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.
*sb0177*
SENATE BILL 177
P2, F1 5lr1677
(PRE–FILED) CF HB 56
By: Senator Hester
Requested: November 1, 2024
Introduced and read first time: January 8, 2025
Assigned to: Budget and Taxation
Committee Report: Favorable with amendments
Senate action: Adopted
Read second time: March 9, 2025
CHAPTER ______
AN ACT concerning 1
Procurement – State Department of Education – Control Authority – Local Food 2
Purchasing Program 3
FOR the purpose of authorizing requiring the State Department of Education to engage in 4
or control procurements of certain local food; altering the list of units exempt from 5
the authority of the Board of Public Works to control procurement to include the 6
Department for the purpose of master contracting; altering the list of units that are 7
defined as designated procurement units to include the Department with respect to 8
master contracts related to local food, in coordination with the Department of 9
General Services and the Department of Agriculture, to establish a program to 10
procure certain local food for local school systems from certain providers under 11
certain circumstances; altering a certain percentage price preference adopted by the 12
Board of Public Works by regulation; requiring the Board to adopt certain 13
regulations relating to limiting responses for certain procurements; and generally 14
relating to the State Department of Education and State procurement. 15
BY adding to 16
Article – Education 17
Section 7–136 18
Annotated Code of Maryland 19
(2022 Replacement Volume and 2024 Supplement) 20
BY repealing and reenacting, with amendments, 21
Article – State Finance and Procurement 22 2 SENATE BILL 177
Section 12–101(a), 12–107(b)(4) and (5), 13–101(b), and 13–113(a) 12–107(b)(2)(ix), 1
14–407, and 14–702 2
Annotated Code of Maryland 3
(2021 Replacement Volume and 2024 Supplement) 4
BY adding to 5
Article – State Finance and Procurement 6
Section 12–107(b)(6) 7
Annotated Code of Maryland 8
(2021 Replacement Volume and 2024 Supplement) 9
BY repealing and reenacting, without amendments, 10
Article – State Finance and Procurement 11
Section 13–101(a) and (e) and 14–701(a) through (d) 12
Annotated Code of Maryland 13
(2021 Replacement Volume and 2024 Supplement) 14
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 15
That the Laws of Maryland read as follows: 16
Article – Education 17
7–136. 18
(A) (1) IN ACCORDANCE WITH § 12–107(B) OF THE STATE FINANCE AND 19
PROCUREMENT ARTICLE, THE DEPARTMENT , WITHOUT THE APPROVAL OF ANY 20
OTHER PRIMARY PROCUR EMENT UNIT, MAY THE DEPARTMENT SHALL ESTA BLISH A 21
PROGRAM, WHEN FUNDING IS AVAI LABLE, TO ENGAGE IN OR CONTROL 22
PROCUREMENT OF LOCAL FOOD FOR LOCAL SCHOOL SYSTEMS .: 23
(1) FOOD GROWN WITHIN A 200–MILE RADIUS FROM AN ELEMENTARY 24
OR SECONDARY SCHOOL FOR WHICH A LOCAL SCHOOL SYSTEM ENTERS INTO A 25
MASTER CONTRACT WITH THE DEPARTMENT ; 26
(2) FOOD GROWN AT A CERTI FIED LOCAL FARM UNDE R § 14–701 OF 27
THE STATE FINANCE AND PROCUREMENT ARTICLE; AND 28
(3) CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDED BY A 29
CERTIFIED CHESAPEAKE INVASIVE SPECIES PRO VIDER AS DEFINED IN § 14–701 OF 30
THE STATE FINANCE AND PROCUREMENT ARTICLE 31
(2) THE PROGRAM SHALL PRO CURE PRODUCTS THAT A RE: 32
(I) FOODS GROWN AT A CERT IFIED LOCAL FARM , AS DEFINED 33
IN § 14–701 OF THE STATE FINANCE AND PROCUREMENT ARTICLE; 34
SENATE BILL 177 3
(II) CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDED BY 1
A CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER , AS DEFINED IN § 14–701 2
OF THE STATE FINANCE AND PROCUREMENT ARTICLE; AND 3
(III) FOODS GROWN WITHIN A 250–MILE RADIUS FROM AN 4
ELEMENTARY OR SECONDARY SCHOOL IN THE STATE. 5
(3) THE PROGRAM SHALL GIV E PREFERENCE TO PROV IDERS 6
QUALIFYING UNDER PAR AGRAPH (2)(I) AND (II) OF THIS SUBSECTION . 7
(B) THE DEPARTMENT SHALL COOR DINATE WITH THE DEPARTMENT OF 8
AGRICULTURE , THE DEPARTMENT OF GENERAL SERVICES, AND ANY OTHER 9
RELEVANT UNIT OF STATE GOVERNMENT TO E STABLISH THE PROGRAM , INCLUDING 10
A CENTRALIZED PLATFO RM TO ENCOURAGE THE PARTICIPATION OF FAR MERS AND 11
DISTRIBUTORS IN PROC UREMENT OPPORTUNITIE S IN ACCORDANCE WITH 12
SUBSECTION (A) OF THIS SECTION. 13
(C) SUBJECT TO § 2–1257 OF THE STATE GOVERNMENT ARTICLE, THE 14
DEPARTMENT SHALL REPO RT TO THE GENERAL ASSEMBLY ON OR BEFORE 15
DECEMBER 1 EACH YEAR ON THE TOT AL NUMBER AND DOLLAR VALUE OF MASTER 16
CONTRACTS IN ACCORDA NCE WITH THIS SECTIO N WITH: 17
(1) LOCAL SCHOOL SYSTEMS; 18
(2) CERTIFIED LOCAL FARMS ; AND 19
(3) CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDERS 20
PROCUREMENT CONTRACT S FOR LOCAL FOOD AT LOCAL SCHOOLS , INCLUDING THE 21
NUMBER OF THESE CONT RACTS THAT ARE WITH CERTIFIED LOCAL FARM S OR 22
CERTIFIED CHESAPEAKE INV ASIVE SPECIES PROVID ERS. 23
Article – State Finance and Procurement 24
12–101. 25
(a) This section does not apply to: 26
(1) capital expenditures by the Department of Transportation or the 27
Maryland Transportation Authority, in connection with State roads, bridges, or highways, 28
as provided in § 12–202 of this title; [or] 29
(2) procurements by the Department of General Services for the purpose of 30
modernizing cybersecurity infrastructure for the State valued below $1,000,000; OR 31
4 SENATE BILL 177
(3) PROCUREMENTS BY THE STATE DEPARTMENT OF EDUCATION 1
FOR THE PURPOSE OF M ASTER CONTRACTING AS DEFINED IN § 13–101 OF THIS 2
ARTICLE. 3
12–107. 4
(b) Subject to the authority of the Board, jurisdiction over procurement is as 5
follows: 6
(2) the Department of General Services may: 7
(ix) coordinate with governmental entities and local entities to 8
maximize use of intergovernmental purchasing agreements established in accordance with 9
§ 13–110 of this article, INCLUDING WORKING WI TH THE STATE DEPARTMENT OF 10
EDUCATION TO PROCURE LOCAL FOOD FOR LOCAL SCHOOL SYSTEMS IN 11
ACCORDANCE WITH § 7–136 OF THE EDUCATION ARTICLE; 12
(4) the Maryland Port Commission, without the approval of any of the 13
other primary procurement units, may engage in the procurement of: 14
(i) supplies for port related activities, including motor vehicles and 15
information processing supplies, but excluding: 16
1. supplies funded by the proceeds from State general 17
obligation bonds; and 18
2. insurance; 19
(ii) services for port related activities, including information 20
processing services, but excluding banking and financial services under the authority of the 21
State Treasurer under item (1) of this subsection; 22
(iii) construction and construction related services for a port facility 23
as defined in § 6–101(e) of the Transportation Article; 24
(iv) port related architectural and engineering services under Title 25
13, Subtitle 3 of this article; and 26
(v) leases of real property for port related activities unless the lease 27
payments are from the General Fund of the State; [and] 28
(5) the Department of General Services, without the approval of any other 29
primary procurement unit, may engage in or control procurement of: 30
(i) information processing equipment, cloud computing equipment, 31
and associated services, as provided in Title 3.5, Subtitle 3 of this article; 32 SENATE BILL 177 5
(ii) information technology system modernization, as provided in 1
Title 3.5, Subtitle 3 of this article; 2
(iii) telecommunication equipment, systems, or services, as provided 3
in Title 3.5, Subtitle 4 of this article; and 4
(iv) cybersecurity upgrades and modernization, as provided in Title 5
3.5, Subtitle 3 of this article; AND 6
(6) THE STATE DEPARTMENT OF EDUCATION, WITHOUT THE 7
APPROVAL OF ANY OTHE R PRIMARY PROCUREMEN T UNIT, MAY ENGAGE IN OR 8
CONTROL PROCUREMENT OF: 9
(I) FOOD GROWN WITHIN A 200–MILE RADIUS FROM AN 10
ELEMENTARY OR SECOND ARY SCHOOL FOR WHICH A LOCAL SCHOOL SYSTE M 11
ENTERS INTO A MASTER C ONTRACT WITH THE STATE DEPARTMENT OF EDUCATION; 12
(II) FOOD GROWN AT A CERT IFIED LOCAL FARM UND ER § 14–701 13
OF THIS ARTICLE; AND 14
(III) CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDED BY 15
A CERTIFIED CHESAPEAKE INVASIVE S PECIES PROVIDER AS DEFINED IN § 14–701 16
OF THIS ARTICLE . 17
13–101. 18
(a) In this subtitle the following words have the meanings indicated. 19
(b) “Designated procurement unit” means: 20
(1) the Department of General Services; 21
(2) the Department of Transportation; [or] 22
(3) the Department of Information Technology, only with respect to an 23
information technology master contract executed before July 1, 2022, until the earlier of: 24
(i) the expiration date of all information technology master 25
contracts; or 26
(ii) June 30, 2027; OR 27
(4) THE STATE DEPARTMENT OF EDUCATION, ONLY WITH RESPECT 28
TO A MASTER CONTRACT RELATED TO LOCAL FOO D. 29
6 SENATE BILL 177
(e) “Master contracting” means a streamlined procurement method that provides 1
for the qualification of bidders and offerors for the procurement of services, supplies, or 2
commodities. 3
13–113. 4
(a) (1) The designated procurement units may adopt master contracting, a 5
streamlined procurement method, to provide for the qualification of an offeror in one or 6
more categories of services, supplies, or commodities. 7
(2) NOTWITHSTANDING ANY R EQUIREMENTS OF A LOC AL SCHOOL 8
SYSTEM, THE STATE DEPARTMENT OF EDUCATION MAY NOT REQ UIRE 9
CERTIFICATION FOR GO OD AGRICULTURAL PRAC TICES FOR MASTER CON TRACTING. 10
14–407. 11
(a) (1) In this section the following words have the meanings indicated. 12
(2) “Locally grown food” means food grown [in the State] AT A CERTIFIED 13
LOCAL FARM DEFINED I N § 14–701 OF THIS TITLE. 14
(3) “Percentage price preference” means the percent by which a responsive 15
bid from a responsible bidder whose product is a locally grown food may exceed the lowest 16
responsive bid submitted by a responsible bidder whose product is not a locally grown food. 17
(b) (1) The Board shall adopt regulations that require State schools and 18
facilities to establish a percentage price preference, not to exceed [5%] 10%, for the 19
purchase of locally grown food. 20
(2) NOTWITHSTANDING PARAG RAPH (1) OF THIS SUBSECTION , THE 21
BOARD SHALL ADOPT REG ULATIONS AUTH ORIZING STATE SCHOOLS AND 22
FACILITIES TO CONDUC T AN INDIVIDUAL PROC UREMENT THAT IS LIMI TED TO 23
RESPONSES FROM CERTI FIED LOCAL FARMS AS DEFINED IN § 14–701 OF THIS TITLE. 24
(c) A percentage price preference under this section may not be used in 25
conjunction with any other percentage price preference established under this title. 26
(d) Each State school and facility shall review the procurement specifications 27
currently used and, to the extent practicable, require the use of a percentage price 28
preference in their purchase of locally grown food. 29
(e) (1) Except as provided in paragraph (2) of this subsection, this section is 30
broadly applicable to all procurements by State schools and facilities if the locally grown 31
food is consistent with the requirements of the bid specification. 32
SENATE BILL 177 7
(2) Only to the extent necessary to prevent the denial of federal money or 1
eliminate the inconsistency with federal law, this section does not apply to a procurement 2
by a State school or facility if it is determined that compliance with this section would: 3
(i) cause denial of federal money; or 4
(ii) be inconsistent with the requirements of federal law. 5
14–701. 6
(a) In this subtitle the following words have the meanings indicated. 7
(b) “Certified Chesapeake invasive species” means a finfish species that is: 8
(1) ranked as high priority in the Maryland Aquatic Nuisance Species 9
Management Plan; and 10
(2) harvested from the Chesapeake Bay or its tributaries. 11
(c) “Certified Chesapeake invasive species provider” means a person licensed and 12
authorized as a seafood dealer under § 4–701 of the Natural Resources Article that: 13
(1) is certified by the Department in accordance with regulations adopted 14
under this subtitle; and 15
(2) can demonstrate that the person’s product is a certified Chesapeake 16
invasive species. 17
(d) “Certified local farm” means a local farm enterprise that: 18
(1) meets the nutrient management requirements established under Title 19
8, Subtitle 8 of the Agriculture Article; and 20
(2) is certified by the Department in accordance with regulations adopted 21
under this subtitle. 22
14–702. 23
(a) (1) There is an Office for the Certified Local Farm and Fish Program in the 24
Department. 25
(2) The purpose of the Office is to administer the Program and facilitate 26
the participation of certified local farms and certified Chesapeake invasive species 27
providers in the Program. 28
(b) (1) There is a Certified Local Farm and Fish Program in the Office. 29
8 SENATE BILL 177
(2) The purpose of the Program is to encourage each unit to try to achieve 1
an overall percentage goal of 20% of the unit’s total dollar value of procurement contracts 2
for food from certified local farms and certified Chesapeake invasive species providers. 3
(c) The Department shall create two positions to provide staff for the Office. 4
(D) THE DEPARTMENT , ALONG WITH THE DEPARTMENT OF GENERAL 5
SERVICES, SHALL COORDINATE WIT H THE STATE DEPARTMENT OF EDUCATION TO 6
PROCURE LOCAL FOOD F OR LOCAL SCHOOL SYST EMS IN ACCORDANCE WI TH § 7–136 7
OF THE EDUCATION ARTICLE. 8
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 9
1, 2025. 10
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
President of the Senate.
________________________________________________________________________________
Speaker of the House of Delegates.