LD 1490
pg. 7
Page 6 of 10 An Act To Update and Clarify the Law Regarding the Conversion of a Nonprofit Ho... Page 8 of 10
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LR 1914
Item 1

 
charitable authority to the same extent as if the health
insurance affiliate were a nonprofit and charitable
organization public charity.

 
Sec. 9. 24 MRSA §2301, first ¶, as amended by PL 1993, c. 702, Pt. A,
§1, is further amended to read:

 
Any corporation organized under special Act of the
Legislature or, under Title 13, chapter 81 or as a public
benefit corporation under Title 13-B for the following
purposes may be authorized by the superintendent on the terms
and conditions provided for in this chapter, except that when
such a corporation was previously organized by special Act of
the Legislature, this chapter does not apply when inconsistent
with that Act as previously amended:

 
Sec. 10. 24 MRSA §2301, sub-§3-C, as enacted by PL 1997, c. 344, §2,
is amended to read:

 
3-C. Nonprofit purposes. A nonprofit hospital and medical
service organization that is authorized to provide nonprofit
hospital service plans under subsection 1 and, nonprofit
medical service plans pursuant to subsection 2 or nonprofit
health care plans pursuant to subsection 3 is a charitable and
benevolent institution, in accordance with Title 5, section
194-A, and a public charity and its assets are held for the
purpose of fulfilling the charitable purposes of the
organization, which purposes may include, but are not limited
to, the following: providing access to medical care through
affordable health insurance and affordable managed care
products for persons of all incomes; identifying and
addressing the State's unmet health care needs, particularly
with respect to medically uninsured and underserved
populations; making services and care available through
participating providers; and improving the quality of care for
medically uninsured and underserved populations.

 
Sec. 11. 24 MRSA §2301, sub-§7, as amended by PL 1993, c. 702, Pt.
A, §1 is further amended to read:

 
7. Administrative services. A corporation has the right to
utilize its organization and facilities, either directly or
through another legal entity owned by it and similar
corporations located in other states, to perform services for
the United States or State or the units or agencies of either;
or any charitable or nonprofit organization public charity
involved in health care;

 
Sec. 12. 24 MRSA §2301, sub-§9-B, as amended by PL 1997, c. 344, §3,
is repealed.


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