Agenda Item 18
February 11,2014
Public Hearing
MEMORANDUM
February 7, 2014
TO:
Transportation, Infrastructure, Energy and Environment Committee
FROM:
Robert H. Drummer, Senior Legislative Attorney
MCj
SUBJECT:
Public Hearing: Bill 7-14, Contracts and Procurement - Certified Green
Business Program
Bill 7-14, Contracts and Procurement - Certified Green Business Program, sponsored by
Councilmembers Berliner, Floreen, Riemer, Council President Rice, and Councilmembers EIrich,
Andrews, and Navarro, was introduced on January 28, 2014. A Transportation, Infrastructure,
Energy and Environment Committee worksession is tentatively scheduled for February 26, 2014
at 9:30 a.m.
Bill 7-14 would create a preference for a certified green business in the law governing the
County's procurement of goods and services. It would also require the Executive to adopt a
regulation implementing the preference for a certified green business.
The Department of Environmental Protection has developed a green business program
where it certifies businesses that satisfy a checklist of required actions. However, there is no
direct financial incentive for a business to be certified. This bill would provide a potential direct
financial incentive for a green business that bids on County contracts. The Bill would encourage
businesses to develop strategies for protecting the environment in their day to day operations.
Councilmember Berliner explained the purpose of this Bill in his January 14 memorandum
describing his proposed energy/environmental measures. See ©20 of Bill 2-14, Agenda Item 13.
The Fiscal and Economic Impact statement for this Bill will be transmitted after March
17 (see ©6).
This packet contains:
Bill 7-14
Legislative Request Report
OMB and Finance Memo
Circle #
I
5
6
F:\LAW\BILLS\1407 Contracts And Procurement - Certified Green Business Program\Public Hearing Memo,Doc
 PDF to HTML - Convert PDF files to HTML files
Bill No.
7-14
Concerning: Contracts and Procurement
- Certified Green Business Prog ram
Revised: January 15, 2014 Draft No.
L
Introduced:
January 28,2014
Expires:
July 28, 2015
Enacted: _ _ _ _ _ _ _ _ __
Executive: _ _ _ _ _ _ _ _ __
Effective: _ _ _ _ _ _ _ _ __
Sunset Date: ----'-'-No=n"."e'---_:--_ _ __
Ch. _ _, Laws of Mont. Co. _ _ __
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
By: Councilmembers Berliner, Floreen, and Riemer, Council President Rice, and Councilmembers
EIrich, Andrews, and Navarro
AN
ACT to:
(1)
(2)
(2)
create a preference in the procurement of goods and services by the County for a
certified green business;
require the County Executive to adopt a regulation implementing the preference for
a certified green business; and
generally amend the law governing the County's procurement of goods.
By adding
Montgomery County Code
Chapter
11
B, Contracts and Procurement
Article XVII
Section
11
B-77
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets]]
* * *
Heading or defined term.
Added to existing law by original bill.
Deletedfrom existing law by original bill.
Added by amendment.
Deleted from existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County, Maryland approves the following Act:
 PDF to HTML - Convert PDF files to HTML files
BILL
No. 7-14
1
Article XVII is added as follows:
Article XVII. Certified Green Business Program.
lIB-77. Certified Green Business Program.
(ill
Definitions.
In this Article the following terms have the following
2
3
4
5
6
meanmgs:
Certified green business
means g business accepted as g green business
by
the Department ofEnvironmental Protection.
Director
means the Director of the Department of Environmental
7
8
9
10
11
12
13
14
15
Protection.
Green
business
means
g
forward-looking
business
that
has
demonstrated innovative environmental responsibility
by
embedding
issues of sustainability into their day to day operations and supply chain
decisions.
Green business evaluation (actor
means an evaluation factor in g
request for proposals that gives an offeror credit for being g certified
green business.
Percentage price preterence
means the percent
by
which g responsive
16
17
18
bid from g responsible bidder who is g certified green business may
exceed the lowest responsive bid submitted
by
g responsible bidder who
is not g certified green business.
19
20
21
®
Regulation.
The Executive must adopt g Method
.2
regulation that
22
23
includes:
ill
ill
g checklist of required actions necessary for g business to be
certified as g green business;
an application process for g business to be certified as 2 green
business;
24
25
26
@f:\laW\biflS\1407 contracts and procurement - certified green business program\bill2 ..
 PDF to HTML - Convert PDF files to HTML files
BILL
No. 7-14
27
ill
ill
ill
(Q)
~
~
percentage price preference for
~
certified green business under
solicitation for competitive sealed bidding;
green business evaluation factor for use
In
~
28
29
~
request for
30
31
32
33
34
35
36
37
38
proposals; and
~
list of approved private organizations and government agencies
that provide green business certification.
Certification.
The Director may:
ill
directly certify
~
business that satisfies the checklist of required
actions established
Qy
regulation as
~
green business; or
ill
accept the green business certification of
~
green business
Qy
any
private organization or government agency that the Director finds
substantially duplicates the required actions established
Qy
regulation.
39
40
@
Role gf Office gf Procurement and Department gf Environmental
Protection.
41
42
43
44
45
46
47
48
ill
The Office of Procurement must review all specifications of the
Using Departments and all cooperative purchasing agreements to
ensure compliance with this Section, appropriate use of
~
percentage price preference or
~
green business evaluation factor,
and consistency among Using Departments procuring similar
goods and services.
ill
The Department of Environmental Protection must operate the
green certification process and maintain
have been certified as
~
green business.
~
49
50
list of businesses that
51
52
53
W
Report
In!.
Office gf Procurement.
The Director of the Office of
Procurement, after consulting with the Director of Environmental
Protection, must submit
~
report to the County Council and County
&:\laW\billS\1407 contracts and procurement - certified green business program\bill 2.,
 PDF to HTML - Convert PDF files to HTML files
BILL
No.
7-14
54
Executive
Qy
September 30 each year about implementation of this
Section for the prior fiscal year. The report should include:
55
56
ill
ill
the dollar value of goods and services purchased from
f!
certified
green business;
to the extent ascertainable, the additional cost of any contracts
awarded to
f!
certified green business under
f!
percentage price
preference;
57
58
59
60
61
62
63
ill
f!
summary of applications for certification as
f!
green business
made during the year, including the results of each application;
64
65
ill
ill
®
Approved:
f!
list of certified green businesses;
suggested legislative or administrative changes; and
any other relevant information.
66
67
Craig
L.
Rice, President, County Council
Date
68
69
Approved:
Isiah Leggett, County Executive
Date
70
71
This is a correct copy o/Council action.
Linda M. Lauer, Clerk of the Council
Date
Bf:llaW\billS\1407 contracts and procurement - certified green business program\bill2.,
 PDF to HTML - Convert PDF files to HTML files
LEGISLATIVE REQUEST REPORT
Bill 7-14
Contracts and Procurement
-
Certified Green Business Program
DESCRIPTION:
PROBLEM:
This Bill would create a preference for a certified green business in
the County's procurement regulations.
The Department of Environmental Protection has developed a green
business program where it certifies businesses that satisfy a checklist
of required actions. However, there is no direct financial incentive
for a business to be certified. This bill would provide a potential
direct financial incentive for a green business that bids on County
contracts.
The goal is to encourage businesses to develop strategies for
protecting the environment in their day to day operations.
DEP, DGS, County Attorney
To be requested.
To be requested.
To be requested.
To be researched.
Robert H. Drummer, 240-777-7895
To be researched.
GOALS AND
OBJECTIVES:
COORDINATION:
FISCAL IMPACT:
ECONOMIC
IMPACT:
EVALUATION:
EXPERIENCE
ELSEWHERE:
SOURCE OF
INFORMATION:
APPLICATION
WITHIN
MUNICIPALITIES:
PENALTIES:
None
F:\LAw\BILLS\1407 Contracts And Procurement - Certified Green Business Program\LEGISLATIVE REQUEST REPORT-Doc
 PDF to HTML - Convert PDF files to HTML files
ROC:KvlU.E, IVlARYIAND
M.El\10RANDUM
February 5,
2014
TO;
Craig Rice,
Jennifer
A. I
)jl1ce
of Management and Budget
partment of Finance
c·"l
FROM:
Joseph F. Bine}!,
Di
\.J.
/
SUBJECTS:
Bill 14, Enviromne{;tal
Sustainabijity -
Buildings -
Benchmarking
Bill 3-14, Buildings-
Energy Efficiency ,--
Energy
Standards
B
i
U4-14.
Street
and Roads ....
County Street
Lights
Bill 5-14,
Environmental Sustainability ,...
Socia! Cost of Carbon Assessments
Bill 6-14,
Environmental
Sustainabiiity - Office of Sustainability - Established
Bil.! 7-14, Contracts and Procurement - Certified Green Business Program
Bill 8-14, Buildings - County Buildings ..... Clean Energy
Renewable Technology
Bill 9-14, Environmental Sustainability - Renewable Energy - County Purchase
Bill 1O-14, Buildings --
Solar
Permits--
Expedited
Review
Bill 11-14, Buildings .... f:-:iectric Vehicle Charging Station Permits .. , Expedited
Review
As required
by
Section 2-81.'\ of
the
County Code, we are
infhrming
you that transmittal of
the fiscal and econorn [c impact
statements
for the above referenced legislation will be delayed
because more time is needed
to coordinate with the affected departments,
coHeel information, and
complete our analysis of the fiscal and economic
impacts.
While we are not able to conduct the
required detailed analyses at this time,
it
is
clear
that a number of these bills could have significant
fiscal impacts.
Due to this year's heavy workload on Executive branch stltff in developing both
allill
capital
budget and an operating hudg('t,
t.he
fiscal and
economic st.'ltemcnts will be transmitted after March
17,2014·.
JAH:tz
cc: Bonnie Kirkland, Assistant Chief Administrative
Ofticer
Lisa. Austin, Offices of the County Executive
Joy
Nurmi. Special Assistant to the
County
Executive
Patrick
Lacetkid,
Director, Public
Information
Office
Marc P. Hansen, Office of the Connty Attomcy
Robert Hagecioorn,
DepartmcnI of Finance
I)avid Platt Department of
Finance
Alex Espinosa, Office of 1'.hnagement and
Budget
Mary Beck, Office of
Management
and Budget
Naeem Mia, Office of Management and Budget
Felicia Zhang,
Offk·(~
of
Management and Budget