Maryland 2022 2022 Regular Session

Maryland Senate Bill SB754 Enrolled / Bill

Filed 04/12/2022

                     
 
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. 
          *sb0754*  
  
SENATE BILL 754 
S2, E4, P1 	EMERGENCY BILL 	(2lr1504) 
ENROLLED BILL 
— Education, Health, and Environmental Affairs/Health and Government  
Operations — 
Introduced by Senator Hester Senators Hester, Hershey, Jennings, Jackson, 
Rosapepe, Lee, and Watson 
 
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. 
  
______________________________________________ 
President.  
 
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  2 	SENATE BILL 754  
 
 
of Security Management within the Department of Information Technology and 1 
certain Office positions; establishing certain responsibilities and authority of the 2 
Office; requiring each unit of the Legislative or Judicial Branch of State government, 3 
each unit of local government, and any local agencies that use a certain network to 4 
certify certain compliance to the Department of Information Technology on or before 5 
a certain date each year; requiring certain local entities to submit a certain report to 6 
the Office on or before a certain date each year; in a certain manner; requiring the 7 
Office to submit a certain report to the Governor and certain committees of the 8 
General Assembly on or before a certain date each year; requiring the Office to 9 
submit a certain report to the Governor and certain committees of the General 10 
Assembly on or before a certain date each year; establishing the Information Sharing 11 
and Analysis Center in the Department of Information Technology; establishing 12 
certain responsibilities for the Center; requiring the State Chief Information 13 
Security Officer and the Secretary of Emergency Management to conduct a certain 14 
review, make recommendations, establish certain guidance, and submit a certain 15 
report on or before a certain date; requiring the State Chief Information Security 16 
Officer to commission a certain feasibility study and report recommendations on or 17 
before a certain date; requiring the Governor to include an appropriation in a certain 18 
annual budget to cover the cost of the feasibility study; authorizing funds to be 19 
transferred by budget amendment from the Dedicated Purpose Account in a certain 20 
fiscal year to implement the Act; and generally relating to local government 21 
cybersecurity coordination and operations. 22 
 
BY renumbering 23 
 Article – State Finance and Procurement 24 
Section 3A–101 through 3A–702, respectively, and the title “Title 3A. Department of 25 
Information Technology” 26 
to be Section 3.5–101 through 3.5–702, respectively, and the title “Title 3.5. 27 
Department of Information Technology” 28 
 Annotated Code of Maryland 29 
 (2021 Replacement Volume) 30 
 
BY repealing and reenacting, with amendments, 31 
 Article – Criminal Procedure 32 
 Section 10–221(b) 33 
 Annotated Code of Maryland 34 
 (2018 Replacement Volume and 2021 Supplement) 35 
 
BY repealing and reenacting, with amendments, 36 
 Article – Health – General 37 
 Section 21–2C–03(h)(2)(i) 38 
 Annotated Code of Maryland 39 
 (2019 Replacement Volume and 2021 Supplement) 40 
 
BY repealing and reenacting, with amendments, 41 
 Article – Human Services 42 
 Section 7–806(a), (b)(1), (c)(1), (d)(1) and (2)(i), and (g)(1) 43   	SENATE BILL 754 	3 
 
 
 Annotated Code of Maryland 1 
 (2019 Replacement Volume and 2021 Supplement) 2 
 
BY repealing and reenacting, with amendments, 3 
 Article – Insurance 4 
 Section 31–103(a)(2)(i) and (b)(2) 5 
 Annotated Code of Maryland 6 
 (2017 Replacement Volume and 2021 Supplement) 7 
 
BY repealing and reenacting, with amendments, 8 
 Article – Natural Resources 9 
 Section 1–403(c) 10 
 Annotated Code of Maryland 11 
 (2018 Replacement Volume and 2021 Supplement) 12 
 
BY repealing and reenacting, without amendments, 13 
 Article – Public Safety 14 
 Section 14–103 15 
 Annotated Code of Maryland 16 
 (2018 Replacement Volume and 2021 Supplement) 17 
 
BY adding to 18 
 Article – Public Safety 19 
 Section 14–104.1 20 
 Annotated Code of Maryland 21 
 (2018 Replacement Volume and 2021 Supplement)  22 
 
BY repealing and reenacting, without amendments, 23 
 Article – State Finance and Procurement 24 
 Section 3.5–101(a) and (e) and 3.5–301(a) 25 
 Annotated Code of Maryland 26 
 (2021 Replacement Volume) 27 
 (As enacted by Section 1 of this Act) 28 
 
BY adding to 29 
 Article – State Finance and Procurement 30 
Section 3.5–2A–01 through 3.5–2A–04 to be under the new subtitle “Subtitle 2A. 31 
Office of Security Management”; and 3.5–315, 3.5–405, and 4–308 and  32 
6–226(a)(2)(ii)146. 33 
 Annotated Code of Maryland 34 
 (2021 Replacement Volume) 35 
 
BY repealing and reenacting, with amendments, 36 
 Article – State Finance and Procurement 37 
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), 38 
and (l)(1)(i), 3.5–311(a)(2)(i), and 3.5–404 39 
 Annotated Code of Maryland 40  4 	SENATE BILL 754  
 
 
 (2021 Replacement Volume) 1 
 (As enacted by Section 1 of this Act) 2 
 
BY repealing and reenacting, without amendments, 3 
 Article – State Finance and Procurement 4 
Section 6–226(a)(2)(i) 5 
 Annotated Code of Maryland 6 
 (2021 Replacement Volume) 7 
 
BY repealing and reenacting, with amendments, 8 
 Article – State Finance and Procurement 9 
 Section 6–226(a)(2)(ii)144. and 145. and 12–107(b)(2)(i)10. and 11. 10 
 Annotated Code of Maryland 11 
 (2021 Replacement Volume) 12 
 
BY repealing and reenacting, with amendments, 13 
 Article – State Government 14 
Section 2–1224(f) 15 
 Annotated Code of Maryland 16 
 (2021 Replacement Volume) 17 
 
BY adding to 18 
 Article – State Government 19 
Section 2–1224(i) 20 
 Annotated Code of Maryland 21 
 (2021 Replacement Volume) 22 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 23 
That Section(s) 3A–101 through 3A–702, respectively, and the title “Title 3A. Department 24 
of Information Technology” of Article – State Finance and Procurement of the Annotated 25 
Code of Maryland be renumbered to be Section(s) 3.5–101 through 3.5–702, respectively, 26 
and the title “Title 3.5. Department of Information Technology”.  27 
 
 SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 28 
as follows: 29 
 
Article – Criminal Procedure 30 
 
10–221. 31 
 
 (b) Subject to Title [3A] 3.5, Subtitle 3 of the State Finance and Procurement 32 
Article, the regulations adopted by the Secretary under subsection (a)(1) of this section and 33 
the rules adopted by the Court of Appeals under subsection (a)(2) of this section shall: 34 
 
 (1) regulate the collection, reporting, and dissemination of criminal history 35 
record information by a court and criminal justice units; 36 
   	SENATE BILL 754 	5 
 
 
 (2) ensure the security of the criminal justice information system and 1 
criminal history record information reported to and collected from it; 2 
 
 (3) regulate the dissemination of criminal history record information in 3 
accordance with Subtitle 1 of this title and this subtitle; 4 
 
 (4) regulate the procedures for inspecting and challenging criminal history 5 
record information; 6 
 
 (5) regulate the auditing of criminal justice units to ensure that criminal 7 
history record information is: 8 
 
 (i) accurate and complete; and 9 
 
 (ii) collected, reported, and disseminated in accordance with Subtitle 10 
1 of this title and this subtitle; 11 
 
 (6) regulate the development and content of agreements between the 12 
Central Repository and criminal justice units and noncriminal justice units; and 13 
 
 (7) regulate the development of a fee schedule and provide for the collection 14 
of the fees for obtaining criminal history record information for other than criminal justice 15 
purposes. 16 
 
Article – Health – General 17 
 
21–2C–03. 18 
 
 (h) (2) The Board is subject to the following provisions of the State Finance 19 
and Procurement Article: 20 
 
 (i) Title [3A] 3.5, Subtitle 3 (Information Processing), to the extent 21 
that the Secretary of Information Technology determines that an information technology 22 
project of the Board is a major information technology development project; 23 
 
Article – Human Services 24 
 
7–806. 25 
 
 (a) (1) Subject to paragraph (2) of this subsection, the programs under §  26 
7–804(a) of this subtitle, § 7–902(a) of this title, and [§ 3A–702] § 3.5–702 of the State 27 
Finance and Procurement Article shall be funded as provided in the State budget. 28 
 
 (2) For fiscal year 2019 and each fiscal year thereafter, the program under 29 
[§ 3A–702] § 3.5–702 of the State Finance and Procurement Article shall be funded at an 30 
amount that: 31  6 	SENATE BILL 754  
 
 
 
 (i) is equal to the cost that the Department of Aging is expected to 1 
incur for the upcoming fiscal year to provide the service and administer the program; and 2 
 
 (ii) does not exceed 5 cents per month for each account out of the 3 
surcharge amount authorized under subsection (c) of this section. 4 
 
 (b) (1) There is a Universal Service Trust Fund created for the purpose of 5 
paying the costs of maintaining and operating the programs under: 6 
 
 (i) § 7–804(a) of this subtitle, subject to the limitations and controls 7 
provided in this subtitle; 8 
 
 (ii) § 7–902(a) of this title, subject to the limitations and controls 9 
provided in Subtitle 9 of this title; and 10 
 
 (iii) [§ 3A–702] § 3.5–702 of the State Finance and Procurement 11 
Article, subject to the limitations and controls provided in Title [3A] 3.5, Subtitle 7 of the 12 
State Finance and Procurement Article. 13 
 
 (c) (1) The costs of the programs under § 7–804(a) of this subtitle, § 7–902(a) 14 
of this title, and [§ 3A–702] § 3.5–702 of the State Finance and Procurement Article shall 15 
be funded by revenues generated by: 16 
 
 (i) a surcharge to be paid by the subscribers to a communications 17 
service; and 18 
 
 (ii) other funds as provided in the State budget. 19 
 
 (d) (1) The Secretary shall annually certify to the Public Service Commission 20 
the costs of the programs under § 7–804(a) of this subtitle, § 7–902(a) of this title, and [§ 21 
3A–702] § 3.5–702 of the State Finance and Procurement Article to be paid by the 22 
Universal Service Trust Fund for the following fiscal year. 23 
 
 (2) (i) The Public Service Commission shall determine the surcharge 24 
for the following fiscal year necessary to fund the programs under § 7–804(a) of this subtitle, 25 
§ 7–902(a) of this title, and [§ 3A–702] § 3.5–702 of the State Finance and Procurement 26 
Article. 27 
 
 (g) (1) The Legislative Auditor may conduct postaudits of a fiscal and 28 
compliance nature of the Universal Service Trust Fund and the expenditures made for 29 
purposes of § 7–804(a) of this subtitle, § 7–902(a) of this title, and [§ 3A–702] § 3.5–702 of 30 
the State Finance and Procurement Article. 31 
 
Article – Insurance 32 
   	SENATE BILL 754 	7 
 
 
31–103. 1 
 
 (a) The Exchange is subject to: 2 
 
 (2) the following provisions of the State Finance and Procurement Article: 3 
 
 (i) Title [3A] 3.5, Subtitle 3 (Information Processing), to the extent 4 
that the Secretary of Information Technology determines that an information technology 5 
project of the Exchange is a major information technology development project; 6 
 
 (b) The Exchange is not subject to: 7 
 
 (2) Title [3A] 3.5, Subtitle 3 (Information Processing) of the State Finance 8 
and Procurement Article, except to the extent determined by the Secretary of Information 9 
Technology under subsection (a)(2)(i) of this section; 10 
 
Article – Natural Resources 11 
 
1–403. 12 
 
 (c) The Department shall develop the electronic system consistent with the 13 
statewide information technology master plan developed under Title [3A] 3.5, Subtitle 3 of 14 
the State Finance and Procurement Article. 15 
 
Article – Public Safety 16 
 
14–103. 17 
 
 (a) There is a Maryland Department of Emergency Management established as a 18 
principal department of the Executive Branch of State government. 19 
 
 (b) The Department has primary responsibility and authority for developing 20 
emergency management policies and is responsible for coordinating disaster risk reduction, 21 
consequence management, and disaster recovery activities. 22 
 
 (c) The Department may act to: 23 
 
 (1) reduce the disaster risk and vulnerability of persons and property 24 
located in the State; 25 
 
 (2) develop and coordinate emergency planning and preparedness; and 26 
 
 (3) coordinate emergency management activities and operations: 27 
 
 (i) relating to an emergency that involves two or more State 28 
agencies; 29  8 	SENATE BILL 754  
 
 
 
 (ii) between State agencies and political subdivisions; 1 
 
 (iii) with local governments; 2 
 
 (iv) with agencies of the federal government and other states; and 3 
 
 (v) with private and nonprofit entities. 4 
 
14–104.1. 5 
 
 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 6 
INDICATED. 7 
 
 (2) “FUND” MEANS THE LOCAL CYBERSECURITY SUPPORT FUND. 8 
 
 (3) “FUSION CENTER” MEANS THE CYBERSECURITY FUSION 9 
CENTER. 10 
 
 (4) (2) “LOCAL GOVERNMENT ” INCLUDES LOCAL SCHOO L 11 
SYSTEMS, LOCAL SCHOOL BOARDS , AND LOCAL HEALTH DEP ARTMENTS.  12 
 
 (5) (3) “UNIT” MEANS THE CYBER PREPAREDNESS UNIT.  13 
 
 (B) (1) THERE IS A CYBER PREPAREDNESS UNIT IN THE DEPARTMENT .  14 
 
 (2) IN COORDINATION WITH THE STATE CHIEF INFORMATION 15 
SECURITY OFFICER, THE UNIT SHALL:  16 
 
 (I) SUPPORT LOCAL GOVERN MENTS IN DEVELOPING A 17 
VULNERABILITY ASSESS MENT AND CYBER ASSES SMENT THROUGH THE MARYLAND 18 
NATIONAL GUARD’S INNOVATIVE READINESS TRAINING PROGRAM OR THE U.S. 19 
DEPARTMENT OF HOMELAND SECURITY CYBERSECURITY AND INFRASTRUCTURE 20 
SECURITY AGENCY, INCLUDING PROVIDING LOCAL GOVERNMENTS WI TH THE 21 
RESOURCES AND INFORM ATION ON BEST PRACTI CES TO COMPLETE THE 22 
ASSESSMENTS ;  23 
 
 (II) DEVELOP AND REGULARL Y UPDATE AN ONLINE DATABASE 24 
OF CYBERSECURITY TRA INING RESOURCES FOR LOCAL GOVERNMENT PER SONNEL, 25 
INCLUDING TECHNICAL TRAINING RESOURCES , CYBERSECURITY CONTIN UITY OF 26 
OPERATIONS TEMPLATES , CONSEQUENCE MANAGEME NT PLANS, AND TRAININGS ON 27 
MALWARE AND RANSOMWA RE DETECTION ;  28 
 
 (III) ESTABLISH AND PROVID E STAFF FOR A STATEW IDE 29 
HELPLINE TO PROVIDE REAL–TIME EMERGENCY ASSIS TANCE AND RESOURCE 30   	SENATE BILL 754 	9 
 
 
INFORMATION TO ANY L OCAL GOVERNMENT THAT HAS EXPERIENCED A CY BER 1 
INCIDENT OR ATTACK ;  2 
 
 (IV) (III) ASSIST LOCAL GOVERNM ENTS IN: 3 
 
 1. THE DEVELOPMENT OF C	YBERSECURITY 4 
PREPAREDNESS AND RES PONSE PLANS; AND 5 
 
 2. IMPLEMENTING BEST PR ACTICES AND GUIDANCE 6 
DEVELOPED BY THE STATE CHIEF INFORMATION SECURITY OFFICER; AND  7 
 
 3. IDENTIFYING AND ACQU IRING RESOURCES TO 8 
COMPLETE APPROPRIATE CYBERSECURITY VULNERABILI TY ASSESSMENTS ;  9 
 
 (V) (IV) CONNECT LOCAL GOVERN MENTS TO APPROPRIATE 10 
RESOURCES FOR ANY OT	HER PURPOSE RELATED 	TO CYBERSECURITY 11 
PREPAREDNESS AND RES PONSE;  12 
 
 (VI) DEVELOP APPROPRIATE 	REPORTS ON LOCAL 13 
CYBERSECURITY PREPAR EDNESS;  14 
 
 (VII) (V) AS NECESSARY AND IN COORDINATION WITH TH E 15 
NATIONAL GUARD, LOCAL EMERGENCY MANA GERS, AND OTHER STATE AND LOCAL 16 
ENTITIES, CONDUCT REGIONAL CYB ERSECURITY PREPAREDN ESS EXERCISES; AND 17 
 
 (VIII) (VI) ESTABLISH REGIONAL A SSISTANCE GROUPS TO 18 
DELIVER AND COORDINA TE SUPPORT SERVICES TO LOCAL GOVERNMENTS , 19 
AGENCIES, OR REGIONS.  20 
 
 (3) THE UNIT SHALL SUPPORT TH E OFFICE OF SECURITY 21 
MANAGEMENT IN THE DEPARTMENT OF INFORMATION TECHNOLOGY DURING 22 
EMERGENCY RESPON SE EFFORTS.  23 
 
 (C) (1) EACH LOCAL GOVERNMENT SHALL REPORT A CYBER SECURITY 24 
INCIDENT, INCLUDING AN ATTACK ON A STATE SYSTEM BEING US ED BY THE LOCAL 25 
GOVERNMENT , TO THE APPROPRIATE L OCAL EMERGENCY MANAG ER AND THE 26 
STATE SECURITY OPERATIONS CENTER IN THE DEPARTMENT OF INFORMATION 27 
TECHNOLOGY TO THE MARYLAND JOINT OPERATIONS CENTER IN THE 28 
DEPARTMENT IN ACCORDA NCE WITH PARAGRAPH (2) OF THIS SUBSECTION .  29 
 
 (2) FOR THE REPORTING OF CYBERSECURITY INCIDE NTS UNDER 30 
PARAGRAPH (1) OF THIS SUBSECTION , THE DEPARTMENT STATE CHIEF 31 
INFORMATION SECURITY OFFICER SHALL DETERMINE : 32 
  10 	SENATE BILL 754  
 
 
 (I) THE CRITERIA FOR DET ERMINING WHEN AN INC IDENT MUST 1 
BE REPORTED ;  2 
 
 (II) THE MANNER IN WHICH TO REPORT; AND 3 
 
 (III) THE TIME PERIOD WITH IN WHICH A REPORT MU ST BE MADE.  4 
 
 (3) THE MARYLAND JOINT OPERATIONS CENTER STATE SECURITY 5 
OPERATIONS CENTER SHALL IMMEDIATELY NOTIFY APPROPRIATE A GENCIES OF A 6 
CYBERSECURITY INCIDE NT REPORTED UNDER TH IS SUBSECTION THROUG H THE 7 
STATE SECURITY OPERATIONS CENTER.  8 
 
 (D) (1) FIVE POSITION IDENTIFICATION NUMBERS (PINS) SHALL BE 9 
CREATED FOR THE PURP OSE OF HIRING STAFF TO CONDUCT THE DUTIE S OF THE 10 
MARYLAND DEPARTMENT OF EMERGENCY MANAGEMENT CYBERSECURITY 11 
PREPAREDNESS UNIT. 12 
 
 (2) FOR FISCAL YEAR 2024 AND EACH FISCAL YEAR THEREAFTER , 13 
THE GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDGET BILL AN AP PROPRIATION 14 
OF AT LEAST: 15 
 
 (I) $220,335 FOR 3 PINS FOR ADMINISTRATOR III POSITIONS; 16 
AND 17 
 
 (II) $137,643 FOR 2 PINS FOR ADMINISTRATOR II POSITIONS.  18 
 
 (D) (1) THERE IS A CYBERSECURITY FUSION CENTER IN THE 19 
DEPARTMENT . 20 
 
 (2) THE FUSION CENTER SHALL: 21 
 
 (I) COORDINATE INFORMATI ON ON CYBERSECURITY BY 22 
SERVING AS A CENTRAL LOCATION FOR INFORMA TION SHARING ACROSS STATE AND 23 
LOCAL GOVERNMENT , FEDERAL GOVERNMENT P ARTNERS, AND PRIVATE ENTITIES ;  24 
 
 (II) WITH THE OFFICE OF SECURITY MANAGEMENT IN THE 25 
DEPARTMENT OF INFORMATION TECHNOLOGY , SUPPORT CYBERSECURIT Y 26 
COORDINATION BETWEEN LOCAL UNITS OF GOVER NMENT THROUGH EXISTI NG 27 
LOCAL GOVERNMENT STA KEHOLDER ORGANIZATIO NS;  28 
 
 (III) PROVIDE SUPPORT TO T HE STATE CHIEF INFORMATION 29 
SECURITY OFFICER AND THE UNIT DURING CYBERSECU RITY INCIDENTS THAT 30 
AFFECT STATE AND LOCAL GOVER NMENTS;  31 
   	SENATE BILL 754 	11 
 
 
 (IV) SUPPORT RISK –BASED PLANNING FOR T HE USE OF 1 
FEDERAL RESOURCES ; AND 2 
 
 (V) CONDUCT ANALYSIS OF CYBERSECURITY INCIDE NTS. 3 
 
 (E) (1) THERE IS A LOCAL CYBERSECURITY SUPPORT FUND. 4 
 
 (2) THE PURPOSE OF THE FUND IS TO: 5 
 
 (I) PROVIDE FINANCIAL AS SISTANCE TO LOCAL GO VERNMENTS 6 
TO IMPROVE CYBERSECU RITY PREPAREDNESS , INCLUDING:  7 
 
 1. UPDATING CURRENT DEV ICES AND NETWORKS WI TH 8 
THE MOST UP–TO–DATE CYBERSECUR ITY PROTECTIONS ;  9 
 
 2. SUPPORTING THE PURCH ASE OF NEW HARDWARE , 10 
SOFTWARE, DEVICES, AND FIREWALLS TO IMP	ROVE CYBERSECURITY 11 
PREPAREDNESS ;  12 
 
 3. RECRUITING AND HIRIN	G INFORMATION 13 
TECHNOLOGY STAFF FOC USED ON CYBERSECURIT Y; AND 14 
 
 4. PAYING OUTSIDE VEND ORS FOR CYBERSECURIT Y 15 
STAFF TRAINING ; AND  16 
 
 (II) ASSIST LOCAL GOVERNM ENTS APPLYING FOR FE DERAL 17 
CYBERSECURITY PREPAR EDNESS GRANTS .  18 
 
 (3) THE SECRETARY SHALL ADMIN ISTER THE FUND.  19 
 
 (4) (I) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT 20 
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 21 
 
 (II) THE STATE TREASURER SHALL HOLD 	THE FUND 22 
SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 23 
 
 (5) THE FUND CONSISTS OF :  24 
 
 (I) MONEY APPROPRIATED I N THE STATE BUDGET TO THE 25 
FUND;  26 
 
 (II) INTEREST EARNINGS ; AND 27 
  12 	SENATE BILL 754  
 
 
 (III) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED 1 
FOR THE BENEFIT OF T HE FUND. 2 
 
 (6) THE FUND MAY BE USED ONLY :  3 
 
 (I) TO PROVIDE FINANCIAL ASSISTANCE TO LOCAL 4 
GOVERNMENTS TO IMPRO VE CYBERSECURITY PRE PAREDNESS, INCLUDING:  5 
 
 1. UPDATING CURRENT DEV ICES AND NETWORKS WI TH 6 
THE MOST UP–TO–DATE CYBERSECURITY P ROTECTIONS;  7 
 
 2. SUPPORTING THE PURCH ASE OF NEW HARDWARE , 8 
SOFTWARE, DEVICES, AND FIREWALLS TO IMP	ROVE C YBERSECURITY 9 
PREPAREDNESS ;  10 
 
 3. RECRUITING AND HIRIN	G INFORMATION 11 
TECHNOLOGY STAFF FOC USED ON CYBERSECURIT Y; AND 12 
 
 4. PAYING OUTSIDE VENDO RS FOR CYBERSECURITY 13 
STAFF TRAINING ;  14 
 
 (II) TO ASSIST LOCAL GOVE RNMENTS APPLYING FOR FEDERAL 15 
CYBERSECURITY P REPAREDNESS GRANTS ; AND 16 
 
 (III) FOR ADMINISTRATIVE E XPENSES ASSOCIATED W ITH 17 
PROVIDING THE ASSIST ANCE DESCRIBED UNDER ITEM (I) OF THIS PARAGRAPH .  18 
 
 (7) (I) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 19 
FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE INVESTED . 20 
 
 (II) ANY INTEREST EARNINGS OF THE FUND SHALL BE 21 
CREDITED TO THE FUND. 22 
 
 (8) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN 23 
ACCORDANCE WITH THE STATE BUDGET .  24 
 
 (F) TO BE ELIGIBLE TO REC EIVE ASSISTANCE FROM THE FUND, EACH 25 
LOCAL GOVERNMENT THAT USES THE NETWORK ESTABLIS HED IN ACCORDANCE 26 
WITH § 3.5–404 OF THE STATE FINANCE AND PROCUREMENT ARTICLE SHALL MEET 27 
THE REQUIREMENTS OF §§ 3.5–404(D) AND 3.5–405 OF THE STATE FINANCE AND 28 
PROCUREMENT ARTICLE.  29 
 
Article – State Finance and Procurement 30 
   	SENATE BILL 754 	13 
 
 
3.5–101. 1 
 
 (a) In this title the following words have the meanings indicated. 2 
 
 (e) “Unit of State government” means an agency or unit of the Executive Branch 3 
of State government. 4 
 
SUBTITLE 2A. OFFICE OF SECURITY MANAGEMENT . 5 
 
3.5–2A–01. 6 
 
 IN THIS SUBTITLE, “OFFICE” MEANS THE OFFICE OF SECURITY 7 
MANAGEMENT . 8 
 
3.5–2A–02. 9 
 
 THERE IS AN OFFICE OF SECURITY MANAGEMENT WITHIN THE DEPARTMENT . 10 
 
3.5–2A–03. 11 
 
 (A) THE HEAD OF THE OFFICE IS THE STATE CHIEF INFORMATION 12 
SECURITY OFFICER. 13 
 
 (B) THE STATE CHIEF INFORMATION SECURITY OFFICER SHALL: 14 
 
 (1) BE APPOINTED BY THE GOVERNOR WITH THE ADV ICE AND 15 
CONSENT OF THE SENATE; 16 
 
 (2) SERVE AT THE PLEASUR E OF THE GOVERNOR; 17 
 
 (3) BE SUPERVISED BY THE SECRETARY; AND 18 
 
 (4) SERVE AS THE CHIEF I NFORMATION SECURITY OFFICER OF THE 19 
DEPARTMENT .  20 
 
 (C) AN INDIVIDUAL APPOINT ED AS THE STATE CHIEF INFORMATION 21 
SECURITY OFFICER UNDER SUBSECT ION (B) OF THIS SECTION SHAL L: 22 
 
 (1) AT A MINIMUM, HOLD A BACHELOR ’S DEGREE;  23 
 
 (2) HOLD APPROPRIATE INF	ORMATION TECHNOLOGY 	OR 24 
CYBERSECURITY CERTIF ICATIONS;  25 
 
 (3) HAVE EXPERIENCE :  26 
  14 	SENATE BILL 754  
 
 
 (I) IDENTIFYING, IMPLEMENTING , AND OR ASSESSING 1 
SECURITY CONTROLS ;  2 
 
 (II) IN INFRASTRUCTURE , SYSTEMS ENGINEERING , AND OR 3 
CYBERSECURITY ;  4 
 
 (III) MANAGING HIGHLY TECH NICAL SECURITY , SECURITY 5 
OPERATIONS CENTERS , AND INCIDENT RESPONS E TEAMS IN A COMPLEX CLOUD 6 
ENVIRONMENT AND SUPP ORTING MULTIPLE SITE S; AND 7 
 
 (IV) WORKING WITH COMMON 	INFORMATION SECURITY 8 
MANAGEMENT FRAMEWORK S;  9 
 
 (4) HAVE EXTENSIVE K NOWLEDGE OF INFORMAT ION TECHNOLOGY 10 
AND CYBERSECURITY FI ELD CONCEPTS , BEST PRACTICES , AND PROCEDURES , WITH 11 
AN UNDERSTANDING OF EXISTING ENTERPRISE CAPABILITIES AND LIM ITATIONS TO 12 
ENSURE THE SECURE IN TEGRATION AND OPERAT ION OF SECURITY NETW ORKS AND 13 
SYSTEMS; AND 14 
 
 (5) HAVE KNOWLEDGE OF CU RRENT SECURITY REGUL ATIONS. 15 
 
 (C) (D) THE STATE CHIEF INFORMATION SECURITY OFFICER SHALL 16 
PROVIDE CYBERSECURIT Y ADVICE AND RECOMME NDATIONS TO THE GOVERNOR ON 17 
REQUEST. 18 
 
 (D) (E) (1) (I) THERE IS A DIRECTOR OF LOCAL CYBERSECURITY , 19 
WHO SHALL BE APPOINT ED BY THE STATE CHIEF INFORMATION SECURITY 20 
OFFICER. 21 
 
 (II) THE DIRECTOR OF LOCAL CYBERSECURITY SHALL W ORK 22 
IN COORDINATION WITH THE MARYLAND DEPARTMENT OF EMERGENCY 23 
MANAGEMENT TO PROVIDE TECHNICAL ASSISTANCE , COORDINATE RESOURCES, 24 
AND IMPROVE CYBERSEC URITY PREPAREDNESS F OR UNITS OF LOCAL 25 
GOVERNMENT . 26 
 
 (2) (I) THERE IS A DIRECTOR OF STATE CYBERSECURITY , WHO 27 
SHALL BE APPOINTED B Y THE STATE CHIEF INFORMATION SECURITY OFFICER. 28 
 
 (II) THE DIRECTOR OF STATE CYBERSECURITY IS 29 
RESPONSIBLE FOR IMPL EMENTATION OF THIS S ECTION WITH RESPECT TO UNITS OF 30 
STATE GOVERNMENT . 31 
 
 (E) (F) THE DEPARTMENT SHALL PROV IDE THE OFFICE WITH 32 
SUFFICIENT STAFF TO PERFORM THE FUNCTION S OF THIS SUBTITLE. 33   	SENATE BILL 754 	15 
 
 
 
 (F) THE OFFICE MAY PROCURE RE SOURCES, INCLUDING R EGIONAL 1 
COORDINATORS , NECESSARY TO FULFILL THE REQUIREMENTS OF THIS SUBTITLE. 2 
 
3.5–2A–04. 3 
 
 (A) (1) THE OFFICE IS RESPONSIBLE FOR: 4 
 
 (1) (I) THE DIRECTION , COORDINATION , AND IMPLEMENTATION 5 
OF THE OVERALL CYBER SECURITY STRATEGY AN D POLICY FOR UNITS O F STATE 6 
GOVERNMENT ; AND 7 
 
 (2) THE COORDINATION OF RESOURCES AND EFFORT S TO 8 
IMPLEMENT CYBERSECUR ITY BEST PRACTICES A ND IMPROVE OVERALL 9 
CYBERSECURITY PREPAR EDNESS AND RESPONSE FOR UNITS OF LOCAL 10 
GOVERNMENT , LOCAL SCHOOL BOARDS , LOCAL SCHOOL SYSTEMS , AND LOCAL 11 
HEALTH DEPARTMENTS .; AND  12 
 
 (II) SUPPORTING THE MARYLAND DEPARTMENT OF 13 
EMERGENCY MANAGEMENT CYBER PREPAREDNESS UNIT DURING EMERGENCY 14 
RESPONSE EFFORTS . 15 
 
 (2) THE OFFICE IS NOT RESPONS IBLE FOR THE INFORMA TION 16 
TECHNOLOGY INSTALLAT ION AND MAINTENANCE OPERATIONS NORMALLY 17 
CONDUCTED BY A UNIT OF STATE GOVERNMENT , A UNIT OF LOCAL GOVE RNMENT, A 18 
LOCAL SCHOOL BOARD , A LOCAL SCHOOL SYSTE M, OR A LOCAL HEALTH 19 
DEPARTMENT .  20 
 
 (B) THE OFFICE SHALL: 21 
 
 (1) ESTABLISH STANDARDS TO CATEGORIZE ALL IN FORMATION 22 
COLLECTED OR MAINTAINED BY OR ON BEHALF OF EACH UNIT OF STATE 23 
GOVERNMENT ; 24 
 
 (2) ESTABLISH STANDARDS TO CATEGORIZE ALL IN FORMATION 25 
SYSTEMS MAINTAINED B Y OR ON BEHALF OF EA CH UNIT OF STATE GOVERNMENT ; 26 
 
 (3) DEVELOP GUIDELINES G OVERNING THE TYPES O F INFORMATION 27 
AND INFORMATION SYSTEMS TO B E INCLUDED IN EACH C ATEGORY; 28 
 
 (4) ESTABLISH SECURITY R EQUIREMENTS FOR INFO RMATION AND 29 
INFORMATION SYSTEMS IN EACH CATEGORY ; 30 
  16 	SENATE BILL 754  
 
 
 (5) ASSESS THE CATEGORIZ ATION OF INFORMATION AND 1 
INFORMATION SYSTEMS AND THE ASSOCIATED I MPLEMENTATION OF T HE SECURITY 2 
REQUIREMENTS ESTABLI SHED UNDER ITEM (4) OF THIS SUBSECTION ; 3 
 
 (6) IF THE STATE CHIEF INFORMATION SECURITY OFFICER 4 
DETERMINES THAT THER E ARE SECURITY VULNE RABILITIES OR DEFICI ENCIES IN 5 
THE IMPLEMENTATION O F THE SECURITY REQUI REMENTS ESTABLISHED UNDER 6 
ITEM (4) OF THIS SUBSECTION , DETERMINE WHETHER AN INFORMATION SYSTEM 7 
SHOULD BE ALLOWED TO CONTINUE TO OPERATE OR BE CONNECTED TO T HE 8 
NETWORK ESTABLISHED IN ACCORDANCE WITH § 3.5–404 OF THIS TITLE; ANY 9 
INFORMATION SYSTEMS , DETERMINE AND DIRECT OR TAKE ACTIONS NECESSARY TO 10 
CORRECT OR REMEDIATE THE VULNERABILITIES OR DEFICIENCIES , WHICH MAY 11 
INCLUDE REQUIRING TH E INFORMATION SYSTEM TO BE DISCONNECTED ;  12 
 
 (7) IF THE STATE CHIEF INFORMATION SECURITY OFFICER 13 
DETERMINES THAT THER E IS A CYBERSECURITY THREAT CAUSED BY AN ENTITY 14 
CONNECTED TO THE NET WORK ESTABLISHED UND ER § 3.5–404 OF THIS TITLE THAT 15 
INTRODUCES A SERIOUS RISK TO ENTITIES CON NECTED TO THE NETWOR K OR TO 16 
THE STATE, TAKE OR DIRECT ACTIO NS REQUIRED TO MITIG ATE THE THREAT ;  17 
 
 (7) (8) MANAGE SECURITY AWARENESS TRAINING F OR ALL 18 
APPROPRIATE EMPLOYEE S OF UNITS OF STATE GOVERNMENT ; 19 
 
 (8) (9) ASSIST IN THE DEVELO PMENT OF DATA MANAGE MENT, 20 
DATA GOVERNANCE , AND DATA SPECIFICATI ON STANDARDS TO PROM OTE 21 
STANDARDIZATION AND REDUCE RISK;  22 
 
 (9) (10) ASSIST IN THE DEVELO PMENT OF A DIGITAL I DENTITY 23 
STANDARD AND SPECIFI CATION APPLICABLE TO ALL PARTIES COMMUNIC ATING, 24 
INTERACTING, OR CONDUCTING BUSINE SS WITH OR ON BEHALF OF A UNIT OF STATE 25 
GOVERNMENT ;  26 
 
 (10) (11) DEVELOP AND MAINTAIN INFORMATION TECHNOLO GY 27 
SECURITY POLICY , STANDARDS, AND GUIDANCE DOCUMEN TS, CONSISTENT WITH 28 
BEST PRACTICES DEVEL OPED BY THE NATIONAL INSTITUTE OF STANDARDS AND 29 
TECHNOLOGY ;  30 
 
 (11) (12) TO THE EXTENT PRACTI CABLE, SEEK, IDENTIFY, AND 31 
INFORM RELEVANT STAK EHOLDERS OF ANY AVAI LABLE FINANCIAL ASSISTAN CE 32 
PROVIDED BY THE FEDE RAL GOVERNMENT OR NO N–STATE ENTITIES TO SUP PORT 33 
THE WORK OF THE OFFICE;  34 
 
 (12) REVIEW AND CERTIFY L OCAL CYBERSECURITY P REPAREDNESS 35 
AND RESPONSE PLANS ;  36   	SENATE BILL 754 	17 
 
 
 
 (13) PROVIDE TECHNICAL AS SISTANCE TO LOCALITI ES IN MITIGATING 1 
AND RECOVERING FROM CYBERSECURITY INCIDE NTS; AND 2 
 
 (14) PROVIDE TECHNICAL SE RVICES, ADVICE, AND GUIDANCE TO 3 
UNITS OF LOCAL GOVER NMENT TO IMPROVE CYB ERSECURITY PREPAREDN ESS, 4 
PREVENTION , RESPONSE, AND RECOVERY PRACTIC ES. 5 
 
 (C) THE OFFICE, IN COORDINATION WITH THE MARYLAND DEPARTMENT 6 
OF EMERGENCY MANAGEMENT , SHALL:  7 
 
 (1) ASSIST LOCAL POLITIC AL SUBDIVISIONS , INCLUDING COUNTIES , 8 
SCHOOL SYSTEMS , SCHOOL BOARDS , AND LOCAL HEALTH DEP ARTMENTS, IN:  9 
 
 (I) THE DEVELOPMENT OF C YBERSECURITY PREPARE DNESS 10 
AND RESPONSE PLANS ; AND 11 
 
 (II) IMPLEMENTING BEST PR ACTICES AND GUIDANCE 12 
DEVELOPED BY THE DEPARTMENT ; AND 13 
 
 (2) CONNECT LOCAL ENTITI ES TO APPROPRIATE RE SOURCES FOR 14 
ANY OTHER PURPOSE RE LATED TO CYBERSECURI TY PREPAREDNESS AND 15 
RESPONSE. 16 
 
 (D) THE OFFICE, IN COORDINATION WITH TH E MARYLAND DEPARTMENT 17 
OF EMERGENCY MANAGEMENT , MAY:  18 
 
 (1) CONDUCT REGIONAL EXE	RCISES, AS NECESSARY , IN 19 
COORDINATION WITH TH E NATIONAL GUARD, LOCAL EMERGENCY MANA GERS, AND 20 
OTHER STATE AND LOCAL ENTIT IES; AND  21 
 
 (2) ESTABLISH REGIONAL ASSISTANCE GROUPS TO DELIVER OR 22 
COORDINATE SUPPORT S ERVICES TO LOCAL POL ITICAL SUBDIVISIONS , AGENCIES, 23 
OR REGIONS.  24 
 
 (C) (E) (1) ON OR BEFORE DECEMBER 31 EACH YEAR, THE OFFICE 25 
SHALL REPORT TO THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE 26 
STATE GOVERNMENT ARTICLE, THE SENATE BUDGET AND TAXATION COMMITTEE, 27 
THE SENATE EDUCATION, HEALTH, AND ENVIRONMENTAL AFFAIRS COMMITTEE, 28 
THE HOUSE APPROPRIATIONS COMMITTEE, THE HOUSE HEALTH AND 29 
GOVERNMENT OPERATIONS COMMITTEE, AND THE JOINT COMMITTEE ON 30 
CYBERSECURITY , INFORMATION TECHNOLOGY , AND BIOTECHNOLOGY ON THE 31 
ACTIVITIES OF THE OFFICE AND THE STATE OF CYBERSECURITY PRE PAREDNESS IN 32 
MARYLAND, INCLUDING:  33  18 	SENATE BILL 754  
 
 
 
 (1) (I) THE ACTIVITIES AND A CCOMPLISHMENTS OF TH E OFFICE 1 
DURING THE PREVIOUS 12 MONTHS AT THE STATE AND LOCAL LEVELS; AND 2 
 
 (2) (II) A COMPILATION AND AN ALYSIS OF THE DATA F ROM THE 3 
INFORMATION CONTAINE D IN THE REPORTS REC EIVED BY THE OFFICE UNDER § 4 
3.5–405 OF THIS TITLE, INCLUDING:  5 
 
 (I) 1. A SUMMARY OF THE ISS UES IDENTIFIED BY TH E 6 
CYBERSECURITY PREPAR EDNESS ASSESSMENTS CONDUCTE D THAT YEAR;  7 
 
 (II) 2. THE STATUS OF VULNER ABILITY ASSESSMENTS OF 8 
ALL UNITS OF STATE GOVERNMENT AND A TIMELINE FOR COMPL ETION AND COST 9 
TO REMEDIATE ANY VUL NERABILITIES EXPOSED ;  10 
 
 (III) 3. RECENT AUDIT FINDING S OF ALL UNITS OF STATE 11 
GOVERNMENT AND OPTIO NS TO IMPROVE FINDIN GS IN FUTURE AUDITS , INCLUDING 12 
RECOMMENDATIONS FOR STAFF, BUDGET, AND TIMING;  13 
 
 (IV) 4. ANALYSIS OF THE STATE’S EXPENDITURE ON 14 
CYBERSECURITY RELATI VE TO OVERALL INFORM ATION TECHNOLOGY SPEND ING 15 
FOR THE PRIOR 3 YEARS AND RECOMMENDA TIONS FOR CHANGES TO THE BUDGET, 16 
INCLUDING AMOUNT , PURPOSE, AND TIMING TO IMPROV E STATE AND LOCAL 17 
CYBERSECURITY PREPAR EDNESS;  18 
 
 (V) 5. EFFORTS TO SECURE FI NANCIAL SUPPORT FOR 19 
CYBER RISK MITIGAT ION FROM FEDERAL OR OTHER NON–STATE RESOURCES ; 20 
 
 (VI) 6. KEY PERFORMANCE INDI	CATORS ON THE 21 
CYBERSECURITY STRATE GIES IN THE DEPARTMENT ’S INFORMATION TECHNO LOGY 22 
MASTER PLAN , INCLUDING TIME , BUDGET, AND STAFF REQUIRED F OR 23 
IMPLEMENTATION ; AND 24 
 
 (VII) 7. ANY ADDITIONAL RECOMME	NDATIONS FOR 25 
IMPROVING STATE AND LOCAL CYBER SECURITY PREPAREDNES S.  26 
 
 (2) A REPORT SUBMITTED UND ER THIS SUBSECTION M AY NOT 27 
CONTAIN INFORMATION THAT REVEALS CYBERSE CURITY VULNERABILITI ES AND 28 
RISKS IN THE STATE.  29 
 
3.5–301. 30 
 
 (a) In this subtitle the following words have the meanings indicated. 31 
   	SENATE BILL 754 	19 
 
 
 (j) “Nonvisual access” means the ability, through keyboard control, synthesized 1 
speech, Braille, or other methods not requiring sight to receive, use, and manipulate 2 
information and operate controls necessary to access information technology in accordance 3 
with standards adopted under [§ 3A–303(b)] § 3.5–303(B) of this subtitle. 4 
 
3.5–302. 5 
 
 (c) Notwithstanding any other provision of law, except as provided in subsection 6 
(a) of this section and [§§ 3A–307(a)(2), 3A–308, and 3A–309] §§ 3.5–307(A)(2), 3.5–308, 7 
AND 3.5–309 of this subtitle, this subtitle applies to all units of the Executive Branch of 8 
State government including public institutions of higher education other than Morgan 9 
State University, the University System of Maryland, St. Mary’s College of Maryland, and 10 
Baltimore City Community College. 11 
 
3.5–303. 12 
 
 (c) On or before January 1, 2020, the Secretary, or the Secretary’s designee, shall: 13 
 
 (2) establish a process for the Secretary or the Secretary’s designee to: 14 
 
 (ii) 2. for information technology procured by a State unit on or 15 
after January 1, 2020, enforce the nonvisual access clause developed under [§ 3A–311] § 16 
3.5–311 of this subtitle, including the enforcement of the civil penalty described in [§  17 
3A–311(a)(2)(iii)1] § 3.5–311(A)(2)(III)1 of this subtitle. 18 
 
3.5–307. 19 
 
 (a) (2) A unit of State government other than a public institution of higher 20 
education may not make expenditures for major information technology development 21 
projects OR CYBERSECURITY PROJEC TS except as provided in [§ 3A–308] § 3.5–308 of 22 
this subtitle. 23 
 
3.5–309. 24 
 
 (c) The Secretary: 25 
 
 (2) subject to the provisions of § 2–201 of this article and [§ 3A–307] §  26 
3.5–307 of this subtitle, may receive and accept contributions, grants, or gifts of money or 27 
property. 28 
 
 (i) The Fund may be used: 29 
 
 (3) notwithstanding [§ 3A–301(b)(2)] § 3.5–301(B)(2) of this subtitle, for 30 
the costs of the first 12 months of operation and maintenance of a major information 31 
technology development project. 32 
  20 	SENATE BILL 754  
 
 
 (l) (1) Notwithstanding subsection (b) of this section and in accordance with 1 
paragraph (2) of this subsection, money paid into the Fund under subsection (e)(2) of this 2 
section shall be used to support: 3 
 
 (i) the State telecommunication and computer network established 4 
under [§ 3A–404] § 3.5–404 of this title, including program development for these 5 
activities; and 6 
 
3.5–311. 7 
 
 (a) (2) On or after January 1, 2020, the nonvisual access clause developed in 8 
accordance with paragraph (1) of this subsection shall include a statement that: 9 
 
 (i) within 18 months after the award of the procurement, the 10 
Secretary, or the Secretary’s designee, will determine whether the information technology 11 
meets the nonvisual access standards adopted in accordance with [§ 3A–303(b)] §  12 
3.5–303(B) of this subtitle; 13 
 
3.5–315. 14 
 
 (A) THERE IS AN INFORMATION SHARING AND ANALYSIS CENTER IN THE 15 
DEPARTMENT . 16 
 
 (B) THE INFORMATION SHARING AND ANALYSIS CENTER SHALL: 17 
 
 (1) COORDINATE INFORMATI ON ON CYBERSECURITY BY SERVING AS 18 
A CENTRAL LOCATION F OR INFORMATION SHARI NG ACROSS STATE AND LOCAL 19 
GOVERNMENT , FEDERAL GOVERNMENT P ARTNERS, AND PRIVATE ENTITIES ; 20 
 
 (2) WITH THE OFFICE OF SECURITY MANAGEMENT , SUPPORT 21 
CYBERSECURITY COORDI NATION BETWEEN LOCAL UNITS OF GOVERNMENT 22 
THROUGH EXISTING LOC AL GOVERNMENT STAKEH OLDER ORGANIZATIONS ; 23 
 
 (3) PROVIDE SUPPORT TO T HE STATE CHIEF INFORMATION 24 
SECURITY OFFICER AND THE CYBER PREPAREDNESS UNIT, IN THE MARYLAND 25 
DEPARTMENT OF EMERGENCY MANAGEMENT , DURING CYBERSECURITY 26 
INCIDENTS THAT AFFEC T STATE AND LOCAL GOVER NMENTS; 27 
 
 (4) SUPPORT RISK –BASED PLANNING FOR T HE USE OF FEDERAL 28 
RESOURCES; AND 29 
 
 (5) CONDUCT ANALYSES OF CYBERSECURITY INCIDE NTS.  30 
 
3.5–404. 31 
   	SENATE BILL 754 	21 
 
 
 (a) The General Assembly declares that: 1 
 
 (1) it is the policy of the State to foster telecommunication and computer 2 
networking among State and local governments, their agencies, and educational 3 
institutions in the State; 4 
 
 (2) there is a need to improve access, especially in rural areas, to efficient 5 
telecommunication and computer network connections; 6 
 
 (3) improvement of telecommunication and computer networking for State 7 
and local governments and educational institutions promotes economic development, 8 
educational resource use and development, and efficiency in State and local administration; 9 
 
 (4) rates for the intrastate inter–LATA telephone communications needed 10 
for effective integration of telecommunication and computer resources are prohibitive for 11 
many smaller governments, agencies, and institutions; and 12 
 
 (5) the use of improved State telecommunication and computer networking 13 
under this section is intended not to compete with commercial access to advanced network 14 
technology, but rather to foster fundamental efficiencies in government and education for 15 
the public good. 16 
 
 (b) (1) The Department shall establish a telecommunication and computer 17 
network in the State. 18 
 
 (2) The network shall consist of: 19 
 
 (i) one or more connection facilities for telecommunication and 20 
computer connection in each local access transport area (LATA) in the State; and 21 
 
 (ii) facilities, auxiliary equipment, and services required to support 22 
the network in a reliable and secure manner. 23 
 
 (c) The network shall be accessible through direct connection and through local 24 
intra–LATA telecommunications to State and local governments and public and private 25 
educational institutions in the State. 26 
 
 (D) ON OR BEFORE DECEMBER 1 EACH YEAR IN A MANNER AND FREQUENCY 27 
ESTABLISHED IN REGUL ATIONS ADOPTED BY TH E DEPARTMENT , EACH UNIT OF THE 28 
LEGISLATIVE OR JUDICIAL BRANCH OF STATE GOVERNMENT , EACH UNIT OF LOCAL 29 
GOVERNMENT , AND ANY LOCAL AGENCI ES THAT USE THE NETW ORK ESTABLISHED 30 
UNDER SUBSECTION (B) OF THIS SECTION SHALL CERTIF Y TO THE DEPARTMENT 31 
THAT THE UNIT IS IN COMPLIANCE WITH THE DEPARTMENT ’S MINIMUM SECURITY 32 
STANDARDS. 33 
 
3.5–405. 34  22 	SENATE BILL 754  
 
 
 
 (A) THIS SECTION DOES NOT APPLY TO MUNICIPAL G OVERNMENTS . 1 
 
 (B) ON OR BEFORE DECEMBER 1 EACH YEAR IN A MANNER AND FREQUENCY 2 
ESTABLISHED IN REGUL ATIONS ADOPTED BY TH E DEPARTMENT , EACH COUNTY 3 
GOVERNMENT , LOCAL SCHOOL SYSTEM , AND LOCAL HEALTH DEP ARTMENT SHALL :  4 
 
 (1) IN CONSULTATION WITH THE LOCAL EMERGENCY MANAGER, 5 
CREATE OR UPDATE A C YBERSECURITY PREPARE DNESS AND RESP ONSE PLAN AND 6 
SUBMIT THE PLAN TO T HE OFFICE OF SECURITY MANAGEMENT FOR APPROV AL;  7 
 
 (2) COMPLETE A CYBERSECU RITY PREPAREDNESS AS SESSMENT AND 8 
REPORT THE RESULTS T O THE OFFICE IN ACCORDANCE WITH GUIDELINES 9 
DEVELOPED BY THE OFFICE; AND 10 
 
 (3) REPORT TO THE OFFICE:  11 
 
 (I) THE NUMBER OF INFORM ATION TECHNOLOGY STA FF 12 
POSITIONS, INCLUDING VACANCIES ;  13 
 
 (II) THE ENTITY’S CYBERSECURITY BUDG ET AND OVERALL 14 
INFORMATION TECHNOLO GY BUDGET;  15 
 
 (III) THE NUMBER OF EMPLOY EES WHO HAVE RECEIVE D 16 
CYBERSECURITY TRAINI NG; AND 17 
 
 (IV) THE TOTAL NUMBER OF EMPLOYEES WITH ACCES S TO THE 18 
ENTITY’S COMPUTER SYSTEMS A ND DATABASES . 19 
 
4–308. 20 
 
 (A) THE DEPARTMENT MAY ESTABL ISH A PROGRAM THAT L EVERAGES 21 
STATE PURCHASING POWE R TO OFFER FAVORABLE RATES TO UNITS OF LO CAL 22 
GOVERNMENT TO PROCU RE INFORMATION TECHN OLOGY OR CYBERSECURI TY 23 
SERVICES FROM CONTRA CTORS. 24 
 
 (B) A UNIT OF LOCAL GOVERN MENT MAY NOT BE REQU	IRED TO 25 
PARTICIPATE IN A PRO GRAM ESTABLISHED UND ER SUBSECTION (A) OF THIS 26 
SECTION.  27 
 
6–226. 28 
 
 (a) (2) (i) Notwithstanding any other provision of law, and unless 29 
inconsistent with a federal law, grant agreement, or other federal requirement or with the 30   	SENATE BILL 754 	23 
 
 
terms of a gift or settlement agreement, net interest on all State money allocated by the 1 
State Treasurer under this section to special funds or accounts, and otherwise entitled to 2 
receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 3 
Fund of the State. 4 
 
 (ii) The provisions of subparagraph (i) of this paragraph do not apply 5 
to the following funds: 6 
 
 144. the Health Equity Resource Community Reserve Fund; 7 
[and] 8 
 
 145. the Access to Counsel in Evictions Special Fund; AND 9 
 
 146. THE LOCAL CYBERSECURITY SUPPORT FUND. 10 
 
12–107. 11 
 
 (b) Subject to the authority of the Board, jurisdiction over procurement is as 12 
follows: 13 
 
 (2) the Department of General Services may: 14 
 
 (i) engage in or control procurement of: 15 
 
 10. information processing equipment and associated 16 
services, as provided in Title [3A] 3.5, Subtitle 3 of this article; and 17 
 
 11. telecommunication equipment, systems, or services, as 18 
provided in Title [3A] 3.5, Subtitle 4 of this article;  19 
 
Article – State Government 20 
 
2–1224. 21 
 
 (f) [After] EXCEPT AS PROVIDED IN SUBSECTION (I) OF THIS SECTION , 22 
AFTER the expiration of any period that the Joint Audit and Evaluation Committee 23 
specifies, a report of the Legislative Auditor is available to the public under Title 4, 24 
Subtitles 1 through 5 of the General Provisions Article. 25 
 
 (I) A REPORT AUDITING A UN IT OF STATE OR LOCAL GOVERN MENT SHALL 26 
HAVE ANY CYBERSECURI TY FINDINGS REDACTED IN A MANNER CONSISTE NT WITH 27 
AUDITING BEST PRACTI CES BEFORE THE REPORT IS MADE AVAILABLE TO TH E 28 
PUBLIC.  29 
  24 	SENATE BILL 754  
 
 
 SECTION 3. AND BE IT FURTHER ENACTED, That, on or before December 1, 1 
2022, the State Chief Information Security Officer and the Secretary of Emergency 2 
Management shall: 3 
 
 (1) review the State budget for efficiency and effectiveness of funding and 4 
resources to ensure that the State is equipped to respond to a cybersecurity attack;  5 
 
 (2) make recommendations for any changes to the budget needed to 6 
accomplish the goals under item (1) of this section;  7 
 
 (3) establish guidance for units of State government on use and access to 8 
State funding related to cybersecurity preparedness; and 9 
 
 (4) report any recommendations and guidance to the Governor and, in 10 
accordance with § 2–1257 of the State Government Article, the General Assembly.  11 
 
 SECTION 4. AND BE IT FURTHER ENACTED, That: 12 
 
 (a) On or before December 1, 2023, the State Chief Information Security Officer 13 
shall: 14 
 
 (1) commission a feasibility study on expanding the operations of the State 15 
Security Operations Center operated by the Department of Information Technology to 16 
include cybersecurity monitoring and alert services for units of local government; and  17 
 
 (2) report any recommendations to the Governor and, in accordance with § 18 
2–1257 of the State Government Article, the General Assembly. 19 
 
 (b) For fiscal year 2024, the Governor shall include an appropriation in the 20 
annual budget to cover the cost of the feasibility study required under subsection (a) of this 21 
section.  22 
 
 SECTION 5. AND BE IT FURTHER ENACTED, That this Act shall take effect July 23 
1, 2022. 24 
 
 SECTION 5. AND BE IT FURTHER ENACTED, That: 25 
 
 (a) (1) On or before June 30, 2023, each unit of local government shall certify 26 
to the Office of Security Management compliance with State minimum cybersecurity 27 
standards established by the Department of Information Technology. 28 
 
 (2) Certification shall be reviewed by independent auditors, and any 29 
findings must be remediated. 30 
 
 (b) If a unit of local government has not remediated any findings pertaining to 31 
State cybersecurity standards found by the independent audit required under subsection 32 
(1) of this section by July 1, 2024, the Office of Security Management shall assume 33   	SENATE BILL 754 	25 
 
 
responsibility for a unit’s cybersecurity through a shared service agreement, administrative 1 
privileges, or access to Network Maryland notwithstanding any federal law or regulation 2 
that forbids the Office of Security Management from managing a specific system provide 3 
guidance for the unit to achieve compliance with the cybersecurity standards. 4 
 
 SECTION 6. AND BE IT FURTHER ENACTED, That for fiscal year 2023, funds 5 
from the Dedicated Purpose Account may be transferred by budget amendment in 6 
accordance with § 7–310 of the State Finance and Procurement Article to implement this 7 
Act. 8 
 
 SECTION 7. AND BE IT FURTHER ENACTED, That: 9 
 
 (a) On or before June October 1, 2022, the State Chief Information Security 10 
Officer shall establish guidelines to determine when a cybersecurity incident shall be 11 
disclosed to the public. 12 
 
 (b) On or before November 1, 2022, the State Chief Information Security Officer 13 
shall submit a report on the guidelines established under subsection (a) of this section to 14 
the Governor and, in accordance with § 2–1257 of the State Government Article, the House 15 
Health and Government Operations Committee and the Senate Education, Health, and 16 
Environmental Affairs Committee. 17 
 
 SECTION 8. AND BE IT FURTHER ENACTED, That this Act is an emergency 18 
measure, is necessary for the immediate preservation of the public health or safety, has 19 
been passed by a yea and nay vote supported by three–fifths of all the members elected to 20 
each of the two Houses of the General Assembly, and shall take effect from the date it is 21 
enacted.  22 
 
 
 
 
 
 
 
Approved: 
________________________________________________________________________________  
 Governor. 
________________________________________________________________________________  
         President of the Senate. 
________________________________________________________________________________  
  Speaker of the House of Delegates.