Bill > SB653

This bill establishes a pilot program allowing the Maryland Stadium Authority, Morgan State University, St. Mary's College of Maryland, and Baltimore City Community College to implement an Employee Stock Ownership Plan (ESOP) preference in procurement contracts. The bill permits these institutions to include an ESOP evaluation factor of up to 10% when evaluating competitive sealed proposals, which means companies with employee stock ownership plans can receive additional points or consideration during the bidding process. Contractors participating in this program must provide written verification of their IRS determination letter for their ESOP. The program applies to procurement contracts valued under $80 million and is designed as a temporary pilot, running from July 1, 2025, to June 30, 2030. The participating institutions are required to submit a report by December 1, 2028, detailing the number and dollar value of contracts awarded to ESOP offerors, as well as an evaluation of the program's effectiveness. The goal appears to be encouraging employee ownership and providing a potential competitive advantage to businesses that offer employees a stake in the company through stock ownership plans.

Budget and Finance, Government Affairs, Health and Social Services

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0653?ys=2025RS