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*hb0063*
HOUSE BILL 63
P2, M2, M4 (3lr0676)
ENROLLED BILL
— Health and Government Operations/Education, Energy, and the Environment —
Introduced by Delegate Charkoudian Delegates Charkoudian, Alston, Bagnall,
Bhandari, Chisholm, Cullison, Guzzone, Hill, Hutchinson, S. Johnson,
Kaiser, Kerr, Kipke, R. Lewis, Lopez, Martinez, M. Morgan, Pena–Melnyk,
Reilly, Rosenberg, Szeliga, Taveras, White, and Woods
Read and Examined by Proofreaders:
_______________________________________________
Proofreader.
_______________________________________________
Proofreader.
Sealed with the Great Seal and presented to the Governor, for his approval this
_______ day of _______________ at ________________________ o’clock, ________M.
______________________________________________
Speaker.
CHAPTER ______
AN ACT concerning 1
Certified Local Farm and Chesapeake Invasive Species Provider Fish Program 2
– Establishment 3
FOR the purpose of altering the Certified Local Farm Enterprise Program to be the 4
Certified Local Farm and Chesapeake Invasive Species Provider Fish Program; 5
expanding the purpose of the Program to include food from certified Chesapeake 6
invasive species providers in the overall percentage goal for certain procurement 7
contracts; altering the Certified Local Farm Enterprise Food Aggregation Grant 8
Fund to be the Certified Local Farm and Chesapeake Invasive Species Provider Fish 9
Food Aggregation Grant Fund; and generally relating to the Certified Local Farm 10
and Chesapeake Invasive Species Provider Fish Program and the Certified Local 11 2 HOUSE BILL 63
Farm and Chesapeake Invasive Species Provider Fish Food Aggregation Grant 1
Fund. 2
BY repealing and reenacting, with amendments, 3
Article – Education 4
Section 9.11–101 5
Annotated Code of Maryland 6
(2022 Replacement Volume) 7
BY repealing and reenacting, without amendments, 8
Article – State Finance and Procurement 9
Section 11–203(e)(1) and (2) 10
Annotated Code of Maryland 11
(2021 Replacement Volume and 2022 Supplement) 12
BY repealing and reenacting, with amendments, 13
Article – State Finance and Procurement 14
Section 11–203(e)(5)(i); and 14–701 through 14–708 to be under the amended 15
subtitle “Subtitle 7. Certified Local Farm and Chesapeake Invasive Species 16
Provider Fish Program” 17
Annotated Code of Maryland 18
(2021 Replacement Volume and 2022 Supplement) 19
BY repealing and reenacting, with amendments, 20
Article – Tax – Property 21
Section 13–209(g)(3)(i)2. 22
Annotated Code of Maryland 23
(2019 Replacement Volume and 2022 Supplement) 24
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 25
That the Laws of Maryland read as follows: 26
Article – Education 27
9.11–101. 28
(a) In this title the following words have the meanings indicated. 29
(b) “Fund” means the Maryland Farm–to–School Meal Grant Fund. 30
(c) “Local” means an agricultural product grown, harvested, produced, or 31
processed from a certified local farm [enterprise]. 32
(d) “Pilot program” means the Maryland Farm –to–School Meal Grant Pilot 33
Program. 34
Article – State Finance and Procurement 35 HOUSE BILL 63 3
11–203. 1
(e) (1) In this subsection, “University” means the University System of 2
Maryland, Morgan State University, or St. Mary’s College of Maryland. 3
(2) Except as otherwise provided in this subsection, this Division II does 4
not apply to the University System of Maryland, Morgan State University, St. Mary’s 5
College of Maryland, or Baltimore City Community College. 6
(5) (i) Except as provided in paragraph (7) of this subsection, the 7
following provisions of Division II of this article apply to a University and to Baltimore City 8
Community College: 9
1. § 11–205 of this subtitle (“Collusion”); 10
2. § 11–205.1 of this subtitle (“Falsification, concealment, 11
etc., of material facts”); 12
3. § 13–219 of this article (“Required clauses – 13
Nondiscrimination clause”); 14
4. § 13–225 of this article (“Retainage”); 15
5. Title 14, Subtitle 3 of this article (“Minority Business 16
Participation”); 17
6. Title 14, Subtitle 7 of this article (“Certified Local Farm 18
[Enterprise] AND CHESAPEAKE INVASIVE SPECIES PROVIDER FISH Program”); 19
7. Title 15, Subtitle 1 of this article (“Procurement Contract 20
Administration”); 21
8. § 15–226 of this article (“Policy established; timing of 22
payments; notice upon nonpayment; disputes; appeals”); and 23
9. Title 16 of this article (“Suspension and Debarment of 24
Contractors”). 25
Subtitle 7. Certified Local Farm [Enterprise] AND CHESAPEAKE INVASIVE SPECIES 26
PROVIDER FISH Program. 27
14–701. 28
(a) In this subtitle the following words have the meanings indicated. 29
4 HOUSE BILL 63
(B) “CERTIFIED CHESAPEAKE INVASIVE S PECIES” MEANS A FINFISH 1
SPECIES THAT IS: 2
(1) RANKED AS HIGH PRIOR ITY IN THE MARYLAND AQUATIC 3
NUISANCE SPECIES MANAGEMENT PLAN; AND 4
(2) HARVESTED FROM THE CHESAPEAKE BAY OR ITS TRIBUTARIE S. 5
(C) “CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER ” MEANS A 6
PERSON LICENSED AND AUTHORIZED AS A SEAF OOD DEALER UNDER § 4–701 OF THE 7
NATURAL RESOURCES ARTICLE THAT: 8
(1) IS CERTIFIED BY THE DEPARTMENT IN ACCORDA NCE WITH 9
REGULATIONS ADOPTED UNDER THIS SUBTITLE; AND 10
(2) CAN DEMONSTRATE THAT THE PERSON ’S PRODUCT IS A 11
CERTIFIED CHESAPEAKE INVASIVE S PECIES. 12
[(b)] (D) “Certified local [farm enterprise”] FARM” means a local farm 13
enterprise that: 14
(1) meets the nutrient management requirements established under Title 15
8, Subtitle 8 of the Agriculture Article; and 16
(2) is certified by the Department in accordance with regulations adopted 17
under this subtitle. 18
[(c)] (E) “Department” means the Department of Agriculture. 19
[(d)] (F) “Office” means the Office for the Certified Local Farm [Enterprise] AND 20
CHESAPEAKE INVASIVE SPECIES PROVIDER FISH Program. 21
[(e)] (G) “Program” means the Certified Local Farm [Enterprise] AND 22
CHESAPEAKE INVASIVE SPECIES PROVIDER FISH Program. 23
14–702. 24
(a) (1) There is an Office for the Certified Local Farm [Enterprise] AND 25
CHESAPEAKE INVASIVE SPECIES PROVIDER FISH Program in the Department. 26
(2) The purpose of the Office is to administer the Program and facilitate 27
the participation of certified local [farm enterprises] FARMS AND CERTIFIED 28
CHESAPEAKE INVASIVE S PECIES PROVIDERS in the Program. 29
HOUSE BILL 63 5
(b) (1) There is a Certified Local Farm [Enterprise] AND CHESAPEAKE 1
INVASIVE SPECIES PROVIDER FISH Program in the Office. 2
(2) The purpose of the Program is to encourage each unit to try to achieve 3
an overall percentage goal of 20% of the unit’s total dollar value of procurement contracts 4
for food from certified local [farm enterprises] FARMS AND CERTIFIED CHESAPEAKE 5
INVASIVE SPECIES PRO VIDERS. 6
(c) The Department shall create two positions to provide staff for the Office. 7
14–703. 8
(a) (1) Each unit shall structure procurement procedures, consistent with the 9
purposes of this subtitle, to try to achieve an overall percentage goal of 20% of the unit’s 10
total dollar value of procurement contracts for food being made directly or indirectly to 11
certified local [farm enterprises] FARMS AND CERTIFIED CHESAPEAKE INVASIVE 12
SPECIES PROVIDERS . 13
(2) A unit may achieve the 20% goal through: 14
(i) competitive sealed bids and proposals; and 15
(ii) small procurement in accordance with § 13–109 of this article. 16
(3) For procurements conducted by competitive sealed bidding, a unit shall 17
award the contract to the responsible bidder that submits the responsive bid that: 18
(i) 1. has the lowest bid price; 19
2. has the lowest evaluated bid price; or 20
3. for procurements subject to § 11–202(3) of this article, is 21
the bid most favorable to the State; and 22
(ii) meets or makes a good faith effort to meet any applicable goal 23
established under this subtitle. 24
(4) For procurements conducted by competitive sealed proposals, a unit 25
shall award the contract to the responsible offeror: 26
(i) proposing the most advantageous offer; and 27
(ii) that meets or makes a good faith effort to meet any applicable 28
goal established under this subtitle. 29
6 HOUSE BILL 63
(b) The Office, in consultation with the Secretary of Agriculture, shall establish 1
guidelines for each unit to consider when determining the appropriate local farm 2
[enterprise] AND CHESAPEAKE INVASIVE S PECIES PROVIDER participation percentage 3
goal for a procurement contract for food in accordance with subsection (c) of this section. 4
(c) Each unit shall: 5
(1) consider the practical severability of all procurement contracts for food 6
and, in accordance with § 11–201 of this article, may not bundle contracts; 7
(2) implement a program that will enable the unit to evaluate each 8
procurement contract for food to determine the appropriate local farm [enterprise] AND 9
CHESAPEAKE INVASIVE S PECIES PROVIDER participation goals, if any, for the contract 10
based on: 11
(i) the availability of certified local [farm enterprises] FARMS AND 12
CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDERS to respond competitively to 13
contract opportunities; and 14
(ii) the contract goal guidelines established under subsection (b) of 15
this section; 16
(3) monitor and collect data with respect to a unit’s compliance with 17
contract goals, including explanations for failing to meet contract goals; and 18
(4) institute corrective action when a unit does not make good faith efforts 19
to comply with contract goals. 20
(d) The Office shall, in consultation with the Secretary of Agriculture, establish 21
procedures governing how the participation of certified local [farm enterprises] FARMS 22
AND CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDERS is counted toward 23
contract goals under the Program. 24
(e) (1) (i) If a unit does not achieve the certified local farm [enterprise] 25
AND CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER participation goals on a 26
procurement contract for food, the unit shall demonstrate to the Office that the unit took 27
all necessary and reasonable steps to achieve the goals. 28
(ii) A waiver of any part of the certified local farm [enterprise] AND 29
CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER goals for a procurement 30
contract for food shall be granted if a unit provides to the Office a reasonable demonstration 31
of good faith efforts to achieve the goals. 32
(2) The Office may waive any of the requirements of this subsection 33
relating to the establishment, use, and waiver of certified local farm [enterprise] AND 34
CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER goals for a sole source, 35 HOUSE BILL 63 7
expedited, or emergency procurement in which the public interest cannot reasonably 1
accommodate use of those requirements. 2
(3) Except for waivers granted in accordance with paragraph (2) of this 3
subsection, when a waiver determination is made, the Office shall issue the determination 4
in writing. 5
(4) On or before July 31 each year, the Office shall submit directly to the 6
Board an annual report of waivers requested and waivers granted under this subsection. 7
(5) The report required under paragraph (4) of this subsection shall contain 8
the following information on those procurement contracts for food where the Office 9
considered a unit’s request for waiver of all or a portion of the local farm [enterprise] AND 10
CHESAPEAKE INVASIVE S PECIES PROVIDER goals: 11
(i) the contract titles, numbers, and dates; 12
(ii) the number of waiver requests received; 13
(iii) the number of waiver requests granted; and 14
(iv) any other information specifically requested by the Board. 15
(f) The Board shall keep a record of information regarding any waivers requested 16
in accordance with this section and submit a copy of the record to the Senate Education, 17
Health, and Environmental Affairs Committee and the House Health and Government 18
Operations Committee on or before October 1 each year, in accordance with § 2–1257 of the 19
State Government Article. 20
14–704. 21
(a) In accordance with Title 10, Subtitle 1 of the State Government Article, the 22
Office shall adopt regulations to implement this subtitle. 23
(b) The regulations shall establish procedures to be followed by units, certified 24
local [farm enterprises] FARMS AND CERTIFIED CHESAPEAKE INVASIVE S PECIES 25
PROVIDERS, and successful bidders or offerors to maximize notice to, and the opportunity 26
to participate in the food procurement process by, a broad range of local [farm enterprises] 27
FARMS AND CHESAPEAKE INVASIVE S PECIES PROVIDERS . 28
(c) The regulations shall include provisions: 29
(1) designating the Office to certify and decertify local [farm enterprises] 30
FARMS AND CHESAPEAKE INVASIVE S PECIES PROVIDERS for all units through a single 31
process, including provisions that promote and facilitate the submission of some or all of 32
the certification application through an electronic process; 33 8 HOUSE BILL 63
(2) specifying that a unit may not allow a local farm [enterprise] OR 1
CHESAPEAKE INVASIVE S PECIES PROVIDER to participate as if it were a certified local 2
farm [enterprise] OR CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER if the 3
local [farm enterprise’s] FARM’S OR CHESAPEAKE INVASIVE S PECIES PROVIDER ’S 4
certification is pending; 5
(3) consistent with this subtitle, relating to any circumstances under which 6
the Office may waive obligations of a unit relating to certified local farm [enterprise] AND 7
CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER participation goals; and 8
(4) that the Office considers necessary or appropriate to: 9
(i) encourage participation by local [farm enterprises] FARMS AND 10
CHESAPEAKE INVASIVE S PECIES PROVIDERS ; and 11
(ii) protect the integrity of the procurement process. 12
14–705. 13
(a) In the same manner and with the same fees as provided by law in civil cases, 14
in a matter regarding the decertification of a certified local farm [enterprise] OR 15
CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER , the Office may: 16
(1) subpoena witnesses; 17
(2) administer oaths; and 18
(3) compel the production of records, books, papers, and other documents. 19
(b) If a person fails to comply with a subpoena issued under subsection (a) of this 20
section, or fails to produce documents or other evidence, on petition of the Office, a court of 21
competent jurisdiction may pass an order directing compliance with the subpoena or 22
compelling the production of documents or other evidence. 23
(c) The Office shall make available a fraud hotline for reporting violations of this 24
section. 25
14–706. 26
(a) Within 90 days after the end of the fiscal year, each unit shall report to the 27
Office. 28
(b) A report under this section for the preceding fiscal year shall: 29
HOUSE BILL 63 9
(1) state the total number and value of procurement contracts for food 1
between the unit and certified local [farm enterprises] FARMS AND CERTIFIED 2
CHESAPEAKE INVASIVE S PECIES PROVIDERS ; 3
(2) indicate the percentage that those procurement contracts for food 4
represent of the total number and value of procurement contracts for food awarded by a 5
unit; 6
(3) state the total number and the names of certified local [farm 7
enterprises] FARMS AND CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDERS 8
that participated in procurement contracts for food awarded by a unit; 9
(4) for each certified local farm [enterprise] OR CERTIFIED CHESAPEAKE 10
INVASIVE SPECIES PROVIDER included in the report under item (3) of this subsection, list 11
all procurement contracts for food awarded by a unit to the certified local farm [enterprise] 12
OR CERTIFIED CHESAPEAKE INVASIVE SPECIE S PROVIDER, including a description of 13
the contract; and 14
(5) contain other such information as required by the Office, subject to 15
approval by the Board. 16
(c) A report under this section shall be: 17
(1) in a form prescribed by the Office; and 18
(2) approved by the Board. 19
(D) ON OR BEFORE DECEMBER 31, 2023, AND EACH DECEMBER 31 20
THEREAFTER , THE OFFICE SHALL SUBMIT A CONSOLIDATED REPORT TO THE 21
SENATE COMMITTEE ON EDUCATION, ENERGY, AND THE ENVIRONMENT 22
COMMITTEE AND THE HOUSE HEALTH AND GOVERNMENT OPERATIONS 23
COMMITTEE, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT 24
ARTICLE, ON PROGRAM IMPLEMENTATIO N AND PARTICIPATION . 25
14–707. 26
(a) (1) The Department shall develop and maintain a directory of all certified 27
local [farm enterprises] FARMS AND CERTIFIED CHESAPEAKE INVASIVE S PECIES 28
PROVIDERS. 29
(2) The directory shall be accessible to the public on the Department’s 30
website. 31
10 HOUSE BILL 63
(b) The Department shall include the following information for each certified local 1
farm [enterprise] AND CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER 2
included in the directory: 3
(1) all contract information available to the Department for the certified 4
local farm [enterprise] OR CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER ; 5
(2) the certification number of the certified local farm [enterprise] OR 6
CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER ; and 7
(3) any other information the Department considers necessary or 8
appropriate to encourage participation in the procurement process by local [farm 9
enterprises] FARMS AND CHESAPEAKE INVASIVE S PECIES PROVIDERS . 10
(c) The Department shall: 11
(1) update the directory at least once a year; and 12
(2) identify as recently certified in the directory each local farm 13
[enterprise] AND CHESAPEAKE INVASIVE S PECIES PROVIDER that has obtained 14
certification during the calendar year. 15
14–708. 16
(a) There is a Certified Local Farm [Enterprise] AND CHESAPEAKE INVASIVE 17
SPECIES PROVIDER FISH Food Aggregation Grant Fund. 18
(b) The purpose of the Fund is to support the creation of food aggregation, storage, 19
processing, and distribution sites across the State through grants and near–equity 20
investments. 21
(c) The Maryland Agricultural and Resource–Based Industry Development 22
Corporation shall administer the Fund. 23
(d) The Fund consists of: 24
(1) money appropriated in the State budget to the Fund; 25
(2) principal that is repaid from near–equity investments; and 26
(3) any other money from any other source accepted for the benefit of the 27
Fund. 28
(e) The Fund may be used only for establishing and operating food aggregation, 29
storage, processing, and distribution sites across the State through grants and near–equity 30
investments. 31 HOUSE BILL 63 11
Article – Tax – Property 1
13–209. 2
(g) (3) (i) 2. For fiscal year 2025 only, the Governor shall include in the 3
annual budget bill a General Fund appropriation in the amount of $2,735,000 to the 4
Maryland Agricultural and Resource –Based Industry Development Corporation 5
established under Title 10, Subtitle 5 of the Economic Development Article to be used as 6
follows: 7
A. $2,300,000 to support the Corporation’s rural business 8
loan programs and small matching grant programs; and 9
B. $435,000 for grants and near–equity investments to: 10
I. support the creation or expansion of agricultural product 11
aggregation and storage sites; and 12
II. facilitate participation in the Certified Local Farm 13
[Enterprise] AND CHESAPEAKE INVASIVE SPECIES PROVIDER FISH Program. 14
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 15
October July 1, 2023. 16
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.