State Procurement - Preferences - Historically Underutilized Business Zone Businesses

SB 232 requires Maryland state agencies to meet annual procurement targets for businesses located in designated "Historically Underutilized Business Zones" (HUBZBs), starting at 1% of total procurement spending in 2026-2027 and rising to 3% by 2029. It mandates the Governor’s Office of Small, Minority, and Women Business Affairs to create a certification process verifying HUBZB eligibility based on federal SBA standards and location within designated zones. The bill directly affects state procurement units and qualifying HUBZB businesses, which must meet size criteria (e.g., revenue or employee thresholds) to participate. It establishes penalties for noncompliance but does not alter existing small business definitions beyond the HUBZB category.