Md. Code Regs. 21.11.14.07

Current through Register Vol. 51, No. 12, June 14, 2024

Section 21.11.14.07 - Procurement Solicitations

A. To attain the overall and specific goals under Regulation .01A of this chapter, procurement agencies shall set, where appropriate, an overall VSBE goal, expressed as a percentage of the dollar value of the contract.

B. Goal Setting Generally.

(1) A procurement agency shall assess the potential for VSBE prime and subcontractor participation in each contract and estimate the amount of participation if any before initiating the procurement.

(2) Some factors which may be used to determine the level of VSBE participation include:

(a) The extent to which direct solicitation at the prime contract level, subcontracting, or a combination of both is determined most likely to result in maximum VSBE participation in the contract;

(b) The number of certified VSBEs listed in the Database in addition to veteran-owned firms identified by the U.S. Small Business Administration and other resources and databases used to identify veteran-owned firms for a particular supply, service, maintenance, construction, construction-related service, architectural service, or engineering service;

(c) The geographical proximity, when relevant, of VSBEs to the location of the work to be performed; and

(d) The feasibility of subcontracting opportunities given the nature and extent of the proposed contract.

C. VSBE Subcontracting Provisions.

(1) Solicitation Content. The solicitation shall contain provisions requiring bidders or offerors to:

(a) Identify specific work categories within the scope of the procurement appropriate for subcontracting;

(b) Conduct outreach through the Database or utilize the U.S. Small Business Administration and other resources and databases to assist in identifying potential veteran vendors. The veteran-owned vendor shall be a certified VSBE at the time of submission of the bid or proposal.

(c) Solicit certified VSBEs and veteran-owned firms in writing at least 10 days before bids or proposals are due, describing the identified work categories and providing instructions on how to bid on the subcontracts;

(d) Attempt to make personal contact with the VSBEs solicited and to document these attempts;

(e) Assist VSBEs to fulfill, or to seek waiver of, bonding requirements; and

(f) Attempt to attend prebid or other meetings the procurement agency schedules to publicize contracting opportunities to VSBEs.

(2) If a solicitation contains an MBE goal and a VSBE goal, participation by a subcontractor dually-certified as an MBE and a VSBE may be counted toward meeting both the MBE and VSBE contract goals to the extent its participation meets the cumulative but distinct MBE and VSBE contract goals, or portions thereof that it is committed to perform. Example: If the solicitation contains a 25 percent MBE goal and a 5 percent VSBE goal, the dually certified subcontractor shall perform 30 percent of the contract to obtain both goals.

(3) Participation by a dually-certified subcontractor may be counted toward the agency's overall MBE and VSBE goals.

(4) On forms provided by the procurement agency, a bidder or offeror shall submit with its bid or proposal:

(a) A completed VSBE utilization affidavit including either an agreement to meet the certified VSBE participation goal or a request for a full or partial waiver; and

(b) A completed VSBE participation schedule that identifies the VSBE that the bidder or offeror agrees to utilize in the performance of the contract and the percentage of contract value attributed to each VSBE.

(5) The VSBE participation schedule shall:

(a) Include the name of each VSBE that will participate in the project; and

(b) Include the percentage of the contract to be paid to each VSBE for the work or supply.

(6) The failure of a bidder to accurately complete and submit the VSBE utilization affidavit and participation schedule may result in a determination that the bid is not responsive.

(7) The failure of an offeror to accurately complete and submit the VSBE utilization affidavit and the VSBE participation schedule may result in a determination that the proposal is not susceptible of being selected for award.

(8) The names of prime contractors requesting or purchasing solicitation documents for construction contracts shall be made available on request to any VSBE whose specialty suggests an interest in subcontracting.

(9) Each prime contractor receiving solicitation documents as part of a procurement with a VSBE goal shall be given the web address for the Database for purposes of soliciting subcontract quotations, bids, or offers from VSBEs.

D. Counting Prime Participation Toward Overall and Contract Goals.

(1) A procurement agency may count a prime contractor dually-certified as an MBE and a VSBE toward the agency's overall VSBE and MBE goals.

(2) A procurement agency may count the distinct, clearly defined portion of the work of the contract that a VSBE certified prime performs with its own work force toward meeting up to 100 percent of the contract's VSBE goal.

E. Direct Solicitation. As part of the solicitation process being employed for the business community in general, and in addition to the public notice requirements of COMAR 21.05.02.04 and 21.05.03.02B, a procurement agency shall send a copy of the solicitation or notice of the solicitation, or both, to a sufficient number of VSBEs listed in the Database, as determined by the procurement officer, as is likely to result in VSBE responses to the solicitation.

F. Notification. Except for sole source, small, and emergency procurements, a copy of the solicitation notice for each procurement with an VSBE goal may be sent in an electronic format to the Maryland Department of Veterans Affairs for distribution to the appropriate veteran and small business assistance agencies and trade organizations.

G. Prebid and Preproposal Conferences. When prebid or preproposal conferences are held, the procurement agency shall explain the VSBE subcontracting goal if applicable, the VSBE provisions of the solicitation, the documentation required, and its relationship to the determinations that will be made in connection with the evaluation process.

Md. Code Regs. 21.11.14.07

Recodified from 21.11.13.07 effective 47:26 Md. R. 1108, eff. 12/28/2020; amended and recodified from .05 effective 49:10 Md. R. 562, eff. 5/16/2022; amended effective 51:6 Md. R. 270, eff. 4/1/2024.