Plain Text Law

Title 24 — Subtitle 01. Office of the Secretary

Chapter 01. Public Information Requests

Regulation .01 Purpose.Copy Citation

These regulations set forth procedures for filing requests with the Department of Commerce (Department) for the inspection or copying of records of the Department under State Government Article, §§10-611—10-628, Annotated Code of Maryland. It is the policy of the Department to facilitate public access to the Department's records when access is allowed by law.

Regulation .02 Definitions.Copy Citation

A.
In this chapter, the following terms have the meanings indicated.
B.
Terms Defined.
(1)
“Act” means State Government Article, §§10-611—10-628, Annotated Code of Maryland.
(2)
“Custodian” means the head of a Department organizational unit having personal custody and control of the public record that is the subject of a request under the Act.
(3)
“Department” means the Department of Commerce, and any of the agencies, boards, commissions, corporations, authorities, trusts, divisions, or offices included within the Department of Commerce under Economic Development Article, §2-117, Annotated Code of Maryland.
(4)
“Official custodian” means the person who is responsible for the maintenance, care, and keeping of the public records of the Department. Unless otherwise provided by law, the Secretary is the official custodian.
(5)
“Person in interest” means a person or governmental unit that is the subject of a public record, or an authorized designee of the person or governmental unit, or, if the person has a legal disability, a parent or legal representative of the person.
(6)
Public Record.
(a)
“Public record” means the original or any copy of any documentary material, regardless of physical form or characteristics, made or received by the Department in connection with the transaction of public business.
(b)
“Public record” includes a document that contains the salary of an official or employee of the Department.
(7)
“Requester” means a person or governmental unit requesting access to public records under the Act.
(8)
“Secretary” means the Secretary of or the Secretary's designee.
(9)
“Working day” means a day other than Saturday, Sunday, or a State holiday.

Regulation .03 Requests to Inspect or Copy.Copy Citation

A.
A person or governmental unit may request access to inspect or copy public records of the Department.
B.
A requester shall direct the request to the custodian. If the custodian is not known, the requester may direct the request to the official custodian.

Regulation .04 Necessity for Written Request.Copy Citation

A.
The custodian may make public records available for inspection or copying, or both, to a requester without a written request.
B.
Written requests are required when the custodian reasonably believes that:
(1)
A written application will facilitate the Department in responding to the request; or
(2)
The Act or any other law may prohibit disclosure of the public record or parts of it.
C.
The custodian may require a written request when the requester is requesting copies of a public record.

Regulation .05 Contents of Written Request.Copy Citation

A written request shall:
A.
Contain the requester's name and address;
B.
Reasonably identify the public record sought; and
C.
Be signed by the requester.

Regulation .06 Response to Written Request.Copy Citation

A.
If a requested public record is not in the custody or control of the person to whom written request is made, that person shall:
(1)
Notify the requester within 10 working days of the receipt of the request;
(2)
Relate to the requester the identity or the location of the custodian, if known; and
(3)
Forward the request to the known custodian.
B.
If the custodian decides to grant a written request, the custodian shall produce the record for inspection within 30 days from the date the custodian receives the written request.
C.
If the custodian decides to deny a written request, the custodian shall do so within 30 days from the date the custodian receives the written request. Upon deciding to deny the request, the custodian shall notify the requester of the denial. Within 10 working days of the denial, the custodian shall transmit to the requester a written statement that sets forth the reasons and legal authority for the denial and contains a notice of the remedies for review of the denial.
D.
With the consent of the requester, a time limit imposed by §§A—C of this regulation may be extended for an additional period not to exceed 30 days.

Regulation .07 Notification of Persons in Interest.Copy Citation

A.
The custodian, unless prohibited by law, may notify a person in interest who is the subject of a public record that a request for inspection or copying of that record has been received.
B.
In determining whether to notify the person in interest of the pending request, the custodian shall take into account any request from the person in interest, submitted simultaneously with information submitted to the Department, that the information not be disclosed without consultation between the custodian and the person in interest.
C.
The custodian may consider the views of the person in interest before deciding whether to disclose the record.

Regulation .07-1 Sociological Information.Copy Citation

A.
Definition. For purposes of this regulation, “sociological information” means any of the following information requested from the Department:
(1)
Social Security number;
(2)
Personal address;
(3)
Personal phone number;
(4)
Information regarding marital status, dependents, or relatives; and
(5)
Information regarding employment status, including employment application.
B.
Nondisclosure. The Department may not disclose sociological information to a requester except that information may be disclosed:
(1)
To public employees in performance of their public duties;
(2)
To parties litigating claims for unemployment insurance to the extent the sociological information would be available to private parties in litigation; or
(3)
When required by a duly issued subpoena that a judge has signed.

Regulation .08 Records Destroyed or Lost.Copy Citation

If the requested record has been destroyed or lost, the custodian to whom the request is made shall notify the requester of this fact within 30 days of receipt of the request. The custodian shall explain in the response the reasons why the record cannot be produced.

Regulation .09 Records Temporarily Unavailable.Copy Citation

If the requested record is temporarily unavailable, the custodian shall notify the requester of this fact within 30 days of receipt of the request, and shall explain in the response the reason why the record is temporarily unavailable and relate the date on which the record is expected to become available.

Regulation .10 Review of a Denial.Copy Citation

A.
If the custodian denies a written request for a reason other than that the record is temporarily unavailable, the requester may, within 30 days after receipt of a notice of denial, request an administrative hearing.
B.
If the requester requests a hearing, the hearing shall be conducted by an administrative law judge within the Office of Administrative Hearings. After the hearing, the administrative law judge shall prepare a recommended decision which shall be submitted to the Secretary. The Secretary shall issue the Department's final decision.
C.
If the administrative hearing results in a total or partial denial of the written request, the requester may file an appropriate action in the circuit court under State Government Article, §10-623, Annotated Code of Maryland.
D.
The requester may file an action for judicial enforcement under State Government Article, §10-623, without exhausting the administrative remedy set forth in this regulation.

Regulation .11 Disclosure Against Public Interest.Copy Citation

If, in the opinion of the Secretary, disclosure of any public record which is otherwise required to be disclosed under the Act would do substantial injury to the public interest, the Secretary may temporarily deny the request in writing, and apply within 10 working days of the denial to the appropriate circuit court for an order permitting the Secretary to continue to deny or restrict the disclosure. Notice of the application filed with the circuit court shall be served upon the requester in the same manner provided for service of process by the Maryland Rules of Procedure.

Regulation .12 Fees.Copy Citation

A.
The Department may charge reasonable fees in accordance with the following fee schedule:
(1)
Copies. The fee for each copy is 20 cents per page when reproduction can be made by a photocopying machine within the Department. When records are not reasonably amenable to photocopying, the fee for reproducing the record shall be based on the actual cost of reproduction.
(2)
Certification of Copies. When a person requests that a copy of a record be certified as a true copy of the original public record, an additional cost of $1 per page shall be charged.
(3)
Searching or Record Preparation. There is no charge for the first 2 hours needed to search for a public record and prepare it for inspection. The Department may charge $20 per hour for any additional time required to search for or prepare public records for inspection or copying.
(4)
A charge may not be made when the amount of the fee is less than $2.
B.
Notwithstanding §A of this regulation, if the fees for copies, printouts, photographs, or certified copies of a record are specifically prescribed by a law other than the Act or this regulation, the specific fee contained in that law shall determine the amount charged for that record.
C.
If the custodian is unable to copy a record within the Department, the custodian shall make arrangements for the prompt reproduction of the record at public or private facilities outside the Department. The custodian shall either collect from the requester a fee which is sufficient to pay the actual cost of reproduction, or direct the requester to pay the cost of reproduction directly to the facility making the copy.
D.
Before copying a record, the custodian shall estimate the cost of copying and obtain the agreement of the requester that the cost shall be paid. The custodian may demand prepayment of any estimated fee before copying the record. If prepayment is required, the time limitations contained elsewhere in these regulations may not begin until the payment is made.
E.
Upon request, the custodian may waive or reduce a fee charged pursuant to this regulation if the custodian determines that the waiver or reduction is in the public interest. The custodian shall consider, among other relevant factors, the ability of the requester to pay the cost or fee.
F.
If the requester requests that copies be mailed or delivered, the custodian may charge the requester for the cost of postage or delivery to the applicant.

Regulation .13 Time of Inspection.Copy Citation

A requester may inspect a public record to which access is granted during the normal working hours of the Department.

Regulation .14 Place of Inspection.Copy Citation

The place of inspection shall be the place where the document is located unless the custodian determines that another place of inspection is more suitable.

Chapter 02. Petitions for Adoption of Regulations

Regulation .01 Purpose.Copy Citation

This chapter is promulgated pursuant to State Government Article, §10-122, Annotated Code of Maryland, for the purpose of establishing procedures by which the public may petition the Department of Commerce for the adoption of regulations.

Regulation .02 Definitions.Copy Citation

A.
In this chapter, the following terms have the meanings indicated.
B.
Terms Defined.
(1)
“Department” means the Department of Commerce.
(2)
“Secretary” means the Secretary of Business Commerce or the Secretary's designee.

Regulation .03 Who May File.Copy Citation

Any interested person may file a petition with the Secretary requesting the promulgation, amendment, or repeal of any regulation.

Regulation .04 Form.Copy Citation

The petition shall:
A.
Be in writing; and
B.
Contain:
(1)
A clear and concise statement of the regulation, amendment, or repeal which is sought;
(2)
A statement of reasons in support of the proposed regulation change; and
(3)
The name, address, and telephone number of the petitioner.

Regulation .05 Petition Filed.Copy Citation

A.
The petition shall be filed with the Secretary for consideration and disposition.
B.
The time period for response to a petition begins when the petition is received by the Secretary.

Regulation .06 Disposition.Copy Citation

Within 60 days after receipt of the petition, the Secretary shall either:
A.
Deny the petition in writing, stating the reasons for the denial; or
B.
Initiate the procedures for adoption of a regulation.

Regulation .07 Agency File.Copy Citation

A.
The Department shall maintain a file of all petitions submitted and the responses.
B.
This file shall be available for public inspection to the extent permitted by law.

Chapter 03. Petition for Declaratory Rulings

Regulation .01 Purpose.Copy Citation

This chapter is promulgated pursuant to State Government Article, §10-304, Annotated Code of Maryland, for the purpose of establishing procedures by which the public may petition the Department of Commerce for a declaratory ruling.

Regulation .02 Definitions.Copy Citation

A.
In this chapter, the following terms have the meanings indicated.
B.
Terms Defined.
(1)
“Department” means the Department of Commerce.
(2)
“Secretary” means the Secretary of Commerce or the Secretary's designee.

Regulation .03 Who May File.Copy Citation

Any interested person may file a petition for declaratory ruling with respect to the manner in which the Department would apply a regulation or order of the Department or a statute that the Department enforces to a person or property on the facts set forth in the petition.

Regulation .04 Where to File.Copy Citation

A petition shall be filed with the Secretary for consideration and disposition.

Regulation .05 Form.Copy Citation

The petition shall:
A.
Be in writing;
B.
Contain a detailed statement of the facts on which the petition is based;
C.
Fully set forth the regulations or statutes involved;
D.
Pose the question of whether, and in what manner, the regulations or statutes apply to the petitioner under the facts contained in the petition;
E.
Contain the name, address, and telephone number of the petitioner; and
F.
Contain a statement by the petitioner, under oath, that the facts contained in the petition are true.

Regulation .06 Consideration and Disposition.Copy Citation

A.
The Secretary:
(1)
Shall consider the petition;
(2)
May require argument on the petition; and
(3)
May issue the declaratory ruling requested or deny the petition.
B.
A declaratory ruling is binding upon the agency and the petitioner, to the extent permitted by law, on the facts alleged.
C.
Any declaratory ruling issued shall:
(1)
Be in writing; and
(2)
State the reasons for the decision.
D.
A copy of the declaratory ruling shall be delivered to the petitioner.

Regulation .07 Agency File.Copy Citation

A.
The Department shall maintain a file of all petitions submitted and the declaratory rulings issued.
B.
This file shall be available for public inspection to the extent permitted by law.

Chapter 04. Procedure for Hearings in Contested Cases

Regulation .01 General.Copy Citation

This chapter contains procedures for administrative hearings in contested cases. These procedures are required by the Maryland Administrative Procedure Act, State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.

Regulation .02 Definitions.Copy Citation

A.
In this chapter, the following terms have the meanings indicated.
B.
Terms Defined.
(1)
“Contested case” means a proceeding to determine:
(a)
A right, duty, statutory entitlement, or privilege of a person that is required by statute or constitution to be determined only after an opportunity for an agency hearing; or
(b)
The grant, denial, renewal, revocation, suspension, or amendment of a license that is required by statute or constitution to be determined only after an opportunity for an agency hearing.
(2)
“Decision maker” means the person or persons with authority to decide a contested case.
(3)
“Department” means the Department of Commerce.
(4)
“Party” means one whose legal rights, duties, statutory entitlements, or privileges will be affected by the outcome of a contested case.

Regulation .03 Notice and Hearing.Copy Citation

A.
In a contested case all parties shall be afforded an opportunity for hearing after reasonable notice.
B.
The notice shall:
(1)
State the time, place, and nature of the hearing;
(2)
State the legal authority under which the hearing is to be held;
(3)
Cite the particular sections of the statutes and regulations, including procedural regulations, that are pertinent; and
(4)
State concisely and simply:
(a)
The facts that are asserted; or
(b)
If the facts cannot be stated in detail when the notice is given, the issues that are involved.

Regulation .04 Hearing Officer.Copy Citation

The decision maker may request that the Office of Administrative Hearings designate an administrative law judge who shall conduct the hearing and submit in writing to the decision maker proposed findings of fact and proposed conclusions of law.

Regulation .05 Representation.Copy Citation

A.
A party may appear in proper person or be represented by counsel.
B.
A corporation may be represented by an officer, agent, or attorney.
C.
Parties and their attorneys shall give written notice to the hearing officer of their names and addresses in advance of the hearing.

Regulation .06 Evidence.Copy Citation

A.
Probative evidence that reasonable and prudent individuals commonly accept in the conduct of their affairs may be admitted at a hearing and given probative effect.
B.
Incompetent, irrelevant, immaterial, or unduly repetitious evidence may be excluded.
C.
Documentary evidence may be submitted by parties before and at the hearings and for the period of time that the administrative law judge may designate the record to remain open after the hearing.
D.
On a genuine issue in a contested case, a party may call witnesses and cross-examine opposing witnesses.

Regulation .07 Hearing.Copy Citation

A.
The hearing shall be open to the public, unless otherwise provided by law.
B.
Upon written notice 7 days before a hearing and upon payment of costs, a party may request that a hearing be transcribed.

Regulation .08 Ex Parte Communications.Copy Citation

A.
Persons other than advisory staff may not communicate ex parte with the administrative law judge or decision maker.
B.
Ex parte communications received in violation of §A of this regulation shall be placed in the record and disclosed to all parties, who shall then have 10 days within which to rebut them.

Regulation .09 Record.Copy Citation

A.
In the determination of a contested case, the decision maker may consider only evidence that is in the record.
B.
The record in a contested case shall include:
(1)
Pleadings and motions;
(2)
Documentary evidence;
(3)
Statements;
(4)
Transcripts;
(5)
Staff memoranda, unless privileged;
(6)
Proposed findings of fact, proposed conclusions of law, and exceptions to them;
(7)
Preliminary and final decisions; and
(8)
Other writing germane to the case and not otherwise privileged.

Regulation .10 Decision.Copy Citation

A.
The decision maker may adopt, modify, or rewrite the administrative law judge's proposed findings of fact and proposed conclusions of law.
B.
If a decision maker, or a majority of decision makers, has not heard the evidence, a proposed decision, including findings of fact and conclusions of law, shall be served on each party. Parties adversely affected by the proposed decision shall be afforded the opportunity, within 10 days after receipt of the proposed decision, to file exceptions and present argument to the decision maker or the majority of decision makers.
C.
Copies of the final decision and findings of fact and conclusions of law shall be delivered or mailed promptly to all parties or their attorneys.
D.
Instead of a decision, a contested case may be disposed of by agreed settlement, consent order, or default.

Regulation .11 Time Periods.Copy Citation

For good cause, the administrative law judge or decision maker may extend or waive time periods provided in these regulations.

Regulation .12 Appeal.Copy Citation

A.
Upon issuance of a final decision, an aggrieved party may proceed to exhaust any remaining administrative remedies or seek judicial review in accordance with applicable law.
B.
Upon notice of appeal, the record shall be transmitted promptly to the appropriate appellate tribunal, but within the time period prescribed in the Maryland Rules of Procedure governing appeals from administrative agencies.

Regulation .13 Interpretation.Copy Citation

These regulations are meant to complement the Maryland Administrative Procedure Act. In the event of conflict, the Act takes precedence over them.

Chapter 05. Open Meetings

Regulation .01 General.Copy Citation

This chapter contains procedures regarding the conduct of persons attending open meetings, and the recording and broadcasting of open meetings.

Regulation .02 Definitions.Copy Citation

A.
In this chapter, the following terms have the meanings indicated.
B.
Terms Defined.
(1)
“Department” means the Department of Commerce, and all boards, commissions, authorities, and councils within the Department, except for the Board of Appeals.
(2)
“Open session” means any meeting of the Department required to be open to the public by State Government Article, §§10-501—10-512, Annotated Code of Maryland.

Regulation .03 Public Attendance.Copy Citation

A.
At any open session of the Department, the general public is invited to attend and observe.
B.
Except in instances when the Department expressly invites public testimony, questions, comments, or other forms of public participation, or when public participation is otherwise authorized by law, a member of the public attending an open session may not participate in the session.

Regulation .04 Disruptive Conduct.Copy Citation

A.
An individual attending an open session of the Department may not engage in any conduct, including visual demonstrations such as the waving of placards, signs, or banners, that disrupts the session or that interferes with the right of members of the public to attend and observe the session.
B.
The presiding officer may:
(1)
Order an individual who engages in conduct prohibited by §A of this regulation or who violates any other regulation concerning the conduct of the open session to be removed from the session;
(2)
Request police or other assistance to restore order; and
(3)
Recess the session while order is restored.

Regulation .05 Recording, Photographing, and Broadcasting of Open Sessions.Copy Citation

A.
A member of the public, including any representative of the news media, may record discussions of the Department at an open session by means of a tape recorder or other recording device if the device does not create noise that disturbs members of the Department or others attending the sessions.
B.
A member of the public, including any representative of the news media, may photograph or videotape the proceedings of the Department at an open session if the camera:
(1)
Is operated without excessively bright artificial light that disturbs members of the Department or others attending the session; and
(2)
Does not create noise that disturbs members of the Department or others attending the session.
C.
A representative of the news media may broadcast or televise the proceedings of the Department at an open session if the equipment used:
(1)
Is operated without excessively bright artificial light that disturbs members of the Department or others attending the session; and
(2)
Does not create noise that disturbs members of the Department or others attending the session.
D.
The presiding officer may restrict the movement of an individual who is using a recording device, camera, or broadcasting or televising equipment if this restriction is necessary to maintain the orderly conduct of the session.

Regulation .06 Recordings Not Part of Record.Copy Citation

A recording of an open session made by a member of the public, or any transcript derived from this recording, is not considered a part of the record of any proceeding of the Department.

Chapter 06. Transfer of Funds

Repealed

Chapter 07. Corporate Diversity

Regulation .01 Definitions.Copy Citation

A.
In this chapter, the following terms have the meanings indicated.
B.
Terms Defined.
(1)
“Annual Report” means the report submitted to the Department of Assessments and Taxation pursuant to Tax-Property Article, §11-101, Annotated Code of Maryland.
(2)
“Entity” means:
(a)
A commercial enterprise or business that is required to be in good standing with the State Department of Assessments and Taxation and is:
(i)
Formed in the State; or
(ii)
Registered to do business in the State; or
(b)
A corporation, foundation, school, hospital, or other legal entity for which none of the net earnings inure to the benefit of any private shareholder or individual holding an interest in the entity.
(3)
“Person” has the meaning stated in Tax-Property Article, §1-101, Annotated Code of Maryland.
(4)
“Secretary” means the Secretary of Commerce.
(5)
“Special Secretary” means the Special Secretary of the Governor’s Office of Small, Minority & Women Business Affairs.
(6)
“State benefit” has the meaning stated in Business Regulation Article, §19-106, Annotated Code of Maryland.
(7)
“Underrepresented community” has the meaning stated in Business Regulation Article, §19-106, Annotated Code of Maryland.

Regulation .02 Corporate Diversity Requirements.Copy Citation

A.
The Department of Assessments and Taxation shall include a Corporate Diversity Addendum form with the Annual Report form published by that department.
B.
If the person submitting the Annual Report is an entity subject to this chapter, that person shall complete, on behalf of the entity, the Corporate Diversity Addendum included with the Annual Report.
C.
As more fully described in §D of this regulation, the Corporate Diversity Addendum shall include information on:
(1)
Membership of underrepresented communities in the entity’s board or executive leadership; and
(2)
The entity’s support for underrepresented communities in the entity’s mission.
D.
Required Information.
(1)
In providing information about membership of underrepresented communities in an entity’s board or executive leadership in the Corporate Diversity Addendum, the entity shall report whether it has individuals on its board or in executive leadership from any of the following underrepresented communities, although the content of the response does not affect eligibility for a State benefit pursuant to Regulation .03A of this chapter:
(a)
Alaska Native;
(b)
Asian-Pacific Islander;
(c)
Black or African-American;
(d)
Hispanic or Latino;
(e)
Native American;
(f)
Native Hawaiian;
(g)
One or more of the racial or ethnic groups listed above; or
(h)
None of the above.
(2)
In providing information about its support for underrepresented communities in its mission, an entity shall report whether it engages in any of the following activities, also known as diversity indicators:
(a)
Maintains written workforce diversity, equity, and inclusion (DEI) policies;
(b)
Offers DEI training to its workforce;
(c)
Assigns a senior-level employee as responsible for oversight and direction of the entity’s DEI efforts;
(d)
Reports performance of workforce DEI programs on the entity’s website;
(e)
Includes DEI objectives in performance plans of its managers;
(f)
Publishes information about DEI commitments and efforts on the entity’s website;
(g)
Provides career advancement training and opportunities for its employees, which include members of underrepresented communities;
(h)
Collaborates with educational institutions, or is an educational institution, serving significant or predominant student populations or affinity groups from underrepresented communities;
(i)
Has a supplier diversity policy that provides business opportunities to diverse suppliers, including businesses owned by members of underrepresented communities, such as State-certified minority business enterprises (MBEs);
(j)
Publicizes procurement opportunities to encourage participation from businesses owned by members of underrepresented communities;
(k)
Measures the percentage of contract dollars awarded to businesses owned by members of underrepresented communities, including MBEs; and
(l)
Provides support and outreach to underrepresented communities or organizations that represent underrepresented communities.

Regulation .03 Qualification for a State Benefit.Copy Citation

A.
A State agency shall deny a State benefit to an entity unless the entity:
(1)
Completes the Corporate Diversity Addendum described in Regulation .02 of this chapter and satisfies §C of this regulation; or
(2)
Provides to the State agency providing a State benefit the affidavit described in §B of this regulation, affirming that the entity is not required to submit the Corporate Diversity Addendum.
B.
To affirm that an entity is not required to submit the Corporate Diversity Addendum, the entity shall submit to the State agency providing a State benefit an affidavit signed by a corporate officer or principal of the entity, stating under penalties of perjury, with the name and title of the individual submitting the affidavit, that the entity for which the affidavit is submitted is:
(1)
A sole proprietor;
(2)
A limited liability company owned by a single member;
(3)
A privately held company if at least 75 percent of the company’s shareholders are family members; or
(4)
An entity that:
(a)
Has an annual operating budget or annual sales less than $5,000,000; and
(b)
Does not qualify for a State benefit.
C.
An entity satisfies this section if it reports that it engages in at least 33 percent of the diversity indicators listed in Regulation .02 of this chapter.
D.
To the extent that an entity qualifies for State tax credits totaling $1,000,000 or more but for the entity’s failure to meet the requirement in §C of this regulation, a State agency may not deny the entity tax credits available under Tax-General Article, §§8-207, 8-208, 8-303, 8-406(a), 9-214, 9-315, 10-701, 10-701.1, 10-703, 11-105, and 12-303, Annotated Code of Maryland.
E.
The affidavit required in §B of this regulation shall be submitted in the form and manner prescribed by the State agency conferring the State benefit.

Regulation .04 Administration of Chapter.Copy Citation

A.
This chapter applies to a State benefit for which application, which includes a bid or proposal for a competitively bid procurement contract that is not federally funded in any way, is made after June 30, 2022.
B.
If a State agency receives an application from an entity for a State benefit after June 30, 2022, but before the entity files the Annual Report first due by April 15, 2023, the State agency shall require that the entity provide directly to the State agency either the information required under Regulation .03A of this chapter or the affidavit described in of Regulation .03B of this chapter.
C.
Except as provided in §D of this regulation, after the filing deadline of the 2023 Annual Report, a State agency that receives an application from an entity for a State benefit shall require the entity to provide either the information required under Regulation .03A of this chapter or the affidavit described in Regulation .03B of this chapter .
D.
An entity that has been formed or registered, but which has not yet reached an Annual Report filing deadline and seeks to be considered for a State benefit, shall be permitted to satisfy the requirements of Regulation .03A of this chapter by providing information directly to the State agency providing the benefit.
E.
An entity that was not required to complete the Corporate Diversity Addendum for a prior fiscal year because it was one of the types of entities described in Regulation .03B of this chapter, but to which the corporate diversity requirements become applicable before an Annual Report filing deadline in a subsequent fiscal year, shall be permitted to satisfy the requirements of Regulation .03A of this chapter by providing information directly to the State agency providing the benefit.
F.
An entity may file an Annual Report or an amended Annual Report:
(1)
To file the Corporate Diversity Addendum necessary to satisfy the requirements of Regulation .03A of this chapter; or
(2)
To update or correct information on the Annual Report or the Corporate Diversity Addendum.

Regulation .05 Calculation of State Benefit.Copy Citation

In the case of a State benefit disbursed over more than 1 fiscal year, only the amount disbursed in 1 fiscal year shall count toward the $1,000,000 threshold.

Regulation .06 Audit; Cancellation or Repayment of State Benefit.Copy Citation

A.
An entity shall keep complete and accurate records supporting any information or statement provided to an agency by the entity in the Corporate Diversity Addendum or the affidavit described in Regulation .03B of this chapter for a period of 5 years from the date of submission.
B.
A State agency that has provided a State benefit to an entity subject to this chapter may at any time before or up to 5 years after the provision of the State benefit require any information provided to the agency by the entity in the Corporate Diversity Addendum be audited by the State.
C.
If the State agency that has provided a State benefit to an entity subject to this chapter determines that any representation made by the entity in its Corporate Diversity Addendum or the affidavit described in Regulation .03B of this chapter in connection with its application for the State benefit is false when made, the agency may:
(1)
Cancel the award of the State benefit, in whole or in part as the agency may determine;
(2)
Require repayment of any capital grant or recapture of any tax credit;
(3)
Initiate a State debarment proceeding against an entity that has received a State contract; and
(4)
Seek any other remedy available at law.

Regulation .07 Waiver.Copy Citation

The Secretary and the Special Secretary may jointly waive or vary particular provisions of this chapter to the extent that the waiver is not inconsistent with the provisions of Business Regulation Article, §19-106, Annotated Code of Maryland, or Economic Development Article, §2-108, Annotated Code of Maryland, if:
A.
Conformance to the requirement of any federal, State, or local program necessitates waiver or variance of a regulation; or
B.
In the joint determination of the Secretary and the Special Secretary, the application of a regulation in a specific case or in an emergency situation would be inequitable or contrary to the purposes of the Acts.