Md. Code, Bus. Reg. § 19-106

(a) (1) In this section the following words have the meanings indicated. (2) “Entity” means: (i) a commercial enterprise or business that is in good standing with the State Department of Assessments and Taxation and is: 1. incorporated in the State; or 2. registered to do business in the State; or (ii) a corporation, foundation, school, hospital, or other legal entity for which none of the net earnings inure to the benefit of any private shareholder or individual holding an interest in the entity. (3) “State benefit” means: (i) State capital grant funding totaling $1,000,000 or more in a single fiscal year; (ii) State tax credits totaling $1,000,000 or more in a single fiscal year; or (iii) the receipt of a State contract with a total value of $1,000,000 or more. (4) “State contract” means a contract that: (i) resulted from a competitive procurement process; and (ii) is not federally funded in any way. (5) “Underrepresented community” means a community whose members self–identify: (i) as Black, African American, Hispanic, Latino, Asian, Pacific Islander, Native American, Native Hawaiian, or Alaska Native; or (ii) with one or more of the racial or ethnic groups listed in item (i) of this paragraph. (b) This section does not apply to: (1) a sole proprietor; (2) a limited liability company owned by a single member; (3) a privately held company if at least 75% of the company’s shareholders are family members; or (4) an entity that: (i) has an annual operating budget or annual sales less than $5,000,000; and (ii) does not qualify for a State benefit. (c) An entity may not qualify for a State benefit unless the entity is able to demonstrate: (1) membership of underrepresented communities in the entity’s board or executive leadership; or (2) support for underrepresented communities in the entity’s mission. (d) The Department of Commerce and the Office of Small, Minority, and Women Business Affairs shall: (1) develop and maintain a State Equity Report that compiles diversity data for each entity on: (i) the membership of underrepresented communities in the entity’s board or executive leadership; and (ii) the support of underrepresented communities in the entity’s mission; and (2) adopt regulations to carry out this section, including directives for State agencies and entities to comply with the requirements in this section.