FOR IMMEDIATE RELEASE

Board's Fight for MBE Participation Gets Results

Comptroller's motion yields a 150 percent MBE increase on University System contract

Annapolis, MD (April 4, 2007) - Following through on its pledge to expand opportunities in the state's Minority Business Enterprise (MBE) program, the Board of Public Works today approved a $40 million service contract at the University System of Maryland that included 25 percent MBE participation.

Originally, this contract was brought before the Board with only 10 percent MBE participation, but Comptroller Peter Franchot moved to delay the contract to give the System more time to seek out qualified MBE companies. Franchot was joined in his motion by Governor Martin O'Malley.

"This is a perfect example of how if you expect and demand more, you can get it. We will no longer be satisfied with the status quo when it comes to MBE participation in state contracts," said Comptroller Franchot. "I commend the University System for going back and doing more work to reach 25 percent participation, but this needs to be done at the front end not when the contract is before the Board of Public Works. I thank the Governor for working with me to ensure that we raise expectations in our state contracting and expand opportunities for MBE companies across Maryland."

The contract in question was first brought before the Board on March 21, 2007. The contract allows for the University System of Maryland campus consortium to contract with multiple consulting firms to provide comprehensive Oracle/People Soft implementation and consulting services.

In its initial form, the contract contained only 10 percent MBE participation because, according to the System, of the specialized nature of the services needed. After questioning from the Comptroller and the Governor, they both voted in favor of the Comptroller's motion to delay the contract for two weeks to give the System more time to search for qualified companies. When presented to the Board today, the System had indeed found more qualified MBE companies and raised the overall MBE participation rate to 25 percent.

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CONTACT: Joe Shapiro, 410-260-7305, office, 240-938-0746, cell