Maryland 2022 2022 Regular Session

Maryland Senate Bill SB754 Engrossed / Bill

Filed 04/08/2022

                     
 
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. 
          *sb0754*  
  
SENATE BILL 754 
S2, E4, P1 	EMERGENCY BILL 	2lr1504 
    	CF HB 1202 
By: Senator Hester Senators Hester, Hershey, Jennings, Jackson, Rosapepe, Lee, 
and Watson 
Introduced and read first time: February 7, 2022 
Assigned to: Education, Health, and Environmental Affairs 
Committee Report: Favorable with amendments 
Senate action: Adopted with floor amendments 
Read second time: March 27, 2022 
 
CHAPTER ______ 
 
AN ACT concerning 1 
 
Local Government Cybersecurity – Coordination and Operations  2 
(Local Cybersecurity Support Act of 2022) 3 
 
FOR the purpose of establishing the Cyber Preparedness Unit in the Maryland Department 4 
of Emergency Management; establishing certain responsibilities of the Unit; 5 
requiring certain local entities local governments to report certain cybersecurity 6 
incidents in a certain manner and under certain circumstances; requiring the 7 
Maryland Joint Operations Center State Security Operations Center to notify 8 
appropriate agencies of a cybersecurity incident in a certain manner; establishing 9 
the Cybersecurity Fusion Center in the Maryland Department of Emergency 10 
Management; establishing certain responsibilities of the Fusion Center; establishing 11 
the Local Cybersecurity Support Fund, the purposes of the Fund, and certain 12 
eligibility requirements to receive assistance from the Fund; establishing the Office 13 
of Security Management within the Department of Information Technology and 14 
certain Office positions; establishing certain responsibilities and authority of the 15 
Office; requiring each unit of the Legislative or Judicial Branch of State government, 16 
each unit of local government, and any local agencies that use a certain network to 17 
certify certain compliance to the Department of Information Technology on or before 18 
a certain date each year; requiring certain local entities to submit a certain report to 19 
the Office on or before a certain date each year; in a certain manner; requiring the 20 
Office to submit a certain report to the Governor and certain committees of the 21 
General Assembly on or before a certain date each year; requiring the Office to 22 
submit a certain report to the Governor and certain committees of the General 23 
Assembly on or before a certain date each year; establishing the Information Sharing 24  2 	SENATE BILL 754  
 
 
and Analysis Center in the Department of Information Technology; establishing 1 
certain responsibilities for the Center; requiring the State Chief Information 2 
Security Officer and the Secretary of Emergency Management to conduct a certain 3 
review, make recommendations, establish certain guidance, and submit a certain 4 
report on or before a certain date; requiring the State Chief Information Security 5 
Officer to commission a certain feasibility study and report recommendations on or 6 
before a certain date; requiring the Governor to include an appropriation in a certain 7 
annual budget to cover the cost of the feasibility study; authorizing funds to be 8 
transferred by budget amendment from the Dedicated Purpose Account in a certain 9 
fiscal year to implement the Act; and generally relating to local government 10 
cybersecurity coordination and operations. 11 
 
BY renumbering 12 
 Article – State Finance and Procurement 13 
Section 3A–101 through 3A–702, respectively, and the title “Title 3A. Department of 14 
Information Technology” 15 
to be Section 3.5–101 through 3.5–702, respectively, and the title “Title 3.5. 16 
Department of Information Technology” 17 
 Annotated Code of Maryland 18 
 (2021 Replacement Volume) 19 
 
BY repealing and reenacting, with amendments, 20 
 Article – Criminal Procedure 21 
 Section 10–221(b) 22 
 Annotated Code of Maryland 23 
 (2018 Replacement Volume and 2021 Supplement) 24 
 
BY repealing and reenacting, with amendments, 25 
 Article – Health – General 26 
 Section 21–2C–03(h)(2)(i) 27 
 Annotated Code of Maryland 28 
 (2019 Replacement Volume and 2021 Supplement) 29 
 
BY repealing and reenacting, with amendments, 30 
 Article – Human Services 31 
 Section 7–806(a), (b)(1), (c)(1), (d)(1) and (2)(i), and (g)(1) 32 
 Annotated Code of Maryland 33 
 (2019 Replacement Volume and 2021 Supplement) 34 
 
BY repealing and reenacting, with amendments, 35 
 Article – Insurance 36 
 Section 31–103(a)(2)(i) and (b)(2) 37 
 Annotated Code of Maryland 38 
 (2017 Replacement Volume and 2021 Supplement) 39 
 
BY repealing and reenacting, with amendments, 40 
 Article – Natural Resources 41   	SENATE BILL 754 	3 
 
 
 Section 1–403(c) 1 
 Annotated Code of Maryland 2 
 (2018 Replacement Volume and 2021 Supplement) 3 
 
BY repealing and reenacting, without amendments, 4 
 Article – Public Safety 5 
 Section 14–103 6 
 Annotated Code of Maryland 7 
 (2018 Replacement Volume and 2021 Supplement) 8 
 
BY adding to 9 
 Article – Public Safety 10 
 Section 14–104.1 11 
 Annotated Code of Maryland 12 
 (2018 Replacement Volume and 2021 Supplement)  13 
 
BY repealing and reenacting, without amendments, 14 
 Article – State Finance and Procurement 15 
 Section 3.5–101(a) and (e) and 3.5–301(a) 16 
 Annotated Code of Maryland 17 
 (2021 Replacement Volume) 18 
 (As enacted by Section 1 of this Act) 19 
 
BY adding to 20 
 Article – State Finance and Procurement 21 
Section 3.5–2A–01 through 3.5–2A–04 to be under the new subtitle “Subtitle 2A. 22 
Office of Security Management”; and 3.5–315, 3.5–405, and 4–308 and  23 
6–226(a)(2)(ii)146. 24 
 Annotated Code of Maryland 25 
 (2021 Replacement Volume) 26 
 
BY repealing and reenacting, with amendments, 27 
 Article – State Finance and Procurement 28 
Section 3.5–301(j), 3.5–302(c), 3.5–303(c)(2)(ii)2., 3.5–307(a)(2), 3.5–309(c)(2), (i)(3), 29 
and (l)(1)(i), 3.5–311(a)(2)(i), and 3.5–404 30 
 Annotated Code of Maryland 31 
 (2021 Replacement Volume) 32 
 (As enacted by Section 1 of this Act) 33 
 
BY repealing and reenacting, without amendments, 34 
 Article – State Finance and Procurement 35 
Section 6–226(a)(2)(i) 36 
 Annotated Code of Maryland 37 
 (2021 Replacement Volume) 38 
 
BY repealing and reenacting, with amendments, 39 
 Article – State Finance and Procurement 40  4 	SENATE BILL 754  
 
 
 Section 6–226(a)(2)(ii)144. and 145. and 12–107(b)(2)(i)10. and 11. 1 
 Annotated Code of Maryland 2 
 (2021 Replacement Volume) 3 
 
BY repealing and reenacting, with amendments, 4 
 Article – State Government 5 
Section 2–1224(f) 6 
 Annotated Code of Maryland 7 
 (2021 Replacement Volume) 8 
 
BY adding to 9 
 Article – State Government 10 
Section 2–1224(i) 11 
 Annotated Code of Maryland 12 
 (2021 Replacement Volume) 13 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 14 
That Section(s) 3A–101 through 3A–702, respectively, and the title “Title 3A. Department 15 
of Information Technology” of Article – State Finance and Procurement of the Annotated 16 
Code of Maryland be renumbered to be Section(s) 3.5–101 through 3.5–702, respectively, 17 
and the title “Title 3.5. Department of Information Technology”.  18 
 
 SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 19 
as follows: 20 
 
Article – Criminal Procedure 21 
 
10–221. 22 
 
 (b) Subject to Title [3A] 3.5, Subtitle 3 of the State Finance and Procurement 23 
Article, the regulations adopted by the Secretary under subsection (a)(1) of this section and 24 
the rules adopted by the Court of Appeals under subsection (a)(2) of this section shall: 25 
 
 (1) regulate the collection, reporting, and dissemination of criminal history 26 
record information by a court and criminal justice units; 27 
 
 (2) ensure the security of the criminal justice information system and 28 
criminal history record information reported to and collected from it; 29 
 
 (3) regulate the dissemination of criminal history record information in 30 
accordance with Subtitle 1 of this title and this subtitle; 31 
 
 (4) regulate the procedures for inspecting and challenging criminal history 32 
record information; 33 
 
 (5) regulate the auditing of criminal justice units to ensure that criminal 34 
history record information is: 35   	SENATE BILL 754 	5 
 
 
 
 (i) accurate and complete; and 1 
 
 (ii) collected, reported, and disseminated in accordance with Subtitle 2 
1 of this title and this subtitle; 3 
 
 (6) regulate the development and content of agreements between the 4 
Central Repository and criminal justice units and noncriminal justice units; and 5 
 
 (7) regulate the development of a fee schedule and provide for the collection 6 
of the fees for obtaining criminal history record information for other than criminal justice 7 
purposes. 8 
 
Article – Health – General 9 
 
21–2C–03. 10 
 
 (h) (2) The Board is subject to the following provisions of the State Finance 11 
and Procurement Article: 12 
 
 (i) Title [3A] 3.5, Subtitle 3 (Information Processing), to the extent 13 
that the Secretary of Information Technology determines that an information technology 14 
project of the Board is a major information technology development project; 15 
 
Article – Human Services 16 
 
7–806. 17 
 
 (a) (1) Subject to paragraph (2) of this subsection, the programs under §  18 
7–804(a) of this subtitle, § 7–902(a) of this title, and [§ 3A–702] § 3.5–702 of the State 19 
Finance and Procurement Article shall be funded as provided in the State budget. 20 
 
 (2) For fiscal year 2019 and each fiscal year thereafter, the program under 21 
[§ 3A–702] § 3.5–702 of the State Finance and Procurement Article shall be funded at an 22 
amount that: 23 
 
 (i) is equal to the cost that the Department of Aging is expected to 24 
incur for the upcoming fiscal year to provide the service and administer the program; and 25 
 
 (ii) does not exceed 5 cents per month for each account out of the 26 
surcharge amount authorized under subsection (c) of this section. 27 
 
 (b) (1) There is a Universal Service Trust Fund created for the purpose of 28 
paying the costs of maintaining and operating the programs under: 29 
 
 (i) § 7–804(a) of this subtitle, subject to the limitations and controls 30 
provided in this subtitle; 31  6 	SENATE BILL 754  
 
 
 
 (ii) § 7–902(a) of this title, subject to the limitations and controls 1 
provided in Subtitle 9 of this title; and 2 
 
 (iii) [§ 3A–702] § 3.5–702 of the State Finance and Procurement 3 
Article, subject to the limitations and controls provided in Title [3A] 3.5, Subtitle 7 of the 4 
State Finance and Procurement Article. 5 
 
 (c) (1) The costs of the programs under § 7–804(a) of this subtitle, § 7–902(a) 6 
of this title, and [§ 3A–702] § 3.5–702 of the State Finance and Procurement Article shall 7 
be funded by revenues generated by: 8 
 
 (i) a surcharge to be paid by the subscribers to a communications 9 
service; and 10 
 
 (ii) other funds as provided in the State budget. 11 
 
 (d) (1) The Secretary shall annually certify to the Public Service Commission 12 
the costs of the programs under § 7–804(a) of this subtitle, § 7–902(a) of this title, and [§ 13 
3A–702] § 3.5–702 of the State Finance and Procurement Article to be paid by the 14 
Universal Service Trust Fund for the following fiscal year. 15 
 
 (2) (i) The Public Service Commission shall determine the surcharge 16 
for the following fiscal year necessary to fund the programs under § 7–804(a) of this subtitle, 17 
§ 7–902(a) of this title, and [§ 3A–702] § 3.5–702 of the State Finance and Procurement 18 
Article. 19 
 
 (g) (1) The Legislative Auditor may conduct postaudits of a fiscal and 20 
compliance nature of the Universal Service Trust Fund and the expenditures made for 21 
purposes of § 7–804(a) of this subtitle, § 7–902(a) of this title, and [§ 3A–702] § 3.5–702 of 22 
the State Finance and Procurement Article. 23 
 
Article – Insurance 24 
 
31–103. 25 
 
 (a) The Exchange is subject to: 26 
 
 (2) the following provisions of the State Finance and Procurement Article: 27 
 
 (i) Title [3A] 3.5, Subtitle 3 (Information Processing), to the extent 28 
that the Secretary of Information Technology determines that an information technology 29 
project of the Exchange is a major information technology development project; 30 
 
 (b) The Exchange is not subject to: 31 
   	SENATE BILL 754 	7 
 
 
 (2) Title [3A] 3.5, Subtitle 3 (Information Processing) of the State Finance 1 
and Procurement Article, except to the extent determined by the Secretary of Information 2 
Technology under subsection (a)(2)(i) of this section; 3 
 
Article – Natural Resources 4 
 
1–403. 5 
 
 (c) The Department shall develop the electronic system consistent with the 6 
statewide information technology master plan developed under Title [3A] 3.5, Subtitle 3 of 7 
the State Finance and Procurement Article. 8 
 
Article – Public Safety 9 
 
14–103. 10 
 
 (a) There is a Maryland Department of Emergency Management established as a 11 
principal department of the Executive Branch of State government. 12 
 
 (b) The Department has primary responsibility and authority for developing 13 
emergency management policies and is responsible for coordinating disaster risk reduction, 14 
consequence management, and disaster recovery activities. 15 
 
 (c) The Department may act to: 16 
 
 (1) reduce the disaster risk and vulnerability of persons and property 17 
located in the State; 18 
 
 (2) develop and coordinate emergency planning and preparedness; and 19 
 
 (3) coordinate emergency management activities and operations: 20 
 
 (i) relating to an emergency that involves two or more State 21 
agencies; 22 
 
 (ii) between State agencies and political subdivisions; 23 
 
 (iii) with local governments; 24 
 
 (iv) with agencies of the federal government and other states; and 25 
 
 (v) with private and nonprofit entities. 26 
 
14–104.1. 27 
 
 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 28 
INDICATED. 29  8 	SENATE BILL 754  
 
 
 
 (2) “FUND” MEANS THE LOCAL CYBERSECURITY SUPPORT FUND. 1 
 
 (3) “FUSION CENTER” MEANS THE CYBERSECURITY FUSION 2 
CENTER. 3 
 
 (4) (2) “LOCAL GOVERNMENT ” INCLUDES LOCAL SCHOO L 4 
SYSTEMS, LOCAL SCHOOL BOARDS , AND LOCAL HEALTH DEP ARTMENTS.  5 
 
 (5) (3) “UNIT” MEANS THE CYBER PREPAREDNESS UNIT.  6 
 
 (B) (1) THERE IS A CYBER PREPAREDNESS UNIT IN THE DEPARTMENT .  7 
 
 (2) IN COORDINATION WITH THE STATE CHIEF INFORMATION 8 
SECURITY OFFICER, THE UNIT SHALL:  9 
 
 (I) SUPPORT LOCAL GOVERN MENTS IN DEVELOPING A 10 
VULNERABILITY ASSESS MENT AND CYBER ASSES SMENT THROUGH THE MARYLAND 11 
NATIONAL GUARD’S INNOVATIVE READINESS TRAINING PROGRAM OR THE U.S. 12 
DEPARTMENT OF HOMELAND SECURITY CYBERSECURITY AND INFRASTRUCTURE 13 
SECURITY AGENCY, INCLUDING PROVIDING LOCAL GOVERNMENTS WI TH THE 14 
RESOURCES AND INFORM ATION ON BEST PRACTI CES TO COMPLETE THE 15 
ASSESSMENTS ;  16 
 
 (II) DEVELOP AND REGULARL Y UPDATE AN ONLINE D ATABASE 17 
OF CYBERSECURITY TRA INING RESOURCES FOR LOCAL GOVERNMENT PER SONNEL, 18 
INCLUDING TECHNICAL TRAINING RESOURCES , CYBERSECURITY CONTIN UITY OF 19 
OPERATIONS TEMPLATES , CONSEQUENCE MANAGEMENT PLANS , AND TRAININGS ON 20 
MALWARE AND RANSOMWA RE DETECTION ;  21 
 
 (III) ESTABLISH AND PROVID E STAFF FOR A STATEW IDE 22 
HELPLINE TO PROVIDE REAL–TIME EMERGENCY ASSIS TANCE AND RESOURCE 23 
INFORMATION TO ANY L OCAL GOVERNMENT THAT HAS EXPERIENCED A CY BER 24 
INCIDENT OR ATTACK ;  25 
 
 (IV) (III) ASSIST LOCAL GOVERNM ENTS IN: 26 
 
 1. THE DEVELOPMENT OF C	YBERSECURITY 27 
PREPAREDNESS AND RES PONSE PLANS; AND 28 
 
 2. IMPLEMENTING BEST PR ACTICES AND GUIDANCE 29 
DEVELOPED BY THE STATE CHIEF INFORMATION SECURITY OFFICER; AND  30 
   	SENATE BILL 754 	9 
 
 
 3. IDENTIFYING AND ACQU IRING RESOURCES TO 1 
COMPLETE APPROPRIATE CYBERSECURITY VULNER ABILITY ASSESSMENTS ;  2 
 
 (V) (IV) CONNECT LOCAL GOVERN MENTS TO APPROPRIATE 3 
RESOURCES FOR ANY OT	HER PURPOSE RELATED 	TO CYBERSECURITY 4 
PREPAREDNESS AND RES PONSE;  5 
 
 (VI) DEVELOP APPROPRIATE 	REPORTS ON LOCAL 6 
CYBERSECURITY PREPAR EDNESS;  7 
 
 (VII) (V) AS NECESSARY AND IN COORDINATION WITH TH E 8 
NATIONAL GUARD, LOCAL EMERGENCY MANA GERS, AND OTHER STATE AND LOCAL 9 
ENTITIES, CONDUCT REGIONAL CYB ERSECURITY PREPAREDN ESS EXERCISES; AND 10 
 
 (VIII) (VI) ESTABLISH REGIONAL A SSISTANCE GROUPS TO 11 
DELIVER AND COORDINA TE SUPPORT SERVICES TO LOCAL GOVERNMENTS , 12 
AGENCIES, OR REGIONS.  13 
 
 (3) THE UNIT SHALL SUPPORT TH E OFFICE OF SECURITY 14 
MANAGEMENT IN THE DEPARTMENT OF INFORMATION TECHNOLOGY DURING 15 
EMERGENCY RESPONSE E FFORTS.  16 
 
 (C) (1) EACH LOCAL GOVERNMENT SHALL REPORT A CYBER SECURITY 17 
INCIDENT, INCLUDING AN ATTACK ON A STATE SYSTEM BEING US ED BY THE LOCAL 18 
GOVERNMENT , TO THE APPROPRIATE L OCAL EMERGENCY MANAG ER AND THE 19 
STATE SECURITY OPERATIONS CENTER IN THE DEPARTMENT OF INFORMATION 20 
TECHNOLOGY TO THE MARYLAND JOINT OPERATIONS CENTER IN THE 21 
DEPARTMENT IN ACCORDA NCE WITH PARAGRAPH (2) OF THIS SUBSECTION .  22 
 
 (2) FOR THE REPORTING OF CYBERSECURITY INCIDE NTS UNDER 23 
PARAGRAPH (1) OF THIS SUBSECTION , THE DEPARTMENT STATE CHIEF 24 
INFORMATION SECURITY OFFICER SHALL DETERMINE : 25 
 
 (I) THE CRITERIA FOR DET ERMINING WHEN AN INC IDENT MUST 26 
BE REPORTED ;  27 
 
 (II) THE MANNER IN WHICH TO REPORT; AND 28 
 
 (III) THE TIME PERIOD WITH IN WHICH A REPORT MU ST BE MADE.  29 
 
 (3) THE MARYLAND JOINT OPERATIONS CENTER STATE SECURITY 30 
OPERATIONS CENTER SHALL IMMEDIATELY NOTIFY APPROPRIATE A GENCIES OF A 31 
CYBERSECURITY INCIDE NT REPORTED UNDER TH IS SUBSECTION THROUG H THE 32 
STATE SECURITY OPERATIONS CENTER.  33  10 	SENATE BILL 754  
 
 
 
 (D) (1) FIVE POSITION IDENTIFICATION NUMBERS (PINS) SHALL BE 1 
CREATED FOR THE PURP OSE OF HIRING STAFF TO CONDUCT THE DUTIE S OF THE 2 
MARYLAND DEPARTMENT OF EMERGENCY MANAGEMENT CYBERSECURITY 3 
PREPAREDNESS UNIT. 4 
 
 (2) FOR FISCAL YEAR 2024 AND EACH FISCAL YEAR THEREAFTER , 5 
THE GOVERNOR SHALL INCLUDE IN THE ANNUAL BUDGET BI LL AN APPROPRIATION 6 
OF AT LEAST: 7 
 
 (I) $220,335 FOR 3 PINS FOR ADMINISTRATOR III POSITIONS; 8 
AND 9 
 
 (II) $137,643 FOR 2 PINS FOR ADMINISTRATOR II POSITIONS.  10 
 
 (D) (1) THERE IS A CYBERSECURITY FUSION CENTER IN THE 11 
DEPARTMENT . 12 
 
 (2) THE FUSION CENTER SHALL: 13 
 
 (I) COORDINATE INFORMATI ON ON CYBERSECURITY BY 14 
SERVING AS A CENTRAL LOCATION FOR INFORMA TION SHARING ACROSS STATE AND 15 
LOCAL GOVERNMENT , FEDERAL GOVERNMENT P ARTNERS, AND PRIVATE ENTITIES ;  16 
 
 (II) WITH THE OFFICE OF SECURITY MANAGEMENT IN THE 17 
DEPARTMENT OF INFORMATION TECHNOLOGY , SUPPORT CYBERSECURIT Y 18 
COORDINATION BETWEEN LOCAL UNITS OF GOVER NMENT THROUGH EXISTI NG 19 
LOCAL GOVERNMENT STA KEHOLDER ORGANIZATIO NS;  20 
 
 (III) PROVIDE SUPPORT TO T HE STATE CHIEF INFORMATION 21 
SECURITY OFFICER AND THE UNIT DURING CYBERSECU RITY INCIDENTS THAT 22 
AFFECT STATE AND LOCAL GOVER NMENTS;  23 
 
 (IV) SUPPORT RISK –BASED PLANNING FOR T HE USE OF 24 
FEDERAL RESOURCES ; AND 25 
 
 (V) CONDUCT ANALYSIS OF CYBERSECURITY INCIDE NTS. 26 
 
 (E) (1) THERE IS A LOCAL CYBERSECURITY SUPPORT FUND. 27 
 
 (2) THE PURPOSE OF THE FUND IS TO: 28 
 
 (I) PROVIDE FINANCIAL AS SISTANCE TO LOCAL GO VERNMENTS 29 
TO IMPROVE CYBERSECU RITY PREPAREDNESS , INCLUDING:  30   	SENATE BILL 754 	11 
 
 
 
 1. UPDATING CURRENT DEV ICES AND NETWORKS WI TH 1 
THE MOST UP–TO–DATE CYBERSECURITY PR OTECTIONS;  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; AND 7 
 
 4. PAYING OUTSIDE VENDO RS FOR CYBERSECURITY 8 
STAFF TRAINING ; AND  9 
 
 (II) ASSIST LOCAL GOVERNM ENTS APPLYING FOR FE DERAL 10 
CYBERSECURITY PREPAR EDNESS GRANTS .  11 
 
 (3) THE SECRETARY SHALL ADMIN ISTER THE FUND.  12 
 
 (4) (I) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT 13 
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 14 
 
 (II) THE STATE TREASURER SHALL HOLD 	THE FUND 15 
SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 16 
 
 (5) THE FUND CONSISTS OF :  17 
 
 (I) MONEY APPROPRIATED I N THE STATE BUDGET TO THE 18 
FUND;  19 
 
 (II) INTEREST EARNINGS ; AND 20 
 
 (III) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED 21 
FOR THE BENEFIT OF T HE FUND. 22 
 
 (6) THE FUND MAY BE USED ONLY :  23 
 
 (I) TO PROVIDE FINANCIAL ASSISTANCE TO LOCAL 24 
GOVERNMENTS TO IMPRO VE CYBERSECUR ITY PREPAREDNESS , INCLUDING:  25 
 
 1. UPDATING CURRENT DEV ICES AND NETWORKS WI TH 26 
THE MOST UP–TO–DATE CYBERSECURITY P ROTECTIONS;  27 
  12 	SENATE BILL 754  
 
 
 2. SUPPORTING THE PURCH ASE OF NEW HARDWARE , 1 
SOFTWARE, DEVICES, AND FIREWALLS TO IMP	ROVE CYBERSECURITY 2 
PREPAREDNESS ;  3 
 
 3. RECRUITING AND HIRIN	G INFORMATION 4 
TECHNOLOGY STAFF FOC USED ON CYBERSECURIT Y; AND 5 
 
 4. PAYING OUTSIDE VENDO RS FOR CYBERSECURITY 6 
STAFF TRAINING ;  7 
 
 (II) TO ASSIST LOCAL GOVE RNMENTS APPLYING FOR FEDERAL 8 
CYBERSECURITY PREPAR EDNESS GRANTS ; AND 9 
 
 (III) FOR ADMINISTRATIVE E XPENSES ASSOCIATED W ITH 10 
PROVIDING THE ASSIST ANCE DESCRIBED UNDER ITEM (I) OF THIS PARAGRAPH .  11 
 
 (7) (I) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 12 
FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE IN VESTED. 13 
 
 (II) ANY INTER EST EARNINGS OF THE FUND SHALL BE 14 
CREDITED TO THE FUND. 15 
 
 (8) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN 16 
ACCORDANCE WITH THE STATE BUDGET .  17 
 
 (F) TO BE ELIGIBLE TO REC EIVE ASSISTANCE FROM THE FUND, EACH 18 
LOCAL GOVERNMENT THA T USES THE NETWORK E STABLISHED IN ACCORDANCE 19 
WITH § 3.5–404 OF THE STATE FINANCE AND PROCUREMENT ARTICLE SHALL MEET 20 
THE REQUIREMENTS OF §§ 3.5–404(D) AND 3.5–405 OF THE STATE FINANCE AND 21 
PROCUREMENT ARTICLE.  22 
 
Article – State Finance and Procurement 23 
 
3.5–101. 24 
 
 (a) In this title the following words have the meanings indicated. 25 
 
 (e) “Unit of State government” means an agency or unit of the Executive Branch 26 
of State government. 27 
 
SUBTITLE 2A. OFFICE OF SECURITY MANAGEMENT . 28 
 
3.5–2A–01. 29 
   	SENATE BILL 754 	13 
 
 
 IN THIS SUBTITLE , “OFFICE” MEANS THE OFFICE OF SECURITY 1 
MANAGEMENT . 2 
 
3.5–2A–02. 3 
 
 THERE IS AN OFFICE OF SECURITY MANAGEMENT WITHIN THE DEPARTMENT . 4 
 
3.5–2A–03. 5 
 
 (A) THE HEAD OF THE OFFICE IS THE STATE CHIEF INFORMATION 6 
SECURITY OFFICER. 7 
 
 (B) THE STATE CHIEF INFORMATION SECURITY OFFICER SHALL: 8 
 
 (1) BE APPOINTED BY THE GOVERNOR WITH THE ADV ICE AND 9 
CONSENT OF THE SENATE; 10 
 
 (2) SERVE AT THE PLEASUR E OF THE GOVERNOR; 11 
 
 (3) BE SUPERVISED BY THE SECRETARY; AND 12 
 
 (4) SERVE AS THE CHIEF I NFORMATION SECURITY OFFICER OF THE 13 
DEPARTMENT .  14 
 
 (C) AN INDIVIDUAL APPOINTED AS THE STATE CHIEF INFORMATION 15 
SECURITY OFFICER UNDER SUBSECT ION (B) OF THIS SECTION SHAL L: 16 
 
 (1) AT A MINIMUM, HOLD A BACHELOR ’S DEGREE;  17 
 
 (2) HOLD APPROPRIATE INF	ORMATION TECHNOLOGY 	OR 18 
CYBERSECURITY CERTIF ICATIONS;  19 
 
 (3) HAVE EXPERIENCE :  20 
 
 (I) IDENTIFYING, IMPLEMENTING , AND OR ASSESSING 21 
SECURITY CONTROLS ;  22 
 
 (II) IN INFRASTRUCTURE , SYSTEMS ENGINEERING , AND OR 23 
CYBERSECURITY ;  24 
 
 (III) MANAGING HIGHLY TECH NICAL SECURITY , SECURITY 25 
OPERATIONS CENTERS , AND INCIDENT RESPONS E TEAMS IN A COMPLEX CLOUD 26 
ENVIRONMENT AND SUPP ORTING MULTIPLE SITE S; AND 27 
  14 	SENATE BILL 754  
 
 
 (IV) WORKING WITH COMMON 	INFORMATION SECURITY 1 
MANAGEMENT FRAMEWORK S;  2 
 
 (4) HAVE EXTENSIVE KNOWL EDGE OF INFORMATION TECHNOLOGY 3 
AND CYBERSECURITY FI ELD CONCEPTS , BEST PRACTICES , AND PROCEDURE S, WITH 4 
AN UNDERSTANDING OF EXISTING ENTERPRISE CAPABILITIES AND LIM ITATIONS TO 5 
ENSURE THE SECURE IN TEGRATION AND OPERAT ION OF SECURITY NETW ORKS AND 6 
SYSTEMS; AND 7 
 
 (5) HAVE KNOWLEDGE OF CU RRENT SECURITY REGUL ATIONS. 8 
 
 (C) (D) THE STATE CHIEF INFORMATION SECURITY OFFICER SHALL 9 
PROVIDE CYBERSECURIT Y ADVICE AND RECOMME NDATIONS TO THE GOVERNOR ON 10 
REQUEST. 11 
 
 (D) (E) (1) (I) THERE IS A DIRECTOR OF LOCAL CYBERSECURITY , 12 
WHO SHALL BE APPOINT ED BY THE STATE CHIEF INFORMATION SECURITY 13 
OFFICER. 14 
 
 (II) THE DIRECTOR OF LOCAL CYBERSECURITY SHALL W ORK 15 
IN COORDINATION WITH THE MARYLAND DEPARTMENT OF EMERGENCY 16 
MANAGEMENT TO PROVIDE TECHNICAL ASSISTANCE , COORDINATE RESOURCES , 17 
AND IMPROVE CYBERSEC URITY PREPAREDNESS F OR UNITS OF LOCAL 18 
GOVERNMENT . 19 
 
 (2) (I) THERE IS A DIRECTOR OF STATE CYBERSECURITY , WHO 20 
SHALL BE APPOINTED B Y THE STATE CHIEF INFORMATION SECURITY OFFICER. 21 
 
 (II) THE DIRECTOR OF STATE CYBERSECURITY IS 22 
RESPONSIBLE FOR IMPL EMENTATION OF THIS S ECTION WITH RESPECT TO UNITS OF 23 
STATE GOVERNMENT . 24 
 
 (E) (F) THE DEPARTMENT SHALL PROVIDE THE OFFICE WITH 25 
SUFFICIENT STAFF TO PERFORM THE FUNCTION S OF THIS SUBTITLE. 26 
 
 (F) THE OFFICE MAY PROCURE RE SOURCES, INCLUDING REGIONAL 27 
COORDINATORS , NECESSARY TO FULFILL THE REQUIREMENTS OF THIS SUBTITLE. 28 
 
3.5–2A–04. 29 
 
 (A) (1) THE OFFICE IS RESPONSIBLE FOR: 30 
   	SENATE BILL 754 	15 
 
 
 (1) (I) THE DIRECTION , COORDINATION , AND IMPLEMENTATION 1 
OF THE OVERALL CYBER SECURITY STRATEGY AN D POLICY FOR UNITS O F STATE 2 
GOVERNMENT ; AND 3 
 
 (2) THE COORDINATION OF RESOURCES AND EFFORT S TO 4 
IMPLEMENT CYBERSECUR ITY BEST PRACTICES AND IMPROV E OVERALL 5 
CYBERSECURITY PREPAR EDNESS AND RESPONSE FOR UNITS OF LOCAL 6 
GOVERNMENT , LOCAL SCHOOL BOARDS , LOCAL SCHOOL SYSTEMS , AND LOCAL 7 
HEALTH DEPARTMENTS .; AND  8 
 
 (II) SUPPORTING THE MARYLAND DEPARTMENT OF 9 
EMERGENCY MANAGEMENT CYBER PREPAREDNESS UNIT DURING EMERGENCY 10 
RESPONSE EFFORTS . 11 
 
 (2) THE OFFICE IS NOT RESPONS IBLE FOR THE INFORMA TION 12 
TECHNOLOGY INSTALLAT ION AND MAINTENANCE OPERATIONS NORMALLY 13 
CONDUCTED BY A UNIT OF STATE GOVERNMENT , A UNIT OF LOCAL GOVE RNMENT, A 14 
LOCAL SCHOOL BOAR D, A LOCAL SCHOOL SYSTE M, OR A LOCAL HEALTH 15 
DEPARTMENT .  16 
 
 (B) THE OFFICE SHALL: 17 
 
 (1) ESTABLISH STANDARDS TO CATEGORIZE ALL IN FORMATION 18 
COLLECTED OR MAINTAI NED BY OR ON BEHALF OF EACH UNIT OF STATE 19 
GOVERNMENT ; 20 
 
 (2) ESTABLISH STANDARDS TO CATEGORIZE ALL INFORMATION 21 
SYSTEMS MAINTAINED B Y OR ON BEHALF OF EA CH UNIT OF STATE GOVERNMENT ; 22 
 
 (3) DEVELOP GUIDELINES G OVERNING THE TYPES O F INFORMATION 23 
AND INFORMATION SYST EMS TO BE INCLUDED I N EACH CATEGORY ; 24 
 
 (4) ESTABLISH SECURITY R EQUIREMENTS FOR INFO RMATION AND 25 
INFORMATION SYSTEMS IN EACH CATEGORY ; 26 
 
 (5) ASSESS THE CATEGORIZ ATION OF INFORMATION AND 27 
INFORMATION SYSTEMS AND THE ASSOCIATED I MPLEMENTATION OF THE SECURITY 28 
REQUIREMENTS ESTABLI SHED UNDER ITEM (4) OF THIS SUBSECTION ; 29 
 
 (6) IF THE STATE CHIEF INFORMATION SECURITY OFFICER 30 
DETERMINES THAT THER E ARE SECURITY VULNE RABILITIES OR DEFICI ENCIES IN 31 
THE IMPLEMENTATION O F THE SECURITY REQUI REMENTS ESTABLISHED UNDER 32 
ITEM (4) OF THIS SUBSECTION , DETERMINE WHETHER AN INFORMATION SYSTEM 33 
SHOULD BE ALLOWED TO CONTINUE TO OPERATE OR BE C ONNECTED TO THE 34  16 	SENATE BILL 754  
 
 
NETWORK ESTABLISHED IN ACCORDANCE WITH § 3.5–404 OF THIS TITLE; ANY 1 
INFORMATION SYSTEMS , DETERMINE AND DIRECT OR TAKE ACTIONS NECE SSARY TO 2 
CORRECT OR REMEDIATE THE VULNERABILITIES OR DEFICIENCIES , WHICH MAY 3 
INCLUDE REQUI RING THE INFORMATION SYSTEM TO BE DISCONN ECTED;  4 
 
 (7) IF THE STATE CHIEF INFORMATION SECURITY OFFICER 5 
DETERMINES THAT THER E IS A CYBERSECURITY THREAT CAUSED BY AN ENTITY 6 
CONNECTED TO THE NET WORK ESTABLISHED UND ER § 3.5–404 OF THIS TITLE THAT 7 
INTRODUCES A SERIOUS RISK TO ENTI TIES CONNECTED TO TH E NETWORK OR TO 8 
THE STATE, TAKE OR DIRECT ACTIO NS REQUIRED TO MITIG ATE THE THREAT ;  9 
 
 (7) (8) MANAGE SECURITY AWAR ENESS TRAINING FOR A LL 10 
APPROPRIATE EMPLOYEE S OF UNITS OF STATE GOVERNMENT ; 11 
 
 (8) (9) ASSIST IN THE DEVELO PMENT OF DATA MANAGE MENT, 12 
DATA GOVERNANCE , AND DATA SPECIFICATI ON STANDARDS TO PROM OTE 13 
STANDARDIZATION AND REDUCE RISK;  14 
 
 (9) (10) ASSIST IN THE DEVELO PMENT OF A DIGITAL I DENTITY 15 
STANDARD AND SPECIFI CATION APPLICABLE TO ALL PARTIES CO MMUNICATING , 16 
INTERACTING, OR CONDUCTING BUSINE SS WITH OR ON BEHALF OF A UNIT OF STATE 17 
GOVERNMENT ;  18 
 
 (10) (11) DEVELOP AND MAINTAIN INFORMATION TECHNOLO GY 19 
SECURITY POLICY , STANDARDS, AND GUIDANCE DOCUMEN TS, CONSISTENT WITH 20 
BEST PRACTICES DEVEL OPED BY THE NATIONAL INSTITUTE OF STANDARDS AND 21 
TECHNOLOGY ;  22 
 
 (11) (12) TO THE EXTENT PRACTI CABLE, SEEK, IDENTIFY, AND 23 
INFORM RELEVANT STAK EHOLDERS OF ANY AVAI LABLE FINANCIAL ASSI STANCE 24 
PROVIDED BY THE FEDE RAL GOVERNMENT OR NO N–STATE ENTITIES TO SUP PORT 25 
THE WORK OF THE OFFICE;  26 
 
 (12) REVIEW AND CERTIFY L OCAL CYBERSECURITY P REPAREDNESS 27 
AND RESPONSE PLANS ;  28 
 
 (13) PROVIDE TECHNICAL AS SISTANCE TO LOCALITI ES IN MITIGATING 29 
AND RECOVERING FROM CYBERSECURITY INCIDE NTS; AND 30 
 
 (14) PROVIDE TECHNICAL SE RVICES, ADVICE, AND GUIDANCE TO 31 
UNITS OF LOCAL GOVER NMENT TO IMPROVE CYB ERSECURITY PREPAREDN ESS, 32 
PREVENTION , RESPONSE, AND RECOVERY PRACTIC ES. 33 
   	SENATE BILL 754 	17 
 
 
 (C) THE OFFICE, IN COORDINATION WITH THE MARYLAND DEPARTMENT 1 
OF EMERGENCY MANAGEMENT , SHALL:  2 
 
 (1) ASSIST LOCAL POLITIC AL SUBDIVISIONS , INCLUDING COUNTIES , 3 
SCHOOL SYSTEMS , SCHOOL BOARDS , AND LOCAL HEALTH DEP ARTMENTS, IN:  4 
 
 (I) THE DEVELOPMENT OF C YBERSECURITY PREPARE DNESS 5 
AND RESPONSE PLANS ; AND 6 
 
 (II) IMPLEMENTING BEST PR ACTICES AND GUIDANCE 7 
DEVELOPED BY THE DEPARTMENT ; AND 8 
 
 (2) CONNECT LOCAL ENTITI ES TO APPROPRIATE RE SOURCES FOR 9 
ANY OTHER PURPOSE RE LATED TO CYBERSECURI TY PREPAREDNESS AND 10 
RESPONSE. 11 
 
 (D) THE OFFICE, IN COORDINATION WITH THE MARYLAND DEPARTMENT 12 
OF EMERGENCY MANAGEMENT , MAY:  13 
 
 (1) CONDUCT REGIONAL EXE	RCISES, AS NECESSARY , IN 14 
COORDINATION WITH TH E NATIONAL GUARD, LOCAL EMERGENCY MANA GERS, AND 15 
OTHER STATE AND LOCAL ENTIT IES; AND  16 
 
 (2) ESTABLISH REGIONAL A SSISTANCE GROUPS TO DELIVER OR 17 
COORDINATE SUPPORT S ERVICES TO LOCAL POL ITICAL SUBDIVISIONS, AGENCIES, 18 
OR REGIONS.  19 
 
 (C) (E) (1) ON OR BEFORE DECEMBER 31 EACH YEAR, THE OFFICE 20 
SHALL REPORT TO THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE 21 
STATE GOVERNMENT ARTICLE, THE SENATE BUDGET AND TAXATION COMMITTEE, 22 
THE SENATE EDUCATION, HEALTH, AND ENVIRONMENTAL AFFAIRS COMMITTEE, 23 
THE HOUSE APPROPRIATIONS COMMITTEE, THE HOUSE HEALTH AND 24 
GOVERNMENT OPERATIONS COMMITTEE, AND THE JOINT COMMITTEE ON 25 
CYBERSECURITY , INFORMATION TECHNOLOGY , AND BIOTECHNOLOGY ON THE 26 
ACTIVITIES OF THE OFFICE AND THE STATE OF CYBERSECURITY PRE PAREDNESS IN 27 
MARYLAND, INCLUDING:  28 
 
 (1) (I) THE ACTIVITIES AND A CCOMPLISHMENTS OF TH E OFFICE 29 
DURING THE PREVIOUS 12 MONTHS AT THE STATE AND LOCAL LEVEL S; AND 30 
 
 (2) (II) A COMPILATION AND AN ALYSIS OF THE DATA F ROM THE 31 
INFORMATION CONTAINE D IN THE REPORTS REC EIVED BY THE OFFICE UNDER § 32 
3.5–405 OF THIS TITLE, INCLUDING:  33 
  18 	SENATE BILL 754  
 
 
 (I) 1. A SUMMARY OF THE ISS UES IDENTIFIED BY THE 1 
CYBERSECURITY PREPAR EDNESS ASSESSMENTS C ONDUCTED THAT YEAR ;  2 
 
 (II) 2. THE STATUS OF VULNER ABILITY ASSESSMENTS OF 3 
ALL UNITS OF STATE GOVERNMENT AND A TIMELINE FOR COMPL ETION AND COST 4 
TO REMEDIATE ANY VUL NERABILITIES EXPOSED ;  5 
 
 (III) 3. RECENT AUDIT FINDINGS OF ALL UNITS OF STATE 6 
GOVERNMENT AND OPTIO NS TO IMPROVE FINDIN GS IN FUTURE AUDITS , INCLUDING 7 
RECOMMENDATIONS FOR STAFF, BUDGET, AND TIMING;  8 
 
 (IV) 4. ANALYSIS OF THE STATE’S EXPENDITURE ON 9 
CYBERSECURITY RELATI VE TO OVERALL INFORM ATION TECHNOLOGY SPE NDING 10 
FOR THE PRIOR 3 YEARS AND RECOMMENDA TIONS FOR CHANGES TO THE BUDGET, 11 
INCLUDING AMOUNT , PURPOSE, AND TIMING TO IMPROV E STATE AND LOCAL 12 
CYBERSECURITY PRE PAREDNESS;  13 
 
 (V)  5. EFFORTS TO SECURE FI NANCIAL SUPPORT FOR 14 
CYBER RISK MITIGATIO N FROM FEDERAL OR OT HER NON–STATE RESOURCES ; 15 
 
 (VI) 6. KEY PERFORMANCE INDI	CATORS ON THE 16 
CYBERSECURITY STRATE GIES IN THE DEPARTMENT ’S INFORMATION TECHNO LOGY 17 
MASTER PLAN , INCLUDING TIME , BUDGET, AND STAFF REQUIRED F OR 18 
IMPLEMENTATION ; AND 19 
 
 (VII) 7. ANY ADDITIONAL RECOM	MENDATIONS FOR 20 
IMPROVING STATE AND LOCAL CYBER SECURITY PREPAREDNES S.  21 
 
 (2) A REPORT SUBMITTED UND ER THIS SUBSECTION M AY NOT 22 
CONTAIN INFORMATION THAT REVEA LS CYBERSECURITY VUL NERABILITIES AND 23 
RISKS IN THE STATE.  24 
 
3.5–301. 25 
 
 (a) In this subtitle the following words have the meanings indicated. 26 
 
 (j) “Nonvisual access” means the ability, through keyboard control, synthesized 27 
speech, Braille, or other methods not requiring sight to receive, use, and manipulate 28 
information and operate controls necessary to access information technology in accordance 29 
with standards adopted under [§ 3A–303(b)] § 3.5–303(B) of this subtitle. 30 
 
3.5–302. 31 
 
 (c) Notwithstanding any other provision of law, except as provided in subsection 32 
(a) of this section and [§§ 3A–307(a)(2), 3A–308, and 3A–309] §§ 3.5–307(A)(2), 3.5–308, 33   	SENATE BILL 754 	19 
 
 
AND 3.5–309 of this subtitle, this subtitle applies to all units of the Executive Branch of 1 
State government including public institutions of higher education other than Morgan 2 
State University, the University System of Maryland, St. Mary’s College of Maryland, and 3 
Baltimore City Community College. 4 
 
3.5–303. 5 
 
 (c) On or before January 1, 2020, the Secretary, or the Secretary’s designee, shall: 6 
 
 (2) establish a process for the Secretary or the Secretary’s designee to: 7 
 
 (ii) 2. for information technology procured by a State unit on or 8 
after January 1, 2020, enforce the nonvisual access clause developed under [§ 3A–311] § 9 
3.5–311 of this subtitle, including the enforcement of the civil penalty described in [§  10 
3A–311(a)(2)(iii)1] § 3.5–311(A)(2)(III)1 of this subtitle. 11 
 
3.5–307. 12 
 
 (a) (2) A unit of State government other than a public institution of higher 13 
education may not make expenditures for major information technology development 14 
projects OR CYBERSECURITY PRO JECTS except as provided in [§ 3A–308] § 3.5–308 of 15 
this subtitle. 16 
 
3.5–309. 17 
 
 (c) The Secretary: 18 
 
 (2) subject to the provisions of § 2–201 of this article and [§ 3A–307] §  19 
3.5–307 of this subtitle, may receive and accept contributions, grants, or gifts of money or 20 
property. 21 
 
 (i) The Fund may be used: 22 
 
 (3) notwithstanding [§ 3A–301(b)(2)] § 3.5–301(B)(2) of this subtitle, for 23 
the costs of the first 12 months of operation and maintenance of a major information 24 
technology development project. 25 
 
 (l) (1) Notwithstanding subsection (b) of this section and in accordance with 26 
paragraph (2) of this subsection, money paid into the Fund under subsection (e)(2) of this 27 
section shall be used to support: 28 
 
 (i) the State telecommunication and computer network established 29 
under [§ 3A–404] § 3.5–404 of this title, including program development for these 30 
activities; and 31 
 
3.5–311. 32  20 	SENATE BILL 754  
 
 
 
 (a) (2) On or after January 1, 2020, the nonvisual access clause developed in 1 
accordance with paragraph (1) of this subsection shall include a statement that: 2 
 
 (i) within 18 months after the award of the procurement, the 3 
Secretary, or the Secretary’s designee, will determine whether the information technology 4 
meets the nonvisual access standards adopted in accordance with [§ 3A–303(b)] §  5 
3.5–303(B) of this subtitle; 6 
 
3.5–315. 7 
 
 (A) THERE IS AN INFORMATION SHARING AND ANALYSIS CENTER IN THE 8 
DEPARTMENT . 9 
 
 (B) THE INFORMATION SHARING AND ANALYSIS CENTER SHALL: 10 
 
 (1) COORDINATE INFORMATI ON ON CYBERSECURITY BY SERVING AS 11 
A CENTRAL LOCATION F OR INFORMATION S HARING ACROSS STATE AND LOCAL 12 
GOVERNMENT , FEDERAL GOVERNMENT P ARTNERS, AND PRIVATE ENTITIES ; 13 
 
 (2) WITH THE OFFICE OF SECURITY MANAGEMENT , SUPPORT 14 
CYBERSECURITY COORDI NATION BETWEEN LOCAL UNITS OF GOVERNMENT 15 
THROUGH EXISTING LOC AL GOVERNMENT STAKEH OLDER ORGANIZATIONS ; 16 
 
 (3) PROVIDE SUPPORT TO T HE STATE CHIEF INFORMATION 17 
SECURITY OFFICER AND THE CYBER PREPAREDNESS UNIT, IN THE MARYLAND 18 
DEPARTMENT OF EMERGENCY MANAGEMENT , DURING CYBERSECURITY 19 
INCIDENTS THAT AFFEC T STATE AND LOCAL GOVER NMENTS; 20 
 
 (4) SUPPORT RISK–BASED PLANNING FOR T HE USE OF FEDERAL 21 
RESOURCES; AND 22 
 
 (5) CONDUCT ANALYSES OF CYBERSECURITY INCIDE NTS.  23 
 
3.5–404. 24 
 
 (a) The General Assembly declares that: 25 
 
 (1) it is the policy of the State to foster telecommunication and computer 26 
networking among State and local governments, their agencies, and educational 27 
institutions in the State; 28 
 
 (2) there is a need to improve access, especially in rural areas, to efficient 29 
telecommunication and computer network connections; 30 
   	SENATE BILL 754 	21 
 
 
 (3) improvement of telecommunication and computer networking for State 1 
and local governments and educational institutions promotes economic development, 2 
educational resource use and development, and efficiency in State and local administration; 3 
 
 (4) rates for the intrastate inter–LATA telephone communications needed 4 
for effective integration of telecommunication and computer resources are prohibitive for 5 
many smaller governments, agencies, and institutions; and 6 
 
 (5) the use of improved State telecommunication and computer networking 7 
under this section is intended not to compete with commercial access to advanced network 8 
technology, but rather to foster fundamental efficiencies in government and education for 9 
the public good. 10 
 
 (b) (1) The Department shall establish a telecommunication and computer 11 
network in the State. 12 
 
 (2) The network shall consist of: 13 
 
 (i) one or more connection facilities for telecommunication and 14 
computer connection in each local access transport area (LATA) in the State; and 15 
 
 (ii) facilities, auxiliary equipment, and services required to support 16 
the network in a reliable and secure manner. 17 
 
 (c) The network shall be accessible through direct connection and through local 18 
intra–LATA telecommunications to State and local governments and public and private 19 
educational institutions in the State. 20 
 
 (D) ON OR BEFORE DECEMBER 1 EACH YEAR IN A MANNER AND FREQU ENCY 21 
ESTABLISHED IN REGUL ATIONS ADOPTED BY TH E DEPARTMENT , EACH UNIT OF THE 22 
LEGISLATIVE OR JUDICIAL BRANCH OF STATE GOVERNMENT , EACH UNIT OF LOCAL 23 
GOVERNMENT, AND ANY LOCAL AGENCI ES THAT USE THE NETW ORK ESTABLISHED 24 
UNDER SUBSECTION (B) OF THIS SECTION SHAL L CERTIFY TO THE DEPARTMENT 25 
THAT THE UNIT IS IN COMPLIANCE WITH THE DEPARTMENT ’S MINIMUM SECURITY 26 
STANDARDS. 27 
 
3.5–405. 28 
 
 (A) THIS SECTION DOES NOT APPLY TO MUNICIPAL G OVERNMENTS . 29 
 
 (B) ON OR BEFORE DECEMBER 1 EACH YEAR IN A MANNER AND FREQU ENCY 30 
ESTABLISHED IN REGUL ATIONS ADOPTED BY TH E DEPARTMENT , EACH COUNTY 31 
GOVERNMENT , LOCAL SCHOOL SYSTEM , AND LOCAL HEALTH DEP ARTMENT SHALL :  32 
  22 	SENATE BILL 754  
 
 
 (1) IN CONSULTATION WITH THE LOCAL EMERGENCY MANAGER, 1 
CREATE OR UPDATE A C YBERSECURITY PREPARE DNESS AND RESPONSE P LAN AND 2 
SUBMIT THE PLAN TO T HE OFFICE OF SECURITY MANAGEMENT FOR APPROV AL;  3 
 
 (2) COMPLETE A CYBERSECU RITY PREPAREDNESS AS SESSMENT AND 4 
REPORT THE RESULTS TO THE OFFICE IN ACCORDANCE WITH GUIDELINES 5 
DEVELOPED BY THE OFFICE; AND 6 
 
 (3) REPORT TO THE OFFICE:  7 
 
 (I) THE NUMBER OF INFORM ATION TECHNOLOGY STA FF 8 
POSITIONS, INCLUDING VACANCIES ;  9 
 
 (II) THE ENTITY’S CYBERSECURITY BUDG ET AND OVERALL 10 
INFORMATION TECHNOLOGY BU DGET;  11 
 
 (III) THE NUMBER OF EMPLOY EES WHO HAVE RECEIVE D 12 
CYBERSECURITY TRAINI NG; AND 13 
 
 (IV) THE TOTAL NUMBER OF EMPLOYEES WITH ACCES S TO THE 14 
ENTITY’S COMPUTER SYSTEMS A ND DATABASES . 15 
 
4–308. 16 
 
 (A) THE DEPARTMENT MAY ESTABL ISH A PROGRAM THAT LEVERAG ES 17 
STATE PURCHASING POWE R TO OFFER FAVORABLE RATES TO UNITS OF LO CAL 18 
GOVERNMENT TO PROCUR E INFORMATION TECHNO LOGY OR CYBERSECURIT Y 19 
SERVICES FROM CONTRA CTORS. 20 
 
 (B) A UNIT OF LOCAL GOVERN MENT MAY NOT BE REQU	IRED TO 21 
PARTICIPATE IN A PRO GRAM ESTABLISHED UNDER SUBSECTION (A) OF THIS 22 
SECTION.  23 
 
6–226. 24 
 
 (a) (2) (i) Notwithstanding any other provision of law, and unless 25 
inconsistent with a federal law, grant agreement, or other federal requirement or with the 26 
terms of a gift or settlement agreement, net interest on all State money allocated by the 27 
State Treasurer under this section to special funds or accounts, and otherwise entitled to 28 
receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 29 
Fund of the State. 30 
 
 (ii) The provisions of subparagraph (i) of this paragraph do not apply 31 
to the following funds: 32 
   	SENATE BILL 754 	23 
 
 
 144. the Health Equity Resource Community Reserve Fund; 1 
[and] 2 
 
 145. the Access to Counsel in Evictions Special Fund; AND 3 
 
 146. THE LOCAL CYBERSECURITY SUPPORT FUND. 4 
 
12–107. 5 
 
 (b) Subject to the authority of the Board, jurisdiction over procurement is as 6 
follows: 7 
 
 (2) the Department of General Services may: 8 
 
 (i) engage in or control procurement of: 9 
 
 10. information processing equipment and associated 10 
services, as provided in Title [3A] 3.5, Subtitle 3 of this article; and 11 
 
 11. telecommunication equipment, systems, or services, as 12 
provided in Title [3A] 3.5, Subtitle 4 of this article;  13 
 
Article – State Government 14 
 
2–1224. 15 
 
 (f) [After] EXCEPT AS PROVIDED IN SUBSECTION (I) OF THIS SECTION , 16 
AFTER the expiration of any period that the Joint Audit and Evaluation Committee 17 
specifies, a report of the Legislative Auditor is available to the public under Title 4, 18 
Subtitles 1 through 5 of the General Provisions Article. 19 
 
 (I) A REPORT AUDITING A UN IT OF STATE OR LOCAL GOVERN MENT SHALL 20 
HAVE ANY CYBERSECURI TY FINDINGS REDACTED IN A MANNER CONSISTE NT WITH 21 
AUDITING BEST PRACTI CES BEFORE THE REPORT IS MADE AVAILABLE TO TH E 22 
PUBLIC.  23 
 
 SECTION 3. AND BE IT FURTHER ENACTED, That, on or before December 1, 24 
2022, the State Chief Information Security Officer and the Secretary of Emergency 25 
Management shall: 26 
 
 (1) review the State budget for efficiency and effectiveness of funding and 27 
resources to ensure that the State is equipped to respond to a cybersecurity attack;  28 
 
 (2) make recommendations for any changes to the budget needed to 29 
accomplish the goals under item (1) of this section;  30 
  24 	SENATE BILL 754  
 
 
 (3) establish guidance for units of State government on use and access to 1 
State funding related to cybersecurity preparedness; and 2 
 
 (4) report any recommendations and guidance to the Governor and, in 3 
accordance with § 2–1257 of the State Government Article, the General Assembly.  4 
 
 SECTION 4. AND BE IT FURTHER ENACT ED, That: 5 
 
 (a) On or before December 1, 2023, the State Chief Information Security Officer 6 
shall: 7 
 
 (1) commission a feasibility study on expanding the operations of the State 8 
Security Operations Center operated by the Department of Information Technology to 9 
include cybersecurity monitoring and alert services for units of local government; and  10 
 
 (2) report any recommendations to the Governor and, in accordance with § 11 
2–1257 of the State Government Article, the General Assembly. 12 
 
 (b) For fiscal year 2024, the Governor shall include an appropriation in the 13 
annual budget to cover the cost of the feasibility study required under subsection (a) of this 14 
section.  15 
 
 SECTION 5. AND BE IT FURTHER ENACTED, That this Act shall take effect July 16 
1, 2022. 17 
 
 SECTION 5. AND BE IT FURTHER ENACTED, That: 18 
 
 (a) (1) On or before June 30, 2023, each unit of local government shall certify 19 
to the Office of Security Management compliance with State minimum cybersecurity 20 
standards established by the Department of Information Technology. 21 
 
 (2) Certification shall be reviewed by independent auditors, and any 22 
findings must be remediated. 23 
 
 (b) If a unit of local government has not remediated any findings pertaining to 24 
State cybersecurity standards found by the independent audit required under subsection 25 
(1) of this section by July 1, 2024, the Office of Security Management shall assume 26 
responsibility for a unit’s cybersecurity through a shared service agreement, administrative 27 
privileges, or access to Network Maryland notwithstanding any federal law or regulation 28 
that forbids the Office of Security Management from managing a specific system. 29 
 
 SECTION 6. AND BE IT FURTHER ENACTED, That for fiscal year 2023, funds 30 
from the Dedicated Purpose Account may be transferred by budget amendm ent in 31 
accordance with § 7–310 of the State Finance and Procurement Article to implement this 32 
Act. 33 
 
 SECTION 7. AND BE IT FURTHER ENACTED, That: 34   	SENATE BILL 754 	25 
 
 
 
 (a) On or before June October 1, 2022, the State Chief Information Security 1 
Officer shall establish guidelines to determine when a cybersecurity incident shall be 2 
disclosed to the public. 3 
 
 (b) On or before November 1, 2022, the State Chief Information Security Officer 4 
shall submit a report on the guidelines established under subsection (a) of this section to 5 
the Governor and, in accordance with § 2–1257 of the State Government Article, the House 6 
Health and Government Operations Committee and the Senate Education, Health, and 7 
Environmental Affairs Committee. 8 
 
 SECTION 8. AND BE IT FURTHER ENACTED, That this Act is an emergency 9 
measure, is necessary for the immediate preservation of the public health or safety, has 10 
been passed by a yea and nay vote supported by three–fifths of all the members elected to 11 
each of the two Houses of the General Assembly, and shall take effect from the date it is 12 
enacted.  13 
 
 
 
 
 
 
Approved: 
________________________________________________________________________________  
 Governor. 
________________________________________________________________________________  
         President of the Senate. 
________________________________________________________________________________  
  Speaker of the House of Delegates.