# Subtitle 28 – Minority and Women’s Business Enterprises; Small Local Business Enterprises

Current through 2026-07-17. Source: City of Balt., Md., Ord. 26-129. Published by the Baltimore City Department of Legislative Reference.

## Chapter 1 – General Provisions

### Part I – Definitions; General Provisions

#### § 28-1 Definitions.

Balt., Md., Code art. 5, § 28-1 (2026)

(a) In this subtitle, the following terms have the meanings indicated unless the context clearly requires a different meaning.

(b) “Baltimore City Market Area” means Baltimore City, Baltimore County, Anne Arundel County, Howard County, Harford County, Carroll County, and Queen Anne’s County.

(c) “Bid” means a response to:

  (1) an invitation to bid; or

  (2) a request for proposals.

(d) “Business enterprise” means a corporation, limited liability company, partnership, individual, sole proprietorship, joint stock company, joint venture, professional association, or any other legal entity operated for profit that is properly licensed and otherwise authorized to do business in the State of Maryland.

(e) “Chief” means the Chief of the Minority and Women’s Business Opportunity Office.

(f)

  (1) “Construction” means building, altering, repairing, improving, or demolishing any structure, building, street, utility, or other improvement to real property.

  (2) “Construction” includes:

    (i) building construction;

    (ii) heavy construction (road construction and bridge construction); and

    (iii) specialty trades construction (e.g., carpentry, electrical, and plumbing).

(g) “Contracting agency” means the City agency, department, or authorized representative that issues invitations to bid or requests for proposals.

(h) “Contractor” means the person, firm, or legal entity with which the City has entered into an agreement.

(i)

(j) “Joint venture” means an association between business enterprises that provides for the sharing of economic interest.

(k) “Manufacturer” means a business enterprise that:

  (1) produces goods from raw materials or substantially alters or fabricates them before resale; and

  (2) assumes the actual and contractual responsibility for providing the materials and supplies.

(l) “Office” means the Minority and Women’s Business Opportunity Office.

(m) “Purchasing” means the buying, renting, leasing, or otherwise obtaining or acquiring any supplies, materials, equipment, or services.

(n) “Sole proprietorship” means a business enterprise that is 100% owned, operated, and controlled by 1 individual.

(o) “Subcontractor” means a business enterprise that has a direct contract with a contractor to perform part of the work on a contract.

(p) “Supplier” means a business enterprise that:

  (1) furnishes needed items to a contractor; and

  (2) either:

    (i) is involved in the manufacture or distribution of the supplies or materials; or

    (ii) otherwise warehouses and ships the supplies.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 16-595*

*History: Ord. 22-124*

#### § 28-2 Liberal construction.

Balt., Md., Code art. 5, § 28-2 (2026)

The provisions of this subtitle are to be liberally construed to accomplish its policies and purposes.

*History: Ord. 00-098*

*History: Ord. 16-595*

*History: Ord. 22-125*

#### § 28-3 Legislative findings and policy.

Balt., Md., Code art. 5, § 28-3 (2026)

(a)

  (1) The Mayor and City Council makes the findings contained in this subsection, on full consideration of:

    (i) the extensive findings made by an independent task force prior to the enactment of Ordinance 90-610;

    (ii) the evidence of significant levels of utilization disparity identified by the 2000 Disparity Study;

    (iii) hearings held by the City Council;

    (iv) the extensive findings of the  2022 Disparity Study, “The State of Minority and Women-Owned Business enterprise: Evidence from Baltimore”;

    (v) the findings of the City Council that the prevalence of contract awards to large, non-local, businesses has significantly contributed to underutilization of minority and women’s business enterprises; and

    (vi) all other relevant facts.

  (2) Past discrimination in the City’s contracting process by prime contractors against minority and women’s business enterprises has resulted in significant underutilization of minority and women’s business enterprises in contracts awarded by the City of Baltimore.  As determined by the  2022 Disparity Study, this disparity has been persistent, pervasive, and statistically significant based on available vendor data.

  (3) This discrimination has occurred in the major City contracting markets (construction, commodities, architectural and engineering, and services), with the effect of significant underutilization of minority and women’s business enterprises.

  (4) The provisions of this subtitle are necessary to overcome the effects of past discrimination and to prevent ongoing discrimination in the City’s contracting process, while assuring that high quality goods and services are obtained through the competitive bidding process.

  (5) A general objective of this subtitle is to provide a narrowly tailored remedy to ongoing effects of past discrimination, an objective that is advanced by:

    (i) setting minority and women’s business enterprise goals that are flexible and rationally related to the disparity identified in the City’s contracting markets;

    (ii) instituting race- and gender-neutral remedies, including a Small Local Business Enterprise Program, in conjunction with the narrowly tailored administration of the MBE/WBE Program;

    (iii) setting goals on a contract-by-contract basis;

    (iv) providing criminal penalties for fraudulent misuse of this subtitle;

    (v) requiring regular review of the necessity for this subtitle;

    (vi) limiting those minority and women’s businesses that qualify for certification under this subtitle to those located in the Baltimore City Market Area;

    (vii) requiring regular review of the categories included in the definition of minority- group members; and

    (viii) providing for post-bid submission of required information about minority and women’s business enterprises as well as other subcontractors.

(b) It is the policy of the City of Baltimore to promote equal business opportunity in the City’s contracting process by encouraging full and equitable participation by minority and women’s business enterprises in the provision of goods and services to the City on a contractual basis.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 16-595*

*History: *

*History: *

#### § 28-4 Scope of subtitle.

Balt., Md., Code art. 5, § 28-4 (2026)

(a) This subtitle applies to all contracts awarded by the City.

(b) Every contract or other agreement between the City of Baltimore and any governmental agency, quasi-governmental agency, corporation, developer, or contractor, under which the agency, corporation, developer, or contractor receives any fiscal assistance from or through the City for the purpose of contracting with businesses to perform real estate development, renovation, maintenance, or other services must require the agency, corporation, developer, or contractor to comply with this subtitle in awarding and administering that contract or agreement.

*History: Ord. 00-098*

#### § 28-5 Automatic termination.

Balt., Md., Code art. 5, § 28-5 (2026)

This subtitle automatically expires on June 30, 2028, unless the City Council, after causing an appropriate study to be undertaken, conducting public hearings, and hearing testimonial evidence, find that the purposes identified in this subtitle have not yet been achieved, in which case this subtitle may be extended for 5 more years.

*History: Ord. 00-098*

*History: Ord. 05-010*

*History: Ord. 06-356*

*History: Ord. 07-472*

*History: Ord. 07-524*

*History: Ord. 07-606*

*History: Ord. 11-557*

*History: Ord. 13-130*

*History: Ord. 13-188*

*History: Ord. 14-215*

*History: Ord. 14-265*

*History: Ord. 16-595*

*History: Ord. 19-269*

*History: Ord. 20-394*

*History: Ord.  21-048*

*History: *

#### §§ 28-6 to 28-8

Balt., Md., Code art. 5, § 28-6 to 28-8 (2026)

Reserved

### Part II – Administration

#### § 28-9 Business Opportunity Office established.

Balt., Md., Code art. 5, § 28-9 (2026)

(a) There is a Minority and Women’s Business Opportunity Office in the Department of Law.

(b) The Office is administered and controlled by the Chief of the Minority and Women’s Business Opportunity Office, who reports directly to the City Solicitor.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-10 General functions and duties of Office.

Balt., Md., Code art. 5, § 28-10 (2026)

(a) The Minority and Women’s Business Opportunity Office is responsible for the administration of this subtitle.

(b) The Office’s duties include:

  (1) certification of business enterprises covered by this subtitle;

  (2) maintaining a directory of business enterprises certified under this subtitle;

  (3) providing information and needed assistance to business enterprises covered by this subtitle to increase their ability to compete effectively for the award of City contracts;

  (4) investigating alleged violations of this subtitle and, when appropriate, making written recommendations for remedial action;

  (5) developing and distributing all necessary forms, applications, and documents necessary to comply with this subtitle;

  (6) maintaining statistics on and reviewing regularly the progress of agencies towards achieving the annual goals for the utilization of minority business enterprises, women’s business enterprises, small business enterprises, and local business enterprises;

  (7) recommending to appropriate City officials methods to further the policies and goals of this subtitle;

  (8) monitoring contractors throughout the duration of their contracts to ensure that all efforts are made to comply with this subtitle; and

  (9) certifying compliance with this subtitle before contracts are submitted to the Board of Estimates for award.

*History: Ord. 00-098*

*History: Ord. 00-118*

*History: Ord. 16-595*

#### § 28-11 Rules and regulations.

Balt., Md., Code art. 5, § 28-11 (2026)

Subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, the Office may adopt rules and regulations to carry out this subtitle.

*History: Ord. 00-098*

*History: Ord. 16-595*

*History: Text Conformed 02/14/21*

#### § 28-12 Authority of Board of Estimates and Finance Department.

Balt., Md., Code art. 5, § 28-12 (2026)

(a) Nothing in this subtitle abrogates the authority of the Board of Estimates to award contracts under <cite data-doc="City of Baltimore, Md., Charter" data-path="VI|§11">Article VI, § 11 of the City Charter</cite>.

(b) At its discretion, the Board of Estimates may waive minor defects and errors in a bidder’s submissions under this subtitle.

(c) Nothing in this subtitle abrogates the authority of the Department of Finance to insure that competitive bidding is used and competitive prices are obtained in purchasing materials, supplies, equipment, and services to the fullest practicable extent, under Article VII, § 17, of <cite data-doc="City of Baltimore, Md., Charter">the City Charter</cite>.

*History: Ord. 00-098*

*History: Ord. 16-595*

## Chapter 2 – MBE/WBE Subcontracting Requirements

### Part I – Definitions; Short Title

#### § 28-13 Definitions.

Balt., Md., Code art. 5, § 28-13 (2026)

(a) In this chapter, the following terms have the meanings indicated unless the context clearly requires a different meaning.

(b) “African American” means a U.S. citizen or lawfully admitted permanent resident who originates from any of the black racial groups of Africa.

(c) “Asian American” means a U.S. citizen or lawfully admitted permanent resident who originates from the Far East, Southeast Asia, the Indian subcontinent, or the Pacific Islands.

(d) “Certified business enterprise” means a minority or women’s business enterprise that has been certified by the Minority and Women’s Business Opportunity Office as meeting the criteria for certification under this chapter.

(e)

  (1) “Control”, for purposes of determining whether a business is a minority business enterprise or women’s business enterprise, means that the minority-group member owners or women owners:

    (i) possess and exercise the legal authority and power to manage business assets, goodwill, and daily operations of the business; and

    (ii) actively and continuously exercise this managerial authority and power in determining the policies and directing the operations of the business.

  (2) If owners who are not minority-group members or women are responsible for the operation of the business out of proportion to their ownership interest, then the business is not controlled by minority-group members or women.

(f) “Hispanic American” means a U.S. citizen or lawfully admitted permanent resident of Mexican, Puerto Rican, Cuban, Central American, South American, or other Spanish or Portuguese culture or origin, regardless of race.

(g) “Minority business enterprise” or “MBE” means a business enterprise:

  (1) that is owned, operated, and controlled by 1 or more minority-group members who have at least 51% ownership;

  (2) in which the minority-group members have day-to-day operational and managerial control, interest in capital, and risks and earnings commensurate with their percentage of ownership; and

  (3) that is located in the Baltimore City Market Area.

(h) “Minority-group member” means a member of a minority group, such as African American, Hispanic American, Asian American, or Native American, for which a utilization disparity has been identified.

(i) “Native American” means a U.S. citizen or lawfully admitted permanent resident who originates from any of the original peoples of North America and who maintains cultural identification through tribal affiliation or other suitable authority in the community.

(j) “Owned”, for purposes of determining whether a business is a minority business enterprise or women’s business enterprise, means that:

  (1) the minority-group member or female owner, as the context requires, possesses an ownership interest of at least 51% of the business;

  (2) this ownership is real and continuing and goes beyond the mere indicia of ownership reflected in the ownership documents; and

  (3) the minority-group member or woman owner enjoys the customary incidents of ownership and shares in the risks and profits commensurate with his or her ownership interests, as demonstrated by an examination of the substance, rather than the form of ownership arrangements.

(k) “Women’s business enterprise” or “WBE” means a business enterprise:

  (1) that is owned, operated, and controlled by 1 or more women who have 51% ownership;

  (2) in which the women have day-to-day operational and managerial control, interest in capital, and risk and earnings commensurate with their percentage of ownership; and

  (3) that is located in the Baltimore City Market Area.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 16-595*

*History: Ord. 17-068*

#### § 28-14 Short title.

Balt., Md., Code art. 5, § 28-14 (2026)

This chapter may be cited as the “Minority and Women’s Business Program”.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-15

Balt., Md., Code art. 5, § 28-15 (2026)

Reserved

### Part II – Annual Participation Goals

#### § 28-16 Establishment.

Balt., Md., Code art. 5, § 28-16 (2026)

Annually, the Board of Estimates, with the advice of the Minority and Women’s Business Opportunity Office, must review and establish the participation goals for Minority Business Enterprises and for Women’s Business Enterprises.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-17 Purpose.

Balt., Md., Code art. 5, § 28-17 (2026)

(a) The purpose of the annual goals is to aid the City in its annual evaluation of the Program’s effectiveness.

(b) Annual participation goals are not and may not be quotas.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### §§ 28-18 to 28-20

Balt., Md., Code art. 5, § 28-18 to 28-20 (2026)

Reserved

### Part III – Contract Participation Goals

#### § 28-21 Establishment.

Balt., Md., Code art. 5, § 28-21 (2026)

The Minority and Women’s Business Opportunity Office must establish appropriate MBE and WBE participation goals on each specific contract, as provided in this Part III.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-22 Considerations.

Balt., Md., Code art. 5, § 28-22 (2026)

(a) In setting the goals on a contract, the Office must consider:

  (1) the availability in various industry classifications and professions of MBEs and WBEs that are qualified and willing to provide goods, expertise, and services on the particular contract;

  (2) the level of utilization of these firms in past contracts awarded by the City;

  (3) the contract specifications;

  (4) the adverse impact on non-MBEs and -WBEs; and

  (5) any other relevant factors.

(b)

(c) On construction contracts for which the estimated cost is $1,000,000 or more, the Office may, in consultation with the contracting agency, set goals for MBEs divided into subgoals for African American-, Hispanic American-, Asian American-, or Native American-owned firms.

(d) On architectural or engineering contracts, the Office may, in consultation with the contracting agency, set goals for MBEs divided into subgoals for African American-, Hispanic American-, Asian American-, or Native American-owned firms.

(e) In establishing goals on each contract, the Office must consult with the contracting agency, the City Purchasing Agent, or both.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-23 Publication.

Balt., Md., Code art. 5, § 28-23 (2026)

The contract goals must be clearly published as part of the contract specifications in the invitation to bid or request for proposals.

*History: Ord. 00-098*

#### § 28-24 Applicability to alternates, modifications, etc.

Balt., Md., Code art. 5, § 28-24 (2026)

The contract goals apply to the initial contract amounts, to any alternates, and to all subsequent amendments, supplements, extra work orders, change orders, or other modifications that, whether individually or in the aggregate, increase the dollar value of the contract by more than 10%.

*History: Ord. 00-098*

#### § 28-25 Office review and report.

Balt., Md., Code art. 5, § 28-25 (2026)

(a) Annually, the Office must review MBE and WBE participation on all contracts and procurement to evaluate the effect of the Program and the City’s progress towards meeting the annual goals.

(b) The Office must report its findings to the Board of Estimates.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### §§ 28-26 to 28-30

Balt., Md., Code art. 5, § 28-26 to 28-30 (2026)

Reserved

### Part IV – Counting MBE and WBE Participation

#### § 28-31 In general.

Balt., Md., Code art. 5, § 28-31 (2026)

(a) MBE and WBE participation toward meeting contract goals must be counted in accordance with this Part IV.

(b) A business that is certified both as an MBE and a WBE may be counted towards either the MBE or the WBE contract goal, but not towards both.  The participation of the certified firm cannot be split between the MBE goal and the WBE goal.

(c) Participation of an MBE or WBE subcontractor cannot be counted towards the goal until the amount being counted has been paid to the MBE or WBE.

(d)

  (1) Subject to limitation in paragraph (2) of this subsection, a certified MBE or WBE that has been awarded a contract as a prime contractor may count up to 50% of the dollar value of the work it intends to perform with its own forces towards the applicable MBE or WBE goal.

  (2) The amount of the credit may not exceed the MBE’s or WBE’s available work capacity calculated in accordance with the contractor prequalification rules established by the Board of Estimates.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 14-265*

*History: Ord. 16-595*

#### § 28-32 Commercially useful function.

Balt., Md., Code art. 5, § 28-32 (2026)

(a) In this section, “commercially useful function” means the performance by a business enterprise of real and distinct work for which the business enterprise has the skill, expertise, and actual responsibility to perform, manage, and supervise.

(b) The bidder may count toward the contract goals only expenditures to certified business enterprises that perform commercially useful functions in the execution of the contract.

(c)

  (1) To determine whether a certified business enterprise is performing a commercially useful function, the City must evaluate:

    (i) the amount of work subcontracted;

    (ii) industry practices;

    (iii) whether the amount the firm is to be paid under the contract is commensurate with the work it is actually performing and with the MBE or WBE credit claimed for its performance of the work; and

    (iv) other relevant factors.

  (2) With respect to materials and supplies used on the contract, the MBE or WBE is responsible for negotiating price, determining quality and quantity, ordering the material, installing (where applicable), and paying for the material itself.

  (3) When an MBE or WBE is presumed not to be performing a commercially useful function, the MBE or WBE may present evidence to rebut this presumption.  The MBE or WBE must provide written documentation to the Chief, whose decision is final.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-33 Joint ventures.

Balt., Md., Code art. 5, § 28-33 (2026)

(a) A bidder may count toward the contract goal the portion of its expenditure to a joint venture that is equal to the percentage of a certified business enterprise’s participation in the joint venture.

(b) The MBE or WBE member of the joint venture must have an interest in the control, management, risks, and operation of the joint venture commensurate with the member’s percentage of ownership.

(c) The certified business enterprise that is a member of the joint venture must be responsible for a distinct, clearly defined portion of the work to be performed with its own forces, equal to its share in the ownership, control, and management of the joint venture.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-34 Subcontracting by MBE or WBE.

Balt., Md., Code art. 5, § 28-34 (2026)

(a) A bidder may not count toward its contract goal any agreements with certified business enterprise subcontractors who intend to subcontract more than 10% of the dollar amount of the services to be performed under the agreement between the bidder and the certified business enterprise.

(b) This section does not apply to a subcontractor’s contracts for the purchase of materials, equipment, or supplies as an incident to the performance of services under its contract.

*History: Ord. 00-098*

#### § 28-35 One subcontractor, one goal.

Balt., Md., Code art. 5, § 28-35 (2026)

A business enterprise that is certified as both an MBE and a WBE may not be counted toward both MBE and WBE goals for the same project.  The bidder must select the goal for which the business enterprise is to be counted toward.

*History: Ord. 07-606*

#### § 28-36 Manufacturers.

Balt., Md., Code art. 5, § 28-36 (2026)

A bidder may count towards the contract goal its entire expenditure to a certified business enterprise manufacturer.

*History: Ord. 00-098*

#### § 28-37 Suppliers.

Balt., Md., Code art. 5, § 28-37 (2026)

(a) If a bidder uses 1 or more suppliers to satisfy a contract goal, in whole or in part, the certified business enterprise supplier participation may be credited towards the applicable goal, as provided in this section.

(b) A bidder may count 100% of its expenditure to a certified business enterprise supplier who manufactures the goods supplied.

(c)

  (1) A bidder may count 100% of its expenditure to a certified business enterprise supplier who is:

    (i) a wholesaler warehousing the goods supplied; or

    (ii) a manufacturer’s representative,

  (2) However, only 25% of the applicable contract goal may be attained by expenditures to certified business enterprises that are non-manufacturing suppliers.

(d) For contracts where an extraordinarily large proportion of the contract price is for equipment or supplies:

  (1) a lower project goal may be set than otherwise would be required;

  (2) the 25% limit for suppliers may be increased; or

  (3) a combination of these two methods may be used.

*History: Ord. 00-098*

#### § 28-38 Insurance companies; travel agents.

Balt., Md., Code art. 5, § 28-38 (2026)

A bidder may count towards the contract goals the fees or commissions charged by a certified business enterprise insurance company or travel agent, as long as the fee or commission is reasonable and not excessive as compared with fees or commissions customarily allowed for similar services.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-39 Financial institutions.

Balt., Md., Code art. 5, § 28-39 (2026)

A bidder may count towards the contract goals only the fees charged and earned by a certified business enterprise financial institution.

*History: Ord. 00-098*

#### § 28-40

Balt., Md., Code art. 5, § 28-40 (2026)

Reserved

#### § 28-41 Non-affiliation.

Balt., Md., Code art. 5, § 28-41 (2026)

(a) A bidder is precluded from using a certified business enterprise to meet a contract goal if the bidder has a financial interest in, has an interest in the ownership or control of, or is significantly involved in the operation of the certified business enterprise.

(b) In order for a non-certified bidder to use a certified business enterprise to meet a contract goal, the non-affiliation criteria established by the Minority and Women’s Business Opportunity Office must be met.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### §§ 28-42 to 28-45

Balt., Md., Code art. 5, § 28-42 to 28-45 (2026)

Reserved

### Part V – Utilization Requirements

#### § 28-46 Contracts between $1,000 - $4,999.

Balt., Md., Code art. 5, § 28-46 (2026)

(a) The following standards and procedures apply to every contract for which the estimated cost is $1,000 or more and less than $5,000.

(b) The Office must provide the contracting agency with a list of certified business enterprises qualified to provide each of the materials, equipment, supplies, or services that the contracting agency indicates are required by the City.

(c) The contracting agency must solicit bids from certified business enterprises that are certified to supply the required materials, equipment, supplies, or services.

(d) If no qualified certified business enterprise is available:

  (1) the contracting agency must so notify the Office before the solicitation of bids; and

  (2) the Office must attempt to identify qualified businesses and, if successful, notify the contracting agency of their availability.

(e) The contracting agency must provide certified business enterprises every practical opportunity to submit bids.

*History: Ord. 00-098*

#### § 28-47 Contracts between $5,000 - $49,999.

Balt., Md., Code art. 5, § 28-47 (2026)

(a) The following standards and procedures apply to every contract for which the estimated cost is $5,000 or more and less than $50,000.

(b) Before the solicitation of bids, the contracting agency must furnish the Office with an informational copy of all bid conditions and requests for proposals.

(c) The Office may recommend to the contracting agency certified business enterprises that can be solicited directly to submit bids.

*History: Ord. 00-098*

*History: Ord. 11-557*

#### § 28-48 Contracts of $50,000 or more.

Balt., Md., Code art. 5, § 28-48 (2026)

(a) The following standards and procedures apply to every contract for which the estimated cost is $50,000 or more.

(b)

  (1) In addition to any other applicable requirements, the bid conditions and requests for proposals must require each bidder to include in its bid a certified business enterprise participation affidavit in which the bidder commits to utilize certified business enterprises in a percentage that equals or exceeds the applicable contract goals.

  (2) Any bid that does not include the certified business participation affidavit is non-responsive.

(c)

  (1) Prior to bid opening, bidders must submit to the City the certified business enterprise participation statement, including executed statements of intent, that specify:

    (i) the name of each certified business enterprise to whom the bidder intends to award a subcontract;

    (ii) whether that subcontractor is:

      (A) a minority business enterprise; or

      (B) a women’s business enterprise.

    (iii) the dollar value of each subcontract;

    (iv) the scope of the work to be performed under that subcontract; and

    (v) any other information the Office requires to determine whether the contract goals have been satisfied.

(d) Each bidder is responsible for verifying that all MBEs and WBEs to be used have been certified by the Office before bid opening.

(e) During the term of the contract, any unjustified failure to comply with the levels of certified business enterprise participation identified in the bid is a material breach of contract.

(f)

  (1) Before final payment may be made under the contract, the contractor must submit a list of all subcontractors utilized on the contract, both MBE/WBE and non-MBE/WBE.

  (2) The list must include, as to each subcontractor:

    (i) its name;

    (ii) the service or goods provided;

    (iii) the total amount paid to it; and

    (iv) its owner’s race/ethnicity and sex.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 11-557*

#### § 28-49 Leases and concessions.

Balt., Md., Code art. 5, § 28-49 (2026)

(a) The following standards and procedures apply to:

  (1) every lease in which the City is the lessee; and

  (2) every contract for a concession.

(b) City agencies must solicit bids from certified business enterprises that are certified to enter into leases or concession contracts.

(c) If, after investigation, a contracting agency determines that no qualified certified business enterprise is available:

  (1) the contracting agency must so notify the Office before signing a lease or awarding a concession contract, unless the Office has waived notification based on the known unavailability of qualified certified businesses to perform a particular contract; and

  (2) the Office may attempt to identify qualified certified business enterprises and, if successful, must notify the contracting agency of their availability.

(d) The contracting agency must provide the minority and women’s business enterprises every practical opportunity to submit bids.

(e)

  (1) All requests for concession bids must require concessionaires to make every good faith effort to utilize minority and women’s business enterprises as subcontractors and suppliers, whenever possible, if subcontractors are used.

  (2) Concession bidders must be required to submit their projected utilization of minority and women’s business enterprises along with a description of the efforts made to utilize those businesses.

*History: Ord. 00-098*

#### § 28-50 Other services.

Balt., Md., Code art. 5, § 28-50 (2026)

(a) All City agencies, commissions, and boards, in the deposit of funds and performance of their other official duties, must make every good faith effort to equitably utilize the services of minority and women’s business enterprises.

(b) The services to which this section applies include, but are not limited to:

  (1) the financial services of banks, savings and loan companies, insurance companies, and other commercial financial institutions;

  (2) arrangements for travel and accommodations when traveling on official City business; and

  (3) legal services.

(c)

  (1) All City agencies must submit to the Office, on an annual basis, a written report on the efforts made under this subsection.

  (2) The City Finance Department, City Comptroller, and Retirement Boards must report annually to the Mayor and City Council on their utilization of financial institutions that are minority or women’s business enterprises.

*History: Ord. 00-098*

#### § 28-51 Emergencies.

Balt., Md., Code art. 5, § 28-51 (2026)

(a) In the event that competitive bids are not obtained due to an emergency in accordance with <cite data-doc="City of Baltimore, Md., Charter" data-path="VI|§11|(e)">Article VI, § 11(e) of the Baltimore City Charter</cite>, the contracting agency must meet the requirements set forth in subsection (b) of this section that will serve as its utilization requirements.

(b) If an emergency procurement under <cite data-doc="City of Baltimore, Md., Charter" data-path="VI|§11|(e)">Article VI, § 11(e) of the Baltimore City Charter</cite> is necessary, a contracting agency shall:

  (1) contact the Office for assistance in finding MBE and WBE contractors or subcontractors that can provide the goods or services needed;

  (2) provide contractors with a list of possible subcontractors that contains at least 2 MBE or WBEs, if applicable; and

  (3) to the extent possible, receive at least 1 quote from an MBE and 1 quote from a WBE that can provide the goods or services needed.

(c) The Office shall provide all necessary assistance to an agency in making good faith efforts to comply with this chapter for the emergency procurement.

(d)

  (1) As soon as possible after the execution of any emergency procurement under <cite data-doc="City of Baltimore, Md., Charter" data-path="VI|§11|(e)">Article VI, § 11(e) of the Baltimore City Charter</cite> was necessary, but no later than 45 days after the contract execution, the agency shall submit a report to the Board of Estimates and the Office stating:

    (i) the name and address of the selected contractor;

    (ii) whether the contractor is a City-certified MBE or WBE;

    (iii) an overview of the nature of the emergency and why an emergency procurement was necessary;

    (iv) a reasonable estimation of the threat or loss that may have occurred had an emergency procurement not been taken;

    (v) a summary of the contractor’s qualifications, experience, and background to provide the emergency goods or services and the basis on how the contractor was selected over other qualified and responsive potential contractors;

    (vi) if applicable, a description of the scope of work, including the costs, fees, or rates for the purchase;

    (vii) if applicable, a description of the work performed by the contractor to mitigate or eliminate the emergency;

    (viii) if applicable, a justification regarding why an additional procurement was necessary when an existing City contract might have provided the goods or services necessary; and

    (ix) a list of all potential vendors contacted, including the MBE and WBE contacted under subsection (b)(2) of this section.

  (2) The report required by this subsection shall be posted to the Office’s website on its receipt.

*History: Ord. 21-015*

#### § 28-52 All contracts – In general.

Balt., Md., Code art. 5, § 28-52 (2026)

In addition to any other applicable requirements, the following requirements apply to all contracts awarded by the City.

*History: Ord. 00-098*

#### § 28-53 All contracts – Bid specifications.

Balt., Md., Code art. 5, § 28-53 (2026)

Bid conditions, requests for proposals, and all other specifications for contracts awarded by the City must require that, where a contract goal is applicable, the bidder must:

(1) make good faith efforts before the opening of bids or submission of proposals to meet the contract goal; and

(2) keep records of its good faith efforts, adequate to permit a determination of compliance with this chapter.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 16-595*

#### § 28-54 All contracts – Contract specifications.

Balt., Md., Code art. 5, § 28-54 (2026)

Each contract must:

(1) incorporate this chapter by reference;

(2) provide that the failure of any bidder, contractor, or subcontractor to comply with this chapter is a material breach of contract; and

(3) require that, during its term, the contractor will:

  (i) fulfill Program commitments submitted with the bids;

  (ii) continue to make good faith efforts to utilize minority and women’s business enterprises; and

  (iii) maintain records reasonably necessary for monitoring compliance with this chapter.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 16-595*

#### § 28-55 All contracts – Payments to subcontractors.

Balt., Md., Code art. 5, § 28-55 (2026)

(a) A contractor must pay its subcontractors in a timely fashion for satisfactory work.

(b) A payment is timely if it is mailed, delivered, or transferred to a subcontractor no later than 7 calendar days after the contractor receives payment from the City.

(c) Beginning with the second pay request from a contractor to the City, the contractor must provide the City with evidence that all subcontractors have been paid out of the proceeds of the prior payment, unless a bona fide dispute, documented in writing, exists between the contractor and the unpaid subcontractor.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-56 All contracts – Reports and documentation.

Balt., Md., Code art. 5, § 28-56 (2026)

As a condition of each contract, the awardee of the contract must submit the following when requested by the Office:

(1) copies of signed agreements with the business enterprises being utilized to achieve the contract goals;

(2) reports and documentation verifying payments to the business enterprises being used to achieve the contract goals; and

(3) reports and documentation on the extent to which the contractor has awarded subcontracts to minority and women’s business enterprises under contracts not affected by this chapter.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### §§ 28-57 to 28-60

Balt., Md., Code art. 5, § 28-57 to 28-60 (2026)

Reserved

### Part VI – Waivers

#### § 28-61 Agency’s pre-solicitation request.

Balt., Md., Code art. 5, § 28-61 (2026)

(a) A contracting agency may request that the Office waive or reduce the contract goals by submitting the reasons for the request in writing before bids are solicited.

(b) The Office may grant the waiver or reduction if the Office determines that:

  (1) the reasonable and necessary requirements of the contract render subcontracting or other participation of businesses other than the bidder infeasible; or

  (2) at least 2 qualified certified business enterprises capable of providing the goods or services required by the contract are unavailable in the Baltimore City Market Area despite every feasible attempt to locate them.

(c) Any reduction granted by the Office must specify the amount to which the goal has been reduced.

(d)

  (1) Whenever the Office denies a request to waive or reduce a goal, the contracting agency may appeal that denial to the Board of Estimates.

  (2) The Board’s decision on the request is final.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-62 Bidder’s pre-award request.

Balt., Md., Code art. 5, § 28-62 (2026)

(a) If a bidder is unable to comply with the contract goals, the bidder may submit a request for a waiver at the time of bid opening.

(b) The request for a waiver must include documentation that demonstrates the bidder’s good faith efforts to meet the goals.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-63 Contractor’s post-award request.

Balt., Md., Code art. 5, § 28-63 (2026)

(a)

  (1) If, after award of a contract, the contractor is unable to meet any contract goal by utilizing the certified business enterprises specified at bid opening, the contractor must seek a substitute certified business enterprise to fulfill its commitment.

  (2) The Office may approve the substitution only after consulting with the Mayor’s Office of Minority and Women’s Business Development.

(b)

  (1) If, after reasonable good faith efforts, the contractor is unable to find a substitute, the contractor must request a post-award waiver.

  (2) A contractor may not substitute an MBE or WBE subcontractor or perform the work designated for an MBE or WBE subcontractor with its own forces unless the Chief, after consulting with the contracting agency, approves the substitution in writing.

(c)

  (1) The request must be in writing and document the reasons for the contractor’s inability to meet the contract goal.

  (2) The contractor must negotiate with the MBE or WBE subcontractor to resolve the problem.

  (3) The Chief’s final decision to permit or deny a proposed substitution, and the basis of any denial, shall be communicated to the parties in writing by the Chief.

  (4) Where the contractor has established the basis for a substitution to the satisfaction of the Chief, the contractor must make good faith efforts to achieve the goals.  The contractor may seek the assistance of the Office in obtaining a new MBE or WBE.  If the contract goals cannot be reached and good faith efforts have been made, the contractor may substitute with a non-certified business.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 14-265*

#### § 28-64 Waiver by agency.

Balt., Md., Code art. 5, § 28-64 (2026)

(a) A contracting agency may waive the utilization requirements for a specific contract as provided in this section.

(b) The agency may waive the utilization requirements if, with the advice of the Office, it finds that:

  (1) needed goods or services are available only from a sole source; and

  (2) the prospective contractor is not currently disqualified from doing business with the City.

(c) The agency may waive the utilization requirements if it certifies in writing to the Office that:

  (1) an emergency exists that requires goods or services to be provided with such an immediacy that the agency is unable to comply with this chapter; and

  (2) the prospective contractor will make every good faith effort to subcontract to minority and women’s business enterprises if subcontracting is utilized.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-65

Balt., Md., Code art. 5, § 28-65 (2026)

Reserved

### Part VII – Agency’s Duties

#### § 28-66 In general.

Balt., Md., Code art. 5, § 28-66 (2026)

Each contracting agency must take the following actions to ensure that MBEs and WBEs have maximum opportunity to participate on City contracts.

*History: Ord. 00-098*

#### § 28-67 Adherence to bid procedures, etc.

Balt., Md., Code art. 5, § 28-67 (2026)

Every contracting agency must ensure that invitations to bid or requests for proposals emanating from the agency comply with this chapter.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-68 Responsibility for achieving goals.

Balt., Md., Code art. 5, § 28-68 (2026)

Each agency head or designee must:

(1) assume primary responsibility for achieving the goals of the Program; and

(2) on a continuing basis, review all aspects of the Program’s operations to assure that the purpose is being attained.

*History: Ord. 00-098*

#### § 28-69 Advertisements, notices, etc.

Balt., Md., Code art. 5, § 28-69 (2026)

(a) Advertisements for bids must appear in minority-owned media no less than 10 days before bids are due for specific contracting opportunities.

(b) A written notification of contracting opportunities must be sent to minority and women’s business trade associations and contractor’s associations no less than 10 days before bids are due.

(c) All contract solicitations must include the MBE/WBE policy and any related materials required by the bid documents.

*History: Ord. 00-098*

#### § 28-70 Contract division.

Balt., Md., Code art. 5, § 28-70 (2026)

All contracting opportunities must be evaluated in an effort to divide the total requirements of a contract to provide reasonable opportunities for participation by minority and women’s business enterprises.

*History: Ord. 00-098*

#### § 28-71 Payment procedures.

Balt., Md., Code art. 5, § 28-71 (2026)

Each contracting agency must establish procedures to ensure that:

(1) all contractors who submit correct invoices are paid within 30 days; and

(2) all subcontractors are paid within 7 days after the City pays the general contractor.

*History: Ord. 00-098*

#### § 28-72 Conditioning notice to proceed.

Balt., Md., Code art. 5, § 28-72 (2026)

Each contracting agency must establish guidelines to ensure that a notice to proceed is not issued until the contracting agency has received copies of all documents needed to evidence the contractor’s fulfillment of its commitments under this chapter.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-73 Documentation.

Balt., Md., Code art. 5, § 28-73 (2026)

Each contracting agency must submit to the Office all statistics and documentation that the Office requests.

*History: Ord. 00-098*

#### §§ 28-74 to 28-75

Balt., Md., Code art. 5, § 28-74 to 28-75 (2026)

Reserved

### Part VIII – Certification

#### § 28-76 Required before bid opening.

Balt., Md., Code art. 5, § 28-76 (2026)

(a) For the purposes of determining compliance with contract goals, a business enterprise may be counted as an MBE or WBE only if it has been so certified by the Office before bid opening.

(b) If a business listed in a bidder’s Information and Utilization Commitment Form has not been certified, the amount of participation will be deducted from the total MBE or WBE utilization in determining whether the bidder is responsive.

*History: Ord. 00-098*

#### § 28-77

Balt., Md., Code art. 5, § 28-77 (2026)

Reserved

#### § 28-78 MBEs and WBEs – General criteria.

Balt., Md., Code art. 5, § 28-78 (2026)

(a) To be eligible for certification as a minority business enterprise or women’s business enterprise, the business enterprise must:

  (1) be an independent, operating business;

  (2) be at least 51% minority- or women-owned;

  (3) before applying for certification, have been in operation for at least 12 months before applying for certification;

  (4) have been minority- or women-owned for at least 12 months before applying for certification; and

  (5) have an operating office in the Baltimore City Market Area.

(b) To determine whether the business enterprise has the required operating office, the Office will consider the office arrangements, industry practices, and other relevant factors.

*History: Ord. 00-098*

*History: Ord. 07-606*

*History: Ord. 08-063*

#### § 28-79 MBEs and WBEs – Control.

Balt., Md., Code art. 5, § 28-79 (2026)

(a)

  (1) The ownership and control by minorities or women must be:

    (i) real and substantial; and

    (ii) indicated by the customary incidents of ownership, as demonstrated by an examination of the substance rather than the form of ownership and operating arrangements.

  (2) The minority or women owners must possess the power:

    (i) to direct or cause the direction of the management and policies of the business enterprise; and

    (ii) to make day-to-day decisions, as well as decisions on matters of management, policy, and operations.

(b)

  (1) The business enterprise may not be subject to any formal or informal restrictions that limit the customary discretion of the minority or women owners.

  (2) There may not be any restriction, whether by partnership agreement, charter requirements, or other arrangement, that prevents the minority or women owners from making business decisions without the cooperation or vote of any owner who is not a minority or a woman.

(c) The operating arrangements and the ownership and control by the minority-group members must have been in operation for at least 12 months before applying for certification.

*History: Ord. 00-098*

#### § 28-80 MBEs and WBEs – Size standards.

Balt., Md., Code art. 5, § 28-80 (2026)

(a)

  (1) With the advice of the Office, the Board of Estimates may establish maximum size standards for minority and women’s business enterprises.

  (2) There may be separate size standards for separate business categories.

  (3) The Board of Estimates must annually review any size standards established under this section.

(b) A business enterprise may not be certified as an MBE or WBE or, once certified, have its certification renewed if, on the effective date of the application or renewal, the MBE or WBE no longer meets size standards established under subsection (a) of this section.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### § 28-81 Certification investigations.

Balt., Md., Code art. 5, § 28-81 (2026)

(a) The Office may investigate a business enterprise’s ownership, management, qualifications, and other relevant matters beyond formal documentation:

  (1) at the initial certification; and

  (2) during certification or recertification.

(b) To the extent reasonably necessary to ensure compliance, these investigations may include, but are not limited to:

  (1) personal interviews with persons having knowledge or relevant information relating to a business enterprise’s eligibility, certification, or decertification;

  (2) personal interviews with bidders, contractors, vendors, or suppliers involved in a joint venture or contractual relationship with the business enterprise;

  (3) reviewing records pertaining to certification; and

  (4) conducting random, on-site visits, audits, or relevant inquiries.

*History: Ord. 00-098*

#### § 28-82 Decertification.

Balt., Md., Code art. 5, § 28-82 (2026)

The Office may decertify a business that it determines no longer meets the certification criteria.

*History: Ord. 00-098*

#### § 28-83 Certification appeals.

Balt., Md., Code art. 5, § 28-83 (2026)

(a) All adverse certification determinations by the Office must:

  (1) be in writing;

  (2) include the reasons for the determination; and

  (3) be sent to the affected business enterprise.

(b)

  (1) An aggrieved party has a right to protest an adverse certification determination and seek administrative review.

  (2) To obtain administrative review, the aggrieved party must submit a written protest to the Chief within 7 days of receipt of the adverse determination.

  (3) The protest must specify the reasons and factual grounds of the protest and be accompanied by any supporting documents.

(c) Within 25 days of receipt of the protest, the Chief must:

  (1) review the protest and all relevant supporting documents; and

  (2) render a written decision that includes the reasons for the decision.

(d)

  (1) After all departmental remedies have been exhausted, the aggrieved applicant may request a hearing before a panel of independent hearing officers, with 1 member of the panel being appointed by the President of the City Council and the other members of the panel being appointed by the City Solicitor.

  (2) The hearing officer must be knowledgeable of Baltimore City procurement laws and procedures, including this subtitle.

*History: Ord. 00-098*

*History: Ord. 07-606*

#### §§ 28-84 to 28-85

Balt., Md., Code art. 5, § 28-84 to 28-85 (2026)

Reserved

### Part IX – Enforcement

#### § 28-86 Office to monitor compliance.

Balt., Md., Code art. 5, § 28-86 (2026)

During the term of a contract subject to this chapter, the Office must monitor continued compliance with this chapter.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-87 Noncompliance – Contractor or subcontractor.

Balt., Md., Code art. 5, § 28-87 (2026)

(a) If the Office finds cause to believe that a contractor or subcontractor has failed to comply with any requirement of this chapter or with any contract provision relating to utilization under this chapter, the Office must:

  (1) so notify the contracting agency and the contractor; and

  (2) attempt to resolve the noncompliance through conciliation.

(b)

  (1) If the noncompliance cannot be resolved, the Office and the contracting agency must submit written findings and recommendations to the Board of Estimates.

  (2) The Board of Estimates may impose sanctions in accordance with Chapter 4 of this subtitle.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-88 Noncompliance – Agency.

Balt., Md., Code art. 5, § 28-88 (2026)

(a) If, after investigation, the Office finds that a contracting agency has failed to comply with a provision of this chapter, the Office must:

  (1) send the agency a written finding that specifies the nature of the noncompliance; and

  (2) attempt to resolve the noncompliance through conference and conciliation.

(b)

  (1) If the noncompliance cannot be resolved, the Office must submit its written findings and recommendations to the Board of Estimates.

  (2) the Board of Estimates may take appropriate action to secure compliance.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-89 Office may require reports, etc.

Balt., Md., Code art. 5, § 28-89 (2026)

The Office may require contractors, bidders, contracting agencies, and the head of any City agency to submit any reports, documents, or other information reasonably necessary to determine compliance with this chapter.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### § 28-90 Agencies to keep records.

Balt., Md., Code art. 5, § 28-90 (2026)

(a) A contracting agency must keep accurate records for each contract it awards.

(b) These records must include:

  (1) dollar value of contract;

  (2) nature of goods or services to be provided;

  (3) name of contractor;

  (4) efforts employed to solicit bids from certified minority and women’s business enterprises; and

  (5) all subcontracts awarded by the contractor, identifying for each:

    (i) dollar value;

    (ii) nature of goods or services provided;

    (iii) name of subcontractor; and

    (iv) race/ethnicity and sex of subcontractor’s owner.

*History: Ord. 00-098*

#### § 28-91 Annual report.

Balt., Md., Code art. 5, § 28-91 (2026)

(a) The Office must submit an annual report to the Mayor and the City Council on the City’s progress toward the utilization goals established under this chapter.

(b) The report must include:

  (1) any problems; and

  (2) specific recommendations for improving the City’s performance.

*History: Ord. 00-098*

*History: Ord. 16-595*

#### §§ 28-92 to 28-95

Balt., Md., Code art. 5, § 28-92 to 28-95 (2026)

Reserved

## Chapter 3 – Small Local Business Enterprise Procurement Requirements

### Part I – Definitions; General Provisions

#### § 28-96 Definitions.

Balt., Md., Code art. 5, § 28-96 (2026)

(a) In this chapter, the following terms have the meanings indicated unless the context clearly requires a different meaning.

(b) “Affirmative procurement initiative” means a procurement tool authorized by Part IV of this chapter to be used to enhance contracting opportunities for small local business enterprise firms, including bonding and insurance waivers, bid incentives, price preferences, sheltered market, mandatory subcontracting, competitive business development demonstration projects, and SLBE evaluation preference points in the scoring of proposal evaluations.

(c)

  (1) “Commercially useful function” means the performance by a business enterprise of real and distinct work for which the business enterprise has the skill, expertise, and actual responsibility to perform, manage, and supervise, as determined by an evaluation of:

    (i) the amount of work subcontracted;

    (ii) normal industry practices;

    (iii) whether the amount the firm is to be paid under the contract is commensurate with both the work it is actually performing and the SLBE credit claimed for its performance of the work; and

    (iv) other relevant factors.

  (2) A firm does not perform a commercially useful function if its role is limited to that of an extra participant in a transaction, contract, or project through which funds are passed in order to obtain the appearance of meaningful and useful SLBE participation, when in similar transactions in which SLBE firms do not participate, there is no such role performed.

(d) “Emerging SLBE” means a firm that meets the eligibility requirements specified in <cite data-path="|5|§28-107|(a)">§ 28-107(a) {“Certification as Emerging SLBE: Eligibility”} of this chapter</cite>.

(e) “Goal-setting committee” or “GSC” means a committee appointed by the Chief in accordance with this chapter to assist in the administration of the SLBE Program.

(f) “Independently owned and operated” means a firm:

  (1) that is independent and directly owned by individuals only; and

  (2) whose day-to-day management is direct and independent of the influence of any other business that cannot itself qualify under the SLBE eligibility requirements.

(g) “Principal place of business” means a location where a firm maintains a headquarters or physical office within the geographic boundaries of the City limits and through which it coordinates and obtains no less than 50% of its overall sales dollars.

(h)

  (1) “Professional services” means any non-construction, non-architectural, or non-engineering services that require highly specialized training or licensed credentials to perform, such as legal, accounting, scientific, technical, insurance, investment management, medical, or real estate services.

  (2) The term “professional services” as used in this chapter is not intended to be restricted to those professional services that are exempted from formal advertising requirements pursuant to Article VI, § 11, of <cite data-doc="City of Baltimore, Md., Charter">the City Charter</cite> or competitive bidding requirements pursuant to Article VII, § 17, of <cite data-doc="City of Baltimore, Md., Charter">the City Charter</cite>.

(i) “Services” means non-construction, non-architectural, and non-engineering services that are not professional services and do not require any license or highly specialized training or credentials to perform.

(j) “Sheltered market” means an affirmative procurement initiative designed to set aside a City contract offering for bidding exclusively among certified SLBE firms or certified Emerging SLBE firms.

(k) “Small local business enterprise” or “SLBE” means a firm that meets the eligibility requirements specified in <cite data-path="|5|§28-105|(a)">§ 28-105(a) {“ Eligibility for SLBE Program: General eligibility requirements”} of this chapter</cite>.

*History: Ord. 16-595*

*History: Ord. 17-068*

#### § 28-97 Purpose; Scope.

Balt., Md., Code art. 5, § 28-97 (2026)

(a)

  (1) The purpose of this chapter is to establish a race- and gender-neutral remedy for ongoing effects of past discrimination in the marketplace by providing a variety of procurement tools for the City that will ensure that all segments of its local business community have a reasonable and significant opportunity to participate in City contracts for construction, architectural, and engineering services, professional services, services, and materials, supplies, and equipment.

  (2) The SLBE Program also furthers the City’s public interest to foster effective broad-based competition from all segments of the vendor community, including minority business enterprises, small business enterprises, and local business enterprises.  This policy is, in part, intended to further the City’s compelling interests in both ensuring that it is neither an active nor passive participant in private sector marketplace discrimination, and in promoting equal opportunity for all segments of the contracting community to participate in City contracts.

  (3) The SLBE Program also provides additional avenues for the development of new capacity and new sources of competition for City contracts from the growing pool of small and locally based businesses.  This capacity building will increase the quality of bidding on City contracts and lower prices for City contracts over the long term.

(b) This SLBE Program may be applied by the City on a contract-by-contract basis to the maximum practicable extent permissible under federal and state law, as well as <cite data-doc="City of Baltimore, Md., Charter">the City Charter</cite>.

*History: Ord. 16-595*

#### § 28-98 Program objectives.

Balt., Md., Code art. 5, § 28-98 (2026)

To meet the objectives of the SLBE Program, the City is committed to:

(1) increasing the participation of SLBEs in City contracting and, to the extent possible, ameliorating through race- and gender-neutral means any disparities in the participation of minority business enterprises or women business enterprises on City contracts;

(2) regular evaluation regarding the progress of the SLBE Program, using accumulated availability and utilization data to determine specific program provisions that require modification, expansion, or curtailment; and

(3) providing accountability and accuracy in setting goals and in reporting program results through the City’s Centralized Purchasing System, in the Department of Finance, Bureau of Purchases, which maintains a centralized bidder registration process capable of identifying with specificity the universe of firms that are available and interested in bidding on, or performing on, City contracts, and of providing the means of tracking actual City bids, contract awards, and prime contract and subcontract payments to registered bidders, on the basis of certification status, and commodity or service code.

*History: Ord. 16-595*

#### § 28-99

Balt., Md., Code art. 5, § 28-99 (2026)

Reserved

### Part II – Administration

#### § 28-100 Minority and Women’s Business Office – Duties.

Balt., Md., Code art. 5, § 28-100 (2026)

The Office must:

(1) report at least annually to the Mayor and the City Council on the City’s progress towards satisfying SLBE Program objectives;

(2) formulate SLBE Program waivers, improvements, and adjustments to the GSC goal-setting methodology and other program functions;

(3) have substantive input in the contract specification review process to ensure that contract bid specifications are not unnecessarily restrictive or unduly burdensome to small, local, minority-owned, women-owned, and other businesses;

(4) receive and analyze external and internal information, including statistical data and anecdotal testimonies, it deems appropriate to effectively accomplish its duties;

(5) subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this chapter; and

(6) where appropriate, make recommendations for approval of changes to established size standards for SLBE firms.

*History: Ord. 16-595*

*History: Text Conformed 02/14/21*

#### § 28-101 Goal-setting committees – Establishment

Balt., Md., Code art. 5, § 28-101 (2026)

(a) The Chief must appoint 5 goal-setting committees to assist in the administration of the SLBE Program.

(b) A separate committee must be established with responsibility for each of the following industry categories:

  (1) architectural and engineering;

  (2) construction;

  (3) professional services;

  (4) services; and

  (5) materials, supplies, and equipment.

(c)

  (1) Each GSC is chaired by the Chief or the Chief’s designee.

  (2) The Chief determines the number of members on each GSC at the time of its establishment.

  (3) Each GSC must include representatives from the Office and from the primary contracting agencies and end-user agencies for the committee’s industry category.

  (4) The Chief must appoint the remaining members of the GSC from the City’s procurement personnel and other City departments affected by this Program.

(d) Each GSC may meet as often as necessary to accomplish its duties, but not less than twice annually.

*History: Ord. 16-595*

#### § 28-102 Goal-setting committees – Duties

Balt., Md., Code art. 5, § 28-102 (2026)

(a)

  (1) For its industry category, each GSC must:

    (i) establish SLBE participation goals; and

    (ii) select appropriate SLBE affirmative procurement initiatives to be applied to each contract, subject to § 28-97(b).

  (2) In making its decisions, the GSC must consider:

    (i) vendor availability;

    (ii) industry characteristics; and

    (iii) project-specific characteristics.

(b) Each committee may also review the regulations issued to implement this chapter and provide the Chief with general advice on administering the policy and modifying the policy objectives of the SLBE Program.

*History: Ord. 16-595*

#### § 28-103 Program performance review.

Balt., Md., Code art. 5, § 28-103 (2026)

(a) The Chief must submit an annual report to the Mayor and City Council that provides an assessment of:

  (1) the progress towards achieving the goals established for awards to certified SLBE and certified Emerging SLBE firms;

  (2) both dollars awarded and expended through the SLBE Program; and

  (3) the progress towards achieving the stated Program objectives, including:

    (i) enhancing competition;

    (ii) establishing and building new business capacity; and

    (iii) removing barriers to the utilization of available minority business enterprises, women business enterprises, and small local business enterprises on City contracts.

(b) At least once every 2 years, the City Council must conduct a public hearing to solicit public comments on the SLBE Program.

(c) The Board of Estimates, or its designee, must periodically review the SLBE Program to determine whether the various contracting procedures used to enhance SLBE contract participation need to be adjusted or used more or less aggressively in future years to achieve the goals stated in § 28-97 {“Purpose; Scope”} and <cite data-path="|5|§28-98">§ 28-98 {“Program objectives”} of this chapter</cite>.

*History: Ord. 16-595*

*History: Ord. 17-068*

#### § 28-104

Balt., Md., Code art. 5, § 28-104 (2026)

Reserved

### Part III – SLBE Program Participation Criteria

#### § 28-105 Eligibility for SLBE Program.

Balt., Md., Code art. 5, § 28-105 (2026)

(a) To be eligible for certification as an SLBE, the business enterprise must:

  (1) be an independently owned and operated business enterprise that is not a broker, that is not a subsidiary of another business, and that is not dominant in its field of operation;

  (2) have owners who are actively involved in day-to-day management and control of the business;

  (3) perform a commercially useful function;

  (4) not have employed more than 50 full-time persons at any time during the last 3 years;

  (5) have annual gross revenues, as averaged over its most recent past 3 fiscal years or, if the business has not existed for 3 years, over the course of the existence of the business, of not more than:

    (i) $5 million for construction firms, specialty trade contractors, and manufacturing firms;

    (ii) $2.5 million for architectural firms;

    (iii) $1.5 million for professional services firms;

    (iv) $1.25 million for engineering firms; or

    (v) $1 million for firms providing other services, materials, or equipment, except for manufacturing firms; and

  (6) have a principal place of business in Baltimore City;

  (7) have:

    (i) been established for at least 1 year; or

    (ii) managing principals of the business who each have at least 3 years of relevant experience prior to forming or joining the business; and

  (8) in the year preceding the date of the initial certification application, not have received more than $1,000,000 in City contract payments as a result of contract awards from the City achieved through an open competitive bidding process.

(b)

  (1) A business firm is not eligible to become a certified SLBE if it is owned by:

    (i) other businesses that cannot themselves qualify under the SLBE eligibility requirements in subsection (a) of this section; or

    (ii) the principals or owners of other businesses that cannot themselves qualify under the SLBE eligibility requirements in subsection (a) of this section.

  (2) A business firm that has graduated from the SLBE Program under § 28-109 {“Graduation[, etc.]”} is no longer eligible to participate in the SLBE Program even if it otherwise meets all other eligibility criteria.

*History: Ord. 16-595*

#### § 28-106 Certification or decertification as an SLBE.

Balt., Md., Code art. 5, § 28-106 (2026)

(a) In order to apply for certification or recertification as an SLBE, an enterprise must provide the Office with:

  (1) a completed certification or recertification application in the form required by the Office;

  (2) all supporting documentation required by the Office; and

  (3) a signed affidavit stating that it meets all of the SLBE eligibility criteria set forth in § 28-105 {“Eligibility for SLBE Program”}.

(b) Certified SLBEs must submit a completed recertification application to the Office every 2 years for review and continued certification.

(c)

  (1) After receiving an SLBE certification or recertification application, the Office must review all enclosed forms, affidavits, and documentation to make a prima facie determination as to whether the applicant satisfies the SLBE eligibility requirements as set forth in this chapter.

  (2) If, after the review required by this section, the Office finds that the applying firm satisfies the SLBE eligibility requirements as set forth in this chapter, the Office must grant the firm certified SLBE status.

(d)

  (1) If an applicant is determined to be ineligible for certification as an SLBE, the Chief must send a letter to the applicant stating the basis for the denial of eligibility.

  (2) Applicants determined to be ineligible are not eligible to submit a new application until at least 1 year after the date of the notice of denial of eligibility.

(e)

  (1) Joint ventures must be certified on a bid-by-bid basis.

  (2) A joint venture seeking certification is not itself subject to the size limitations imposed by § 28-105(a)(4) and (a)(5).

  (3) Each individual business participating in the joint venture must be a certified SLBE in order for the joint venture to receive the benefits of the SLBE Program.

(f) In the course of considering the certification or recertification status of any SLBE firm or joint venture, the Office must periodically conduct audits and inspect the office, job site, records, and documents of the firm, and interview the firm’s employees, subcontractors, and vendors as reasonably necessary to ensure that all eligibility standards are satisfied and that the integrity of the SLBE Program is maintained.

*History: Ord. 16-595*

*History: Ord. 17-068*

#### § 28-107 Certification or decertification as an Emerging SLBE.

Balt., Md., Code art. 5, § 28-107 (2026)

(a) A firm is eligible for certification as an Emerging SLBE if it meets the following eligibility criteria:

  (1) the firm complies with all of the SLBE criteria set forth in § 28-105 {“Eligibility for SLBE Program”};

  (2) the firm has been in existence for less than 5 years;

  (3) the firm has no more than 5 full-time employees; and

  (4) the firm’s annual gross revenues, as averaged over the life of the firm, are less than $1 million.

(b) In order to apply for certification or recertification as an Emerging SLBE, an enterprise must provide the Office with:

  (1) a completed application for certification or recertification in the form reqauired by the Office;

  (2) all supporting documentation required by the Office; and

  (3) a signed affidavit stating that it meets all of the eligibility criteria set forth in subsection (a) of this section.

(c)

  (1) After receiving an Emerging SLBE certification or recertification application, the Office must review all enclosed forms, affidavits, and documentation to make a prima facie determination as to whether the applicant satisfies the Emerging SLBE eligibility requirements as set forth in this chapter.

  (2) If, after the review required by this section, the Office finds that the applying firm satisfies the Emerging SLBE eligibility requirements as set forth in this chapter, the Office must grant the firm certified Emerging SLBE status.

(d)

  (1) If an applicant is determined to be ineligible to participate as an Emerging SLBE, the Chief must send the applicant a letter stating the basis for the denial of eligibility.

  (2) Applicants determined to be ineligible are not eligible to submit a new application for Emerging SLBE certification for 1 year after the date of the notice of denial of eligibility.

  (3) Applicants determined to be ineligible for certification as an Emerging SLBE may still be eligible for certification as an SLBE.

*History: Ord. 16-595*

*History: Ord. 17-068*

#### § 28-108

Balt., Md., Code art. 5, § 28-108 (2026)

Reserved

#### § 28-109 Graduation, suspension, or revocation.

Balt., Md., Code art. 5, § 28-109 (2026)

(a)

  (1) An SLBE firm must be permanently graduated from the SLBE Program after it has received a cumulative total of $5 million of City-funded prime contract or subcontract payments in at least 5 separate contracts since its initial certification as an SLBE firm.

  (2) An SLBE firm must be permanently graduated from the SLBE Program after its 3 fiscal year average gross sales exceeds the size standard eligibility requirements.

(b) An SLBE firm must be temporarily suspended by the Chief for the balance of any fiscal year after it has received, as contractor or subcontractor of City-funded contracts, a cumulative total of $1.5 million in payments for that fiscal year.

(c) An SLBE or Emerging SLBE firm may have its certification and eligibility permanently revoked by the Chief if it:

  (1) fails to perform a commercially useful function under a contract; or

  (2) allows its certified SLBE status to be fraudulently used for the benefit of a non-SLBE firm or the owners of a non-SLBE firm so as to provide the non-SLBE firm or firm owners benefits from affirmative procurement initiatives to which they would not otherwise be entitled.

(d)

  (1) An Emerging SLBE firm must be permanently graduated from Emerging SLBE status after it has received a cumulative total of $2.5 million of City-funded prime contracts or subcontract payments in at least 5 separate contracts since its initial certification as an Emerging SLBE firm.

  (2) An Emerging SLBE firm must be permanently graduated from Emerging SLBE status once its 3 year average annual gross sales exceeds $2 million.

(e)

  (1) An Emerging SLBE firm must be temporarily suspended from Emerging SLBE status by the Chief for the balance of any fiscal year after it has received, as a contractor or subcontractor on City-funded contracts, a cumulative total of $750,000 in payments for that fiscal year.

  (2) An Emerging SLBE firm suspended under this subsection may still be eligible to continue participating in affirmative procurement initiatives as an SLBE firm for the remainder of the fiscal year.

(f)

  (1) This section is not intended to require or allow the City to terminate a contract or fail to renew a contract solely due to the finding that a firm’s SLBE or Emerging SLBE status is permanently graduated or temporarily suspended during the contract term, including all renewal options originally available.

  (2) Bids or proposals submitted by an SLBE or Emerging SLBE prior to graduation or suspension may be awarded as if the firm retained its SLBE or Emerging SLBE status.

  (3) An SLBE or Emerging SLBE may not participate as an SLBE or Emerging SLBE on new bids during a period in which it has been permanently graduated or temporarily suspended, and will not receive any preference for which it may have previously been qualified.

  (4) If SLBE or Emerging SLBE status is revoked under subsection (c) of this section, the Board of Estimates may, upon recommendation by the contracting agency, terminate or fail to renew an impacted contract, if the Board of Estimates determines that termination or non-renewal is in the best interests of the City.

(g) Permanent graduation and temporary suspension is only effective upon receipt of written notice, as an adverse certification or eligibility determination.

*History: Ord. 16-595*

#### § 28-110 Adverse determinations; Appeals.

Balt., Md., Code art. 5, § 28-110 (2026)

(a) All adverse certification or eligibility determinations by the Office or Chief must:

  (1) be in writing;

  (2) include the reasons for the determination; and

  (3) be sent to the affected business enterprise.

(b)

  (1) An aggrieved party has a right to protest an adverse determination and seek administrative review.

  (2) To obtain administrative review, the aggrieved party must submit a written protest to the Chief within 7 days of receipt of the adverse determination.

  (3) The protest must specify the reasons and factual grounds of the protest and be accompanied by any supporting documents.

(c) Within 25 days of receipt of the protest, the Chief must:

  (1) review the protest and all relevant supporting documents; and

  (2) render a written decision that includes the reasons for the decision.

(d)

  (1) After all departmental remedies have been exhausted, the aggrieved applicant may request a hearing before a panel of independent hearing officers, with 1 member of the panel being appointed by the President of the City Council and the other members of the panel being appointed by the City Solicitor.

  (2) The hearing officer must be knowledgeable of Baltimore City procurement laws and procedures, including this subtitle.

*History: Ord. 16-595*

#### §§ 28-111 to 28-112

Balt., Md., Code art. 5, § 28-111 to 28-112 (2026)

Reserved

### Part IV – Affirmative Procurement Initiatives

#### § 28-113 Initiatives to be set by GSCs.

Balt., Md., Code art. 5, § 28-113 (2026)

To promote the award of City contracts to SLBEs or Emerging SLBEs, each GSC may, subject to § 28-97(b), authorize the use of any or all of the SLBE affirmative procurement initiatives in this Part IV for contracts in its industry category.

*History: Ord. 16-595*

#### § 28-114 Bonding or insurance waiver.

Balt., Md., Code art. 5, § 28-114 (2026)

(a)

  (1) Subject to applicable federal and state law, as well as <cite data-doc="City of Baltimore, Md., Charter">the City Charter</cite>, and applicable regulations, policies, and procedures, the Board of Estimates, on the recommendation of the contracting agency, may waive or reduce the bonding or insurance requirements for public works contracts, depending on the type of contract and whether the contracting agency determines that the bonding or insurance requirements would deny an SLBE, or Emerging SLBE, an opportunity to perform a contract that the SLBE or Emerging SLBE has shown itself otherwise capable of performing.

  (2) From time to time the Chief shall make written suggestions to a contracting agency relating to concerns about bidding restrictions caused by bonding or insurance requirements on solicitations issued by that agency.

(b)

  (1) Subject to applicable federal and state law, as well as <cite data-doc="City of Baltimore, Md., Charter">the City Charter</cite>, and applicable regulations, policies, and procedures, the Board of Estimates, on the recommendation of the Department of Finance, may waive or reduce the bonding or insurance requirements, depending on the type of contract and whether the Department determines that the bonding or insurance requirements would deny an SLBE or Emerging SLBE an opportunity to perform a contract that the SLBE or Emerging SLBE has shown itself otherwise capable of performing.

  (2) From time to time the Chief shall make written suggestions to the Director of Finance relating to concerns about bidding restrictions caused by bonding or insurance requirements on solicitations issued by the Department of Finance.

*History: Ord. 16-595*

*History: Ord. 17-068*

#### § 28-115 Price preferences.

Balt., Md., Code art. 5, § 28-115 (2026)

(a) Subject to § 28-97(b), the Board of Estimates may award a contract to a certified SLBE or certified Emerging SLBE that submits a bid within 10% of a low bid by a non-SLBE.

(b) A price preference may not be applied if:

  (1) the award to the SLBE would result in a total contract cost that is, on an annual basis, more than $25,000 higher than the low bid;

  (2) if the total contract cost would exceed the City’s budgeted funding for the contract; or

  (3) the total contract cost is determined by the contracting agency, with concurrence from the agency receiving the primary benefit of the contract, to be so high in price as to be not reasonable.

*History: Ord. 16-595*

#### § 28-116 Evaluation preferences.

Balt., Md., Code art. 5, § 28-116 (2026)

(a) The City may reserve up to 10% of the total points available for RFP evaluation purposes for firms that are certified as SLBE or Emerging SLBE firms, or to joint ventures that have certified SLBE or certified Emerging SLBE partners.

(b) For joint ventures, available evaluation preference points must be allocated on a pro rata basis, based on the percentage of SLBE or Emerging SLBE participation in the overall ownership, performance, and management of the joint venture.

(c) An evaluation preference may not be applied if the resulting total contract cost:

  (1) would exceed the City’s budgeted funding for the contract; or

  (2) is determined by the contracting agency, with concurrence from the agency receiving the primary benefit of the contract, to be so high in price as to be not reasonable.

*History: Ord. 16-595*

#### § 28-117 Mandatory subcontracting.

Balt., Md., Code art. 5, § 28-117 (2026)

(a) A GSC may, on a contract-by-contract basis, at its discretion, require that a predetermined percentage of a specific contract, up to 40%, be subcontracted to certified SLBEs or to certified Emerging SLBEs.

(b)

  (1) If the contractor is a certified SLBE or certified Emerging SLBE, then the contractor is entitled to count the dollar value of the work performed by its own forces towards satisfaction of the mandatory subcontracting goal for that contract.

  (2) An SLBE or Emerging SLBE contractor may not subcontract more than 49% of the contract value.

  (3) An SLBE or Emerging SLBE subcontractor may not further subcontract more than 10% of its portion of the contract value to a vendor who is not an SLBE or Emerging SLBE.

(c)

  (1) For a contract bid out under this section, a prospective bidder must submit, at the time of bidding, a form providing the name of the SLBE or Emerging SLBE subcontractor or subcontractors and describing both the percentage of subcontracting by the SLBE or Emerging SLBE and the work to be performed by the SLBE or Emerging SLBE.

  (2) At the time of bidding, a bidder may request a full or partial waiver of this mandatory subcontracting requirement from the Chief for good cause, by submitting an SLBE unavailability certification to the Chief along with adequate documentation of good faith efforts to obtain SLBE participation, in the form required by the Office.

(d) The Chief must base his or her determination on a waiver request on the following criteria:

  (1) whether the requestor of the waiver has made good faith efforts to subcontract with qualified and available SLBEs or Emerging SLBEs;

  (2) whether subcontracting would be inappropriate or not provide a commercially useful function under the circumstances of the contract; and

  (3) whether there are no certified SLBE or certified Emerging SLBE firms that are qualified and available to provide the goods or services required.

(e)

  (1) In the absence of a waiver, failure of a contractor’s bid or proposal to satisfy the mandatory SLBE subcontracting goal renders its bid or proposal non-responsive.

  (2) In the absence of a waiver, failure of a contractor, in the performance of the contract, to attain a mandatory subcontracting goal for SLBE participation is grounds for termination of existing contracts with the City, debarment from performing future City contracts, or any other remedies available under the terms of its contract with the City or under the law.

  (3) A Contractor commits a material breach of contract if it fails to notify and obtain written approval from the Chief in advance of any negative change in usage of a designated SLBE or Emerging SLBE subcontractor, including any:

    (i) reduction in subcontract scope;

    (ii) termination of a subcontract; or

    (iii) substitution of a new SLBE or Emerging SLBE subcontractor for a designated SLBE or Emerging SLBE.

(f) Sole source and emergency contracts are exempt from subcontracting goal requirements under this section.

*History: Ord. 16-595*

*History: Ord. 17-068*

#### § 28-118 Sheltered Market Program.

Balt., Md., Code art. 5, § 28-118 (2026)

(a)

  (1) The Chief and a contracting agency may select certain contracts that have a contract value of $250,000 or less for award to a certified SLBE, or a joint venture with a certified SLBE, through the Sheltered Market Program.

  (2) The Chief and a contracting agency may select certain contracts that have a value of $50,000 or less for award to a certified Emerging SLBE firm through the Sheltered Market Program.

(b) In determining whether a particular contract should be bid through the Sheltered Market Program, the contracting agency and Chief must consider:

  (1) whether there are at least 3 certified SLBEs or certified Emerging SLBEs that are available and capable to participate in the Sheltered Market Program for that contract;

  (2) the degree of underutilization of the SLBE and Emerging SLBE contractors in the specific industry categories; and

  (3) the extent to which the City’s SLBE and Emerging SLBE contractor utilization goals are being achieved.

(c) A contract may be removed from the Sheltered Market Program for purposes of rebidding if:

  (1) a responsive and responsible bid or response is not received for the contract; or

  (2) the apparent low bid is determined by the contracting agency, with concurrence from the agency receiving the primary benefit of the contract, to be so high in price as to be not reasonable or not within the City’s budgeted funding for the contract.

(d)

  (1) A finding made regarding the number of available certified SLBE’s or Emerging SLBE’s in determining whether a contract should be bid through the Sheltered Market Program for purposes of subsection (b) of this section does not create a presumption that any bidder is a responsible bidder for purposes of subsection (c) of this section.

  (2) The determination of a contracting agency, or the City’s prequalification process, that a bidder is not a responsible bidder for purposes of subsection (c) of this section is final and conclusive.

*History: Ord. 16-595*

*History: Ord. 17-068*

#### § 28-119 Competitive business development demonstration project.

Balt., Md., Code art. 5, § 28-119 (2026)

(a) If an industry category routinely has too few sources of bidders to provide meaningful or sufficient competition for City contracts, the Chief, with the concurrence of the impacted contracting agency, may reserve certain contracts within that industry category for placement into a competitive business development demonstration project to encourage the development of new capacity within the industry to competitively bid on the future supply of specialized goods or services to the City.

(b)

  (1) Contracts reserved for Competitive Business Development Demonstration Projects are subject to a Request for Proposals process open only to joint ventures between an established firm, or experts in the relevant industry, and a certified SLBE firm.

  (2) The scope of work for the selected joint venture must include teaching a hands-on curriculum to SLBE firms that have expressed an interest in diversifying into the relevant industry, in addition to performing the customary functions of the contract.

  (3) The curriculum required by paragraph (2) of this subsection must teach skills required to qualify for future City contracts and to successfully compete in the industry, including both:

    (i) technical skills taught through hands-on demonstrations of how to perform necessary tasks in the field; and

    (ii) administrative skills such as cost estimating, bidding, staffing, or project management.

(c) The Chief must select certified SLBE candidate firms for participation in competitive business development demonstration projects on the basis of an assessment of their current capabilities and their likely success in diversifying into the new relevant industry once given technical assistance, training, and an opportunity to develop a performance track record in the industry.

*History: Ord. 16-595*

#### §§ 28-120 to 28-121

Balt., Md., Code art. 5, § 28-120 to 28-121 (2026)

Reserved

## Chapter 4 – Penalties

### § 28-122 Administrative penalties.

Balt., Md., Code art. 5, § 28-122 (2026)

A contractor who fails to comply with any provision of this subtitle is subject to any or all of the following penalties:

(1) suspension of contract;

(2) withholding of funds;

(3) rescission of contract based on material breach;

(4) refusal to accept a bid;

(5) disqualification of a bidder, contractor, or other business from eligibility for providing goods or services to the City for a period not to exceed 2 years; and

(6) payment of liquidated damages.

*History: Ord. 00-098*

*History: Ord. 16-595*

### § 28-123

Balt., Md., Code art. 5, § 28-123 (2026)

Reserved

### § 28-124 Criminal penalties.

Balt., Md., Code art. 5, § 28-124 (2026)

(a) No person may:

  (1) fraudulently obtain, retain, attempt to obtain or retain, or aid another in fraudulently obtaining, retaining, or attempting to obtain or retain certification under this subtitle;

  (2) in any matter administered under this subtitle, willfully falsify, conceal, or cover up by a trick, scheme, or device a material fact or make any false writing or document knowing that it contains any false, fictitious, or fraudulent statement or entry;

  (3) willfully obstruct, impede, or attempt to obstruct or impede an authorized official or employee who is investigating the qualifications of a business enterprise that has requested certification under this subtitle;

  (4) fraudulently obtain, attempt to obtain, or aid another in fraudulently obtaining or attempting to obtain public money to which the person is not entitled under this subtitle; or

  (5) make a false statement to any person or entity that another person or entity is or is not certified under this subtitle.

(b) Any person who violates any provision of this section is guilty of a misdemeanor and, on conviction, is subject to imprisonment for not more than 1 year, to a fine of not more than $1,000, or to both imprisonment and fine.

*History: Ord. 00-098*

*History: Ord. 16-595*