Amendment_7.pdf

AMENDMENT 7

DATE: April 21, 2025

STATE OF MARYLAND

DEPARTMENT OF GENERAL SERVICES

Office of State Procurement

IFB NUMBER: BPM048024 / DGSR5600026

CONTRACT TITLE: Oils, Grease and Lubricants

This Amendment is issued to clarify, add to, delete from, correct and/or change the BID documents to the extent indicated and is hereby made a part of the said BID documents on which the contract will be based. This Amendment becomes part of the bid package. COMAR

21.05.02.08 requires all Amendments issued to be acknowledged.

Issued by:

State of Maryland

Department of General Services

Office of Procurement and Logistics

301 W. Preston Street - Room M-3

Baltimore, Maryland 21201

Matthew Smith

DGS Procurement Officer

Matthew.Smith2@maryland.gov

410.767.3039

Acknowledgment Date mailto:Matthew.Smith2@maryland.gov

AMENDMENT 7

DATE: April 21, 2025

STATE OF MARYLAND

DEPARTMENT OF GENERAL SERVICES

Office of State Procurement

IFB NUMBER: BPM048024 / DGSR5600026

CONTRACT TITLE: Oils, Grease and Lubricants

ATTENTION ALL BIDDERS:

Please be advised that as an MBE Goal of 5% has been applied to this solicitation the closing date is now May 12, 2025, 2:00pm Local. IFB BPM048024 has been updated to reflect this information.

In addition to the required documents as referenced in Amendment 6, Section 4 Bid

Submission Information and Instructions, 4.19 Attachments and Documents Required, clarification on IFB Section 3 Standard Terms and Conditions, paragraph 3.4 Liquidated

Damages, 3.4.1 MBE Liquidated Damages and reporting is below:

Chapter 154, Law of Maryland 2012 required the Board of Public Works (BPW) to promulgate a regulation that included a requirement that all contracts containing Minority Business Enterprise

(MBE) participation goals contain a liquidated damages provision that applies in the event that the contractor fails to comply in good faith with the provisions of Subtitle 11 of Title 21 or the pertinent terms of the applicable contract. See § 14-303(b) (5), State Finance and Procurement

Article, Maryland Annotated Code (SFP).

The regulation promulgated by the BPW, effective May 13, 2013, states that: “All contracts containing certified MBE participation goals shall contain a liquidated damages provision that applies if the contractor fails to comply in good faith with the provisions of State MBE laws or the pertinent terms of the procurement contract.” Code of Maryland Regulations (COMAR)

21.11.03.10(E).

Liquidated Damages. The contract requires the contractor to comply in good faith with the

Minority Business Enterprise (“MBE”) Program and contract provisions. The State and the

Contractor acknowledge and agree that the State will incur damages, including but not limited to loss of goodwill, detrimental impact on economic development, and diversion of internal staff resources, if the Contractor does not comply in good faith with the requirements of the MBE

Program and MBE contract provisions. The parties further acknowledge and agree that the damages the State might reasonably anticipate to accrue as a result of such lack of compliance are difficult to ascertain with precision.

Therefore, upon issuance of a written determination by the State that the Contractor failed to comply in good faith with one or more of the specified MBE Program requirements or contract provisions, the Contractor shall pay liquidated damages to the State at the rates set forth below. The

Contractor expressly agrees that the State may withhold payment on any invoices as set-off against liquidated damages owed. The Contractor further agrees that for each specified violation, the agreed upon liquidated damages are reasonably proximate to the loss the State is anticipated to incur as a result of such violation.

a. Failure to submit each monthly payment report in full compliance with COMAR

21.11.03.13B (3): $_________ per day until the monthly report is submitted as required.

b. Failure to include in its agreements with MBE subcontractors a provision requiring submission of payment reports in full compliance with COMAR

21.11.03.13B (4): $________ per MBE subcontractor.

c. Failure to comply with COMAR 21.11.03.12 in terminating, canceling, or changing the scope of work/value of a contract with an MBE subcontractor and/or amendment of the MBE participation schedule: the difference between the dollar value of the MBE participation commitment on the

MBE participation schedule for the specific MBE firm and the dollar value of the work performed by that MBE firm for the contract.

d. Failure to meet the Contractor’s total MBE participation goal and subgoal commitments: the difference between the dollar value of the total MBE participation commitment on the MBE

Participation Schedule and the MBE participation actually achieved.

e. Failure to promptly pay all undisputed amounts to a subcontractor in full compliance with the prompt payment provisions of the Contract: $__________ per day until the undisputed amount due to the subcontractor is paid.

Notwithstanding the use of liquidated damages, the State reserves the right to terminate the contract and exercise all other rights and remedies provided in the Contract or by law.

Prior to contract execution, the Liquidated Damages shall be calculated based on the below formulas in Sections a, b and e of the Liquidated Damages provision:

1: Work Hours. The following are the estimated number of work hours expended in a week to identify a violation and complete the necessary steps to bring the contractor into compliance, including, without limitation, personnel hours to review contract files and reports, phone discussions, internal discussions regarding the breach or violation, and preparation of written internal and external documents and correspondence (including emails) regarding the breach or violation:

Section a (failure to submit one of the monthly payment reports) = 4 hours

Section b (failure to include subcontractor payment report provision per MBE contractor) = 2 hours

Section e (failure to pay an undisputed subcontractor payment) = 15 hours

Step 2: Work Allocation. Allocate the estimated number of weekly work hours determined in accordance with Step 1 among the employees who are involved in identifying and completing the necessary steps to bring a contractor into compliance. For example, using the estimate of 4 weekly work hours for Section a of the liquidated damages provision, an agency could allocate 3.5 weekly work hours for the work performed by the MBE Liaison and .5 weekly work hours for the work performed by the Procurement Officer.

Step 3: Pay Rate. Determine the fully loaded hourly pay rate for each of the employees who were identified in Step 2. The fully loaded pay rate shall include the base salary and any State-paid benefits. For example, for the MBE Liaison, the agency will determine the salary for the applicable position, add the dollar amount for the estimated State-benefits and, based on this information, determine the fully loaded hourly pay rate. Instead of the actual salary, the agency may use the mid-point of the appropriate position classification to estimate the hourly rate. Agencies should consult their human resources department to determine these rates.

Step 4: Weekly Rate. Multiply the number of weekly work hours allocated for each employee in

Step 2 by the fully loaded hourly pay rate determined for that employee in Step 3 to obtain the weekly rate for each employee.

Step 5: Agency Rate. Determine the agency rate by totaling the weekly rates from Step

4 for all of the employees. The agency rate in the example would be calculated by adding the weekly rate for the MBE Liaison to the weekly rate for the Procurement Officer.

Step 6: Complete Section b. Insert the agency rate as the dollar amount for Section b of the liquidated damages provision.

Step 7: Daily Rate. Divide the agency rate calculated in Step 5 by 7 to determine the daily rate.

Step 8: Complete Sections a and e. Insert the daily rate as the dollar amount for Sections a and e of the liquidated damages provision. Notwithstanding the foregoing calculations, it is recommended that the daily liquidated damages amount for Section e not exceed $100 per day. Note: Section e does not apply to contracts that are subject to Section 15-226 of the State Finance and Procurement

Article.

Questions about guidelines for the State’s liquidated damages provisions may be directed to:

Governor’s Office of Small, Minority & Women Business Affairs

100 Community Place, 3rd Floor Crownsville, MD 21032

410-697-9600 info.goMDsmallbiz@maryland.gov

The following questions have been raised in regard to this solicitation:

Q1. I am looking over this bid request and you show a quantity of 100 for each of the line items, is this an accurate number ? Many of these items come in cases of 6 or 12.

can you please clarify the quantities

A1. Please refer to the requested quantities in Appendix 1 – Bid Form and provide the pricing as requested.

END OF AMENDMENT #7

Appendix 4. MBE Participation Goal

4.1. Establishment of Goal and Subgoals

An overall MBE subcontractor participation goal as identified in the Key Information Summary Sheet has been established for this procurement, representing a percentage of the total Contract dollar value, including all renewal option terms, if any, has been established for this procurement.

Notwithstanding any subgoals established for this IFB/RFP, the Contractor is encouraged to use a diverse group of subcontractors and suppliers from any/all the various MBE classifications to meet the remainder of the overall MBE participation goal.

By submitting a response to this solicitation, the Bidder/Offeror acknowledges the overall MBE subcontractor participation goal and subgoals, and commits to achieving the overall goal and subgoals by utilizing certified minority business enterprises, or requests a full or partial waiver of the overall goal and subgoals.

A Bidder/Offeror that does not commit to meeting the entire MBE participation goal outlined in the

IFB/RFP must select and request for waiver in the form D-1A Part 2 with its bid/proposal submission.

Failure of a Bidder/Offeror to properly complete, sign, and submit Attachment D-1A at the time it submits its Bid/Proposal to the IFB/RFP may result in the State’s rejection of the Bidder’s Bid/Offeror’s

Proposal. FAILURE TO SUBMIT THE FORM D-1A IS NOT CURABLE. THE ENTIRE

BID/PROPOSAL MAY BE REJECTED IF D-1A IS NOT CORRECTLY FILLED OUT.

4.2. Attachments

a) D-1 to D-5 – The following Minority Business Enterprise participation instructions, and forms are provided to assist Bidders/Offerors:

1. Attachment D-1A MBE Utilization and Fair Solicitation Affidavit & MBE Participation

Schedule (must be submitted with Bid/Proposal)

2. Attachment D-1B Waiver Guidance

3. Attachment D-1C Good Faith Efforts Documentation to Support Waiver Request

4. Attachment D-2 Outreach Efforts Compliance Statement

5. Attachment D-3A MBE Subcontractor Project Participation Certification

6. Attachment D-3B MBE Prime Project Participation Certification

7. Attachment D-4A Prime Contractor Paid/Unpaid MBE Invoice Report

8. Attachment D-4B MBE Prime Contractor Report

9. Attachment D-5 Subcontractor Paid/Unpaid MBE Invoice Report

The Bidder/Offeror shall include with its Bid/Proposal a completed MBE Utilization and Fair Solicitation

Affidavit (Attachment D-1A) whereby:

1. The Bidder/Offeror acknowledges the certified MBE participation goal and commits to make a good faith effort to achieve the goal and any applicable subgoals, or requests a waiver, and affirms that MBE subcontractors were treated fairly in the solicitation process;

and

2. The Bidder/Offeror responds to the expected degree of MBE participation, as stated in the solicitation, by identifying the specific commitment of certified MBEs at the time of

Bid/Proposal submission. The Bidder/Offeror shall specify the percentage of total contract value associated with each MBE subcontractor identified on the MBE participation schedule, including any work performed by the MBE prime (including a prime participating as a joint venture) to be counted towards meeting the MBE participation goals.

3. The Bidder/Offeror requesting a waiver should review Attachment D-1B (Waiver

Guidance) and D-1C (Good Faith Efforts Documentation to Support Waiver Request) prior to submitting its request.

A Bidder/Offeror must properly complete and submit a separate Attachment D-1A, MBE Utilization and Fair Solicitation Affidavit & MBE Participation Schedule, for EACH Functional Area (I and II) for which it is submitting a Bid/Proposal. If a Bidder/Offeror is submitting a Bid/Proposal for each of

Functional Area I and II, the Bidder/Offeror must submit two separate Attachment D-1As, one for each of the two Functional Areas.

If the Bidder/Offeror fails to submit a completed Attachment D-1A with the Bid/Proposal as required, the

Procurement Officer shall determine that the Bid/Proposal is not responsive, unless the inaccuracy is determined to be the result of a minor irregularity that is waived or cured in accordance with COMAR

21.06.02.04.

Bidders/Offerors are responsible for verifying that each MBE (including any MBE prime and

MBE prime participating in a joint venture) selected to meet the goal and any subgoals and subsequently identified in Attachment D-1A is appropriately certified and has the correct NAICS codes allowing it to perform the committed work.

Within ten (10) Business Days from notification that it is the recommended awardee or from the date of the actual award, whichever is earlier, the Bidder/Offerors must provide the following documentation to the Procurement Officer:

a) Outreach Efforts Compliance Statement (Attachment D-2);

b) MBE Subcontractor/Prime Project Participation Certification (Attachment D-3A/3B); and

c) Any other documentation required by the Procurement Officer to ascertain Bidder/Offeror responsibility in connection with the certified MBE subcontractor participation goal or any applicable subgoals.

d) A recommended awardee that requested a waiver of the goal or any of the applicable subgoals (in whole or in part) will be responsible for submitting the Good Faith Efforts Documentation to Support Waiver Request

(Attachment D-1C) and all documentation, within ten (10) Business Days from notification that it is the recommended awardee or from the date of the actual award, whichever is earlier, as required in COMAR

21.11.03.11.

If the recommended awardee fails to return each completed document within the required time, the

Procurement Officer may determine that the recommended awardee is not responsible and, therefore, not eligible for Contract award. If the Contract has already been awarded, the award is voidable.

A current directory of certified MBEs is available through the Maryland State Department of

Transportation (MDOT), Office of Minority Business Enterprise, 7201 Corporate Center Drive, Hanover, Maryland 21076. The phone numbers are (410) 865-1269, 1-800-544-6056, or TTY (410)

865-1342. The directory is also available on the MDOT website at http://mbe.mdot.maryland.gov/directory/. The most current and up-to-date information on MBEs is available via this website. Only MDOT-certified MBEs may be used to meet the MBE subcontracting goals.

All documents, including the MBE Utilization and Fair Solicitation Affidavit & MBE

Participation Schedule (Attachment D-1A), completed and submitted by the Bidder/Offeror in connection with its certified MBE participation commitment shall be considered a part of the

Contract and are hereby expressly incorporated into the Contract by reference thereto. All of the referenced documents will be considered a part of the Bid/Proposal for order of precedence purposes

(see Exhibit 2 – Sample Contract).

As set forth in COMAR 21.11.03.12-1(D), when a certified MBE firm participates on a contract as a prime contractor (including a joint-venture where the MBE firm is a partner), a procurement agency may count the distinct, clearly defined portion of the work of the contract that the certified

MBE firm performs with its own work force towards fulfilling up to fifty-percent (50%) of the MBE participation goal (overall) and up to one hundred percent (100%) of not more than one of the MBE participation subgoals, if any, established for the contract. (e.g., if the contract has a 5% MBE goal, the prime contractor can self-perform up to 2.5% of the goal)

In order to receive credit for self-performance, an MBE prime must list itself in Section 4A of the

MBE Participation Schedule (Attachment D-1A) and include information regarding the work it will self-perform. For the remaining portion of the overall goal and the subgoals, the MBE prime must also identify other certified MBE subcontractors [see Section 4B of the MBE Participation Schedule

(Attachment D-1A)] used to meet those goals. If dually-certified, the MBE prime can be designated as only one of the MBE subgoal classifications but can self-perform up to 100% of the stated subgoal.

As set forth in COMAR 21.11.03.12-1, once the Contract work begins, the work performed by a certified MBE firm, including an MBE prime, can only be counted towards the MBE participation goal(s) if the MBE firm is performing a commercially useful function on the Contract. Refer to MBE forms (Attachment D) for additional information.

4.3. Minority Business Enterprise (MBE) Reports

If this solicitation includes an MBE Goal (see Key Information Summary Sheet), the Contractor shall:

a) Submit the following reports by the 10th of each month to the Contract Monitor and the MBE Liaison

Officer:

1) A Prime Contractor Paid/Unpaid MBE Invoice Report (Attachment D-4A) listing any unpaid invoices, over 45 days old, received from any certified MBE subcontractor, the amount of each invoice and the reason payment has not been made; and http://mbe.mdot.maryland.gov/directory/

2) (If Applicable) An MBE Prime Contractor Report (Attachment D-4B) identifying an MBE prime’s self-performing work to be counted towards the MBE participation goals.

b) Include in its agreements with its certified MBE subcontractors a requirement that those subcontractors submit an MBE Subcontractor Paid/Unpaid Invoice Report (Attachment D-5) by the 10th of each month to the Contract Monitor and the MBE Liaison Officer that identifies the Contract and lists all payments to the MBE subcontractor received from the Contractor in the preceding reporting period month, as well as any outstanding invoices, and the amounts of those invoices.

c) Maintain such records as are necessary to confirm compliance with its MBE participation obligations.

These records must indicate the identity of certified minority and non-minority subcontractors employed on the Contract, type of work performed by each, and actual dollar value of work performed.

Subcontract agreements documenting the work performed by all MBE participants must be retained by the Contractor and furnished to the Procurement Officer on request.

d) Consent to provide such documentation as reasonably requested and to provide right-of-entry at reasonable times for purposes of the State’s representatives verifying compliance with the MBE participation obligations. Contractor must retain all records concerning MBE participation and make them available for State inspection for three years after final completion of the Contract.

e) Upon completion of the Contract and before final payment and release of retainage, submit a final report in affidavit form and under penalty of perjury, of all payments made to, or withheld from MBE subcontractors.