MD
Maryland Senate Bill SB673

Maryland 2024 Regular Session

Maryland Senate Bill SB673 Compare Versions

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1- WES MOORE, Governor Ch. 582
21
3-– 1 –
4-Chapter 582
5-(Senate Bill 673)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ *sb0673*
89
9-State Procurement – Small and Minority Business Reserve Program – Goals and
10-Outreach Program
11-(Parran J. Mitchell MBE Prime Contracting Act)
10+SENATE BILL 673
11+P2 4lr2069
12+ CF HB 962
13+By: Senator Charles
14+Introduced and read first time: January 29, 2024
15+Assigned to: Budget and Taxation
16+Committee Report: Favorable with amendments
17+Senate action: Adopted
18+Read second time: March 2, 2024
1219
13-FOR the purpose of altering the Small Business Reserve Program to be the Small and
14-Minority Business Reserve Program; requiring a unit of State government, to the
15-extent practicable, to structure its procurement procedures to achieve a certain
16-minimum percentage of the unit’s total dollar value of certain contracts to be made
17-directly to certified minority business enterprises; requiring a certain study to
18-include the Small and Minority Business Reserve Program altering a certain
19-participation goal for certain small businesses for certain procurement contracts;
20-requiring the certification agency, in consultation with the Governor’s Office of
21-Small, Minority, and Women Business Affairs to develop a certain outreach program;
22-altering the content of certain unit reports; and generally relating to the Small and
23-Minority Business Reserve Program.
20+CHAPTER ______
2421
25-BY repealing and reenacting, without amendments,
26- Article – State Finance and Procurement
27-Section 14–301(a), (b), and (d) (c), (d), and (e)
28- Annotated Code of Maryland
29- (2021 Replacement Volume and 2023 Supplement)
22+AN ACT concerning 1
3023
31-BY repealing and reenacting, with amendments,
32- Article – State Finance and Procurement
33- Section 14–501, 14–502, and 14–505
34- Annotated Code of Maryland
35- (2021 Replacement Volume and 2023 Supplement)
24+State Procurement – Small and Minority Business Reserve Program – Goals and 2
25+Outreach Program 3
26+(Parran J. Mitchell MBE Prime Contracting Act) 4
3627
37-BY adding to
38- Article – State Finance and Procurement
39-Section 14–504.1
40- Annotated Code of Maryland
41- (2021 Replacement Volume and 2023 Supplement)
28+FOR the purpose of altering the Small Business Reserve Program to be the Small and 5
29+Minority Business Reserve Program; requiring a unit of State government, to the 6
30+extent practicable, to structure its procurement procedures to achieve a certain 7
31+minimum percentage of the unit’s total dollar value of certain contracts to be made 8
32+directly to certified minority business enterprises; requiring a certain study to 9
33+include the Small and Minority Business Reserve Program altering a certain 10
34+participation goal for certain small businesses for certain procurement contracts; 11
35+requiring the certification agency, in consultation with the Governor’s Office of 12
36+Small, Minority, and Women Business Affairs to develop a certain outreach program; 13
37+altering the content of certain unit reports; and generally relating to the Small and 14
38+Minority Business Reserve Program. 15
4239
43-BY repealing and reenacting, with amendments,
44- Article – State Finance and Procurement
45-Section 14–501, 14–502, 14–502.1, and 14–503 through 14–505 to be under the
46-amended subtitle “Subtitle 5. Small and Minority Business Reserve Program”
47- Annotated Code of Maryland
48- (2021 Replacement Volume and 2023 Supplement)
49- Ch. 582 2024 LAWS OF MARYLAND
40+BY repealing and reenacting, without amendments, 16
41+ Article – State Finance and Procurement 17
42+Section 14–301(a), (b), and (d) (c), (d), and (e) 18
43+ Annotated Code of Maryland 19
44+ (2021 Replacement Volume and 2023 Supplement) 20
5045
51-– 2 –
52-BY repealing and reenacting, with amendments,
53-Chapter 154 of the Acts of the General Assembly of 2012, as amended by Chapters
54-200 and 201 of the Acts of the General Assembly of 2013, Chapter 340 of the
55-Acts of the General Assembly of 2017, Chapter 117 of the Acts of the General
56-Assembly of 2022, and Chapters 137 and 138 of the Acts of the General
57-Assembly of 2023
58- Section 2
46+BY repealing and reenacting, with amendments, 21
47+ Article – State Finance and Procurement 22
48+ Section 14–501, 14–502, and 14–505 23 2 SENATE BILL 673
5949
60- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
61-That the Laws of Maryland read as follows:
6250
63-Article – State Finance and Procurement
51+ Annotated Code of Maryland 1
52+ (2021 Replacement Volume and 2023 Supplement) 2
6453
65-14–301.
54+BY adding to 3
55+ Article – State Finance and Procurement 4
56+Section 14–504.1 5
57+ Annotated Code of Maryland 6
58+ (2021 Replacement Volume and 2023 Supplement) 7
6659
67- (a) In this subtitle the following words have the meanings indicated.
60+BY repealing and reenacting, with amendments, 8
61+ Article – State Finance and Procurement 9
62+Section 14–501, 14–502, 14–502.1, and 14–503 through 14–505 to be under the 10
63+amended subtitle “Subtitle 5. Small and Minority Business Reserve Program” 11
64+ Annotated Code of Maryland 12
65+ (2021 Replacement Volume and 2023 Supplement) 13
6866
69- (b) “Certification” means the determination that a legal entity is a minority
70-business enterprise for the purposes of this subtitle.
67+BY repealing and reenacting, with amendments, 14
68+Chapter 154 of the Acts of the General Assembly of 2012, as amended by Chapters 15
69+200 and 201 of the Acts of the General Assembly of 2013, Chapter 340 of the 16
70+Acts of the General Assembly of 2017, Chapter 117 of the Acts of the General 17
71+Assembly of 2022, and Chapters 137 and 138 of the Acts of the General 18
72+Assembly of 2023 19
73+ Section 2 20
7174
72- (c) “Certification agency” means the agency designated by the Board of Public
73-Works under § 14–303(b) of this subtitle to certify and decertify minority business
74-enterprises.
75+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 21
76+That the Laws of Maryland read as follows: 22
7577
76- (d) “Certified minority business enterprise” means a minority business enterprise
77-that holds a certification.
78+Article – State Finance and Procurement 23
7879
79- (e) “Economically disadvantaged individual” means a socially disadvantaged
80-individual whose ability to compete in the free enterprise system has been impaired due to
81-diminished capital and credit opportunities as compared to others in the same or similar
82-line of business who are not socially disadvantaged.
80+14–301. 24
8381
84-Subtitle 5. Small AND MINORITY Business Reserve Program.
82+ (a) In this subtitle the following words have the meanings indicated. 25
8583
86-14–501.
84+ (b) “Certification” means the determination that a legal entity is a minority 26
85+business enterprise for the purposes of this subtitle. 27
8786
88- (a) In this subtitle the following words have the meanings indicated.
87+ (c) “Certification agency” means the agency designated by the Board of Public 28
88+Works under § 14–303(b) of this subtitle to certify and decertify minority business 29
89+enterprises. 30
8990
90- (B) “CERTIFIED MINORITY BU SINESS ENTERPRISE ” HAS THE MEANING
91-STATED IN § 14–301 OF THIS TITLE.
91+ (d) “Certified minority business enterprise” means a minority business enterprise 31
92+that holds a certification. 32
9293
93- (B) “CERTIFICATION AGENCY ” HAS THE MEANING STAT ED IN § 14–301 OF
94-THIS TITLE.
95- WES MOORE, Governor Ch. 582
94+ (e) “Economically disadvantaged individual” means a socially disadvantaged 33
95+individual whose ability to compete in the free enterprise system has been impaired due to 34
96+diminished capital and credit opportunities as compared to others in the same or similar 35
97+line of business who are not socially disadvantaged. 36 SENATE BILL 673 3
9698
97-– 3 –
98- (C) “ECONOMICALLY DISADVAN TAGED INDIVIDUAL ” HAS THE MEANING
99-STATED IN § 14–301 OF THIS TITLE.
10099
101- [(b)] (C) (D) “Small business” means:
102100
103- (1) a certified minority business enterprise[, as defined in § 14–301 of this
104-title,] that meets the criteria specified under item (3) of this subsection;
101+Subtitle 5. Small AND MINORITY Business Reserve Program. 1
105102
106- (2) a veteran–owned small business enterprise, as defined in § 14–601 of
107-this title, that meets the criteria specified under item (3) of this subsection; or
103+14–501. 2
108104
109- (3) a business, other than a broker, that meets the following criteria:
105+ (a) In this subtitle the following words have the meanings indicated. 3
110106
111- (i) the business is independently owned and operated;
107+ (B) “CERTIFIED MINORITY BU SINESS ENTERPRISE ” HAS THE MEANING 4
108+STATED IN § 14–301 OF THIS TITLE. 5
112109
113- (ii) the business is not a subsidiary of another business;
110+ (B) “CERTIFICATION AGENCY ” HAS THE MEANING STAT ED IN § 14–301 OF 6
111+THIS TITLE. 7
114112
115- (iii) the business is not dominant in its field of operation; and
113+ (C) “ECONOMICALLY DISADVAN TAGED INDIVIDUAL ” HAS THE MEANING 8
114+STATED IN § 14–301 OF THIS TITLE. 9
116115
117- (iv) 1. A. the wholesale operations of the business did not
118-employ more than 50 persons in its most recently completed 3 fiscal years;
116+ [(b)] (C) (D) “Small business” means: 10
119117
120- B. the retail operations of the business did not employ more
121-than 25 persons in its most recently completed 3 fiscal years;
118+ (1) a certified minority business enterprise[, as defined in § 14–301 of this 11
119+title,] that meets the criteria specified under item (3) of this subsection; 12
122120
123- C. the manufacturing operations of the business did not
124-employ more than 100 persons in its most recently completed 3 fiscal years;
121+ (2) a veteran–owned small business enterprise, as defined in § 14–601 of 13
122+this title, that meets the criteria specified under item (3) of this subsection; or 14
125123
126- D. the service operations of the business did not employ more
127-than 100 persons in its most recently completed 3 fiscal years;
124+ (3) a business, other than a broker, that meets the following criteria: 15
128125
129- E. the construction operations of the business did not employ
130-more than 50 persons in its most recently completed 3 fiscal years; and
126+ (i) the business is independently owned and operated; 16
131127
132- F. the architectural and engineering services of the business
133-did not employ more than 100 persons in its most recently completed 3 fiscal years; or
128+ (ii) the business is not a subsidiary of another business; 17
134129
135- 2. A. the gross sales of the wholesale operations of the
136-business did not exceed an average of $4,000,000 in its most recently completed 3 fiscal
137-years;
130+ (iii) the business is not dominant in its field of operation; and 18
138131
139- B. the gross sales of the retail operations of the business did
140-not exceed an average of $3,000,000 in its most recently completed 3 fiscal years;
141- Ch. 582 2024 LAWS OF MARYLAND
132+ (iv) 1. A. the wholesale operations of the business did not 19
133+employ more than 50 persons in its most recently completed 3 fiscal years; 20
142134
143-– 4 –
144- C. the gross sales of the manufacturing operations of the
145-business did not exceed an average of $2,000,000 in its most recently completed 3 fiscal
146-years;
135+ B. the retail operations of the business did not employ more 21
136+than 25 persons in its most recently completed 3 fiscal years; 22
147137
148- D. the gross sales of the service operations of the business did
149-not exceed an average of $10,000,000 in its most recently completed 3 fiscal years;
138+ C. the manufacturing operations of the business did not 23
139+employ more than 100 persons in its most recently completed 3 fiscal years; 24
150140
151- E. the gross sales of the construction operations of the
152-business did not exceed an average of $7,000,000 in its most recently completed 3 fiscal
153-years; and
141+ D. the service operations of the business did not employ more 25
142+than 100 persons in its most recently completed 3 fiscal years; 26
154143
155- F. the gross sales of the architectural and engineering
156-services of the business did not exceed an average of $4,500,000 in its most recently
157-completed 3 fiscal years.
144+ E. the construction operations of the business did not employ 27
145+more than 50 persons in its most recently completed 3 fiscal years; and 28 4 SENATE BILL 673
158146
159- [(c)] (D) (E) “Small AND MINORITY business reserve” means those procurements
160-that are limited to responses from small businesses OR CERTIFIED MINORIT Y BUSINESS
161-ENTERPRISES under [§ 14–502(b)] § 14–502(C) of this subtitle.
162147
163-14–502.
164148
165- (a) Except as provided in subsection (d) of this section, this subtitle applies to all
166-procurements by a unit.
149+ F. the architectural and engineering services of the business 1
150+did not employ more than 100 persons in its most recently completed 3 fiscal years; or 2
167151
168- (b) This section does not apply to procurements subject to Subtitle 1 of this title.
152+ 2. A. the gross sales of the wholesale operations of the 3
153+business did not exceed an average of $4,000,000 in its most recently completed 3 fiscal 4
154+years; 5
169155
170- (c) To the extent practicable, a unit shall structure its procurement procedures to
171-achieve a minimum of:
156+ B. the gross sales of the retail operations of the business did 6
157+not exceed an average of $3,000,000 in its most recently completed 3 fiscal years; 7
172158
173- (1) 15% 20% of the unit’s total dollar value of goods, supplies, services,
174-maintenance, construction, construction–related services, and architectural and
175-engineering service contracts to be made directly to small businesses; AND
159+ C. the gross sales of the manufacturing operations of the 8
160+business did not exceed an average of $2,000,000 in its most recently completed 3 fiscal 9
161+years; 10
176162
177- (2) 10% OF THE UNIT’S TOTAL DOLLAR VALUE OF GOODS, SUPPLIES,
178-SERVICES, MAINTENANCE , CONSTRUCTION , CONSTRUCTION –RELATED SERVICES ,
179-AND ARCHITECTURAL AN D ENGINEERING SERVIC E CONTRACTS TO BE MA DE
180-DIRECTLY TO CERTIFIE D MINORITY BUSINESS ENTERPRISES .
163+ D. the gross sales of the service operations of the business did 11
164+not exceed an average of $10,000,000 in its most recently completed 3 fiscal years; 12
181165
182- (d) The total dollar value of procurements by a unit does not include the value of
183-contracts to which this section does not apply because of a conflict with federal law.
166+ E. the gross sales of the construction operations of the 13
167+business did not exceed an average of $7,000,000 in its most recently completed 3 fiscal 14
168+years; and 15
184169
185- (e) A unit may apply toward the unit’s overall annual Small AND MINORITY
186-Business Reserve payment achievement only those payments resulting from a procurement
187-that is designated a Small AND MINORITY Business Reserve procurement ACHIEVEMENT
188-AWARDS MADE TO A SMA LL BUSINESS UNDER DE SIGNATED SMALL BUSIN ESS WES MOORE, Governor Ch. 582
170+ F. the gross sales of the architectural and engineering 16
171+services of the business did not exceed an average of $4,500,000 in its most recently 17
172+completed 3 fiscal years. 18
189173
190-– 5 –
191-RESERVE CONT RACTS AS WELL AS AWA RDS MADE TO A SMALL BUSINESS UNDER
192-NONDESIGNATED SMALL BUSINESS RESERVE CON TRACTS.
174+ [(c)] (D) (E) “Small AND MINORITY business reserve” means those procurements 19
175+that are limited to responses from small businesses OR CERTIFIED MINORIT Y BUSINESS 20
176+ENTERPRISES under [§ 14–502(b)] § 14–502(C) of this subtitle. 21
193177
194- (f) (1) The Special Secretary for the Office of Small, Minority, and Women
195-Business Affairs, in consultation with the Attorney General, shall establish standards and
196-guidelines for participation in the Small AND MINORITY Business Reserve Program every
197-5 years.
178+14–502. 22
198179
199- (2) The standards and guidelines established under paragraph (1) of this
200-subsection shall allow for the registration of businesses for participation in the Small AND
201-MINORITY Business Reserve Program without the need to file any additional paperwork
202-other than evidence that the business:
180+ (a) Except as provided in subsection (d) of this section, this subtitle applies to all 23
181+procurements by a unit. 24
203182
204- (i) is a small business under this subtitle; and
183+ (b) This section does not apply to procurements subject to Subtitle 1 of this title. 25
205184
206- (ii) 1. is certified as a minority business enterprise under
207-Subtitle 3 of this title;
185+ (c) To the extent practicable, a unit shall structure its procurement procedures to 26
186+achieve a minimum of: 27
208187
209- 2. is certified under the federal Disadvantaged Business
210-Enterprise Program; or
188+ (1) 15% 20% of the unit’s total dollar value of goods, supplies, services, 28
189+maintenance, construction, construction–related services, and architectural and 29
190+engineering service contracts to be made directly to small businesses; AND 30
211191
212- 3. is qualified as a small business under Subtitle 2 of this
213-title.
192+ (2) 10% OF THE UNIT’S TOTAL DOLLAR VALUE OF GOODS, SUPPLIES, 31
193+SERVICES, MAINTENANCE , CONSTRUCTION , CONSTRUCTION –RELATED SERVICES , 32 SENATE BILL 673 5
214194
215-14–502.1.
216195
217- (a) (1) This section applies to a procurement by any unit or agency of the
218-Executive Branch of State government for goods, supplies, services, maintenance,
219-construction, construction–related services, architectural services, or engineering services.
196+AND ARCHITECTURAL AN D ENGINEERING SERVIC E CONTRACTS TO BE MA DE 1
197+DIRECTLY TO CERTIFIE D MINORITY BUSINESS ENTERPRISES . 2
220198
221- (2) This section does not apply to:
199+ (d) The total dollar value of procurements by a unit does not include the value of 3
200+contracts to which this section does not apply because of a conflict with federal law. 4
222201
223- (i) procurements made under Subtitle 1 of this title;
202+ (e) A unit may apply toward the unit’s overall annual Small AND MINORITY 5
203+Business Reserve payment achievement only those payments resulting from a procurement 6
204+that is designated a Small AND MINORITY Business Reserve procurement ACHIEVEMENT 7
205+AWARDS MADE TO A SMA LL BUSINESS UNDER DE SIGNATED SMALL BUSIN ESS 8
206+RESERVE CONT RACTS AS WELL AS AWA RDS MADE TO A SMALL BUSINESS UNDER 9
207+NONDESIGNATED SMALL BUSINESS RESERVE CON TRACTS. 10
224208
225- (ii) procurements involving expenditures of federal dollars, to the
226-extent that inclusion in the small business reserve program conflicts with federal law or
227-grant provisions;
209+ (f) (1) The Special Secretary for the Office of Small, Minority, and Women 11
210+Business Affairs, in consultation with the Attorney General, shall establish standards and 12
211+guidelines for participation in the Small AND MINORITY Business Reserve Program every 13
212+5 years. 14
228213
229- (iii) procurements with a total dollar value under $50,000;
214+ (2) The standards and guidelines established under paragraph (1) of this 15
215+subsection shall allow for the registration of businesses for participation in the Small AND 16
216+MINORITY Business Reserve Program without the need to file any additional paperwork 17
217+other than evidence that the business: 18
230218
231- (iv) the procurement of human, social, cultural, or educational
232-services; or
219+ (i) is a small business under this subtitle; and 19
233220
234- (v) term and master contracts exempted under subsection (c) of this
235-section.
236- Ch. 582 2024 LAWS OF MARYLAND
221+ (ii) 1. is certified as a minority business enterprise under 20
222+Subtitle 3 of this title; 21
237223
238-– 6 –
239- (b) (1) A procurement with a total dollar value between $50,000 and $500,000
240-shall be designated for the small AND MINORITY business reserve.
224+ 2. is certified under the federal Disadvantaged Business 22
225+Enterprise Program; or 23
241226
242- (2) Each unit or agency shall implement this subsection in a manner
243-consistent with all applicable statutes, including the requirements of Subtitle 3 of this title.
227+ 3. is qualified as a small business under Subtitle 2 of this 24
228+title. 25
244229
245- (c) (1) A procurement may be exempt from designation under subsection (b) of
246-this section if the Governor’s Office of Small, Minority, and Women Business Affairs
247-certifies, concurrently with review of any waiver determinations for certified minority
248-business enterprise participation contract goals, that it is not practicable to do so.
230+14–502.1. 26
249231
250- (2) The Office of State Procurement in the Department of General Services
251-shall assist the Governor’s Office of Small, Minority, and Women Business Affairs in
252-establishing procedures and guidelines for the exemption of procurements under paragraph
253-(1) of this subsection.
232+ (a) (1) This section applies to a procurement by any unit or agency of the 27
233+Executive Branch of State government for goods, supplies, services, maintenance, 28
234+construction, construction–related services, architectural services, or engineering services. 29
254235
255-14–503.
236+ (2) This section does not apply to: 30
256237
257- (a) The Governor’s Office of Small, Minority, and Women Business Affairs shall
258-adopt regulations to establish procedures for compiling and maintaining a comprehensive
259-bidder’s list of qualified small businesses AND CERTIFIED MINORI TY BUSINESS
260-ENTERPRISES that shall be posted on the Internet.
238+ (i) procurements made under Subtitle 1 of this title; 31
239+ 6 SENATE BILL 673
261240
262- (b) The Governor’s Office of Small, Minority, and Women Business Affairs shall:
263241
264- (1) establish guidelines for Small AND MINORITY Business Reserve
265-Program administration;
242+ (ii) procurements involving expenditures of federal dollars, to the 1
243+extent that inclusion in the small business reserve program conflicts with federal law or 2
244+grant provisions; 3
266245
267- (2) ensure agency compliance with the Small AND MINORITY Business
268-Reserve Program;
246+ (iii) procurements with a total dollar value under $50,000; 4
269247
270- (3) provide training and technical assistance to agency personnel; and
248+ (iv) the procurement of human, social, cultural, or educational 5
249+services; or 6
271250
272- (4) collect data regarding the State’s utilization of small AND MINORITY
273-business reserve vendors.
251+ (v) term and master contracts exempted under subsection (c) of this 7
252+section. 8
274253
275- (c) Each unit shall ensure compliance with the regulations set forth in subsection
276-(a) of this section.
254+ (b) (1) A procurement with a total dollar value between $50,000 and $500,000 9
255+shall be designated for the small AND MINORITY business reserve. 10
277256
278-14–504.
257+ (2) Each unit or agency shall implement this subsection in a manner 11
258+consistent with all applicable statutes, including the requirements of Subtitle 3 of this title. 12
279259
280- (a) Any procurement by a unit of goods, supplies, services, maintenance,
281-construction, construction–related services, architectural services, and engineering
282-services shall be eligible for designation for the small AND MINORITY business reserve.
283- WES MOORE, Governor Ch. 582
260+ (c) (1) A procurement may be exempt from designation under subsection (b) of 13
261+this section if the Governor’s Office of Small, Minority, and Women Business Affairs 14
262+certifies, concurrently with review of any waiver determinations for certified minority 15
263+business enterprise participation contract goals, that it is not practicable to do so. 16
284264
285-– 7 –
286- (b) A solicitation for procurement that has been designated for a small AND
287-MINORITY business reserve shall be published in the same manner as required for an
288-invitation for bids as set forth in § 13–103(c) of this article.
265+ (2) The Office of State Procurement in the Department of General Services 17
266+shall assist the Governor’s Office of Small, Minority, and Women Business Affairs in 18
267+establishing procedures and guidelines for the exemption of procurements under paragraph 19
268+(1) of this subsection. 20
289269
290- (c) The procurement officer of a unit shall award a procurement contract
291-designated for a small AND MINORITY business reserve to the small business OR
292-CERTIFIED MINORITY B USINESS ENTERPRISE that submits a responsive bid that:
270+14–503. 21
293271
294- (1) is the lowest bid price;
272+ (a) The Governor’s Office of Small, Minority, and Women Business Affairs shall 22
273+adopt regulations to establish procedures for compiling and maintaining a comprehensive 23
274+bidder’s list of qualified small businesses AND CERTIFIED MINORI TY BUSINESS 24
275+ENTERPRISES that shall be posted on the Internet. 25
295276
296- (2) if the invitation for bids so provides, is the lowest evaluated bid price;
297-or
277+ (b) The Governor’s Office of Small, Minority, and Women Business Affairs shall: 26
298278
299- (3) is the bid or proposal most favorable to the State within the small
300-business reserve.
279+ (1) establish guidelines for Small AND MINORITY Business Reserve 27
280+Program administration; 28
301281
302-14–505.
282+ (2) ensure agency compliance with the Small AND MINORITY Business 29
283+Reserve Program; 30
303284
304- (a) Within 60 days after the enactment of the budget bill by the General
305-Assembly, each unit shall submit a report to the Governor’s Office of Small, Minority, and
306-Women Business Affairs that complies with the reporting requirements set forth in
307-COMAR 21.11.01.06.
285+ (3) provide training and technical assistance to agency personnel; and 31
286+ SENATE BILL 673 7
308287
309- (b) (1) Within 90 days after the end of each fiscal year, each unit shall submit
310-a report to the Governor’s Office of Small, Minority, and Women Business Affairs that
311-complies with the requirements of paragraph (2) of this subsection.
312288
313- (2) For the preceding fiscal year, the report shall:
289+ (4) collect data regarding the State’s utilization of small AND MINORITY 1
290+business reserve vendors. 2
314291
315- (i) state the total number and the dollar value of payments the unit
316-made [to small businesses] under designated small AND MINORITY business reserve
317-contracts TO:
292+ (c) Each unit shall ensure compliance with the regulations set forth in subsection 3
293+(a) of this section. 4
318294
319- 1. SMALL BUSINESSES ; AND
295+14–504. 5
320296
321- 2. CERTIFIED MINORITY B USINESS ENTERPRISES ;
297+ (a) Any procurement by a unit of goods, supplies, services, maintenance, 6
298+construction, construction–related services, architectural services, and engineering 7
299+services shall be eligible for designation for the small AND MINORITY business reserve. 8
322300
323- (ii) state the total number and the dollar value of payments the unit
324-made [to small businesses] under nondesignated small AND MINORITY business reserve
325-contracts, including purchase card procurements, TO:
301+ (b) A solicitation for procurement that has been designated for a small AND 9
302+MINORITY business reserve shall be published in the same manner as required for an 10
303+invitation for bids as set forth in § 13–103(c) of this article. 11
326304
327- 1. SMALL BUSINESSES ; AND
305+ (c) The procurement officer of a unit shall award a procurement contract 12
306+designated for a small AND MINORITY business reserve to the small business OR 13
307+CERTIFIED MINORITY B USINESS ENTERPRISE that submits a responsive bid that: 14
328308
329- 2. CERTIFIED MINORIT Y BUSINESS ENTERPRIS ES;
330- Ch. 582 2024 LAWS OF MARYLAND
309+ (1) is the lowest bid price; 15
331310
332-– 8 –
333- (iii) state the total dollar value of payments the unit made under
334-procurement contracts; and
311+ (2) if the invitation for bids so provides, is the lowest evaluated bid price; 16
312+or 17
335313
336- (iv) contain other such information as required by the Governor’s
337-Office of Small, Minority, and Women Business Affairs.
314+ (3) is the bid or proposal most favorable to the State within the small 18
315+business reserve. 19
338316
339- (c) On or before December 31 of each year, the Governor’s Office of Small,
340-Minority, and Women Business Affairs shall submit to the Board of Public Works and,
341-subject to § 2–1257 of the State Government Article, to the Legislative Policy Committee a
342-report summarizing the information the Office receives under subsection (b) of this section.
317+14–505. 20
343318
344-14–504.1.
319+ (a) Within 60 days after the enactment of the budget bill by the General 21
320+Assembly, each unit shall submit a report to the Governor’s Office of Small, Minority, and 22
321+Women Business Affairs that complies with the reporting requirements set forth in 23
322+COMAR 21.11.01.06. 24
345323
346- (A) THE CERTIFICATION AGE NCY, IN CONSULTATION WITH THE
347-GOVERNOR’S OFFICE OF SMALL, MINORITY, AND WOMEN BUSINESS AFFAIRS,
348-SHALL DEVELOP AN OUT REACH PROGRAM TO INC REASE THE PARTICIPATIO N OF
349-SMALL BUSINESSES THA T ARE OWNED BY ECONO MICALLY DISADVANTAGE D
350-INDIVIDUALS PARTICIP ATING IN THE SMALL BUSINESS RESERVE PROGRAM.
324+ (b) (1) Within 90 days after the end of each fiscal year, each unit shall submit 25
325+a report to the Governor’s Office of Small, Minority, and Women Business Affairs that 26
326+complies with the requirements of paragraph (2) of this subsection. 27
351327
352- (B) ON OR BEFORE DECEMBER 1 EACH YEAR, THE CERTIFICATION AG ENCY
353-SHALL SUBMIT TO THE BOARD OF PUBLIC WORKS AND, SUBJECT TO § 2–1257 OF
354-THE STATE GOVERNMENT ARTICLE, TO THE LEGISLATIVE POLICY COMMITTEE A
355-REPORT ON:
328+ (2) For the preceding fiscal year, the report shall: 28
356329
357- (1) THE STATUS OF THE OU TREACH PROGRAM REQUI RED UNDER
358-SUBSECTION (A) OF THIS SECTION; AND
330+ (i) state the total number and the dollar value of payments the unit 29
331+made [to small businesses] under designated small AND MINORITY business reserve 30
332+contracts TO: 31
359333
360- (2) THE TOTAL NUMBER AND DOLLAR VALUE OF AWAR DS MADE TO
361-SMALL BUSINESSES OWN ED BY ECONOMICALLY D ISADVANTAGED INDIVID UALS
362-UNDER DESIGNATED SMA LL BUSINESS RESERVE CONTRACTS.
334+ 1. SMALL BUSINESSES ; AND 32 8 SENATE BILL 673
363335
364-14–505.
365336
366- (a) Within 60 days after the enactment of the budget bill by the General
367-Assembly, each unit shall submit a report to the Governor’s Office of Small, Minority, and
368-Women Business Affairs that complies with the reporting requirements set forth in
369-COMAR 21.11.01.06.
370337
371- (b) (1) Within 90 days after the end of each fiscal year, each unit shall submit
372-a report to the Governor’s Office of Small, Minority, and Women Business Affairs that
373-complies with the requirements of paragraph (2) of this subsection.
338+ 2. CERTIFIED MINORITY B USINESS ENTERPRISES ; 1
374339
375- (2) For the preceding fiscal year, the report shall:
376- WES MOORE, Governor Ch. 582
340+ (ii) state the total number and the dollar value of payments the unit 2
341+made [to small businesses] under nondesignated small AND MINORITY business reserve 3
342+contracts, including purchase card procurements, TO: 4
377343
378-– 9 –
379- (i) state the total number and the dollar value of [payments]
380-AWARDS the unit made to small businesses under designated small business reserve
381-contracts;
344+ 1. SMALL BUSINESSES ; AND 5
382345
383- (ii) state the total number and the dollar value of [payments]
384-AWARDS the unit made to small businesses under nondesignated small business reserve
385-contracts, including purchase card procurements;
346+ 2. CERTIFIED MINORITY B USINESS ENTERPRISES ; 6
386347
387- (iii) state the total dollar value of [payments] AWARDS the unit made
388-under procurement contracts; and
348+ (iii) state the total dollar value of payments the unit made under 7
349+procurement contracts; and 8
389350
390- (iv) contain other such information as required by the Governor’s
391-Office of Small, Minority, and Women Business Affairs.
351+ (iv) contain other such information as required by the Governor’s 9
352+Office of Small, Minority, and Women Business Affairs. 10
392353
393- (c) On or before December 31 of each year, the Governor’s Office of Small,
394-Minority, and Women Business Affairs shall submit to the Board of Public Works and,
395-subject to § 2–1257 of the State Government Article, to the Legislative Policy Committee a
396-report summarizing the information the Office receives under subsection (b) of this section.
354+ (c) On or before December 31 of each year, the Governor’s Office of Small, 11
355+Minority, and Women Business Affairs shall submit to the Board of Public Works and, 12
356+subject to § 2–1257 of the State Government Article, to the Legislative Policy Committee a 13
357+report summarizing the information the Office receives under subsection (b) of this section. 14
397358
398-Chapter 154 of the Acts of 2012, as amended by Chapters 200 and 201 of the Acts
399-of 2013, Chapter 340 of the Acts of 2017, Chapter 117 of the Acts of 2022, and
400-Chapters 137 and 138 of the Acts of 2023
359+14–504.1. 15
401360
402- SECTION 2. AND BE IT FURTHER ENACTED, That the Certification Agency, in
403-consultation with the General Assembly and the Office of the Attorney General, shall
404-initiate a study of the Minority Business Enterprise Program AND THE SMALL AND
405-MINORITY BUSINESS RESERVE PROGRAM to evaluate the [Program’s] PROGRAMS’
406-continued compliance with the requirements of the Croson decision and any subsequent
407-federal or constitutional requirements. In preparation for the study, the Board of Public
408-Works may adopt regulations authorizing a unit of State government to require bidders
409-and offerors to submit information necessary for the conduct of the study. The Board of
410-Public Works may designate that certain information received in accordance with
411-regulations adopted under this section shall be confidential. Notwithstanding that certain
412-information may be designated by the Board of Public Works as confidential, the
413-Certification Agency may provide the information to any person that is under contract with
414-the Certification Agency to assist in conducting the study. The study shall also evaluate
415-race–neutral programs and other methods that can be used to address the needs of minority
416-businesses. The final report on the study shall be submitted to the Legislative Policy
417-Committee of the General Assembly, in accordance with § 2–1257 of the State Government
418-Article, on or before September 30, 2024, so that the General Assembly may review the
419-report before the 2025 Session.
361+ (A) THE CERTIFICATION AGE NCY, IN CONSULTATION WITH THE 16
362+GOVERNOR’S OFFICE OF SMALL, MINORITY, AND WOMEN BUSINESS AFFAIRS, 17
363+SHALL DEVELOP AN OUTREACH PROGRAM TO INCREASE THE PARTICI PATION OF 18
364+SMALL BUSINESSES THA T ARE OWNED BY ECONO MICALLY DISADVANTAGE D 19
365+INDIVIDUALS PARTICIP ATING IN THE SMALL BUSINESS RESERVE PROGRAM. 20
420366
421- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July
422-1, 2024. It shall remain effective for a period of 1 year and, at the end of June 30, 2025, this
423-Act, with no further action required by the General Assembly, shall be abrogated and of no
424-further force and effect October 1, 2024. Ch. 582 2024 LAWS OF MARYLAND
367+ (B) ON OR BEFORE DECEMBER 1 EACH YEAR, THE CERTIFICATION AG ENCY 21
368+SHALL SUBMIT TO THE BOARD OF PUBLIC WORKS AND, SUBJECT TO § 2–1257 OF 22
369+THE STATE GOVERNMENT ARTICLE, TO THE LEGISLATIVE POLICY COMMITTEE A 23
370+REPORT ON: 24
425371
426-– 10 –
372+ (1) THE STATUS OF THE OU TREACH PROGRAM REQUI RED UNDER 25
373+SUBSECTION (A) OF THIS SECTION; AND 26
427374
428-Approved by the Governor, May 9, 2024.
375+ (2) THE TOTAL NUMBER AND DOLLAR VALUE OF AWAR DS MADE TO 27
376+SMALL BUSINESSES OWN ED BY ECONOMICALLY D ISADVANTAGED INDIVID UALS 28
377+UNDER DESIGNATED SMA LL BUSINESS RESERVE CONTRACTS. 29
378+
379+14–505. 30
380+ SENATE BILL 673 9
381+
382+
383+ (a) Within 60 days after the enactment of the budget bill by the General 1
384+Assembly, each unit shall submit a report to the Governor’s Office of Small, Minority, and 2
385+Women Business Affairs that complies with the reporting requirements set forth in 3
386+COMAR 21.11.01.06. 4
387+
388+ (b) (1) Within 90 days after the end of each fiscal year, each unit shall submit 5
389+a report to the Governor’s Office of Small, Minority, and Women Business Affairs that 6
390+complies with the requirements of paragraph (2) of this subsection. 7
391+
392+ (2) For the preceding fiscal year, the report shall: 8
393+
394+ (i) state the total number and the dollar value of [payments] 9
395+AWARDS the unit made to small businesses under designated small business reserve 10
396+contracts; 11
397+
398+ (ii) state the total number and the dollar value of [payments] 12
399+AWARDS the unit made to small businesses under nondesignated small business reserve 13
400+contracts, including purchase card procurements; 14
401+
402+ (iii) state the total dollar value of [payments] AWARDS the unit made 15
403+under procurement contracts; and 16
404+
405+ (iv) contain other such information as required by the Governor’s 17
406+Office of Small, Minority, and Women Business Affairs. 18
407+
408+ (c) On or before December 31 of each year, the Governor’s Office of Small, 19
409+Minority, and Women Business Affairs shall submit to the Board of Public Works and, 20
410+subject to § 2–1257 of the State Government Article, to the Legislative Policy Committee a 21
411+report summarizing the information the Office receives under subsection (b) of this section. 22
412+
413+Chapter 154 of the Acts of 2012, as amended by Chapters 200 and 201 of the Acts 23
414+of 2013, Chapter 340 of the Acts of 2017, Chapter 117 of the Acts of 2022, and 24
415+Chapters 137 and 138 of the Acts of 2023 25
416+
417+ SECTION 2. AND BE IT FURTHER ENACTED, That the Certification Agency, in 26
418+consultation with the General Assembly and the Office of the Attorney General, shall 27
419+initiate a study of the Minority Business Enterprise Program AND THE SMALL AND 28
420+MINORITY BUSINESS RESERVE PROGRAM to evaluate the [Program’s] PROGRAMS’ 29
421+continued compliance with the requirements of the Croson decision and any subsequent 30
422+federal or constitutional requirements. In preparation for the study, the Board of Public 31
423+Works may adopt regulations authorizing a unit of State government to require bidders 32
424+and offerors to submit information necessary for the conduct of the study. The Board of 33
425+Public Works may designate that certain information received in accordance with 34
426+regulations adopted under this section shall be confidential. Notwithstanding that certain 35
427+information may be designated by the Board of Public Works as confidential, the 36
428+Certification Agency may provide the information to any person that is under contract with 37 10 SENATE BILL 673
429+
430+
431+the Certification Agency to assist in conducting the study. The study shall also evaluate 1
432+race–neutral programs and other methods that can be used to address the needs of minority 2
433+businesses. The final report on the study shall be submitted to the Legislative Policy 3
434+Committee of the General Assembly, in accordance with § 2–1257 of the State Government 4
435+Article, on or before September 30, 2024, so that the General Assembly may review the 5
436+report before the 2025 Session. 6
437+
438+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 7
439+1, 2024. It shall remain effective for a period of 1 year and, at the end of June 30, 2025, this 8
440+Act, with no further action required by the General Assembly, shall be abrogated and of no 9
441+further force and effect October 1, 2024. 10
442+
443+
444+
445+Approved:
446+________________________________________________________________________________
447+ Governor.
448+________________________________________________________________________________
449+ President of the Senate.
450+________________________________________________________________________________
451+ Speaker of the House of Delegates.