WES MOORE, Governor Ch. 821
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Chapter 821
(Senate Bill 667)
AN ACT concerning
State Procurement – Maryland State Board of Contract Appeals – Attorney’s
Fees
FOR the purpose of requiring authorizing the Maryland State Board of Contract Appeals
to award a prospective bidder or offeror, a bidder, or an offeror an interested party
reasonable costs of filing and pursuing a protest, including attorney’s fees, if an
appeal is sustained and there is a violation of law or regulation; requiring
authorizing the Maryland State Board of Contract Appeals to award a contractor
under any State contract the reasonable costs of filing and pursuing a claim,
including attorney’s fees, if procurement unit personnel act the unit acts in bad faith,
without justification, or in violation of law or regulation; and generally relating to
State procurement contract claims and appeals.
BY repealing and reenacting, without amendments,
Article – State Finance and Procurement
Section 15–201
Annotated Code of Maryland
(2021 Replacement Volume and 2023 Supplement)
BY repealing and reenacting, with amendments,
Article – State Finance and Procurement
Section 15–215, 15–221.1, and 15–221.2
Annotated Code of Maryland
(2021 Replacement Volume and 2023 Supplement)
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
That the Laws of Maryland read as follows:
Article – State Finance and Procurement
15–201.
In this subtitle, “Appeals Board” means the Maryland State Board of Contract
Appeals.
15–215.
(a) In this Part III of this subtitle the following words have the meanings
indicated.
(b) (1) “Contract claim” means a claim that relates to a procurement contract. Ch. 821 2024 LAWS OF MARYLAND
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(2) “Contract claim” includes a claim about the performance, breach,
modification, or termination of the procurement contract.
(C) “INTERESTED PARTY ” MEANS AN ACTUAL OR A PROSPECTIVE BIDDER ,
OFFEROR, OR CONTRACTOR THAT M AY BE AGGRIEVED BY T HE SOLICITATION OR
AWARD OF A CONTRACT , OR BY THE PROTEST .
[(c)] (D) (1) “Protest” means a complaint that relates to the formation of a
procurement contract.
(2) “Protest” includes a complaint about:
(i) the qualifications of a bidder or offeror; or
(ii) the determination of the successful bidder or offeror.
15–221.1.
(a) The [Board of Contract Appeals may] APPEALS BOARD SHALL MAY award
a prospective bidder or offeror, a bidder, or an offeror AN INTERESTED PARTY the
reasonable costs of filing and pursuing a protest, [not] including REASONABLE attorney’s
fees, if:
(1) the prospective bidder or offeror, bidder, or offeror INTERESTED
PARTY appeals the final action of an agency on a protest;
(2) the [Board of Contract Appeals] APPEALS BOARD sustains the appeal;
and
(3) the [Board of Contract Appeals] APPEALS BOARD finds that there has
been a violation of law or regulation.
(b) The [Board of Contract Appeals] APPEALS BOARD shall adopt regulations to
implement this section and to determine what constitutes reasonable costs of filing and
pursuing a protest.
15–221.2.
(a) This section [only] applies to a claim resulting under a contract [for
construction].
(b) The Appeals Board [may] SHALL award to a contractor the reasonable costs
of filing and pursuing a claim, including reasonable attorney’s fees, if the Appeals Board
finds that the conduct of unit personnel, WITH OR WITHOUT A PR OCUREMENT OFFICER , WES MOORE, Governor Ch. 821
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FINDS THAT THE CONDU CT OF THE UNIT in processing a contract claim is in bad faith
[or], without substantial justification, OR CONTRARY TO ANY PROV ISION OF THIS
DIVISION II. IN VIOLATION OF LAW .
(c) The Appeals Board shall adopt regulations to implement this section.
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect
October 1, 2024.
Approved by the Governor, May 16, 2024.