Local Small Business Reserve Program (LSBRP)
Overview
The Local Small Business Reserve Program (LSBRP) ensures that County departments award 25 percent (with specified exceptions) of their procurements for goods, services and construction to registered and certified local, small businesses. The program assists County departments in identifying solicitations appropriate for LSBRP competition and allows local, small vendors (including non-profits) an opportunity to compete with businesses of similar size and resources for County contracts. Montgomery County-based retailers, construction and trades companies, wholesalers, service firms, and non-profit organizations are encouraged to participate. DBRC staff meet regularly with County department and agency staff to identify LSBRP procurement opportunities.
NEW! Veteran-Owned Business Preference Program (VBPP)
In 2024, the Montgomery County Council amended the LSBRP regulation to expand opportunities for Veteran-Owned Businesses located in the County. This new program, known as the Veteran-Owned Business Preference Program, will be effective starting January 2, 2025. Verified Veteran-Owned businesses that are local to Montgomery County will receive additional evaluation points worth 5% of the total available points for proposals submitted under the LSBRP.
As part of the County Executive’s efforts to assist local small businesses to recover from the COVID-19 recession, the Director of Procurement will require all Informal solicitations to be reserved under the Local Small Business Reserve Program (LSBRP), starting on April 1st, 2021.
Registration/Certification
Montgomery County Government released a new County Vendor Registration System (CVRS) on September 2, 2024. This web-based registration system is available for companies who are interested in providing goods and services to county agencies. It allows potential vendors to create and maintain their registrations at no financial cost, ensuring county agencies always have up-to-date vendor information. Please visit CVRS to register and apply for LSBRP or VBPP certifications. Home Page - Montgomery County Vendor Registration System.
How to Find an LSBRP Vendor
Montgomery County vendors are registered through the County Vendor Registration System (CVRS). Please visit CVRS to search for businesses registered in the Local Small Business Reserve Program.
Do I Qualify for LSBRP?
Eligibility for the LSBRP is determined by ownership type, location, number of employees and gross sales.
Ownership
Independently-owned businesses only; brokers and subsidiary businesses are not eligible. A federal tax number or W-9 in the name of the business is required.
Location
The business must have its principal place of business in Montgomery County defined as follows:- The business has its physical business location(s) only in Montgomery County; or
- The business has physical business locations both in and outside of the County, but the County-based location(s) accounts for over 50% of the business's total number of employees, or over 50% of the business's gross sales.
Sales and Size Criteria
The size and annual revenue thresholds for all business types were recently expanded to encourage greater participation by Montgomery County businesses. The chart below shows current criteria by business category.
| Business Type | Employee Limit | OR | Prior 3 years' Average Sales |
|---|---|---|---|
| Retail | 30 | or | $5,000,000 |
| Wholesale | 30 | or | $5,000,000 |
| Services | 100 | or | $10,000,000 |
| Construction | 50 | or | $14,000,000 |
| Manufacture | 40 | or | $14,000,000 |
Do I Qualify for the Veteran-Owned Business Preference Program (VBPP)?
To be eligible for Veteran-Owned Local Small Business preference points, a business must have both LSBRP and VBPP certifications. Refer to County Code 11B-65 and 11B-66A. Veteran-Owned Local Small Business preference points may only be applied to a Local Small Business that has a valid Veteran-Owned Small Business (VOSB) or Service-Disabled Veteran-Owned Small Businesses (SDVOSB) certificate from the U.S. Small Business Administration or the U.S. Department of Veterans Affairs' Center for Verification and Evaluation.
Vendors must also have a vendor profile on the County Vendor Registration System (CVRS) here: Home Page - Montgomery County Vendor Registration System. Vendors should follow the prompts to upload the required certification documents.
Documents and Resources
- Local Small Business Reserve Program County Code 11B-66A - LBSRP with addition of Veteran-Owned Business Preference Program
- Local Small Business Reserve Program Regulation
- Local Business Programs Annual Reports
- Get Registered and Certified
Contact Information
Michael Brown, Program Manager
Montgomery County Local Small Business Reserve Program
27 Courthouse Square, Ste 330, Rockville, MD 20850
Phone: 240-777-9913
Email: [email protected]