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<chapter num="16" heading="Proof of Concept Procurement" title_num="21" subtitle_num="05">
  <regulation prefix="Regulation" num=".01" heading="Proof of Concept Definitions and Procedures.">
    <paragraph num="A.">
      <text>“Proof of concept” means a test, evaluation, demonstration, or pilot project of a good, service, or technology in a real–world environment to evaluate whether the good, service, or technology can be successfully deployed and is beneficial to the State, in accordance with State Finance and Procurement Article, §13-116(A), Annotated Cod of Maryland.</text>
    </paragraph>
    <paragraph num="B.">
      <text>A “Competitive Proof of Concept Procurement” means a formal competitive procurement method that may be used to solicit proposals for the conduct of a proof of concept prior to full implementation when the head of a unit determines the process to be appropriate and in the best interests of the unit, including:</text>
      <paragraph num="(1)">
        <text>Testing software–as–a–service or off–the–shelf software;</text>
      </paragraph>
      <paragraph num="(2)">
        <text>Testing new, innovative products or services; or</text>
      </paragraph>
      <paragraph num="(3)">
        <text>Testing a product or service conceptualized or conceived of by a unit of State government, in accordance State Finance and Procurement Article, §13-116(B)(1), Annotated Code of Maryland.</text>
      </paragraph>
    </paragraph>
    <paragraph num="C.">
      <text>After obtaining the approval of the head of the procurement agency and before conducting a competitive proof of concept procurement, the procuring unit shall obtain approval from the Secretary of Information Technology, or the Secretary’s Designee.</text>
    </paragraph>
    <paragraph num="D.">
      <text>The Secretary of Information Technology may grant approval for a competitive proof of concept procurement if the procuring unit:</text>
      <paragraph num="(1)">
        <text>Has sufficient internal resources to manage the proof of concept, including human capital, subject matter expertise, and technological infrastructure, or has the means to obtain these resources; and</text>
      </paragraph>
      <paragraph num="(2)">
        <text>Enters into a memorandum of understanding with the Department of Information Technology that requires regular status updates, vendor capacity, and any other information necessary for the Department of Information Technology to evaluate whether the proof of concept can be successfully deployed and is beneficial to the State.</text>
      </paragraph>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".02" heading="Proof of Concept Solicitation.">
    <paragraph num="A.">
      <text>A competitive proof of concept procurement:</text>
      <paragraph num="(1)">
        <text>May be conducted through the issuance of a solicitation by any method of procurement authorized under COMAR 21.05.01.01; and</text>
      </paragraph>
      <paragraph num="(2)">
        <text>Shall include a statement of the following:</text>
        <paragraph num="(a)">
          <text>The scope of work or project description, including</text>
          <paragraph num="(i)">
            <text>The intended use;</text>
          </paragraph>
          <paragraph num="(ii)">
            <text>Quantity;</text>
          </paragraph>
          <paragraph num="(iii)">
            <text>Estimated time frame for the proof of concept; and</text>
          </paragraph>
          <paragraph num="(iv)">
            <text>Anticipated number of proof of concept awards that will be made;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(b)">
          <text>The factors, including price, that will be used in evaluating proposals and the relative importance of each.</text>
        </paragraph>
      </paragraph>
    </paragraph>
    <paragraph num="B.">
      <text>A competitive proof of concept procurement solicitation may be distributed to vendors known to offer goods or services within the scope of the proof of concept and shall, except for procurements less than $15,000 not otherwise required by law to be posted, be posted on eMaryland Marketplace Advantage.</text>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".03" heading="Proof of Concept Evaluation.">
    <paragraph num="A.">
      <text>After receipt of proposals but before award of a procurement contract, a unit may:</text>
      <paragraph num="(1)">
        <text>Conduct discussions with an offeror to ensure full understanding of</text>
        <paragraph num="(a)">
          <text>The requirements of the unit, as set forth in the request for proposals; and</text>
        </paragraph>
        <paragraph num="(b)">
          <text>The proposal submitted by the offeror; and</text>
        </paragraph>
      </paragraph>
      <paragraph num="(2)">
        <text>Request product samples for testing by the unit or a demonstration of a product or service and use these samples or demonstrations in its evaluation process.</text>
      </paragraph>
    </paragraph>
    <paragraph num="B.">
      <text>A request for product samples for testing or demonstration made under §A(2) of this regulation shall be issued to all offerors deemed reasonable at the time of the request.</text>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".04" heading="Proof of Concept Award.">
    <text>A unit may award one or more of the proposals a contract for the proof of concept.</text>
  </regulation>
  <annotations>
    <annotation type="Authority">State Finance and Procurement Article, §§12-101, 13-102, 13-116, and 14-303, Annotated Code of Maryland</annotation>
    <annotation type="History" subtype="Administrative History">Effective date: March 3, 2025 (52:4 Md. R. 221)</annotation>
  </annotations>
</chapter>