(1)Late Payment Penalty. If a Qualifying Hospital or Qualifying Surcharge Payor fails to make a scheduled payment pursuant to 958 CMR 2.03 and 2.04, the Commission shall impose an additional 2.5% interest penalty on the outstanding balance. The interest shall be calculated from the due date option selected under 958 CMR 2.03(3)(b) or 2.04(3)(b), whichever applies. For each 30 calendar days a payment remains delinquent, an additional 2.5% penalty shall accrue against the outstanding balance, including prior penalties. The Commission shall credit partial payments first to the current outstanding liability, and second to the amount of the penalties.(2)Offset Collection. If a Qualifying Hospital or Qualifying Surcharge Payor is more than 45 calendar days late with a payment due pursuant to the schedule set forth in 958 CMR 2.03(3)(b) or 958 CMR 2.04(3)(b), the Commission may notify the Executive Office and the Office of Medicaid that such payments are past due. The Executive Office may reassign to the Commission any payments to the Qualifying Hospital or Qualifying Surcharge Payor in the amount of the unpaid assessment, including any interest and penalties. The Commission shall notify any Qualifying Hospital or Qualifying Surcharge Payor at least 15 calendar days prior to notifying the Executive Office under 958 CMR 2.06(2).