Maryland Statutes
Part II - Source Selection
Section 13-207 - Bid Security

(a)    Except as otherwise provided in this section, a procurement officer may not require a bidder or offeror to provide bid security on a procurement contract if the procurement officer expects the price to be $100,000 or less.
    (b)    (1)    A procurement officer shall require a bidder or offeror to provide bid security on a procurement contract for construction if:
            (i)    the price is expected to exceed $100,000; or
            (ii)    the price is expected to be $100,000 or less but federal law or a condition of federal assistance requires the security.
        (2)    The amount of bid security required for a procurement contract for construction shall be:
            (i)    at least 5% of the bid or price proposal; or
            (ii)    if the bid or price proposal states a rate but not a total price, an amount determined by the procurement officer.
    (c)    (1)    A procurement officer may require a bidder or offeror to provide bid security on a procurement contract for services, supplies, or construction related services if the price of the procurement contract is expected to exceed $50,000.
        (2)    A procurement officer shall require a bidder or offeror to provide bid security on a procurement contract for services, supplies, or construction related services if federal law or a condition of federal assistance requires the security.
        (3)    The amount of bid security required for a procurement contract for services, supplies, or construction related services shall be an amount determined by the procurement officer. If a bid or proposal states a rate but not a total price, the procurement officer shall determine the dollar amount of the bid security.
    (d)    Bid security under this section shall be:
        (1)    a bond provided by a surety company authorized to do business in the State;
        (2)    cash; or
        (3)    another form of security allowed by regulation.

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