Appendix 8.pdf

Appendix 8. Economic Benefit Factors Effective Date: July 2024

Appendix 8. Economic Benefit Factors [[This section is discretionary, see COMAR 21.05.03.03 and the BPW Advisory 1996-4. If you are not requiring economic benefits as an evaluation criteria, do not include this appendix. Also remove the associated evaluation criteria from Section 6.2.4 Economic Benefit to State of Maryland from the RFP template.]] The following information is provided to assist potential offerors in completing their Technical Proposal submission for Economic Benefit Factors under Tab O.

1) The Offeror shall submit with its Proposal a narrative describing benefits that will accrue to the Maryland economy as a direct or indirect result of its performance of the Contract. Proposals will be evaluated to assess the benefit to Maryland’s economy specifically offered. The economic benefit offered should be consistent with the Offeror’s Total Proposal Price from Attachment B, the Financial Proposal Form. See

COMAR 21.05.03.03A (3).

[[Note: The default wording in the last sentence of the paragraph above may not be appropriate to use in all circumstances, such as when multiple awards are possible and Offerors will not know the amount of services each will be requested to provide until after Contract award. For such situations, the Agency/Procurement Unit should include, in lieu of the default wording provided above, some alternative basis for Offerors to project the economic benefit of their Proposals. i.e. such benefit might be based upon each $1,000, $10,000, etc. of Contract value; or the benefit may be requested as part of a task order Proposal in response to a task order RFP.]]

2) Proposals that identify specific benefits as being contractually enforceable commitments will be rated more favorably than Proposals that do not identify specific benefits as contractual commitments, all other factors being equal.

3) Offerors shall identify any performance guarantees that will be enforceable by the State if the full level of promised benefit is not achieved during the Contract term.

4) As applicable, for the full duration of the Contract, including any renewal period, or until the commitment is satisfied, the Contractor shall provide to the Procurement Officer or other designated agency personnel reports of the actual attainment of each benefit listed in response to this section. These benefit attainment reports shall be provided quarterly, unless elsewhere in these specifications a different reporting frequency is stated.

5) In responding to this section, the following do not generally constitute economic benefits to be derived from the Contract:

a) generic statements that the State will benefit from the Offeror’s superior performance under the Contract;

b) descriptions of the number of Offeror employees located in Maryland other than those that will be performing work under the Contract; or

c) tax revenues from Maryland-based employees or locations, other than those that will be performing, or used to perform, work under the Contract.

6) Discussion of Maryland-based employees or locations may be appropriate if the Offeror makes some projection or guarantee of increased or retained presence based upon being awarded the Contract.

Appendix 8. Economic Benefit Factors Effective Date: July 2024

7) Examples of economic benefits to be derived from a contract may include any of the following. For each factor identified below, identify the specific benefit and contractual commitments and provide a breakdown of expenditures in that category:

a) The Contract dollars to be recycled into Maryland’s economy in support of the

Contract, through the use of Maryland subcontractors, suppliers and joint venture partners. Do not include actual fees or rates paid to subcontractors or information from your Financial Proposal;

b) The number and types of jobs for Maryland residents resulting from the Contract. Indicate job classifications, number of employees in each classification and the aggregate payroll to which the Offeror has committed, including contractual commitments at both prime and, if applicable, subcontract levels; and whether Maryland employees working at least 30 hours per week and are employed at least 120 days during a 12-month period will receive paid leave.

If no new positions or subcontracts are anticipated as a result of the Contract, so state explicitly;

c) Tax revenues to be generated for Maryland and its political subdivisions as a result of the Contract. Indicate tax category (sales taxes, payroll taxes, inventory taxes and estimated personal income taxes for new employees). Provide a forecast of the total tax revenues resulting from the Contract;

d) Subcontract dollars committed to Maryland small businesses and MBEs; and

e) Other benefits to the Maryland economy which the Offeror promises will result from awarding the Contract to the Offeror, including contractual commitments.

Describe the benefit, its value to the Maryland economy, and how it will result from, or because of the Contract award. Offerors may commit to benefits that are not directly attributable to the Contract, but for which the Contract award may serve as a catalyst or impetus.