Maryland 2022 2022 Regular Session

Maryland House Bill HB1205 Enrolled / Bill

Filed 04/14/2022

                     
 
EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. 
        [Brackets] indicate matter deleted from existing law. 
         Underlining indicates amendments to bill. 
         Strike out indicates matter stricken from the bill by amendment or deleted from the law by 
amendment. 
         Italics indicate opposite chamber/conference committee amendments. 
          *hb1205*  
  
HOUSE BILL 1205 
S2, P1, S1 	EMERGENCY BILL 	(2lr1777) 
ENROLLED BILL 
— Health and Government Operations and Appropriations/Budget and Taxation — 
Introduced by Delegates P. Young, Kerr, Feldmark, Bartlett, Kelly, Kipke, and 
McIntosh McIntosh, Bagnall, Bhandari, Carr, Chisholm, Cullison, Hill, 
Johnson, Kaiser, Landis, R. Lewis, Morgan, Pena–Melnyk, Pendergrass, 
Reilly, Rosenberg, Saab, Sample–Hughes, Szeliga, and K. Young 
 
Read and Examined by Proofreaders: 
 
_______________________________________________ 
Proofreader. 
_______________________________________________ 
Proofreader. 
 
Sealed with the Great Seal and presented to the Governor, for his approval this 
  
_______ day of _______________ at ________________________ o’clock, ________M. 
  
______________________________________________ 
Speaker.  
 
CHAPTER ______ 
 
AN ACT concerning 1 
 
State Government – Information Technology and Cybersecurity –Related 2 
Infrastructure 3 
(Modernize Maryland Act of 2022) 4 
 
FOR the purpose of requiring a certain water or sewer system to, on or before a certain date, 5 
assess its vulnerability to a cyber attack, develop a cybersecurity plan if appropriate, 6 
and submit a certain report to the General Assembly; authorizing the Maryland Water 7 
Quality Financing Administration to provide financial assistance to a public water 8 
or wastewater system to assess system cybersecurity vulnerabilities and develop a 9 
cybersecurity plan; authorizing the Maryland Stadium Authority to issue bonds and, 10 
in consultation with the Department of Information Technology, finance projects 11 
related to information technology and cybersecurity–related State government 12  2 	HOUSE BILL 1205  
 
 
infrastructure; establishing an Information Technology and C ybersecurity 1 
Infrastructure establishing the Local Cybersecurity Support Fund as a special, 2 
nonlapsing fund; requiring interest earnings of the Fund to be credited to the Fund; 3 
establishing certain eligibility requirements to receive assistance from the Fund; 4 
altering the duties of the Secretary of Information Technology; establishing a 5 
Statewide Reporting Framework and an independent Modernize Maryland 6 
Oversight Commission in the Department of Information Technology; requiring the 7 
Department to hire an independent contractor contractors to develop a framework 8 
for investments in technology and annually periodically assess the cybersecurity and 9 
information technology systems in each unit certain units of State government; 10 
specifying the use of proceeds from certain bonds; exempting certain procurements 11 
by the Department of General Services from oversight by the Board of Public Works; 12 
establishing that the Department is a primary procurement unit and authorizing the 13 
Department to engage in or control certain procurements; authorizing a certain 14 
independent contractor to issue a certain change order applying certain change order 15 
requirements to State procurement contracts for certain equipment, services, and 16 
upgrades; authorizing funds to be transferred by budget amendment from the 17 
Dedicated Purpose Account in a certain fiscal year to implement this Act; and 18 
generally relating to the development, financing, and procurement of information 19 
technology and cybersecurity–related State government infrastructure projects. 20 
 
BY repealing and reenacting, with amendments, 21 
 Article – Environment 22 
 Section 9–1604(c) 23 
 Annotated Code of Maryland 24 
 (2014 Replacement Volume and 2021 Supplement) 25 
 
BY adding to 26 
 Article – Public Safety 27 
 Section 14–104.1 28 
 Annotated Code of Maryland 29 
 (2018 Replacement Volume and 2021 Supplement)  30 
 
BY repealing and reenacting, with amendments, 31 
 Article – Economic Development 32 
Section 10–628(a) 33 
 Annotated Code of Maryland 34 
 (2018 Replacement Volume and 2021 Supplement) 35 
 
BY adding to 36 
 Article – Economic Development 37 
Section 10–628(d), 10–650.1, and 10–657.5 38 
 Annotated Code of Maryland 39 
 (2018 Replacement Volume and 2021 Supplement) 40 
 
BY repealing and reenacting, with amendments, 41 
 Article – State Finance and Procurement 42   	HOUSE BILL 1205 	3 
 
 
Section 3A–101, 3A–303(a)(7) and (8), 6–226(a)(2)(ii)144. and 145., 11–101(m),  1 
12–101, 12–107(b)(2)(i)9. through 11. 12–107(b)(2)(i)8., (3)(vi), and (4)(v), and  2 
12–107(b)(3)(vi) and (4)(v), and 15–112(a)(1)(i) 3 
 Annotated Code of Maryland 4 
 (2021 Replacement Volume) 5 
 
BY adding to 6 
 Article – State Finance and Procurement 7 
Section 3A–303(a)(9) and (10), 3A–315 through 3A–317, 3A–316, 6–226(a)(2)(ii)146., 8 
12–107(b)(5), and and 12–107(b)(5) 15–112(b)(4) 9 
 Annotated Code of Maryland 10 
 (2021 Replacement Volume) 11 
 
BY repealing and reenacting, without amendments, 12 
 Article – State Finance and Procurement 13 
Section 6–226(a)(2)(i), 11–101(a), and 15–112(b)(3) 11–101(a), and 12–107(b)(2)(i)9. 14 
 Annotated Code of Maryland 15 
 (2021 Replacement Volume) 16 
 
BY repealing 17 
 Article – State Finance and Procurement 18 
 Section 12–107(b)(2)(i)10. and 11. 19 
 Annotated Code of Maryland 20 
 (2021 Replacement Volume)  21 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 22 
That the Laws of Maryland read as follows: 23 
 
Article – Environment 24 
 
9–1604. 25 
 
 (c) (1) This subsection applies to financial assistance provided by the 26 
Administration under: 27 
 
 (i) The Water Quality Fund; 28 
 
 (ii) The Bay Restoration Fund; 29 
 
 (iii) The Biological Nutrient Removal Program; and 30 
 
 (iv) The Supplemental Assistance Program. 31 
 
 (2) The Administration shall ensure the fair and equitable distribution of 32 
financial assistance among wastewater treatment facilities with a design capacity of less 33 
than 500,000 gallons per day and wastewater treatment facilities with a design capacity of 34 
500,000 gallons or more per day. 35  4 	HOUSE BILL 1205  
 
 
 
 (3) A PUBLIC OR PRIVATE WA TER OR SEWER SYSTEM THAT SERVES 1 
10,000 OR MORE USERS AND RE CEIVES FINANCIAL ASS ISTANCE FROM THE STATE 2 
SHALL: 3 
 
 (I) ASSESS ITS VULNERABIL ITY TO A CYBER ATTAC K; AND 4 
 
 (II) IF APPROPRIATE , DEVELOP A CYBERSECUR ITY PLAN. 5 
 
 (4) THE ADMINISTRATION MAY PR OVIDE FINANCIAL ASSI STANCE TO 6 
A PUBLIC WATER OR WA STEWATER SYSTEM TO A SSESS SYSTEM CYBERSE CURITY 7 
VULNERABILITIES AND DEVELOP A CYBERSECUR ITY PLAN. 8 
 
Article – Public Safety 9 
 
14–104.1. 10 
 
 (A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS 11 
INDICATED. 12 
 
 (2) “FUND” MEANS THE LOCAL CYBERSECURITY SUPPORT FUND. 13 
 
 (3) “LOCAL GOVERNMENT ” INCLUDES LOCAL SCHOO L SYSTEMS, 14 
LOCAL SCHOOL BOARDS , AND LOCAL HEALTH DEP ARTMENTS.  15 
 
 (B) (1) THERE IS A LOCAL CYBERSECURITY SUPPORT FUND. 16 
 
 (2) THE PURPOSE OF THE FUND IS TO: 17 
 
 (I) PROVIDE FINANCIAL AS SISTANCE TO LOCAL GO VERNMENTS 18 
TO IMPROVE CYBERSECU RITY PREPAREDNESS , INCLUDING:  19 
 
 1. UPDATING CURRENT DEV ICES AND NETWORKS WI TH 20 
THE MOST UP–TO–DATE CYBERSECURITY P ROTECTIONS;  21 
 
 2. SUPPORTING THE PURCH ASE OF NEW HARDWARE , 22 
SOFTWARE, DEVICES, AND FIREWALLS TO IMP	ROVE CYBERSECURITY 23 
PREPAREDNESS ;  24 
 
 3. RECRUITING AND HIRIN	G INFORMATION 25 
TECHNOLOGY STAFF FOC USED ON CYBERSECURIT Y; 26 
 
 4. PAYING OUTSIDE VENDO RS FOR CYBERSECURITY 27 
STAFF TRAINING ; 28   	HOUSE BILL 1205 	5 
 
 
 
 5. CONDUCTING CYBERSECU RITY VULNERABILITY 1 
ASSESSMENTS ; 2 
 
 6. ADDRESSING HIGH –RISK CYBERSECURITY 3 
VULNERABILITIES IDEN TIFIED BY VULNERABIL ITY ASSESSMENTS ;  4 
 
 7. IMPLEMENTING AND MAI NTAINING INTEGRATORS 5 
AND OTHER SIMILAR IN TELLIGENCE SHARING INFRASTRUC TURE THAT ENABLE 6 
CONNECTION WITH THE INFORMATION SHARING AND ANALYSIS CENTER IN THE 7 
DEPARTMENT OF INFORMATION TECHNOLOGY ; AND 8 
 
 8. SUPPORTING THE SECUR ITY OF LOCAL WASTEWA TER 9 
TREATMENT PLANTS , INCLUDING BICOUNTY , COUNTY, AND MUNICIPA L PLANTS, BY 10 
ACQUIRING OR IMPLEME NTING CYBERSECURITY –RELATED UPGRADES TO THE 11 
PLANTS; AND 12 
 
 (II) ASSIST LOCAL GOVERNM ENTS APPLYING FOR FE DERAL 13 
CYBERSECURITY PREPAR EDNESS GRANTS .  14 
 
 (3) THE SECRETARY SHALL ADMIN ISTER THE FUND.  15 
 
 (4) (I) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT 16 
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 17 
 
 (II) THE STATE TREASURER SHALL HOLD THE FUND 18 
SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 19 
 
 (5) THE FUND CONSISTS OF :  20 
 
 (I) MONEY APPROPRIATED I N THE STATE BUDGET TO THE 21 
FUND;  22 
 
 (II) INTEREST EARNINGS ; AND 23 
 
 (III) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED 24 
FOR THE BENEFIT OF T HE FUND. 25 
 
 (6) THE FUND MAY BE USED ONLY : 26 
 
 (I) TO PROVIDE FINANCIAL ASSISTANCE TO LOCAL 27 
GOVERNMENTS TO IMPRO VE CYBERSECURITY PRE PAREDNESS, INCLUDING:  28 
  6 	HOUSE BILL 1205  
 
 
 1. UPDATING CURRENT DEV ICES AND NETWORKS WI TH 1 
THE MOST UP–TO–DATE CYBERSECURITY P ROTECTIONS;  2 
 
 2. SUPPORTING THE PURCH ASE OF NEW HARDWARE , 3 
SOFTWARE, DEVICES, AND FIREWALLS TO IMP	ROVE CYBERSECURITY 4 
PREPAREDNESS ; 5 
 
 3. RECRUITING AND HIRIN	G INFORMATION 6 
TECHNOLOGY STAFF FOC USED ON CYBERSECURIT Y; 7 
 
 4. PAYING OUTSIDE VENDO RS FOR CYBERSECURITY 8 
STAFF TRAINING ; 9 
 
 5. CONDUCTING CYBERSECU RITY VULNE RABILITY 10 
ASSESSMENTS ; 11 
 
 6. ADDRESSING HIGH –RISK CYBERSECURITY 12 
VULNERABILITIES IDEN TIFIED BY VULNERABIL ITY ASSESSMENTS ; 13 
 
 7. IMPLEMENTING OR MAIN TAINING INTEGRATORS AND 14 
OTHER SIMILAR INTELL IGENCE SHARING INFRA STRUCTURE THAT ENABL E 15 
CONNECTION WITH THE INFORMATION SHARING AND ANALYSIS CENTER IN THE 16 
DEPARTMENT OF INFORMATION TECHNOLOGY ; AND 17 
 
 8. SUPPORTING THE SECUR ITY OF LOCAL WASTEWA TER 18 
TREATMENT PLANTS , INCLUDING BICOUNTY , COUNTY, AND MUNICIPAL PLANTS , BY 19 
ACQUIRING OR IMPLEME NTING CYBERSECURITY –RELATED UPGRADES TO THE 20 
PLANTS; 21 
 
 (II) TO ASSIST LOCAL GOVE RNMENTS APPLYING FOR FEDERAL 22 
CYBERSECURITY PREPAR EDNESS GRANTS ; AND 23 
 
 (III) FOR ADMINISTRATIVE E XPENSES ASSOCIATED W ITH 24 
PROVIDING THE ASSIST ANCE DESCRIBED UNDER ITEM (I) OF THIS PARAGRAPH.  25 
 
 (7) (I) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 26 
FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE IN VESTED. 27 
 
 (II) ANY INTEREST EARNINGS OF THE FUND SHALL BE 28 
CREDITED TO THE FUND. 29 
 
 (8) EXPENDITURES FROM THE FUND MAY BE MADE ON LY IN 30 
ACCORDANCE WITH THE STATE BUDGET. 31 
   	HOUSE BILL 1205 	7 
 
 
 (C) TO BE ELIGIBLE TO REC EIVE ASSISTANCE FROM THE FUND, A LOCAL 1 
GOVERNMENT SHALL : 2 
 
 (1) PROVIDE PROOF TO THE DEPARTMENT OF INFORMATION 3 
TECHNOLOGY THAT THE L OCAL GOVERNMENT COND UCTED A CYBERSECURIT Y 4 
PREPAREDNESS AS SESSMENT IN THE PREV IOUS 12 MONTHS; OR 5 
 
 (2) WITHIN 12 MONTHS UNDERGO A CYB ERSECURITY PREPAREDN ESS 6 
ASSESSMENT PROVIDED BY, IN ACCORDANCE WITH T HE PREFERENCE OF THE LOCAL 7 
GOVERNMENT : 8 
 
 (I) THE DEPARTMENT OF INFORMATION TECHNOLOGY AT A 9 
COST TO THE LOCAL G OVERNMENT THAT DOES NOT EXCEED THE COST TO THE 10 
DEPARTMENT OF INFORMATION TECHNOLOGY OF PROVIDI NG THE ASSESSMENT ; OR 11 
 
 (II) A VENDOR AUTHORIZED BY THE DEPARTMENT OF 12 
INFORMATION TECHNOLOGY TO COMPLET E CYBERSECURITY PREP AREDNESS 13 
ASSESSMENTS .  14 
 
Article – Economic Development 15 
 
10–628. 16 
 
 (a) Except as provided in subsections (b) [and], (c), AND (D) of this section and 17 
subject to the prior approval of the Board of Public Works, the Authority may issue bonds 18 
at any time for any corporate purpose of the Authority, including the establishment of 19 
reserves and the payment of interest. 20 
 
 (D) UNLESS AUTHORI ZED BY THE GENERAL ASSEMBLY, THE BOARD OF 21 
PUBLIC WORKS MAY NOT APPROVE AN ISSUANCE BY THE AUTHORITY OF BONDS , 22 
WHETHER TAXABLE OR T AX EXEMPT, THAT CONSTITUTE TAX SUPPORTED DEBT OR 23 
NONTAX SUPPORTED DEB T IF, AFTER ISSUANCE , THERE WOULD BE OUTST ANDING 24 
AND UNPAID $1,500,000,000 FACE AMOUNTS OF THE BONDS FOR THE PURPOS E OF 25 
FINANCING RESEARCH I NTO, ACQUISITION OF , INSTALLATION OF , MAINTENANCE 26 
OF, AND RELATED EXPENSES FOR UPGRADES TO INFO RMATION TECHNOLOGY A ND 27 
CYBERSECURITY –RELATED STATE GOVERNMENT INFR ASTRUCTU RE.  28 
 
10–650.1. 29 
 
 (A) THE AUTHORITY AND THE DEPARTMENT OF INFORMATION 30 
TECHNOLOGY SHALL COMP LY WITH THIS SECTION TO FINANCE PROJECTS TO 31 
RESEARCH, ACQUIRE, INSTALL, MAINTAIN, AND UPGRADE INFORMAT ION 32 
TECHNOLOGY AND CYBER	SECURITY–RELATED STATE GOVERNMENT 33 
INFRASTRUCTURE. 34  8 	HOUSE BILL 1205  
 
 
 
 (B) THE AUTHORITY SHALL TRANS FER TO THE DEPARTMENT OF 1 
INFORMATION TECHNOLOGY THE PROCEE DS OF BONDS ISSUED U NDER THIS 2 
SUBTITLE FOR FINANCI	NG INFORMATION TECHN	OLOGY AND 3 
CYBERSECURITY –RELATED STATE GOVERNMENT INFR ASTRUCTURE PROJECTS . 4 
 
 (C) AT LEAST 90 DAYS BEFORE PROVIDIN G THE WRITTEN NOTICE TO THE 5 
FISCAL COMMITTEES OF THE GENERAL ASSEMBLY REQUIRED UND ER SUBSECTION 6 
(D) OF THIS SECTION, THE AUTHORITY SHALL CONSU LT WITH THE DEPARTMENT OF 7 
INFORMATION TECHNOLOGY TO DETERMI NE THE AMOUNT OF FUN DS NEEDED FOR 8 
INFORMATION TECHNOLO GY AND CYBERSECURITY –RELATED STATE GOVERNMENT 9 
INFRASTRUCTURE PROJE CTS TO BE FINANCED W ITH THE PROPOSED BON DS. 10 
 
 (D) AT LEAST 45 DAYS BEFORE SEEKING APPROVAL OF THE BOARD OF 11 
PUBLIC WORKS FOR EACH BOND I SSUE RELATED TO INFO RMATION TECHNOLOGY 12 
AND CYBERSECURITY –RELATED STATE GOVERNMENT INFR ASTRUCTURE , THE 13 
AUTHORITY SHALL PROVI DE TO THE FISCAL COM MITTEES OF THE GENERAL 14 
ASSEMBLY, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, 15 
WRITTEN NOTICE OF : 16 
 
 (1) THE AGGREGATE AMOUNT OF FUNDS NEEDED FOR INFORMATION 17 
TECHNOLOGY AND CYBER	SECURITY–RELATED STATE GOVERNMENT 18 
INFRASTRUCTURE PROJE CTS TO BE FINANCED W ITH THE PROPOSED BON DS; 19 
 
 (2) THE ANTICIPATED TOTA L DEBT SERVICE FOR T HE PROPOSED 20 
BOND ISSUE; AND  21 
 
 (3) THE ANTICIPATED TOTA L DEBT SERVICE WHEN CO MBINED WITH 22 
THE DEBT SERVICE FOR ALL PRIOR OUTSTANDIN G BOND ISSUES FOR IN FORMATION 23 
TECHNOLOGY AND CYBER	SECURITY–RELATED STATE GOVERNMENT 24 
INFRASTRUCTURE PROJE CTS. 25 
 
 (E) BEFORE EACH ISSUANCE OF BONDS TO FINANCE INFORMATION 26 
TECHNOLOGY AND 	CYBERSECURITY –RELATED STATE GOVERNMENT 27 
INFRASTRUCTURE PROJE CTS, THE AUTHORITY SHALL OBTAI N THE APPROVAL OF 28 
THE BOARD OF PUBLIC WORKS OF THE AGGREGAT E AMOUNT OF THE PROP OSED 29 
BOND ISSUE. 30 
 
 (F) FOR FISCAL YEAR 2024 AND EACH FISCAL YEAR THEREAFTER , UNTIL 31 
THE BONDS THAT HAVE BEEN ISSUED TO FINANCE IN FORMATION TECHNOLOGY AND 32 
CYBERSECURITY –RELATED STATE GOVERNMENT INFR ASTRUCTURE PROJECTS ARE 33 
NO LONGER OUTSTANDIN G AND UNPAID , THE GOVERNOR SHALL INCLUD E IN THE 34 
ANNUAL BUDGET BILL A N APPROPRIATION TO T HE INFORMATION TECHNOLOGY 35 
AND CYBERSECURITY INFRASTRUCTURE FUND IN AN AMOUNT SUF FICIENT TO 36   	HOUSE BILL 1205 	9 
 
 
COVER THE PROJECTED DEBT SERVICE REQUIRE MENTS FOR THE UPCOMI NG FISCAL 1 
YEAR. 2 
 
10–657.5. 3 
 
 (A) IN THIS SECTION , “FUND” MEANS THE INFORMATION TECHNOLOGY 4 
AND CYBERSECURITY INFRASTRUCTU RE FUND.  5 
 
 (B) THERE IS AN INFORMATION TECHNOLOGY AND CYBERSECURITY 6 
INFRASTRUCTURE FUND. 7 
 
 (C) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 8 
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE AND 9 
THAT SHALL BE AVAILA BLE IN PERPETUITY TO IMPLEMENT THIS SU BTITLE 10 
RELATED TO UPGRADES 	TO INFORMATION TECHN	OLOGY AND 11 
CYBERSECURITY –RELATED STATE GOVERNMENT INFR ASTRUCTURE . 12 
 
 (2) THE AUTHORITY SHALL : 13 
 
 (I) USE THE FUND AS A REVOLVING F UND FOR CARRYING OUT 14 
THE PROVISIONS OF TH IS SUBTITLE RELA TED TO UPGRADES TO I NFORMATION 15 
TECHNOLOGY AND CYBER	SECURITY–RELATED STATE GOVERNMENT 16 
INFRASTRUCTURE ; AND 17 
 
 (II) PAY ANY AND ALL EXPE NSES FROM THE FUND THAT ARE 18 
INCURRED BY THE AUTHORITY OR THE DEPARTMENT OF INFORMATION 19 
TECHNOLOGY RELATED TO UPGRADES TO I NFORMATION TECHNOLOG Y AND 20 
CYBERSECURITY –RELATED STATE GOVERNMENT INFR ASTRUCTURE . 21 
 
 (D) THE FUND CONSISTS OF : 22 
 
 (1) FUNDS APPROPRIATED F OR DEPOSIT TO THE FUND; 23 
 
 (2) PROCEEDS FROM THE SA LE OF BONDS RELATED TO UPGRADES TO 24 
INFORMATION TECHNOLO GY AND CYBERSE CURITY–RELATED STATE GOVERNMENT 25 
INFRASTRUCTURE PROJE CTS; 26 
 
 (3) REVENUES COLLECTED O R RECEIVED FROM ANY SOURCE UNDER 27 
THIS SUBTITLE RELATE D TO UPGRADES TO INF ORMATION TECHNOLOGY AND 28 
CYBERSECURITY –RELATED STATE GOVERNMENT INFR ASTRUCTURE PROJECTS ; 29 
 
 (4) INTEREST EARNINGS ; AND 30 
  10 	HOUSE BILL 1205  
 
 
 (5) ANY ADDITIONAL MONEY MADE AVAILABLE FROM ANY PUBLIC OR 1 
PRIVATE SOURCE FOR T HE PURPOSES ESTABLIS HED FOR THE FUND. 2 
 
 (E) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND 3 
IN THE SAME MANNER A S OTHER STATE FUNDS. 4 
 
 (2) ANY INVESTMENT EARNIN GS SHALL BE CREDITED TO THE FUND. 5 
 
 (3) NO PART OF THE FUND MAY REVERT OR BE CREDITED TO THE 6 
GENERAL FUND OF THE STATE OR ANY SPECIAL FUND OF THE STATE. 7 
 
Article – State Finance and Procurement 8 
 
3A–101. 9 
 
 (a) In this title the following words have the meanings indicated. 10 
 
 (b) “CLOUD COMPUTING SERVICE” MEANS A SERVICE THAT ENABLES  11 
ON–DEMAND SELF –SERVICE NETWORK ACCE SS TO A SHARED POOL 	OF 12 
CONFIGURABLE COMPUTE R RESOURCES , INCLUDING DATA STORA GE, ANALYTICS, 13 
COMMERCE , STREAMING, E–MAIL, DOCUMENT SHARING , AND DOCUMENT EDITING . 14 
 
 (C) “Department” means the Department of Information Technology. 15 
 
 [(c)] (D) “Secretary” means the Secretary of Information Technology. 16 
 
 [(d)] (E) “Telecommunication” means the transmission of information, images, 17 
pictures, voice, or data by radio, video, or other electronic or impulse means. 18 
 
 [(e)] (F) “Unit of State government” means an agency or unit of the Executive 19 
Branch of State government.  20 
 
3A–303. 21 
 
 (a) The Secretary is responsible for carrying out the following duties: 22 
 
 (7) advising and consulting with the Legislative and Judicial branches of 23 
State government regarding a cybersecurity strategy; [and] 24 
 
 (8) in consultation with the Attorney General, developing guidance on 25 
consistent cybersecurity strategies for counties, municipal corporations, school systems, 26 
and all other political subdivisions of the State; AND 27 
 
 (9) UPGRADING INFORMATIO	N TECHNOLOGY AND  28 
CYBERSECURITY –RELATED STATE GOVERNMENT INFRASTRUCTURE ; AND 29   	HOUSE BILL 1205 	11 
 
 
 
 (10) ANNUALLY EVALUATING : 1 
 
 (I) THE FEASIBILITY OF U NITS OF STATE GOVERNMENT 2 
PROVIDING PUBLIC SER VICES USING ARTIFICI AL INTELLIGENCE , MACHINE 3 
LEARNING, COMMERCIAL CLOUD COM PUTING SERVICES , DEVICE–AS–A–SERVICE 4 
PROCUREMENT MODELS , AND OTHER EMERGING T ECHNOLOGIES ; AND 5 
 
 (II) THE DEVELOPMENT OF D ATA ANALYTICS CAPABI LITIES TO 6 
ENABLE DATA–DRIVEN POLICYMAKING BY UNITS OF STATE GOVERNMENT . 7 
 
3A–315. 8 
 
 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 9 
INDICATED. 10 
 
 (2) “CITIZEN ADVOCACY GROU P” MEANS AN ORGANIZATIO N WHOSE 11 
MISSION IS TO PROVID E SUPPORT FOR INFORM ATION TECHNOLOGY AND 12 
CYBERSECURITY POLICI ES.  13 
 
 (3) (2) “COMMISSION” MEANS THE STATEWIDE REPORTING 14 
FRAMEWORK AND MODERNIZE MARYLAND OVERSIGHT COMMISSION. 15 
 
 (4) (3) “CRITICAL SYSTEM ” MEANS AN INFORMATION 16 
TECHNOLOGY OR CYBERS ECURITY SYSTEM THAT IS SEVERELY OUTDATED , AS 17 
DETERMINED BY THE DEPARTMENT . 18 
 
 (B) THERE IS A STATEWIDE REPORTING FRAMEWORK AND AN 19 
INDEPENDENT MODERNIZE MARYLAND OVERSIGHT COMMISSION IN THE 20 
DEPARTMENT . 21 
 
 (C) THE PURPOSE OF THE COMMISSION IS TO: 22 
 
 (1) ENSURE THE CONFIDENT IALITY, INTEGRITY, AND AVAILABILITY 23 
OF INFORMATION HELD BY THE STATE CONCERNING STATE RESIDENTS ; AND  24 
 
 (2) DETERMINE ADVISE THE SECRETARY AND STATE CHIEF 25 
INFORMATION SECURITY OFFICER ON: 26 
 
 (I) THE APPROPRIATE INFO RMATION TECHNOLOGY A ND 27 
CYBERSECURITY INVEST MENTS AND UPGRADES ; 28 
 
 (II) THE FUNDING SOURCES 	FOR THE APPROPRIATE 29 
INFORMATION TECHNOLO GY AND CYBERSECURITY UPGRADES; AND 30  12 	HOUSE BILL 1205  
 
 
 
 (III) FUTURE MECHANISMS FO R THE PROCUREMENT OF 1 
APPROPRIATE INFORMAT ION TECHNOLOGY AND C YBERSECURITY UPGRADE S, 2 
INCLUDING WAYS TO IN CREASE THE EFFICIENC Y OF PROCUREMENTS MA DE FOR 3 
INFORMATION TECHNOLO GY AND CYBERSECURITY UPGRADES. 4 
 
 (D) THE COMMISSION CONSISTS O F THE FOLLOWING MEMB ERS: 5 
 
 (1) THE SECRETARY;  6 
 
 (2) THE STATE CHIEF INFORMATION SECURITY OFFICER; 7 
 
 (3) THE STATE TREASURER;  8 
 
 (4) THE COCHAIRS OF THE JOINT COMMITTEE ON CYBERSECURITY , 9 
INFORMATION TECHNOLOGY , AND BIOTECHNOLOGY ; 10 
 
 (5) (3) THREE CHIEF INFORMAT ION SECURITY OFFICERS 11 
REPRESENTING DIFFERE NT UNITS OF STATE GOVERNMENT , APPOINTED BY THE 12 
GOVERNOR; 13 
 
 (6) (4) FOUR ONE INFORMATION TECHNOLO GY EXPERTS IN 14 
MODERNIZATION EXPERT WITH EXPERIENCE IN THE PRIVATE SECTOR , APPOINTED 15 
BY THE GOVERNOR; 16 
 
 (7) (5) ONE REPRESENTATIVE F ROM THE MARYLAND CHAMBER OF 17 
COMMERCE WITH KNOWLEDGE OF CY BERSECURITY ISSUES ;  18 
 
 (8) (6) TWO REPRESENTATIVES FROM CITIZEN ADVOCACY GRO UPS 19 
IN THE STATE, APPOINTED BY THE GOVERNOR; INDIVIDUALS WHO ARE END USERS 20 
OF STATE INFORMATION TEC HNOLOGY SYSTEMS , ONE APPOINTED BY THE 21 
PRESIDENT OF THE SENATE AND ONE APPOIN TED BY THE SPEAKER OF THE HOUSE 22 
APPOINTED BY THE GOVERNOR; 23 
 
 (9) (7) ONE CHIEF INFORMATIO N SECURITY OFFICER F ROM THE 24 
PRIVATE SECTOR WHO H AS COMPLETED INFORMA TION TECHNOLOGY AND 25 
CYBERSECURITY UPGRAD ES FOR A BUSINESS WI TH OVER 100 INFORMATION 26 
TECHNOLOGY SYSTEMS , APPOINTED BY THE GOVERNOR; AND 27 
 
 (10) (8) ONE CHIEF INFORMATIO N SECURITY OFFICER F ROM THE 28 
EDUCATION SECTOR WHO HAS COMPLETED INFORM ATION TECHNOLOGY AND 29 
CYBERSECURITY UPGRA DES FOR AN EDUCATION AL INSTITUTION WITH OVER 100 30 
INFORMATION TECHNOLO GY SYSTEMS, APPOINTED BY THE GOVERNOR.  31 
   	HOUSE BILL 1205 	13 
 
 
 (7) ONE REPRESENTATIVE F ROM THE CYBERSECURITY ASSOCIATION 1 
OF MARYLAND; AND 2 
 
 (8) ONE INDIVIDUAL WHO I S EITHER AN INSTRUCT OR OR A 3 
PROFESSIONAL IN THE ACADEMIC FIEL D OF CYBERSECURITY A T A COLLEGE OR 4 
UNIVERSITY IN THE STATE, APPOINTED BY THE GOVERNOR.  5 
 
 (E) THE COCHAIRS OF THE JOINT COMMITTEE ON CYBERSECURITY , 6 
INFORMATION TECHNOLOGY , AND BIOTECHNOLOGY SHALL S ERVE AS ADVISORY , 7 
NONVOTING MEMBERS OF THE COMMISSION.  8 
 
 (E) (F) THE COMMISSION SHALL : 9 
 
 (1) DEVELOP ADVISE THE SECRETARY ON A STRATEGIC ROADMAP 10 
WITH A TIMELINE AND BUDGET THAT WILL : 11 
 
 (I) REQUIRE THE UPDATES AND INVESTMENTS OF C RITICAL 12 
INFORMATION TECHNOLO GY AND CYBERSECURITY SYSTEMS IDENTIFIED BY THE 13 
COMMISSION IN THE FIR ST RECOMMENDATIONS R EPORTED UNDER PARAGR APH (2) 14 
OF THIS SUBSECTION TO BE COMPLETED ON O R BEFORE DECEMBER 31, 2025; AND  15 
 
 (II) REQUIRE ALL UPDATES 	AND INVESTMENTS OF 16 
INFORMATION TECHNOLO GY AND CYBERSECURITY TO BE MADE ON OR BEF ORE 17 
DECEMBER 31, 2030;  18 
 
 (2) MAKE PERIODIC RECOMM ENDATIONS ON INVESTM ENTS IN STATE 19 
INFORMATION TECHNOLO GY STRUCTURES BASED ON THE ASSESSMENTS 20 
COMPLETED IN ACCORDANCE WITH THE FRAMEWORK DEVELOPED IN § 3A–316 OF 21 
THIS SUBTITLE; AND 22 
 
 (3) REVIEW AND PROVIDE R	ECOMMENDATIONS ON TH	E 23 
DEPARTMENT ’S BASIC SECURITY STA NDARDS FOR USE OF TH E NETWORK 24 
ESTABLISHED UNDER § 3A–404(B) OF THIS TITLE; AND  25 
 
 (3) (4) EACH YEAR, IN ACCORDANCE WITH § 2–1257 OF THE STATE 26 
GOVERNMENT ARTICLE, REPORT ITS FINDINGS AND RECOMMENDATIONS TO THE 27 
SENATE BUDGET AND TAXATION COMMITTEE, THE SENATE EDUCATION, HEALTH, 28 
AND ENVIRONMENTAL AFFAIRS COMMITTEE, THE HOUSE APPROPRIATIONS 29 
COMMITTEE, THE HOUSE HEALTH AND GOVERNMENT OPERATIONS COMMITTEE, 30 
AND THE JOINT COMMITTEE ON CYBERSECURITY , INFORMATION TECHNOLOGY , 31 
AND BIOTECHNOLOGY . 32 
  14 	HOUSE BILL 1205  
 
 
 (G) THE REPORT SUBMITTED UNDER SUBSECTION (F)(4) OF THIS SECTION 1 
MAY NOT CONTAIN INFO RMATION ABOUT THE SE CURITY OF AN INFORMATION 2 
SYSTEM.  3 
 
3A–316. 4 
 
 (A) THIS SECTION DOES NOT APPLY TO: 5 
 
 (1) THE MARYLAND PORT ADMINISTRATION ;  6 
 
 (2) THE UNIVERSITY SYSTEM OF MARYLAND;  7 
 
 (3) ST. MARY’S COLLEGE OF MARYLAND;  8 
 
 (4) MORGAN STATE UNIVERSITY;  9 
 
 (5) THE MARYLAND STADIUM AUTHORITY;  10 
 
 (6) BALTIMORE CITY COMMUNITY COLLEGE; OR 11 
 
 (7) THE STATE BOARD OF ELECTIONS.;  12 
 
 (8) THE OFFICE OF THE ATTORNEY GENERAL; 13 
 
 (9) THE COMPTROLLER ; OR 14 
 
 (10) THE STATE TREASURER. 15 
 
 (A) (B) (1) THE DEPARTMENT SHALL HIRE AN INDEPENDENT 16 
CONTRACTOR CONTRACTORS TO:  17 
 
 (I) DEVELOP A FRAMEWORK 	FOR INVESTMENTS IN 18 
TECHNOLOGY ; AND  19 
 
 (II) AT LEAST ONCE EVERY 3 2 YEARS, IN ACCORDANCE WITH 20 
THE FRAMEWORK , ANNUALLY ASSESS THE CYBERSECU RITY AND INFORMATION 21 
TECHNOLOGY SYSTEMS I N EACH UNIT OF STATE GOVERNMENT . 22 
 
 (2) THE FRAMEWORK SHALL I NCLUDE THE FOLLOWING CRITERIA:  23 
 
 (I) SECURITY RISKS TO TH E SYSTEM; 24 
 
 (II) SYSTEM PERFORMANCE ;  25 
   	HOUSE BILL 1205 	15 
 
 
 (III) THE SYSTEM ’S DEPENDENCE ON OTHE R INFORMATION 1 
TECHNOLOGY OR CYBERS ECURITY SYSTEMS AND DATA; 2 
 
 (IV) THE SYSTEM ’S ABILITY TO CREATE AN EFFICIENT AND 3 
SEAMLESS EXPERIENCE FOR USERS; 4 
 
 (V) THE SYSTEM ’S EFFECTIVENESS IN A CHIEVING UNIT 5 
OBJECTIVES; 6 
 
 (VI) THE SYSTEM’S EFFECTIVENESS IN M EETING THE NEEDS OF 7 
CITIZENS AND CUSTOME RS;  8 
 
 (VII) THE COSTS TO MAINTAI N AND OPERATE THE SY STEM; 9 
 
 (VIII) THE SPEED OF GOVERNM ENT RESPONSE TIME ; 10 
 
 (IX) THE EFFECTIVENESS OF THE SYSTEM IN REGARD TO THE 11 
UNIT’S OBJECTIVES; 12 
 
 (X) IMPROVEMENTS TO THE UNIT’S RELATIVE AUDIT FIN DINGS 13 
ATTRIBUTABLE TO THE SYSTEM; AND 14 
 
 (XI) AN ASSESSMENT OF THE SYSTEM USING THE NATIONAL 15 
INSTITUTE OF STANDARDS AND TECHNOLOGY CYBERSECURITY FRAMEWORK .  16 
 
 (B) (C) EACH UNIT SHALL PROMP TLY PROVIDE THE CONTRACTOR A 17 
CONTRACTOR EMPLOYED UNDER SUBSECTION (B) OF THIS SECTION WITH THE 18 
INFORMATION NECESSAR Y TO PERFORM THE ASS ESSMENTS. 19 
 
 (C) (D) (1) EACH YEAR, THE EVERY 3 2 YEARS, A CONTRACTOR SHALL 20 
PROVIDE THE RESULTS OF THE ASSESSMENTS T O: 21 
 
 (I) THE STATEWIDE REPORTING FRAMEWORK AND 22 
OVERSIGHT MODERNIZE MARYLAND COMMISSION ESTABLISHE D UNDER § 3A–315 23 
OF THIS SUBTITLE; AND 24 
 
 (II) IN ACCORDANCE WITH § 2–1257 OF THE STATE 25 
GOVERNMENT ARTICLE, THE SENATE BUDGET AND TAXATION COMMITTEE, THE 26 
SENATE EDUCATION, HEALTH, AND ENVIRONMENTAL AFFAIRS COMMITTEE, AND 27 
THE HOUSE HEALTH AND GOVERNMENT OPERATIONS COMMITTEE.  28 
 
 (2) THE REPORT SUBMITTED UNDER PARAGRAPH (1)(II) OF THIS 29 
SUBSECTION MAY NOT C ONTAIN INFORMATION A BOUT THE SECURITY OF AN 30 
INFORMATION SYSTEM .  31  16 	HOUSE BILL 1205  
 
 
 
 (D) (E) THE DEPARTMENT MAY USE FUNDS AVAILABLE FROM THE 1 
ISSUANCE OF BONDS IN ACCORDANCE WITH § 10–650.1 OF THE ECONOMIC 2 
DEVELOPMENT ARTICLE TO PAY FOR TH E INDEPENDENT CONTRA CTOR REQUIRED 3 
UNDER MULTIPLE CONTRACTORS AT A TIME TO MEET TH E REQUIREMENTS OF THIS 4 
SECTION.  5 
 
3A–317. 6 
 
 (A) THE DEPARTMENT SHALL CONS ULT WITH THE MARYLAND STADIUM 7 
AUTHORITY REGARDING T HE ISSUANCE OF BONDS FOR UPGRADES TO 8 
INFORMATION TECHNOLO GY AND CYBERSECURITY –RELATED STATE GOVERNMENT 9 
INFRASTRUCTURE IN AC CORDANCE WITH § 10–650.1 OF THE ECONOMIC 10 
DEVELOPMENT ARTICLE. 11 
 
 (B) THE DEPARTMENT MAY USE TH E PROCEEDS FROM BONDS ISSUED FOR 12 
UPGRADES TO INFORMAT ION TECHNOLOGY AND C YBERSECURITY –RELATED STATE 13 
GOVERNMENT INFRASTRU CTURE UNDER § 10–650.1 OF THE ECONOMIC 14 
DEVELOPMENT ARTICLE ONLY FOR PROJ ECTS THAT RELATE TO RESEARCH INTO , 15 
ACQUISITION OF , INSTALLATION OF , MAINTENANCE OF, AND RELATED EXPENSES 16 
FOR UPGRADES TO INFO RMATION TECHNOLOGY A ND CYBERSECURITY –RELATED 17 
STATE GOVERNMENT INFR ASTRUCTURE . 18 
 
 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 19 
INDICATED. 20 
 
 (2) “FUND” MEANS THE LOCAL CYBERSECURITY SUPPORT FUND. 21 
 
 (3) “LOCAL GOVERNMENT ” INCLUDES LOCAL SCHOO L SYSTEMS, 22 
LOCAL SCHOOL BOARDS , AND LOCAL HEALTH DEP ARTMENTS.  23 
 
 (B) (1) THERE IS A LOCAL CYBERSECURITY SUPPORT FUND. 24 
 
 (2) THE PURPOSE OF THE FUND IS TO: 25 
 
 (I) PROVIDE FINANCIAL AS SISTANCE TO LOCAL GO VERNMENTS 26 
TO IMPROVE CYBERSECU RITY PREPAREDNESS , INCLUDING:  27 
 
 1. UPDATING CURRENT DEV ICES AND NETWORKS WI TH 28 
THE MOST UP–TO–DATE CYBERSECURITY P ROTECTIONS;  29 
 
 2. SUPPORTING THE PURCH ASE OF NEW HARDWARE , 30 
SOFTWARE, DEVICES, AND FIREWALLS TO IMP	ROVE CYBERSECURITY 31 
PREPAREDNESS ;  32   	HOUSE BILL 1205 	17 
 
 
 
 3. RECRUITING AND HIRIN	G INFORMATION 1 
TECHNOLOGY STAFF FOC USED ON CYBERSECURIT Y; AND 2 
 
 4. PAYING OUTSIDE VENDO RS FOR CYBERSECURITY 3 
STAFF TRAINING; AND  4 
 
 (II) ASSIST LOCAL GOVERNM ENTS APPLYING FOR FE DERAL 5 
CYBERSECURITY PREPAR EDNESS GRANTS .  6 
 
 (3) THE SECRETARY SHALL ADMIN ISTER THE FUND.  7 
 
 (4) (I) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT 8 
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 9 
 
 (II) THE STATE TREASURER SHALL HOLD 	THE FUND 10 
SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 11 
 
 (5) THE FUND CONSISTS OF :  12 
 
 (I) MONEY APPROPRIATED I N THE STATE BUDGET TO THE 13 
FUND;  14 
 
 (II) INTEREST EARNI NGS; AND 15 
 
 (III) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED 16 
FOR THE BENEFIT OF T HE FUND. 17 
 
 (6) THE FUND MAY BE USED ONLY :  18 
 
 (I) TO PROVIDE FINANCIAL ASSISTANCE TO LOCAL 19 
GOVERNMENTS TO IMPRO VE CYBERSECURITY PRE PAREDNESS, INCLUDING:  20 
 
 1. UPDATING CURRENT DEVICES A ND NETWORKS WITH 21 
THE MOST UP–TO–DATE CYBERSECURITY P ROTECTIONS;  22 
 
 2. SUPPORTING THE PURCH ASE OF NEW HARDWARE , 23 
SOFTWARE, DEVICES, AND FIREWALLS TO IMP	ROVE CYBERSECURITY 24 
PREPAREDNESS ;  25 
 
 3. RECRUITING AND HIRIN	G INFORMATION 26 
TECHNOLOGY STAFF FOC USED ON CYBERSECURIT Y; AND 27 
  18 	HOUSE BILL 1205  
 
 
 4. PAYING OUTSIDE VENDO RS FOR CYBERSECURITY 1 
STAFF TRAINING ;  2 
 
 (II) TO ASSIST LOCAL GOVE RNMENTS APPLYING FOR FEDERAL 3 
CYBERSECURITY PREPAR EDNESS GRANTS ; AND 4 
 
 (III) FOR ADMINISTRATIVE E XPENSES ASSOCIAT ED WITH 5 
PROVIDING THE ASSIST ANCE DESCRIBED UNDER ITEM (I) OF THIS PARAGRAPH .  6 
 
 (7) (I) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 7 
FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE IN VESTED. 8 
 
 (II) ANY INTEREST EARNINGS OF THE FUND SHALL BE 9 
CREDITED TO THE FUND. 10 
 
 (8) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN 11 
ACCORDANCE WITH THE STATE BUDGET .  12 
 
 (C) TO BE ELIGIBLE TO REC EIVE ASSISTANCE FROM THE FUND, A LOCAL 13 
GOVERNMENT SHALL UND ERGO A CYBERSECURITY PREPAREDNESS ASSESSM ENT 14 
PROVIDED BY THE DEPARTMENT AT A COST TO THE LOCAL GOVERNM ENT THAT 15 
DOES NOT EXCEED THE COST TO THE DEPARTMENT OF PROVIDI NG THE 16 
ASSESSMENT .  17 
 
6–226. 18 
 
 (a) (2) (i) Notwithstanding any other provision of law, and unless 19 
inconsistent with a federal law, grant agreement, or other federal requirement or with the 20 
terms of a gift or settlement agreement, net interest on all State money allocated by the 21 
State Treasurer under this section to special funds or accounts, and otherwise entitled to 22 
receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 23 
Fund of the State. 24 
 
 (ii) The provisions of subparagraph (i) of this paragraph do not apply 25 
to the following funds: 26 
 
 144. the Health Equity Resource Community Reserve Fund; 27 
[and] 28 
 
 145. the Access to Counsel in Evictions Special Fund; AND 29 
 
 146. THE INFORMATION TECHNOLOGY AND LOCAL 30 
CYBERSECURITY INFRASTRUCTURE SUPPORT FUND. 31 
 
11–101.  32   	HOUSE BILL 1205 	19 
 
 
 
 (a) In this Division II the following words have the meanings indicated unless: 1 
 
 (1) the context clearly requires a different meaning; or 2 
 
 (2) a different definition is provided for a particular title or provision. 3 
 
 (m) “Primary procurement units” means: 4 
 
 (1) the State Treasurer; 5 
 
 (2) the Department of General Services; 6 
 
 (3) the Department of Transportation; 7 
 
 (4) the University System of Maryland; 8 
 
 (5) the Maryland Port Commission; 9 
 
 (6) the Morgan State University; [and] 10 
 
 (7) the St. Mary’s College of Maryland; AND  11 
 
 (8) THE DEPARTMENT OF INFORMATION TECHNOLOGY . 12 
 
12–101. 13 
 
 (a) This section does not apply to: 14 
 
 (1) capital expenditures by the Department of Transportation or the 15 
Maryland Transportation Authority, in connection with State roads, bridges, or highways, 16 
as provided in § 12–202 of this title; OR 17 
 
 (2) PROCUREMENTS BY THE DEPARTMENT OF INFORMATION 18 
TECHNOLOGY GENERAL SERVICES FOR THE PURPOSE OF M	ODERNIZING 19 
CYBERSECURITY INFRAS TRUCTURE FOR THE STATE VALUED BELOW $1,000,000. 20 
 
 (b) (1) The Board may control procurement by units. 21 
 
 (2) To implement the provisions of this Division II, the Board may: 22 
 
 (i) set policy; 23 
 
 (ii) adopt regulations, in accordance with Title 10, Subtitle 1 of the 24 
State Government Article; and 25 
  20 	HOUSE BILL 1205  
 
 
 (iii) establish internal operational procedures consistent with this 1 
Division II. 2 
 
 (3) The Board shall ensure that the regulations of the primary 3 
procurement units provide for procedures that are consistent with this Division II and Title 4 
13, Subtitle 4 of the State Personnel and Pensions Article and, to the extent the 5 
circumstances of a particular type of procurement or a particular unit do not require 6 
otherwise, are substantially the same. 7 
 
 (4) The Board may delegate any of its authority that it determines to be 8 
appropriate for delegation and may require prior Board approval for specified procurement 9 
actions. 10 
 
 (5) Except as limited by the Maryland Constitution, the Board may 11 
exercise any control authority conferred on a primary procurement unit by this Division II 12 
and, to the extent that its action conflicts with the action of the primary procurement unit, 13 
the action of the Board shall prevail. 14 
 
 (6) The Board shall develop and submit to the General Assembly, in 15 
accordance with § 2–1257 of the State Government Article, an annual report on the 16 
procurement system that includes information on actions necessary to improve effective 17 
broad–based competition in procurement. 18 
 
 (C) ON OR BEFORE DECEMBER 1 EACH YEAR, THE DEPARTMENT OF 19 
INFORMATION TECHNOLOGY GENERAL SERVICES SHALL SUBMIT A REPOR T TO THE 20 
BOARD ON PROCUREMENTS MADE UNDER S UBSECTION (A)(2) OF THIS SECTION 21 
THAT SHALL INCLUDE F OR EACH PROCUREMENT :  22 
 
 (1) THE PURPOSE OF THE P ROCUREMENT ;  23 
 
 (2) THE NAME OF THE CONT RACTOR;  24 
 
 (3) THE CONTRACT AMOUNT ; AND 25 
 
 (4) THE METHOD OF PROCUR EMENT UTILIZED ; 26 
 
 (5) THE NUMBER OF BIDDER S WHO BID ON THE PROCU REMENT; AND  27 
 
 (4) (6) THE CONTRACT TERM .  28 
 
12–107. 29 
 
 (b) Subject to the authority of the Board, jurisdiction over procurement is as 30 
follows: 31 
 
 (2) the Department of General Services may: 32   	HOUSE BILL 1205 	21 
 
 
 
 (i) engage in or control procurement of: 1 
 
 8. construction and construction–related services for State 2 
correctional facilities; AND  3 
 
 9. supplies, materials, and equipment in support of 4 
construction and construction–related services for State correctional facilities in 5 
accordance with this Division II and Title 2 and Title 10, Subtitle 1 of the Correctional 6 
Services Article; AND  7 
 
 10. [information processing equipment and associated 8 
services, as provided in Title 3A, Subtitle 3 of this article; and 9 
 
 11.] telecommunication equipment, systems, or services, as 10 
provided in Title 3A, Subtitle 4 of this article; 11 
 
 (3) the Department of Transportation and the Maryland Transportation 12 
Authority, without the approval of any of the other primary procurement units, may engage 13 
in the procurement of: 14 
 
 (vi) services for aeronautics related activities, including information 15 
processing services, but excluding banking and financial services under the authority of the 16 
State Treasurer under item (1) of this subsection; [and] 17 
 
 (4) the Maryland Port Commission, without the approval of any of the 18 
other primary procurement units, may engage in the procurement of: 19 
 
 (v) leases of real property for port related activities unless the lease 20 
payments are from the General Fund of the State; AND 21 
 
 (5) THE DEPARTMENT OF INFORMATION TECHNOLOGY GENERAL 22 
SERVICES, WITHOUT THE APPROVAL OF ANY OTHER PRIMARY PROCUREMENT UNIT , 23 
MAY ENGAGE IN OR CON TROL PROCUREMENT OF :  24 
 
 (I) INFORMATION PROCESSI NG EQUIPMENT , CLOUD 25 
COMPUTING EQUIPMENT , AND ASSOCIATED SERVI CES, AS PROVIDED IN TITLE 3A, 26 
SUBTITLE 3 OF THIS ARTICLE; AND 27 
 
 (II) INFORMATION TECHNOLO	GY SYSTEM 	AND 28 
MODERNIZATION , AS PROVIDED IN TITLE 3A, SUBTITLE 3 OF THIS ARTICLE;  29 
 
 (III) TELECOMMUNICATION EQ UIPMENT, SYSTEMS, OR 30 
SERVICES, AS PROVIDED IN TITLE 3A, SUBTITLE 4 OF THIS ARTICLE; AND 31 
  22 	HOUSE BILL 1205  
 
 
 (IV) CYBERSECURITY UPGRAD ES AND MODERNIZATION , AS 1 
PROVIDED IN TITLE 3A, SUBTITLE 3 OF THIS ARTICLE . 2 
 
15–112. 3 
 
 (a) (1) (i) Except as provided in subparagraph (ii) of this paragraph, this 4 
section applies to State procurement contracts for: 5 
 
 1. construction; 6 
 
 2. INFORMATION PROCESSI NG EQUIPMENT , CLOUD 7 
COMPUTING EQUIPMENT SERVICES, AND ASSOCIATED SERVI CES; AND  8 
 
 3. IN ACCORDANCE WITH TITLE 3A, SUBTITLE 3 OF THIS 9 
ARTICLE, INFORMATION TECHNOLOGY SYSTEM AN D CYBERSECURITY UPGR ADES 10 
AND MODERNIZATION . 11 
 
 (b) (3) (i) If a unit is to pay for a contract or a part of a contract using a 12 
unit price methodology, a change order may not be required for work to continue and be 13 
completed beyond the estimated quantities in the contract. 14 
 
 (ii) After work is completed, a unit shall: 15 
 
 1. determine the actual quantity used to complete the 16 
contract; and 17 
 
 2. if necessary, issue a final adjustment change order to the 18 
contractor. 19 
 
 (4) AN INDEPEND ENT CONTRACTOR WHO P	ERFORMS AN 20 
ASSESSMENT UNDER § 3A–316 OF THIS ARTICLE MAY ISSUE A CHANGE ORDER ON 21 
THE ORIGINAL ASSESSM ENT CONTRACT FOR ANY SUBSEQUENT CYBERSECU RITY 22 
UPGRADES. 23 
 
 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 24 
1, 2022. 25 
 
 SECTION 2. AND BE IT FURTHER ENACTED, That for fiscal year 2023, funds 26 
from the Dedicated Purpose Account may be transferred by budget amendment in 27 
accordance with § 7–310 of the State Finance and Procurement Article to implement this 28 
Act. 29 
 
 SECTION 3. AND BE IT FURTHER ENACTED, That for fiscal year 2024, the 30 
Governor shall include in the annual budget bill an appropriation in an amount that is not 31 
less than 20% of the aggregated amount appropriated for information technology and 32   	HOUSE BILL 1205 	23 
 
 
cybersecurity resources in the annual budget bill for fiscal year 2023 for the Dedicated 1 
Purpose Account for cybersecurity. 2 
 
 SECTION 4. AND BE IT FURTHER ENACTED, That: 3 
 
 (a) On or before December 1, 2023, a public or private water or sewer system that 4 
serves 10,000 or more users and receives financial assistance from the State shall:  5 
 
 (1) assess its vulnerability to a cyber attack;  6 
 
 (2) if appropriate, develop a cybersecurity plan; and 7 
 
 (3) submit a report to the General Assembly, in accordance with § 2–1257 of 8 
the State Government Article, on the findings of the assessment conducted under this 9 
subsection and any recommendations for statutory changes needed for the system to 10 
appropriately address its cybersecurity.  11 
 
 (b) The Maryland Water Quality Financing Administration may provide financial 12 
assistance to a public water or wastewater system to assess system cybersecurity 13 
vulnerabilities and develop a cybersecurity plan.  14 
 
 SECTION 4. 5. AND BE IT FURTHER ENACTED, That this Act is an emergency 15 
measure, is necessary for the immediate preservation of the public health or safety, has been 16 
passed by a yea and nay vote supported by three–fifths of all the members elected to each of 17 
the two Houses of the General Assembly, and shall take effect from the date it is enacted.  18 
 
 
 
 
Approved: 
________________________________________________________________________________  
 Governor. 
________________________________________________________________________________  
  Speaker of the House of Delegates. 
________________________________________________________________________________  
         President of the Senate.