Md. Code Regs. 21.05.01.04-1

Current through Register Vol. 51, No. 20, October 4, 2024

Section 21.05.01.04-1 - Reciprocal Preferences-Architectural or Engineering Services

A. Definitions.

(1) In this regulation, the following terms have the meanings indicated.

(2) "Nonresident firm " means a business entity that:

(a) Has one office that is a principal office for the entity and is not located in the State; or

(b) For an entity that has offices in multiple states, has not had a principal office located in the State for at least 6 months immediately before the date of a request for proposals.

(3) "Preference" means:

(a) A percentage preference;

(b) An employee residency requirement; or

(c) Any other law, policy, or practice that favors a resident-firm offeror over a nonresident-firm offeror.

(4) Principal Office.

(a) "Principal office " means a primary place of business that is staffed on a regular basis to provide the services that are requested by a unit in a request for proposals.

(b) "Principal office" does not include a satellite office or an office that is minimally staffed and is not open on a regular basis to provide the services that are requested by a unit in a request for proposals.

(5) "Request for proposals" means a request for architectural services or engineering services that is issued in accordance with State Finance and Procurement Article, § 13-112, Annotated Code of Maryland.

(6) Resident Firm.

(a) "Resident firm " means a business entity that is licensed or otherwise authorized to provide architectural or engineering services in the State, and:

(i) For an entity that has one office, the office is located in the State; or

(ii) For an entity that has offices in multiple states, has had a principal office located in the State for at least 6 months immediately before the date of a request for proposals.

(b) "Resident firm" includes a joint venture that was entered into before the date of the request for proposals for which the joint venture submits a proposal and includes one party that holds at least a 51 percent interest in the joint venture and meets the definition in §A(6)(a) of this regulation.

B. Conditions. A procurement agency shall apply a preference to a proposal from a resident firm if:

(1) A nonresident firm is a responsible offeror determined to be the most qualified person to submit a proposal in accordance with State Finance and Procurement Article, § 13-112, Annotated Code of Maryland, and the state in which the principal office of the nonresident firm is located has a preference that favors an offeror from that state to the disadvantage of an offeror from the State of Maryland;

(2) A resident firm is a responsible offeror that certifies it meets the requirements for a resident firm at the same time that it submits the proposal for which the preference would apply; and

(3) The nonresident firm's state's preference does not conflict with a federal law or grant affecting the procurement contract.

C. Application.

(1) At the request of a unit, a nonresident firm shall provide the following documentation for the state in which the principal office of the nonresident firm is located:

(a) A copy of the current statute, resolution, policy, procedure, or executive order that establishes a preference that favors an offeror from that state to the disadvantage of an offeror from the State of Maryland; or

(b) A certification that the other state does not have a preference that favors an offeror from that state to the disadvantage of an offeror from the State of Maryland.

(2) If a resident firm qualifies for a preference established under this section and for another preference established under State Finance and Procurement Article, Division II, Annotated Code of Maryland, the unit:

(a) May not apply more than one preference to the proposal from the resident firm; and

(b) Shall apply the preference to the proposal from the resident firm that is most advantageous to the resident firm.

(3) If, when making a determination of qualification under a qualification-based selection, a unit determines that a proposal from a resident firm and a proposal from a nonresident firm are equally qualified, the unit may apply a preference to the proposal from the resident firm.

(4) A unit may not apply a preference to a proposal submitted by a resident firm if the resident firm does not submit the certification required under §B(2) of this regulation at the same time that it submits the proposal.

Md. Code Regs. 21.05.01.04-1

Regulations 04-1 adopted effective 46:14 Md. R. 621, eff. 7/15/2019