Chapter 05. Sole Source Procurement
Regulation .01 Application.LinkCopy Citation
If the procurement officer determines that a competitive source selection method cannot be used because there is only one available source for the subject of the contract or if the proposed contract is one that is contemplated by Regulation .02C or D of this chapter, the procurement officer, after obtaining the approval of the agency head and all other approvals required by law or regulation, may award a contract without competition to the sole source.
Regulation .02 Conditions for Use.LinkCopy Citation
A.
Sole source procurement is not permissible unless a requirement is available from only a single vendor. The following are some examples of circumstances which could necessitate sole source procurement:
(1)
When only one source exists which meets the requirements;
(2)
When the compatibility of equipment, accessories, or replacement parts is the paramount consideration;
(3)
When a sole vendor's item is needed for trial use or testing;
(4)
When a sole vendor's item is to be procured for resale;
(5)
When certain public utility services are to be procured and only one source exists.
B.
The determination as to whether a procurement shall be made as a sole source shall be made by the procurement officer, with the approval of the agency head or designee. This determination and the basis for it shall be in writing. The procurement officer may specify the application of the determination and the duration of its effectiveness. In cases of reasonable doubt, competition should be solicited. Any request by a using agency that a procurement be restricted to one vendor shall be accompanied by an acceptable explanation as to why no other shall be suitable or acceptable to meet the need.
C.
Confidential Services.
(1)
A procurement agency, with the prior written approval of the Office of the Attorney General, may enter into a sole source contract to retain the confidential services of a contractor to represent the interests of the State in connection with threatened or pending litigation.
(2)
A procurement agency, with the prior written approval of the Office of the Attorney General, may enter into a sole source contract to retain the confidential services of a contractor to represent the interests of the State in connection with:
(a)
Appraisal of real property contemplated for acquisition by the State; or
(b)
Collective bargaining.
(3)
If the procurement agency reasonably can anticipate a continuing need for the services described in §C(2) of this regulation, this section does not apply.
D.
Renewal of Real Property Leases. When it is determined to be in the best interests of the State, the procurement officer may negotiate the renewal of an existing real property lease without soliciting other proposals.
Regulation .03 Negotiation in Sole Source Procurement.LinkCopy Citation
The procurement officer shall conduct negotiations, as appropriate, as to price, delivery, and terms.
Regulation .04 Record of Sole Source Procurement.LinkCopy Citation
A.
Notice of award shall be published in eMaryland Marketplace by the procurement agency not more than 30 days after the execution and approval of the contract. This requirement does not apply to sole source procurements that fall within the small procurement regulations set forth in COMAR 21.05.07.
B.
A record of sole source procurements shall be maintained that lists:
(1)
Each contractor's name;
(2)
The amount and type of each contract;
(3)
A listing of the items procured under each contract; and
(4)
The identification number of each contract file.
C.
The cumulative record for each fiscal year shall be maintained and submitted as required under Subtitle 13.
Chapter annotations
Authority: State Finance and Procurement Article, §§12-101 and 13-107, Annotated Code of Maryland
History: Effective date: July 1, 1981 (8:13 Md. R. II-5)
History: Regulation .01 amended effective January 9, 1989 (15:27 Md. R. 3138)
History: Regulation .02C and D adopted effective January 9, 1989 (15:27 Md. R. 3138)
History: Regulation .04A amended effective January 9, 1989 (15:27 Md. R. 3138); November 7, 2005 (32:22 Md. R. 1759); April 7, 2008 (35:7 Md. R. 751); January 2, 2017 (43:26 Md. R. 1449)
History: Regulation .04B amended effective January 9, 1989 (15:27 Md. R. 3138)