Md. Code Regs. 14.39.03.10

Current through Register Vol. 51, No. 21, October 18, 2024

Section 14.39.03.10 - Competitive Negotiation

A. Definition.

(1) In this regulation, the following term has the meaning indicated.

(2) Term Defined. Competitive negotiation means a method of source selection that:

(a) Permits offerors to demonstrate creativity, experience, and knowledge;

(b) Allows offerors to submit proposals that vary widely in scope, cost, and other factors; and

(c) Allows negotiating between the LEA and the qualified offerors with the objective that the final proposal be the most advantageous to the LEA.

B. Request for Proposals.

(1) The request for proposals is used to initiate a competitive negotiation procurement.

(2) The request for proposals shall include:

(a) Instructions and information concerning proposal submission requirements including the date, time and place for receipt of proposals;

(b) A statement as to whether electronic proposals will be accepted;

(c) At a minimum, a general description of the final product or services the LEA seeks;

(d) The evaluation factors and an indication of the relative importance of each evaluation factor, including price;

(e) A statement that discussions may be conducted with those responsible offerors that submit proposals judged to be in the competitive range, as previously determined by the LEA;

(f) MBE goals, if applicable;

(g) Prevailing wage requirements, if applicable;

(h) Information with respect to preproposal conference if a conference is to be held;

(i) Requirement for submission of a proposal affidavit;

(j) Requirement that offerors acknowledge receipt of each amendment and addendum issued;

(k) Requirement for bid bond, if applicable; and

(l) Any other information the LEA requires.

(3) The LEA shall obtain authorization from the IAC or its designee before issuing the request for proposals.

C. Public Notice. The LEA shall publish notice of a request for proposals at least 14 calendar days before the proposal due date in:

(1) eMaryland Marketplace;

(2) An electronic posting or a physical posting on the LEA's bid board; or

(3) A newspaper of general circulation in the LEA's region.

D. Proposal Receipt. The LEA shall keep submitted proposals in a secure place until the due date. Proposals are not required to be opened publicly but shall be opened in the presence of at least two LEA employees.

E. Proposal Disclosure. Offerors shall indicate clearly the portions of their proposals that they consider confidential information. All information submitted by offerors is subject to State and local public disclosure laws.

F. Proposal Evaluation.

(1) LEAs may interview offerors as part of the evaluation process.

(2) The LEA shall evaluate the proposals based on the evaluation factors set forth in the request for proposals.

(3) The LEA shall evaluate the technical proposals and price proposals independently of each other.

(4) Evaluation factors shall include:

(a) Offeror's understanding of scope of the work;

(b) Advantages of the offeror's proposal to the LEA and to the public in general;

(c) Offeror's prior experience with projects of similar size and scope, and if offeror is a joint venture, experience for at least one of the members of the joint venture entity;

(d) Offeror's plan for management of the project, and the organizational structure proposed for the project;

(e) Experience of offeror's individual staff members with projects of similar size and scope;

(f) Financial resources of team and team members;

(g) MBE plan, if applicable;

(h) Price;

(i) If applicable, process by which operation and maintenance of the facility will be transferred to the LEA; and

(j) Other factors that the LEA sets forth.

(5) The LEA shall establish a competitive range based on the ratings of each proposal.

(6) Price may be a component in the first evaluation phase of the request for proposals, but is not required. The LEA may exclude price as a factor in the first phase of the request for proposals in order to assess the range of conceptual options that are available for a particular project.

G. Negotiations.

(1) The primary objective of negotiations is to obtain the most advantageous contract for the LEA.

(2) The LEA shall undertake negotiations with each offeror in the competitive range. During negotiations, an offeror may revise its proposal.

(3) During negotiations, the LEA may establish a final competitive range. The LEA may limit the number of offerors that are included in the final competitive range.

(4) After negotiation, the LEA shall give each offeror in the final competitive range the opportunity for a final proposal revision.

H. Award.

(1) The LEA shall select the offeror whose proposal is, in the LEA's determination, the most advantageous to the LEA.

(2) Before seeking approval of the award from the local board of education, the LEA shall:

(a) Discuss the project in an open meeting; and

(b) Notify the public as to when the proposed contract will be brought before the board of education for approval.

(3) Following approval of the award by the local board of education, the LEA shall prepare and submit to the IAC or its designee a statement that explains why the proposal is the most advantageous. The explanation shall:

(a) Describe the proposed scope of work, including alternative financing arrangements, if applicable;

(b) Include a cost schedule, indicating the costs associated with various services to be provided by the vendor or phases of the work, and whether those costs are eligible for State reimbursement;

(c) Summarize the evaluation system used to select the offeror;

(d) Summarize the apparent successful offeror's proposal; and

(e) Describe the MBE plan.

Md. Code Regs. 14.39.03.10

Regulation .10 amended and recodified 23.03.03.10 effective 46:22 Md. R. 976, eff. 11/4/2019