Maryland 2022 2022 Regular Session

Maryland House Bill HB723 Engrossed / Bill

Filed 03/20/2022

                     
 
EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. 
        [Brackets] indicate matter deleted from existing law. 
         Underlining indicates amendments to bill. 
         Strike out indicates matter stricken from the bill by amendment or deleted from the law by 
amendment. 
          *hb0723*  
  
HOUSE BILL 723 
P2   	2lr2472 
    	CF SB 461 
By: Delegate Charles 
Introduced and read first time: February 3, 2022 
Assigned to: Health and Government Operations 
Committee Report: Favorable with amendments 
House action: Adopted 
Read second time: March 13, 2022 
 
CHAPTER ______ 
 
AN ACT concerning 1 
 
State Finance and Procurement – Procedures and Pricing and Selection 2 
Committee for Preferred Providers 3 
 
FOR the purpose of renaming the Pricing and Selection Committee for Blind Industries 4 
and Services of Maryland and the Employment Works Program to be the Pricing and 5 
Selection Committee for Preferred Providers; requiring that Maryland Correctional 6 
Enterprises provide the proposed prevailing average market price of certain goods 7 
and services that are available from Maryland Correctional Enterprises to the 8 
Pricing and Selection Committee; requiring the Pricing and Selection Committee to 9 
review and verify the prevailing average market prices of certain goods and services; 10 
altering the duties of the Department of Information Technology relating to 11 
procurement; renaming the Purchasing Bureau in the Department of General 12 
Services to be the Office of State Procurement, led by the Chief Procurement Officer; 13 
establishing certain duties and authority of the Chief Procurement Officer; altering 14 
the list of units that are defined as “designated procurement units”; authorizing the 15 
Chief Procurement Officer to establish certain fees under certain circumstances; 16 
authorizing certain types of procurement to be conducted by electronic means; 17 
renaming the Electronic Transaction Fund in the Department to be the Operations 18 
Revenue Fund; altering the procedures used by certain units when procuring certain 19 
goods and services; repealing a requirement that a procurement officer post the 20 
amount of each bid at the time it is received; establishing that the Employment 21 
Works Program and an Employment Works Program vendor are not subject to 22 
certain cost savings requirements; altering the duties of the Pricing and Selection 23 
Committee; providing that certain provisions relating to the use of eMaryland 24  2 	HOUSE BILL 723  
 
 
Marketplace do not apply to certain emergency procurements; altering the dates of 1 
certain reporting requirements; and generally relating to State procurement. 2 
 
BY repealing and reenacting, with amendments,  3 
 Article – Correctional Services 4 
 Section 3–515 5 
 Annotated Code of Maryland 6 
 (2017 Replacement Volume and 2021 Supplement) 7 
 
BY repealing and reenacting, without amendments, 8 
 Article – State Finance and Procurement 9 
Section 3A–301(a) and 13–101(a) 10 
 Annotated Code of Maryland 11 
 (2021 Replacement Volume) 12 
 
BY repealing and reenacting, with amendments,  13 
 Article – State Finance and Procurement 14 
 Section 3A–301(d) and (f), 3A–401 3A–301(f), 4–206(a), 4–301, 4–302, 4–303, 4–307, 15 
 4–310, 4–311, 4–312, 4–313, 4–315, 4–316, 13–101 13–101(c), 13–102.1,  16 
 13–111, 13–226, 14–102, 14–106, 14–107, 14–405, 14–410(e), and 17–502 17 
 Annotated Code of Maryland 18 
 (2021 Replacement Volume) 19 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 20 
That the Laws of Maryland read as follows: 21 
 
Article – Correctional Services 22 
 
3–515.  23 
 
 (a) A unit of State government shall purchase from Maryland Correctional 24 
Enterprises any goods or services that are available from Maryland Correctional 25 
Enterprises and that Maryland Correctional Enterprises can provide at a price not 26 
exceeding the prevailing average market price as determined by the [Department of 27 
General Services] PRICING AND SELECTION COMMITTEE FOR PREFERRED 28 
PROVIDERS.  29 
 
 (b) THE PRICING AND SELECTION COMMITTEE FOR PREFERRED 30 
PROVIDERS SHALL REVIE W AND VERIFY THE PRE VAILING AVERAGE MARK ET 31 
PRICES, AS PROPOSED BY MARYLAND CORRECTIONAL ENTERPRISES: 32 
 
 (1) WHEN CHANGES ARE MADE TO THE PRIC ING OF EXISTING GOOD S 33 
AND SERVICES THAT AR E AVAILABLE FROM MARYLAND CORRECTIONAL 34 
ENTERPRISES; AND 35 
   	HOUSE BILL 723 	3 
 
 
 (2) FOR NEW GOODS OR SER VICES THAT MARYLAND CORRECTIONAL 1 
ENTERPRISES INTENDS T O MAKE AVAILABLE . 2 
 
 (C) (1) The contracting unit shall inform each unit of State government for 3 
which it procures goods or services within 60 days after the award of a contract. 4 
 
 (2) Quarterly, each unit that requires goods or services for its operations 5 
shall inform Maryland Correctional Enterprises of its anticipated orders during the next 6 
3–month period. 7 
 
 (3) If Maryland Correctional Enterprises is unable to provide any of the 8 
goods or services under the contract, Maryland Correctional Enterprises shall notify the 9 
contracting unit so that appropriate alternative action may be taken to meet the needs of 10 
units of State government for which the contracting unit procures goods or services. 11 
 
 [(c)] (D) The Board of Public Works: 12 
 
 (1) shall suspend the application of subsection (a) of this section if the 13 
Board of Public Works finds that the purposes of Division II of the State Finance and 14 
Procurement Article are being unduly eroded due to the volume and scope of activities and 15 
sales by Maryland Correctional Enterprises; and 16 
 
 (2) may suspend the application of subsection (a) of this section for data 17 
entry services that involve information that is protected from disclosure under Title 4 of 18 
the General Provisions Article. 19 
 
Article – State Finance and Procurement 20 
 
3A–301. 21 
 
 (a) In this subtitle the following words have the meanings indicated. 22 
 
 (d) (1) “Development” means all expenditures for a new information 23 
technology system or an enhancement to an existing system including system: 24 
 
 (i) planning; 25 
 
 (ii) [procurement; 26 
 
 (iii)] creation; 27 
 
 [(iv)] (III) installation; 28 
 
 [(v)] (IV) testing; and 29 
 
 [(vi)] (V) initial training. 30  4 	HOUSE BILL 723  
 
 
 
 (2) “Development” does not include: 1 
 
 (i) ongoing operating costs, software or hardware maintenance, 2 
routine upgrades, or modifications that merely allow for a continuation of the existing level 3 
of functionality; or 4 
 
 (ii) expenditures made after a new or enhanced system has been 5 
legally accepted by the user and is being used for the business process for which it was 6 
intended. 7 
 
 (f) “Information technology” means all electronic information processing 8 
[hardware and software], including: 9 
 
 (1) maintenance; 10 
 
 (2) telecommunications; [and] 11 
 
 (3) HARDWARE ; 12 
 
 (4) SOFTWARE; AND 13 
 
 [(3)] (5) associated [consulting] services. 14 
 
3A–401. 15 
 
 (a) The Department shall: 16 
 
 (1) coordinate the development, [procurement,] management, and 17 
operation of telecommunication equipment, systems, and services by State government; 18 
 
 (2) acquire and manage common user telecommunication equipment, 19 
systems, or services and charge units of State government for their proportionate share of 20 
the costs of installations, maintenance, and operation of the common user 21 
telecommunication equipment, systems, or services;  22 
 
 (3) promote compatibility of telecommunication systems by developing 23 
policies, procedures, and standards for the acquisition and use of telecommunication 24 
equipment, systems, and services by units of State government;  25 
 
 (4) coordinate State government telecommunication systems and services 26 
by reviewing requests by units of State government for telecommunication equipment, 27 
systems, or services; 28 
 
 (5) advise units of State government about planning, acquisition, and 29 
operation of telecommunication equipment, systems, or services; and  30   	HOUSE BILL 723 	5 
 
 
 
 (6) provide radio frequency coordination for State and local governments 1 
in accordance with regulations of the Federal Communications Commission. 2 
 
 (b) The Department may make arrangement for a user other than a unit of State 3 
government to have access to and use of State telecommunication equipment, systems, and 4 
services and shall charge the user any appropriate amount to cover the cost of installation, 5 
maintenance, and operation of the telecommunication equipment, system, or service 6 
provided.  7 
 
4–206. 8 
 
 (a) The following units are in the Department: 9 
 
 (1) the Board of Architectural Review; 10 
 
 (2) [the General Professional Services Selection Board; 11 
 
 (3) the Purchasing Bureau] THE OFFICE OF STATE PROCUREMENT ; 12 
and  13 
 
 [(4)] (3) any other unit that is in the Department under any other law. 14 
 
4–301.  15 
 
 (a) In this subtitle the following words have the meanings indicated. 16 
 
 (b) “Bid” means a bid, proposal, or other response to a solicitation. 17 
 
(C) (1) “SERVICES” MEANS THE RENDERING OF TIME, EFFORT, OR WORK, 18 
RATHER THAN THE FURN ISHING OF A SPECIFIC PHYSICAL PRODUCT OTH ER THAN 19 
REPORTS INCIDENTAL T O THE REQUIRED PERFO RMANCE. 20 
 
 (2) “SERVICES” 	INCLUDES MAINTENANCE	,  21 
CONSTRUCTION –RELATED SERVICES , ARCHITECTURAL SERVICES , ENGINEERING 22 
SERVICES, AND THE PROFESSIONAL , PERSONAL, OR CONTRACTUAL SERVI CES 23 
PROVIDED BY ATTORNEY S, ACCOUNTANTS , PHYSICIANS, CONSULTANTS , AND OTHER 24 
PROFESSIONALS WHO AR E INDEPENDENT CONTRA CTORS. 25 
 
 [(c)] (D) “Supplies” means tangible property, including equipment and 26 
materials. 27 
 
4–302. 28 
 
 There is [a Purchasing Bureau] AN OFFICE OF STATE PROCUREMENT in the 29 
Department. 30  6 	HOUSE BILL 723  
 
 
 
4–303. 1 
 
 The Secretary may delegate any power or duty set forth in Part I or Part II of this 2 
subtitle to the Chief [of the Purchasing Bureau] PROCUREMENT OFFICER OF THE 3 
OFFICE OF STATE PROCUREMENT . 4 
 
4–307. 5 
 
 The Secretary OR THE CHIEF PROCUREMENT OFFICER shall provide a copy of 6 
each award for supplies to the requisitioning unit. 7 
 
4–310. 8 
 
 Except as otherwise specifically provided by law, each unit of the Executive Branch 9 
of the State Government shall purchase all supplies AND SERVICES through or with the 10 
approval of the Secretary OR THE CHIEF PROCUREMENT OFFICER. 11 
 
4–311. 12 
 
 [An] EXCEPT AS OTHERWISE S PECIFICALLY PROVIDED BY LAW, AN invoice for 13 
supplies purchased by the Secretary, BY THE CHIEF PROCUREMENT OFFICER, or by any 14 
unit that procures supplies under Division II of this article may not be paid until the invoice 15 
has been approved by the Secretary, THE CHIEF PROCUREMENT OFFICER, or a designee 16 
of the Secretary OR THE CHIEF PROCUREMENT OFFICER. 17 
 
4–312. 18 
 
 [Consistent] EXCEPT AS OTHERWISE S PECIFICALLY PROVIDED BY LAW AND 19 
CONSISTENT with Division II of this article, the Secretary OR CHIEF PROCUREMENT 20 
OFFICER shall set standards for supplies to be purchased by a unit, including standards 21 
for electronic equipment used by State employees or the public for communications that are 22 
consistent with the standards for nonvisual access information technology issued under § 23 
3–410 of this article. 24 
 
4–313. 25 
 
 Consistent with Division II of this article, the Secretary OR THE CHIEF 26 
PROCUREMENT OFFICER shall contract for or purchase any supplies OR SERVICES for a 27 
unit except: 28 
 
 (1) an item that the Secretary OR CHIEF PROCUREMENT OFFICER: 29 
 
 [(1)] (I) determines is strictly perishable; 30 
   	HOUSE BILL 723 	7 
 
 
 [(2)] (II) determines is impracticable for the unit to purchase through or 1 
with the approval of the Secretary OR CHIEF PROCUREMENT OFFICER; or  2 
 
 [(3)] (III) permits the unit to purchase with the approval of the Secretary 3 
OR CHIEF PROCUREMENT OFFICER; OR 4 
 
 (2) SUPPLIES OR SERVICES AUTHORIZED BY STATUT E TO BE 5 
PROCURED BY ANOTHER PRIMARY PROCUREMENT UNIT OR DELEGATED TO 6 
ANOTHER UNIT . 7 
 
4–315. 8 
 
 (a) An employee of a unit that procures supplies under Division II of this article 9 
whose salary and expenses are paid from the fees of the employee’s office may not pay any 10 
contractor or seller for any article of any kind acquired for the unit unless the invoice 11 
approved by the employee is also approved by the Secretary OR CHIEF PROCUREMENT 12 
OFFICER or a designee of the Secretary OR CHIEF PROCUREMENT OFFICER. 13 
 
 (b) The Governor may remove an employee for any violation of the provisions of 14 
this section. 15 
 
4–316. 16 
 
 (a) Subject to the initial approval of the Secretary OR CHIEF PROCUREMENT 17 
OFFICER, the appropriate purchasing unit for the following entities may use the services 18 
of the Department to purchase SERVICES, materials, supplies, and equipment: 19 
 
 (1) a county; 20 
 
 (2) a municipality; 21 
 
 (3) a governmental unit in the State; 22 
 
 (4) a public or quasi–public agency that: 23 
 
 (i) receives State money; and 24 
 
 (ii) is exempt from taxation under § 501(c)(3) of the Internal Revenue 25 
Code; 26 
 
 (5) a private elementary or secondary school that: 27 
 
 (i) either has been issued a certificate of approval from the State 28 
Board of Education or is accredited by the Association of Independent Schools; and  29 
  8 	HOUSE BILL 723  
 
 
 (ii) is exempt from taxation under § 501(c)(3) of the Internal Revenue 1 
Code; or 2 
 
 (6) a nonpublic institution of higher education as provided under § 17–106 3 
of the Education Article. 4 
 
 (b) Notwithstanding subsection (a)(5) and (6) of this section, the Department may 5 
not purchase religious materials on behalf of a private elementary or secondary school or a 6 
nonpublic institution of higher education. 7 
 
 (c) The purchasing authority under this section is in addition to, and not a 8 
substitution for, the purchasing power of an entity under another law. 9 
 
13–101. 10 
 
 (a) In this subtitle the following words have the meanings indicated. 11 
 
 (b) “Designated procurement unit” means: 12 
 
 (1) [the Department of Budget and Management; 13 
 
 (2)] the Department of General Services; 14 
 
 [(3) the Department of Information Technology; or] 15 
 
 [(4)] (2) the Department of Transportation; OR 16 
 
 (3) THE DEPARTMENT OF INFORMATION TECHNOLOGY , ONLY WITH 17 
RESPECT TO AN INFORM ATION TECHNOLOGY MAS TER CONTRACT EXECUTE D 18 
BEFORE JULY 1, 2022, UNTIL THE EARLIER OF : 19 
 
 (I) THE EXPIRATION DATE OF ALL INFORMATION T ECHNOLOGY 20 
MASTER CONTRACTS ; OR  21 
 
 (II) JUNE 30, 2027. 22 
 
 (c) “eMaryland Marketplace” OR “EMARYLAND MARKETPLACE ADVANTAGE” 23 
means the Internet–based procurement system managed by the Department of General 24 
Services. 25 
 
 (d) “Evaluated bid price” means the price of a bid after adjustment in accordance 26 
with objective measurable criteria. 27 
 
 (e) “Master contracting” means a streamlined procurement method that provides 28 
for the qualification of bidders and offerors for the procurement of services, supplies, or 29 
commodities.  30   	HOUSE BILL 723 	9 
 
 
 
 (f) (1) “Objective measurable criteria” means standards that enable the State 1 
to compare the economy, effectiveness, or value of the subject of the bids. 2 
 
 (2) “Objective measurable criteria” includes standards of reliability, 3 
operational costs, maintainability, useful life, and residual value. 4 
 
 (g) “Person” includes, unless the context requires otherwise: 5 
 
 (1) the State; 6 
 
 (2) a county, a municipal corporation, or any other political subdivision; 7 
 
 (3) any unit of the State government or a political subdivision. 8 
 
 (h) “Task order” means a procurement process in which only those vendors with 9 
master contracts may compete to provide the services, supplies, or commodities under the 10 
procurement. 11 
 
13–102.1. 12 
 
 (a) A unit may not charge a fee to access eMaryland Marketplace. 13 
 
 (b) (1) Subject to approval by the Board of Public Works, the Chief 14 
Procurement Officer may establish fees for the use of eMaryland Marketplace by an entity 15 
that publishes a notice of a procurement, conducts a procurement, or publishes a notice of 16 
award. 17 
 
 (2) The Chief Procurement Officer may not charge a unit, as defined in § 18 
11–101(y) of this article, a fee under this subsection. 19 
 
 (C) SUBJECT TO APPROVAL B Y THE BOARD OF PUBLIC WORKS, THE CHIEF 20 
PROCUREMENT OFFICER, IN CONSULTATION WITH THE DEPARTMENT OF BUDGET 21 
AND MANAGEMENT , MAY ESTABLISH FEES F OR: 22 
 
 (1) TRAINING; 23 
 
 (2) STRATEGIC SOURCING ; AND 24 
 
 (3) ADMINISTRATIVE COSTS . 25 
 
 [(c)] (D) (1) There is an [Electronic Transaction] OPERATIONS REVENUE 26 
Fund in the Department of General Services. 27 
 
 (2) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of 28 
this article. 29  10 	HOUSE BILL 723  
 
 
 
 (3) The State Treasurer shall hold the Fund separately, and the 1 
Comptroller shall account for the Fund. 2 
 
 (4) The Fund consists of any fees imposed and collected under [paragraph] 3 
SUBSECTION (b)(1) OR (C) of this [subsection] SECTION and § 13–226(c) of this title. 4 
 
 (5) The Fund shall be used by the Department of General Services to cover 5 
the actual documented direct and indirect [costs of administering contracts through the use 6 
of electronic transactions] OPERATING EXPENSES O F THE OFFICE OF STATE 7 
PROCUREMENT . 8 
 
13–111. 9 
 
 (a) This section applies to the procurement of supplies[, with an estimated 10 
contract value of $1,000,000 or more,] AND SERVICES by a primary procurement unit. 11 
 
 (b) (1) Whenever the head of a primary procurement unit or designee 12 
determines that it is in the best interest of the State for a procurement contract to be based 13 
on auction bids, a procurement officer shall seek bids by issuing an invitation for auction 14 
bids. 15 
 
 (2) Subject to subsection (c) of this section, an invitation for auction bids 16 
shall include: 17 
 
 (i) the specifications of the procurement contract; 18 
 
 (ii) whether the procurement contract will be awarded based on the 19 
lowest bid price or the lowest evaluated bid price; 20 
 
 (iii) if the procurement contract will be based on evaluated bid price, 21 
the objective measurable criteria by which the lowest evaluated bid price will be 22 
determined;  23 
 
 (iv) the small business preference, if designated under § 13–103 of 24 
this subtitle; and  25 
 
 (v) the date and time when bidding will commence and the date and 26 
time when bidding will end or the event upon which bidding will end. 27 
 
 (c) (1) In the discretion of the procurement officer, the invitation for auction 28 
bids may: 29 
 
 (i) include a request for unpriced technical offers or samples; 30 
   	HOUSE BILL 723 	11 
 
 
 (ii) direct bidders to submit price bids after the unit evaluates the 1 
technical offers or samples and finds they are acceptable under the criteria set forth in the 2 
invitation for auction bids; and 3 
 
 (iii) inform all bidders who submitted technical offers or samples of 4 
the identity of each bidder who submitted an acceptable technical offer or sample. 5 
 
 (2) Price bids may not be received until after the unit has completed 6 
evaluation of the technical offers or samples. 7 
 
 (3) A price bid may not be received at any time if the bid is submitted by a 8 
bidder whose technical offer or sample has been evaluated as unacceptable to the unit. 9 
 
 (d) A unit shall give public notice of an invitation for auction bids in the same 10 
manner as required for an invitation for bids. 11 
 
 (e) (1) (i) Multiple price bids are permitted in response to an invitation for 12 
auction bids. 13 
 
 (ii) When a bidder submits multiple bids, each bid shall be judged 14 
independently and shall not revoke previous bids of that bidder. 15 
 
 (2) A procurement officer shall: 16 
 
 (i) receive bids in public at the time and place designated in the 17 
invitation for auction bids; and  18 
 
 (ii) record [and post] the amount of each bid at the time it is received. 19 
 
 (3) (i) The amount of a price bid shall be available for public inspection 20 
from the time it is received. 21 
 
 (ii) The identity of the bidder submitting a price bid shall not be 22 
available for public inspection until bidding has ended. 23 
 
 (4) Except as provided in paragraph (5) of this subsection, a bid is 24 
irrevocable, after receipt, for the period specified in the invitation for auction bids. 25 
 
 (5) A procurement officer may allow a bidder to correct or withdraw a bid 26 
if correction or withdrawal is: 27 
 
 (i) allowed under regulations adopted under this Division II 28 
applicable to an invitation for bids; and  29 
 
 (ii) approved in writing by the Office of the Attorney General. 30 
  12 	HOUSE BILL 723  
 
 
 (f) (1) After obtaining any approval required by law, the procurement officer 1 
shall award the procurement contract to the responsible bidder who submits the responsive 2 
bid that: 3 
 
 (i) is the lowest bid price; or 4 
 
 (ii) if the invitation for auction bids so provides, is the lowest 5 
evaluated bid price. 6 
 
 (2) If, after bids have been received, a procurement officer determines that 7 
only one responsible bidder has submitted a responsive bid, the unit may negotiate the 8 
procurement contract with that one bidder under the procedure for sole source 9 
procurement.  10 
 
 (3) (i) After bids have been received, a procurement officer may award 11 
a procurement contract on the basis of revised bids if: 12 
 
 1. all bids are rejected under § 13–206(b) of this title; 13 
 
 2. all bid prices exceed the funds available for the 14 
procurement; or  15 
 
 3. with the approval of the head of a primary procurement 16 
unit or a designee, the procurement officer determines that all bids are unreasonable as to 17 
at least one requirement and delay that would result from issuing a new invitation for 18 
auction bids with revised specifications or quantities would be fiscally disadvantageous or 19 
otherwise not in the best interests of the State. 20 
 
 (ii) If there is more than one bidder, discussion about revised 21 
specifications or quantities shall be conducted with all responsible bidders who submitted 22 
responsive bids. The bidders shall be treated fairly and equally with respect to any 23 
discussions. 24 
 
 (iii) If one of the conditions set forth under subparagraph (i) of this 25 
paragraph exists, as promptly as possible, the procurement officer shall: 26 
 
 1. issue an invitation for revised auction bids, which shall 27 
state whether the award will be made without competitive negotiations; and 28 
 
 2. requires a prompt response to that invitation. 29 
 
 (iv) An invitation for revised auction bids is not subject to the notice 30 
requirements in subsection (d) of this section. 31 
 
 (v) After revised bids have been submitted, negotiations with 32 
bidders may not be conducted unless the procurement officer determines that there is a 33 
compelling reason to negotiate. 34   	HOUSE BILL 723 	13 
 
 
 
 (vi) After revised bids have been received and any approval required 1 
by law has been obtained, the procurement officer shall award the procurement contract to 2 
the responsible bidder who submits a responsive bid that: 3 
 
 1. is the lowest bid price; or 4 
 
 2. if the invitation for revised bids so provides, is the lowest 5 
evaluated bid price. 6 
 
 (g) Not more than 30 days after the execution and approval of a procurement 7 
contract awarded under this section, a unit shall publish notice of the award in eMaryland 8 
Marketplace. 9 
 
13–226. 10 
 
 (a) Unless otherwise prohibited by law, a primary procurement unit may conduct 11 
procurement, including the solicitation[, bidding] OF BIDS OR PROPOSALS , 12 
EVALUATION , award, execution, and administration of a contract, by electronic means as 13 
provided in the Uniform Electronic Transactions Act in Title 21 of the Commercial Law 14 
Article. 15 
 
 (b) Bidding OR SUBMITTING A PROP OSAL on a procurement contract by 16 
electronic means shall constitute consent by the bidder OR PROPOSER to conduct by 17 
electronic means all elements of the procurement of that contract which the unit agrees to 18 
conduct by electronic means. 19 
 
 (c) (1) (i) Except as provided in paragraph (2) of the subsection, a unit 20 
utilizing electronic means to conduct procurement or a private contractor furnishing to the 21 
State electronic means for conducting procurement may charge a reasonable fee, [as 22 
determined in consultation with] ON APPROVAL BY the Chief Procurement Officer, to the 23 
bidder, PROPOSER, OR EACH CONTRACT AWA RDEE for the use of the electronic means. 24 
 
 (ii) Any fees collected under subparagraph (i) of this paragraph shall 25 
be deposited in the [Electronic Transaction] OPERATIONS REVENUE Fund established 26 
under § 13–102.1(c) of this subtitle. 27 
 
 (2) Unless approved by the Board of Public Works, a fee may not be charged 28 
under this subsection. 29 
 
 (d) The terms and conditions of a procurement conducted under this section shall 30 
comply with the Uniform Electronic Transactions Act in Title 21 of the Commercial Law 31 
Article. 32 
 
14–102. 33 
  14 	HOUSE BILL 723  
 
 
 (a) Notwithstanding any other provision of this Division II, a State or State aided 1 
or controlled entity shall buy supplies and services in accordance with § 14–103 of this 2 
subtitle. 3 
 
 (b) The procurement of services from [a sheltered workshop] THE EMPLOYMENT 4 
WORKS PROGRAM OR AN EMPLOYMENT WORKS PROGRAM VENDOR is not subject to 5 
the cost savings requirements of § 13–405 of the State Personnel and Pensions Article. 6 
 
14–106. 7 
 
 (a) In this section, “Committee” means the Pricing and Selection Committee for 8 
[Blind Industries and Services of Maryland and the Employment Works Program ] 9 
PREFERRED PROVIDERS. 10 
 
 (b) There is a Pricing and Selection Committee for [Blind Industries and Services 11 
of Maryland and the Employment Works Program] PREFERRED PROVIDERS. 12 
 
 (c) The Committee consists of the following 5 members: 13 
 
 (1) the Secretary of Transportation or a designee; 14 
 
 (2) the Secretary of General Services or a designee; 15 
 
 (3) the Secretary of Public Safety and Correctional Services or a designee; 16 
 
 (4) the Assistant Secretary for Vocational Rehabilitation within the State 17 
Department of Education or a designee; and  18 
 
 (5) the Secretary of Labor or a designee. 19 
 
 (d) A member of the Committee: 20 
 
 (1) may not receive compensation; but  21 
 
 (2) is entitled to reimbursement for expenses under the Standard State 22 
Travel Regulations as provided in the State budget. 23 
 
 (e) (1) Blind Industries and Services of Maryland shall provide staff for the 24 
Committee. 25 
 
 (2) The staff provided in accordance with paragraph (1) of this subsection 26 
shall: 27 
 
 (i) be a blind or a visually impaired associate of Blind Industries 28 
and Services of Maryland; and 29 
   	HOUSE BILL 723 	15 
 
 
 (ii) complete work related to the duties of the Committee regarding 1 
Blind Industries and Services of Maryland under the supervision and direction of the 2 
Committee. 3 
 
 (f) The Committee shall: 4 
 
 (1) ensure that supplies and services provided by Blind Industries and 5 
Services of Maryland or [a] AN EMPLOYMENT WORKS PROGRAM community service 6 
provider create work opportunities for individuals who have a mental or physical disability, 7 
including blindness, for which Blind Industries and Services of Maryland or the 8 
EMPLOYMENT WORKS PROGRAM community service provider was established to assist; 9 
 
 (2) set the prices of supplies and services that Blind Industries and 10 
Services of Maryland provides to reflect the fair market prices for the supplies and services; 11 
 
 (3) REVIEW AND VERIFY T HE PREVAILING AVERAG E MARKET PRICES , 12 
AS PROPOSED BY MARYLAND CORRECTIONAL ENTERPRISES:  13 
 
 (I) WHEN CHANGES ARE MAD E TO THE PRICING OF EXISTING 14 
SUPPLIES AND SERVICE S THAT ARE AVAILABLE FROM MARYLAND CORRECTIONAL 15 
ENTERPRISES; AND 16 
 
 (II) FOR NEW SUPPLIES OR SERVICES THAT MARYLAND 17 
CORRECTIONAL ENTERPRISES INTENDS T O MAKE AVAILABLE ; 18 
 
 [(3)] (4) establish procedures to govern procurement of supplies [and], 19 
services, AND OTHER SALES from EMPLOYMENT WORKS PROGRAM community service 20 
providers and individual with disability owned businesses; 21 
 
 [(4)] (5) from the State procurement list, choose appropriate supplies 22 
[and], services, AND OTHER SALES for EMPLOYMENT WORKS PROGRAM community 23 
service providers and individual with disability owned businesses to offer for procurement; 24 
 
 [(5)] (6) provide that the State procure those supplies [and], services, 25 
AND OTHER SALES from [a] AN EMPLOYMENT WORKS PROGRAM community service 26 
provider or an individual with disability owned business; 27 
 
 [(6)] (7) if supplies [or], services, OR OTHER SALES are not available for 28 
procurement from a unit of the State GOVERNMENT , determine whether supplies [or], 29 
services, OR OTHER SALES are available from [a] AN EMPLOYMENT WORKS PROGRAM 30 
community service provider or an individual with disability owned business; 31 
 
 [(7)] (8) determine the fair market price of supplies [and], services, AND 32 
OTHER SALES that EMPLOYMENT WORKS PROGRAM community service providers and 33 
individual with disability owned businesses provide; 34  16 	HOUSE BILL 723  
 
 
 
 [(8)] (9) in accordance with market conditions, adjust prices for the 1 
supplies [and], services, AND OTHER SALES that EMPLOYMENT WORKS PROGRAM 2 
community service providers and individual with disability owned businesses provide; and 3 
 
 [(9)] (10) at the request of a community service provider or an individual 4 
with disability owned business, review and, if appropriate, change the price of a supply or 5 
service. 6 
 
 (g) In addition to the duties specified under subsection (f) of this section, the 7 
committee shall: 8 
 
 (1) establish and periodically review eligibility policies or guidelines for 9 
participating community service providers and individual with disability owned 10 
businesses; 11 
 
 (2) maintain a current list of community service providers and individual 12 
with disability owned businesses; 13 
 
 (3) periodically review and revise its list of community service providers 14 
and individual with disability owned businesses; and 15 
 
 (4) send any revised list to the [Secretary of General Services] CHIEF 16 
PROCUREMENT OFFICER who shall make the list available to each person responsible 17 
for buying supplies or services for the State or a State aided or controlled entity. 18 
 
14–107. 19 
 
 The Pricing and Selection Committee for [Blind Industries and Services of Maryland 20 
and the Employment Works Program] PREFERRED PROVIDERS shall: 21 
 
 (1) (i) maintain a current list of supplies and services that Blind 22 
Industries and Services of Maryland provides; [and] 23 
 
 (ii) maintain a current list of supplies [and], services, AND OTHER 24 
SALES that community service providers and individual with disability owned businesses 25 
provide; AND 26 
 
 (III) MAINTAIN A CURRENT L IST OF SUPPLIES AND SERVICES 27 
THAT MARYLAND CORRECTIONAL ENTERPRISES PROVIDES ; 28 
 
 (2) periodically review and revise the lists of supplies [and], services, AND 29 
OTHER SALES maintained in accordance with item (1) of this section; and 30 
 
 (3) send the lists, and any revised lists, to the [Secretary of General 31 
Services] CHIEF PROCUREMENT OFFICER who shall make the lists available to each 32   	HOUSE BILL 723 	17 
 
 
person responsible for buying supplies [or], services, OR OTHER SALES for the State or a 1 
State aided or controlled entity. 2 
 
14–405. 3 
 
 (a) (1) In this section the following words have the meanings indicated. 4 
 
 (2) “Environmentally preferable product or service” means a product or 5 
service that throughout the full life cycle of the product or service: 6 
 
 (i) is energy efficient, water efficient, biobased, nonozone depleting, 7 
made with recycled content, or nontoxic; or 8 
 
 (ii) has other attributes recognized as environmentally preferable by 9 
the Maryland Green Purchasing Committee. 10 
 
 (b) (1) To encourage the maximum purchase of environmentally preferable 11 
products and services, the Maryland Green purchasing Committee established under §  12 
14–410 of this subtitle shall establish environmentally preferable specifications to be 13 
adopted by State agencies. 14 
 
 (2) The environmentally preferable specifications shall be published and 15 
maintained online by the Maryland Green Purchasing Committee for use by State agencies. 16 
 
 (c) Each State unit shall review annually the procurement specifications 17 
currently used by the unit and, to the extent practicable: 18 
 
 (1) adopt the environmentally preferable specifications published by the 19 
Maryland Green Purchasing Committee; and 20 
 
 (2) revise the unit’s procurement specifications in accordance with §  21 
14–410 of this subtitle. 22 
 
 (d) On or before [September] OCTOBER 1 of each year, each unit shall report to 23 
the Department of General Services on the unit’s procurement of environmentally 24 
preferable products and services as a percentage of the unit’s gross purchases during the 25 
preceding fiscal year, including the types and quantities of products and services procured. 26 
 
 (e) (1) Except as provided in paragraph (2) of this subsection, this section is 27 
broadly applicable to all procurements by the State if the quality of the product or service 28 
is consistent with the requirements of the bid specifications. 29 
 
 (2) Only to the extent necessary to prevent the denial of federal money or 30 
eliminate the inconsistency with federal law, this section does not apply to a procurement 31 
by the State if the procurement officer determines that compliance with this section would: 32 
 
 (i) cause denial of federal money; or 33  18 	HOUSE BILL 723  
 
 
 
 (ii) be inconsistent with the requirements of federal law. 1 
 
14–410. 2 
 
 (e) On or before [October 1] DECEMBER 31 of each year, the Committee shall 3 
report to the General Assembly, in accordance with § 2–1257 of the State Government 4 
Article, on the Committee’s activities and the progress made as a result of the 5 
implementation of this section. 6 
 
17–502. 7 
 
 (a) THIS SECTION DOES NOT APPLY TO EMERGENCY P ROCUREMENT UNDER 8 
§ 13–108 OF THIS DIVISION II. 9 
 
 (B) In addition to any other provision of law, the following persons shall use 10 
eMaryland Marketplace to publish notice of a procurement [or] AND publish a notice of 11 
award of a procurement that is at the same amount or exceeds the amount required by the 12 
Board for a State contract to be published in eMaryland Marketplace: 13 
 
 (1) a unit of State government; 14 
 
 (2) a county; 15 
 
 (3) a municipality; 16 
 
 (4) a bicounty or multicounty governmental agency; 17 
 
 (5) a special tax district, sanitary district, drainage district, soil 18 
conservation district, and water supply district; 19 
 
 (6) a public institution of higher education; 20 
 
 (7) a public school; and  21 
 
 (8) except for the Maryland Health and Higher Educational Facilities 22 
Authority, an entity exempt from the provisions of this Division II in accordance with §  23 
11–203 of this article. 24 
 
 [(b)] (C) This section may not be construed to prohibit a person listed in 25 
subsection [(a)] (B) of this section from publishing notice of a procurement or publishing a 26 
notice of award in accordance with any other law or policy. 27 
 
 [(c)] (D) An unintentional violation of this section may not constitute grounds to 28 
challenge or appeal: 29 
   	HOUSE BILL 723 	19 
 
 
 (1) the award of a procurement; or 1 
 
 (2) the process through which a procurement was conducted. 2 
 
 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 3 
1, 2022. 4 
 
 
 
 
 
Approved: 
________________________________________________________________________________  
 Governor. 
________________________________________________________________________________  
  Speaker of the House of Delegates. 
________________________________________________________________________________  
         President of the Senate.