Maryland 2024 2024 Regular Session

Maryland House Bill HB292 Engrossed / Bill

Filed 02/20/2024

                     
 
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. 
          *hb0292*  
  
HOUSE BILL 292 
P2   	4lr1651 
    	CF SB 667 
By: Delegate Kerr Delegates Kerr, Alston, Bagnall, Bhandari, Chisholm, Cullison, 
Guzzone, Hill, Hutchinson, S. Johnson, Kaiser, Kipke, R. Lewis, Lopez, 
Martinez, M. Morgan, Pena–Melnyk, Reilly, Rosenberg, Szeliga, Taveras, 
White Holland, and Woods 
Introduced and read first time: January 12, 2024 
Assigned to: Health and Government Operations 
Committee Report: Favorable with amendments 
House action: Adopted 
Read second time: February 20, 2024 
 
CHAPTER ______ 
 
AN ACT concerning 1 
 
State Procurement – Maryland State Board of Contract Appeals – Attorney’s 2 
Fees 3 
 
FOR the purpose of requiring authorizing the Maryland State Board of Contract Appeals 4 
to award a prospective bidder or offeror, a bidder, or an offeror an interested party 5 
reasonable costs of filing and pursuing a protest, including attorney’s fees, if an 6 
appeal is sustained and there is a violation of law or regulation; requiring 7 
authorizing the Maryland State Board of Contract Appeals to award a contractor 8 
under any State contract the reasonable costs of filing and pursuing a claim, 9 
including attorney’s fees, if procurement unit personnel act the unit acts in bad faith, 10 
without justification, or in violation of law or regulation; and generally relating to 11 
State procurement contract claims and appeals. 12 
 
BY repealing and reenacting, without amendments, 13 
 Article – State Finance and Procurement 14 
Section 15–201 15 
 Annotated Code of Maryland 16 
 (2021 Replacement Volume and 2023 Supplement) 17 
 
BY repealing and reenacting, with amendments, 18 
 Article – State Finance and Procurement 19 
Section 15–215, 15–221.1, and 15–221.2 20  2 	HOUSE BILL 292  
 
 
 Annotated Code of Maryland 1 
 (2021 Replacement Volume and 2023 Supplement) 2 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 3 
That the Laws of Maryland read as follows: 4 
 
Article – State Finance and Procurement 5 
 
15–201. 6 
 
 In this subtitle, “Appeals Board” means the Maryland State Board of Contract 7 
Appeals. 8 
 
15–215. 9 
 
 (a) In this Part III of this subtitle the following words have the meanings 10 
indicated. 11 
 
 (b) (1) “Contract claim” means a claim that relates to a procurement contract. 12 
 
 (2) “Contract claim” includes a claim about the performance, breach, 13 
modification, or termination of the procurement contract. 14 
 
 (C) “INTERESTED PARTY ” MEANS AN ACTUAL OR A PROSPECTIVE BIDDER, 15 
OFFEROR, OR CONTRACTOR THAT M AY BE AGGRIEVED BY T HE SOLICITATION OR 16 
AWARD OF A CONTRACT , OR BY THE PROTEST . 17 
 
 [(c)] (D) (1) “Protest” means a complaint that relates to the formation of a 18 
procurement contract. 19 
 
 (2) “Protest” includes a complaint about: 20 
 
 (i) the qualifications of a bidder or offeror; or 21 
 
 (ii) the determination of the successful bidder or offeror.  22 
 
15–221.1. 23 
 
 (a) The [Board of Contract Appeals may] APPEALS BOARD SHALL MAY award 24 
a prospective bidder or offeror, a bidder, or an offeror AN INTERESTED PARTY the 25 
reasonable costs of filing and pursuing a protest, [not] including REASONABLE attorney’s 26 
fees, if: 27 
 
 (1) the prospective bidder or offeror, bidder, or offeror INTERESTED 28 
PARTY appeals the final action of an agency on a protest; 29 
   	HOUSE BILL 292 	3 
 
 
 (2) the [Board of Contract Appeals] APPEALS BOARD sustains the appeal; 1 
and 2 
 
 (3) the [Board of Contract Appeals] APPEALS BOARD finds that there has 3 
been a violation of law or regulation. 4 
 
 (b) The [Board of Contract Appeals] APPEALS BOARD shall adopt regulations to 5 
implement this section and to determine what constitutes reasonable costs of filing and 6 
pursuing a protest. 7 
 
15–221.2. 8 
 
 (a) This section [only] applies to a claim resulting under a contract [for 9 
construction]. 10 
 
 (b) The Appeals Board [may] SHALL award to a contractor the reasonable costs 11 
of filing and pursuing a claim, including reasonable attorney’s fees, if the Appeals Board 12 
finds that the conduct of unit personnel, WITH OR WITHOUT A PR OCUREMENT OFFICER , 13 
FINDS THAT THE CONDU CT OF THE UNIT in processing a contract claim is in bad faith 14 
[or], without substantial justification, OR CONTRARY TO ANY PROV ISION OF THIS 15 
DIVISION II. IN VIOLATION OF LAW . 16 
 
 (c) The Appeals Board shall adopt regulations to implement this section. 17 
 
 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 18 
October 1, 2024.  19 
 
 
 
 
Approved: 
________________________________________________________________________________  
 Governor. 
________________________________________________________________________________  
  Speaker of the House of Delegates. 
________________________________________________________________________________  
         President of the Senate.