MarylandSB 07052025 Regular SessionSenate

Department of Information Technology - Major Information Technology Development Projects - Oversight

Sponsored By: Katie Fry Hester (Democratic)

Became Law

Information Technology - GenerallyAccessibility - see also- Blind; Deaf; Disabilities; etcAdministrative AgenciesAppropriationsArtificial Intelligence -see also- BiometricsAuditors and AuditsBudget and Management, Department ofBudgets -see also- Capital BudgetsCommittees and CommissionsContracts -see also- ProcurementCybersecurityDisabilitiesDisclosureElectronic GovernmentEthicsGeneral Assembly -see also- AELR Cmte; LegislativePolCmteGeneral Services, Department ofGoods and Services -see also- Retail Sales; TermnSvc; TrfGdsGovernorHuman Infrastructure -see also- WLEInformation Technology, Department ofIntergovernmental Cooperation -see also- AdmAgn; Cmts; etc.Internet -see also- Internet AccessLanguage -see also- Communications; LiteracyLegislative Services, Department ofNoticesOpen GovernmentPrices -see also- Consumer Price IndexPrivacyProcurementRecruitment and HiringReportsRevenue and Taxes -see also- (specific tax)Rules and RegulationsSalaries and Compensation -see also- Overtime; Reimb. RatesSignaturesStandards and Best PracticesStudies -see also- Commitees & Commissions; ReportsTelecommunications and Information TechnologyTimeWork, Labor, and Employment -see also- JobTrn; Leave; etc.

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Bill Overview

Analyzed Economic Effects

5 provisions identified: 3 benefits, 0 costs, 2 mixed.

Transferred state workers keep pay and benefits

The governor may transfer up to 50 filled or vacant positions to the Office of Digital Experience by June 30, 2026. The positions and associated funds must already be included in the fiscal 2026 operating budget. Employees whose positions move keep their rights, pay, status, working conditions, benefits, and retirement benefit status without loss.

Maryland sets faster technology funding rules

By July 1, 2026, Maryland's technology department must set standards for choosing older systems for faster modernization funding. It must also adopt a model for evaluating and monitoring investments and prepare a State Modernization Plan. The technology secretary must create funding rules that let agencies apply twice a year for projects aligned with that plan. The process must follow state purchasing goals and preferences, encourage small and minority-owned vendors, and check agency and vendor compliance. Applications do not guarantee funding.

Maryland tightens technology spending oversight

State agencies cannot buy or rent technology unless the technology secretary finds it consistent with the statewide master plan. Technology investment fund requests require project information and compliance with state plans, policies, and standards. Major projects also need approved development plans covering outcomes, scope, risks, costs, and funding; funding can come in stages. Public colleges and universities are excluded from these funding-review rules. Agency technology chiefs must meet quarterly with the secretary about planned or ongoing major projects; reallocations over $500,000 require a proposal for 60-day legislative review.

Maryland creates teams to improve online services

Maryland creates an Office of Digital Experience, led by an appointed chief, to modernize major technology projects across agencies. Its Digital Service Unit helps agencies build accessible, user-friendly services in multiple languages and streamline websites and apps. Agencies must work with the Unit to align digital spending with state goals and the statewide technology plan. A new oversight division sets project standards, monitors teams, provides help or intervention, and staffs a discovery team. The Office may charge agencies for its services using their technology investment fund money or other project funds.

Maryland shifts funds but limits new spending

With the governor's approval, budget officials may transfer up to $4.3 million in fiscal 2026 staff augmentation funds to the new Office. They may also transfer up to 20% of the technology department's remaining fiscal 2026 operating appropriation into the technology investment fund. These transfers must occur by June 30, 2026; except for authorized transfers, implementation cannot use general funds beyond the department's fiscal 2026 budget. During fiscal 2026, the department must pursue one statewide productivity software license, with exceptions for agency needs. It must also seek other statewide licensing and service savings; identified savings go to the technology investment fund.

Sponsors & Cosponsors

Sponsor

Katie Fry Hester
Democratic • Senate

Cosponsors

Stephen S. Hershey
Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 183 • No: 0

House vote • 4/7/2025

Third Reading Passed

Yes: 140 • No: 0 • Other: 1

Senate vote • 4/5/2025