Section 5-326 - Minority business enterprise requirement.

§ 5-326. Minority business enterprise requirement.
 

(a)  "Minority business enterprise" defined.- In this section, "minority business enterprise" has the meaning stated in § 14-301 of the State Finance and Procurement Article. 

(b)  Scope of section.-  

(1) This section applies to financial assistance that exceeds $100,000. 

(2) This section does not apply to financial assistance that is used solely to acquire real property or structures on real property. 

(c)  Application of local program.-  

(1) If a local government that receives financial assistance has a program for promoting procurement opportunities among minority businesses that is acceptable to the Department, the local government shall apply the requirements of that program to procurement made with the proceeds of financial assistance. 

(2) If the local government does not have a program that is acceptable to the Department under paragraph (1) of this subsection, the local government is subject to subsection (d) of this section. 

(d)  Compliance agreement.-  

(1) An entity other than a local government, or a local government in accordance with subsection (c)(2) of this section, that receives financial assistance shall agree to include in the agreement providing the financial assistance a provision acceptable to the Department that would encourage the procurement from minority business enterprises of goods or services purchased with the proceeds from the financial assistance. 

(2) In negotiating the provision required under paragraph (1) of this subsection, the Department shall take into account relevant factors, including: 

(i) the intended use of the proceeds from the financial assistance; and 

(ii) the feasibility of obtaining the required goods or services from minority business enterprises. 

(e)  Reporting.- The Department may require a recipient of financial assistance to submit to the Department a list, or an updated list, of the minority business enterprises from which goods or services were procured and the nature and cost of the goods or services. 
 

[An. Code 1957, art. 83A, § 5-1411; 2008, ch. 306, § 2.]