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DGS seeks faster leasing process, fewer newspaper ads and higher sole‑source threshold
Summary
The Department of General Services told the committee House Bill 73 would raise the noncompetitive lease procurement threshold from 2,500 sq ft to 5,000 sq ft, shorten advertising from 30 to 20 days for many procurements, and permit electronic notice instead of newspaper ads to reach commercial brokers more efficiently.
House Bill 73 would modernize state leasing procurement administered by the Department of General Services by raising the noncompetitive threshold from 2,500 to 5,000 square feet for certain small leases, reducing the standard advertising window from 30 to 20 days for many lease procurements, and removing the requirement to advertise in newspapers in favor of electronic posting on e‑procurement platforms and DGS websites.
Why it matters: DGS said the changes will let the agency move faster to meet small office space needs, reduce advertising costs, and reach commercial brokers where they search for opportunities. Opponents representing local press argued the change reduces public transparency about where state government seeks office space.
Atif Chaudhry, Secretary of the Department of General Services, told the committee the bill “seeks to modernize the lease procurement process” and explained three main changes: raising the non‑competitive procurement threshold to meet small space needs more expeditiously, shortening the advertising window for many competitive procurements, and replacing newspaper advertising with electronic postings and broker outreach.
Chaudhry said DGS’s in‑house and contract broker teams use tools such as CoStar and the state’s e‑procurement platform and that, in many rural areas, newspaper ads did not produce responses. He added that DGS will still seek Board of Public Works approval for leases and that larger or more complex procurements will keep longer advertising timeframes when needed.
Rebecca Snyder, executive director of the Maryland‑Delaware‑DC Press Association, testified unfavorably on transparency grounds. She said the public looks to community newspapers for information about government activity and warned that eliminating newspaper notices could reduce public awareness. “The general public does not go to Emma,” she said, referring to the state e‑procurement system.
Committee members questioned how DGS would avoid narrowing competition or favoring incumbent brokers. DGS witnesses said sole‑sourcing is used only when market research shows no other options and that the broker contract is paid by landlord commissions, not state funds. DGS also described targeted outreach, press releases and social media for larger procurements.
Ending note: The hearing recorded both administrative arguments about efficiency and public‑transparency concerns. The transcript shows committee members probing DGS about safeguards for small landlords and minority‑owned properties and about the effect of raising the noncompetitive threshold; no formal action or vote was recorded in the hearing transcript.
