1988

LAWS OF MARYLAND

Ch. 543

are, therefore, at a disadvantage and must place bids which
are considerably lower than resident firms in those states
in order to obtain contracts. On the other hand, residents
of those six states and Puerto Rico are on an equal footing
with Marylanders in obtaining contracts with the State of
Maryland. This situation is unfair to Maryland residents.
It is, therefore, the intent of this Act to provide Maryland
residents with advantages within Maryland over persons with
residences in other states that have state contract
preference statutes for residents; now, therefore,

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That section(s) of the Annotated Code of Maryland
be repealed, amended, or enacted to read as follows:

Article 41 - Governor - Executive and Administrative
Departments

231-1.

(A)  In purchasing materials, supplies and equipment
for the using authorities, the Secretary of General Services
shall give a preference to products manufactured or produced
in Maryland, except when in the judgment of the Secretary
such purchases would operate to the disadvantage of the
State.

(B)  (1) IN THIS SUBSECTION, "MARYLAND FIRM" MEANS A
BUSINESS ENTITY WHICH HAS ITS PRINCIPAL OFFICE IN THIS
STATE.

(B) (1) (2) WHEN AWARDING A CONSTRUCTION CONTRACT
BASED ON COMPETITIVE BIDDING, THE DEPARTMENT OF GENERAL
SERVICES SHALL ACCEPT THE LOWEST RESPONSIVE AND RESPONSIBLE
BID FROM A MARYLAND FIRM OVER THAT OF A BID FROM A RESIDENT
OF ANOTHER STATE IF:

(I)  THAT STATE GIVES ANY PREFERENCE TO
RESIDENT FIRMS OVER MARYLAND FIRMS; AND

(II)  THE BID FROM THE MARYLAND FIRM DOES
NOT EXCEED THE BID FROM THE NONRESIDENT FIRM BY MORE THAN 2
PERCENT.

(2) (3) A MARYLAND FIRM DESIRING THE PREFERENCE
PROVIDED BY THIS SUBSECTION SHALL CLAIM THE PREFERENCE WHEN
THE MARYLAND FIRM SUBMITS ITS BID.

(3) (4) IF IN CONFLICT WITH ANY FEDERAL GRANT
OR REGULATION AFFECTING THE CONTRACT, THE PROVISIONS OF THIS
SUBSECTION DO NOT APPLY.

Article - Transportation

2-108.