§ 10A-161. County-based business participation requirements.

(a)

For any procurement that is greater than Five Hundred Thousand Dollars ($500,000) in total value for which a County agency or the County government secures competitive bids or proposals the Purchasing Agent shall require the following:

(1)

At least forty percent (40%) certified County-based small business participation; provided, that the costs of materials, goods, and supplies shall not be counted towards the forty percent (40%) participation requirement, unless such materials, goods, and supplies are purchased from County-based small businesses; and

(2)

A bid or proposal responding to a solicitation shall be deemed nonresponsive and shall be rejected by the Purchasing Agent if it fails to meet the forty percent (40%) minimum certified County-based small business participation requirement in Paragraph (1) of this Subsection, unless the participation requirement is waived pursuant to Section 10A-159.01.

(3)

Any existing procurement contract or agreement entered into after November 15, 2016 and for which a County agency or the County government secured competitive bids or proposals, including any existing multiyear contract or extended contract, entered into after November 15, 2016 that does not include at least forty percent (40%) certified County-based small business participation as prescribed in this Subsection at the time of any contemplated exercise of an option, extension, or renewal, including automatic extensions or renewals (e.g. "evergreen" contracts or agreements), shall not be renewed or extended.

(b)

If the Purchasing Agent determines in writing that there are insufficient responsible County-based small businesses to completely fulfill the requirement of Paragraph (1) of Subsection (a) for a particular procurement or if the requirement would result in the loss of federal or state funds or grants, the Purchasing Agent may waive the participation requirements of Division 7 pursuant to Section 10A-159.01.

(c)

In all bids for the construction of public works, if the work is to be subcontracted by the bidder, every bidder, in order to be considered a responsive bidder, shall be required to subcontract with County-based minority business enterprises for at least twenty percent (20%) of the total dollar volume of the contract price unless such bidder is itself a County-based minority business enterprise or minority business enterprise.

(d)

The Purchasing Agent shall, for all contracts, consult with the Supplier Development and Diversity Division in order to determine whether subcontracting is appropriate. If subcontracting is determined to be appropriate, the Purchasing Agent shall include a mandatory County-based minority business enterprise subcontract clause that requires up to twenty percent (20%) of the contract's total value be performed by one or more County-based minority business enterprises or minority business enterprises.

(e)

Failure to apply the applicable provisions of a procurement award shall render the procurement award and/or contract or agreement void.

(f)

On a case by case basis, for any procurement subject to the requirements of Subsection (a) of this Section, the Purchasing Agent may require more than forty percent (40%) certified County-based small business participation if the Purchasing Agent determines that there is a sufficient number of County-based small businesses to justify a higher certified County-based small business participation requirement.

(g)

The Prince George's County Supply Schedule Program. There is established a Prince George's County Supply Schedule (PGCSS) program, a sheltered-market procurement program shall be awarded only to County-based small businesses. The PGCSS program may consist of multiple award schedules or other procurement programs established by the Purchasing Agent.

(1)

Pursuant to Section 10A-138, the Director of Central Services shall propose to the County Council the PGCSS a list of North American Industry Classification System (NAICS) industry classifications or comparable categories of goods or services that shall only be available for bid or award among County-based small businesses, County-based minority business enterprises and/or County-based businesses during the next fiscal year, based on the capacity and prevalence of County-based small businesses, County-based minority business enterprises and/or County-based businesses within those industry categories. The proposed PGCSS is subject to approval by resolution of the County Council or the PGCSS proposed by the Director of Central Services shall go into effect for the next fiscal year.

(2)

A PGCSS contract may be awarded by:

(A)

Any source selection method authorized by this Subtitle;

(B)

A contract with a contractor who maintains a price agreement or schedule with any federal agency so long as the contract does not authorize a price higher than is contained in the contract between the federal agency and the contractor; or

(C)

A contract with a contractor who agrees to adopt the same pricing schedule for the same goods or services as that of a contractor who maintains a price agreement or schedule with any federal agency if the contract does not authorize a price higher than is contained in the contract between the federal agency and the contractor.

(3)

The Purchasing Agent or the Purchasing Agent's designee may issue a waiver subject to 10A-159.01.

(CB-17-2011; CB-74-2016; CB-115-2017)