1. A. General Purchasing Requirements.

   1. (1) Except as provided in §B of this regulation, each procurement agency shall procure available supplies and services from a selling entity in accordance with this chapter.
   2. (2) If a selling entity's price for needed services or supplies exceeds the funds available for the procurement, the procurement agency shall attempt to negotiate an acceptable price with the selling entity.
   3. (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, or assembled by Blind Industries and Services of Maryland and are available.

2. B. Exceptions. A procurement agency is not required to obtain a supply or service from a selling entity if:

   1. (1) The selling entity is unable to:

      1. (a) Furnish the needed supply or service within a reasonable time, or
      2. (b) Meet the procurement agency's reasonable specifications for the supply or service;
   2. (2) The Pricing and Selection Committee for Preferred Providers deems the selling entity’s price for the supply or service to exceed its fair market price;
   3. (3) The cost of procuring a supply or service from a selling entity in accordance with the procurement agency's specifications as approved by the appropriate control authority would exceed the budgetary allowance for the procurement;
   4. (4) The procurement is an emergency procurement under COMAR 21.05.06; or
   5. (5) The needed supply or service is not included in the master list.

3. C. Supplies and Services.

   1. (1) Regardless of quantity needed, a procurement agency shall procure from a selling entity its requirements for supplies and services included in the master list unless exempted under §B of this regulation.

   2. (2) If a supply or service is listed as available from more than one selling entity and no ordering priority is otherwise specified in the master list, the procurement agency shall, subject to §C(3) of this regulation, obtain that supply or service from a selling entity in accordance with the following order of priority:

      1. (a) Maryland Correctional Enterprises;
      2. (b) Blind Industries and Services of Maryland;
      3. (c) The Employment Works Program.
   3. (3) A selling entity that is unable to furnish a supply or perform a service within the time required by, or in accordance with the reasonable specifications of, a procurement agency will be deemed to have relinquished its priority under §C(2) of this regulation for that procurement to the selling entity next in order of priority.
   4. (4) The procurement agency shall document actions taken under §C(3) of this regulation.
4. D. Estimates of Purchases. A procurement agency shall notify at least annually the Pricing and Selection Committee for Preferred Providers of the procurement agency’s forecast of recurring purchases during the next fiscal year of those supplies and services included in the master list.
5. E. Unless bids or offers are needed to establish the fair market price for a supply or service, a procurement agency shall first survey in the order set forth in §C(2) or D(2) of this regulation, as appropriate, the interests of the selling entities in providing the needed supply or service before issuing a solicitation for the procurement.
6. F. Disputes. A procurement agency shall promptly notify the Secretary of General Services or designee of any dispute with a selling entity concerning supplies or services.

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

Regulation .01B amended effective March 8, 1999 (26:5 Md. R. 394); March 13, 2006 (33:5 Md. R. 523); February 23, 2009 (36:4 Md. R. 355); April 28, 2014 (41:8 Md. R. 473); March 11, 2019 (46:5 Md. R. 310); September 18, 2023 (50:18 Md. R. 800)

Regulation .02B amended effective February 23, 2009 (36:4 Md. R. 355)

Regulation .02F adopted effective January 2, 1995 (21:26 Md. R. 2192); September 18, 2023 (50:18 Md. R. 800)

Regulation .02F amended effective December 25, 2000 (27:25 Md. R. 2284); February 23, 2009 (36:4 Md. R. 355)

Regulation .03 amended effective September 18, 2023 (50:18 Md. R. 800)

Regulation .04 amended effective March 8, 1999 (26:5 Md. R. 394); March 13, 2006 (33:5 Md. R. 523); March 11, 2019 (46:5 Md. R. 310); September 18, 2023 (50:18 Md. R. 800)

Regulation .04C amended effective February 23, 2009 (36:4 Md. R. 355); April 28, 2014 (41:8 Md. R. 473)

Regulation .04 Q, R amended effective March 3, 2025 (52:4 Md. R. 221)

Regulation .04S adopted effective March 3, 2025 (52:4 Md. R. 221)

Regulation .05 amended effective March 8, 1999 (26:5 Md. R. 394); September 18, 2023 (50:18 Md. R. 800)

Regulation .06 amended effective March 8, 1999 (26:5 Md. R. 394)

Regulation .06A amended effective September 18, 2023 (50:18 Md. R. 800)

Regulation .06F adopted effective March 3, 2025 (52:4 Md. R. 221)

Regulation .07 amended effective March 8, 1999 (26:5 Md. R. 394); March 13, 2006 (33:5 Md. R. 523)

Regulation .07A amended effective April 28, 2014 (41:8 Md. R. 473); June 29, 2020 (47:13 Md. R. 643)

Regulation .07B amended effective September 18, 2023 (50:18 Md. R. 800)

Regulation .07C amended effective February 23, 2009 (36:4 Md. R. 355); March 11, 2019 (46:5 Md. R. 310)

Regulation .07D amended effective September 18, 2023 (50:18 Md. R. 800)

Regulation .08 amended effective February 23, 2009 (36:4 Md. R. 355)

Regulation .08A, B amended effective March 3, 2025 (52:4 Md. R. 221)

Regulation .08C adopted effective March 3, 2025 (52:4 Md. R. 221)

Regulation .08B amended effective March 13, 2006 (33:5 Md. R. 523)

Regulation .09 amended effective February 23, 2009 (36:4 Md. R. 355)