WILLIAM DONALD SCHAEFER, Governor

Ch. 48

A PROCUREMENT OFFICER MAY REQUIRE A CONTRACTOR TO PROVIDE A
PERFORMANCE BOND OR OTHER SECURITY ON A PROCUREMENT CONTRACT FOR
SUPPLIES, SERVICES, OR CONSTRUCTION RELATED SERVICES IF:

(1)  CIRCUMSTANCES WARRANT SECURITY; AND

(2)  THE PRICE OF THE PROCUREMENT CONTRACT EXCEEDS
$50,000.

REVISOR'S NOTE: This section is new language derived
without substantive change from former SF §
ll-121(a)(2), (c), and (d).

In subsection (b) of this section, the former
reference to a "bond" is deleted as included in the
broad reference to "security".

In subsection (c) of this section, the word "security"
is substituted for the former reference to
"performance and payment bonds", since the referenced
Title 17, Subtitle 1 allows security other than bonds.

Defined terms: "Construction" § 11-101
"Construction related services" § 11-101
"Procurement contract" § 11-101
"Procurement officer" § 11-101
"Services" § 11-101 "Supplies" § 11-101

13-217. MULTI-YEAR PROCUREMENT CONTRACTS.

(A)  "MULTI-YEAR CONTRACT" DEFINED.

IN THIS SECTION, "MULTI-YEAR CONTRACT" MEANS A PROCUREMENT
CONTRACT THAT REQUIRES APPROPRIATIONS FOR MORE THAN 1 FISCAL
YEAR.

(B)  ALLOWED.

(1)  A UNIT MAY ENTER INTO A MULTI-YEAR CONTRACT
SUBJECT TO:

(I)  STANDARDS ESTABLISHED BY THE BOARD; AND

(II)  REGULATIONS ADOPTED BY THE PRIMARY
PROCUREMENT UNIT THAT IS RESPONSIBLE FOR THE TYPE OF PROCUREMENT
INVOLVED.

(2)  A MULTI-YEAR CONTRACT SHALL BE SUBJECT TO REVIEW
AND APPROVAL BY THAT PRIMARY PROCUREMENT UNIT.

(C)  CONDITIONS FOR APPROVAL.

- 1637 -