In this subtitle the following words have the meanings indicated. “Bid” means a bid, proposal, or other response to a solicitation. “Services” means the rendering of time, effort, or work, rather than the furnishing of a specific physical product other than reports incidental to the required performance. “Services” includes maintenance, construction–related services, architectural services, engineering services, information technology services, cybersecurity, and the professional, personal, or contractual services provided by attorneys, accountants, physicians, consultants, and other professionals who are independent contractors. “Supplies” means tangible property, including commodities, information technology hardware, equipment, materials, and intangible property, including information technology software.

There is an Office of State Procurement in the Department.

The Secretary may delegate any power or duty set forth in Part I or Part II of this subtitle or Division II of this article to the Chief Procurement Officer of the Office of State Procurement.

The Secretary or any employee of the Department may not: be interested in any contract or bid for furnishing any supplies to any unit that procures supplies under Division II of this article; be connected in any manner, directly or indirectly, with any contract or bid for furnishing any supplies to any of those units; or accept or receive, directly or indirectly, whether by rebate, gift, or otherwise, from a person to whom a contract may be awarded: any money or thing of value; or any promise, obligation, or contract for future reward or compensation. If the Secretary or any employee of the Department violates any provision of this section, the Secretary or employee is guilty of a misdemeanor and on conviction is subject to a fine not less than $1,000 or imprisonment not exceeding 6 months or both.

Any contract for printing for the State shall be made through or with the approval of the Secretary except for: a contract for printing for the General Assembly and its staff agencies; a contract for printing a record or brief for the Office of the Attorney General; and a contract for printing of the Maryland Reports or the Maryland Appellate Reports.

The Secretary shall adopt standards for maintaining stores and inventory control for all supplies required by any unit that procures supplies under Division II of this article. To the extent required by the Secretary, each unit that procures supplies under Division II of this article shall file with the Secretary an inventory of the supplies in its possession. The unit shall submit the inventory to the Secretary at least once a year. The inventory is subject to audit.

The Secretary or the Chief Procurement Officer shall provide a copy of each award for supplies to the requisitioning unit.

The Department may establish a program that leverages State purchasing power to offer favorable rates to units of local government to procure information technology or cybersecurity services from contractors. A unit of local government may not be required to participate in a program established under subsection (a) of this section.

Except as otherwise specifically provided by law, each unit of the Executive Branch of the State Government shall purchase all supplies and services through or with the approval of the Secretary or the Chief Procurement Officer.

Except as otherwise specifically provided by law, an invoice for supplies purchased by the Secretary, by the Chief Procurement Officer, or by any unit that procures supplies under Division II of this article may not be paid until the invoice has been approved by the Secretary, the Chief Procurement Officer, or a designee of the Secretary or the Chief Procurement Officer.

Except as otherwise specifically provided by law and consistent with Division II of this article, the Secretary or Chief Procurement Officer shall set standards for supplies to be purchased by a unit, including standards for electronic equipment used by State employees or the public for communications that are consistent with the standards for nonvisual access information technology issued under § 3–410 of this article.

Consistent with Division II of this article, the Secretary or the Chief Procurement Officer shall contract for or purchase any supplies or services for a unit except: an item that the Secretary or Chief Procurement Officer: determines is strictly perishable; determines is impracticable for the unit to purchase through or with the approval of the Secretary or Chief Procurement Officer; or permits the unit to purchase with the approval of the Secretary or Chief Procurement Officer; or supplies or services authorized by statute to be procured by another primary procurement unit or delegated to another unit.

At time intervals set by the Secretary or Chief Procurement Officer, each unit that procures supplies under Division II of this article shall send to the Secretary or Chief Procurement Officer estimates of the amount and quality of any needed supplies.

An employee of a unit that procures supplies under Division II of this article whose salary and expenses are paid from the fees of the employee’s office may not pay any contractor or seller for any article of any kind acquired for the unit unless the invoice approved by the employee is also approved by the Secretary or Chief Procurement Officer or a designee of the Secretary or Chief Procurement Officer. The Governor may remove an employee for any violation of the provisions of this section.

Subject to the initial approval of the Secretary or Chief Procurement Officer, the appropriate purchasing unit for the following entities may use the services of the Department to purchase services, materials, supplies, and equipment: a county; a municipality; a governmental unit in the State; a public or quasi–public agency that: receives State money; and is exempt from taxation under § 501(c)(3) of the Internal Revenue Code; a private elementary or secondary school that: either has been issued a certificate of approval from the State Board of Education or is accredited by the Association of Independent Schools; and is exempt from taxation under § 501(c)(3) of the Internal Revenue Code; or a nonpublic institution of higher education as provided under § 17–106 of the Education Article. Notwithstanding subsection (a)(5) and (6) of this section, the Department may not purchase religious materials on behalf of a private elementary or secondary school or a nonpublic institution of higher education. The purchasing authority under this section is in addition to, and not a substitution for, the purchasing power of an entity under another law.

The Department, in consultation with the Maryland Cybersecurity Coordinating Council established in § 3.5–2A–05 of this article, shall study the security and financial implications of executing partnerships with other states to procure information technology and cybersecurity products and services, including the implications for political subdivisions of the State.

This Part III of this subtitle does not apply to: intergovernmental lease transactions; lease transactions involving property located outside the State; lease transactions declared by the Secretary to be necessary because of an emergency; lease transactions where the State is the lessor; or lease transactions involving up to 5,000 square feet of property.

This section applies to any lease of property by the State. The Department shall give written notice of each proposed initial lease of property to: the governing body of each political subdivision in which the property is located; and each member of the General Assembly in whose legislative district the property is located. If the notice given under paragraph (1) of this subsection is for at least 2 proposed sites from which 1 site is to be selected, before any site is finally selected, the Department shall give written notice of the site that has been proposed for final selection. Within 30 days after receiving notice under subsection (b)(1) of this section, the governing body or the member of the General Assembly may submit written comments to the Department. A lease for a site may not be executed until 31 days after the day that notice is received under subsection (b)(1) of this section.

In this section, “eMaryland Marketplace” has the meaning stated in § 13–101 of this article. The Department shall advertise any need of the State to rent building space at least 20 days before proposals for a lease are due. The Department shall advertise the proposed leasing: in daily or weekly newspapers with circulation sufficient to provide notice to the people of the State, or at least to the people of the affected locality; and by posting a publication on the Department’s website and eMaryland Marketplace. The advertisement shall contain: the number of square feet proposed to be leased; and the general area in which the State desires to lease the space.

Each proposal for the lease of building space by the State shall be submitted to the Secretary. Unless a regulation of the Board of Public Works provides otherwise, the Secretary shall submit each proposal, along with any recommendation of the Secretary, to the Board of Public Works for final approval. The Board of Public Works shall adopt regulations in accordance with Title 10, Subtitle 1 of the State Government Article concerning submission of proposals for the lease of building space under this section.

In this section the following words have the meanings indicated. “Broker rebate fee” is a commission sharing payment based on an established commission rebate percentage. “Fund” means the Department of General Services Broker Rebate Fee Fund. There is a Department of General Services Broker Rebate Fee Fund. The purpose of the Fund is to provide funding to support the actions of the Secretary in implementing, regulating, administering, and enforcing this part. The Secretary shall: administer the Fund; and direct any broker rebate fees collected under this part to the Fund. The Fund is a special, nonlapsing fund that is not subject to § 7–302 of this article. The State Treasurer shall hold the Fund separately, and the Comptroller shall account for the Fund. The Fund consists of: revenue distributed to the Fund from broker rebate fees received in connection with any lease of building space by the State under this part; money appropriated in the State budget to the Fund; interest earnings; and any other money from any other source accepted for the benefit of the Fund. The Fund may be used only to cover the expenses, including administrative expenses, of the Department in carrying out the requirements of this title. The State Treasurer shall invest the money of the Fund in the same manner as other State money may be invested. Any interest earnings of the Fund shall be credited to the Fund. Expenditures from the Fund may be made only in accordance with the State budget.