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Md. Code Ann., State Fin. & Proc. § 13-214

(a) (1) Subject to § 13-215 of this subtitle and subsection (b) of this section, a unit may enter into a procurement contract based on any method of pricing that will promote the best interests of the State.

(2) If practicable, a unit shall give preference to a fixed-price form of procurement contract.

(b) (1) A unit may not enter into a cost-plus-a-percentage-of-cost procurement contract.

(2) A contractor who is subject to a cost-reimbursement contract may not enter into a cost-plus-a-percentage-of-cost subcontract.

Official source: Maryland General Assembly. Reproduced from public-domain Maryland statutes; confirm against the official source for the current text. Not legal advice.