Title 08
DEPARTMENT OF NATURAL RESOURCES

Subtitle 18 BOATING—SPEED LIMITS AND OPERATION OF VESSELS

08.18.01 General

Authority: Natural Resources Article, §8-725.9, Annotated Code of Maryland

Notice of Proposed Action

[26-034-P]

The Secretary of Natural Resources proposes to amend Regulation .04 under COMAR 08.18.01 General.

Statement of Purpose

The purpose of this action is to establish a process to delineate speed zones and restricted areas by public notice for the instances laid out in Natural Resources Article, §8-725.9, Annotated Code of Maryland (2025 Md. Laws, Chap. 433). Natural Resources Article, §8-725.9, Annotated Code of Maryland, allows the Department to establish or alter by public notice an area where vessel movement is controlled, limited, or restricted as designated by the U.S. Coast Guard or another federal agency, or, if the Department determines public safety is at risk and it is contrary to the public interest to delay action, a speed zone near:

(1) A construction project on or adjacent to State waters;

(2) A marine event; or

(3) An accident or other emergent situation.

The proposed action establishes the process for issuing a public notice to implement the statute. The proposed action requires the public notice to be posted on the Department’s website a minimum of 24 hours in advance of the effective date. The public notice will also be disseminated through various other media (e.g., social media, email lists, publishing in the Maryland Register, etc.) and buoys will be placed in the area so that an affected individual has a reasonable opportunity to be informed. Creating or modifying speed zones or restricted areas by public notice will allow the Department to better manage the use of state waters in times of emergency or in response to short-term needs.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to General - Rules of the Road - Public Notices, Regulatory Staff, Maryland Department of Natural Resources, Fishing and Boating Services, 580 Taylor Avenue, E-4, Annapolis, MD 21401, or call 410-260-8300, or email to [email protected], or complete the comment form at https://dnr.maryland.gov/boating/Pages/regulations/changes_boating.aspx. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

.04 Rules of the Road.

A.—B. (text unchanged)

C. Public Notice.

(1) The Secretary may establish or modify speed zones and restricted areas to implement Natural Resources Article, §8-725.9, Annotated Code of Maryland, by issuing a public notice on the Department’s website.

(2) The public notice shall state its effective hour and date and shall be published on the Department’s website at least 24 hours in advance of the effective hour and date.

(3) The Secretary shall make a reasonable effort to disseminate a public notice issued under this section through various other media so that an affected individual has a reasonable opportunity to be informed.

(4) A violation of the restrictions set by the Secretary in accordance with this section is a violation of this regulation.

JOSH KURTZ
Secretary of Natural Resources

Title 09
MARYLAND DEPARTMENT OF LABOR

Subtitle 11 REAL ESTATE COMMISSION

09.11.07 Residential Property Disclosure/Disclaimer Statement

Authority: Business Occupations and Professions Article, §17-208; Real Property Article, § 10-702(c)(2), Annotated Code of Maryland

Notice of Change to Opportunity for Public Comment

[24-168-R]

The Opportunity for Public Comment, which appeared in 53:6 Md. R. 295—296 (March 20, 2026) has been changed. The revised notice follows.

Opportunity for Public Comment

Comments may be sent to Scott Lederer, Executive Director, Maryland Real Estate Commission, 100 S. Charles St., Tower 1 3^rd Floor, Baltimore, MD 21201, or call 410-230-6227, or email to [email protected]. Comments will be accepted through April 30, 2026. A public hearing has not been scheduled.

DEMETRIA SCOTT
Chair

Subtitle 19 COMMISSION OF REAL ESTATE APPRAISERS, APPRAISAL MANAGEMENT COMPANIES, AND HOME INSPECTORS — REAL ESTATE APPRAISERS

09.19.02 Educational Requirements

Authority: Business Occupations and Professions Article, §§16-216, 16-220, 16-302(g), 16-308, 16-309, and 16-5A-01, Annotated Code of Maryland

Notice of Proposed Action

[26-056-P]

The Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors proposes to amend Regulation .04 under COMAR 09.19.02 Educational Requirements.

At this time the Commission Of Real Estate Appraisers, Appraisal Management Companies, And Home Inspectors—Real Estate Appraisers is withdrawing a previously proposed action to this chapter which was published in 53:1 Md. R 31—32 (January 9, 2026).

Statement of Purpose

The purpose of this action is to comply with mandates of the Appraisal Qualifications Board, the federal agency with oversight of all State real estate appraisal licensing programs, which recently revised real estate appraiser continuing education requirements which become effective on January 1, 2026.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Todd Blackistone, Executive Director, Maryland Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors, Maryland Department of Labor, 100 South Charles Street, Tower 1, Suite 3300, Baltimore, MD 21201, or call 410-230-6165, or email to [email protected]. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

Open Meeting

Final action on the proposal will be considered by the Maryland Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors during a public meeting to be held on June 9, 2026 at 10:30 a.m., at Maryland Department of Labor,100 South Charles Street, Tower 1, Suite 3300, Baltimore, MD 21201.

.04 Continuing Education.

A. (text unchanged)

B. Required Subject Matter for Continuing Education .

(1) (text unchanged)

(a) (text unchanged)

(b) [Effective November 1, 2023] For licenses and certificates expiring on or after March 1, 2026:

(i) Any currently licensed appraiser, certified appraiser, and appraiser trainee shall complete a 7-hour course the first time they meet the AQB education requirement for Valuation Bias and Fair Housing Laws and Regulations Outline; and

(ii) [any] All currently licensed [appraiser, certified appraiser, and appraiser trainee] appraisers, certified appraisers, and appraiser trainees applying for license or certificate renewal shall successfully complete during the preceding 3-year license cycle a [minimum of 3 hours of appraisal education related to racial discrimination and implicit bias] 4-hour Valuation Bias and Fair Housing Laws and Regulations course.

(c) If obtaining a new credential or upgrading an existing credential individuals shall complete an 8-hour course to meet AQB education requirements in Valuation Bias and Fair Housing Laws and Regulations Outline that includes 7 hours of instruction and a 1-hour exam; and

(d) Every 2 calendar years thereafter, the course length must be at least 4 hours.

(2) (text unchanged)

C.—G.(text unchanged)

RACHEL OSLAND
Chairperson, Maryland Commission of Real Estate Appraisers,
Appraisal Management Companies, and Home Inspectors

Title 10
MARYLAND DEPARTMENT OF HEALTH

Subtitle 09 MEDICAL CARE PROGRAMS

10.09.02 Physicians' Services

Authority: Health-General Article, §§2-104(b), 15-103, and 15-105, Annotated Code of Maryland

Notice of Proposed Action

[26-013-P-I]

The Secretary of Health proposes to amend Regulation .07 under COMAR 10.09.02 Physicians’ Services.

Statement of Purpose

The purpose of this action is to update the Maryland Medical Assistance Program Professional Service Provider Manual and Fee Schedule which is incorporated by reference in the chapter.

Estimate of Economic Impact

I. Summary of Economic Impact. The proposed action aligns the reimbursement rates for evaluation and management (E&M) procedures at 100 percent of the 2025 Medicare rate effective July 1, 2025. The estimated impact for FY 2026 is $2,681,165. In addition, the proposed actions increase the rates for evaluation and management (E&M) procedures at 103 percent of the 2025 Medicare rate effective August 1, 2025, for eligible primary care providers (PCP). The total impact for FY 2026 is $16,657,624. The total combined economic impact of the proposed actions in FY 2026 is $19,338,789.

II. Types of Economic Impact.

Impacted Entity	Revenue (R+/R-) Expenditure (E+/E-)	Magnitude
A. On issuing agency:
Maryland Department of Health	(E+)	$19,338,789
B. On other State agencies:	NONE
C. On local governments:	NONE
	Benefit (+) Cost (-)	Magnitude
D. On regulated industries or trade groups:
Maryland Medicaid Providers	(+)	$19,338,789
E. On other industries or trade groups:	NONE
F. Direct and indirect effects on public:	NONE

III. Assumptions. (Identified by Impact Letter and Number from Section II.)

A. This amount assumes:

(a) Effective July 1, 2025 the E&M rates were realigned to 100 percent of Medicare rates, resulting in an estimated expenditure increase of $2,681,165;

(b) Effective August 1, 2025 the E&M rates for eligible primary care providers are estimated to increase to total $16,657,624; and

(c) The total amount for both E&M adjustments is subject to a 65.01 percent federal match (35.7 percent) general funds ($6,909,297) and 64.3 percent federal funds ($12,429,492).

D. See A above.

Economic Impact on Small Businesses

The proposed action has a meaningful economic impact on small businesses. An analysis of this economic impact follows:

Maryland Medicaid providers who qualify as small businesses and render evaluation and management services will incur a portion of the collective benefit of increased reimbursement rates.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Jordan Fisher Blotter, Director, Office of Regulation and Policy Coordination, Maryland Department of Health, 201 West Preston Street, Room 534 Baltimore, Maryland 21201, or call 410-767-0938, or email to [email protected]. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

Editor’s Note on Incorporation by Reference

Pursuant to State Government Article, §7-207, Annotated Code of Maryland, the Professional Services Provider Manual and Fee Schedule (Effective January 2025) has been declared a document generally available to the public and appropriate for incorporation by reference. For this reason, it will not be printed in the Maryland Register or the Code of Maryland Regulations (COMAR). Copies of this document are filed in special public depositories located throughout the State. A list of these depositories was published in 53:1 Md. R. 10 (January 9, 2026), and is available online at www.dsd.maryland.gov. The document may also be inspected at the office of the Division of State Documents, 16 Francis Street, Annapolis, Maryland 21401.

.07 Payment Procedures.

A.—C. (text unchanged)

D. The Maryland Medical Assistance Program’s procedures for payment are contained in the following documents, the provisions of which are incorporated by reference:

(1) The Professional Services Provider Manual and Fee Schedule (Effective January [2024] 2025); and

(2) (text unchanged)

E.—P. (text unchanged).

MEENA SESHAMANI, MD, PHD
Secretary of Health

10.09.10 Nursing Facility Services

Authority: Health-General Article, §§2-104(b), 15-103, 15-105, 19-14B-01, and 19-310.1, Annotated Code of Maryland

Notice of Proposed Action

[26-014-P]

The Secretary of Health proposes to amend Regulations .01, .07, .08, .12—.15, and .31 under COMAR 10.09.10 Nursing Facility Services.

Statement of Purpose

The purpose of this action is to:

(1) Update language throughout the chapter, replacing references to “resource utilization group (RUG)” with “patient-driven payment model (PDPM)”;

(2) Describe the phased-in implementation of the patient-driven payment model-based case mix index rate for nursing facility services;

(3) Add language to disqualify nursing facility providers from pay-for-performance eligibility for failure to make timely quality assessment payments;

(4) Update the budget adjustment factor for FY 2026; and

(5) Extend the sunset date for the Interim Working Capital Fund for one year.

Estimate of Economic Impact

I. Summary of Economic Impact. These regulations have an economic impact due to the adjustments to the day of care rate for Nursing Facility providers in accordance with the Statewide average Medicaid case-mix index and the application of the budget adjustment factor.

II. Types of Economic Impact.

Impacted Entity	Revenue (R+/R-) Expenditure (E+/E-)	Magnitude
A. On issuing agency:
(1) Maryland Department of Health	(E+)	$3,042,972
(2) Maryland Department of Health	(R-)	$769,611
B. On other State agencies:	NONE
C. On local governments:	NONE
	Benefit (+) Cost (-)	Magnitude
D. On regulated industries or trade groups:
Medicaid Nursing Facility Providers	(+)	$3,042,972
E. On other industries or trade groups:	NONE
F. Direct and indirect effects on public:	NONE

III. Assumptions. (Identified by Impact Letter and Number from Section II.)

A(1). This amount assumes:

(a) Beginning July 1, 2025, Maryland Medical Assistance will reimburse an additional $.59 per day of care for nursing facilities services in accordance with the calculated Statewide average Medicaid case-mix index and the application of the budget adjustment factor.

(b) Based on a projected 5,157,580 days of care in FY 2026, this increase represents a cost to the State of $3,042,972.

A(2). This amount assumes:

(a) The interim working capital fund will provide a projected $20,522,954 to providers during FY 2026;

(b) The resulting loss of potential interest income is $769,611 based on a rate of return of 3.75 percent.

D. See A(2).

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

.01 Definitions.

A. (text unchanged)

B. Terms Defined.

(1)—(5) (text unchanged)

(6) “Case mix index (CMI)” means a numeric score that identifies the average relative nursing resource needs for the residents classified under the [Resource Utilization Group (RUG)] Patient-Driven Payment Model (PDPM) based on the assessed nursing needs of the resident, whose values are set forth [as CMI Set F01, located at https://www.cms.gov/Medicare/Quality-Initiatives-Patient-Assessment-Instruments/NursingHomeQualityInits/NHQIMDS30TechnicalInformation.html] in the PDPM case-mix, nursing component only.

(7)—(12) (text unchanged)

(13) “ES3” means an extensive services group receiving services for:

(a) Tracheostomy care; and

(b) An invasive mechanical ventilator or respirator.

[(13)] (14)—[(30)] (31) (text unchanged)

(32) “Patient-Driven Payment Model (PDPM)” means a case-mix classification model that has been developed by CMS for grouping nursing facility residents according to the residents’ unique needs, characteristics, and goals.

[(31)] (33)—[(34)] (36) (text unchanged)

[(35)] (37) “Prospective rate” means a facility-specific quarterly per diem rate based on the [RUG] PDPM classification system, and calculated as the sum of:

(a)—(d) (text unchanged)

[(36)] (38)—[(59)] (61) (text unchanged)

.07 Prospective Rates.

A.—F. (text unchanged)

G. Final facility rates for the period [July 1, 2024] July 1, 2025 through [June 30, 2025] June 30, 2026 shall be each nursing facility’s quarterly rate, exclusive of the amount identified in Regulation .13A(2) of this chapter, increased by the budget adjustment factor of [2.703] 0.176 percent, plus the Nursing Facility Quality Assessment add-on identified in Regulation .11E of this chapter and the ventilator care add-on amount identified in Regulation .13A(2) of this chapter when applicable.

H. Effective January 1, 2025, the Department will transition from RUG CMIs to the PDPM CMIs for nursing facility rate calculation.

J. PDPM nursing component CMIs will be phased in at the following intervals:

(1) Effective January 1, 2025, rate calculations will consist of 75 percent RUG-based CMI rate and 25 percent PDPM-based CMI rate;

(2) Effective April 1, 2025, rate calculations will include 50 percent RUG-based CMI rate and 50 percent PDPM-based CMI rate; and

(3) Effective July 1, 2025, rate calculations will consist of 100 percent PDPM-based CMI rate.

.08 Interim Working Capital Fund.

A.—G. (text unchanged)

H. The Interim Working Capital Fund expires on [May 1, 2025] May 1, 2026. Providers shall repay all outstanding funds to the Department by [May 1, 2025] May 1, 2026. The Department may grant repayment extensions, not longer than 60 days, under extraordinary circumstances.

.12 Rate Calculation — Nursing Services Costs.

A.—E. (text unchanged)

F. Case Mix Index Calculation.

(1) The Department shall use the [resource utilization group] PDPM to adjust Nursing Service costs and to determine each nursing facility’s Nursing Service rate component.

(2) (text unchanged)

[(3) If the Department or its contractor determines that a nursing facility has delinquent MDS resident assessments, for purposes of determining both facility CMI averages, the assessments shall be assigned the case mix index associated with the RUG group “BC1” or its successor.]

[(4)] (3) A delinquent MDS shall be assigned a CMI value equal to the lowest CMI in the [RUG] PDPM classification system, or its successor.

[(5)] (4)—[(7)] (6) (text unchanged)

G. (text unchanged)

.13 Ventilator Care Nursing Facilities.

Nursing facilities with licensed nursing facility beds, which have been determined by the Department to meet the standards for ventilator care under COMAR 10.07.02, shall be reimbursed as follows:

A.—B. (text unchanged)

C. Nursing facilities adding ventilator care services for the first time, which have been determined by the Department to meet the standards for ventilator care under COMAR 10.07.02, shall be reimbursed as described in §A of this regulation, except that the facility average Medicaid case mix index is assumed to be that of [RUG] PDPM classification ES3;

D.—F. (text unchanged)

.14 Pay-for-Performance — Eligibility.

In order to be eligible to receive funds through the pay-for-performance program under the provisions of Regulations .15—.19 of this chapter:

A. (text unchanged)

B. During the 1 year period ending March 31 of the prior State fiscal year, the provider may not have been:

(1) (text unchanged)

(2) Denied payment for new admissions by the Department; [or]

(3) Identified by the Department as delivering substandard quality of care[.]; or

(4) Identified by the Department as failing to pay the quality assessment in accordance with the timetables established in COMAR 10.01.20.

.15 Pay-for-Performance — Quality Measures.

A. (text unchanged)

B. Staffing Levels.

(1)—(2) (text unchanged)

(3) A facility’s average acuity shall be determined based on the facilities Minimum Data Set [Resource Utilization Groups (RUG)] Patient-Driven Payment Model (PDPM) during the 6-month period ending December 31 of the most recent State fiscal year. To establish expected staffing hours, each [RUG] PDPM group will be multiplied by the corresponding hours under Regulation .31B of this chapter and divided by the total days of care during the same period.

C.—F. (text unchanged)

.31 Nursing Service Personnel and Procedures.

A. (text unchanged)

B. [Minimum Data Set Resource Utilization Groups Hourly Weights.] (existing table proposed for repeal)

PDPM Case-mix, Nursing
Component Only.

Nursing
Nursing Group	CMI
ES3	3.84
ES2	2.90
ES1	2.77
HDE2	2.27
HDE1	1.88
HBC2	2.12
HBC1	1.76
LDE2	1.97
LDE1	1.64
LBC2	1.63
LBC1	1.35
CDE2	1.77
CDE1	1.53
CBC2	1.47
CA2	1.03
CBC1	1.27
CA1	0.89
BAB2	0.98
BAB1	0.94
PDE2	1.48
PDE1	1.39
PBC2	1.15
PA2	0.67
PBC1	1.07
PA1	0.62

MEENA SESHAMANI, MD, PHD
Secretary of Health

Subtitle 65 BOARD OF MASSAGE THERAPY EXAMINERS

10.65.12 Handheld Tools

Authority: Health Occupations Article, §§6-101(f)(2)(ii) and 6-206(a)(1), Annotated Code of Maryland

Notice of Proposed Action

[26-028-P]

The Secretary of Health proposes to adopt new Regulations .01—.04 under a new chapter, COMAR 10.65.12 Handheld Tools. This action was considered by the Board of Massage Therapy Examiners at a public meeting held on January 28, 2026, notice of which was given by publication on the Board’s website at health.maryland.gov/massage/Pages/home.aspx pursuant to General Provisions Article, §3–302(c), Annotated Code of Maryland.

Statement of Purpose

The purpose of this action is to add a new chapter for handheld tools pursuant to Ch. 788, Acts of 2024.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Jordan Fisher Blotter, Director, Office of Regulation and Policy Coordination, Maryland Department of Health, 201 West Preston Street, Room 534 Baltimore, Maryland 21201, or call 410-767-0938, or email to [email protected] . Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

.01 Scope.

Pursuant to Health Occupations Article, §6-101(f)(2)(ii), Annotated Code of Maryland, this chapter establishes standards for the use of instrument-assisted soft tissue manipulation techniques, also known as handheld tools, by a licensed massage therapist or a registered massage therapist.

.02 Definitions.

A. In this chapter, the following terms have the meanings indicated.

B. Terms Defined.

(1) “Board” means the State Board of Massage Therapy Examiners.

(2) Handheld Tool.

(a) “Handheld tool” means an instrument that is used by a licensee in the practice of massage therapy to enhance or imitate manual techniques.

(b) “Handheld tool” includes a:

(i) Mechanized vibration instrument; or

(ii) Muscle-scraping tool.

(c) “Handheld tool” does not include a tool exclusively used for protective self-care, including a:

(i) Thumb-saver tool;

(ii) Trigger point tool; or

(iii) Still point inducer.

(3) “Licensee” means, unless the context requires otherwise, a licensed massage therapist or a registered massage practitioner authorized by the Board to practice massage therapy.

(4) “Practice massage therapy” has the meaning stated in Health Occupations Article, §6-101(f), Annotated Code of Maryland.

.03 Minimum Education and Training Requirements.

A. In order to use handheld tools, a licensee shall meet the requirements of this regulation.

B. A licensee shall complete a minimum of 8 hours of instruction that substantially encompasses the following content areas:

(1) Philosophy and historical perspective of handheld tools and massage therapy treatment;

(2) Indications, contra-indications, and qualifications for handheld tools in the practice of massage therapy;

(3) Licensee and patient safety when using handheld tools;

(4) Case management and jurisprudence when using handheld tools;

(5) Recordkeeping, specifically detailing implementation and specific location of instrument use; and

(6) The clinical use of muscle scraping and mechanized vibration tools in the practice of massage therapy.

C. The coursework required by this regulation shall be in addition to the 750 contact hours of education required by Health Occupations Article, §6-302, Annotated Code of Maryland.

.04 Standards of Practice.

A. A licensee using handheld tools to practice massage therapy shall:

(1) Fully explain and demonstrate the use of the handheld tool to the client in advance of the tool’s use;

(2) Obtain informed written consent specific to the handheld tool and maintain that written consent within the client’s record;

(3) Utilize handheld tools in a manner consistent with the standards set forth in the Maryland Occupational Safety and Health Act, Labor and Employment Article, Title 5, Annotated Code of Maryland, and its associated regulations;

(4) Document the use of handheld tool therapy in accordance with COMAR 10.65.06;

(5) Be responsible for the ongoing evaluation, assessment, and re-evaluation of client impairments;

(6) Only use handheld tools on parts of the body with neuromuscular or musculoskeletal links to those impairments; and

(7) Maintain continuing competence for handheld tool usage.

B. Any violation of these standards of practice or of the requirements of this chapter may subject the licensee to discipline pursuant to Health Occupations Article, §6-308, Annotated Code of Maryland.

MEENA SESHAMANI, MD, PHD
Secretary of Health

Title 12
DEPARTMENT OF PUBLIC SAFETY AND CORRECTIONAL SERVICES

Subtitle 08 PAROLE COMMISSION

12.08.03 Geriatric Parole

Authority: Correctional Services Article, §7-305 and §7-310, Annotated Code of Maryland

Notice of Proposed Action

[26-022-P]

The Secretary of Public Safety and Correctional Services in cooperation with the Chairman of the Maryland Parole Commission proposes to adopt new Regulations .01—.06 under a new chapter, COMAR 12.08.03 — Geriatric Parole.

Statement of Purpose

The purpose of this action is to establish the eligibility criteria for incarcerated individuals to be considered for geriatric parole and the procedures for hearing, evaluating, and deciding geriatric parole cases before the Parole Commission. These regulations align with Correctional Services Article, §7-310, Annotated Code of Maryland.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Ernest Eley, Jr., Maryland Parole Commission, Maryland Department of Public Safety and Correctional Services, 6776 Reisterstown Road, Ste. 302, Baltimore, MD 21215, or call 410-585-3256, or email to [email protected]. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

.01 Definitions.

A. In this chapter, the following terms have the meanings indicated.

B. Terms Defined.

(1) “Category 1A infraction” has the meaning stated in COMAR 12.03.01.04.

(2) “Commission” has the meaning stated in Correctional Services Article, §7-101, Annotated Code of Maryland.

(3) “Delayed parole release” means a disposition by the Commission where an incarcerated individual is approved for parole to return to the community at a specified future date, barring a significant change in circumstances, to serve the remainder of their sentence under supervision.

(4) “Eligible individual” means an incarcerated individual who meets the criteria established in Correctional Services Article, §7-310, Annotated Code of Maryland and Regulation .02 of this chapter.

(5) “Geriatric parole hearing (hearing)” means a type of parole interview for an eligible individual.

(6) “Incarcerated individual” has the meaning stated in Correctional Services Article, §1-101, Annotated Code of Maryland.

(7) “Parole” has the meaning stated in Correctional Services Article, §7-101, Annotated Code of Maryland.

(8) “Pre-Parole Life Investigation (PPLI)” means an investigative summary, prepared by the Division of Parole and Probation at the request of the Commission, describing an incarcerated individual’s proposed plans and circumstances relevant to consideration for release on parole.

(9) “Reconsideration” means a subsequent review of a parole decision, usually after an initial denial of parole to evaluate the case and decision to determine whether there was an error or if substantive information was missing or not provided.

(10) “Rehearing” means a new geriatric parole hearing that is scheduled after an earlier geriatric parole hearing has occurred, usually following a denial, deferral, or procedural issue.

(11) “Risk assessment” means a structured evaluation conducted by a Department psychologist using a validated actuarial instrument and relevant case information to assess an incarcerated individual’s likelihood of recidivism and potential risk to public safety if released on parole.

(12) “Victim” has the meaning stated in Criminal Procedure Article, §11-104, Annotated Code of Maryland.

.02 Geriatric Parole Eligibility.

A. In accordance with Correctional Services Article, §7-310, Annotated Code of Maryland, an incarcerated individual is eligible for a geriatric parole hearing if the incarcerated individual:

(1) Is 65 years old or older;

(2) Has served at least 20 years in custody;

(3) Is not a sex offender, as defined in Criminal Procedure Article, §11-701, Annotated Code of Maryland;

(4) Is sentenced to a term or terms of incarceration for which there is a possibility of parole; and

(5) Has not committed a Category 1A infraction within 3 years prior to parole consideration.

B. The Department shall identify incarcerated individuals who meet the eligibility criteria in §A of this regulation and provide a list to the Commission on a quarterly basis.

.03 Geriatric Parole Hearings.

A. Case Assignment.

(1) When the Commission receives notification from the Department that an incarcerated individual has become eligible for geriatric parole, a hearing examiner shall review the incarcerated individual's case file to verify the incarcerated individual’s eligibility for geriatric parole.

(2) When a hearing examiner completes a review of an eligible individual’s case file, Commission staff shall assign the case to two commissioners for a hearing.

(3) In accordance with Regulation .04 of this chapter, the hearing shall be conducted as soon as possible:

(a) If no risk assessment is required; or

(b) Upon receipt of a completed risk assessment that indicates a minimal likelihood of adverse public safety outcomes if the eligible individual is granted parole.

B. Notification.

(1) An eligible individual shall be notified at least 90 days before a tentative hearing date.

(2) A victim or a victim’s representative shall be notified at least 120 days before a tentative hearing date.

(3) The correctional facility and the eligible individual’s case manager shall be notified at least 30 days before a tentative hearing.

(4) When the Commission sets a date for a geriatric parole hearing, Commission staff shall send a written notification to the:

(a) Eligible individual;

(b) Victim or the victim’s designated representative if a victim notification request is on file;

(c) Correctional facility where the individual is housed; and

(d) Eligible individual’s case manager.

C. Hearing Procedure.

(1) At a scheduled hearing, the two-commissioner panel shall consider the:

(a) Factors and information listed in Correctional Services Article, §7-305, Annotated Code of Maryland;

(b) Age of the eligible individual; and

(c) Impact that the age of the eligible individual has on reducing an eligible individual’s risk of recidivism.

(2) At the scheduled hearing, the two-commissioner panel may decide to:

(a) Grant parole;

(b) Set the eligible individual’s parole case in for a rehearing; or

(c) If the eligible individual is serving a sentence of life without a portion of the sentence suspended, hold the case for en banc consideration.

(3) When a case is held for en banc consideration, the case will be decided by a majority of the Commission.

.04 Risk Assessment.

A. Within 60 days of receipt of the quarterly list established in Regulation .02 of this chapter, and prior to scheduling or holding a hearing, the Commission shall order a risk assessment for an eligible individual who:

(1) Is serving sentences for multiple crimes of violence, as defined in Criminal Law Article, §14-101, Annotated Code of Maryland; and

(2) Has an aggregate term of confinement of 40 years or more.

B. If it is determined during the course of the Commission’s case review or hearing that an eligible individual requires a risk assessment, the Commission shall immediately order a risk assessment evaluation.

C. The Commission shall use risk assessment tools that are evidence-based, incorporate dynamic factors, and have been validated.

D. Risk Assessment Evaluation.

(1) If the Commission is considering a grant of parole, the Commission shall order a PPLI.

(2) A PPLI may include:

(a) A plan for residence;

(b) A plan for employment or means of support;

© A request for a pre-parole victim impact statement; and

(d) Outreach to the State’s Attorney’s Office in the sentencing jurisdiction for input regarding the eligible individual’s release.

(3) If a risk assessment is not mandated by law, the Commission may request a PPLI after or in lieu of a risk assessment.

.05 Release Planning and Notification.

A. Case management staff shall complete and submit a parole plan to the Commission in accordance with COMAR 12.08.01.21.

B. If the eligible individual is granted parole or a delayed release, Commission staff shall provide written notification of the decision and the tentative date of release to the:

(1) Eligible individual;

(2) Victim or the victim’s designated representative if a victim notification request on file;

(3) Correctional facility where the individual is housed; and

(4) Eligible individual’s case manager.

.06 Rehearing Procedures.

A. If the Commission decides not to grant geriatric parole, the Commission shall notify the incarcerated individual in writing of the:

(1) Commission’s final decision;

(2) Commission’s rationale for their final decision;

(3) Date of the incarcerated individual’s rehearing; and

(4) Incarcerated individual’s ability to seek a reconsideration of the decision.

B. Barring any extraordinary and compelling circumstance, and in accordance with Correctional Services Article, §7-310, Annotated Code of Maryland, the Commission may not rehear an incarcerated individual’s case for geriatric parole until 5 years have elapsed since the date the Commission issued a final disposition.

(1) This regulation is not intended to disqualify an incarcerated individual from consideration for parole under Correctional Services Article, §7-301, Annotated Code of Maryland, or medical parole under Correctional Services Article, §7-309, Annotated Code of Maryland.

(2) If an incarcerated individual requests a rehearing before 5 years has elapsed, the case shall be referred to the commissioners who made the decision.

(3) The commissioners, upon receipt of the request for a rehearing, shall review extraordinary and compelling information that was not known to them at the time of the previous hearing and may schedule a rehearing, deny a rehearing, or schedule the case for en banc consideration.

CAROLYN J. SCRUGGS
Secretary, Public Safety and Correctional Services

Title 13A
STATE BOARD OF EDUCATION

Subtitle 01 STATE SCHOOL ADMINISTRATION

13A.01.02 State Superintendent of Schools

Authority: Education Article, §§2-205, 2-303, 2-305, 4-201, 5-301, 7-103, and 7-409, Annotated Code of Maryland

Notice of Proposed Action

[26-033-P]

The State Board of Education proposes to adopt new Regulation .07 under COMAR 13A.01.02 State Superintendent of Schools. This action was considered by the State Board of Education at its meeting on February 24, 2026.

Statement of Purpose

The purpose of this action is to create procedures governing removal of a local superintendent by the State Superintendent of Schools.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Zachary Hands, Executive Director, State Board of Education, Maryland State Department of Education, 200 West Baltimore Street, Baltimore, MD 21201, or call 443-915-6094, or email to [email protected]. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

Open Meeting

Final action on the proposal will be considered by the State Board of Education during a public meeting to be held on June 23, 2026 at 9:00 a.m., at 200 West Baltimore Street, Baltimore, MD 21201.

.07 State Superintendent of Schools Removal of a County Superintendent.

A. Authority to Remove.

(1) Pursuant to Education Article, §4-201(e), Annotated Code of Maryland, the State Superintendent of Schools may remove a county superintendent for one or more of the following reasons:

(a) Immorality;

(b) Misconduct in office;

(c) Insubordination;

(d) Incompetency; or

(e) Willful neglect of duty.

(2) This regulation does not apply to Baltimore City.

B. Notice and Opportunity for Hearing. Prior to removal, the State Superintendent shall provide the county superintendent with:

(1) Written notice identifying the specific grounds for removal under §A of this regulation;

(2) Documentation supporting the proposed removal; and

(3) An opportunity to request a hearing before the State Superintendent or designee, provided the request is made within 10 calendar days of the date of the written notice of grounds for removal.

C. Failure to Request a Hearing. If the county superintendent does not request a hearing within the 10-day period specified in §B(3) of this regulation:

(1) The written notice and supporting documentation shall constitute the final written decision of removal; and

(2) The date of the written notice shall be the effective date of the removal decision.

D. Hearing Procedures.

(1) If the county superintendent timely requests a hearing under §B(3) of this regulation, the State Superintendent or designee shall:

(a) Schedule a hearing, which may not be held earlier than 10 calendar days after the date the hearing notice is issued;

(b) Conduct the hearing in a manner that provides the county superintendent with the opportunity to:

(i) Be heard publicly, in person or through legal counsel;

(ii) Call witnesses who shall be sworn or put under affirmation to tell the truth; and

(iii) Submit documents and other evidence; and

(c) Issue a final written decision following the hearing.

E. Appeal to State Board.

(1) The State Superintendent’s decision to remove a county superintendent may be appealed to the State Board in accordance with COMAR 13A.01.05.01B(5)(a), within 30 calendar days of the date of the State Superintendent’s final written decision.

(2) The appeal shall be governed by the procedures set forth in COMAR 13A.01.05, as applicable.

(3) The decision of the State Superintendent shall be considered prima facie correct, and the State Board may not substitute its judgment for that of the State Superintendent unless the decision is arbitrary, unreasonable, or illegal.

(4) The county superintendent shall have the burden of proof by a preponderance of the evidence.

CAREY M. WRIGHT, ED.D.
State Superintendent of Schools

Subtitle 02 LOCAL SCHOOL ADMINISTRATION

13A.02.01 Local Boards of Education

Authority: Education Article, §§2-205, 4-101, 4-105, 4-106, 4-201, 5-101, 5-109, and 7-103, Annotated Code of Maryland

Notice of Proposed Action

[26-032-P]

The State Board of Education proposes to adopt new Regulation .05 under COMAR 13A.02.01 Local Boards of Education. This action was considered by the State Board of Education at its meeting on February 24, 2026.

Statement of Purpose

The purpose of this action is to create procedures governing removal of a local board member by a local board of education.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Open Meeting

Final action on the proposal will be considered by the State Board of Education during a public meeting to be held on June 23, 2026 at 9:00 am, at 200 West Baltimore Street, Baltimore, MD 21201.

.05 County Board Removal of a County Superintendent.

A. Authority to Remove.

(1) Pursuant to Education Article §4-201(e), Annotated Code of Maryland, a county board may remove its county superintendent for one or more of the following reasons:

(a) Immorality;

(b) Misconduct in office;

(c) Insubordination;

(d) Incompetency; or

(e) Willful neglect of duty.

(2) This regulation does not apply to Baltimore City.

B. Notice and Opportunity for Hearing. Prior to removal, the county board shall provide the county superintendent with:

(1) Written notice identifying the specific grounds for removal under §A of this regulation;

(2) Documentation supporting the proposed removal; and

(3) An opportunity to request a hearing before the county board, provided the request is made within 10 calendar days of the date of the written notice of grounds for removal.

C. Failure to Request a Hearing. If the county superintendent does not request a hearing within the 10-day period specified in §B(3) of this regulation:

(1) The written notice and supporting documentation shall constitute the final written decision of removal; and

(2) The date of the written notice shall be the effective date of the removal decision.

D. Hearing Procedures. If the county superintendent timely requests a hearing under §B(3) of this regulation, the county board shall:

(1) Schedule a hearing, which may not be held earlier than 10 calendar days after the date the hearing notice is issued;

(2) Conduct the hearing in a manner that provides the county superintendent with the opportunity to:

(a) Be heard in person or through legal counsel;

(b) Call witnesses who shall be sworn or put under affirmation to tell the truth; and

(c) Submit documents and other evidence; and

(3) Issue a final written decision following the hearing.

E. Appeal to State Board.

(1) A county board decision to remove a county superintendent may be appealed to the State Board in accordance with COMAR 13A.01.05.01B(5)(a), within 30 calendar days of the date of the county board’s final written decision.

(2) The appeal shall be governed by the procedures set forth in COMAR 13A.01.05, as applicable.

(3) The decision of the county board shall be considered prima facie correct, and the State Board may not substitute its judgment for that of the county board unless the decision is arbitrary, unreasonable, or illegal.

(4) The county superintendent shall have the burden of proof by a preponderance of the evidence.

CAREY M. WRIGHT, Ed.D.
State Superintendent of Schools

Subtitle 12 EDUCATOR LICENSURE

13A.12.05 Administrators and Supervisors

Authority: Education Article, §§2-205, 2-303(g), 6-701—6-708, 8-3A-03 and 8-701—8-708, Annotated Code of Maryland

Notice of Proposed Action

[26-036-P]

The Professional Standards and Teacher Education Board and the State Board of Education proposes to amend Regulations .05, .06, and .10 under COMAR 13A.12.05 Administrators and Supervisors. This action was considered by the Professional Standards and Teacher Education Board at its January 8, 2026 meeting and the State Board of Education at its February 24, 2026 meeting.

Statement of Purpose

The purpose of this action is to align the language with other regulations and clarify the rules associated with reinstating a historic administrator licensure area.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Kelly Meadows, Assistant State Superintendent, Maryland State Department of Education, 200 West Baltimore Street, Baltimore, MD 21201, or call 410-767-0386, or email to [email protected]. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

Open Meeting

Final action on the proposal will be considered by the Professional Standards and Teacher Education Board during a public meeting to be held on June 4, 2026 and the State Board of Education during a public meeting to be held on June 23, 2026 at 9:00 a.m., at 200 West Baltimore Street, Baltimore, MD 21201.

.05 Supervisors of Instruction, Assistant Principals, and Principals.

A.—B. (text unchanged)

C. Administrator I and II Endorsements.

(1) The Administrator I and II endorsements are historic.

(2) The Administrator I endorsement:

(a) Qualifies an individual to serve as an assistant principal and supervisor of instruction; and

(b) An individual may continue to hold that endorsement if the requirements for renewal, reinstatement, or both are met.

(3) The Administrator II endorsement:

(a) Qualifies an individual to serve as a principal; and

(b) An individual may continue to hold that endorsement if the requirements for renewal, reinstatement, or both are met.

.06 Library Media Administrator.

A. (text unchanged)

B. Education and Experience. To be licensed as library media administrator, the applicant shall:

(1)—(4) (text unchanged)

(5) [Complete one of the options listed under Regulation .05 of this chapter that would lead to licensure as Administrator I.] Meet the requirements for licensure as an Administrator I or Supervisor of Instruction, Assistant Principals, and Principals under Regulation .05 of this chapter.

C. (text unchanged)

.10 Supervisor of Special Education.

A. Principal Public Separate School. The requirements for licensure as a principal in a public separate school are that the applicant shall:

(1) (text unchanged)

(2) Meet the requirements for licensure as an Administrator II or Supervisor of Instruction, Assistant Principals, and Principals under Regulation .05 of this chapter.

B. Supervisor of Special Education (Sole Assignment). The requirements for licensure as a supervisor of special education are that the applicant shall:

(1) (text unchanged)

(2) Meet the requirements for licensure as an Administrator I or Supervisor of Instruction, Assistant Principals, and Principals under Regulation .05 of this chapter.

C. (text unchanged)

CAREY M. WRIGHT, ED.D.
State Superintendent of Schools

Title 17
DEPARTMENT OF BUDGET AND MANAGEMENT

Subtitle 04 PERSONNEL SERVICES AND BENEFITS

17.04.03 Recruitment, Examinations, Selections, and Employment

Authority: State Personnel and Pensions Article, §7-104 and Titles 4, 6, 11, and 13, Annotated Code of Maryland

Notice of Proposed Action

[26-041-P]

The Secretary of Budget and Management proposes to adopt new Regulation .22 under COMAR 17.04.03 Recruitment, Examinations, Selections, and Employment.

Statement of Purpose

The purpose of this action is to comply with State Personnel and Pensions Article, §7-201.1, Annotated Code of Maryland, Expedited Hiring Program.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Misty Whitaker, Director of Personnel Services, Department of Budget and Management, 301 W. Preston Street, Room 705, Baltimore, MD 21201, or call 410 767-4718, or email to [email protected]. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

.22 Expedited Hiring Program.

A. The purpose of the Expedited Hiring Program is to hire eligible program applicants with federal expertise or experience in an expedited timeframe for certain vacant positions in the State Personnel Management System.

B. Definitions.

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

(2) Defined Terms.

(a) “Eligible program applicant” means a former federal employee or former federal contractor who applies for a vacant position in the Expedited Hiring Program.

(b) “Expedited Hiring Program” means the expedited hiring initiative implemented pursuant to State Personnel and Pensions Article, §7-201.1, Annotated Code of Maryland.

(c) “Former federal contractor” means an individual who was:

(i) Employed or staffed in a full-time equivalent capacity at a rate of 75 percent or more on a contract funded by a federal government agency when the contract was terminated after January 15, 2025; and

(ii) Separated from the employer after January 15, 2025.

(d) “Former federal employee” means an individual who:

(i) Served in the federal government in any capacity, including during a probationary period; and

(ii) Left federal service after January 15, 2025.

C. Eligibility.

(1) An eligible program applicant shall meet the requirements of a former federal employee or former federal contractor.

(2) An eligible program applicant shall self-certify and, on request, provide documentation that the individual has relevant federal expertise or experience to meet the requirements for the vacant position.

D. Application.

(1) An eligible program applicant who wishes to compete for appointment to a position under the Expedited Hiring Program shall file an application in the manner required by the Secretary.

(2) The application shall be sent to the location specified in the position selection plan and job announcement.

(3) An application received or postmarked after the posted closing date may not be accepted.

YAAKOV “JAKE” WEISSMANN
Secretary

Title 21
STATE PROCUREMENT REGULATIONS

Notice of Proposed Action

[26-029-P]

The Board of Public Works proposes to:

(1) Amend Regulation .01 under COMAR 21.01.01 Authority, Policies, and Purposes;

(2) Amend Regulation .01 under COMAR 21.01.02 Terminology;

(3) Amend Regulations .01 and .01-1 under COMAR 21.01.03 Applicability;

(4) Amend Regulations .04 and .05 under COMAR 21.02.01 Board of Public Works;

(5) Amend Regulation .01 under COMAR 21.05.01 General Provisions;

(6) Amend Regulations .04, .07, and .16 under COMAR 21.05.02 Procurement by Competitive Sealed Bidding;

(7) Amend Regulation .03 under COMAR 21.05.03 Procurement by Competitive Sealed Proposals;

(8) Amend Regulations .01—.03 under COMAR 21.05.06 Emergency and Expedited Procurements;

(9) Amend Regulations ..01, .03, .04, and .05 under COMAR 21.05.07 Small Procurement Regulations;

(10) Amend Regulation .02 under COMAR 21.05.08 Mandatory Written Solicitation Requirements;

(11) Amend Regulation .05 under COMAR 21.05.09 Intergovernmental Cooperative Purchasing;

(12) Amend Regulation .05 under COMAR 21.05.10 Construction Management at Risk;

(13) Amend Regulations .03 and .04 under COMAR 21.05.12 Procurement of Human, Social, Cultural, and Educational Services;

(14) Amend Regulations .01, .03, .05, .06, and .07, and adopt new Regulation .08 under COMAR 21.05.13 Master Contracting;

(15) Repeal existing Regulations .01—.05 and adopt new Regulations .01—.03 under COMAR 21.05.15 Legislative Fast-Track Procurement;

(16) Amend Regulations .01, .09, and .10 under COMAR 21.06.07 Bid and Contract Security/Bonds;

(17) Amend Regulation .05 under COMAR 21.06.09 Invoicing, Payment, and Interest on Late Payments;

(18) Adopt new Regulations .01—.05 under a new chapter, COMAR 21.06.10 Pay for Success Contracting;

(19) Amend Regulations .18, .19, .24, .27, and .28 under COMAR 21.07.01 Mandatory Contract Provisions—All Contracts (except as provided under COMAR 21.05.07, 21.07.02, and 21.07.03);

(20) Amend Regulations .05-1, .10 and .11 under COMAR 21.07.02 Mandatory Construction Contract Clauses;

(21) Amend Regulation .02 under COMAR 21.07.04 Prohibited Provisions;

(22) Amend Regulation .04 under COMAR 21.10.04 Contract Claims and Disputes;

(23) Amend Regulations .01 and .06 under COMAR 21.11.01 Small Business Procurements;

(24) Amend Regulations .01, .03, .04, .07, .08, .09, .11, .12, .13, .15, and .17 under COMAR 21.11.03 Minority Business Enterprise Policies;

(25) Amend Regulations .01, .06, and .07 under COMAR 21.11.05 Procurement from Maryland Correctional Enterprises, Blind Industries and Services of Maryland, and the Employment Works Program;

(26) Amend Regulations .08 and .11 under COMAR 21.11.07 Miscellaneous Purchasing Preferences;

(27) Amend Regulations .03 and .04 under COMAR 21.11.12 State Apprenticeship Training Fund;

(28) Amend Regulation .05 under COMAR 21.12.02 Department of Transportation and Department of General Servies; A/E Services Exceeding $200,000; and

(29) Amend Regulations .02, .03, and .15 under COMAR 21.13.01 Reporting Requirements.

Statement of Purpose

The purpose of this action is to amend, repeal and add regulations in COMAR Title 21 to implement enacted legislation and revise the same for purposes of clarification and internal consistency.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Rachel Hershey, General Counsel, Board of Public Works, 80 Calvert St., Suite 117,Annapolis, MD 21401, or call 410-260-7335, or email to [email protected]. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

Subtitle 01 GENERAL PROVISIONS

21.01.01 Authority, Policies, and Purposes

Authority: State Finance and Procurement Article, §§11-201, 12-101, 12-108, 14-604, 15-210, and 17-204, Annotated Code of Maryland; Ch. 601, Acts of 2025

.01 Promulgating Authorities.

A. The promulgating authorities for the State procurement regulations are: the Board of Public Works (the Governor, Comptroller, and Treasurer); the Comptroller of the Treasury; the State Treasurer; [and] the [Secretaries] Secretary of General Services and Chief Procurement Officer; and the Secretary of Transportation.

B.—C. (text unchanged)

D. Regulations concerning certified small business eligibility, small business preference program, and veteran-owned small business enterprise participation shall be promulgated by the [Governor's] Office of Small, Minority, and Women Business Affairs.

21.01.02 Terminology

Authority: State Finance and Procurement Article, §§3.5-301, 11-101, 12-101, 13-101 and 13-108, Annotated Code of Maryland

.01 Definitions.

A. (text unchanged)

B. Terms Defined.

(1)—(47) (text unchanged)

(47-1) “Information technology” [means all electronic information processing, including:

(a) Maintenance;

(b) Telecommunications;

(d) Software; and

(e) Associated services] has the meaning stated in State Finance and Procurement Article, §3.5-301, Annotated Code of Maryland.

(48)—(78) (text unchanged)

(79) Services.

(a) “Services” means the rendering of time, effort, or work, rather than the furnishing of a specific physical product other than reports incidental to the required performance. It includes, but is not limited to, the professional, personal, and/or contractual services provided by attorneys, accountants, physicians, consultants, and other professionals who are independent contractors, information technology services, and cybersecurity services.

(b) (text unchanged)

(80)—(82) (text unchanged)

(83) “Solicitation” means invitation for bids, request for proposals, or any other method or instrument used to communicate to potential bidders or offerors a procurement agency's procurement needs. For the purpose of clarity, every procurement, regardless of procurement method, employs a solicitation.

(84) (text unchanged)

(84-1) “Statewide Contract” means a contract that has been procured by a primary procurement unit to be used by all units or any entity listed in State Finance and Procurement Article, §4-316, Annotated Code of Maryland.

[(84-1)] (84-2)—(86) (text unchanged)

(87) Supplies.

(a) “Supplies” means all tangible personal property, including equipment, [and] leases of equipment, information technology hardware, and printing; information technology software; insurance; and [including] necessarily associated services.

(b) (text unchanged)

(88)—(99) (text unchanged)

21.01.03 Applicability

Authority: Natural Resources Article, §3-103; State Finance and Procurement Article, §§11-201—11-203, 12-101, 12-104, and 17-502; Economic Development Article, §10-207, Annotated Code of Maryland; Ch. 198, Acts of 2009; Chs. 428, 495, and 713, Acts of 2010; Chs. 108, 111, and 268, Acts of 2017; Ch. 273, Acts of 2019; Ch. 736, Acts of 2025

.01 Exemptions.

A. The following are exempt from applicability of this title:

(1)—(17) (text unchanged)

(18) The Maryland Food Center Authority to the extent the Authority is exempt under [Article 41, Title 13, Subtitle 1, Annotated Code of Maryland] Economic Development Article, Title 10, Subtitle 2, Annotated Code of Maryland.

(19)—(24) (text unchanged)

(25) The Maryland Stadium Authority except as provided by State Finance and Procurement Article, Title 14, Subtitles 3 [and], 5, and 8, Annotated Code of Maryland, COMAR 21.11.03 and 21.11.01.06;

(26)— (36) (text unchanged)

B.—D. (text unchanged)

.01-1 Public Universities and Colleges.

A. (text unchanged)

B. Applicable provisions of State Finance and Procurement Article, Annotated of Maryland.

(1)—(2) (text unchanged)

(3) State Finance and Procurement Article, Title 14, Subtitle 8, Annotated Code of Maryland (Employee Stock Ownership Plan Preference Program) applies to St. Mary’s College of Maryland, Morgan State University, and Baltimore City Community College.

C.—E. (text unchanged)

Subtitle 02 STATE PROCUREMENT ORGANIZATION

21.02.01 Board of Public Works

Authority: Education Article, §§14-204, 14-205, and 14-405; State Finance and Procurement Article, §§12-101, 12-107, 12-202, 12-203, 12-204, 12-301, 12-302, 13-108, and 15-112; Annotated Code of Maryland

.04 Delegation of Procurement and Contracting Authority.

A. Notwithstanding the following delegations in [§B of] this regulation, a contract funded with general obligation bond proceeds must be approved by the Board regardless of amount in accordance with State Finance and Procurement Article, §8-301, Annotated Code of Maryland.

B. The Department of General Services. The Board hereby delegates authority to the Secretary of General Services for the approval and award of the following procurement contracts within the Department’s jurisdiction:

(1) Except for insurance, insurance related, banking, investment, and financial services, the following contracts, contract actions, and awards: [Capital construction contracts, construction-related services contracts, information technology contracts, including contracts for information processing equipment, cloud computing equipment and associated services, information technology system modernization, as provided in State Finance and Procurement Article, Title 3.5, Subtitle 3, Annotated Code of Maryland, telecommunication equipment systems or services as provided in State Finance and Procurement Article, Title 3.5, Subtitle 4, Annotated Code of Maryland, services contracts, architectural and engineering contracts, maintenance contracts, contracts for rental vehicles supplied to using agencies in accordance with COMAR 21.02.05.08, secondary competition awards, renewal options, and modifications in accordance with COMAR 21.05.13.06, capital construction change orders, capital construction-related service change orders, information processing equipment and associated services change orders, cloud computing services change orders, and information technology system and cybersecurity upgrades change orders in accordance with State Finance and Procurement Article, Title 3.5, Subtitle 3, in the amount of $200,000 or less.]

(a) Capital construction contracts, construction-related services contracts, information technology contracts, including contracts for information technology system and cybersecurity upgrades modernization, as provided in State Finance and Procurement Article, Title 3.5, Subtitle 3, Annotated Code of Maryland, telecommunication systems or services as provided in State Finance and Procurement Article, Title 3.5, Subtitle 4, Annotated Code of Maryland, other services contracts, architectural and engineering contracts, maintenance contracts, contracts for rental vehicles supplied to using agencies in accordance with COMAR 21.02.05.08, in the amount of $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(b) Secondary competition awards, renewal options, and modifications in accordance with COMAR 21.05.13.06, in the amount of $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000; and

(c) Capital construction change orders, capital construction-related service change orders, information processing services change orders, cloud computing services change orders, and information technology system and cybersecurity upgrades change orders in accordance with State Finance and Procurement Article, Title 3.5, Subtitle 3, in the amount of $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(2) All contracts for the purchase of commodities or supplies, except [as provided in §B(3) of this regulation and except for insurance and insurance-related services.] the following:

(a) Contracts for information technology supplies in the amount of more than $500,000, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(b) Contracts as provided in §B(3) of this regulation; and

(c) Insurance and insurance-related services;

(3) Contracts or Leases that Include Any Single Item of Commodity, Supply, or Equipment That [is] Has a Unit Price of [$200,000] $500,000 or Less. Contracts or leases [including] that include any single item of commodity, supply, or equipment that [is] individually has a unit price of more than [$200,000] $500,000 must be approved by the Board, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subsection will be $200,000.

(4) (text unchanged)

(5) Contract modifications, excluding construction contract change orders, that:

(a) (text unchanged)

(b) Individually do not change the amount of the contract, or any cost component of the contract, by more than [$50,000] $100,000, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $50,000; or

(c) Exercise by a using agency a contract option of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(6) Contracts in the amount of [$100,000] $200,000 or less resulting from sole source procurement, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subsection will be $100,000;

(7) Contracts in the amount of [$50,000] $200,000 or less resulting from competitive sealed bidding or competitive sealed proposals procurements in which only one bid or offer was received, except that. as of December 31, 2030, the delegated amount for the procurement actions subject to this subsection will be $50,000;

(8)—(11) (text unchanged)

C. The Department of Transportation.

(1) The Board hereby delegates authority to the Secretary of Transportation and to the Maryland Transportation Authority for the approval and award of the following procurement contracts within their respective jurisdictions:

(a) Transportation-related construction contracts and change orders in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(b) Capital construction-related service contracts and change orders in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(c) Architectural and engineering contracts in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(d) Maintenance contracts in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(e) All contracts for transportation-related commodities and supplies, including equipment contracts, and leases, but excluding [equipment contracts and leases including any single item of equipment that is more than $200,000;] the following:

(i) Insurance and insurance-related services;

(ii) Information technology supplies that are subject to State Finance and Procurement Article, §3.5, Annotated Code of Maryland in the amount of $500,000 or more, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subparagraph will be $200,000; and

(iii) Commodity, supply, or equipment contracts and leases that include any single item of commodity, supply, or equipment that individually has a unit price of more than $500,000, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subparagraph will be $200,000;

(f) Contract modifications, excluding construction contract change orders, that:

(i) (text unchanged)

(ii) Individually do not change the amount of the contract, or any cost component of the contract, by more than [$50,000] $100,000, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subparagraph will be $50,000; or

(iii) Exercise a contract option of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subparagraph will be $200,000;

(g) Contracts in the amount of [$100,000] $200,000 or less resulting from sole source procurement, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $100,000.

(h) Contracts in the amount of [$50,000] $200,000 or less resulting from competitive sealed bidding or competitive sealed proposals procurements in which only one bid or offer was received, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $50,000;

(i) All procurements for aeronautics related services, commodities and supplies, including equipment contracts and leases, but excluding banking, insurance, insurance-related, investment, and financial services; [and]

(j) Secondary competition awards, renewal options, and modifications in accordance with COMAR 21.05.13.06 in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000[.]; and

(k) Services for transportation-related activities including information technology services that are subject to Title 3.5 of this article, but excluding banking, insurance-related, investment, and financial services, in amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000.

(2) (text unchanged)

D.—E. (text unchanged)

F. Maryland Port Commission. The Board hereby delegates authority to the Chairman of the Maryland Port Commission for the approval and award of the following procurement contracts within the Maryland Port Commission’s jurisdiction:

(1) Construction contracts and change orders for Port facilities in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions in this subsection will be $200,000;

(2) Construction-related service contracts and change orders for Port facilities in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions in this subsection will be $200,000;

(3) Port-related architectural services and engineering services contracts in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions in this subsection will be $200,000;

(4) Port-related maintenance contracts in the amount of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions in this subsection will be $200,000;

(5) Except as provided in §F(6) of this regulation, contracts for the purchase of commodities and supplies, including motor vehicles [and information technology supplies, but excluding insurance and insurance-related services];

(6) Contracts or leases within the procurement authority of the Maryland Port Commission that include [any single item of equipment, that has a per unit price of $200,000 or less. Contracts or leases that include any single item of equipment, that is more than $200,000 must be approved by the Board.] the following are not delegated:

(a) Any single item of commodity, supply, or equipment, that individually has a per unit price of more than $500,000, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000;

(b) Information technology supplies in an amount of more than $500,000, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000; and

(c) Insurance and insurance related services;

(7) Contract modifications, excluding construction contract change orders, that:

(a) (text unchanged)

(b) Individually do not change the amount of a contract, or any cost component of the contract, by more than [$50,000] $100,000, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $50,000;

(c) Exercise a contract option of [$200,000] $500,000 or less, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $200,000; or

(d) Change cargo and equipment handling rates in stevedoring or terminal services contracts approved by the Board when the contract modification, either individually or in combination with previous contract modifications, does not change the price of the original contract by more than 20 percent[.];

(8) Service contracts for the Maryland Port Administration in the amount of [$200,000] $500,000 or less, including information technology services, but excluding banking, insurance, insurance-related, investment, and financial services[;], except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subsection will be $200,000;

(9) Contracts in the amount of [$100,000] $200,000 or less resulting from sole source procurement, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subsection will be $100,000;

(10) Contracts in the amount of [$50,000] $200,000 or less resulting from competitive sealed bidding or competitive sealed proposals procurements in which only one bid or offer was received, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subsection will be $50,000; and

(11) Leases of real property for Port-related activities having a value of [$50,000] $100,000 or less per year, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this subsection will be $50,000, and provided the lease payments, in whole or in part, are not paid from the General Fund. (The real property leases governed by this regulation shall be reported to the Board on the Maryland Port Commission Procurement Agency Activity Report (PAAR) at the earliest practicable time.)

G.—I. (text unchanged)

.05 Review and Approval of the Award of Procurement Contracts.

A. Action Agendas.

(1)—(2) (text unchanged)

(3) The procurement agencies shall do the following[:].

(a) Pursuant to COMAR 21.05.06.02, submit, as an appendix to the Board Secretary’s Action Agenda for the Board's subsequent review, a separate item for each award of an emergency procurement contract or emergency contract modification that, with prior modifications, aggregates in excess of [$50,000] the applicable small procurement amount listed in COMAR 21.05.07.01. Each procurement agency shall be responsible for defending its own emergency procurements to the Board.

(b) (text unchanged)

(4)—(7) (text unchanged)

B. Procurement Agency Activity Reports (PAAR).

(1) The Departments shall prepare and submit to the Board Procurement Agency Activity Reports (PAAR) covering all procurement contracts in excess of [$50,000,] the applicable small procurement amount listed in COMAR 21.05.07.01, including information technology supplies but excluding other [except] contracts for the purchase of commodities and supplies, made pursuant to this chapter during the previous calendar month or not previously reported.

(2) In addition, a PAAR shall include a report of:

(a) All contract modifications and option renewals greater than [$50,000] $100,000, but less than the amount requiring Board approval, approved by the departments pursuant to this chapter, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $50,000;

(b) All cancellations of solicitations or rejections of all bids or proposals approved by the departments pursuant to COMAR 21.06.02; [and]

(c) All construction contract change orders greater than [$50,000] $100,000, but less than the amount requiring Board approval, approved by the Departments of General Services and Transportation and the Maryland Port Commission pursuant to this chapter, except that, as of December 31, 2030, the delegated amount for the procurement actions subject to this paragraph will be $50,000; and

(d) All contracts for park system critical maintenance greater than the applicable small procurement amount listed in COMAR 21.05.07.01, but less than the amount requiring Board approval, either as reported to for the purposes of inclusion on the PAAR, but not approved by, the Department of General Services, in accordance with Natural Resources Article, §5-220, Annotated Code of Maryland or as approved by the Department of General Services in accordance with COMAR 21.01.02.04B.

(3)—(5) ( text unchanged)

(6) The Board may direct the procurement agency or the appropriate control agency to take any action the Board deems appropriate concerning a procurement action reported on a PAAR.

C. (text unchanged)

Subtitle 05 PROCUREMENT METHODS AND PROJECT DELIVERY METHODS

21.05.01 General Provisions

Authority: State Finance and Procurement Article, §§11-201, 11-205, 12-101, 13-102, 13-110, 13-202, and 14-401, Annotated Code of Maryland; Ch. 216, Acts of 2009; Chs. 633 and 624, Acts of 2018; Ch. 356, Acts of 2019; Chs. 601 and 625, Acts of 2025

.01 Methods of Source Selection.

Unless otherwise authorized by law, all State procurement contracts shall be awarded by one of the following methods, at the procurement officer’s discretion, where applicable:

A.—J. (text unchanged)

K. [Pay-for-success contracting] Legislative Fast-Track procurements under COMAR 21.05.15.

21.05.02 Procurement by Competitive Sealed Bidding

Authority: State Finance and Procurement Article, §§12-101, 13-103, 13-210, and 14-301—14-308, Annotated Code of Maryland; Chs. 586 and 587, Acts of 2017; Ch. 601, Acts of 2025.

.04 Public Notice.

A. (text unchanged)

B. Publication. Notice of an invitation for bids for which the bid amount is reasonably expected to exceed [$50,000] the applicable small procurement amount listed in COMAR 21.05.07.01 shall be published in eMaryland Marketplace unless the resulting contract is reasonably expected to be performed entirely outside this State or the District of Columbia. Publication shall be at least 20 days before the bid submission date. Publication of notice less than 20 days before bid submission is defective unless notice of the project is not required by State law.

.07 Pre-Bid Conferences.

A.—D. (text unchanged)

E. Pre-Bid Conference Records.

(1) When a pre-bid conference is held in connection with a procurement that is expected to exceed [$100,000] the applicable small procurement amount set forth in COMAR 21.05.07.01, the procurement officer shall ensure that a written record of the conference is prepared as soon as practicable and that the record is sent to all prospective bidders who were sent an invitation for bids or who are known by the procurement officer to have obtained the solicitation.

(2)—(4) (text unchanged)

F. (text unchanged)

.16 Publicizing Awards.

Written notice of award shall be sent to the successful bidder. Notice of award shall be made available to the public. Notices of award of all contracts in excess of the applicable small procurement amount set forth in COMAR 21.05.07.01 awarded pursuant to this chapter shall be published in eMaryland Marketplace by the procurement agency not more than 30 days after the execution and approval of the contract.

21.05.03 Procurement by Competitive Sealed Proposals

Authority: State Finance and Procurement Article, §§12-101, 13-104, and 13-105, Annotated Code of Maryland; Ch. 601, Acts of 2025

.03 Evaluation of Proposals, Negotiations and Award.

A.—B. (text unchanged)

C. Discussions.

(1)— (2) (text unchanged)

(3) Conduct of Discussions.

(a)—(b) (text unchanged)

(c) Except as provided in §D of this regulation, an oral presentation is required when:

(i) The total value of the contract is expected to exceed $10,000,000 for construction and construction related services; or

(ii) For any other procurement, including information technology and professional services, the total value of the contract is expected to exceed $5,000,000.

(d) If the procurement officer makes a written determination that oral presentations are unlikely to aid in the evaluation process, oral presentations are not required.

D.—F. (text unchanged)

G. Notice of Award. After a contract valued in excess of the applicable small procurement amount set forth in COMAR 21.05.07.01 is entered into pursuant to this chapter, the procurement agency shall publish notice of its award in eMaryland Marketplace not more than 30 days after the execution and approval of the contract.

21.05.06 Emergency and Expedited Procurements

Authority: Public Safety Article, §14-117; State Finance and Procurement Article, §§12-101 and 13-108; Annotated Code of Maryland

.01 Application.

A. Emergency Procurement. Regulation .02 of this chapter is established for procurement of supplies, services, maintenance, commodities, information technology, leases, construction, or construction-related services [in excess of $50,000] when competitive sealed bidding or competitive sealed proposals cannot be used in awarding or modifying a contract because of an emergency. Regulation .02 of this chapter does not apply to field change orders incidental to construction contracts. The procurement officer, with the approval of the agency head or designee, may award an emergency contract by other than competitive sealed bidding under COMAR 21.05.02 or competitive sealed proposals under COMAR 21.05.03.

B. Expedited Procurement. Regulation .03 of this chapter is established for procurement of supplies, services, maintenance, commodities, information technology, leases, construction, or construction-related services [in excess of $50,000] when competitive sealed bidding or competitive sealed proposals cannot be used in awarding a contract because urgent circumstances require expedited action, and the action is in the public interest and outweighs the benefits of both competitive sealed bidding and competitive sealed proposals.

.02 Emergency Procurements.

A.—C. (text unchanged)

D. Record and Review of Emergency Procurement.

(1)—(2) (text unchanged)

(3) Section D(3) of this regulation applies only to emergency procurement exceeding the applicable small procurement amount in COMAR 21.05.07.01. An action agenda item, including the information required by §D(2) of this regulation, and a procurement officer’s determination stating the need for the emergency procurement per §B(1) of this regulation and signed by the agency head or designee in accordance with §B(2) of this regulation and Chief Procurement Officer or designee under the conditions specified in §B(3) of this regulation, shall be forwarded by the procurement agency to the Board and to the appropriate control agency within 15 days of emergency contract award or emergency modification in accordance with COMAR 21.02.01.05A(3)(a).

(4)— (6) (text unchanged)

E.—F. (text unchanged)

.03 Expedited Procurements.

A.—E. (text unchanged)

F. The Board may direct the procurement agency or the appropriate control agency to take any action the Board deems appropriate concerning an expedited procurement.

21.05.07 Small Procurement Regulations [($100,000 or Less)]

Authority: State Finance and Procurement Article, §§12-101, 13-109, 14-301—14-308, 14-406, and 15-226, Annotated Code of Maryland; Ch. 601, Acts of 2025

.01 Definitions.

A. (text unchanged)

B. Terms Defined

(1)—(3) (text unchanged)

(4) “Small procurement” has the meaning specified in State Finance and Procurement Article § 13-109, Annotated Code of Maryland and [means the use of] uses the procedures set forth in this chapter to:

(a)—(b) (text unchanged)

(c) With respect to the State Retirement Agency for purposes of administering State Personnel and Pensions Article, Title 29, Subtitle 1, Annotated Code of Maryland [of the State Personnel and Pensions Article], spend $100,000 or less during a fiscal year for:

(i)—(ii) (text unchanged)

(d) With respect to the Department of Natural Resources, procure contracts for capital projects or maintenance with a value of $200,000 or less; [or]

(e) With respect to the Department of General Services or Department of Transportation, procure construction with a value of $200,000 or less[.]; or

(f) In the event of a conflict between the small procurement amounts listed in §B(4)(a)—(e) of this regulation and State Finance and Procurement Article, §13-109, Annotated Code of Maryland, the amounts listed in State Finance and Procurement Article, §13-109, Annotated Code of Maryland shall govern.

(5) (text unchanged)

.03 Application.

A. Use of the small procurement method described in this chapter shall be based on an initial decision by the procurement officer that the procurement satisfies the definition set forth in Regulation [.01B(6)] .01B(4) of this chapter.

B. (text unchanged)

C. If a primary procurement unit determines that a using agency does not adhere to the established small procurement regulations, the primary procurement unit may limit or revoke a using agency’s ability to conduct small procurements.

.04 Categories.

Small procurements are classified in three categories:

A. (text unchanged)

B. Category II Small Procurements — More than $5,000 but not more than [$50,000] $100,000; and

C. Category III Small Procurements — More than [$50,000] $100,000 but not more than [$100,000] $200,000 [and, if] for a procurement for capital projects or maintenance by the Department of Natural Resources or a construction procurement by the Department of General Services or Department of Transportation [, not more than $200,000].

.05 Prohibitions.

A. (text unchanged)

B. A procurement contract of more than [$100,000] the applicable small procurement amount listed in COMAR 21.05.07.01 may not be awarded under the authority of this chapter unless:

(1) (text unchanged)

(2) The Department of General Services or Department of Transportation procures construction valued [at $200,000 or less] not more than the applicable small procurement amount listed in COMAR 21.05.07.01; or

(3) The Department of Natural Resources procures capital projects of maintenance valued [at $200,000 or less] not more than the applicable small procurement amount listed in COMAR 21.05.07.01.

21.05.08 Mandatory Written Solicitation Requirements

Authority: Election Law Article, §§14-101—14-108; State Finance and Procurement Article, §§3-412, 3.5-311, 11-206, 12-101, 13-207, 13-218, 13-221, 14-303, 14-308, 14-406, 16-102, 16-202, 16-203, 17-401—17-402, and Title 19; Annotated Code of Maryland; Ch. 293, Acts of 2009; Ch. 601, Acts of 2025

.02 Bid Bond Notice.

A. Solicitations for construction contracts reasonably expected by the procurement officer to exceed [$100,000] the applicable small procurement amount listed in COMAR 21.05.07.01 shall contain notice of bid security requirements (See COMAR 21.06.07).

B. Solicitations for all other contracts reasonably expected by the procurement officer to exceed [$50,000] the applicable small procurement amount listed in COMAR 21.05.07.01 and for which the procurement officer wishes to require bid security shall contain notice of the bid security requirements.

C. Notwithstanding §§A and B of this regulation, notice of bid security is required if a federal law or a condition of federal assistance for the contract requires it.

21.05.09 Intergovernmental Cooperative Purchasing

Authority: State Finance and Procurement Article, §§12-101, 13-102, 13-110, and 14-303, Annotated Code of Maryland; Ch. 774, Acts of 2017; Ch. 601, Acts of 2025

.05 Approvals Required.

Before awarding, sponsoring, or participating in an intergovernmental cooperative purchasing agreement, the procurement officer shall obtain the approval of the primary procurement unit head or designee, or the Department of General Services Chief Procurement officer or designee, and any other approvals as required under this title.

21.05.10 Construction Management at Risk

Authority: State Finance and Procurement Article, §§12-101 and 13-103—13-104, Annotated Code of Maryland; Ch. 601, Acts of 2025

.05 Trade Contracts.

A.—B. (text unchanged)

C. The construction manager or procurement unit shall send the solicitation notice for trade proposals to the [Governor's] Office of Small, Minority & Women Business Affairs and publish the notice in a newspaper of general circulation near the project, or Internet media, or both, at least 14 days before trade proposals are due. If the construction manager restricts trade proposals to prequalified contractors, the solicitation notice shall include information on the prequalification process.

D.—F. (text unchanged)

21.05.12 Procurement of Human, Social, Cultural, and Educational Services

Authority: State Finance and Procurement Article, §§12-101, 13-102, 13-104, 13-106, 13-108, and 13-109, Annotated Code of Maryland

.03 Procurement Methods.

A.—B. (text unchanged)

C. Human, social, cultural, and educational services of [$50,000] the applicable small procurement amount specified in COMAR 21.05.07.01 or less may be procured in accordance with the small procurement method, COMAR 21.05.07.

D.—F. (text unchanged)

.04 Noncompetitive Negotiated Procurement of Human, Social, or Educational Services.

A. (text unchanged)

B. The noncompetitive negotiated procurement method may be used if:

(1) The procurement officer, with the approval of the agency head or designee determines that two or more sources for the services are available but that, because of the absence of effective competition, it is unreasonable to expect those sources to respond to an invitation for bids under COMAR 21.05.02 or request for proposals under COMAR 21.05.03.

(2) (text unchanged)

C. Public Notice.

(1)—(2) (text unchanged)

(3) If the procurement agency expects that any contract may exceed [$25,000] $100,000, the request for general expressions of interest shall so state and shall be published in eMaryland Marketplace.

D.—F. (text unchanged)

21.05.13 Master Contracting

Authority: State Finance and Procurement Article, §§12-101, 13-101, 13-102, 13-113, 13-114, and 14-303, Annotated Code of Maryland; Ch. 601, Acts of 2025

.01 Definitions.

A. (text unchanged)

B. Terms Defined.

(1)—(6) (text unchanged)

(7) “Secondary competition award” has the meaning stated in State Finance and Procurement Article, §13-101(i), Annotated Code of Maryland, and must be one of the types listed in COMAR 21.05.13.05.B.

.03 Solicitations for Awarding Master Contractor Agreements.

A.—C. (text unchanged)

D. Pre-Proposal Conferences

(1)—(4) (text unchanged)

(5) Pre-Proposal Conference Records.

(a) When a pre-proposal conference is held in connection with a procurement that is expected to exceed [$100,000] the applicable small procurement amount listed in COMAR 21.05.07.01, the procurement officer shall ensure that a written record of the conference is prepared as soon as practicable and that the record is sent to all prospective offerors who were sent a solicitation or who are known by the procurement officer to have obtained the solicitation.

(b)—(d) (text unchanged)

E.—G. (text unchanged)

.05 Secondary Competition Solicitation.

A. A unit of the Executive Branch that requires services, supplies, or commodities available under a master contract may, with the approval of the designated procurement unit that awarded the master contract, issue a secondary competition solicitation to master contractors within that master contract, as follows:

(1) If the unit of the Executive Branch expects the total cost of the services, supplies, or commodities in the secondary competition to exceed [$100,000] $500,000, the unit shall issue the secondary competition solicitation to all master contractors in the appropriate category in the master contract established by the designated procurement unit; or

(2) If the unit of the Executive Branch expects the total cost of the services, supplies, or commodities in the secondary competition to [be] exceed $100,000 [or less] but will not exceed $500,000, the unit shall issue the secondary competition solicitation to a minimum of six master contractors on a rotating basis for master contracts designated by the Chief Procurement Officer or all master contractors, whichever is less, in the appropriate category in the master contract established by the designated procurement unit. [If the total number of master contractors available to be solicited exceeds six, the procurement officer shall make a written determination including the reasons why the particular master contractors were selected to be solicited.]

(3) If the unit of the Executive Branch expects that the total cost of the services, supplies, or commodities to be procured by the secondary competition solicitation to be $100,000 or less, the unit shall issue a secondary competition solicitation for a secondary competition award to a minimum of three master contractors on a rotating basis for master contracts designated by the Chief Procurement Officer or all master contractors, whichever is less, in the appropriate category of the master contract established by the designated procurement unit.

(4) Sections A(1)—(3) of this regulation do not apply to a secondary competition procurement designated as a small business reserve in accordance with State Finance and Procurement Article, §14–502, Annotated Code of Maryland.

B.—E. (text unchanged)

.06 Secondary Competition Evaluation[, and Awards].

A. (text unchanged)

B. [If expressly permitted in the secondary competition solicitation, secondary competition awards may include renewal options, and awards may be made to more than one master contractor.] Except as provided in §C of this regulation, oral presentations are required prior to selecting a master Contractor when:

(1) The total value of the secondary competition award is expected to exceed $2,000,000 for architectural and engineering services;

(2) The total value of the secondary competition award is expected to exceed $10,000,000 for construction and construction related services; or

(3) For all other procurements, including information technology and professional services, when the total value of the secondary competition award is expected to exceed $5,000,000.

C. [The total dollar amount of secondary competition awards to master contractors may not exceed the monetary ceiling value of the particular master contract from which the secondary competition was solicited.] If the procurement officer makes a written determination that oral presentations are unlikely to aid in the evaluation process, oral presentations will not be required.

[D. Secondary competition awards to master contractors may not exceed the period of performance of the particular master contract from which the secondary competition was solicited unless the master contract is modified to be extended for a period of time to allow for a task order to continue beyond the term of the original master contract, and that period of time is no longer than one-third of the base term of the original master contract. No additional task orders may be issued after the master contract’s original, unmodified end date.

E. A TORFP award by a unit of the Executive Branch shall include a performance evaluation procedure to be used by the unit to evaluate the performance of the master contractor that has completed work on the task order.

F. The designated procurement unit that awarded the master contract may require the secondary competition award recommendation to be reviewed and approved by that designated procurement unit prior to award.

G. Procurement agencies are required to report secondary competition awards over $50,000 in eMaryland Marketplace.]

.07 [Construction Master Contract Exceptions.] Secondary Competition Awards.

[The requirements in Regulation .05A(1) and (2) and .06A of this chapter do not apply to a master contract for construction that is procured and awarded under this chapter and states how task orders will be awarded and the maximum number of qualified contractors that will be awarded a master contractor agreement for construction.]

A. If expressly permitted in the secondary competition solicitation, secondary competition awards may include renewal options, and awards may be made to more than one master contractor.

B. The total dollar amount of secondary competition awards to master contractors may not exceed the monetary ceiling value of the particular master contract from which the secondary competition was solicited.

C. Secondary competition awards to master contractors may not exceed the period of performance of the particular master contract from which the secondary competition was solicited unless the master contract is modified to be extended for a period of time to allow for a secondary competition award to continue beyond the term of the original master contract, and that period of time is no longer than one-third of the base term of the original master contract. No additional secondary competition awards may be issued after the master contract’s original, unmodified end date.

D. A TORFP award by a unit of the Executive Branch shall include a performance evaluation procedure to be used by the unit to evaluate the performance of the master contractor that has completed work on the task order.

E. The designated procurement unit that awarded the master contract may require the secondary competition award recommendation to be reviewed and approved by that designated procurement unit prior to award.

F. Procurement agencies are required to report secondary competition awards over the applicable small procurement amount in COMAR 21.05.07.01 in eMaryland Marketplace.

.08 Construction Master Contract Exceptions.

The requirements in Regulations .05A(1)—(4) and .06A of this chapter do not apply to a master contract for construction that is procured and awarded under this chapter and states how secondary competition awards will be awarded and the maximum number of qualified contractors that will be awarded a master contractor agreement for construction.

21.05.15 [Pay-for-Success Contracting] Legislative Fast-Track Procurement

Authority: State Finance and Procurement Article, §§13-101, 13-102, and 13-117, Annotated Code of Maryland; Ch. 601 and Ch. 625 Acts of 2025

.01 General.

A. The Legislative Fast-Track Procurement method may be used only for the procurement of consultants to assist with legislative mandates that:

(1) Have specific time frames established in law; and

(2) Will address issues related only to climate change, the environment, energy, and greenhouse gas emissions.

B. The Legislative Fast-Track Procurement method may be used by the following only:

(1) Public Service Commission;

(2) Office of People’s Counsel;

(3) Maryland Energy Administration;

(4) Department of the Environment; and

(5) Department of Natural Resources.

.02 Method.

The procuring agencies in Regulation .01 of this chapter may issue competitive sealed bids to procure consultants for the legislative mandates identified in Regulation .01 of this chapter at a value that is higher than their designated small procurement delegations.

.03 Approval.

A. Before awarding a procurement contract under this method, the procurement officer shall obtain the approval of:

(1) The head of the unit; and

(2) The Chief Procurement Officer, or designee.

B. The Chief Procurement Officer, or designee, shall approve a procurement contract submitted under this section if it complies with the requirements of this section. If the Chief Procurement Officer, or designee, does not act to approve or disapprove a procurement contract submitted under this section within 5 business days after receiving the contract, the contract shall be considered approved.

Subtitle 06 CONTRACT FORMATION AND AWARD

21.06.07 Bid and Contract Security/Bonds

Authority: State Finance and Procurement Article, §§12-101, 13-207—13-209, 13-216, and 17-102—17-109, Annotated Code of Maryland; Ch. 601, Acts of 2025

.01 General.

A. Nothing contained in this chapter prevents a procurement officer from requiring performance or payment bonds, or both, on supply, service, maintenance, or construction-related service contracts if the contract is expected to exceed [$100,000] the applicable small procurement amount in COMAR 21.05.07.01.

B.—I. (text unchanged)

.09 Bid Security.

A. General.

(1) Solicitations on all State construction contracts when the contract is expected to exceed [$100,000] the applicable small procurement amount in COMAR 21.05.07.01 require the submission of bid security in an amount equal to at least 5 percent of the amount of the bid or price proposal except that, for bids stating a rate but not a total cost, the bid bond shall be in an amount as determined by the procurement officer. Bid security or evidence of the posting of bid security shall be submitted with the bid or proposal. Bid bonds may be required for any other procurement over [$50,000] the applicable small procurement amount in COMAR 21.05.07.01, as determined by the procurement officer. If a contractor fails to accompany its bid with the required bid security, the bid shall be considered nonresponsive and rejected except as provided by §§B and D of this regulation.

(2) A procurement officer may require a bid security for a bid or proposal for services, supplies, maintenance, or construction-related services if the contract is expected to exceed [$50,000] the applicable small procurement amount in COMAR 21.05.07.01. The procurement officer shall set the amount of the security.

B.—D. (text unchanged)

.10 Performance and Payment Bonds.

A. Performance Bonds.

(1) General. A performance bond is required for all construction contracts in excess of [$100,000] the applicable small procurement amount in COMAR 21.05.07.01 in the amount equal to at least 100 percent of the contract price. A performance bond may be required for a contract for services, supplies, maintenance, or construction-related services expected to exceed [$100,000] the applicable small procurement amount in COMAR 21.05.07.01, as determined by the procurement officer. The performance bond shall be delivered by the contractor to the State not later than the time the contract is executed. If a contractor fails to deliver the required performance bond, the contractor’s bid shall be rejected, its bid security shall be enforced, and award of the contract may be made to the next lowest responsive and responsible bidder.

(2) (text unchanged)

B. Payment Bonds.

(1) General. A payment bond is required for all construction contracts in excess of [$100,000] the applicable small procurement amount in COMAR 21.05.07.01 in the amount equal to at least 100 percent of the contract price. The payment bond shall be delivered by the contractor to the State not later than the time the contract is executed. If a contractor fails to deliver the required payment bond, the contractor's bid shall be rejected, its bid security shall be enforced, and award of the contract shall be made to the next lowest responsive and responsible bidder.

(2) (text unchanged)

C. (text unchanged)

21.06.09 Invoicing, Payment, and Interest on Late Payments

Authority: State Finance and Procurement Article, §§15-101—15-105, Annotated Code of Maryland; Ch. 601, Acts of 2025

.05 Payment Period.

A. Unless payment is deferred, delayed, or set-off under COMAR 21.02.07.03, payment under a procurement contract shall be made [within 30 days]:

(1) [After the day on which the payment becomes due under the procurement contract; or] Within 30 days after the day on which the payment becomes due and the agency receives a proper invoice; or

(2) [If later, after the day on which the agency receives a proper invoice.] For a small business reserve contract, within 15 days after the day on which the payment becomes due and the procuring agency receives a proper invoice.

B.—C. (text unchanged)

21.06.10 Pay for Success Contracting

Authority: State Finance and Procurement Article, §13-228, Annotated Code of Maryland; Ch. 601, Acts of 2025

.01 Definitions.

A. In this chapter, the following terms have the meanings indicated.

B. Terms Defined.

(1) “Aggregator” means a person that:

(a) Provides or contracts for environmental outcomes; or

(b) Provides or raises capital to finance delivery of environmental outcomes.

(2) “Environmental outcome” means a commodity that is modeled or directly measured as a single, quantifiable, and certified unit of improvement to the environment, including a nutrient or carbon benefit.

(3) “Environmental outcomes project” means a project designed to secure environmental outcomes.

(4) “Evaluator” means a person other than an aggregator that determines whether environmental outcomes have been achieved based on defined performance measures.

(5) “Outcome payment” means the money paid when a pay-for-success contract performance measure is met.

(6) “Pay-for-success contracting” means a performance-based contracting method through which a unit contracts with an organization to deliver services or commodities in exchange for payment based on the achievement of outcomes.

(7) “Quantification plan” means a plan in which an aggregator describes:

(a) The method that will be used to measure or model environmental outcomes and co-benefits under a pay-for-success contract;

(b) The compliance monitoring that will occur to ensure that the actions proposed in the pay-for-success contract are taken and maintained over the life of the project;

(c) Verification steps that will be carried out by the State to confirm model results or accurate measurement of environmental outcomes; and

(d) The timeline for proposed payments under the pay-for-success contract.

.02 Background.

The General Assembly has found and declared that:

A. Pay-for-success contracting shifts the risk of performance to the contractor because government payment is made only on achievement of outcomes;

B. Social and environmental impact investment is growing dramatically, and investors are seeking ways to finance and execute pay-for-success contracts in the State to expand the success of Chesapeake Bay restoration efforts and achieve other public outcomes; and

C. It is in the best interest of the State to include pay-for-success contracting as a contract option, particularly for units responsible for land conservation and environmental protection, enhancement, and restoration.

.03 Application.

A. A unit may enter into a pay-for-success contract only if the procurement officer of the unit determines that:

(1) The contract will produce estimated financial savings or other quantifiable public benefits for the State; and

(2) A substantial portion of the outcome payment due under the contract will be paid only after specific outcomes have been documented.

B. This chapter applies only to contracts of:

(1) The Department of Agriculture;

(2) The Department of the Environment;

(3) The Department of Natural Resources;

(4) The Department of Transportation;

(5) The Maryland Environmental Service; and

(6) The Department of General Services.

C. This chapter does not apply to the purchase of nitrogen load reductions with funds from the Clean Water Commerce Account of the Bay Restoration Fund established under Environment Article, §9-1605.2, Annotated Code of Maryland.

D. A unit specified in §B of this regulation may enter into a pay-for-success contract with an aggregator to procure:

(1) Delivery of an environmental outcomes project; or

(2) Already certified environmental outcomes.

E. Other State and local entities may participate in a pay-for-success contract under this chapter in accordance with an intergovernmental cooperative purchasing agreement under COMAR 21.05.09.

.04 Pay-for-Success Contracts.

A. A pay-for-success contract executed under this regulation shall include:

(1) A quantification plan approved by the unit;

(2) A statement of the environmental outcomes to be delivered under the contract and a description of how defined performance measures will demonstrate progress in achieving these outcomes;

(3) Requirements regarding the content and frequency of progress reports regarding the achievement of environmental outcomes;

(4) A methodology for calculating the amount and timing of outcome payments to an aggregator when the evaluator determines that the aggregator has achieved a defined performance measure;

(5) A statement that the basis of payment is the determination of achievement of environmental outcomes by the evaluator and that payments for those outcomes do not require itemized billing or cost documentation by the aggregator; and

(6) Terms addressing:

(a) Compliance with State law;

(b) Nondiscrimination in employment;

(c) Contractor indemnification;

(d) Termination for default; and

(e) The unit’s right to inspect the environmental outcomes project.

B. A pay-for-success contract executed under this regulation may include provisions regarding:

(1) Long-term maintenance and monitoring of environmental services, including the establishment of a stewardship fund;

(2) A requirement that the unit hold contract funds in a reserve account for outcome payments;

(3) For agriculture services, payment for achievement of baseline water quality requirements for nitrogen, phosphorus, or sediment; or

(4) Terminations prior to the first payment under the contract for the purpose of selling environmental outcomes without penalty to another entity or for any other reason.

.05 Review and Evaluation of Results by the Maryland Environmental Service.

A. Beginning July 2025 and every 3 years thereafter, the Maryland Environmental Service shall review and evaluate the results of all pay-for-success contracts completed under this section for the previous 3 fiscal years.

B. The review conducted under §A of this regulation shall include:

(1) The cost of each project performed under a contract;

(2) The length of time taken to complete the project, from the date of notice to proceed until completion;

(3) The average cost and project duration for each project type; and

(4) Whether each project met the terms of its contract.

C. Each unit that enters into a pay-for-success contract under this regulation shall execute an agreement with the Maryland Environmental Service to reimburse the Service for each of the unit’s completed contracts the Service reviews under this regulation.

D. The Maryland Environmental Service shall provide copies of each review conducted under this regulation to:

(1) Each unit for which the Service reviewed and evaluated a contract; and

(2) In accordance with State Government Article, §2-1257, Annotated Code of Maryland, the Senate Education, Health, and Environmental Affairs Committee, the Senate Budget and Taxation Committee, the House Environment and Transportation Committee, and the House Appropriations Committee.

Subtitle 07 CONTRACT TERMS AND CONDITIONS

21.07.01 Mandatory Contract Provisions — All Contracts (except as provided under COMAR 21.05.07, 21.07.02, and 21.07.03)

Authority: Election Law Article, §§14-101—14-108; General Provisions Article, §§5-101 and 5-503; State Finance and Procurement Article, §§12-101, 13-207, 13-211, 13-217—13-219, 13-221—13-223, 13-317, 15-226 ,16-202, 17-401, 17-402, and 19-114; Annotated Code of Maryland; Chs. 588, 589, and 630, Acts of 2017; Ch. 403, Acts of 2019; Ch. 601, Acts of 2025

.18 Payment of State Obligations.

Mandatory provision for all contracts. The following clause is preferred:

“Unless a payment is unauthorized, deferred, delayed, or set-off under COMAR 21.02.07, payments to the Contractor pursuant to this Contract shall be made no later than 30 days or, for a Small Business Reserve contract, within 15 days, after the day on which the payment becomes due and the State’s receipt of a proper invoice from the Contractor.

The Contractor may be eligible to receive late payment interest at the rate of 9% per annum if:

(1) The Contractor submits an invoice for the late payment interest within thirty days after the date of the State’s payment of the amount on which the interest accrued; and

(2) A contract claim has not been filed under State Finance and Procurement Article, Title 15, Subtitle 2, Annotated Code of Maryland.

The State is not liable for interest:

(1) Accruing more than one year after the 31st day after the agency receives the proper invoice; or

(2) On any amount representing unpaid interest. Charges for late payment of invoices are authorized only as prescribed by Title 15, Subtitle 1, of the State Finance and Procurement Article, Annotated Code of Maryland, or by the Public Service Commission of Maryland with respect to regulated public utilities, as applicable.”

.19 Financial Disclosure.

Mandatory provision for all contracts:

“The Contractor shall comply with the provisions of [State Finance and Procurement Article §13-221] Election Law Article, §14-104, Annotated Code of Maryland. That section requires a business to file with the [Secretary of State of Maryland] State Board of Elections certain specified information, including disclosure of beneficial ownership of the business, within 30 days of the date the aggregate value of any contracts, leases, or other agreements that the business enters into with the State of Maryland or its agencies during a calendar year reaches $200,000.”

.24 Truth-In-Negotiation Certification.

Mandatory provision for architectural services or engineering services contracts exceeding [$100,000] $200,000. It shall be in substantially the same form as follows:

“Truth-In-Negotiation Certification.

The Contractor by submitting cost or price information, including wage rates or other factual unit costs, certifies to the best of its knowledge, information and belief, that:

A – C. (text unchanged)

.27 Performance and Payment Bonds.

Mandatory provision for contracts exceeding [$100,000] the applicable small procurement amount in State Finance and Procurement Article, §13-109, Annotated Code of Maryland, with surety bond requirements:

A.—B. (text unchanged)

.28 Performance and Payment Bonds — Multiyear Annual and Renewable.

Optional forms for multiyear contracts exceeding [$100,000] the applicable small procurement amount in State Finance and Procurement Article, §13-109, Annotated Code of Maryland, with annual and renewable surety bonds:

A.—B. (text unchanged)

21.07.02 Mandatory Construction Contract Clauses

Authority: State Finance and Procurement Article, §§12-101, 13-216, 13-218, 13-225, 15-226, and 17-801—17-804, Annotated Code of Maryland

.05-1 Disputes.

Mandatory provision for all construction contracts:

A.—F. (text unchanged)

“G. The procurement officer shall mail or deliver written notification of the final decision within:

“(1) 90 days after the procurement officer receives the claim if the claim is an amount for which the Appeals Board [accelerated] “Small Claims” procedure, set forth in COMAR 21.10.06.12, may be used;

(2)—(3) (text unchanged)

H.—L. (text unchanged)

.10 Performance and Payment Bonds.

Mandatory provision for all construction contracts exceeding [$100,000] the small procurement amount for construction contracts in State Finance and Procurement Article,§13-109, Annotated Code of Maryland:

A. (text unchanged)

B. Payment Bond. The required payment bond shall be in the form specified as follows:

PAYMENT BOND

Principal	Business Address of Principal

Surety	Obligee
a corporation of the State of _____________________	STATE OF MARYLAND
and authorized to do business in the State of Maryland
Penal Sum of Bond (express in words and figures) _________________________________________	Date of Contract _____________________, 20_____
Description of Contract Contract Number: _________________________	Date Bond Executed _____________________, 20_____

KNOW ALL MEN BY THESE PRESENTS, That we, the Principal named above and Surety named above, being authorized to do business in Maryland, and having business address as shown above, are held and firmly bound unto the Obligee named above, for the use and benefit of claimants as hereinafter defined, in the Penal Sum of this Payment Bond stated above, for the payment of which Penal Sum we bind ourselves, our heirs, executors, administrators, personal representatives, successors, and assigns, jointly and severally, firmly by these co-sureties, bind ourselves, our successors and assigns, in such Penal Sum jointly and severally as well as severally only for the purpose of allowing a joint action or actions against any or all of us, and for all other purposes each co-surety binds itself, jointly and severally with the Principal, for the payment of such sum as appears above its name below, but if no limit of liability is indicated, the limit of such liability shall be the full amount of the Penal Sum.

WHEREAS, Principal has entered into or will enter into a contract with the State, by and through the Administration named above acting for the State of Maryland, which contract is described and dated as shown above, and incorporated herein by reference. The contract and all items incorporated into the contract, together with any and all changes, extensions of time, alterations, modifications, or additions to the contract or to the work to be performed thereunder or to the Plans, Specifications, and Special Provisions, or any of them, or to any other items incorporated into the contract shall hereinafter be referred to as the “Contract”.

WHEREAS, it is one of the conditions precedent to the final award of the Contract that these presents be executed.

NOW THEREFORE, the condition of this obligation is such that if the Principal shall promptly make payment to all claimants as hereinafter defined, for all labor and materials furnished, supplied and reasonably required for use in the performance of the Contract, then this obligation shall be null and void; otherwise it shall remain in full force and effect, subject to the following conditions:

1. A claimant is defined to be any and all of those persons supplying labor and materials (including lessors of the equipment to the extent of the fair market value thereof) to the Principal or its subcontractors and subcontractors in the prosecution of the work provided for in the Contract, entitled to the protection provided by [Section 9-113 of the Real Property Article of the Annotated Code of Maryland] State Finance and Procurement Article, Title 17, Subtitle 1, Annotated Code of Maryland, as from time to time amended.

2. The above named Principal and Surety hereby jointly and severally agree with the Obligee that every claimant as herein defined, who has not been paid in full may, pursuant to and when in compliance with the provisions of [the aforesaid Section 9-113] State Finance and Procurement Article, Title 17, Subtitle 1, Annotated Code of Maryland, sue on this Bond for the use of such claimant, prosecute the suit to final judgment for such sum or sums as may be justly due claimant and have execution thereon. The Obligee shall not be liable for the payment of any costs or expenses of any such suit.

The Surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract or to the work to be performed thereunder or the Specifications accompanying the same shall in any way affect its obligation on this Payment Bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract or to the work or to the Specifications.

This Payment Bond shall be governed by and construed in accordance with the laws of the State of Maryland and any reference herein to Principal or Surety in the singular shall include all entities in the plural who or which are signatories under the Principal or Surety heading below.

IN WITNESS WHEREOF, Principal and Surety have set their hands and seals to this Payment Bond. If any individual is a signatory under the Principal heading below, then each such individual has signed below on his or her own behalf, has set forth below the name of the firm, if any, in whose name he or she is doing business, and has set forth below his or her title as a sole proprietor. If any partnership or joint venture is a signatory under the Principal heading below, then all members of each such partnership or joint venture have signed below, each member has set forth below the name of the partnership or joint venture, and each member has set forth below his or her title as a general partner, limited partner, or member of joint venture, whichever is applicable. If any corporation is a signatory under the Principal or Surety heading below, then each such corporation has caused the following: the corporation's name to be set forth below, a duly authorized representative of the corporation to affix below the corporation's seal and to attach hereto a notarized corporate resolution of power of attorney authorizing such action, and each such duly authorized representative to sign below and set forth below his or her title as a representative of the corporation. If any individual acts as a witness to any signature below, then each such individual has signed below and has set forth below his or her title as a witness. All of the above has been done as of the Date of Bond shown above.


In Presence of:	Individual Principal
Witness: __________________________________ as to	_____________________________________(SEAL)

In Presence of:	Co-Partnership Principal
Witness:	_____________________________________(SEAL)
	(Name of Co-Partnership)
__________________________________ as to	By:__________________________________(SEAL)
__________________________________ as to	_____________________________________(SEAL)
__________________________________ as to	_____________________________________(SEAL)

	Corporate Principal
	______________________________________
Attest:	(Name of Corporation)
	AFFIX
__________________________________	By: _____________________________ CORPORATE
Corporate Secretary	President SEAL

	______________________________________
	(Corporate Surety)
Attest: (SEAL)	By: _____________________________ SEAL
______________________________________	Title______________________________________
Signature
Bonding Agent's Name: ____________________	______________________________________
	(Business Address of Surety)
Agent's Address __________________________

	Approved as to legal form and sufficiency this
	______ day of _____________ 20 __
	______________________________________
	Asst. Attorney General

.11 Performance and Payment Bonds — Multiyear Annual and Renewable.

Optional forms for multiyear construction contracts exceeding [$100,000] the small procurement amount for construction contracts in State Finance and Procurement Article,§13-109, Annotated Code of Maryland, with annual and renewable surety bonds:

A. (text unchanged)

B. Payment Bond. The required payment bond shall be in the form specified as follows:

ANNUAL PAYMENT BOND—RENEWABLE FOR MULTIYEAR AWARDS


Principal	Business Address of Principal

Surety A corporation of the State of ___________________________ and authorized to do business in the State of Maryland Penal Sum of Bond (express I words and figures) ___________________________________________________ Description of Contract Contract Number: ____________________________________	Obligee STATE OF MARYLAND Date of Contract ___________________________, 20_____ Date Bond Executed ___________________________, 20_____

KNOW ALL BY THESE PRESENTS, That we, the Principal named above and Surety named above, being authorized to do business in Maryland, and having business address as shown above, are held and firmly bound unto the Obligee named above, for the use and benefit of claimants as hereinafter defined, in the Penal Sum of this Payment Bond stated above, for the payment of which Penal Sum we bind ourselves, our heirs, executors, administrators, personal representatives, successors, and assigns, jointly and severally, firmly by these co-sureties, bind ourselves, our successors and assigns, in such Penal Sum jointly and severally as well as severally only for the purpose of allowing a joint action or actions against any or all of us, and for all other purposes each co-surety binds itself, jointly and severally with the Principal, for the payment of such sum as appears above its name below, but if no limit of liability is indicated, the limit of such liability shall be the full amount of the Penal Sum.

WHEREAS, Principal has entered into or will enter into a multiyear contract with the State, by and through the Administration named above acting for the State of Maryland, which contract is described above, and incorporated herein by reference. The contract and all items incorporated into the contract, together with any and all changes, extensions of time, alterations, modifications, or additions to the contract or to the work to be performed thereunder or to the Plans, Specifications, and Special Provisions, or any of them, or to any other items incorporated into the contract shall hereinafter be referred to as the “Contract”.

The term of this Bond is for the period beginning on the date the bond is executed and ending on the indicated Initial Term Fiscal Year Ending Date (the “Initial Term”). If requested by the Principal, the Initial Term may be extended, solely at the option of the Surety, for additional one (1) year periods (each a “Renewal Term”), ending on the subsequent Fiscal Year ending date. This Bond shall expire at the end of the Initial Term or, if extended, at the end of the final Renewal Term. Provided that at any time should the surety elect not to extend the bond for a Renewal Term, it must so inform the Obligee in writing prior to ninety (90) days before the expiry of the existing Initial Term or final Renewal Term. If the surety does not so inform the Obligee of its intention not to extend the bond as stated herein, the bond will automatically be deemed extended for an additional Renewal Term.

WHEREAS, it is one of the conditions precedent to the final award of the Contract that these presents be executed.

1. A claimant is defined to be any and all of those persons supplying labor and materials (including lessors of the equipment to the extent of the fair market value thereof) to the Principal or its subcontractors and subcontractors in the prosecution of the work provided for in a Contract, entitled to the protection provided by [Section 9-113 of the Real Property Article of the Annotated Code of Maryland] State Finance and Procurement Article, Title 17, Subtitle 1, Annotated Code of Maryland, as from time to time amended.

2. The above named Principal and Surety hereby jointly and severally agree with the Obligee that every claimant as herein defined, who has not been in full may, pursuant to and when in compliance with the provisions of [the aforesaid Section 9-113] State Finance and Procurement Article, Title 17, Subtitle 1, Annotated Code of Maryland, sue on this Bond for the use of such claimant, prosecute the suit to final judgment for such sum or sums as may be justly due claimant and have execution thereon. The Obligee shall not be liable for the payment of any costs or expenses of any such suit.

The Surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of a Contract or to the work to be performed thereunder or the Specifications accompanying the same shall in any way affect its obligation on this Payment Bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of a Contract or to the work or to the Specifications.

IN WITNESS WHEREOF, Principal and Surety have set their hands and seals to this Payment Bond. If any individual is a signatory under the Principal heading below, then each such individual has signed below on his or her own behalf, has set forth below the name of the firm, if any, in whose name he or she is doing business, and has set forth below his or her title as a sole proprietor. If any partnership or joint venture is a signatory under the Principal heading below, then all members of each such partnership or joint venture have signed below, each member has set forth below the name of the partnership or joint venture, and each member has set forth below his or her title as a general partner, limited partner, or member of joint venture, whichever is applicable. If any corporation is a signatory under the Principal or Surety heading below, then each such corporation has caused the following: the corporation’s name to be set forth below, a duly authorized representative of the corporation to affix below the corporation’s seal and to attach hereto a notarized corporate resolution of power of attorney authorizing such action, and each such duly authorized representative to sign below and set forth below his or her title as a representative of the corporation. If any individual acts as a witness to any signature below, then each such individual has signed below and has set forth below his or her title as a witness. All of the above has been done as of the Date of Bond shown above.


In Presence of:	Individual Principal
Witness: __________________________________ as to	____________________________________(SEAL)

In Presence of:	Co-Partnership Principal
Witness:	_____________________________________(SEAL) (Name of Co-Partnership)
__________________________________ as to	By:__________________________________(SEAL)
__________________________________ as to	_____________________________________(SEAL)
__________________________________ as to	_____________________________________(SEAL)

Attest:	Corporate Principal ______________________________________ (Name of Corporation) AFFIX
__________________________________________ Corporate Secretary	By: _________________________________ (CORPORATE) President SEAL

	_____________________________________ (Corporate Surety)
Attest (SEAL)	By: __________________________________ (SEAL)
________________________________________	Title ________________________________________
Signature
Bonding Agent’s Name: __________________________	__________________________________________
	(Business Address of Surety)
Agent’s Address ________________________________

	Approved as to legal form and sufficiency this
	______ day of _____________ 20_____
	______________________________________
	Asst. Attorney General

21.07.04 Prohibited Provisions

Authority: State Finance and Procurement Article, §2-901, Annotated Code of Maryland

.02 Contract Prohibitions.

A. Except as required by State or federal law, a State contract may not include the following:

(1)—(3) (text unchanged)

(4) A provision that requires the State to agree to limit the liability for any direct loss to the State for bodily injury, death, or damage to real property or tangible personal property of the State caused by the negligence, intentional or willful misconduct, fraudulent act, recklessness, or other tortious conduct of a person or a person’s employees or agents or a provision that would otherwise impose an indemnification obligation on the State;

(5)—(9) (text unchanged)

(10) A provision that limits the State’s ability to recover the difference in the cost of a replacement contractor to perform the services not performed by the original contractor, to the extent that the sum of the amount paid to the replacement contractor and the amount paid to the original contractor exceed the costs provided for in the contract with the original contractor.

B.—C. (text unchanged)

Subtitle 10 ADMINISTRATIVE AND CIVIL REMEDIES

21.10.04 Contract Claims and Disputes

Authority: State Finance and Procurement Article, §§12-101 and 15-201—15-223, Annotated Code of Maryland

.04 Disposition of Contractor Claim.

A.—D. (text unchanged)

E. Construction Contracts.

(1) (text unchanged)

(2) The reviewing authority shall mail or deliver written notification of its decision to the contractor within:

(a) 90 days after the procurement officer receives the claim if the claim is an amount for which the Appeals Board [accelerated] “Small Claims” procedure, set forth in COMAR 21.10.06.12, may be used;

(b)—(c) (text unchanged)

(3)—(5) (text unchanged)

Subtitle 11 SOCIOECONOMIC POLICIES

21.11.01 Small Business Procurements

Authority: State Finance and Procurement Article, §§12-101, 14-201—14-208, and 14-501—14-505, Annotated Code of Maryland; Ch. 601, Acts of 2025

.01 Definitions.

A. (text unchanged)

B. Terms Defined.

(1) “Certified small business” (“CSB”) means a business, other than a nonprofit business, that:

(a) Is certified by the [Governor's] Office of Small, Minority, & Women Business Affairs pursuant to regulations adopted by that Department; and

(b) (text unchanged)

(2)—(7) (text unchanged)

.06 Small Business Reserve Program.

A. Applicability.

(1) (text unchanged)

(2) A procurement with a total dollar value [between $50,000 and $500,000] of $1,000,000 or less shall be designated for the small business reserve.

(3) Exemptions. The requirements of the Small Business Reserve Program do not apply to the following procurements:

(a)—(b) (text unchanged)

[(d)] Procurements for human, social, cultural, or educational services.

[(e)] (d) Certain term and master contract procurements when the [Governor’s] Office of Small, Minority & Women Business Affairs certifies, concurrently with review of any waiver determinations for certified minority business enterprise participation contract goals, that it is not practicable to designate the procurement for the small business reserve.

B.—D. (text unchanged)

E. Solicitation Notice. Each solicitation for bids or proposals for a procurement designated for a small business reserve shall include the following notice:

–––––––––––––––––––––––––––––––––––

NOTICE TO BIDDERS/OFFERORS

SMALL BUSINESS RESERVE PROCUREMENT

This is a Small Business Reserve Procurement for which award will be limited to certified small business vendors. Only businesses that meet the statutory requirements set forth in State Finance and Procurement Article, §§14-501-14-505, Annotated Code of Maryland, and that are certified by the [Governor’s] Office of Small, Minority, & Women Business Affairs Small Business Reserve Program are eligible for award of a contract.

For the purposes of a Small Business Reserve Procurement, a small business is a for-profit business, other than a broker, that meets the following criteria:

A. It is independently owned and operated;

B. It is not a subsidiary of another business;

C. It is not dominant in its field of operation; and

D. Either:

(1) With respect to employees:

(a) Its wholesale operations did not employ more than 50 persons in its most recently completed 3 fiscal years;

(b) Its retail operations did not employ more than 25 persons in its most recently completed 3 fiscal years;

(d) Its service operations did not employ more than 100 persons in its most recently completed 3 fiscal years;

(e) Its construction operations did not employ more than 50 persons in its most recently completed 3 fiscal years; and

(f) The architectural and engineering services of the business did not employ more than 100 persons in its most recently completed 3 fiscal years; or

(2) With respect to gross sales:

(a) The gross sales of its wholesale operations did not exceed an average of $4,000,000 in its most recently completed 3 fiscal years;

(b) The gross sales of its retail operations did not exceed an average of $3,000,000 in its most recently completed 3 fiscal years;

(c) The gross sales of its manufacturing operations did not exceed an average of $2,000,000 in its most recently completed 3 fiscal years;

(d) The gross sales of its service operations did not exceed an average of $10,000,000 in its most recently completed 3 fiscal years;

(e) The gross sales of its construction operations did not exceed an average of $7,000,000 in its most recently completed 3 fiscal years; and

(f) The gross sales of its architectural and engineering operations did not exceed an average of $4,500,000 in its most recently completed 3 fiscal years.

Note: If a business has not existed for 3 years, the employment and gross sales average or averages shall be the average for each year or part of a year during which the business has been in existence.

Further information on the certification process is available at eMaryland Marketplace.

——————————————————

F. (text unchanged)

G. Before awarding a contract under a procurement designated as a small business reserve procurement, the procurement officer shall verify that the apparent awardee is certified by the [Governor's] Office of Small, Minority, & Women Business Affairs as a small business. A procurement contract award under a small business reserve procurement may not be made to a business that has not been certified.

H.—I. (text unchanged)

21.11.03 Minority Business Enterprise Policies

Authority: State Finance and Procurement Article, §§12-101 and 14-301--14-308, Annotated Code of Maryland; Ch. 601, Acts of 2025

.01 General—Purpose.

This chapter provides that maximum contracting opportunities be extended to certified minority business enterprises, as both prime contractors and subcontractors, and establishes that:

A. The Special Secretary of the [Governor's] Office of Small, Minority & Women Business Affairs, in consultation with the Secretary of Transportation, Chief Procurement Officer, and the Attorney General, shall establish the overall percentage certified MBE participation goal through regulation on a biennial basis.

B. (text unchanged)

C. Each procurement agency shall:

(1) (text unchanged)

(2) Apply the guidelines established by the Special Secretary of the [Office of Minority Affairs] Office of Small, Minority & Women Business Affairs in consultation with the Secretary of Transportation, the Chief Procurement Officer, and the Attorney General for determining the subgoals to be set for the groups listed in State Finance and Procurement Article, [§14-301(j)(1)(i)1, 2, 3, 4, and 6] §14-301(k)(1)(i)1, 2, 3, 4, and 6, Annotated Code of Maryland.

D.—E. (text unchanged)

.03 Definitions.

A. (text unchanged)

B. Terms Defined.

(1) (text unchanged)

(2) “Certification agency” means the [Department of Transportation] Office of Minority Business [Enterprise] Enterprises in the Department of Social and Economic Mobility.

(3)—(9) (text unchanged)

(10) “Office of Minority Affairs” means the [Governor's] Office of Small, Minority & Women Business Affairs in the Department of Social and Economic Mobility.

(11)—(17) (text unchanged)

.04 Procurement Agency Responsibility.

A.—C. (text unchanged)

D. Procurement agencies shall use the forms and affidavits developed by the [Governor's] Office of Small, Minority & Women Business Affairs, the Board of Public Works, and the [Department of Transportation] Office of Minority Business Enterprises for the certification and reporting procedures required by this chapter.

.07 Race Neutral Measures.

Race neutral measures may include:

A. (text unchanged)

B. Procurement agencies periodically conducting meetings with minority business enterprises and other small businesses, as appropriate, to advise of procurement opportunities within that procurement agency, which shall be coordinated with the [Governor's] Office of Small, Minority & Women Business Affairs and other State agencies that make similar procurements;

C. The [Governor's] Office of Small, Minority & Women Business Affairs periodically convening seminars that include MBEs and small businesses, and appropriate personnel of the various procurement agencies, which shall include topics of interest to prospective or current MBEs and small businesses such as State procurement procedures, certification, and anticipated State procurements, and may include technical assistance to MBEs and small businesses relating to the procurement process from the Office of Minority Affairs;

D. The [Governor's] Office of Small, Minority & Women Business Affairs providing notice of all seminars and meetings undertaken under the regulation to each MBE listed in the Central Directory or identified under COMAR 21.05.07.06 and each small business listed in the Department of General Services small business vendor lists that may be reasonably expected to be interested in the effort, as well as to those entities described in Regulation .09D of this chapter;

E.—H. (text unchanged)

.08 MBE Notification.

Within 30 days following the first day of the fiscal year, each procurement agency shall forward to the [Governor's] Office of Small, Minority & Women Business Affairs a complete listing of all known regularly recurring procurement solicitations reasonably expected to be [of $100,000 or] more than the applicable small procurement amount in COMAR 21.05.07.01 for the respective procurement type. The list shall be in an electronic format and include the subject of the contract, where the work is to be performed or delivery made, the approximate solicitation date, and the contact information of the procurement officer. The Office of Minority Affairs shall compile a master list containing this information.

.09 Procurement Solicitations.

A. To attain the overall and specific MBE goals under Regulation .01C of this chapter, procurement agencies shall set, where appropriate, an overall certified MBE participation goal, expressed as a percentage of the dollar value of the contract, and subgoals to facilitate the participation of certain groups as prescribed under Regulation .01C(2) of this chapter, unless:

(1) The procurement is a construction contract having an estimated value of less than [$50,000] the small procurement amount for construction contracts in COMAR 21.05.07.01; or

(2) (text unchanged)

B. Goal Setting Generally.

(1)—(2) (text unchanged)

(3) The following factors may be used to anticipate the degree of certified MBE prime contractor participation, to decide the certified MBE participation goal and subgoals, when used, and the MBE prime contractor and subcontractor procurement strategy to be used:

(a)—(d) (text unchanged)

(e) The guidelines established by the [Governor’s] Office of Small, Minority & Women Business Affairs for determining the subgoals to be set for the groups listed in State Finance and Procurement Article, §14-301(k)(1)(i)1, 2, 3, 4 and 6, Annotated Code of Maryland.

(4)—(5) (text unchanged)

C. MBE Subcontracting Provisions.

(1)—(4) (text unchanged)

(5) [The failure of a bidder to accurately complete and submit the MBE utilization affidavit and the MBE participation schedule shall result in a determination that the bid is not responsive unless the inaccuracy is determined to be the result of a minor irregularity that is waived or cured in accordance with COMAR 21.06.02.04.] If a bidder or offeror fails to complete accurately or submit the MBE utilization affidavit or MBE participation schedule, an agency’s procurement officer, after consultation with the agency’s minority business liaison, shall notify the bidder or offeror of the deficiency and require the bidder or offeror to submit an amended MBE utilization affidavit, MBE participation schedule, or both within three business days.

(6) [The failure of an offeror to accurately complete and submit the MBE utilization affidavit and the MBE participation schedule shall result in a determination that the proposal is not reasonably susceptible of being selected for award unless the inaccuracy is determined to be the result of a minor irregularity that is waived or cured in accordance with COMAR 21.06.02.04]. If, within 3 business days, the bidder or offeror fails to submit the amended form or forms correcting the deficiency identified in §C(5) of this regulation, the procurement officer may determine, in the case of a bid, that the bid is not responsive or, in the case of a proposal, that the proposal is not reasonably susceptible of being selected for award.

(7)—(8) (text unchanged)

D.—F. (text unchanged)

.11 Waiver.

A.—C. (text unchanged)

D. When a waiver is granted, except waivers under §C of this regulation, one copy of the waiver determination and the reasons for the determination shall be kept by the MBE liaison officer with another copy forwarded to the [Governor's] Office of Small, Minority & Women Business Affairs.

E. Not later than July 31 of each year, each procurement agency shall submit directly to the Board of Public Works and the [Governor's] Office of Small, Minority & Women Business Affairs an Annual Report of Waivers Requested and Waivers Granted under this regulation.

F. (text unchanged)

G. The Board shall:

(1) (text unchanged)

(2) Forward a copy to the General Assembly, the [Governor's] Office of Small, Minority & Women Business Affairs, and each control agency, before October 1 of each year.

.12 Amendment of MBE Participation Schedule.

A. [If at] At any time [after submission of a bid or proposal and] before execution of a contract, a procuring agency may amend the MBE participation goal in a procurement solicitation if the procuring agency:[a bidder or offeror determines that a certified MBE listed on the MBE participation schedule required under Regulation .09C(3) of this chapter has become or will become unavailable or ineligible to perform the work required under the contract, then the bidder or offeror:]

(1) [Within 72 hours of making the determination, shall provide written notice to the procurement officer; and] Makes a determination that there has been a change in the factors established under COMAR 21.11.03.09;

(2) [Within 5 business days of making the determination, may make a written request to the procurement officer to amend the MBE participation schedule.] Uses the factors established under COMAR 21.11.03.09 to determine the percentage modification to the minority business participation goal; and

(3) Amends the solicitation, obtains acknowledgment of the amendment from bidders or offerors, as applicable, and allows an opportunity for bidders or offerors to submit subsequently or revise their bid or proposal prices.

[B. For purposes of this regulation, “ineligible” means an MBE certified by the certification agency that may not be counted toward meeting the MBE subcontract participation goal established for the procurement because:

(1) The MBE is not certified by the certification agency to provide the services, materials, or supplies the bidder or offeror has committed the MBE to provide on the MBE participation schedule;

(2) The MBE has graduated from the NAICS Code associated with the services, materials, or supplies the bidder or offeror has designated the MBE to provide; or

(3) The MBE no longer meets the personal net worth requirements of Regulation .03 of this chapter.

C. The request to amend the MBE participation schedule shall include:

(1) An explanation of the reason for inclusion of the unavailable or ineligible firm on the original MBE participation schedule;

(2) The name of each certified MBE subcontractor that will substitute for the unavailable or ineligible certified MBE subcontractor;

(3) A description of work to be performed by each certified MBE subcontractor;

(4) The percentage of the contract to be paid to the certified MBE subcontractor for the work or supply; and

(5) A full description of the bidder’s or offeror’s efforts to substitute another certified MBE subcontractor to perform the work that the unavailable or ineligible certified MBE subcontractor would have performed.

D. The procurement officer shall consult with the MBE liaison before deciding whether to approve a request to amend the MBE participation schedule.]

[E.] B. Amendments to the MBE Participation Schedule and Goal Occurring After the Date of Contract Award.

(1) (text unchanged)

(2) A contractor may not terminate or otherwise cancel the contract of a certified MBE listed on the MBE participation schedule without:

(a)—(b) (text unchanged)

(d) Subsequently amending the contract[.], and

(e) Providing a full description of the contractor’s efforts to substitute another certified MBE subcontractor to perform the work that the unavailable or ineligible certified MBE subcontractor would have performed.

(3) The procurement agency shall send a copy of the MBE liaison written consent to the [Governor's] Office of Small, Minority & Women Business Affairs.

(4) Subject to §B(5) of this regulation, a procuring agency may consider modifying the minority business participation goal on a procurement contract after contract execution.

(5) Before a procuring agency may consider modifying a minority business participation goal after contract execution, the procuring agency shall:

(a) Determine the following in writing:

(i) That modification is in the best interest of the State;

(ii) That there has been a change in the factors established under COMAR 21.11.03.09; and

(iii) Using the factors established under COMAR 21.11.03.09, the percentage modification to the minority business participation goal;

(b) Obtain the agreement of the contractor through a written contract modification, including any reasonable pricing consideration; and

(c) Obtain the following approvals:

(i) Approval of the agency head;

(ii) If the goal decreases and the modification would not otherwise require Board approval under §B(5)(c)(iii) of this regulation, approval of the Board of Public Works; and

(iii) Any other approvals required by this title.

.13 Compliance.

A. (text unchanged)

B. The contractor shall:

(1) (text unchanged)

(2) If performing a State [construction] contract, ensure that all subcontractors are paid any undisputed amount to which the subcontractor is entitled within 10 calendar days of receiving a progress or final payment from the State and otherwise comply with COMAR 21.10.08 which sets forth the obligations of the prime contractor, contractors, and subcontractors and the remedies for delinquency or nonpayment of undisputed amounts, in State [construction] contracts.

(3) Submit [monthly] to the procurement agency a report listing payments made to each MBE subcontractor [in the preceding 30 days] and any unpaid invoices over 30 days old received from a certified MBE subcontractor, and the reason payment has not been made; [and]

(4) Include in its agreements with its certified MBE subcontractors a requirement that the certified MBE subcontractors submit [monthly] to the procurement agency a report for each month during which the MBE performs work or receives payment under the contract identifying the prime contract and listing:

(a) Payments received from the contractor in the preceding 30 days, and

(b) Invoices for which the subcontractor has not been paid[.]; and

(c) Any other information requested based on criteria established by the Office of Small, Minority, & Women Business Affairs under a contract governed by State Finance and Procurement Article, §11-301 et seq., Annotated Code of Maryland.

C.—G. (text unchanged)

.15 Certification — General.

A. The [Department of Transportation] Department of Economic and Social Mobility Office of Minority Business Enterprises is the agency designated to certify, recertify, and decertify MBEs. A procurement agency may not permit a person to participate in a procurement as a certified MBE unless the [Department of Transportation] Department of Economic and Social Mobility Office of Minority Business Enterprises, as the certification agency, has certified the person as a minority business enterprise.

B. Procedure.

(1) Contractors seeking MBE certification shall apply to the [Department of Transportation] certification agency. Certification procedures, including procedures for recertification and decertification, are those set forth in COMAR 11.01.10.01, which incorporates by reference the Department of Transportation "Minority Business Enterprise Program".

(2) (text unchanged)

C. Information Which May Be Requested. The [Department of Transportation] certification agency may request the following information to assist in any certification, recertification, decertification, participation, or graduation determination. Failure to furnish the requested information within a reasonable time as specified in writing may result in an administrative closing of an application, a denial of certification or recertification, or a determination to decertify. The information consists of:

(1)—(3) (text unchanged)

(4) Other information the [Department of Transportation] certification agency determines is necessary.

D. A business that has received certification from a federal or county MBE program that uses a certification process substantially similar to the process established in this regulation shall be eligible for certification by the [Department of Transportation] certification agency as a State-certified MBE if the business:

(1)—(2) (text unchanged)

.17 Reporting.

A. Each procurement agency shall make a report annually within 90 days following the close of the fiscal year to the [Governor’s] Office of Small, Minority & Women Business Affairs, the [Department of Transportation] certification agency, and, subject to State Government Article, §2-1257, Annotated Code of Maryland, to the Joint Committee on Fair Practices and State Personnel Oversight that includes for the preceding fiscal year:

(1)—(7) (text unchanged)

B. (text unchanged)

C. A report under §A of this regulation shall be in a form prescribed by the [Governor’s] Office of Small, Minority & Women Business Affairs and the [Department of Transportation] certification agency and approved by the Board of Public Works.

D. The Special Secretary for the [Governor's] Office of Small, Minority & Women Business Affairs may waive the requirement for a procurement agency to report MBE participation by industry type under §A of this regulation except for real property title insurance services if the spending threshold for the industry type is too low for the unit to provide sufficient data.

E. Each procurement agency shall submit to the Board of Public Works and the [Governor's] Office of Small, Minority & Women Business Affairs by July 31 of each year the report of waivers required under Regulation .11E of this chapter.

F. Each procurement agency shall furnish any other information or periodic reports requested by the [Governor's] Office of Small, Minority & Women Business Affairs or the [Department of Transportation] certification agency in connection with MBE certification and procurement, or any other matters related to the administration, effectiveness, or continuation of the Minority Business Enterprise Program.

G. The [Governor’s] Office of Small, Minority & Women Business Affairs shall prepare an annual report summarizing the information the [Governor’s] Office of Small, Minority & Women Business Affairs receives under §A of this regulation, for submission by the end of each calendar year to the Board of Public Works and, subject to State Government Article, §2-1257, Annotated Code of Maryland, the Legislative Policy Committee of the Maryland General Assembly, and to each procurement agency. If applicable, this report shall include MBE participation data for each unit by industry type.

21.11.05 Procurement from Maryland Correctional Enterprises, Blind Industries and Services of Maryland, and the Employment Works Program

Authority: Correctional Services Article, §3-515; State Finance and Procurement Article, §§12-101 and 14-101—14-108; Annotated Code of Maryland; Ch. 415, Acts of 2015; Ch. 313, Acts of 2016; Chs. 601 and 726, Acts of 2025

.01 Definitions.

A. (text unchanged)

B. Terms Defined.

(1)—(2) (text unchanged)

(2-1) “Employment Works Program” means the program established in the [Department of General Services] Office of Small, Minority, & Women Business Affairs by State Finance and Procurement Article, §14-108, Annotated Code of Maryland.

(3)—(10) (text unchanged)

.06 Responsibility of Selling Entities.

Each selling entity shall:

A. (text unchanged)

B. Consult periodically with the procurement agencies and, as appropriate, with the [Secretary of General Services] Chief Procurement Officer or designee, to assist in the establishment of reasonable and uniform standards, including those governing quantity, quality, style, design, and delivery of services and supplies pursuant to this chapter;

C. Within 5 working days of receipt of an inquiry from a procurement agency, notify the procurement agency, Chief Procurement Officer, [and the Secretary of General Services] or designee if the requested service or supply can or cannot be provided in accordance with the procurement agency’s specifications within the time specified in the solicitation;

D. Promptly notify the [Secretary of General Services] Chief Procurement Officer or designee if any service or supply included in the master list shall become unavailable;

E. Immediately notify the [Secretary of General Services] Chief Procurement Officer or designee or, in a matter concerning the Employment Works program, the Special Secretary for the Office of Small, Minority, & Women Business Affairs or designee, of any unresolved dispute with a procurement agency and request its resolution by the [Secretary] Chief Procurement Officer or Special Secretary, as applicable, or their designees.

F. (text unchanged)

.07 Responsibilities of Procurement Agencies.

General Purchasing Requirements

(1)—(2) (text unchanged)

(3) To the extent practicable, a State unit or State aided or controlled entity shall include in a maintenance contract that has a component for housekeeping or janitorial services, a requirement that a prime contractor procure janitorial products from Blind Industries and Services of Maryland if the specified products are made, manufactured, remanufactured, packaged, repackaged, or assembled by Blind Industries and Services of Maryland and are available.

B.—E. (text unchanged)

F. Disputes. A procurement agency shall promptly notify the [Secretary of General Services] Chief Procurement Officer or designee or, in a matter concerning the Employment Works program, the Special Secretary for the Office of Small, Minority, & Women Business Affairs or designee of any dispute with a selling entity concerning supplies or services.

21.11.07 Miscellaneous Purchasing Preferences

Authority: State Finance and Procurement Article, §§12-101, 14-401—14-403, 14-405, and 14-407, Annotated Code of Maryland; Ch. 593, Acts of 2010; Ch. 314, Acts of 2011; Ch. 389, Acts of 2025

.08 Locally Grown Foods

A.—B. (text unchanged)

C. State schools and facilities shall include in procurement solicitations a price preference not exceeding [5] 10 percent to bids or proposals for locally grown food. A procurement officer:

(1) Shall specify in any specific procurement solicitation a price preference not exceeding [5] 10 percent; and

(2) May limit competition in any specific procurement solicitation to responses from certified local farms as defined in State Finance and Procurement Article, §14-701, Annotated Code of Maryland [only locally grown foods].

D. (text unchanged)

.11 Energy Efficient Outdoor Lighting Fixtures.

A. If State funds are used to install or replace a permanent outdoor luminaire for lighting on the grounds of any building, [or] facility, park, or trail owned or leased by the State or a unit of the State, procurement specifications shall require that:

(1) (text unchanged)

(2) Except for a luminaire installed or replaced by the Department of Transportation, the luminaire has a correlated light temperature that is less than or equal to 3,000 Kelvins;

[(2)] (3)—[(3)] (4) (text unchanged)

B. (text unchanged)

C. Applicability. This regulation does not apply to a luminaire:

(1)—(4) (text unchanged)

(5) Used for sign illumination; [or]

(6) In a lighting plan where less than 25 percent of the luminaires are to be replaced[.]; or

(7) Used to illuminate the field of play at a sports facility.

21.11.12 State Apprenticeship Training Fund

Authority: State Finance and Procurement Article, §§17-603—17-606, Annotated Code of Maryland; Ch. 601, Acts of 2025

.03 Contractor and Subcontractor Registration.

A. Contractors performing work on a prevailing wage project shall complete the registration process at the Department's website.

B. Subcontractors who are performing work valued at [$100,000 or] more than the applicable small procurement amount listed in COMAR 21.05.07.01 on a prevailing wage project shall complete the registration process at the Department's website.

C. (text unchanged)

.04 Contractor and Subcontractor Notification to Subcontractors.

A. Contractors and subcontractors who hire subcontractors performing work valued at [$100,000 or] more than the applicable small procurement amount listed in COMAR 21.05.07.01 on a public work contract subject to the Maryland Prevailing Wage Law shall provide the subcontractors with written notice of the following requirements:

(1)—(2) (text unchanged)

(3) Subcontractors performing work on a prevailing wage project valued at [$100,000 or] more than the applicable small procurement amount listed in COMAR 21.05.07.01 are required to make payments to approved apprenticeship programs or to the Fund for each employee employed in classifications listed on the prevailing wage determination.

B. (text unchanged)

Subtitle 12 PROCUREMENT OF ARCHITECTURAL SERVICES AND ENGINEERING SERVICES

21.12.02 Department of Transportation and Department of General Services; A/E Services Exceeding $200,000

Authority: State Finance and Procurement Article, §13-112, Annotated Code of Maryland

.05 Selection Procedure.

A.—F. (text unchanged)

G. Technical Proposal Evaluation and Recommendation.

(1) (text unchanged)

(2) The Procuring Agency’s Evaluation Committee shall do the following.

(a) (text unchanged)

(b) Conduct oral presentations when the total value of the contract is expected to exceed $2,000,000 unless the procurement officer makes a written determination that oral presentations are unlikely to aid in the evaluation process.

[(b)] (c) (text unchanged)

(3) (text unchanged)

H.—I. (text unchanged)

Subtitle 13 PROCUREMENT REPORTING REQUIREMENTS

21.13.01 Reporting Requirements

Authority: Election Law Article, §§14-101 and 14-107; State Finance and Procurement Article, §§12-101, 13-207, 14-305, 14-505, 15-110, 15-111, and 17-104; Annotated Code of Maryland; Chs. 601and 605, Acts of 2025

.02 Annual Report of Service Contracts Exceeding [$100,000 in] Small Procurement Value.

A. Each Department shall prepare and submit an annual written report within 60 days following the close of the fiscal year to the Chief Procurement Officer of contracts for services, construction-related services, architectural services, and engineering services that exceed [$100,000] the applicable small procurement amount in COMAR 21.05.07.01 during the preceding fiscal year, whether the procurement was conducted by the Department or subject to review by the Department. The report shall, at a minimum:

(1)—(3) (text unchanged)

B. (text unchanged)

.03 Reports of the Small Business Reserve Program.

A. Each procurement unit shall submit an expenditure plan on the small business reserve program as set forth in COMAR 21.11.01.06D to the [Governor's] Office of Small, Minority & Women Business Affairs within 60 days after enactment of the annual budget bill by the General Assembly. The format of the expenditure plan shall be determined by the [Governor's] Office of Small, Minority & Women Business Affairs.

B. Each procurement unit shall submit a report on the small business reserve program to the [Governor’s] Office of Small, Minority & Women Business Affairs within 90 days after the end of each fiscal year, in a format determined by the [Governor’s] Office of Small, Minority & Women Business Affairs, that includes at a minimum:

(1)—(3) (text unchanged)

(4) Other information required by the [Governor's] Office of Small, Minority & Women Business Affairs.

C. By December 31 of each year, the [Governor's] Office of Small, Minority & Women Business Affairs shall summarize the information required in §D of this regulation and report to the Board of Public Works and, subject to State Government Article, §2-1257, Annotated Code of Maryland, the Legislative Policy Committee.

D. On or before December 1 each year, the certification agency designated under State Finance and Procurement Article, §14-303b, Annotated Code of Maryland, in consultation with the [Governor's] Office of Small, Minority & Women Business Affairs, shall submit to the Board of Public Works and, subject to State Government Article, §2–1257, Annotated Code of Maryland, to the Legislative Policy Committee a report on:

(1)—(2) (text unchanged)

.15 Report on Veteran-Owned Small Business Participation.

A. On or before October 1 of each year, each procurement unit shall report to the [Governor's] Office of Small, Minority & Women Business Affairs on the number and amount of contracts awarded to VSBEs and the effectiveness of the VSBE program, in accordance with COMAR 21.11.14.06.

B. The report format shall be determined by the [Governor's] Office of Small, Minority & Women Business Affairs.

JOHN GONTRUM
Executive Secretary

Title 36
MARYLAND STATE LOTTERY AND GAMING CONTROL AGENCY

Subtitle 04 VIDEO LOTTERY TERMINALS

36.04.01 Video Lottery Technical Standards

Authority: State Government Article, §§9-1A-02, 9-1A-04, 9-1A-15, 9-1A-22, and 9-1A-24, Annotated Code of Maryland

Notice of Proposed Action

[26-042-P]

The Maryland State Lottery and Gaming Control Agency proposes to amend Regulation .13 under COMAR 36.04.01 Video Lottery Technical Standards. This action was considered October 23, 2025.

Statement of Purpose

The purpose of this action is to require the filing of an IRS Form W-2G, Certain Gambling Winnings, as required by the IRS, or at an amount lower than the IRS requires for reporting, as approved by the Agency.

Estimate of Economic Impact

The proposed action has no economic impact.

Economic Impact on Small Businesses

The proposed action has minimal or no economic impact on small businesses.

Impact on Individuals with Disabilities

The proposed action has no impact on individuals with disabilities.

Opportunity for Public Comment

Comments may be sent to Jennifer Beskid, Director Legislation and Policy, Maryland Lottery and Gaming Control Agency , 1800 Washington Boulevard, Suite 330, Baltimore, MD 21230, or call 443-571-4390, or email to [email protected]. Comments will be accepted through May 18, 2026. A public hearing has not been scheduled.

.13 Video Lottery Terminal Lock-up.

A. A video lottery terminal shall be configured to lock-up and preclude further play following a single jackpot [that requires the filing of IRS Form W-2G, Certain Gambling Winnings.]:

(1) That requires the filing of an IRS Form W-2G, Certain Gambling Winnings, as required by the IRS; or

(2) At an amount lower than the IRS requires for reporting, as approved by the Agency.

B.—C. (text unchanged)

JOHN MARTIN
Director

Errata

Issue Date	Emergency and Proposed Regulations 5 p.m.*	Notices, etc. 10:30 a.m.	Final Regulations 10:30 a.m.
May 1	April 13	April 20	April 22
May 15	April 27	May 4	May 6
May 29	May 11	May 18	May 20
June 12**	May 22	June 1	June 3
June 26	June 8	June 15	June 17
July 10	June 22	June 29	July 1
July 24	July 6	July 13	July 15
August 7	July 20	July 27	July 29
August 21	August 3	August 10	August 12
September 4	August 17	August 24	August 26
September18**	August 31	September 4	September 9
October 2	September14	September21	September23
October 16	September28	October 5	October 7
October 30**	October 9	October 19	October 21
November 13	October 26	November 2	November 4
November30***	November 9	November16	November18
December 11	November23	November30	December 2
December28***	December 7	December14	December16

MARYLAND HEALTH CARE COMMISSION Average Annual Occupancy Rates By Jurisdiction And Facility Special Chronic Hospital Beds MARYLAND, FISCAL YEARS 2022 — 2025
Jurisdiction/Facility	Average Annual Occupancy Rate (%)
Jurisdiction/Facility	FY 2022	FY 2023	FY 2024	FY 2025
Baltimore City
Johns Hopkins Bayview Medical Center¹	20.9	5.9	10.6	0
Levindale Hebrew Geriatric Center and Hospital	67.2	71.2	68.7	73.7
University of Maryland Medical Center Midtown Campus	89.4	96.0	74.2	58.6
University of Maryland Rehabilitation & Orthopaedic Institute	36.4	39.9	30.2	38.4
Prince George’s County
University of Maryland Prince George’s Hospital Center	0	0	0	0

SUBTOTAL: Private Chronic Hospitals	50.5	49.6	49.1	60.8

Washington County
Western Maryland Hospital Center	8.8	7.0	9.1	7.7
Wicomico County
Deer’s Head Hospital Center	4.7	1.1	4.8	5.9

SUBTOTAL: State-Operated Chronic Hospitals	6.7	3.9	6.9	6.8

MARYLAND TOTAL⁶	35.2	33.8	33.5	37.8
Sources: Maryland Health Care Commission and Maryland Department of Health (bed inventory); Health Services Cost Review Commission’s Inpatient Confidential Files (private chronic hospital patient days); Maryland Department of Health’s Hospital Management Information System (state-operated chronic hospital patient days); Western Maryland Hospital Center; and Deer's Head Hospital Center.
Notes: The average annual chronic hospital bed occupancy rates are calculated based on the number of patient days divided by the number of licensed bed days available during the fiscal year period, ending June 30th.
In fiscal year 2022, University of Maryland Prince George’s Hospital Center’s 12 chronic hospital beds ceased to operate. This hospital was replaced by the University of Maryland Capital Region Medical Center in June 2021. This replacement hospital does not provide special chronic hospital services.
¹ Effective January 14, 2025, Johns Hopkins Bayview Medical Center's 60 chronic hospital beds have been relinquished.

Use Of Special Chronic Hospital Beds: Maryland, Fy 2025
Jurisdiction/Facility	Licensed Beds	Patient Days	Discharges	Average Length of Stay (Days)	Average Annual Occupancy Rate
PRIVATE HOSPITALS
Baltimore City
Johns Hopkins Bayview Medical Center¹	60	0	0	0	0.0%
Levindale Hebrew Geriatric Center and Hospital	100	26,908	586	46	73.7%
University of Maryland Medical Center Midtown Campus²	*10	2,985	74	40	58.6%
University of Maryland Rehabilitation & Orthopaedic Institute	56	7,850	277	28	38.4%
SUBTOTAL: Private Chronic Hospitals	216	37,743	937	114	60.8%

STATE-OPERATED HOSPITALS
Washington County
Western Maryland Hospital Center³	60	1,690	8	211	7.7%

Wicomico County
Deer’s Head Hospital Center⁴	66	1,415	29	49	5.9%
SUBTOTAL: State-Operated Chronic Hospitals⁵	126	3,105	37	260	6.8%

MARYLAND TOTAL⁶	342	40,848	974	374	37.8%
Sources: Bed Inventory: Maryland Health Care Commission and the Maryland Department of Health. Utilization: Health Services Cost Review Commission’s Inpatient Confidential Files (private chronic hospitals); and Maryland Department of Health’s Hospital Management Information System (state-operated chronic hospitals).
¹ Effective January 14, 2025, Johns Hopkins Bayview Medical Center's 60 chronic hospital beds have been relinquished.
² The University of Maryland Medical Center Midtown Campus occupancy rate of 22 chronic hospital beds has reduced temporarily to *10 effective May 1, 2025, due to the declining chronic eligible patient population.
³ Western Maryland Hospital Center's occupancy rate, based on its reported 16 budgeted chronic hospitals beds, would be 29 percent.
⁴ Deer's Head Hospital Center's occupancy rate, based on its reported 11 budgeted chronic hospital beds, would be 35 percent.
⁵ The occupancy rate for the two State - operated chronic hospitals based on the total 27 budgeted chronic hospital beds, would be 31.5 percent.
⁶ The statewide chronic hospitals bed occupancy rate, based on the 166 licensed beds at the three private facilities and the 27 budgeted beds at the two state-operated facilities would be 55 percent.