EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0578*
SENATE BILL 578
P2 3lr2652
CF HB 646
By: Senator Hayes
Introduced and read first time: February 6, 2023
Assigned to: Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
State Procurement – Minority Business Enterprises and Small Business 2
Enterprises – Procurement Forecast, Employee Performance, and Outreach 3
(Small Business Protection Act of Maryland) 4
FOR the purpose of requiring each unit to publish on the unit’s website annually a certain 5
procurement forecast; requiring a unit determining eligibility for a merit increase or 6
performance–based promotion for a certain procurement officer or certain other 7
employee to consider certain efforts by the officer or employee in meeting certain 8
minority enterprise participation goals; prohibiting a certain procurement officer or 9
certain other employee from receiving a certain promotion or merit increase under 10
certain circumstances; requiring a certain procurement officer or certain other 11
employee to have their employment with the unit terminated or be reassigned to a 12
certain other position under certain circumstances; requiring the Office of Small, 13
Minority, and Women Business Affairs to consult with each primary procurement 14
unit to identify potential contracting opportunities for and increase outreach efforts 15
to small businesses; requiring the Office to develop a certain program; and generally 16
relating to minority business enterprise and small business enterprise participation 17
in State procurement. 18
BY adding to 19
Article – State Finance and Procurement 20
Section 14–302(a)(16) and 14–302.1 21
Annotated Code of Maryland 22
(2021 Replacement Volume and 2022 Supplement) 23
BY repealing and reenacting, without amendments, 24
Article – State Government 25
Section 9–302 26
Annotated Code of Maryland 27
(2021 Replacement Volume and 2022 Supplement) 28
2 SENATE BILL 578
BY adding to 1
Article – State Government 2
Section 9–304.1 3
Annotated Code of Maryland 4
(2021 Replacement Volume and 2022 Supplement) 5
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6
That the Laws of Maryland read as follows: 7
Article – State Finance and Procurement 8
14–302. 9
(a) (16) ON OR BEFORE MAY 1 EACH YEAR, EACH UNIT SHALL PUBL ISH ON 10
THE UNIT’S WEBSITE A PROCUREMENT FORECAST LISTING ALL KNOWN AND 11
ANTICIPATED PROCUREM ENTS TO BE MADE BY T HE UNIT IN THE UPCOM ING FISCAL 12
YEAR, INCLUDING AN ESTIMATION OF THE ANTICIPATED MINORITY BUSINESS 13
ENTERPRISE PARTICIPA TION GOALS FOR EACH PROCUREMENT . 14
14–302.1. 15
(A) NOTWITHSTANDING ANY O THER LAW, WHEN A UNIT IS DETERMINING 16
ELIGIBILITY FOR A MERIT INCREASE OR PERFORMANCE –BASED PROMOTION FOR A 17
PROCUREMENT OFFICER OR OTHER EMPLOYEE RE SPONSIBLE FOR PROCUR ING 18
GOODS AND SERVICES O N BEHALF OF THE UNIT, THE UNIT SHALL CONSI DER THE 19
EFFORTS OF THE PROCU REMENT OFFICER OR EM PLOYEE TO ASSIST THE UNIT IN 20
MEETING A MINORITY BUSINESS ENTERPRISE GOAL SET IN ACCORDANCE WITH T HIS 21
SUBTITLE. 22
(B) NOTWITHSTANDING ANY O THER LAW, IF A UNIT DOES NOT M EET A 23
MINORITY BUSI NESS ENTERPRISE GOAL SET IN ACCORDANCE WI TH THIS SUBTITLE , 24
THE UNIT’S PROCUREMENT OFFICE R AND ANY OTHER EMPL OYEE RESPONSIBLE FOR 25
PROCURING GOODS AND SERVICES ON BEHALF O F THAT UNIT: 26
(1) MAY NOT RECEIVE ANY MERIT INCREASE OR PR OMOTION BASED 27
ON THEIR PERF ORMANCE DURING ANY F ISCAL YEAR IN WHICH THE GOAL IS NOT MET 28
AND THERE IS NO IMPR OVEMENT OVER THE PRE VIOUS FISCAL YEAR TO WARD 29
MEETING THAT GOAL ; AND 30
(2) IF THERE IS NO IMPRO VEMENT TOWARD MEETIN G THE GOAL 31
OVER 3 CONSECUTIVE FISCAL Y EARS, SHALL HAVE THEIR EMPLOYMENT WITH THE 32
UNIT TERMINATED OR BE REASSIGNED TO A POSITI ON THAT DOES NOT INC LUDE 33
INVOLVEMENT WITH THE UNIT’S PROCUREMENT ACTIVI TIES. 34
Article – State Government 35 SENATE BILL 578 3
9–302. 1
There is an Office of Small, Minority, and Women Business Affairs in the Executive 2
Department. 3
9–304.1. 4
(A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS 5
INDICATED. 6
(2) “PRIMARY PROCUREMENT U NIT” HAS THE MEANING STAT ED IN § 7
11–101 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 8
(3) “SMALL BUSINESS ” HAS THE MEANING STATED IN § 14–501 OF 9
THE STATE FINANCE AND PROCUREMENT ARTICLE. 10
(B) THE OFFICE SHALL CONSULT WITH EACH PRIMARY PROCUREMENT 11
UNIT TO IDENTIFY POT ENTIAL CONTRACTING O PPORTUNITIES FOR AND INCREASE 12
OUTREACH EFFORTS TO SMALL BUSINESSES . 13
(C) THE OFFICE, IN CONSULTATION WITH THE PRIMARY PROCUREM ENT 14
UNITS, SHALL DEVELOP A PROGRAM TO : 15
(1) IDENTIFY AND INCREASE AWARENESS O F PROCUREMENT 16
OPPORTUNITIES FOR SMALL BUSINESSES CON TRACTS FOR SERVICES AND 17
SUPPLIES; 18
(2) ASSIST SMALL BUSINES SES IN COMPLYIN G WITH PROCEDURES 19
WITH BIDDING ON A PROCUREMENT CONTRA CT OR RESPONDING TO A R EQUEST FOR 20
PROPOSALS. 21
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 22
October 1, 2023. 23