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<regulation prefix="Regulation" num=".04-1" citation="COMAR 21.05.01.04-1" title_num="21" subtitle_num="05" chapter_num="01" heading="Reciprocal Preferences — Architectural or Engineering Services.">
  <paragraph num="A.">
    <text>Definitions.</text>
    <paragraph num="(1)">
      <text>In this regulation, the following terms have the meanings indicated.</text>
    </paragraph>
    <paragraph num="(2)">
      <text>“Nonresident firm” means a business entity that:</text>
      <paragraph num="(a)">
        <text>Has one office that is a principal office for the entity and is not located in the State; or</text>
      </paragraph>
      <paragraph num="(b)">
        <text>For an entity that has offices in multiple states, has not had a principal office located in the State for at least 6 months immediately before the date of a request for proposals.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(3)">
      <text>“Preference” means:</text>
      <paragraph num="(a)">
        <text>A percentage preference;</text>
      </paragraph>
      <paragraph num="(b)">
        <text>An employee residency requirement; or</text>
      </paragraph>
      <paragraph num="(c)">
        <text>Any other law, policy, or practice that favors a resident-firm offeror over a nonresident-firm offeror.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(4)">
      <text>Principal Office.</text>
      <paragraph num="(a)">
        <text>“Principal office” means a primary place of business that is staffed on a regular basis to provide the services that are requested by a unit in a request for proposals.</text>
      </paragraph>
      <paragraph num="(b)">
        <text>“Principal office” does not include a satellite office or an office that is minimally staffed and is not open on a regular basis to provide the services that are requested by a unit in a request for proposals.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(5)">
      <text>“Request for proposals” means a request for architectural services or engineering services that is issued in accordance with State Finance and Procurement Article, §13-112, Annotated Code of Maryland.</text>
    </paragraph>
    <paragraph num="(6)">
      <text>Resident Firm.</text>
      <paragraph num="(a)">
        <text>“Resident firm” means a business entity that is licensed or otherwise authorized to provide architectural or engineering services in the State, and:</text>
        <paragraph num="(i)">
          <text>For an entity that has one office, the office is located in the State; or</text>
        </paragraph>
        <paragraph num="(ii)">
          <text>For an entity that has offices in multiple states, has had a principal office located in the State for at least 6 months immediately before the date of a request for proposals.</text>
        </paragraph>
      </paragraph>
      <paragraph num="(b)">
        <text>“Resident firm” includes a joint venture that was entered into before the date of the request for proposals for which the joint venture submits a proposal and includes one party that holds at least a 51 percent interest in the joint venture and meets the definition in §A(6)(a) of this regulation.</text>
      </paragraph>
    </paragraph>
  </paragraph>
  <paragraph num="B.">
    <text>Conditions. A procurement agency shall apply a preference to a proposal from a resident firm if:</text>
    <paragraph num="(1)">
      <text>A nonresident firm is a responsible offeror determined to be the most qualified person to submit a proposal in accordance with State Finance and Procurement Article, §13-112, Annotated Code of Maryland, and the state in which the principal office of the nonresident firm is located has a preference that favors an offeror from that state to the disadvantage of an offeror from the State of Maryland;</text>
    </paragraph>
    <paragraph num="(2)">
      <text>A resident firm is a responsible offeror that certifies it meets the requirements for a resident firm at the same time that it submits the proposal for which the preference would apply; and</text>
    </paragraph>
    <paragraph num="(3)">
      <text>The nonresident firm’s state’s preference does not conflict with a federal law or grant affecting the procurement contract.</text>
    </paragraph>
  </paragraph>
  <paragraph num="C.">
    <text>Application.</text>
    <paragraph num="(1)">
      <text>At the request of a unit, a nonresident firm shall provide the following documentation for the state in which the principal office of the nonresident firm is located:</text>
      <paragraph num="(a)">
        <text>A copy of the current statute, resolution, policy, procedure, or executive order that establishes a preference that favors an offeror from that state to the disadvantage of an offeror from the State of Maryland; or</text>
      </paragraph>
      <paragraph num="(b)">
        <text>A certification that the other state does not have a preference that favors an offeror from that state to the disadvantage of an offeror from the State of Maryland.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(2)">
      <text>If a resident firm qualifies for a preference established under this section and for another preference established under State Finance and Procurement Article, Division II, Annotated Code of Maryland, the unit:</text>
      <paragraph num="(a)">
        <text>May not apply more than one preference to the proposal from the resident firm; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Shall apply the preference to the proposal from the resident firm that is most advantageous to the resident firm.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(3)">
      <text>If, when making a determination of qualification under a qualification-based selection, a unit determines that a proposal from a resident firm and a proposal from a nonresident firm are equally qualified, the unit may apply a preference to the proposal from the resident firm.</text>
    </paragraph>
    <paragraph num="(4)">
      <text>A unit may not apply a preference to a proposal submitted by a resident firm if the resident firm does not submit the certification required under §B(2) of this regulation at the same time that it submits the proposal.</text>
    </paragraph>
  </paragraph>
</regulation>