amended effective March 30, 2026 (53:6 Md. R. 289)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02B amended effective March 30, 2026 (53:6 Md. R. 289)</annotation> <annotation type="History" subtype="Administrative History">Regulation .08 amended effective March 30, 2026 (53:6 Md. R. 289)</annotation> </annotations> </chapter> <chapter num="04" heading="Tax Credit for Eligible Apprentices"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Comptroller” means the Comptroller of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Credit Allowed."> <text>Subject to the limitations set forth in Tax-General Article, §10-742(c), Annotated Code of Maryland, a taxpayer may claim a credit against the State income tax in an amount equal to the amount stated in the tax credit certificate issued by the Department.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Application and Application Process."> <paragraph num="A."> <text>Application. An applicant shall submit:</text> <paragraph num="(1)"> <text>A completed application to the Department on the form designated by the Department; and</text> </paragraph> <paragraph num="(2)"> <text>Supporting documentation required by the Department.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Department shall:</text> <paragraph num="(1)"> <text>Approve applications during the application period;</text> </paragraph> <paragraph num="(2)"> <text>Approve the application if the:</text> <paragraph num="(a)"> <text>Application is complete; and</text> </paragraph> <paragraph num="(b)"> <text>Applicant is determined to be eligible;</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Disapprove the application if the:</text> <paragraph num="(a)"> <text>Application is incomplete;</text> </paragraph> <paragraph num="(b)"> <text>Applicant fails to provide sufficient information or documentation to determine eligibility;</text> </paragraph> <paragraph num="(c)"> <text>Applicant provides the appropriate documentation but is determined ineligible; or</text> </paragraph> <paragraph num="(d)"> <text>The funds available for that tax year are expended; and</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Provide the applicant with written notice of the final disposition of the application within 45 calendar days.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Income Tax Credits."> <text>On approval of an application, the Department shall issue an income tax credit certificate.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Claiming the Credit."> <paragraph num="A."> <text>A taxpayer allowed the credit shall claim the credit against the State income tax in the year in which the apprentice is registered as set forth in Tax-General Article, §10-742(a)(3), Annotated Code of Maryland.</text> </paragraph> <paragraph num="B."> <text>A taxpayer allowed the credit shall claim the credit against the State income tax in the form and manner required by the Comptroller.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Carryover of Excess Credit."> <text>If the credit allowed to the taxpayer in any taxable year exceeds the total of tax otherwise payable for that taxable year, the business entity may apply the excess as a credit for succeeding taxable years until the full amount of the excess credit is used.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Monitoring."> <text>The Department may request additional documentation to monitor continuing eligibility.</text> </regulation> <regulation prefix="Regulation" num=".08" heading="Expiration of the Credits."> <paragraph num="A."> <text>This chapter remains in effect until the earlier of:</text> <paragraph num="(1)"> <text>The date that funding for income tax credits ceases to be available; or</text> </paragraph> <paragraph num="(2)"> <text>June 30, 2025.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Department shall issue final income tax credits based on available funds.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Tax-General Article, §10-742, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: October 31, 2022 (49:22 Md. R. 979)</annotation> </annotations> </chapter> <chapter num="05" heading="Maryland New Start Grant Program"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>These regulations prescribe the policies, procedures, and authorizations for administering the Maryland New Start Grant Program.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Act” means Labor and Employment Article, §11-606, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Department” means the Department of Labor.</text> </paragraph> <paragraph num="(3)"> <text>“Division” means the Division of Workforce Development and Adult Learning.</text> </paragraph> <paragraph num="(4)"> <text>“Grant” means an award under the terms of this chapter.</text> </paragraph> <paragraph num="(5)"> <text>“Grantee” means an organization to whom an award is made under the terms of this chapter.</text> </paragraph> <paragraph num="(6)"> <text>“Program” means the Maryland New Start Grant Program.</text> </paragraph> <paragraph num="(7)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Eligible Grantees."> <text>Eligible grantees shall meet the following requirements to qualify for a grant:</text> <paragraph num="A."> <text>Have all requisite legal capacity and due authority to enter into the grant;</text> </paragraph> <paragraph num="B."> <text>Satisfy all legal requirements to operate in the State; and</text> </paragraph> <paragraph num="C."> <text>Meet the performance standards of the Department, as follows:</text> <paragraph num="(1)"> <text>Not have defaulted on a prior grant or loan from the Department; and</text> </paragraph> <paragraph num="(2)"> <text>Not be currently barred or suspended from any of the Department's programs.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Proposal and Review Procedures."> <paragraph num="A."> <text>The Department shall ensure that the Program guidelines, information and application forms are publicly available on the Department’s website and at its physical locations.</text> </paragraph> <paragraph num="B."> <text>Grant Proposal. The Department shall provide guidelines and detailed instructions for submitting a proposal for the Department’s consideration. Each proposal shall include:</text> <paragraph num="(1)"> <text>The information required by Labor and Employment Article, §11-606(d)(2)(iii), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(2)"> <text>A description of the entrepreneurship development program as described in Labor and Employment Article, §11-606(d)(3), Annotated Code of Maryland;</text> </paragraph> <paragraph num="(3)"> <text>An explanation of how the requirement of matching funds required by Labor and Employment Article, §11-606(e), Annotated Code of Maryland, will be satisfied; and</text> </paragraph> <paragraph num="(4)"> <text>Any other information the Secretary requires related to the Program.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Review Procedures.</text> <paragraph num="(1)"> <text>Upon receipt of the grant proposal and any required documentation, the Department shall review each application to determine whether an applicant will be awarded a grant.</text> </paragraph> <paragraph num="(2)"> <text>The Secretary may delegate to the Assistant Secretary of the Division or an employee of the Department the authority to review grant proposals and supporting documentation.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Grant Agreement."> <text>Upon approval of a grant proposal by the Department, the applicant, on a Departmental form, shall execute a grant agreement. The grant agreement shall at least require an applicant to meet the following obligations:</text> <paragraph num="A."> <text>Establish and operate the project according to the project description;</text> </paragraph> <paragraph num="B."> <text>Maintain and provide records and reports as required by Labor and Employment Article, §11-606(g), Annotated Code of Maryland, to the Department; and</text> </paragraph> <paragraph num="C."> <text>Use grant funds for only those activities provided in the approved project proposal.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Grant Monitoring."> <text>The Department may monitor grants and disbursement of grant funds to ensure that grant funds are properly disbursed by a grantee.</text> </regulation> <regulation prefix="Regulation" num=".07" heading="Retention of Grant Records."> <paragraph num="A."> <text>Grantees shall retain and maintain all records regarding the application for at least 3 years after the final disbursement of grant funds.</text> </paragraph> <paragraph num="B."> <text>The records shall be open to the inspections of representatives of the Department during reasonable working hours.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Expiration of the Program."> <text>This chapter remains in effect until the earlier of:</text> <paragraph num="A."> <text>The date that funding for the Program ceases to be available; or</text> </paragraph> <paragraph num="B."> <text>June 30, 2029.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §11-606, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: May 15, 2023 (50:9 Md. R. 378)</annotation> </annotations> </chapter> </subtitle> <subtitle num="38" heading="State Board of Individual Tax Preparers"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="The Board."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> <paragraph num="(1)"> <text>“Board” means the State Board of Individual Tax Preparers.</text> </paragraph> <paragraph num="(2)"> <text>“Client” means a person for whom an individual tax preparer performs individual tax preparation services.</text> </paragraph> <paragraph num="(3)"> <text>“Examination” means the Maryland Registered Tax Preparer Examination given by the Board.</text> </paragraph> </paragraph> <paragraph num="B."> <text>The Board shall hold an annual meeting in July of each year or at such other time as the members of the Board may vote upon, for the purpose of electing officers. Monthly meetings may be held on dates mutually convenient to the members of the Board. Special meetings shall be held, after reasonable notice, at the call of the Chairperson or any two Board members. Notice of all meetings and hearings shall be published in the Maryland Register.</text> </paragraph> <paragraph num="C."> <text>The Chairperson shall preside at all meetings and shall perform such duties as the Board may direct. At any meeting at which the Chairperson is absent, the Vice-Chairperson shall act in the Chairperson’s place.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="The Examination."> <paragraph num="A."> <text>The passing score for the Examination is 70 percent.</text> </paragraph> <paragraph num="B."> <text>After December 31, 2015, an individual shall pass the Examination given by the Board in order to qualify for a registration unless the individual meets the requirements of §D of this regulation.</text> </paragraph> <paragraph num="C."> <text>An individual who has passed the Registered Tax Return Preparer Examination given by the Internal Revenue Service from November 1, 2011, through January 18, 2013, shall be considered to have passed an examination equivalent to that given by the Board.</text> </paragraph> <paragraph num="D."> <text>Waiver of Examination. The Board shall grant a waiver of the examination requirement to any individual who:</text> <paragraph num="(1)"> <text>Submits an application on the form the Board provides;</text> </paragraph> <paragraph num="(2)"> <text>Pays the registration fee set by the Board;</text> </paragraph> <paragraph num="(3)"> <text>Has obtained 15 consecutive years of individual tax preparation experience;</text> </paragraph> <paragraph num="(4)"> <text>Has completed 8 hours of annual continuing education; and</text> </paragraph> <paragraph num="(5)"> <text>Is in good standing with:</text> <paragraph num="(a)"> <text>The Internal Revenue Service;</text> </paragraph> <paragraph num="(b)"> <text>The Maryland Department of Labor;</text> </paragraph> <paragraph num="(c)"> <text>The Office of the Comptroller; and</text> </paragraph> <paragraph num="(d)"> <text>The Office of the Attorney General.</text> </paragraph> </paragraph> </paragraph> <paragraph num="E."> <text>Qualifying Experience.</text> <paragraph num="(1)"> <text>In order to meet the requirements of §D(3) of this regulation, an applicant shall have completed:</text> <paragraph num="(a)"> <text>An average of 50 individual tax returns per year; and</text> </paragraph> <paragraph num="(b)"> <text>No fewer than 25 individual tax returns per year.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Both paid and unpaid individual tax preparation services may qualify under this section.</text> </paragraph> <paragraph num="(3)"> <text>Documentation. An applicant may document the experience required under this section through any of the following:</text> <paragraph num="(a)"> <text>Employer certification;</text> </paragraph> <paragraph num="(b)"> <text>Client certification; or</text> </paragraph> <paragraph num="(c)"> <text>Copies of completed individual tax returns.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Continuing Education. Qualifying continuing education programs shall comply with the requirements set forth in COMAR .09.38.02.03.</text> </paragraph> <paragraph num="G."> <text>Reporting and Controls.</text> <paragraph num="(1)"> <text>An applicant for waiver of the examination shall certify under penalty of perjury that the applicant meets the requirements set forth in §D of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The Board at its discretion may verify the information and documentation supporting an application for waiver of examination.</text> </paragraph> <paragraph num="(3)"> <text>An applicant shall comply with a request by the Board for additional documentation in support of an application for waiver of examination.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Federal Registration — Repealed." /> <regulation prefix="Regulation" num=".04" heading="Fees."> <text>Fees charged by the Board are as follows:</text> <paragraph num="A."> <text>Registration fee — $100;</text> </paragraph> <paragraph num="B."> <text>Renewal fee — $100;</text> </paragraph> <paragraph num="C."> <text>Reinstatement of expired registration fee — $120.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Code of Professional Conduct."> <paragraph num="A."> <text>Responsibilities and Practices.</text> <paragraph num="(1)"> <text>An individual tax preparer may not commit any act that reflects adversely on the individual tax preparer’s fitness to provide individual tax preparation services.</text> </paragraph> <paragraph num="(2)"> <text>An individual tax preparer may not permit others to perform acts on the individual tax preparer’s behalf, either with or without compensation, which, if performed by the individual tax preparer, would constitute a violation of the Code of Professional Conduct.</text> </paragraph> <paragraph num="(3)"> <text>An individual tax preparer may not knowingly misrepresent facts while providing individual tax preparation services. An individual tax preparer may resolve doubt in favor of a client if there is reasonable support for the position.</text> </paragraph> <paragraph num="(4)"> <text>An individual tax preparer who finds that a client has made an error or omitted information or related material required on an income tax return shall promptly advise the client of such error or omission.</text> </paragraph> <paragraph num="(5)"> <text>An individual tax preparer may not permit a client's individual income tax refund check to be made payable to the individual preparer.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Client records.</text> <paragraph num="(1)"> <text>An individual tax preparer shall provide, make available, or return to a client or former client, upon written request and within a reasonable time:</text> <paragraph num="(a)"> <text>A copy of the client’s tax return;</text> </paragraph> <paragraph num="(b)"> <text>Personal papers or source material in the manner furnished by the client; and</text> </paragraph> <paragraph num="(c)"> <text>A copy of any depreciation schedule associated with a client’s tax return.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An individual tax preparer may charge a fee in connection with the requirements of §B(1) of this regulation.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Contingent Fees. An individual tax preparer may not provide individual tax preparation services under an arrangement where the fee is contingent upon the findings or result of the services rendered.</text> </paragraph> <paragraph num="D."> <text>Conflict of Interest.</text> <paragraph num="(1)"> <text>An individual tax preparer shall notify a client or potential client of any conflict of interest known to the individual tax preparer.</text> </paragraph> <paragraph num="(2)"> <text>An individual tax preparer with a conflicting interest to a client may not represent the client without the client's express written consent.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Communications with the Board.</text> <paragraph num="(1)"> <text>Failure to Respond.</text> <paragraph num="(a)"> <text>If an applicant or individual tax preparer receives from the Board a written communication requesting a response, the applicant or individual tax preparer shall respond in writing within 30 days of the date of mailing.</text> </paragraph> <paragraph num="(b)"> <text>The Board shall send a written communication by first-class mail to the last address furnished to the Board by the applicant or individual tax preparer.</text> </paragraph> <paragraph num="(c)"> <text>Failure to respond as required by this subsection may be considered by the Board to be a violation of Business Occupations and Professions Article, §21-311(a)(5), Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>An applicant or individual tax preparer shall notify the Board in writing within 15 days after any change in the applicant’s or individual tax preparer’s:</text> <paragraph num="(a)"> <text>Business address;</text> </paragraph> <paragraph num="(b)"> <text>Home address;</text> </paragraph> <paragraph num="(c)"> <text>Business telephone number;</text> </paragraph> <paragraph num="(d)"> <text>Home telephone number; or</text> </paragraph> <paragraph num="(e)"> <text>E-mail address.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Competence and Technical Standards.</text> <paragraph num="(1)"> <text>An individual tax preparer shall provide individual tax preparation services in accordance with applicable professional standards.</text> </paragraph> <paragraph num="(2)"> <text>An individual tax preparer may not provide individual tax preparation services to a client if the individual tax preparer cannot reasonably expect to perform the services in accordance with applicable professional standards.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Advertising and Solicitation.</text> <paragraph num="(1)"> <text>An individual tax preparer may not solicit clients by the use of coercion, duress, compulsion, intimidation, threats, overreaching, or vexatious or harassing conduct.</text> </paragraph> <paragraph num="(2)"> <text>An individual tax preparer may not use or participate in the use of any form of communication having reference to the individual tax preparer’s services that contains a false, fraudulent, misleading, deceptive, or unfair statement or claim.</text> </paragraph> <paragraph num="(3)"> <text>A false, fraudulent, misleading, deceptive, or unfair statement or claim includes but is not limited to a statement or claim which:</text> <paragraph num="(a)"> <text>Contains a misrepresentation of fact;</text> </paragraph> <paragraph num="(b)"> <text>Is likely to mislead or deceive because it fails to make full disclosure of relevant facts;</text> </paragraph> <paragraph num="(c)"> <text>Is intended or likely to create false or unjustified expectations of favorable results;</text> </paragraph> <paragraph num="(d)"> <text>Implies educational or professional attainments or other recognition not supported in fact;</text> </paragraph> <paragraph num="(e)"> <text>Represents that professional services can or will be competently performed for a stated fee when this is not the case, or makes representations with respect to fees for professional services that do not disclose all variables that reasonably may be expected to affect the fees that will in fact be charged; or</text> </paragraph> <paragraph num="(f)"> <text>Contains other representations or implications that in reasonable probability will cause those of ordinary prudence to misunderstand or be deceived.</text> </paragraph> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§21-101, 21-203, 21-205, 21-207, and 21-301—21-304,Annotated Code of Maryland; Ch. 623, §6, Acts of 2008</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulations .01—.04 adopted as an emergency provision effective February 25, 2011 (38:7 Md. R. 428); adopted permanently effective August 8, 2011 (38:16 Md. R. 944)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01A amended effective March 5, 2012 (39:4 Md. R. 336); November 23, 2015 (42:23 Md. R. 1433)</annotation> <annotation type="History" subtype="Administrative History">Regulation .02 amended effective March 5, 2012 (39:4 Md. R. 336); November 23, 2015 (42:23 Md. R. 1433)</annotation> <annotation type="History" subtype="Administrative History">Regulation .03 repealed effective November 23, 2015 (42:23 Md. R. 1433)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective March 5, 2012 (39:4 Md. R. 336)</annotation> <annotation type="History" subtype="Administrative History">Regulation .05E amended effective January 28, 2019 (46:2 Md. R. 52)</annotation> </annotations> </chapter> <chapter num="02" heading="Continuing Education"> <regulation prefix="Regulation" num=".01" heading="Citation of Regulations, Applicability, and Purpose."> <paragraph num="A."> <text>These regulations may be cited and referred to as the “Individual Tax Preparers Continuing Education Regulations”. The continuing education requirement applies to all persons registered under Business Occupations and Professions Article, Annotated Code of Maryland, to provide individual tax preparation services in this State.</text> </paragraph> <paragraph num="B."> <text>The public interest requires that individual tax preparers provide competent service to the public. The General Assembly has determined that it is in the public interest to require individual tax preparers to comply with the continuing education requirements as a prerequisite to the renewal of a registration.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Basic Requirement."> <paragraph num="A."> <text>A renewal applicant shall complete at least 16 hours of qualifying continuing education for each 2-year registration term.</text> </paragraph> <paragraph num="B."> <text>A minimum of 4 hours of the continuing education for each 2-year registration term shall be in Maryland tax-related subjects.</text> </paragraph> <paragraph num="C."> <text>The Board may accept continuing education hours approved by the Internal Revenue Service.</text> </paragraph> <paragraph num="D."> <text>Continuing education hours earned in excess of the 16 hours for a 2-year registration term shall not be credited towards the continuing education requirement for a subsequent 2-year registration term.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Programs Which Qualify."> <paragraph num="A."> <text>The overriding consideration in determining whether a specific program qualifies is that it shall be a formal program of learning which contributes directly to the professional competence of the individual.</text> </paragraph> <paragraph num="B."> <text>Group Continuing Education Programs.</text> <paragraph num="(1)"> <text>Group continuing education programs will qualify only if §A of this regulation is met and:</text> <paragraph num="(a)"> <text>An outline is prepared in advance and preserved for review by the Board, if required;</text> </paragraph> <paragraph num="(b)"> <text>The program is at least 1 hour (50-minute instruction period) in length;</text> </paragraph> <paragraph num="(c)"> <text>The program is conducted by a qualified instructor;</text> </paragraph> <paragraph num="(d)"> <text>A record of attendance is preserved; and</text> </paragraph> <paragraph num="(e)"> <text>The sponsor agrees to admit a member of the Board on request to monitor the program.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>These programs include:</text> <paragraph num="(a)"> <text>Professional development programs of recognized national and state tax preparation organizations;</text> </paragraph> <paragraph num="(b)"> <text>Technical sessions at meetings of recognized national and state tax preparation organizations;</text> </paragraph> <paragraph num="(c)"> <text>Noncredit short courses at universities and colleges;</text> </paragraph> <paragraph num="(d)"> <text>Formal, organized, in-firm education programs; and</text> </paragraph> <paragraph num="(e)"> <text>Programs offered by other recognized professional or industrial organizations.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>University and college courses taken for academic credit will qualify only if §A of this regulation is met. Credit towards the continuing education requirement will be calculated at 15 hours for each semester hour credit and 10 hours for each quarter hour credit.</text> </paragraph> <paragraph num="D."> <text>Other Programs. A program other than a group program will qualify only if:</text> <paragraph num="(1)"> <text>The program meets the requirements of §A of this regulation;</text> </paragraph> <paragraph num="(2)"> <text>An outline is prepared in advance and preserved for review by the Board, if required;</text> </paragraph> <paragraph num="(3)"> <text>The program is at least 1 hour (50-minute instruction period) in length; and</text> </paragraph> <paragraph num="(4)"> <text>The program provides evidence of satisfactory completion.</text> </paragraph> </paragraph> <paragraph num="E."> <text>Teacher, Lecturer, or Discussion Leader.</text> <paragraph num="(1)"> <text>Services as a teacher, lecturer, or discussion leader in subjects qualifying for continuing education credit will be included to the extent that it contributes to the applicant’s professional competence. Repetitious presentation, that is, those that are substantially the same subject material, may be included only once each reporting period.</text> </paragraph> <paragraph num="(2)"> <text>A teacher, lecturer, or discussion leader of a qualifying continuing education program shall receive:</text> <paragraph num="(a)"> <text>3 hours of continuing education credit for every hour of presentation for a first-time presentation of a program; and</text> </paragraph> <paragraph num="(b)"> <text>1 hour of continuing education credit for every hour of presentation for all subsequent presentations of a program.</text> </paragraph> </paragraph> </paragraph> <paragraph num="F."> <text>Subject Matter. The following general subject matter areas are acceptable to the extent that they contribute directly to the expertise of individual income tax preparation:</text> <paragraph num="(1)"> <text>Taxation;</text> </paragraph> <paragraph num="(2)"> <text>Practitioner ethics;</text> </paragraph> <paragraph num="(3)"> <text>Accounting and payroll theory;</text> </paragraph> <paragraph num="(4)"> <text>Estate, tax, or investment planning;</text> </paragraph> <paragraph num="(5)"> <text>Computer technology; and</text> </paragraph> <paragraph num="(6)"> <text>Others, if the applicant can demonstrate a direct relationship between the course and individual income tax preparation.</text> </paragraph> </paragraph> <paragraph num="G."> <text>Documentation. The following minimum information concerning each continuing education course shall be maintained by the renewal applicant for 4 years from the date of renewal:</text> <paragraph num="(1)"> <text>Sponsoring organization;</text> </paragraph> <paragraph num="(2)"> <text>Course location;</text> </paragraph> <paragraph num="(3)"> <text>Program title;</text> </paragraph> <paragraph num="(4)"> <text>Topical course outline;</text> </paragraph> <paragraph num="(5)"> <text>Content description;</text> </paragraph> <paragraph num="(6)"> <text>Dates attended;</text> </paragraph> <paragraph num="(7)"> <text>Hours claimed; and</text> </paragraph> <paragraph num="(8)"> <text>Information reflecting the expertise of the instructor in the subject matter.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Controls and Reporting."> <paragraph num="A."> <text>A renewal applicant shall provide a certification of compliance with renewal requirements, under Business Occupations and Professions Article, §§21-308 and 21-309, Annotated Code of Maryland, under penalty of perjury, in an appropriate form specified by the Board.</text> </paragraph> <paragraph num="B."> <text>The Board, at its discretion, may verify the information and documentation supporting a renewal applicant’s certification of continuing education credit. Upon request, the renewal applicant shall submit to the Board, or its designee, copies of the original documentation supporting the certification provided under §A of this regulation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Exceptions."> <text>The Board may issue a registration to a renewal applicant who has not fully complied with the continuing education requirements in cases when failure by the applicant to fulfill this requirement has been caused by reason of any of the following:</text> <paragraph num="A."> <text>Health as certified by a medical doctor;</text> </paragraph> <paragraph num="B."> <text>Military service on extended active duty with the armed forces of the United States; or</text> </paragraph> <paragraph num="C."> <text>Other good and valid causes, as determined and approved by the Board.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§21-205, 21-308 and 21-309, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 5, 2012 (39:4 Md. R. 336</annotation> </annotations> </chapter> </subtitle> <subtitle num="39" heading="Commission of Real Estate Appraisers and Home Inspectors — Appraisal Management Companies"> <chapter num="01" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Schedule of Fees."> <text>Pursuant to Business Occupations and Professions Article, Title 16, Annotated Code of Maryland, the Commission shall set fees to produce funds to approximate the cost of maintaining the Commission. Fees charged by the Commission are as follows:</text> <paragraph num="A."> <text>Appraisal management company application review fee (nonrefundable) — $250;</text> </paragraph> <paragraph num="B."> <text>Original appraisal management company registration fee — $1,750; and</text> </paragraph> <paragraph num="C."> <text>Annual appraisal management company registration fee — $2,000.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-217, 16-5B-04, and 16-5B-18, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date:</annotation> <annotation type="History" subtype="Administrative History">Regulation .01 adopted as an emergency provision effective February 24, 2012 (39:6 Md. R. 406); adopted permanently effective May 28, 2012 (39:10 Md. R. 659)</annotation> <annotation type="History" subtype="Administrative History">Regulation .01B, C amended effective February 1, 2016 (42:26 Md. R. 1594)</annotation> </annotations> </chapter> <chapter num="02" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Correspondence with the Commission."> <paragraph num="A."> <text>If an applicant or licensee receives from the Commission a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Commission shall send a written communication by first-class mail to the last address furnished to the Commission by the applicant or registrant.</text> </paragraph> <paragraph num="C."> <text>It is the applicant’s or registrant’s responsibility to notify the Commission if there has been a change in the applicant’s or registrant’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Commission to be a violation of Business Occupations and Professions Article, §16-701.2(a)(5), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§16-216(2) and 16-701.2(a)(5), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: January 14, 2019 (46:1 Md. R. 12)</annotation> </annotations> </chapter> </subtitle> <subtitle num="40" heading="Locksmiths"> <chapter num="01" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Purpose."> <text>This chapter is intended to carry out the provisions of Business Regulation Article, §§12.5.-202, 12.5-209 and 12.5-210, Annotated Code of Maryland. In particular, it is intended to set various fees associated with licensing of locksmiths.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Schedule of Fees."> <text>Fees charged by the Secretary are as follows:</text> <paragraph num="A."> <text>Application Fee — $225;</text> </paragraph> <paragraph num="B."> <text>License Renewal Fee — $225; and</text> </paragraph> <paragraph num="C."> <text>Change of Name Fee — $ 50.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§12.5-104, 12.5-202, 12.5-209, and 12.5-210, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: June 25, 2012 (39:12 Md. R. 745)</annotation> </annotations> </chapter> <chapter num="02" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Failure to Respond."> <paragraph num="A."> <text>Except as otherwise provided in Business Regulation Article, §12.5-303, Annotated Code of Maryland, if an applicant or licensee receives from the Secretary or the Secretary’s designee a written communication requesting a response, the applicant or licensee shall respond in writing within 30 days of the date of the mailing.</text> </paragraph> <paragraph num="B."> <text>The Secretary or the Secretary’s designee shall send a written communication by first-class mail to the last business address furnished to the Secretary or the Secretary’s designee by the applicant or licensee.</text> </paragraph> <paragraph num="C."> <text>It is the responsibility of an applicant or licensee to notify the Secretary or the Secretary’s designee in writing if there has been a change in an applicant’s or licensee’s address.</text> </paragraph> <paragraph num="D."> <text>Failure to respond as required by this regulation may be considered by the Secretary or the Secretary’s designee to be a violation of Business Regulation Article, §12.5-211(a)(1)(xiii), Annotated Code of Maryland.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Regulation Article, §§12.5-104, 12.5-209(g), and 12.5-211(a)(1)(xiii), Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: December 31, 2018 (45:26 Md. R. 1241)</annotation> </annotations> </chapter> </subtitle> <subtitle num="41" heading="Oil and Gas Land Professionals"> <chapter num="01" heading="General Regulations"> <regulation prefix="Regulation" num=".01" heading="Registration Form."> <text>In accordance with the provisions of Business Occupations and Professions Article, §10.5-105, Annotated Code of Maryland, each applicant shall use the initial or renewal registration form, as appropriate, provided by the Department.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Name and Address Requirements."> <paragraph num="A."> <text>An applicant for registration as an Oil and Gas Land Professional may not provide a post office box number as a primary address.</text> </paragraph> <paragraph num="B."> <text>When a registered Oil and Gas Land Professional changes the registrant’s name or address, the registrant shall notify the Secretary in writing within 10 days of the change.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Disclosure of Professional Designation or Recognized Professional Credential."> <paragraph num="A."> <text>An applicant for registration as an Oil and Gas Land Professional shall disclose to the Department any professional designation or recognized professional credential held by the applicant if the applicant intends to advertise the credential in the exercise of the applicant’s activities as a registered Oil and Gas Land Professional.</text> </paragraph> <paragraph num="B."> <text>The Department may disclose the credential, along with any relevant information regarding the nature of the credential, to the public.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Registration Number and Certificate."> <text>The Department shall issue to each applicant who submits a completed application form and the required fee:</text> <paragraph num="(1)"> <text>A registration number; and</text> </paragraph> <paragraph num="(2)"> <text>A registration certificate valid for 2 years.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Notice of Renewal."> <text>The Department shall notify a registered Oil and Land Gas Professional at least 60 days prior to the expiration of the individual’s registration.</text> </regulation> <regulation prefix="Regulation" num=".06" heading="Renewal Certificate."> <text>The Department shall issue a 2-year registration renewal certificate to a registrant who submits a completed renewal application form and the required fee prior to the expiration of the registrant’s current registration.</text> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §10.5-105, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 3, 2014 (41:2 Md. R. 90)</annotation> </annotations> </chapter> <chapter num="02" heading="Fees"> <regulation prefix="Regulation" num=".01" heading="Application and Renewal Fees."> <text>Fees charged by the Secretary are as follows:</text> <paragraph num="A."> <text>Application Fee — $50</text> </paragraph> <paragraph num="B."> <text>Registration Renewal Fee — $50</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Business Occupations and Professions Article, §§10.5-105, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: February 3, 2014 (41:2 Md. R. 90)</annotation> </annotations> </chapter> </subtitle> <subtitle num="42" heading="Family and Medical Leave Insurance Program"> <chapter num="01" heading="General Provisions"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this subtitle, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Administration” means the Maryland Insurance Administration.</text> </paragraph> <paragraph num="(2)"> <text>“Adverse determination” means a disqualification of an individual or denial, in full or in part, of Family and Medical Leave Insurance (FAMLI) leave or benefits to a claimant made under the Division’s reconsideration process.</text> </paragraph> <paragraph num="(3)"> <text>“Anchor date” has the meaning as defined in Labor and Employment Article, §8.3-101(a-2), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(4)"> <text>“Application year” means the 12-month period beginning on the Sunday of the calendar week of which FAMLI leave begins.</text> </paragraph> <paragraph num="(5)"> <text>“Assistant Secretary” means the Assistant Secretary for the FAMLI Division established by COMAR 09.42.01.02.</text> </paragraph> <paragraph num="(6)"> <text>“Business day” means a day that the State is open for the transaction of business and begins at 12 a.m. and ends at 11:59.59 p.m.</text> </paragraph> <paragraph num="(7)"> <text>“Carrier” means an insurer authorized to sell insurance by the Administration.</text> </paragraph> <paragraph num="(8)"> <text>“Claim” means an application for FAMLI leave and benefits under Labor and Employment Article, §8.3-101 et seq., Annotated Code of Maryland.</text> </paragraph> <paragraph num="(9)"> <text>“Claimant” means an individual who applies for FAMLI leave and benefits under this subtitle.</text> </paragraph> <paragraph num="(10)"> <text>“Commercially insured EPIP” means an EPIP in which the employer purchases an insurance policy from an insurance company approved to sell paid FAMLI products by the Administration and the benefits related to the plan are administered through the insurance policy.</text> </paragraph> <paragraph num="(11)"> <text>“Continuing treatment” means any one or more of the following.</text> <paragraph num="(a)"> <text>Incapacity and treatment.</text> </paragraph> <paragraph num="(b)"> <text>Pregnancy or prenatal care. Any period of incapacity due to pregnancy, childbirth, miscarriage or stillbirth, or period of absence for prenatal care.</text> </paragraph> <paragraph num="(c)"> <text>Chronic conditions. Any period of incapacity or treatment for the incapacity due to a chronic serious health condition that:</text> <paragraph num="(i)"> <text>Requires periodic visits (defined as at least twice a year) for treatment ordered by a licensed health care provider;</text> </paragraph> <paragraph num="(ii)"> <text>Continues over an extended period of time (including recurring episodes of a single underlying condition); and</text> </paragraph> <paragraph num="(iii)"> <text>May cause episodic rather than a continuing period of incapacity (e.g., asthma, diabetes, epilepsy, etc.).</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Permanent or Long-Term Conditions. A period of incapacity which is permanent or long-term due to a condition that treatment may not be effective and requires continuing supervision, but need not be receiving active treatment by, a licensed health care provider.</text> </paragraph> <paragraph num="(e)"> <text>Conditions Requiring Multiple Treatments. Any period of absence to receive multiple treatments (including any period of recovery therefrom) ordered by a licensed health care provider, for:</text> <paragraph num="(i)"> <text>Restorative surgery after an accident or other injury; or</text> </paragraph> <paragraph num="(ii)"> <text>A condition that would likely result in a period of incapacity of more than 3 full, consecutive days in the absence of medical intervention or treatment.</text> </paragraph> </paragraph> <paragraph num="(f)"> <text>Absences attributable to incapacity under §B(11)(b) or (c) of this regulation qualify for FAMLI leave even though the claimant or the family member does not receive treatment from a licensed health care provider during the absence, and even if the absence does not last more than 3 full, consecutive days.</text> </paragraph> </paragraph> <paragraph num="(12)"> <text>“Contribution” means the payments made to the Division under Labor and Employment Article, §8.3-601 et seq., Annotated Code of Maryland and Chapter 2 of this subtitle.</text> </paragraph> <paragraph num="(13)"> <text>“Covered employee” means an employee who has worked at least 680 hours performing qualified employment located in the State over the four most recently completed calendar quarters for which quarterly reports have been required immediately preceding the anchor date.</text> </paragraph> <paragraph num="(14)"> <text>“Covered individual” means a covered employee.</text> </paragraph> <paragraph num="(15)"> <text>“Department” means the Maryland Department of Labor.</text> </paragraph> <paragraph num="(16)"> <text>“Deployment” has the meaning as defined in Labor and Employment Article, §8.3-101(g), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(17)"> <text>“Division” means the FAMLI Division established by COMAR 09.42.01.02.</text> </paragraph> <paragraph num="(18)"> <text>“Domestic partner” means the person with whom someone is in a domestic partnership.</text> </paragraph> <paragraph num="(19)"> <text>“Domestic partnership” means a relationship between two individuals who:</text> <paragraph num="(a)"> <text>Are at least 18 years old;</text> </paragraph> <paragraph num="(b)"> <text>Are not related to each other by blood or marriage within 4 degrees of consanguinity under civil law rule;</text> </paragraph> <paragraph num="(c)"> <text>Are not married or in a civil union or a relationship described in this subsection with another individual; and</text> </paragraph> <paragraph num="(d)"> <text>Agree to be in a relationship of mutual interdependence in which each individual contributes to the maintenance and support of the other individual and the relationship, even if both individuals are not required to contribute equally to the relationship.</text> </paragraph> </paragraph> <paragraph num="(20)"> <text>Employee.</text> <paragraph num="(a)"> <text>“Employee” means an individual who performs work for compensation.</text> </paragraph> <paragraph num="(b)"> <text>“Employee” does not mean an individual who meets the following requirements:</text> <paragraph num="(i)"> <text>The individual who performs the work is free from control and direction over its performance both in fact and under a contract;</text> </paragraph> <paragraph num="(ii)"> <text>The individual customarily is engaged in an independent business or occupation of the same nature as that involved in the work; and</text> </paragraph> <paragraph num="(iii)"> <text>The work is outside of the usual course of business of the person for whom the work is performed or it is performed outside of any place of business of the person for whom the work is performed.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(21)"> <text>Employer.</text> <paragraph num="(a)"> <text>“Employer” means a person or governmental entity that employs at least one individual who performs qualified employment.</text> </paragraph> <paragraph num="(b)"> <text>“Employer” does not mean:</text> <paragraph num="(i)"> <text>An individual who is the sole owner of a sole proprietorship, limited liability company, C Corporation or S Corporation; and</text> </paragraph> <paragraph num="(ii)"> <text>Is the only individual employed by the sole proprietorship, limited liability company, C corporation or S Corporation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(22)"> <text>“EPIP administrator” means:</text> <paragraph num="(a)"> <text>An employer self-administering an approved self-insured EPIP;</text> </paragraph> <paragraph num="(b)"> <text>A third-party administrator or payroll company acting on behalf of an employer to provide administration and oversight of an approved self-insured EPIP; or</text> </paragraph> <paragraph num="(c)"> <text>A carrier administering an approved commercially insured EPIP.</text> </paragraph> </paragraph> <paragraph num="(23)"> <text>“Equivalent-private insurance plan (EPIP)” means a Division approved commercially insured or self-insured insurance plan provided by an employer to employees that meets or exceeds the State plan, whether it is administered by the employer, a third-party administrator, or a carrier.</text> </paragraph> <paragraph num="(24)"> <text>“The Family and Medical Leave Act (FMLA)” means the Family and Medical Leave Act of 1993, 29 U.S.C. §§2601-2654.</text> </paragraph> <paragraph num="(25)"> <text>“Family leave” means leave used:</text> <paragraph num="(a)"> <text>To care for or bond with a child of the covered individual during the first year after the child’s birth;</text> </paragraph> <paragraph num="(b)"> <text>During the process through which a child is being placed with the covered individual through foster care, kinship care, or adoption and to care for or bond with the child during the first year after the placement;</text> </paragraph> <paragraph num="(c)"> <text>To care for a family member with a serious health condition; or</text> </paragraph> <paragraph num="(d)"> <text>To care for a service member with a serious health condition for whom the covered individual is next of kin.</text> </paragraph> </paragraph> <paragraph num="(26)"> <text>“Family member” means:</text> <paragraph num="(a)"> <text>A biological child, an adopted child, a foster child, or a stepchild of the covered individual;</text> </paragraph> <paragraph num="(b)"> <text>A child for whom the covered individual has legal or physical custody or guardianship;</text> </paragraph> <paragraph num="(c)"> <text>A child for whom the covered individual stands in loco parentis, regardless of the child’s age;</text> </paragraph> <paragraph num="(d)"> <text>A biological parent, an adoptive parent, a foster parent, or a stepparent of the covered individual or of the covered individual’s spouse;</text> </paragraph> <paragraph num="(e)"> <text>The legal guardian of the covered individual or the ward of the covered individual or of the covered individual’s spouse;</text> </paragraph> <paragraph num="(f)"> <text>An individual who acted as a parent or stood in loco parentis to the covered individual or the covered individual’s spouse when the covered individual or the covered individual’s spouse was a minor;</text> </paragraph> <paragraph num="(g)"> <text>The spouse of the covered individual;</text> </paragraph> <paragraph num="(h)"> <text>A domestic partner of the covered individual;</text> </paragraph> <paragraph num="(i)"> <text>A biological grandparent, an adopted grandparent, a foster grandparent, or a stepgrandparent of the covered individual;</text> </paragraph> <paragraph num="(j)"> <text>A biological grandchild, an adopted grandchild, a foster grandchild, or a stepgrandchild of the covered individual; or</text> </paragraph> <paragraph num="(k)"> <text>A biological sibling, an adopted sibling, a foster sibling, or a stepsibling of the covered individual.</text> </paragraph> </paragraph> <paragraph num="(27)"> <text>“FAMLI benefits” means the money payable under Labor and Employment Article, §8.3-101, et seq., Annotated Code of Maryland, and this subtitle.</text> </paragraph> <paragraph num="(28)"> <text>“FAMLI leave” means family leave, medical leave, and/or qualified exigency leave that a covered individual is entitled to under Labor and Employment Article, §8.3-101 et seq., Annotated Code of Maryland.</text> </paragraph> <paragraph num="(29)"> <text>“Incapacity” means the inability to perform at least one essential job function, attend school, or perform regular daily activities.</text> </paragraph> <paragraph num="(30)"> <text>Incapacity and Treatment.</text> <paragraph num="(a)"> <text>“Incapacity and treatment” means a period of incapacity of more than 3 full, consecutive days, and any subsequent treatment or period of incapacity relating to the same condition, that also involves:</text> <paragraph num="(i)"> <text>Treatment two or more times, within 30 days of the first day of incapacity, unless extenuating circumstances exist, by a licensed health care provider; or</text> </paragraph> <paragraph num="(ii)"> <text>Treatment ordered by a licensed health care provider on at least one occasion, which results in a regimen of continuing treatment, including home care administered by a competent individual under the direction of a licensed health care provider.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The requirement in §B(30)(a)(i) of this regulation for treatment by a licensed health care provider means an in-person visit or synchronous tele-health appointment with a licensed health care provider.</text> </paragraph> <paragraph num="(c)"> <text>The first (or only) in-person treatment visit or synchronous tele-health appointment shall take place within 7 days of the first day of incapacity.</text> </paragraph> <paragraph num="(d)"> <text>Whether additional treatment visits or a regimen of continuing treatment is necessary within the 30-day period shall be determined by the licensed health care provider.</text> </paragraph> <paragraph num="(e)"> <text>The term extenuating circumstances in §B(30)(a)(i) of this regulation means circumstances beyond the claimant’s control that prevent the follow-up visit from occurring as planned by the licensed health care provider.</text> </paragraph> </paragraph> <paragraph num="(31)"> <text>“Inpatient care” means an overnight stay in a hospital, as defined in Health General Article, §19-301, Annotated Code of Maryland, or related institution, as defined in Health General Article, §19-301, Annotated Code of Maryland, or a hospice facility, as defined in Health General Article, §19-901, Annotated Code of Maryland, or any subsequent treatment in connection with inpatient care.</text> </paragraph> <paragraph num="(32)"> <text>“Kinship care” means informal kinship care as stated in the Education Article, §4-122.1(a)(2), Annotated Code of Maryland and formal kinship care as stated in the Family Law Article, §5-501(e), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(33)"> <text>Licensed Health Care Provider.</text> <paragraph num="(a)"> <text>“Licensed health care provider” means a doctor of medicine or osteopathy who is authorized to practice medicine or surgery in a state and performing within the scope of their practice as defined under the state’s law.</text> </paragraph> <paragraph num="(b)"> <text>“Licensed health care provider” means a podiatrist, dentist, clinical psychologist, optometrist, or chiropractor (limited to treatment consisting of manual manipulation of the spine to correct a subluxation as demonstrated by X ray to exist) authorized to practice in a state and performing within the scope of their practice as defined under the state’s law.</text> </paragraph> <paragraph num="(c)"> <text>“Licensed health care provider” means a nurse practitioner, nurse midwife, clinical social worker, or physician assistant authorized to practice in a state and performing within the scope of their practice as defined under the state’s law.</text> </paragraph> <paragraph num="(d)"> <text>“Licensed health care provider” means any health care provider listed above who practices in a country other than the United States, who is authorized to practice in accordance with the law of that country, and who is performing within the scope of their practice as defined under such law.</text> </paragraph> <paragraph num="(e)"> <text>The phrase “authorized to practice in a state” as used in this section means that the provider must be authorized to diagnose and treat physical or mental health conditions.</text> </paragraph> </paragraph> <paragraph num="(34)"> <text>“Maximum weekly benefit amount” means the amount established under Labor and Employment Article, §8.3-703, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(35)"> <text>“Medical leave” means leave taken because the covered individual has a serious health condition that results in the covered individual being unable to perform the functions of the covered individual’s position.</text> </paragraph> <paragraph num="(36)"> <text>“Qualified employment” means the provision of services localized within the State under COMAR 09.42.02.04 by an employee to an employer.</text> </paragraph> <paragraph num="(37)"> <text>“Qualified exigency leave” means leave taken when a qualifying exigency as defined in Labor and Employment Article §8.3-101(m), Annotated Code of Maryland arises out of the deployment of a service member who is a family member of the covered individual.</text> </paragraph> <paragraph num="(38)"> <text>“Secretary” means the Secretary of Labor.</text> </paragraph> <paragraph num="(39)"> <text>“Self-insured EPIP” means an EPIP in which the employer offers a private plan for which the employer assumes all financial risk associated with the benefits and administration of the EPIP, whether it is administered by the employer or a third-party administrator.</text> </paragraph> <paragraph num="(40)"> <text>“Serious health condition” means an illness, injury, impairment, or physical or mental condition of a claimant or their family member that:</text> <paragraph num="(a)"> <text>Requires inpatient care;</text> </paragraph> <paragraph num="(b)"> <text>Requires continuing treatment by a licensed health care provider; or</text> </paragraph> <paragraph num="(c)"> <text>Involves the donation of a body part, organ, or tissue, including preoperative or diagnostic services, surgery, post-operative treatment, and recovery.</text> </paragraph> </paragraph> <paragraph num="(41)"> <text>“Service member’s next of kin” means the nearest blood relative other than the service member’s spouse, parent, son, or daughter, in the following order of priority: blood relatives who have been granted legal custody of the service member by court decree or statutory provisions, brothers and sisters, grandparents, aunts and uncles, and first cousins, unless the service member has specifically designated in writing another blood relative as their nearest blood relative for purposes of military caregiver leave under FMLA.</text> <paragraph num="(a)"> <text>When no such designation is made, and there are multiple family members with the same level of relationship to the service member, all such family members shall be considered the service member’s next of kin and may take FAMLI leave to provide care to the service member, either consecutively or simultaneously.</text> </paragraph> <paragraph num="(b)"> <text>When such designation has been made, the designated individual shall be deemed to be the service member’s only next of kin.</text> </paragraph> </paragraph> <paragraph num="(42)"> <text>“State plan” means the State-provided FAMLI plan including the fund from which benefits are paid.</text> </paragraph> <paragraph num="(43)"> <text>“Treatment” includes, with the exception of routine physical examinations, eye examinations, or dental examinations, examinations to determine if a serious health condition exists and evaluations of a serious health condition.</text> </paragraph> <paragraph num="(44)"> <text>“Wages” has the meaning as defined in Labor and Employment Article, §8.3-101(r), Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="General Regulations."> <paragraph num="A."> <text>There is a FAMLI Division within the Department.</text> </paragraph> <paragraph num="B."> <text>The FAMLI Division shall administer the FAMLI program.</text> </paragraph> <paragraph num="C."> <text>The Assistant Secretary has been delegated by the Secretary powers and duties reasonable and proper for the administration of Labor and Employment Article, §8.3-101, et seq., Annotated Code of Maryland and this subtitle.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Required Templates and Forms."> <paragraph num="A."> <text>The Division may mandate the use of approved templates and forms by EPIPs, employers, and claimants including:</text> <paragraph num="(1)"> <text>Employer notice to employee templates;</text> </paragraph> <paragraph num="(2)"> <text>Claims:</text> <paragraph num="(a)"> <text>Claim application form;</text> </paragraph> <paragraph num="(b)"> <text>Certification of qualifying event forms;</text> </paragraph> <paragraph num="(c)"> <text>Proof of relationship template;</text> </paragraph> <paragraph num="(d)"> <text>Good cause exemption form; and</text> </paragraph> <paragraph num="(e)"> <text>Intermittent leave use template; and</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Dispute Resolution:</text> <paragraph num="(a)"> <text>Request forms;</text> </paragraph> <paragraph num="(b)"> <text>Reconsideration scheduling template;</text> </paragraph> <paragraph num="(c)"> <text>Decision templates; and</text> </paragraph> <paragraph num="(d)"> <text>Good cause exemption form.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>The Division shall make mandated templates and forms available for download from its website.</text> </paragraph> <paragraph num="C."> <text>Any changes to the fields on the templates or forms mandated by the Division shall be provided to the Division no less than 30 days before the changed template or form would go into effect.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8.3-101, 401, 402 and 403, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 289)</annotation> </annotations> </chapter> <chapter num="02" heading="Contributions"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Small employer” means a person or governmental entity that meets the definition of employer and employs fewer than 15 employees, as calculated using the method under COMAR 09.42.02.06.</text> </paragraph> <paragraph num="(2)"> <text>“Social security wage base” means the maximum wage subject to tax under the Federal Insurance Contributions Act, 26 U.S.C. §3101, et seq. for any particular year, as published by the Social Security Administration.</text> </paragraph> <paragraph num="(3)"> <text>“Total rate of contribution” means the percent of wages published by the Department for any particular year, under the Division’s authority under Labor and Employment Article, §8.3-601, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="Employer Registration Requirements."> <text>An employer shall create and maintain an online account necessary to make required information reports, remit contribution payments, and both receive and communicate with the Division regarding reporting and contribution obligations under Labor and Employment Article, §8.3-101, et seq., Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".03" heading="Registration of New Employers After Contributions Begin."> <text>An employer who commences operations after contributions begin shall, within 20 days of their first payment of wages to a qualified employee, create and maintain an online account necessary to make required information reports, remit contribution payments, and both receive and provide any necessary communication with the Division regarding reporting and contribution obligations under Labor and Employment Article, §8.3-101, et seq., Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".04" heading="Qualified Employment."> <paragraph num="A."> <text>All wages paid by each employer to an employee for performing qualified employment are subject to contributions up to the amount of the social security wage base each calendar year.</text> </paragraph> <paragraph num="B."> <text>Employment is qualified employment if:</text> <paragraph num="(1)"> <text>The employment obligates the employer to pay contributions to the Unemployment Insurance Fund under Labor and Employment Article, §8-101, et seq., Annotated Code of Maryland; or</text> </paragraph> <paragraph num="(2)"> <text>The employment does not obligate the employer to pay unemployment insurance fund contributions to any jurisdiction but:</text> <paragraph num="(a)"> <text>The employment is performed in the State, including:</text> <paragraph num="(i)"> <text>Employment performed on land that the United States government holds or owns; and</text> </paragraph> <paragraph num="(ii)"> <text>Employment performed in interstate commerce; or</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>The employment is performed partly in this State and:</text> <paragraph num="(i)"> <text>The employment that is performed outside this State is incidental to the employment that is performed in this State, including employment that is temporary or transitory or that consists of isolated transactions; or</text> </paragraph> <paragraph num="(ii)"> <text>The employment that is performed in this State is not incidental to employment that is performed in any other state and the base of operations or the place from which the employment is controlled or directed is in this State or the employment is performed by an individual who is a resident of this State and is not performed in part in a state in which the employment is controlled or directed or in which the base of operations is located.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Employment is not qualified employment if the employment of an employee obligates the employer to pay unemployment insurance fund contributions to any jurisdiction other than this State for that employee and not this State.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Employer Contributions."> <paragraph num="A."> <text>Employers are responsible for remitting 100 percent of contributions due each quarter.</text> </paragraph> <paragraph num="B."> <text>Under Labor and Employment Article, §8.3-601, Annotated Code of Maryland, an employer may withhold from the pay of an employee an amount up to 50 percent of the total rate of contribution.</text> </paragraph> <paragraph num="C."> <text>An employer may elect to pay their employees’ contribution amounts required under §B of this regulation, in whole or in part, and shall notify employees of the election to pay employee contributions or not, in writing, using the Division’s template.</text> </paragraph> <paragraph num="D."> <text>An employer shall provide written notice to all of its employees of the commencement of contribution withholding and any changes to employee contributions at least 1 pay period prior to the commencement or change.</text> </paragraph> <paragraph num="E."> <text>Contribution payments to the Division will be applied in the following order, starting with the oldest quarter to the most recent past calendar quarter in which a balance is owed:</text> <paragraph num="(1)"> <text>Penalties;</text> </paragraph> <paragraph num="(2)"> <text>Interest; and</text> </paragraph> <paragraph num="(3)"> <text>Contributions.</text> </paragraph> </paragraph> <paragraph num="F."> <text>Contributions from an employer whose status is changed by cessation of business are due and shall be paid within 5 days of the cessation.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Employer Size."> <paragraph num="A."> <text>The number of employees shall be counted by using the total number of employees within and without the State to whom the employer paid any wages regardless of whether the employee is performing qualified employment.</text> </paragraph> <paragraph num="B."> <text>An annual determination of employer size shall be made by averaging the number of employees to whom the employer paid any wages each quarter for the previous calendar year.</text> </paragraph> <paragraph num="C."> <text>Until an employer has 4 quarters of reports and contributions in 1 calendar year, employer size shall be determined quarterly by counting the total number of employees to whom the employer paid any wages in that calendar quarter.</text> </paragraph> <paragraph num="D."> <text>The employer is only responsible for remitting 50 percent of the total rate of contribution if the employer size determined under §§A, B, and C of this regulation is below 15.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Failure to Deduct from Payroll."> <paragraph num="A."> <text>If an employer fails to make the proper deduction from an employee’s pay, that employer is considered to have elected to pay the employee’s portion for each pay period the employer fails to make the deduction.</text> </paragraph> <paragraph num="B."> <text>The employer is liable to pay the portion of the employee share and may not recoup the employee share attributable to a past pay cycle on future pay cycles.</text> </paragraph> <paragraph num="C."> <text>Notwithstanding §§A and B of this regulation, within the immediately following 6 pay cycles, an employer may recoup the employee share attributable to a past pay cycle if there are insufficient paycheck funds due to other required federal, state and local withholdings that take precedence.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Wage Reporting and Payment Schedule."> <paragraph num="A."> <text>An employer shall remit contributions for each employee every quarter equal to the total rate of contribution multiplied by the total wages up to the social security wage base paid to each employee performing qualified employment in the State. For payment of contributions, a fractional part of a cent that is less than one-half cent shall be disregarded. A fractional part of a cent that is one-half cent or more shall be increased to 1 cent.</text> </paragraph> <paragraph num="B."> <text>Quarterly informational wage and hour reports, which shall include the amount of wages and hours worked for each employee performing qualified employment in the immediately preceding quarter, shall be due on or before the quarterly contribution payment due date.</text> </paragraph> <paragraph num="C."> <text>If the employer wants to be considered for classification as a small employer, the informational report shall include the number of employees performing employment for the employer outside the State to whom wages were paid in the quarter.</text> </paragraph> <paragraph num="D."> <text>If the employer fails to provide a number of employees performing employment for the employer outside the State, the employer will be deemed to not be a small employer.</text> </paragraph> <paragraph num="E."> <text>Contributions are due and shall be paid on or before the last day of the month immediately following each calendar quarter. Payment will be considered timely if received on or before the due date. If the due date falls on a Saturday, Sunday, or legal holiday, payment will be considered timely if received on the next business day.</text> </paragraph> <paragraph num="F."> <text>Amendments by employers to quarterly wage and hour reports shall be submitted to the Division within 1 year of the initial due date.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Contribution and Wage Report Delinquencies."> <paragraph num="A."> <text>If an employer fails to pay the required contributions in the prescribed manner, the employer shall be given 30 days to cure any deficiencies and may be required to pay interest, in the amount of 1.5 percent per month or part of a month from the date on which it is due to the Division, on unpaid contributions.</text> </paragraph> <paragraph num="B."> <text>If contribution deficiencies are not cured, penalties under Labor and Employment Article, §8.3-903, Annotated Code of Maryland, may be imposed as follows:</text> <paragraph num="(1)"> <text>Assess the amount of contributions and interest, in the amount of 1.5 percent per month or part of a month from the date on which it is due to the Division;</text> </paragraph> <paragraph num="(2)"> <text>Make an additional assessment in an amount not to exceed two times the contributions delinquent to the Division, as a penalty for failure to pay the contributions due; and</text> </paragraph> <paragraph num="(3)"> <text>Order an audit of the employer for the immediately following fiscal year to investigate and determine compliance with Labor and Employment Article, §8.3-101, et seq., Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="C."> <text>If wage and hour report deficiencies are not cured the Division may:</text> <paragraph num="(1)"> <text>Use the information and knowledge available to the Division to estimate the wages paid by an employer during the contribution period or periods;</text> </paragraph> <paragraph num="(2)"> <text>The amount of wages so determined will be deemed to have been paid by the employer;</text> </paragraph> <paragraph num="(3)"> <text>Assess the employer for contributions calculated on the basis of the estimated wages;</text> </paragraph> <paragraph num="(4)"> <text>Issue a subpoena duces tecum to compel an employer to release books and records to the Division for use in obtaining the required information; and</text> </paragraph> <paragraph num="(5)"> <text>Order an audit of the employer for the immediately following fiscal year to investigate and determine compliance with Labor and Employment Article, §8.3-101, et seq., Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Contribution Overpayments."> <paragraph num="A."> <text>An employer may request from the Division reimbursement of overpayment of contributions no later than 1 year from the due date of the alleged overpayment.</text> </paragraph> <paragraph num="B."> <text>An employer who receives a reimbursement under §A of this regulation shall return employee contributions to the employees from whom they were withheld within 90 days of receipt of the reimbursement.</text> </paragraph> <paragraph num="C."> <text>If a former employee owed reimbursed contributions from their employer cannot be located via reasonable effort, including making use of all contact information the employer has on file, within 90 days as required under §B of this regulation, the employee’s contributions shall be remitted to the State for safekeeping.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8.3-101, 201, and 601, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 289)</annotation> </annotations> </chapter> <chapter num="03" heading="Equivalent Private Insurance Plans"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Declaration of intent (DOI)” means a legally binding, signed attestation from an employer documenting the employer’s intent and commitment to provide an approved EPIP with an effective date of January 1, 2028.</text> </paragraph> <paragraph num="(2)"> <text>“EPIP application” means an application submitted to the Division for approval of an EPIP in which the employer offers a private plan where the employer assumes all financial risk associated with the benefits and administration of the EPIP, whether it is administered by the employer or a third-party administrator.</text> </paragraph> <paragraph num="(3)"> <text>“Good cause” means an extraordinary circumstance which a person of ordinary business prudence and intelligence would consider reasonable cause for an extension.</text> </paragraph> <paragraph num="(4)"> <text>“Insurance producer” has the meaning as defined in Insurance Article, §1-101(u), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>“Seeding period” means the time during which contributions will accrue before benefits are available, January 1, 2027—December 31, 2027.</text> </paragraph> <paragraph num="(6)"> <text>“Utilization rate” means the anticipated number of approved claims in the State plan divided by the anticipated total number of workers in the State plan which shall be announced by the Division each November1 for the following calendar year based on the actuarial cost analysis performed in accordance with Labor and Employment Article, §8.3-601, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="General."> <paragraph num="A."> <text>Except as explicitly provided in this chapter, the State is subject to the same EPIP requirements as all employers.</text> </paragraph> <paragraph num="B."> <text>An employer shall participate in the State plan until the Division-approved effective date of an EPIP.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="EPIP Requirements."> <paragraph num="A."> <text>An EPIP shall cover all individuals employed by the employer who perform qualified employment.</text> </paragraph> <paragraph num="B."> <text>Benefits shall be paid to any employee who would be eligible for benefits under the State plan, had the employer chosen coverage under the State plan.</text> </paragraph> <paragraph num="C."> <text>All forms required to be completed by an employee or healthcare provider under an EPIP shall be forms prescribed by the Division in COMAR 09.42.01.03.</text> </paragraph> <paragraph num="D."> <text>An EPIP shall allow FAMLI benefits and leave to be taken for all purposes specified in the State plan.</text> </paragraph> <paragraph num="E."> <text>An EPIP shall allow a covered employee to take family leave or medical leave or qualified exigency leave in an application year for periods of time equal to or longer than the duration of leave provided under the State plan.</text> </paragraph> <paragraph num="F."> <text>An EPIP benefit calculation shall result in a weekly benefit that is equal to or greater than what the benefit would be if the employee received benefits from the State plan.</text> </paragraph> <paragraph num="G."> <text>If an employee has less than the requisite hours needed to make a benefit determination with their current employer, the current employer shall confirm the employee’s previously reported hours and benefit amount with the Division and shall account for the information from the Division to make the benefit determination.</text> </paragraph> <paragraph num="H."> <text>An EPIP shall allow leave to be taken in the same, or less restrictive, increments or nonconsecutive periods as provided under the State plan.</text> </paragraph> <paragraph num="I."> <text>An EPIP may not impose additional conditions, restrictions, or barriers on the use of leave beyond those explicitly authorized by the State plan and shall meet or exceed the rights, protections, and benefits provided under the State plan.</text> </paragraph> <paragraph num="J."> <text>The amount at which employee withholdings are made to an EPIP cannot exceed the amount the same employee would contribute under the State plan.</text> </paragraph> <paragraph num="K."> <text>An approved EPIP may not begin withholding until the policy effective date.</text> </paragraph> <paragraph num="L."> <text>Employee withholdings received or retained under an EPIP are not considered part of an employer’s assets for any purpose other than paying benefits or premiums under this subtitle.</text> </paragraph> <paragraph num="M."> <text>An EPIP shall establish claims processing procedures under COMAR 09.42.04.</text> </paragraph> <paragraph num="N."> <text>An EPIP shall establish reconsideration and appeal procedures under COMAR 09.42.05.</text> </paragraph> <paragraph num="O."> <text>An employer participating in an EPIP shall be subject to the notice requirements in Labor and Employment Article, §8.3-801, Annotated Code of Maryland.</text> </paragraph> <paragraph num="P."> <text>An employer participating in an EPIP shall use the written notices prescribed by the Division under COMAR 09.42.01.03.</text> </paragraph> <paragraph num="Q."> <text>All EPIP documents and communications shall be subject to the same accessibility, language access, and translation requirements as the Division.</text> </paragraph> <paragraph num="R."> <text>An employer shall ensure compliance with relevant federal and state laws regarding confidentiality of records.</text> </paragraph> <paragraph num="S."> <text>The Division, as a result of an appeal by a covered employee, may pay benefits from the State plan to a covered employee whom an EPIP was obligated to pay, if the Division determines both of the following:</text> <paragraph num="(1)"> <text>Some benefits went unpaid; and</text> </paragraph> <paragraph num="(2)"> <text>It is unlikely that the covered employee will otherwise be paid the benefits.</text> </paragraph> </paragraph> <paragraph num="T."> <text>An employer and/or EPIP administrator shall reimburse the State plan for the amounts and the Division may pursue all legal means to collect the amounts from the employer and/or EPIP administrator if the Division pays benefits from the State plan to a covered employee whom the EPIP was obligated to pay.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Job Protection and Retaliation."> <text>Participation in an EPIP does not negate employer obligations with respect to job protection and retaliation under Labor and Employment Article, §§8.3-706, 801(b)(2)(v), and 904, Annotated Code of Maryland.</text> </regulation> <regulation prefix="Regulation" num=".05" heading="Employer Application Process."> <paragraph num="A."> <text>The paid family and medical leave benefits offered to employees of the State pursuant to State Personnel and Pensions Article, §9–1001, et seq. Annotated Code of Maryland, are approved as an EPIP and no application by the State to the Division is required.</text> </paragraph> <paragraph num="B."> <text>To obtain approval of an EPIP, an employer shall first submit a completed EPIP application to the Division.</text> </paragraph> <paragraph num="C."> <text>The Division shall mandate the EPIP application form.</text> </paragraph> <paragraph num="D."> <text>An EPIP application may be submitted at any time.</text> </paragraph> <paragraph num="E."> <text>EPIP Application Review Process.</text> <paragraph num="(1)"> <text>The Division will review complete EPIP applications as they are received.</text> </paragraph> <paragraph num="(2)"> <text>Employers will be notified of deficiencies in EPIP applications.</text> </paragraph> <paragraph num="(3)"> <text>Deficiencies must be cured within 30 days of the date of the notification.</text> </paragraph> <paragraph num="(4)"> <text>If deficiencies are not cured within 30 days, the EPIP application may be denied.</text> </paragraph> </paragraph> <paragraph num="F."> <text>EPIP Application Fees.</text> <paragraph num="(1)"> <text>For a commercially insured EPIP the application fees shall be as follows:</text> <paragraph num="(a)"> <text>$100 for an employer with 1—14 employees performing qualified employment at the time the EPIP application is submitted.</text> </paragraph> <paragraph num="(b)"> <text>$250 for an employer with 15—49 employees performing qualified employment at the time the EPIP application is submitted.</text> </paragraph> <paragraph num="(c)"> <text>$500 for an employer with 50—199 employees performing qualified employment at the time the EPIP application is submitted.</text> </paragraph> <paragraph num="(d)"> <text>$600 for an employer with 200—499 employees performing qualified employment at the time the EPIP application is submitted.</text> </paragraph> <paragraph num="(e)"> <text>$750 for an employer with 500—999 employees performing qualified employment at the time the EPIP application is submitted.</text> </paragraph> <paragraph num="(f)"> <text>$1,000 for an employer with 1000 or more employees performing qualified employment at the time the EPIP application is submitted.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>For a self-insured EPIP the application fee is $1,000.</text> </paragraph> </paragraph> <paragraph num="G."> <text>An approved EPIP application becomes effective, and the employer is released from its contributions obligation on the first day of the calendar quarter following the date of approval by the Division of its EPIP application.</text> </paragraph> <paragraph num="H."> <text>An employer’s EPIP approval and release from contributions obligation expires 1 year after the effective date in §G of this regulation, and if a complete application has been timely filed and approval is pending after expiration, the Division may extend the previous approval.</text> </paragraph> <paragraph num="I."> <text>EPIPs shall make benefits available to all covered employees.</text> </paragraph> <paragraph num="J."> <text>An employer shall submit an EPIP application annually at least 90 days before the employer’s current EPIP approval expires.</text> </paragraph> <paragraph num="K."> <text>Special Requirements for a Self-Insured EPIP.</text> <paragraph num="(1)"> <text>Any employer with 50 or more employees may apply for a self-insured EPIP.</text> </paragraph> <paragraph num="(2)"> <text>Proof of Solvency.</text> <paragraph num="(a)"> <text>An employer desiring to establish a self-insured EPIP shall provide proof of assured funds as demonstrated by obtaining a surety bond issued by a surety company certified by the United States Treasury Department Bureau of the Fiscal Service and authorized to do business in the State.</text> </paragraph> <paragraph num="(b)"> <text>The surety bond shall be conditioned that the employer shall:</text> <paragraph num="(i)"> <text>Comply with all State laws and regulations governing the EPIP; and</text> </paragraph> <paragraph num="(ii)"> <text>Fulfill all obligations to pay employee claims.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>A surety bond shall be issued in amount equal to 1 year of expected future benefits as determined by the product of the number of employees rounded up to the nearest 50 multiplied by 12 weeks multiplied by the utilization rate multiplied by the maximum weekly benefit amount.</text> </paragraph> <paragraph num="(d)"> <text>A surety bond shall be issued on a form prescribed by the Division.</text> </paragraph> <paragraph num="(e)"> <text>A surety bond shall include a statement that the bonding company shall give 90 days notice in writing of its intent to terminate coverage to both the principal and the Division, except that if the bonding company is terminating liability because it is issuing a replacement bond, it may do so without providing prior notice.</text> </paragraph> <paragraph num="(f)"> <text>If a replacement bond is issued, the surety company and the employer shall notify the Division no later than 14 days after its effective date.</text> </paragraph> <paragraph num="(g)"> <text>A surety bond shall continue for 3 years after the later of the date on which:</text> <paragraph num="(i)"> <text>The bond is canceled; or</text> </paragraph> <paragraph num="(ii)"> <text>The EPIP is terminated.</text> </paragraph> </paragraph> <paragraph num="(h)"> <text>The liability of the surety:</text> <paragraph num="(i)"> <text>Shall be continuous;</text> </paragraph> <paragraph num="(ii)"> <text>May not be aggregated or cumulative, whether the bond is renewed, continued, replaced, or modified;</text> </paragraph> <paragraph num="(iii)"> <text>May not be determined by adding together the penal sum of the bond, or any part of the penal sum of the bond, in existence at any two or more points in time;</text> </paragraph> <paragraph num="(iv)"> <text>Shall be considered to be one continuous obligation, regardless of increases or decreases in the penal sum of the bond;</text> </paragraph> <paragraph num="(v)"> <text>May not be affected by the insolvency or bankruptcy of the employer, any misrepresentation, breach of warranty, failure to pay a premium, any other act or omission of the employer, or the termination of the employer’s EPIP; and</text> </paragraph> <paragraph num="(vi)"> <text>May not require an administrative enforcement action by the Division as a prerequisite to liability.</text> </paragraph> </paragraph> <paragraph num="(i)"> <text>The Division may review the bond annually to ensure that the amount corresponds with the benefit projections and the employer:</text> <paragraph num="(i)"> <text>Shall provide the Division with any documentation necessary to review the bond amount;</text> </paragraph> <paragraph num="(ii)"> <text>Shall increase the bond amount if the Division determines an increase is necessary; and</text> </paragraph> <paragraph num="(iii)"> <text>May decrease the bond amount if the Division determines that the bond amount exceeds the projected benefits.</text> </paragraph> </paragraph> <paragraph num="(j)"> <text>A claim against the bond may be filed with the surety by the Division:</text> <paragraph num="(i)"> <text>Under COMAR 09.42.03.03(T);</text> </paragraph> <paragraph num="(ii)"> <text>To cover any outstanding contributions due to the Division; or</text> </paragraph> <paragraph num="(iii)"> <text>For fees and penalties owed to the Division.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>Separate Account.</text> <paragraph num="(a)"> <text>If an employer who is approved to self-insure to provide FAMLI benefits withholds from employees, the employer shall establish and maintain a separate account:</text> <paragraph num="(i)"> <text>Into which all employee contributions are deposited and kept; and</text> </paragraph> <paragraph num="(ii)"> <text>From which only benefits shall be paid.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Funds collected from employee withholdings shall be:</text> <paragraph num="(i)"> <text>Held separately from all other employer funds; and</text> </paragraph> <paragraph num="(ii)"> <text>Separately accounted for.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Account records shall be made available for audits by the Division.</text> </paragraph> <paragraph num="(d)"> <text>The separate fund does not represent the extent of liability of the employer.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Any employer may apply to the Division for a waiver of the surety bond requirement based on its capitalization and existing bondedness under Labor and Employment Article, §8.3-705(b)(2), Annotated Code of Maryland.</text> </paragraph> <paragraph num="(5)"> <text>An employer with fewer than 50 employees may apply for a self-insured EPIP only if it provides a benefits package:</text> <paragraph num="(a)"> <text>To all of the employer's covered employees;</text> </paragraph> <paragraph num="(b)"> <text>That meets or exceeds the rights, protections, and benefits provided to a covered employee under Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland; and</text> </paragraph> <paragraph num="(c)"> <text>That was in effect on or before July 31, 2026 and has remained continually in effect until the date of application.</text> </paragraph> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="Oversight of EPIPs by the Division."> <paragraph num="A."> <text>The Division may, at any time at its sole discretion, initiate a review of an EPIP to determine whether the EPIP is compliant with Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland or this subtitle.</text> </paragraph> <paragraph num="B."> <text>On initiation of a review by the Division, within 30 days of a request from the Division, the EPIP administrator and the employer shall provide all information and documentation requested.</text> </paragraph> <paragraph num="C."> <text>The Division may extend the 30 day deadline under §B of this regulation once upon request from the EPIP administrator and/or the employer.</text> </paragraph> <paragraph num="D."> <text>The Division shall ensure compliance with relevant federal and State laws regarding confidentiality of records.</text> </paragraph> <paragraph num="E."> <text>Failure by an employer to cooperate with a Division review of an EPIP may result in the Division’s termination of the employer’s EPIP approval.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Record Keeping Requirements."> <paragraph num="A."> <text>An EPIP administrator or employer shall collect and maintain documentation of all of the following for a minimum of 5 years:</text> <paragraph num="(1)"> <text>Applications for benefits;</text> </paragraph> <paragraph num="(2)"> <text>Benefits paid, including payment dates and amounts;</text> </paragraph> <paragraph num="(3)"> <text>The outcome of internal initial applications for benefits;</text> </paragraph> <paragraph num="(4)"> <text>Internal reconsideration requests received;</text> </paragraph> <paragraph num="(5)"> <text>The outcome of internal reconsiderations;</text> </paragraph> <paragraph num="(6)"> <text>Documents, including wage data or other evidence, containing the information on which benefits determinations and reconsiderations were based; and</text> </paragraph> <paragraph num="(7)"> <text>Withholdings received from employees.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Within 30 days of the Division’s written request, an EPIP administrator or an employer with an approved EPIP shall provide any documentation either is obligated to maintain.</text> </paragraph> <paragraph num="C."> <text>If the employer or EPIP administrator requests an extension and provides good cause for the extension, the Division may extend the 30-day deadline.</text> </paragraph> <paragraph num="D."> <text>If the employer or EPIP administrator does not provide the requested documentation by the deadline, the Division may terminate its approval of the EPIP.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Additional Reporting Requirements for Employers who Have Selected an EPIP."> <paragraph num="A."> <text>While an employer may authorize EPIP administrators to report on their behalf, the employer shall be responsible for the accuracy of the data and subject to any adverse actions related to inaccurate, late, or incomplete reporting.</text> </paragraph> <paragraph num="B."> <text>All reported data shall represent totals for each approved EPIP.</text> </paragraph> <paragraph num="C."> <text>Quarterly claims level and employer level data reports to the Division shall be submitted on or before the last day of the month immediately following the close of the previous quarter via an electronic template provided by the Division.</text> </paragraph> <paragraph num="D."> <text>Failure to submit timely and complete reports may result in the involuntary termination of the EPIP by the Division.</text> </paragraph> <paragraph num="E."> <text>An employer with an approved EPIP shall report wage and hour data quarterly in the same manner as an employer in the State plan.</text> </paragraph> <paragraph num="F."> <text>The Division may extend the deadline under §C of this regulation once upon request from the employer.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="EPIP Termination Rules."> <paragraph num="A."> <text>Voluntary. Provided an employer has joined the State plan or has an approved application for a different EPIP:</text> <paragraph num="(1)"> <text>The employer may voluntarily terminate enrollment in an EPIP provided the employer has been enrolled in the EPIP for at least 1 year.</text> </paragraph> <paragraph num="(2)"> <text>The employer shall provide the requisite notice to the Division of the voluntary termination no later than 30 days before the termination’s effective date.</text> </paragraph> <paragraph num="(3)"> <text>The employer shall provide the requisite notice to employees prescribed by COMAR 09.42.01.03 of the voluntary termination no later than 30 days before the termination’s effective date.</text> </paragraph> <paragraph num="(4)"> <text>The employer shall continue the approved EPIP’s coverage through the termination’s effective date.</text> </paragraph> <paragraph num="(5)"> <text>The voluntary termination shall become effective on the first date of the calendar quarter following the expiration of the 30 day period.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Involuntary. An employer’s EPIP enrollment may be terminated by the Division when the Division determines that terms or conditions of the plan have been repeatedly or egregiously violated in a manner that necessitates termination.</text> <paragraph num="(1)"> <text>Causes for plan termination may include:</text> <paragraph num="(a)"> <text>Failure to pay benefits in the amount and duration required by Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland and this subtitle;</text> </paragraph> <paragraph num="(b)"> <text>Failure to make timely benefit determinations or reconsiderations;</text> </paragraph> <paragraph num="(c)"> <text>Failure to pay benefits in the amount and duration required by the EPIP, where the EPIP provides benefits in a greater amount or duration than is required by Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland and this subtitle;</text> </paragraph> <paragraph num="(d)"> <text>Failure to pay benefits within the timeframes and in the manner specified by Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland and this subtitle;</text> </paragraph> <paragraph num="(e)"> <text>Failure to maintain an adequate surety bond in accordance with this subtitle;</text> </paragraph> <paragraph num="(f)"> <text>Failure to comply with Regulation .03(L) of this chapter;</text> </paragraph> <paragraph num="(g)"> <text>Failure to submit reports or comply with other compliance requirements as required by Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland or this subtitle;</text> </paragraph> <paragraph num="(h)"> <text>Failure to otherwise comply with Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland or this subtitle;</text> </paragraph> <paragraph num="(i)"> <text>Failure to notify the Division that their plan has been cancelled by their carrier; or</text> </paragraph> <paragraph num="(j)"> <text>Failure to notify the Division that the product is no longer offered by their carrier.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>If the Division withdraws approval of an employer’s EPIP, the Division shall issue to the employer and the EPIP administrator a notice of involuntary termination of EPIP approval with an effective date 14 days after the date of the notice.</text> </paragraph> <paragraph num="(3)"> <text>An employer may request a review under COMAR 09.42.05 of the withdrawal of EPIP approval before its effective date by filing with the Division.</text> </paragraph> <paragraph num="(4)"> <text>Involuntary terminations shall result in the establishment of past-due mandatory contribution debt in the amount that would have been owed to the State plan had the employer been in the State plan for a period of 1 year prior to the date of the notice of termination of EPIP approval.</text> </paragraph> <paragraph num="(5)"> <text>Involuntary terminations may result in civil penalties against an employer, including but not limited to execution on and collection of any bond amount.</text> </paragraph> <paragraph num="(6)"> <text>An employer shall provide the requisite notice to employees prescribed by COMAR 09.42.01.03 of the involuntary termination no later than 5 days after the termination’s effective date.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Termination Generally.</text> <paragraph num="(1)"> <text>Continuation of Benefits.</text> <paragraph num="(a)"> <text>An EPIP shall pay or continue to pay benefits under the terms of the EPIP to an employee who filed a valid claim for benefits under the EPIP before the effective date of termination until the total amount of the benefit claim is paid, the duration of approved leave ends, or the application year ends, whichever occurs first.</text> </paragraph> <paragraph num="(b)"> <text>If the employer or EPIP administrator does not pay the benefits, the employee may seek relief with the Division under COMAR 09.42.05.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Within 60 days after the effective date of the termination of an EPIP, the employer shall send to the Division all reporting requirement information on benefit claims paid and amounts of contributions collected or owing from the date of the last report provided to the Division under the EPIP reporting requirements to the date of termination.</text> </paragraph> <paragraph num="(3)"> <text>Outstanding Contributions.</text> <paragraph num="(a)"> <text>On receipt of the report specified in §C(2) of this regulation, the Division will provide an invoice of the contribution amounts due, if any.</text> </paragraph> <paragraph num="(b)"> <text>The contribution amount due shall be calculated based on any contributions withheld from employees’ wages that remain in the possession of the employer on the effective date of the EPIP termination, minus an amount equal to the amount of any benefits due to be paid as required under §C(1) of this regulation or any premium due to a carrier for commercially insured EPIPs.</text> </paragraph> <paragraph num="(c)"> <text>Once all required benefits are paid under §C(1) of this regulation, the employer shall send to the Division the final report on any additional benefit claims paid or administrative expenses incurred after the date of the last report provided under §C(2) of this regulation within 5 business days.</text> </paragraph> <paragraph num="(d)"> <text>The Division will provide an invoice of any additional contribution amounts due.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Any employer whose EPIP approval has been terminated, either voluntarily or involuntarily, shall be immediately enrolled in the State plan, with contribution obligations going back to the most recent quarter start date, unless and until the employer is approved for a new EPIP.</text> </paragraph> </paragraph> <paragraph num="D."> <text>To the extent that any of the regulations in this section conflict with the Temporary Provisions applicable to EPIP termination in Regulation .10 of this chapter, the provisions in Regulation .10 of this chapter control.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Temporary Provisions."> <paragraph num="A."> <text>Declaration of Intent to Obtain Approval of EPIP.</text> <paragraph num="(1)"> <text>During the submission period announced by the Secretary, any employer who intends to enroll in an EPIP may submit a DOI, signed by the employer, acknowledging, attesting, and agreeing to certain requirements, including but not limited to:</text> <paragraph num="(a)"> <text>The employer intends to provide an EPIP to all its employees that meets or exceeds all the requirements of Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland and this subtitle.</text> </paragraph> <paragraph num="(b)"> <text>The employer met with an insurance producer or carrier about available commercially insured EPIPs.</text> </paragraph> <paragraph num="(c)"> <text>A signature from the insurance producer or carrier acknowledging the meeting in §A(1)(b) of this regulation.</text> </paragraph> <paragraph num="(d)"> <text>Except as provided in Ch. 363, Section 2, Acts of (2025), beginning on the effective date of a DOI and continuing until the Division has approved the EPIP application, the employer shall collect and hold all contributions from both the employer and employees that would otherwise be due to the State plan in an escrow account, provided that:</text> <paragraph num="(i)"> <text>The employer collects employee contributions via payroll deduction or makes contributions on behalf of the employee;</text> </paragraph> <paragraph num="(ii)"> <text>Employee contributions are withheld during the pay period for which they are being collected; and</text> </paragraph> <paragraph num="(iii)"> <text>Employee contributions are not retroactively collected.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>If, after the submission of a DOI, an EPIP is approved, the employer shall return employee contributions held in escrow to the employees from whom they were withheld, or if the EPIP approved is a self-insured EPIP the contributions held in escrow may be used to seed the separately accounted self-insured EPIP fund.</text> </paragraph> <paragraph num="(f)"> <text>If a former employee cannot be located, the employee’s contributions shall be remitted to the State plan.</text> </paragraph> <paragraph num="(g)"> <text>The employer shall submit an EPIP application no later than the date announced by the Secretary.</text> </paragraph> <paragraph num="(h)"> <text>If, after the submission of a DOI, the employer is not approved for an EPIP before the date announced by the Secretary, the employer is liable for remitting to the State plan an amount equal to the sum of all unpaid employer and employee contribution payments due for the periods contributions were not made plus any interest and penalties for late payment.</text> </paragraph> <paragraph num="(i)"> <text>If necessary, the funds held in escrow under §A(1)(d) of this regulation shall be used to remit payment under §A(1)(h) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Division shall approve or deny a DOI within 15 business days of submittal.</text> </paragraph> <paragraph num="(3)"> <text>An approved DOI becomes effective on the first day of the calendar quarter following the date of approval by the Division.</text> </paragraph> <paragraph num="(4)"> <text>The Division may terminate a DOI for:</text> <paragraph num="(a)"> <text>Misuse of employee contributions by the employer;</text> </paragraph> <paragraph num="(b)"> <text>Failure to hold funds in escrow as required;</text> </paragraph> <paragraph num="(c)"> <text>Failure to adhere to applicable FAMLI program requirements;</text> </paragraph> <paragraph num="(d)"> <text>Excessive withholding of contributions from the pay of employees beyond the amount that would have been withheld under the State plan;</text> </paragraph> <paragraph num="(e)"> <text>Failure to respond timely to a reasonable request from the Division for information about the EPIP or DOI;</text> </paragraph> <paragraph num="(f)"> <text>Failure to submit quarterly wage and hour reports;</text> </paragraph> <paragraph num="(g)"> <text>Failure to submit an EPIP application; or</text> </paragraph> <paragraph num="(h)"> <text>Denial by the Division of an EPIP application.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>All DOIs expire December 31, 2027.</text> </paragraph> </paragraph> <paragraph num="B."> <text>DOI and Contributions.</text> </paragraph> <paragraph num="C."> <text>Initial EPIP Enrollment.</text> <paragraph num="(1)"> <text>If an employer is approved to be exempt from contributions to the State plan via a DOI and their subsequent EPIP application is approved, the employer shall remain in an EPIP for a minimum of 4 calendar quarters.</text> </paragraph> <paragraph num="(2)"> <text>Failure to complete the initial EPIP enrollment shall result in the employer’s automatic enrollment in the State plan and remittance to the Division an amount equal to the total contributions that would have been paid to the State plan beginning January 1, 2027 minus any contributions made to the State plan prior to approval of the EPIP plus any interest and penalties for late payment.</text> </paragraph> <paragraph num="(3)"> <text>If an employer whose DOI was approved enters into an EPIP and the EPIP is terminated before December 31, 2028, either by the employer or the Division, the employer shall remit to the Division the contributions and interest from which they were exempted as a result of the DOI.</text> </paragraph> <paragraph num="(4)"> <text>If an employer whose DOI was approved enters into an EPIP and the EPIP is terminated before December 31, 2029, either by the employer or the Division, the employer is responsible for half the contributions and interest from which they were exempted as a result of the DOI.</text> </paragraph> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8.3-101, 403, 503, and 705, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 290)</annotation> </annotations> </chapter> <chapter num="04" heading="Claims"> <regulation prefix="Regulation" num=".01" heading="General."> <text>Unless expressly provided otherwise, all requirements in this chapter apply to EPIPs.</text> </regulation> <regulation prefix="Regulation" num=".02" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Alternative FAMLI purpose leave (AFPL)” means employer-provided leave specifically designated as a separate bank of time off for medical leave, family leave, qualified exigency leave, or under a disability policy and that is not leave provided under an EPIP.</text> </paragraph> <paragraph num="(2)"> <text>“Claim application” means a claimant’s submission to the Division or an EPIP for FAMLI leave and benefits.</text> </paragraph> <paragraph num="(3)"> <text>“Claimant’s average weekly wage” means the amount calculated in Regulation .06 of this chapter.</text> </paragraph> <paragraph num="(4)"> <text>“Complete claim application” means an application submitted by a claimant with all required supporting documentation, including the response from an employer and any investigation, under Regulation .04 of this chapter.</text> </paragraph> <paragraph num="(5)"> <text>“Fraud” means a misrepresentation or concealment of a material fact made by a claimant which induces the State plan or an EPIP to provide benefits when the claimant would have otherwise not qualified.</text> </paragraph> <paragraph num="(6)"> <text>“General purpose leave” means employer-provided paid leave, such as general paid time off, personal leave, vacation leave, or sick leave, that is not AFPL or leave provided under an EPIP.</text> </paragraph> <paragraph num="(7)"> <text>“Good cause” means a demonstration by a claimant that a failure to file a complete claim application was due to:</text> <paragraph num="(a)"> <text>A serious health condition that resulted in an unanticipated and prolonged period of incapacity and that prevented an individual from filing a claim in a timely manner;</text> </paragraph> <paragraph num="(b)"> <text>A demonstrated inability to reasonably access a means to file a claim in a timely manner, such as due to a natural disaster, power outage, or a significant and prolonged Department system outage; or</text> </paragraph> <paragraph num="(c)"> <text>A demonstrated failure of the employer to provide the notification required under this subtitle to the claimant.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>“Recipient” means a claimant whose application for FAMLI leave and benefits has been approved and is receiving benefits.</text> </paragraph> <paragraph num="(9)"> <text>“State average weekly wage” means the wage calculated under Labor and Employment Article, §9-603, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(10)"> <text>“Weekly benefit amount” means the total weekly dollar amount provided to a recipient by the State plan or EPIP.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Qualifying Events."> <paragraph num="A."> <text>Childcare or bonding is a qualifying event in the following circumstances:</text> <paragraph num="(1)"> <text>To care for or bond with a child of the claimant during the first 12 months after the child’s birth; or</text> </paragraph> <paragraph num="(2)"> <text>During the process through which a child is being placed with the claimant through foster care, kinship care, or adoption and to care for or bond with the child during the first 12 months after the placement.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Caring for a family member with a serious health condition is a qualifying event.</text> </paragraph> <paragraph num="C."> <text>The diagnosis, occurrence, or tending to of one’s own serious health condition is a qualifying event.</text> </paragraph> <paragraph num="D."> <text>Caring for a service member with a serious health condition is a qualifying event if:</text> <paragraph num="(1)"> <text>The claimant is the service member’s next of kin; and</text> </paragraph> <paragraph num="(2)"> <text>The serious health condition resulted from, or was exacerbated by, uniformed service.</text> </paragraph> </paragraph> <paragraph num="E."> <text>A qualifying exigency arising out of the deployment of a service member who is a family member of the claimant is a qualifying event.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Application Process."> <paragraph num="A."> <text>Eligibility. A covered individual experiencing a qualifying event may file an application for benefits within 60 days before the anticipated start date of the leave for which benefits may be paid under this title, but not later than 60 days after the start date of the leave.</text> <paragraph num="(1)"> <text>The 60 day filing deadline shall be waived for good cause, up to 1 year from the leave commencing.</text> </paragraph> <paragraph num="(2)"> <text>On or after the date on which applications for benefits may be submitted to the Division, applications may be accepted up to 60 days before the first day of FAMLI leave requested.</text> </paragraph> <paragraph num="(3)"> <text>A covered individual shall file their application with their employer’s plan.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Required Documentation.</text> <paragraph num="(1)"> <text>A claimant shall provide personal identifying information as required by the Division.</text> </paragraph> <paragraph num="(2)"> <text>A claimant applying for uniformed services caregiving leave shall provide documentation from the United States government establishing that the service member is a member or veteran of the uniformed services as defined in in 37 U.S.C. § 101, including a member of the National Guard or Reserves;</text> </paragraph> <paragraph num="(3)"> <text>A claimant shall provide information regarding the employer from which they intend to take FAMLI leave as required by the Division.</text> </paragraph> <paragraph num="(4)"> <text>A claimant seeking FAMLI leave for bonding or to care for another shall provide any of the following as proof of relationship:</text> <paragraph num="(a)"> <text>An affidavit signed by the claimant attesting to qualifying relationships as provided by the Division;</text> </paragraph> <paragraph num="(b)"> <text>Copies of official orders, certifications, or registrations from a government entity; or</text> </paragraph> <paragraph num="(c)"> <text>Copies of documentation from licensed foster care and/or adoption providers.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Certification of Qualifying Event.</text> <paragraph num="(a)"> <text>Care or Bonding with a Child. An application for FAMLI leave to care for or bond with a child of the claimant shall include:</text> <paragraph num="(i)"> <text>A certification of live birth;</text> </paragraph> <paragraph num="(ii)"> <text>Documentation of placement from a licensed child placement agency or government agency responsible for child placement, and documentation of any court appearances, appointments, or travel in anticipation of placement, if applicable, including a court order or an affidavit of an informal kinship care arrangement; or</text> </paragraph> <paragraph num="(iii)"> <text>Other reasonable documentation determined by the Division.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Family Member’s Serious Health Condition. An application for FAMLI leave to care for a family member with a serious health condition, shall include a complete certification form, approved by the Division, from a licensed health care provider, establishing:</text> <paragraph num="(i)"> <text>The first date on which the covered individual took or intends to take FAMLI leave from employment and whether the FAMLI leave will or is intended to be taken for a continuous period of time or intermittently;</text> </paragraph> <paragraph num="(ii)"> <text>Date of diagnosis;</text> </paragraph> <paragraph num="(iii)"> <text>The date on which the serious health condition of the family member commenced;</text> </paragraph> <paragraph num="(iv)"> <text>The probable duration of the serious health condition;</text> </paragraph> <paragraph num="(v)"> <text>The appropriate facts related to the serious health condition within the knowledge of the licensed health care provider;</text> </paragraph> <paragraph num="(vi)"> <text>A statement that the covered individual needs to care for a family member and an estimate of the amount of time required to provide the care; and</text> </paragraph> <paragraph num="(vii)"> <text>If intermittent FAMLI leave is requested, the expected frequency and duration of the intermittent FAMLI leave.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>Own Serious Health Condition. An application for FAMLI leave for one’s own serious health condition, shall include a complete certification form, approved by the Division, from a licensed health care provider, establishing:</text> <paragraph num="(i)"> <text>The first date on which the covered individual took or intends to take FAMLI leave from employment and whether the FAMLI leave will or is intended to be taken for a continuous period of time or intermittently;</text> </paragraph> <paragraph num="(ii)"> <text>The date on which the serious health condition of the covered individual commenced;</text> </paragraph> <paragraph num="(iii)"> <text>Treatment dates;</text> </paragraph> <paragraph num="(iv)"> <text>Period of incapacity;</text> </paragraph> <paragraph num="(v)"> <text>The probable duration of the serious health condition;</text> </paragraph> <paragraph num="(vi)"> <text>The appropriate facts related to the serious health condition within the knowledge of the licensed health care provider;</text> </paragraph> <paragraph num="(vii)"> <text>A statement that the covered individual is unable to perform the functions of the covered individual’s position; and</text> </paragraph> <paragraph num="(viii)"> <text>If intermittent FAMLI leave is requested, the expected frequency and duration of the intermittent FAMLI leave.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Uniformed Services Caregiving. An application for FAMLI leave to care for a service member for whom the claimant is next of kin with a serious health condition, shall include a complete certification form, approved by the Division, from a licensed health care provider, establishing:</text> <paragraph num="(i)"> <text>That the serious health condition was caused, or exacerbated by, uniformed service;</text> </paragraph> <paragraph num="(ii)"> <text>The first date on which the covered individual took or intends to take FAMLI leave from employment and whether the FAMLI leave will or is intended to be taken for a continuous period of time or intermittently;</text> </paragraph> <paragraph num="(iii)"> <text>The date on which the serious health condition of the service member commenced or was exacerbated;</text> </paragraph> <paragraph num="(iv)"> <text>The probable duration of the serious health condition;</text> </paragraph> <paragraph num="(v)"> <text>The appropriate facts related to the serious health condition within the knowledge of the licensed health care provider; and</text> </paragraph> <paragraph num="(vi)"> <text>If intermittent FAMLI leave is requested, a statement that the covered individual needs to care for a service member and the expected frequency and duration of the intermittent FAMLI leave.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Qualified Exigency. An application for FAMLI leave for a qualifying exigency arising out of the deployment of a service member who is a family member, shall include a copy of the family member’s active duty orders or other documentation issued by the uniformed services that indicates that the service member is on covered active duty or call to covered active duty status, and the dates of the service member’s covered active duty service.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Attestations. The Division may require claimants to attest that information provided in their applications is true to the best of their knowledge and that there are no disqualifying criteria.</text> </paragraph> <paragraph num="(7)"> <text>Employer Response to Claim Application.</text> <paragraph num="(a)"> <text>An employer shall have 5 business days to respond to notice from the Division or an EPIP of an employee’s submitted claim application.</text> </paragraph> <paragraph num="(b)"> <text>At the conclusion of the 5 business day period in §B(7)(a) of this regulation, if there is no employer response, the claim application is considered a complete claim application.</text> </paragraph> <paragraph num="(c)"> <text>At the conclusion of the 5 business day period in §B(7)(a) of this regulation, if the employer has challenged the claimant’s eligibility, the Division or EPIP shall investigate which may include a request for a response from the claimant.</text> </paragraph> <paragraph num="(d)"> <text>At the conclusion of the investigation in §B(7)(c) of this regulation, the claim application is considered a complete claim application.</text> </paragraph> <paragraph num="(e)"> <text>The Division may request supplemental data from the employer together with the notice in §B(7)(a) of this regulation.</text> </paragraph> <paragraph num="(f)"> <text>If the Division makes a request pursuant to §B(7)(e) of this regulation, and there is no employer response within the 5 business day period in §B(7)(a) of this regulation, the Division may proceed with estimation under COMAR 09.42.02.09C.</text> </paragraph> <paragraph num="(g)"> <text>If benefits are approved and issued and job and anti-retaliation protections have thus attached and an employer provides a response after the time period provided in §B(7)(a) of this regulation, the response may still be considered and if the information negates the recipient’s eligibility:</text> <paragraph num="(i)"> <text>The recipient is still entitled to the benefits received;</text> </paragraph> <paragraph num="(ii)"> <text>Continuation of benefits will cease; and</text> </paragraph> <paragraph num="(iii)"> <text>Job and anti-retaliation protections apply for the time period from approval of benefits to revocation of benefits.</text> </paragraph> </paragraph> <paragraph num="(h)"> <text>If FAMLI leave has been retroactively approved and additional information as described in §B(7)(e) of this regulation has been provided then any benefits issued shall be considered an overpayment and job and anti-retaliation protections may not apply.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Updating a Claim Application.</text> <paragraph num="(1)"> <text>This provision applies to applications a claimant may need to update as well as the incomplete application notification requirements in Labor and Employment Article, §8.3-703, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>A claim shall be updated within 10 days, or as soon as practicable with good cause shown, of any changes to the following information provided on an application:</text> <paragraph num="(a)"> <text>Basis for leave;</text> </paragraph> <paragraph num="(b)"> <text>Start date of leave;</text> </paragraph> <paragraph num="(c)"> <text>Duration of leave;</text> </paragraph> <paragraph num="(d)"> <text>End date of leave; or</text> </paragraph> <paragraph num="(e)"> <text>Whether the claimant has begun to receive Workers’ Compensation or Unemployment Insurance benefits.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Failure to update a claim with any changes to the information provided on an application for benefits may result in a delay, underpayment, overpayment, or denial of benefits.</text> </paragraph> </paragraph> <paragraph num="D."> <text>Cancelation of a Claim.</text> <paragraph num="(1)"> <text>If a claimant no longer requires FAMLI benefits, their application may be withdrawn.</text> </paragraph> <paragraph num="(2)"> <text>If the FAMLI leave period has already commenced, the total amount of FAMLI leave actually taken, not the total amount applied for, will be assessed against the claimant’s FAMLI leave balance for the application year.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Determination of Length of FAMLI Leave."> <paragraph num="A."> <text>General.</text> <paragraph num="(1)"> <text>Except as outlined in §A(2) of this regulation, any claimant may receive up to 12 weeks of FAMLI benefits and leave per employer per application year.</text> </paragraph> <paragraph num="(2)"> <text>A claimant may receive an additional 12 weeks of FAMLI benefits and leave if the claimant during the same application year:</text> <paragraph num="(a)"> <text>Received medical leave and becomes eligible for bonding leave; or</text> </paragraph> <paragraph num="(b)"> <text>Received bonding leave and becomes eligible for medical leave.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>For each claim, a claimant may be approved for the lesser of:</text> <paragraph num="(a)"> <text>12 weeks;</text> </paragraph> <paragraph num="(b)"> <text>The remaining FAMLI leave balance for the claimant for the application year;</text> </paragraph> <paragraph num="(c)"> <text>The amount requested; or</text> </paragraph> <paragraph num="(d)"> <text>If applicable, the amount supported by any required documentation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="B."> <text>Family Leave.</text> <paragraph num="(1)"> <text>Bonding Leave.</text> <paragraph num="(a)"> <text>Birth of a Child. Any claimant seeking leave for bonding with a child may apply for up to 12 weeks of FAMLI leave within the first 12 months beginning on the date of the birth.</text> </paragraph> <paragraph num="(b)"> <text>Adoption, Foster Care, or Kinship Care.</text> <paragraph num="(i)"> <text>Any claimant seeking leave for bonding with a child placed through adoption, fostering, or kinship care may apply for up to 12 weeks of FAMLI leave within 12 months of the placement.</text> </paragraph> <paragraph num="(ii)"> <text>FAMLI leave may also be used in anticipation of placement for court appearances, legal appointments, placement agency appointments, counseling appointments, medical appointments, and travel, provided they are substantiated by documentation required.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Caring for a Family Member.</text> <paragraph num="(a)"> <text>A claimant seeking leave to care for a family member may apply for up to 12 weeks of FAMLI leave provided documentation from a licensed health care provider substantiating the time period requested is submitted with the application.</text> </paragraph> <paragraph num="(b)"> <text>Death of Family Member. If the covered individual is on approved FAMLI leave and the person they are caring for dies, the reason for that leave has ended.</text> <paragraph num="(i)"> <text>Benefits shall continue to be paid to the covered individual until 7 days after the death of the family member or the previously approved end date for the leave, whichever date is soonest.</text> </paragraph> <paragraph num="(ii)"> <text>The covered individual shall provide notice of the date of death of the family member for whom the covered individual was caring within 72 hours of the person’s passing.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(3)"> <text>Uniformed Services Caregiving. A claimant seeking leave to care for a service member may apply for up to 12 weeks of FAMLI leave provided documentation from a licensed health care provider substantiating the time period requested is submitted with the application.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Medical Leave. A claimant seeking leave for their own serious health condition may apply for up to 12 weeks of FAMLI leave provided documentation from a licensed health care provider substantiating the time period requested is submitted with the application.</text> </paragraph> <paragraph num="D."> <text>Qualified Exigency Leave. A claimant seeking leave for a qualifying exigency may apply for up to 12 weeks of FAMLI leave provided documentation outlined in COMAR 09.42.04.04(B)(5)(e) substantiating the time period requested is submitted with the application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".06" heading="FAMLI Benefit Calculation."> <paragraph num="A."> <text>Claimant Average Weekly Wage.</text> <paragraph num="(1)"> <text>A claimant’s average weekly wage shall be calculated by dividing the wages earned from the employer from whom the claimant is taking FAMLI leave over the highest of the previous 4 completed calendar quarters for which quarterly reports have been required prior to the anchor date by 13.</text> </paragraph> <paragraph num="(2)"> <text>If the Division does not have completed wage and hour reports for at least 2 quarters for an employed claimant with the employer from which they have requested leave, the Division will use the highest quarter of the most recent 4 quarters the claimant worked for any employer to calculate the employed claimant’s average weekly wage.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Continuous FAMLI Leave Benefit Calculation.</text> <paragraph num="(1)"> <text>If the claimant’s average weekly wage is 65 percent or less of the State average weekly wage, benefits will be 90 percent of the claimant’s average weekly wage; or, if the claimant’s average weekly wage is greater than 65 percent of the State average weekly wage, benefits will be the sum of:</text> <paragraph num="(a)"> <text>90 percent of the claimant’s average weekly wage up to 65 percent of the State average weekly wage; and</text> </paragraph> <paragraph num="(b)"> <text>50 percent of the claimant’s average weekly wage that is greater than 65 percent of the State average weekly wage up to the maximum weekly benefit amount.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The benefit amount shall be calculated using the State average weekly wage and maximum weekly benefit amount in effect at the time the approved leave begins and that amount shall be set for the duration of the claim.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Intermittent FAMLI Leave Hours Calculation. For an intermittent leave claim, one week of benefits equals the quotient of the number of hours worked during the highest earning quarter of the previous 4 completed calendar quarters for which quarterly reports have been required prior to the anchor date divided by 13.</text> </paragraph> <paragraph num="D."> <text>Intermittent FAMLI Leave Benefit Calculation.</text> <paragraph num="(1)"> <text>For intermittent FAMLI leave an hourly benefit amount will be calculated by dividing the weekly benefit amount by the average number of hours worked per week during the highest earning of the previous 4 completed calendar quarters for which quarterly reports have been required prior to the anchor date.</text> </paragraph> <paragraph num="(2)"> <text>The benefit amount to be disbursed will be calculated by multiplying the hourly benefit amount by the number of hours of intermittent FAMLI leave taken in a week.</text> </paragraph> <paragraph num="(3)"> <text>The benefit amount shall be calculated using the State average weekly wage and maximum weekly benefit amount in effect on the anchor date.</text> </paragraph> <paragraph num="(4)"> <text>On or before the first day of January the benefit amount of every open and active claim for intermittent leave shall be readjusted based on the new maximum weekly benefit amount.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".07" heading="Intermittent FAMLI Leave Benefit Request Process."> <paragraph num="A."> <text>Claimants approved for intermittent FAMLI leave shall submit requests for benefits within 5 business days of leave being taken unless good cause can be shown.</text> </paragraph> <paragraph num="B."> <text>Intermittent FAMLI leave shall not be taken for less than 4 hours unless the claimant’s scheduled shift was fewer than 4 hours.</text> </paragraph> <paragraph num="C."> <text>Benefits will not be issued for requests that significantly exceed the expected duration and frequency listed on the medical certification without an updated certification.</text> </paragraph> <paragraph num="D."> <text>Approved intermittent leave applications expire after one year.</text> </paragraph> <paragraph num="E."> <text>If a claimant requires additional FAMLI leave for the qualifying event subject to the expiration period identified in §D of this regulation, the employee will have to submit a new claim application.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".08" heading="Notice Requirements."> <paragraph num="A."> <text>Employer to Employee.</text> <paragraph num="(1)"> <text>An employer shall give an employee notice about FAMLI leave and benefits in the following circumstances:</text> <paragraph num="(a)"> <text>6 months prior to the commencement of benefits, either through an EPIP or with the State plan;</text> </paragraph> <paragraph num="(b)"> <text>At hire;</text> </paragraph> <paragraph num="(c)"> <text>Annually;</text> </paragraph> <paragraph num="(d)"> <text>30 days before any changes to the employer’s FAMLI procedures or plan go into effect; and</text> </paragraph> <paragraph num="(e)"> <text>When the employer knows that an employee’s leave or leave request may be eligible for FAMLI.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>The Division will publish prescribed forms and templates for employer use under COMAR 09.42.01.03.</text> </paragraph> <paragraph num="(3)"> <text>If the employer collects an electronic or physical acknowledgement of receipt by the claimant (such as an electronic or wet signature) of the notice, the claimant is considered notified.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Employee to Employer.</text> <paragraph num="(1)"> <text>FAMLI Leave.</text> <paragraph num="(a)"> <text>Foreseeable FAMLI Leave. If the need for FAMLI leave is foreseeable, an employee shall provide 30 days notice to an employer.</text> </paragraph> <paragraph num="(b)"> <text>Unforeseeable FAMLI Leave. If an employee did not or could not have known about the need for FAMLI leave 30 days before the FAMLI leave commencement date, the employee shall be required to provide notice as soon as practicable of the need for FAMLI leave to their employer.</text> </paragraph> <paragraph num="(c)"> <text>An employer may waive the notice requirement.</text> </paragraph> <paragraph num="(d)"> <text>An employer is deemed to have waived the notice requirement under §B(1)(a) of this regulation if the employer:</text> <paragraph num="(i)"> <text>Did not invoke it when notified of the claim by the Division or the EPIP; or</text> </paragraph> <paragraph num="(ii)"> <text>Failed to notify the claimant that the employer requires notice under §B(1)(a) of this regulation.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(2)"> <text>Intermittent FAMLI Leave.</text> <paragraph num="(a)"> <text>If FAMLI leave is to be taken on an intermittent schedule, the employee shall:</text> <paragraph num="(i)"> <text>Make a reasonable effort to schedule the intermittent FAMLI leave in a manner that does not cause significant difficulty or expense in relation to the resources and specific operations of the employer’s operations; and</text> </paragraph> <paragraph num="(ii)"> <text>Provide the employer with reasonable and practicable prior notice of the reason, dates, and duration for which intermittent FAMLI leave is necessary.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Notice of Intermittent Leave Schedule.</text> <paragraph num="(i)"> <text>A recipient who is approved for intermittent FAMLI leave who fails to provide reasonable and practicable prior notice to their employer of the intermittent leave schedule may be subject to the employer’s established absence policy.</text> </paragraph> <paragraph num="(ii)"> <text>An employer, whether enrolled in the State plan or an EPIP, shall notify the Division when a recipient approved for intermittent FAMLI leave fails to provide the notice detailed in §B(2)(a) of this regulation before the employer takes action against the employee under the employer’s established absence policy.</text> </paragraph> <paragraph num="(iii)"> <text>If a recipient’s utilization of intermittent FAMLI leave is inconsistent with the FAMLI leave approval, it may not be considered retaliation for an employer to request additional information related to the use of FAMLI leave.</text> </paragraph> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>State Plan or EPIP to Claimant. Claimants shall be provided notice in the following circumstances:</text> <paragraph num="(1)"> <text>When a claimant’s application is submitted.</text> </paragraph> <paragraph num="(2)"> <text>When an incomplete application is submitted, within 5 business days of application submission.</text> </paragraph> <paragraph num="(3)"> <text>When a notice is sent to the claimant’s employer (confidentiality restrictions).</text> </paragraph> <paragraph num="(4)"> <text>When their employer’s response is submitted.</text> </paragraph> <paragraph num="(5)"> <text>Whether their application is approved, within 10 business days of complete claim application submission including:</text> <paragraph num="(a)"> <text>Benefit amount;</text> </paragraph> <paragraph num="(b)"> <text>FAMLI benefits beginning date;</text> </paragraph> <paragraph num="(c)"> <text>FAMLI leave period beginning date;</text> </paragraph> <paragraph num="(d)"> <text>FAMLI benefits ending date;</text> </paragraph> <paragraph num="(e)"> <text>FAMLI leave period ending date;</text> </paragraph> <paragraph num="(f)"> <text>Duration and frequency of intermittent FAMLI leave (if applied for); and</text> </paragraph> <paragraph num="(g)"> <text>The claimant’s appeal rights.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Whether their application is denied (in full or in part) within 10 business days of complete claim application submission and the notice shall:</text> <paragraph num="(a)"> <text>State concisely and simply:</text> <paragraph num="(i)"> <text>The reasons for denial;</text> </paragraph> <paragraph num="(ii)"> <text>The claimant’s appeal rights;</text> </paragraph> <paragraph num="(iii)"> <text>The facts that are asserted; or</text> </paragraph> <paragraph num="(iv)"> <text>If the facts cannot be stated in detail when the notice is given, the issues that are involved;</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>State the pertinent statutory and regulatory sections under which the action was taken;</text> </paragraph> <paragraph num="(c)"> <text>State that the party receiving the notice has the opportunity to request a reconsideration, including:</text> <paragraph num="(i)"> <text>What, if anything, a person must do to receive a reconsideration; and</text> </paragraph> <paragraph num="(ii)"> <text>All relevant time requirements; and</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>State the direct consequences, if any, or remedy of the party receiving the notice’s failure to exercise in a timely manner the opportunity for a reconsideration.</text> </paragraph> </paragraph> </paragraph> <paragraph num="D."> <text>State Plan or EPIP to Employer. An employer shall be provided notice of any of the following circumstances occurring:</text> <paragraph num="(1)"> <text>An employee files an application;</text> </paragraph> <paragraph num="(2)"> <text>An employee files a complete claim application;</text> </paragraph> <paragraph num="(3)"> <text>A determination regarding a claim for benefits is made;</text> </paragraph> <paragraph num="(4)"> <text>A reconsideration or an appeal of a determination regarding a claim for benefits is filed; or</text> </paragraph> <paragraph num="(5)"> <text>A change is made to a determination regarding a claim for benefits.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".09" heading="Coordination of Benefits."> <paragraph num="A."> <text>FMLA. An employee’s annual maximum duration of FAMLI leave may be reduced by the employee’s use of FMLA if:</text> <paragraph num="(1)"> <text>The employee’s FMLA leave was also eligible for FAMLI;</text> </paragraph> <paragraph num="(2)"> <text>The employer notified the employee of their potential eligibility for FAMLI when the employee took FMLA; and</text> </paragraph> <paragraph num="(3)"> <text>The employee did not apply for FAMLI leave.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Employer-Provided Leave.</text> <paragraph num="(1)"> <text>Alternative FAMLI Purpose Leave (AFPL).</text> <paragraph num="(a)"> <text>An employer may require an employee to use AFPL concurrently or in coordination with FAMLI provided the AFPL is:</text> <paragraph num="(i)"> <text>Specifically designed to fulfill a purpose of FAMLI;</text> </paragraph> <paragraph num="(ii)"> <text>Paid;</text> </paragraph> <paragraph num="(iii)"> <text>Not accrued;</text> </paragraph> <paragraph num="(iv)"> <text>Not subject to repayment if the employee leaves their position;</text> </paragraph> <paragraph num="(v)"> <text>Not available for general purposes; and</text> </paragraph> <paragraph num="(vi)"> <text>Available without a requirement to exhaust another form of leave.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>If an employer chooses to require an employee to use AFPL concurrently or in coordination with FAMLI leave, the employer shall provide advanced written notice to its employees of this requirement.</text> </paragraph> <paragraph num="(c)"> <text>When an employer requires concurrent or coordinated usage of AFPL and FAMLI and has satisfied the written notice requirement, and the employee declines to apply for FAMLI benefits, the employee’s FAMLI eligibility is reduced by the amount of AFPL time taken.</text> </paragraph> <paragraph num="(d)"> <text>If a recipient receives wage replacement from both FAMLI and AFPL concurrently, the FAMLI benefit is primary and the AFPL benefit may be used to supplement the recipient’s wage to equal no more than 100 percent of the recipient’s average weekly wage.</text> </paragraph> <paragraph num="(e)"> <text>An employer may deduct the full amount of time taken under both forms of leave from the recipient’s AFPL balance even if the recipient only received partial wage replacement from the AFPL.</text> </paragraph> <paragraph num="(f)"> <text>An employee’s decision to use AFPL concurrently or in coordination with FAMLI does not negate the job protection or retaliation provisions of Labor and Employment Article, §§8.3-706 and 904, Annotated Code of Maryland.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>General Purpose Leave.</text> <paragraph num="(a)"> <text>Neither the employee nor the employer may require the substitution of general purpose leave for FAMLI leave.</text> </paragraph> <paragraph num="(b)"> <text>An employer and an employee may agree to have general purpose leave wages supplement FAMLI benefits, up to 100 percent of the employee’s average weekly wage.</text> </paragraph> <paragraph num="(c)"> <text>If general purpose leave is used to supplement FAMLI benefits, the employer may:</text> <paragraph num="(i)"> <text>Convert the dollar amount of the supplement into the corresponding number of employer-provided general purpose leave hours; and</text> </paragraph> <paragraph num="(ii)"> <text>Subtract those hours from the employee’s balance of accrued and unused employer-provided general purpose leave.</text> </paragraph> </paragraph> <paragraph num="(d)"> <text>Documentation of use of general purpose leave.</text> <paragraph num="(i)"> <text>The use of employer-provided general purpose leave to supplement FAMLI benefits requires mutual agreement in writing between the employer and the employee.</text> </paragraph> <paragraph num="(ii)"> <text>If either the employer or the employee does not so mutually agree, employer-provided general purpose leave may not be used to supplement FAMLI benefits.</text> </paragraph> <paragraph num="(iii)"> <text>Any agreement under §B(2)(d)(ii) of this regulation shall be documented and retained by the employer.</text> </paragraph> </paragraph> <paragraph num="(e)"> <text>Mutual agreement between the employer and the employee is not necessary in order for an employee to use paid sick leave prior to receiving FAMLI leave benefits.</text> </paragraph> </paragraph> </paragraph> <paragraph num="C."> <text>Workers’ Compensation and Unemployment Benefits.</text> <paragraph num="(1)"> <text>Under Labor and Employment Article, §8.3-702(e), Annotated Code of Maryland, an individual receiving Unemployment Insurance benefits from the State may not be eligible for FAMLI benefits.</text> </paragraph> <paragraph num="(2)"> <text>Except in the case of benefits for a permanent partial disability, under Labor and Employment Article, §8.3-702(e), Annotated Code of Maryland, an individual receiving Workers’ Compensation wage replacement benefits may not be eligible for FAMLI benefits.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".10" heading="Benefit Payment Process."> <paragraph num="A."> <text>Payment Schedule.</text> <paragraph num="(1)"> <text>The first payment to a recipient shall be within 5 business days after the complete claim application is approved or the FAMLI leave has started, whichever is later.</text> </paragraph> <paragraph num="(2)"> <text>Subsequent benefit payments to recipients shall be made at least every 2 weeks until the benefit period ends.</text> </paragraph> <paragraph num="(3)"> <text>In the event the recipient provides incorrect or erroneous payment information, additional time will be required for payment to be issued or reissued.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Overpayment.</text> <paragraph num="(1)"> <text>On learning of overpayment of benefits, written notice will be sent to the recipient, including that:</text> <paragraph num="(a)"> <text>Repayment of the overpayment is being sought; or</text> </paragraph> <paragraph num="(b)"> <text>A waiver of the repayment is being offered.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>In cases of seeking repayment, the recipient shall have 30 days to reply to the notice as follows:</text> <paragraph num="(a)"> <text>The recipient agrees to repay; or</text> </paragraph> <paragraph num="(b)"> <text>The recipient requests a waiver under §B(4) of this regulation.</text> </paragraph> </paragraph> <paragraph num="(3)"> <text>Repayment. Repayment of benefits may be sought from an individual who received benefits under this subtitle if:</text> <paragraph num="(a)"> <text>Benefits were paid erroneously or as a result of willful misrepresentation by the recipient; or</text> </paragraph> <paragraph num="(b)"> <text>A claim for benefits under this subtitle is rejected after the benefits were paid.</text> </paragraph> </paragraph> <paragraph num="(4)"> <text>Waiver. Repayment of benefits may be waived if:</text> <paragraph num="(a)"> <text>The error in payment was not due to any knowingly false statement, nondisclosure of material fact, or misrepresentation by a covered individual; or</text> </paragraph> <paragraph num="(b)"> <text>The repayment would be against equity and good conscience or administrative efficiency.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Denial of waiver. If a recipient requests a waiver and the request is denied, the recipient may file a request for reconsideration.</text> </paragraph> <paragraph num="(6)"> <text>If an EPIP seeks monetary reimbursement of an overpayment of benefits, the EPIP administrator shall notify the Division of its intent to seek reimbursement simultaneously with its notice to the recipient.</text> </paragraph> <paragraph num="(7)"> <text>If a recipient’s employer has terminated enrollment in the State plan and enrolled in an EPIP, any recipient who filed a valid claim for benefits under the State plan before the effective date of the employer’s EPIP enrollment shall be paid or continue to be paid benefits from and under the terms of the State plan until the total amount of the benefit claim is paid, the duration of leave ends, or the application year ends, whichever occurs first.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".11" heading="Finding of Fraud After Benefit Approval."> <text>If benefits are approved and issued and job and anti-retaliation protections have thus attached, and then fraud is proven:</text> <paragraph num="A."> <text>Any benefits issued will be treated as an overpayment; and</text> </paragraph> <paragraph num="B."> <text>Job and anti-retaliation protections will not apply.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".12" heading="Special EPIP Provisions."> <paragraph num="A."> <text>To the extent the claim procedures, including timelines and good cause, outlined in this chapter are more restrictive with respect to claimants than those claim procedures outlined by the Administration, the Administration’s procedures shall control.</text> </paragraph> <paragraph num="B."> <text>To the extent the claim procedures, including notice requirements and good cause, outlined in this chapter are less restrictive with respect to employers and carriers than those claim procedures outlined by the Administration, the Administration’s procedures shall control.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8.3-101, 403, 701, 702, and 902, et seq., Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 290)</annotation> </annotations> </chapter> <chapter num="05" heading="Dispute Resolution"> <regulation prefix="Regulation" num=".01" heading="Definitions."> <paragraph num="A."> <text>In this chapter, the following terms have the meanings indicated.</text> </paragraph> <paragraph num="B."> <text>Terms Defined.</text> <paragraph num="(1)"> <text>“Administrative Procedure Act” means State Government Article, §§10-201—10-217, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(2)"> <text>“Authorized representative” means a person designated by a party to represent the party during the Division’s dispute resolution process.</text> </paragraph> <paragraph num="(3)"> <text>“Contribution liability” means the amount the Division tells an employer is due each quarter, covering both the employer and employee portion.</text> </paragraph> <paragraph num="(4)"> <text>“Final order” means the final decision of the hearing officer which contains findings of fact, conclusions of law, and a disposition which grants or denies FAMLI benefits and/or FAMLI leave.</text> </paragraph> <paragraph num="(5)"> <text>“Good cause” means a demonstration by a party that a failure to timely file for EPIP denial or termination review, reconsideration, appeal, or postponement was due to:</text> <paragraph num="(a)"> <text>A serious health condition that resulted in an unanticipated and prolonged period of incapacity and that prevented all individuals with authority to file from filing in a timely manner;</text> </paragraph> <paragraph num="(b)"> <text>A demonstrated inability to reasonably access a means to file in a timely manner, such as due to a natural disaster, power outage, or a significant and prolonged Department system outage; or</text> </paragraph> <paragraph num="(c)"> <text>A demonstrated failure of the entity which issued the adverse determination to provide notice of dispute resolution procedures.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>“Hearing officer” means the individual or entity who issues the final order in a FAMLI appeal.</text> </paragraph> <paragraph num="(7)"> <text>“Party” means a claimant, an individual who has been disqualified from receiving benefits under Labor and Employment Article, §8.3-901, Annotated Code of Maryland, an EPIP administrator, or the Division, or all or some of them, as applicable.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".02" heading="EPIP Denial or Termination Review."> <paragraph num="A."> <text>An employer whose application to opt-out of the State plan and into an EPIP was denied or whose EPIP was involuntarily terminated may file a request for review.</text> </paragraph> <paragraph num="B."> <text>Manner of Filing.</text> <paragraph num="(1)"> <text>Requests for Review shall be filed with the Division within 10 business days of the application denial or termination unless good cause for a delay can be shown.</text> </paragraph> <paragraph num="(2)"> <text>Requests for Review shall be in writing in a manner prescribed by the Division.</text> </paragraph> <paragraph num="(3)"> <text>Requests for Review shall include why the requestor believes the application denial or termination was in error.</text> </paragraph> </paragraph> <paragraph num="C."> <text>Review shall be conducted by Division personnel who did not participate in the initial application denial or termination at issue.</text> </paragraph> <paragraph num="D."> <text>The Division shall issue a decision electronically on a request for review within 20 business days.</text> </paragraph> <paragraph num="E."> <text>The Division may schedule an informal conference to discuss the review request.</text> </paragraph> <paragraph num="F."> <text>If the Division schedules an informal conference, it shall be held within the required time period for a decision to be issued.</text> </paragraph> </regulation> <regulation prefix="Regulation" num=".03" heading="Claimant and Benefit Disqualification Reconsideration and Appeals."> <paragraph num="A."> <text>Reconsideration. Any claimant is entitled to request reconsideration of any determination by the Division or an EPIP administrator.</text> <paragraph num="(1)"> <text>Manner of Filing.</text> <paragraph num="(a)"> <text>Requests for reconsideration shall be filed within 30 days, unless good cause can be shown, of a determination by the issuing entity, either the Division or EPIP administrator.</text> </paragraph> <paragraph num="(b)"> <text>Requests for reconsideration shall be in writing.</text> </paragraph> <paragraph num="(c)"> <text>Requests shall include why the requestor believes the determination to be in error.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Notice of Reconsideration. When a reconsideration request is filed, the Division or EPIP administrator shall notify in a timely manner all parties to the determination being reconsidered and the employer.</text> </paragraph> <paragraph num="(3)"> <text>Reconsideration shall be conducted by Division or EPIP administrator personnel, as applicable, who did not participate in the determination at issue.</text> </paragraph> <paragraph num="(4)"> <text>A decision on the reconsideration shall be issued within 10 business days.</text> </paragraph> <paragraph num="(5)"> <text>An informal conference to discuss the reconsideration may be held.</text> </paragraph> <paragraph num="(6)"> <text>If an informal conference is scheduled, it shall be held within the required time period for a decision to be issued.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Appeals. Any claimant whose claim has been denied, in part or in full, whose benefits have been underpaid, or any individual who has been disqualified from receiving benefits under Labor and Employment Article, §8.3-901, Annotated Code of Maryland, is entitled to file appeals of adverse determinations.</text> <paragraph num="(1)"> <text>The appeals process is available only to claimants who have completed the reconsideration process as described in §A of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The appeal shall be filed with the Division within 30 days of the adverse determination unless the claimant or individual can show good cause.</text> </paragraph> <paragraph num="(3)"> <text>The Division shall be a party to every appeal under this section regardless of which entity issued the adverse determination on appeal.</text> </paragraph> <paragraph num="(4)"> <text>Notice of Appeal. When an appeal is filed, the Division shall notify in a timely manner:</text> <paragraph num="(a)"> <text>All parties to the adverse determination being appealed, including the issuer of the benefits at issue; and</text> </paragraph> <paragraph num="(b)"> <text>The claimant’s employer from whom the claimant requested FAMLI leave.</text> </paragraph> </paragraph> <paragraph num="(5)"> <text>Informal Conference. There may be an informal conference process activated at the sole discretion of the Division at the time of filing of the appeal and proceeding with it shall be at the discretion of the Division.</text> </paragraph> <paragraph num="(6)"> <text>Absent unusual circumstances, a hearing shall be held on the appeal within 30 days of filing of the appeal.</text> </paragraph> <paragraph num="(7)"> <text>Hearing Notice. Parties to appeals shall be provided with reasonable written notice of a hearing to the parties.</text> <paragraph num="(a)"> <text>The hearing notice shall contain:</text> <paragraph num="(i)"> <text>The date, time, place, and nature of the hearing;</text> </paragraph> <paragraph num="(ii)"> <text>A statement of the right to present witnesses, documents, and other forms of evidence, and the right to cross-examine witnesses of another party;</text> </paragraph> <paragraph num="(iii)"> <text>A statement of the right to request subpoenas for witnesses and evidence, specifying the costs, if any, associated with the request;</text> </paragraph> <paragraph num="(iv)"> <text>A copy of the hearing procedure;</text> </paragraph> <paragraph num="(v)"> <text>A statement of the right or restrictions pertaining to representation;</text> </paragraph> <paragraph num="(vi)"> <text>A statement that failure to appear for the scheduled hearing may result in an adverse action against that party; and</text> </paragraph> <paragraph num="(vii)"> <text>A statement that the parties may agree to the evidence and waive their right to appear at the hearing.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Service of Notices, Orders, and Other Documents. Except as provided by prior agreement of the parties, the hearing officer shall serve notices, orders, and other documents to the parties in one of the following ways:</text> <paragraph num="(i)"> <text>Electronically; and</text> </paragraph> <paragraph num="(ii)"> <text>By personal delivery; or</text> </paragraph> <paragraph num="(iii)"> <text>By mailing a copy of the document, first class, postage prepaid, to the person’s last known business or home address; and</text> </paragraph> <paragraph num="(iv)"> <text>If the person is represented by counsel, also by delivering or mailing a copy of the document, first class, postage prepaid, to the person’s attorney.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The hearing officer shall send the hearing notice to the parties to the appeal:</text> <paragraph num="(i)"> <text>At least 15 days before the hearing; or</text> </paragraph> <paragraph num="(ii)"> <text>If the parties have agreed to a date for which 15 days notice cannot be given, at the earliest time possible.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(8)"> <text>Representation.</text> <paragraph num="(a)"> <text>A party to a proceeding may:</text> <paragraph num="(i)"> <text>Appear individually or, if appearance by a representative is permitted by law, through a representative; or</text> </paragraph> <paragraph num="(ii)"> <text>Be represented by an attorney authorized to practice in Maryland.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Any notice, decision, or other matter required to be sent to a party may also be sent to the party’s attorney of record at the attorney’s address.</text> </paragraph> <paragraph num="(c)"> <text>If a party is represented by an attorney or appears through an authorized representative, then examination and cross-examination of witnesses, and objections and motions on the party’s behalf shall be made solely by the attorney or the authorized representative.</text> </paragraph> </paragraph> <paragraph num="(9)"> <text>Failure to Appear. A hearing may proceed as scheduled in the absence of a party if the party has:</text> <paragraph num="(a)"> <text>Been served in accordance with §B(7) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>Failed to obtain a postponement of the hearing from the hearing officer under these requirements.</text> </paragraph> </paragraph> <paragraph num="(10)"> <text>Postponement.</text> <paragraph num="(a)"> <text>The hearing officer may postpone a hearing only if a written request for postponement is filed with the hearing officer not later than 10 days before the date of the hearing.</text> </paragraph> <paragraph num="(b)"> <text>If a request for postponement is received later than 10 days before the date of the hearing, the hearing officer shall deny the request unless they determine that there was good cause which justified the delay.</text> </paragraph> <paragraph num="(c)"> <text>Failure to retain counsel or to timely request a subpoena may not be considered good cause under this regulation.</text> </paragraph> <paragraph num="(d)"> <text>A request for postponement based on failure to obtain service on a witness may not be granted if the party has failed to comply with the subpoena procedures set forth at COMAR 09.01.02.</text> </paragraph> </paragraph> <paragraph num="(11)"> <text>Discovery. There is no pre-hearing discovery.</text> </paragraph> <paragraph num="(12)"> <text>The documents used by the provider of FAMLI benefits in determining the claim shall be part of the record.</text> </paragraph> <paragraph num="(13)"> <text>Subpoenas. Subpoena procedures are governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="(14)"> <text>Conduct of the Proceedings.</text> <paragraph num="(a)"> <text>The hearing officer may impose reasonable time limitations.</text> </paragraph> <paragraph num="(b)"> <text>The Maryland Rules of Civil Procedure may be used as a guide in resolving procedural issues governing the conduct of the hearing that are not addressed in this chapter and the Administrative Procedure Act.</text> </paragraph> <paragraph num="(c)"> <text>The hearing officer may conduct all or any part of the hearing by telephone, video conference, or other electronic means, in accordance with State Government Article, §10-211, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(d)"> <text>Order of Proceedings. Absent unusual circumstances, the order of proceedings shall be as follows:</text> <paragraph num="(i)"> <text>Opening statements and preliminary matters may be heard;</text> </paragraph> <paragraph num="(ii)"> <text>All individuals planning to testify shall be sworn before testifying;</text> </paragraph> <paragraph num="(iii)"> <text>The claimant or individual or their attorney or authorized representative may present the claimant’s or individual’s case;</text> </paragraph> <paragraph num="(iv)"> <text>The EPIP administrator may present the EPIP administrator’s case;</text> </paragraph> <paragraph num="(v)"> <text>The Division may present the Division’s case;</text> </paragraph> <paragraph num="(vi)"> <text>The claimant or individual shall be entitled to a brief rebuttal after the conclusion of the EPIP administrator’s case and/or the Division’s case;</text> </paragraph> <paragraph num="(vii)"> <text>The hearing officer may hear closing arguments in the same order as the presentation of evidence; and</text> </paragraph> <paragraph num="(viii)"> <text>Dispositive motions are prohibited.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(15)"> <text>Evidence.</text> <paragraph num="(a)"> <text>The rules of evidence under this chapter shall be under State Government Article, §10-213, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>Hearsay, in the form of medical records and certified forms filled out by licensed health care providers, shall be permitted at the hearing.</text> </paragraph> <paragraph num="(c)"> <text>Additional evidence may not be introduced unless the party seeking to introduce it demonstrates to the satisfaction of the hearing officer that the new evidence:</text> <paragraph num="(i)"> <text>Is relevant and material;</text> </paragraph> <paragraph num="(ii)"> <text>Was not discovered before the claim was filed; and</text> </paragraph> <paragraph num="(iii)"> <text>Could not have been discovered before the claim was filed with the exercise of due diligence.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(16)"> <text>All hearings shall be on the record. The record shall include:</text> <paragraph num="(a)"> <text>All pleadings, motions, responses, correspondence, memoranda, including proposed findings of fact and conclusions of law, and requests filed by the parties;</text> </paragraph> <paragraph num="(b)"> <text>All hearing notices;</text> </paragraph> <paragraph num="(c)"> <text>All documentary and other tangible evidence received or considered;</text> </paragraph> <paragraph num="(d)"> <text>A statement of each fact officially noticed;</text> </paragraph> <paragraph num="(e)"> <text>All stipulations;</text> </paragraph> <paragraph num="(f)"> <text>All offers of proof and objections;</text> </paragraph> <paragraph num="(g)"> <text>All rulings, orders, and decisions, proposed or final;</text> </paragraph> <paragraph num="(h)"> <text>Matters placed on the record in connection with ex parte communication;</text> </paragraph> <paragraph num="(i)"> <text>The recording of the hearing, and any pre hearing proceeding, and any transcript of the recording prepared by a court reporting service; and</text> </paragraph> <paragraph num="(j)"> <text>Any other item required by law.</text> </paragraph> </paragraph> <paragraph num="(17)"> <text>Interpreters.</text> <paragraph num="(a)"> <text>If a party or witness cannot readily hear, speak, or understand the spoken or written English language, and applies to the hearing officer in advance of the hearing for the appointment of a qualified interpreter to assist that party or witness, the hearing officer shall appoint a qualified interpreter to provide assistance during the hearing.</text> </paragraph> <paragraph num="(b)"> <text>With the approval of the hearing officer, a party who intends to offer the testimony of a witness who cannot readily hear, speak, or understand the spoken or written English language, may arrange for a qualified interpreter to assist the witness.</text> </paragraph> <paragraph num="(c)"> <text>An interpreter shall take an oath or affirm that the interpreter will accurately translate.</text> </paragraph> </paragraph> <paragraph num="(18)"> <text>Burden of Proof.</text> <paragraph num="(a)"> <text>The claimant shall bear the burden of proving, by a preponderance of the evidence, that the Division or EPIP administrator erred in making the initial claim decision under dispute, given the evidence available at the time of the initial decision.</text> </paragraph> <paragraph num="(b)"> <text>The individual who has been disqualified from receiving benefits under Labor and Employment Article §8.3-901, Annotated Code of Maryland shall bear the burden of proving, by a preponderance of the evidence, that the individual should not have been disqualified.</text> </paragraph> </paragraph> <paragraph num="(19)"> <text>Closed Hearings. Unless otherwise provided by statute, all hearings conducted under this chapter are closed to the public.</text> </paragraph> <paragraph num="(20)"> <text>Recording.</text> <paragraph num="(a)"> <text>The proceedings shall be recorded.</text> </paragraph> <paragraph num="(b)"> <text>The record need not be transcribed unless requested by a party.</text> </paragraph> <paragraph num="(c)"> <text>The cost of a typewritten transcript of any proceeding or part of a proceeding shall be paid by the party requesting the transcript.</text> </paragraph> <paragraph num="(d)"> <text>Except as provided under §B(20)(a) of this regulation, cameras, tape recorders, and other electronic and photographic equipment of any type are not permitted at the hearing, unless the equipment is intended to be introduced into evidence or used to present evidence.</text> </paragraph> </paragraph> <paragraph num="(21)"> <text>Recusal. A hearing officer shall be recused from the review of an appeal and from participating in a hearing if the hearing officer:</text> <paragraph num="(a)"> <text>Has personal knowledge of the facts which gave rise to the appeal;</text> </paragraph> <paragraph num="(b)"> <text>Has a personal or business relationship with any of the parties or witnesses; or</text> </paragraph> <paragraph num="(c)"> <text>For any other reason may be unable to act impartially in the matter.</text> </paragraph> </paragraph> <paragraph num="(22)"> <text>Decisions. After consideration of the testimony and other evidence the hearing officer shall issue a final written order, including any penalties or fees issued under Labor and Employment Article, §8.3-101 et seq., Annotated Code of Maryland, no more than 10 business days after the conclusion of the hearing.</text> </paragraph> <paragraph num="(23)"> <text>Decision to Employer. Upon receipt of the decision by the Division, the Division shall forward a copy of the decision to the employer.</text> </paragraph> <paragraph num="(24)"> <text>Judicial Review. A party aggrieved by the final order is entitled to judicial review of the decision under State Government Article, §10-222, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".04" heading="Contribution Liability Reconsideration and Appeals."> <paragraph num="A."> <text>Reconsideration. An employer is entitled to request reconsideration by the Division of a determination of the employer’s contribution liability.</text> <paragraph num="(1)"> <text>Manner of Filing:</text> <paragraph num="(a)"> <text>Requests for reconsideration shall be filed within 30 days, unless good cause can be shown, of notice of the contribution liability;</text> </paragraph> <paragraph num="(b)"> <text>Requests for reconsideration shall be in writing; and</text> </paragraph> <paragraph num="(c)"> <text>Requests shall include why the requestor believes the contribution liability to be in error.</text> </paragraph> </paragraph> <paragraph num="(2)"> <text>Reconsideration shall be conducted by Division personnel who did not participate in the contribution liability determination at issue.</text> </paragraph> <paragraph num="(3)"> <text>A decision on the reconsideration shall be issued within 30 days.</text> </paragraph> </paragraph> <paragraph num="B."> <text>Appeals.</text> <paragraph num="(1)"> <text>The appeals process is only available to employers who have completed the reconsideration process as described in §A of this regulation.</text> </paragraph> <paragraph num="(2)"> <text>The appeal shall be filed with the Division within 30 days of the reconsideration denial unless the employer can show good cause.</text> </paragraph> <paragraph num="(3)"> <text>Absent unusual circumstances, a hearing shall be held on the appeal within 60 days of filing of the appeal.</text> </paragraph> <paragraph num="(4)"> <text>Hearing Notice. Employers shall be provided with reasonable written notice of a hearing.</text> <paragraph num="(a)"> <text>The hearing notice shall contain:</text> <paragraph num="(i)"> <text>The date, time, place, and nature of the hearing;</text> </paragraph> <paragraph num="(ii)"> <text>A statement of the right to present witnesses, documents, and other forms of evidence, and the right to cross-examine witnesses;</text> </paragraph> <paragraph num="(iii)"> <text>A statement of the right to request subpoenas for witnesses and evidence, specifying the costs, if any, associated with the request;</text> </paragraph> <paragraph num="(iv)"> <text>A copy of the hearing procedure;</text> </paragraph> <paragraph num="(v)"> <text>A statement of the right or restrictions pertaining to representation;</text> </paragraph> <paragraph num="(vi)"> <text>A statement that failure to appear for the scheduled hearing may result in an adverse action against the employer; and</text> </paragraph> <paragraph num="(vii)"> <text>A statement that the employer and Division may agree to the evidence and waive their right to appear at the hearing.</text> </paragraph> </paragraph> <paragraph num="(b)"> <text>Service of Notices, Orders, and Other Documents. Except as provided by prior agreement, the hearing officer shall serve notices, orders, and other documents to the employer and any other parties in one of the following ways:</text> <paragraph num="(i)"> <text>Electronically; and</text> </paragraph> <paragraph num="(ii)"> <text>By personal delivery; or</text> </paragraph> <paragraph num="(iii)"> <text>By mailing a copy of the document, first class, postage prepaid, to the employer’s last known business or home address; and</text> </paragraph> <paragraph num="(iv)"> <text>If the employer is represented by counsel, also by delivering or mailing a copy of the document, first class, postage prepaid, to the employer’s attorney.</text> </paragraph> </paragraph> <paragraph num="(c)"> <text>The hearing officer shall send the hearing notice to the employer:</text> <paragraph num="(i)"> <text>At least 15 days before the hearing; or</text> </paragraph> <paragraph num="(ii)"> <text>If the employer has agreed to a date for which 15 days notice cannot be given, at the earliest time possible.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(5)"> <text>Representation.</text> <paragraph num="(a)"> <text>An employer may appear individually or, if appearance by an attorney or representative is permitted or required by law, through an attorney authorized to practice in Maryland.</text> </paragraph> <paragraph num="(b)"> <text>Any notice, decision, or other matter required to be sent to an employer may also be sent to the employer’s attorney of record at the attorney’s address.</text> </paragraph> <paragraph num="(c)"> <text>If an employer is represented by an attorney or appears through an authorized representative, then examination and cross-examination of witnesses, and objections and motions on the employer’s behalf shall be made solely by the attorney or the authorized representative.</text> </paragraph> </paragraph> <paragraph num="(6)"> <text>Failure to Appear. A hearing may proceed as scheduled in the absence of the employer if the employer has:</text> <paragraph num="(a)"> <text>Been served in accordance with §B(4) of this regulation; and</text> </paragraph> <paragraph num="(b)"> <text>Failed to obtain a postponement of the hearing from the hearing officer under these requirements.</text> </paragraph> </paragraph> <paragraph num="(7)"> <text>Postponement.</text> <paragraph num="(a)"> <text>The hearing officer may postpone a hearing only if a written request for postponement is filed with the hearing officer not later than 10 days before the date of the hearing.</text> </paragraph> <paragraph num="(b)"> <text>If a request for postponement is received later than 10 days before the date of the hearing, the hearing officer shall deny the request unless they determine that there was good cause which justified the delay.</text> </paragraph> <paragraph num="(c)"> <text>Failure to retain counsel or to timely request a subpoena may not be considered good cause under this regulation.</text> </paragraph> <paragraph num="(d)"> <text>A request for postponement based on failure to obtain service on a witness may not be granted if the employer has failed to comply with the subpoena procedures set forth at COMAR 09.01.02.</text> </paragraph> </paragraph> <paragraph num="(8)"> <text>Discovery. There is no pre-hearing discovery.</text> </paragraph> <paragraph num="(9)"> <text>Subpoenas. Subpoena procedures are governed by COMAR 09.01.02.</text> </paragraph> <paragraph num="(10)"> <text>Conduct of the Proceedings.</text> <paragraph num="(a)"> <text>The hearing officer may impose reasonable time limitations.</text> </paragraph> <paragraph num="(b)"> <text>The Maryland Rules of Civil Procedure may be used as a guide in resolving procedural issues governing the conduct of the hearing that are not addressed in this chapter and the Administrative Procedure Act.</text> </paragraph> <paragraph num="(c)"> <text>The hearing officer may conduct all or any part of the hearing by telephone, video conference, or other electronic means, in accordance with State Government Article, §10-211, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(d)"> <text>Order of Proceedings. Absent unusual circumstances, the order of proceedings shall be as follows:</text> <paragraph num="(i)"> <text>Opening statements and preliminary matters may be heard;</text> </paragraph> <paragraph num="(ii)"> <text>All individuals planning to testify shall be sworn before testifying;</text> </paragraph> <paragraph num="(iii)"> <text>The employer or their attorney or authorized representative may present the employer’s case;</text> </paragraph> <paragraph num="(iv)"> <text>The Division may present the Division’s case;</text> </paragraph> <paragraph num="(v)"> <text>The employer shall be entitled to a brief rebuttal after the conclusion of the Division’s case;</text> </paragraph> <paragraph num="(vi)"> <text>The hearing officer may hear closing arguments in the same order as the presentation of evidence; and</text> </paragraph> <paragraph num="(vii)"> <text>Dispositive motions are prohibited.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(11)"> <text>Evidence.</text> <paragraph num="(a)"> <text>The rules of evidence under this chapter shall be under State Government Article, §10-213, Annotated Code of Maryland.</text> </paragraph> <paragraph num="(b)"> <text>Additional evidence may not be introduced unless the party seeking to introduce it demonstrates to the satisfaction of the hearing officer that the new evidence:</text> <paragraph num="(i)"> <text>Is relevant and material;</text> </paragraph> <paragraph num="(ii)"> <text>Was not discovered before the contribution liability was determined; and</text> </paragraph> <paragraph num="(iii)"> <text>Could not have been discovered before the contribution liability was determined with the exercise of due diligence.</text> </paragraph> </paragraph> </paragraph> <paragraph num="(12)"> <text>The record shall include:</text> <paragraph num="(a)"> <text>All pleadings, motions, responses, correspondence, memoranda, including proposed findings of fact and conclusions of law, and requests filed by the employer and Division;</text> </paragraph> <paragraph num="(b)"> <text>All hearing notices;</text> </paragraph> <paragraph num="(c)"> <text>All documentary and other tangible evidence received or considered;</text> </paragraph> <paragraph num="(d)"> <text>A statement of each fact officially noticed;</text> </paragraph> <paragraph num="(e)"> <text>All stipulations;</text> </paragraph> <paragraph num="(f)"> <text>All offers of proof and objections;</text> </paragraph> <paragraph num="(g)"> <text>All rulings, orders, and decisions, proposed or final;</text> </paragraph> <paragraph num="(h)"> <text>Matters placed on the record in connection with ex parte communication;</text> </paragraph> <paragraph num="(i)"> <text>The recording of the hearing, and any pre hearing proceeding, and any transcript of the recording prepared by a court reporting service; and</text> </paragraph> <paragraph num="(j)"> <text>Any other item required by law.</text> </paragraph> </paragraph> <paragraph num="(13)"> <text>Interpreters.</text> <paragraph num="(a)"> <text>If an employer or witness cannot readily hear, speak, or understand the spoken or written English language, and applies to the hearing officer in advance of the hearing for the appointment of a qualified interpreter to assist that employer or witness, the hearing officer shall appoint a qualified interpreter to provide assistance during the hearing.</text> </paragraph> <paragraph num="(b)"> <text>With the approval of the hearing officer, an employer who intends to offer the testimony of a witness who cannot readily hear, speak, or understand the spoken or written English language, may arrange for a qualified interpreter to assist the witness.</text> </paragraph> <paragraph num="(c)"> <text>An interpreter shall take an oath or affirm that the interpreter will accurately translate.</text> </paragraph> </paragraph> <paragraph num="(14)"> <text>Burden of Proof. The employer shall bear the burden of proving, by a preponderance of the evidence, that the employer is entitled to a change in the contribution liability.</text> </paragraph> <paragraph num="(15)"> <text>Open Hearings. Unless otherwise provided by statute, all hearings conducted under this chapter are open to the public.</text> </paragraph> <paragraph num="(16)"> <text>Recording.</text> <paragraph num="(a)"> <text>The proceedings shall be recorded;</text> </paragraph> <paragraph num="(b)"> <text>The record need not be transcribed unless requested by the employer;</text> </paragraph> <paragraph num="(c)"> <text>The cost of a typewritten transcript of any proceeding or part of a proceeding shall be paid by the entity requesting the transcript; and</text> </paragraph> <paragraph num="(d)"> <text>Except as provided under §B(16)(a) of this regulation, cameras, tape recorders, and other electronic and photographic equipment of any type are not permitted at the hearing, unless the equipment is intended to be introduced into evidence or used to present evidence.</text> </paragraph> </paragraph> <paragraph num="(17)"> <text>Recusal. A hearing officer shall be recused from the review of an appeal and from participating in a hearing if the hearing officer:</text> <paragraph num="(a)"> <text>Has personal knowledge of the facts which gave rise to the appeal;</text> </paragraph> <paragraph num="(b)"> <text>Has a personal or business relationship with the employer or witnesses; or</text> </paragraph> <paragraph num="(c)"> <text>For any other reason may be unable to act impartially in the matter.</text> </paragraph> </paragraph> <paragraph num="(18)"> <text>Decisions. After consideration of the testimony and other evidence the hearing officer shall issue a final written order, including any penalties or fees issued under Labor and Employment Article, §8.3-101 et seq., Annotated Code of Maryland, within 90 days of the conclusion of the hearing.</text> </paragraph> <paragraph num="(19)"> <text>Judicial Review. An employer aggrieved by the final order is entitled to judicial review of the decision under State Government Article, §10-222, Annotated Code of Maryland.</text> </paragraph> </paragraph> </regulation> <regulation prefix="Regulation" num=".05" heading="Special EPIP Provisions."> <paragraph num="A."> <text>To the extent the dispute resolution procedures, including timelines and good cause, outlined in this chapter are more restrictive with respect to claimants and recipients than those dispute resolution procedures outlined by the Administration, the Administration’s procedures shall control.</text> </paragraph> <paragraph num="B."> <text>To the extent the dispute resolution procedures, including notice requirements and good cause, outlined in this chapter are less restrictive with respect to employers and carriers than those dispute resolution procedures outlined by the Administration, the Administration’s procedures shall control.</text> </paragraph> </regulation> <annotations> <annotation type="Authority">Labor and Employment Article, §§8.3-101, 403, and 906, Annotated Code of Maryland</annotation> <annotation type="History" subtype="Administrative History">Effective date: March 30, 2026 (53:6 Md. R. 290)</annotation> </annotations> </chapter> </subtitle>