Plain Text Law

Chapter 02. Cancellation and Rejection of IFBs and RFPs

Regulation .01 Delegation of Authority.Copy Citation

A.
The Board hereby delegates to each Department head authority to approve cancellation of a solicitation or rejection of all bids or proposals for procurements within the Department's jurisdiction.
B.
When a Department acts as a procurement agency, the delegation in §A is not affected unless the Board directs otherwise.
C.
Actions taken by a Department pursuant to the delegation in §A shall be reported to the Board in accordance with COMAR 21.02.01.05B.

Regulation .02 Cancellation of Invitations for Bids or Requests for Proposals.Copy Citation

A.
Notice. Each solicitation issued by a procurement agency shall state that the solicitation may be cancelled as provided in this regulation.
B.
Cancellation Before Opening.
(1)
Before opening of bids or proposals, a solicitation may be cancelled in whole or in part when the procurement agency, with the approval of the appropriate Department head or designee, determines that this action is fiscally advantageous to the State or otherwise in its best interest. Reasons for cancellation include but are not limited to:
(a)
The absence of a continued need for the procurement;
(b)
When proposed amendments to the solicitation would be of such magnitude and substance that a new solicitation is desirable.
(2)
When a solicitation is cancelled before bid or proposal opening, the bids or proposals shall be returned to the vendors submitting them and vendors shall be given notice of the cancellation. The notice of cancellation shall:
(a)
Identify the solicitation;
(b)
Briefly explain the reason for cancellation; and
(c)
If appropriate, explain that opportunity will be given to compete on any resolicitation or any future procurements of a similar nature.
C.
Rejection of All Bids or Proposals.
(1)
After opening of bids or proposals but before award, all bids or proposals may be rejected in whole or in part when the procurement agency, with the approval of the appropriate Department head or designee, determines that this action is fiscally advantageous or otherwise in the State's best interest. Reasons for rejection of all bids or proposals include but are not limited to:
(a)
The absence of a continued need for the procurement;
(b)
The State agency no longer can reasonably expect to fund the procurement;
(c)
Proposed amendments to the solicitation would be of such magnitude that a new solicitation is desirable;
(d)
Prices exceed available funds and it would not be appropriate to adjust quantities to come within available funds;
(e)
There is reason to believe that the bids or proposals may not have been independently arrived at in open competition, may have been collusive, or may have been submitted in bad faith;
(f)
Bids received indicate that the needs of the State agency can be satisfied by a less expensive equivalent item differing from that on which the bids or proposals were invited; or
(g)
All otherwise acceptable bids or proposals received are at unreasonable prices.
(2)
A notice of rejection of all bids or proposals shall be sent to all vendors that submitted bids or proposals, and it shall conform to §B(2).
D.
Documentation. The determination of the reasons for cancellation or rejection of all bids or proposals shall be made a part of the procurement file.

Regulation .03 Rejection of Individual Bids or Proposals.Copy Citation

A.
Notice in Solicitation. Each solicitation issued by a State agency shall provide that any bid or proposal may be rejected in whole or in part when it is in the best interest of the State to do so.
B.
Reasons for Rejection. Reasons for rejection of a bid or proposal include but are not limited to:
(1)
The vendor that submitted the bid or proposal is not responsible as determined under COMAR 21.06.01.01;
(2)
The bid is not responsive or the proposal is not reasonably susceptible of being selected for award;
(3)
The price is unreasonable;
(4)
The bidder or offeror is debarred or otherwise is ineligible for award and the period of debarment or ineligibility has not expired.

Regulation .04 Minor Irregularities in Bids or Proposals.Copy Citation

A.
A minor irregularity is one which is merely a matter of form and not of substance or pertains to some immaterial or inconsequential defect or variation in a bid or proposal from the exact requirement of the solicitation, the correction or waiver of which would not be prejudicial to other bidders or offerors.
B.
The defect or variation in the bid or proposal is immaterial and inconsequential when its significance as to price, quantity, quality, or delivery is trivial or negligible when contrasted with the total cost or scope of the procurement.
C.
The procurement officer shall either give the bidder or offeror an opportunity to cure any deficiency resulting from a minor informality or irregularity in a bid or proposal or waive the deficiency, whichever is to the advantage of the State.

Regulation .05 Disposition of Bids or Proposals.Copy Citation

When bids or proposals are rejected, or a solicitation is cancelled after bids or proposals have been received, the bids or proposals that have been opened shall be retained in the procurement file, and the bids or proposals that have not been opened shall be returned to the bidders or offerors upon request, or otherwise disposed of.
Chapter annotations
Authority: State Finance and Procurement Article, §§12-101 and 13-206, Annotated Code of Maryland
History: Effective date: July 1, 1981 (8:13 Md. R. II-5)
History: Chapter revised effective January 9, 1989 (15:27 Md. R. 3138)