Local Business Preference Program (LBPP)

Overview

Read the press release on the Local Business Preference Program (LBPP).
Effective Date:  8/1/2020                   Legislation: Bill 25-19

  • The County Executive’s Expedited Bill 25-19, Local Business Preference, was unanimously approved by the County Council on June 23, 2020. Executive Regulations 13-20.
  • The Local Business Preference Program (LBPP) is intended to bolster the County’s economic growth and support the creation and retention of employment opportunities within the County. LBPP is a local preference points program, this means that Montgomery County-based businesses will receive an extra 10% preference points on proposals. LBPP requires a 10% price preference for a local business bidding on an IFB or an evaluation factor worth 10% of the total points for a local business submitting a proposal under an RFP for a contract awarded by the County.
  • Preference points do not apply to certain RFPs where State or Federal funding sources may prohibit it. Awards by discount or line item are not subject to the LBPP.
  • The LBPP does not apply to LSBRP IFBs or RFPs

Do I Qualify?

Eligibility for the LBPP is determined by 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.

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.

Preference Applied

IFB requirements and workflow:

Vendors applying for Local Business certification prior to the due date/time, must be certified prior to contract award.

IFB Case Scenario

Vendor Bid Price LBPP 10% $200K ceiling Bid price for evaluation purposes only Proposed Award*

Non-local

$2,850,000

 

 

$2,850,000

NO

Local

$3,000,000

$300,000

$200,000

$2,800,000

YES

Vendor Bid Price LBPP 10% $200K ceiling Bid price for evaluation purposes only Proposed Award*

Non-local

$2,750,000

 

 

$2,750,000

YES

Local

$3,000,000

$300,000

$200,000

$2,800,000

NO

Vendor Bid Price LBPP 10% $200K ceiling Bid price for evaluation purposes only Proposed Award*

Non-local

$1,500,000

 

 

$1,500,000

YES

Local

$1,800,000

$180,000

N/A

$1,620,000

NO

RFP requirements and workflow

Vendors: apply for Local Business certification prior to the due date/time, must be certified prior to contract award LBPP evaluation criterion example for RFPs:

2.   EVALUATION CRITERIA

POINTS

a.Written Proposal Evaluation Criteria      

The QSC will evaluate the written proposals based on the following criteria.

 

 

1.

Experience

80

2.

Price

40

3.

Local Business Preference

 15 

4.

MFD Participation

 15 

 

Highest possible QSC score for written evaluation:

150 

b.Interview Evaluation Criteria  

The QSC will evaluate the interviews based on the following criteria.

 

1.

Team’s explanation of methodology solution 

 60

2.

Price 

 20

3.

Local Business Preference

  10 

4.

MFD Participation

 10

 

Highest possible QSC score for interview evaluation:

 100


Questions and Answers

Contact Information

Michael Brown, Program Manager
Local Business Program Manager
27 Courthouse Square, Ste 330
Rockville, MD 20850
Phone: 240-777-9913
Email: michael.brown@montgomerycountymd.gov