§ 19–106
Statutes in effect as of October 1, 2026.
Md. Code Ann., Bus. Reg. § 19-106 (2026)
Title 19. Miscellaneous State Business Regulation
Subtitle 1. General Provisions
§ 19–106LinkCopy Citation
(a)
(1)
In this section the following words have the meanings indicated.
(2)
“Entity” means:
(i)
a commercial enterprise or business that is in good
standing with the State Department of Assessments and Taxation and is:
(1)
incorporated in the State; or
(2)
registered to do business in the State; or
(ii)
a corporation, foundation, school, hospital, or other legal entity for which none of the net earnings inure to the benefit of any private shareholder or individual holding an interest in the entity.
(3)
“State benefit” means:
(i)
State capital grant funding totaling $1,000,000 or
more in a single fiscal year;
(ii)
State tax credits totaling $1,000,000 or more in a single fiscal year; or
(iii)
the receipt of a State contract with a total value of $1,000,000 or more.
(4)
“State contract” means a contract that:
(i)
resulted from a competitive procurement process; and
(ii)
is not federally funded in any way.
(5)
“Underrepresented community” means a community whose members self–identify:
(i)
as Black, African American, Hispanic, Latino, Asian, Pacific Islander, Native American, Native Hawaiian, or Alaska Native; or
(ii)
with one or more of the racial or ethnic groups listed in item (i) of this paragraph.
(b)
This section does not apply to:
(1)
a sole proprietor;
(2)
a limited liability company owned by a single member;
(3)
a privately held company if at least 75% of the company’s shareholders are family members; or
(4)
an entity that:
(i)
has an annual operating budget or annual sales less than $5,000,000; and
(ii)
does not qualify for a State benefit.
(c)
An entity may not qualify for a State benefit unless the entity is able to demonstrate:
(1)
membership of underrepresented communities in the entity’s board or executive leadership; or
(2)
support for underrepresented communities in the entity’s mission.
(d)
The Department of Commerce and the Office of Small, Minority, and Women Business Affairs shall:
(1)
develop and maintain a State Equity Report that compiles diversity data for each entity on:
(i)
the membership of underrepresented communities in the entity’s board or executive leadership; and
(ii)
the support of underrepresented communities in the entity’s mission; and
(2)
adopt regulations to carry out this section, including directives for State agencies and entities to comply with the requirements in this section.