Maryland 2024 Regular Session

Maryland House Bill HB1271 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
2	2
3	3		EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LAW .
4	4		[Brackets] indicate matter deleted from existing law.
5		-	Underlining indicates amendments to bill.
6		-	Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7		-	amendment.
8	5		hb1271
9	6
10	7		HOUSE BILL 1271
11	8		S1, P2, K3 4lr2598
12	9		CF SB 818
13		-	By: Delegates J. Lewis, Hill, and Kaiser Kaiser, Alston, Bagnall, Bhandari,
14		-	Chisholm, Cullison, Guzzone, Hutchinson, S. Johnson, Kerr, Kipke,
15		-	R. Lewis, Lopez, Martinez, M. Morgan, Pena–Melnyk, Reilly, Rosenberg,
16		-	Szeliga, Taveras, White Holland, and Woods
	10	+	By: Delegates J. Lewis, Hill, and Kaiser
17	11		Introduced and read first time: February 8, 2024
18	12		Assigned to: Health and Government Operations
19		-	Committee Report: Favorable with amendments
20		-	House action: Adopted
21		-	Read second time: March 22, 2024
22	13
23		-	~~CHAPTER ______~~
	14	+	A BILL ENTITLED
24	15
25	16		AN ACT concerning 1
26	17
27	18		Information Technology – Artificial Intelligence – Policies and Procedures 2
28	19		(Artificial Intelligence Governance Act of 2024) 3
29	20
30	21		FOR the purpose of requiring each unit of State government to conduct a certain annual 4
31	22		data inventory, a certain annual inventory of systems that employ artificial 5
32	23		intelligence, and a certain impact assessment on or before a certain date; requiring 6
33		-	prohibiting the Department of Information Technology from making certain 7
34		-	information publicly available under certain circumstances to conduct ongoing 8
35		-	monitoring of certain systems under certain circumstances ; requiring the 9
36		-	Department of Information Technology, in consultation with the Governor’s 10
37		-	Artificial Intelligence Subcabinet of the Governor’s Executive Council, to adopt 11
38		-	policies and procedures concerning the development, procurement, implementation 12
39		-	deployment, use, and assessment of systems that employ artificial intelligence by 13
40		-	units of State government; prohibiting a unit of State government from 14
41		-	implementing deploying or using a system that employs artificial intelligence under 15
42		-	certain circumstances beginning on a certain date; requiring a unit of State 16
43		-	government to conduct certain regular impact assessments under certain 17
44		-	circumstances; exempting the Office of the Attorney General, the Comptroller, the 18
45		-	Treasurer, and certain public institutions of higher education from certain 19
46		-	provisions; establishing the Governor’s Artificial Intelligence Subcabinet of the 20
47		-	Governor’s Executive Council; establishing competitive proof of concept procurement 21
48		-	as a formal competitive procurement method for the procurement of certain products 22 2 HOUSE BILL 1271
	24	+	the Department of Information Technology to conduct ongoing monitoring of certain 7
	25	+	systems under certain circumstances; requiring the Department of Information 8
	26	+	Technology to adopt policies and procedures concerning the development, 9
	27	+	procurement, implementation, use, and assessment of systems that employ artificial 10
	28	+	intelligence by units of State government; prohibiting a unit of State government 11
	29	+	from implementing or using a system that employs artificial intelligence under 12
	30	+	certain circumstances beginning on a certain date; establishing the Governor’s 13
	31	+	Artificial Intelligence Subcabinet of the Governor’s Executive Council; establishing 14
	32	+	competitive proof of concept procurement as a formal competitive procurement 15
	33	+	method for the procurement of certain products and services; exempting certain 16
	34	+	competitive proof of concept procurements from oversight by the Board of Public 17
	35	+	Works; requiring the Department of General Services, in consultation with the 18
	36	+	Department of Information Technology, to develop certain policies and procedures 19
	37	+	for the development and implementation of competitive proof of concept 20
	38	+	procurements; and generally relating to the use of artificial intelligence by units of 21
	39	+	State government. 22
	40	+
	41	+	BY repealing and reenacting, without amendments, 23
	42	+	Article – State Finance and Procurement 24
	43	+	Section 3.5–101(a), (c), (d), and (f) 25
	44	+	Annotated Code of Maryland 26
	45	+	(2021 Replacement Volume and 2023 Supplement) 27
	46	+
	47	+	BY repealing and reenacting, with amendments, 28
	48	+	Article – State Finance and Procurement 29 2 HOUSE BILL 1271
49	49
50	50
51		-	and services; exempting certain competitive proof of concept procurements from 1
52		-	oversight by the Board of Public Works; requiring the Department of General 2
53		-	Services, in consultation with the Department of Information Technology, to develop 3
54		-	certain policies and procedures for the development and implementation of 4
55		-	competitive proof of concept procurements; requiring the Subcabinet to develop a 5
56		-	certain roadmap; and generally relating to the use of artificial intelligence by units 6
57		-	of State government. 7
	51	+	Section 3.5–301, 3.5–303(a), and 12–101 1
	52	+	Annotated Code of Maryland 2
	53	+	(2021 Replacement Volume and 2023 Supplement) 3
58	54
59		-	BY repealing and reenacting, without amendments, 8
60		-	Article – State Finance and Procurement 9
61		-	Section 3.5–101(a), (c), (d), and (f) 10
62		-	Annotated Code of Maryland 11
63		-	(2021 Replacement Volume and 2023 Supplement) 12
	55	+	BY adding to 4
	56	+	Article – State Finance and Procurement 5
	57	+	Section 3.5–318; 3.5–801 through 3.5–805 to be under the new subtitle “Subtitle 8. 6
	58	+	Artificial Intelligence”; and 13–116 7
	59	+	Annotated Code of Maryland 8
	60	+	(2021 Replacement Volume and 2023 Supplement) 9
64	61
65		-	BY repealing and reenacting, with amendments, 13
66		-	Article – State Finance and Procurement 14
67		-	Section 3.5–301, 3.5–303(a), and 12–101 Section 3.5–301 and 3.5–303(a) 15
68		-	Annotated Code of Maryland 16
69		-	(2021 Replacement Volume and 2023 Supplement) 17
	62	+	Preamble 10
70	63
71		-	BY adding to 18
72		-	Article – State Finance and Procurement 19
73		-	Section 3.5–318; 3.5–801 through 3.5–805 3.5–806 to be under the new subtitle 20
74		-	“Subtitle 8. Artificial Intelligence”; and 13–116 21
75		-	Annotated Code of Maryland 22
76		-	(2021 Replacement Volume and 2023 Supplement) 23
	64	+	WHEREAS, Artificial intelligence is transforming society and work, and the pace of 11
	65	+	that change will present new opportunities and risks for the State’s residents, workers, and 12
	66	+	economy; and 13
77	67
78		-	Preamble 24
	68	+	WHEREAS, The State must ensure the re sponsible, ethical, beneficial, and 14
	69	+	trustworthy use of artificial intelligence in State government; and 15
79	70
80		-	WHEREAS, Artificial intelligence ~~is transforming society and work, and the pace of 25~~
81		-	~~that change will present new opportunities and risks for the State’s residents~~, ~~workers~~, and 26
82		-	~~economy~~; and 27
	71	+	WHEREAS, The State is home to a rich and growing artificial intelligence ecosystem 16
	72	+	of academic, industry, government, and civil society experts, researchers, builders, 17
	73	+	organizers, and stakeholders; and 18
83	74
84		-	WHEREAS, The State must ensure the responsible, ethical, beneficial, and 28
85		-	trustworthy use of artificial intelligence in State government; and 29
	75	+	WHEREAS, To foster an environment for innovation while respecting individuals, 19
	76	+	employees, and civil rights, as artificial intelligence technologies are developed and evolve, 20
	77	+	the technologies should be analyzed and monitored by government officials, industry 21
	78	+	experts, consumer protection advocates, and other stakeholders; and 22
86	79
87		-	WHEREAS, The State is home to a rich and growing artificial intelligence ecosystem 30
88		-	of academic, industry, government, and civil society experts, researchers, builders, 31
89		-	organizers, and stakeholders; and 32
	80	+	WHEREAS, Given the rapid rate of change in artificial intelligence technologies and 23
	81	+	industry, the State must chart a principled yet adaptable, pragmatic path forward, so that 24
	82	+	the technologies’ benefits can be confidently harnessed on behalf of Marylanders and in 25
	83	+	service of the Governor’s mission to Leave No One Behind; and 26
90	84
91		-	WHEREAS, To foster an environment for innovation while respecting individuals, 33
92		-	employees, and civil rights, as artificial intelligence technologies are developed and evolve, 34
93		-	the technologies should be analyzed and monitored by government officials, industry 35
94		-	experts, consumer protection advocates, and other stakeholders; and 36
	85	+	WHEREAS, Leaders across State government share a common in terest in 27
	86	+	establishing effective artificial intelligence governance and are committed to working 28
	87	+	together to develop the legal and policy framework for its responsible use in the State; and 29
95	88
96		-	WHEREAS, Given the rapid rate of change in artificial intelligence technologies and 37
97		-	industry, the State must chart a principled yet adaptable, pragmatic path forward, so that 38 HOUSE BILL 1271 3
	89	+	WHEREAS, Automated systems should be safe and effective, develop ed with 30
	90	+	consultation from diverse communities, stakeholders, and domain experts to identify 31
	91	+	concerns, risks, and potential impacts of the systems; and 32
	92	+
	93	+	WHEREAS, Designers, developers, and deployers of automated systems should take 33
	94	+	proactive and continuous measures to protect individuals and communities from 34
	95	+	algorithmic discrimination and to use and design systems in an equitable way; and 35
	96	+	HOUSE BILL 1271 3
98	97
99	98
100		-	the technologies’ benefits can be confidently harnessed on behalf of Marylanders and in 1
101		-	service of the Governor’s mission to Leave No One Behind; and 2
	99	+	WHEREAS, Designers, developers, and deployers of automated systems should seek 1
	100	+	permission and respect decisions regarding collection, use, access, transfer, and deletion of 2
	101	+	data in appropriate ways and to the greatest extent possible; where not possible, alternative 3
	102	+	privacy by design safeguards should be used; and 4
102	103
103		-	WHEREAS, Leaders across State government share a common interest in 3
104		-	establishing effective artificial intelligence governance and are committed to working 4
105		-	together to develop the legal and policy framework for its responsible use in the State; and 5
	104	+	WHEREAS, Designers, developers, and deployers of automated systems should 5
	105	+	provide generally accessible plain language documentation including clear descriptions of 6
	106	+	the overall system functioning and the role automation plays, notice that such systems are 7
	107	+	in use, the individual or organization responsible for the system, and explanations of 8
	108	+	outcomes that are clear, timely, and accessible; and 9
106	109
107		-	WHEREAS, Automated systems should be safe and effective, developed with 6
108		-	consultation from diverse communities, stakeholders, and domain experts to identify 7
109		-	concerns, risks, and potential impacts of the systems; and 8
	110	+	WHEREAS, Designers, developers, and deployers of automated systems should 10
	111	+	consider the specific types of actions for which a human alternative is appropriate, 11
	112	+	commensurate with the magnitude of the action and risk of harm, along with the extent to 12
	113	+	which a human alternative would be beneficial to individuals and the public interest; now, 13
	114	+	therefore, 14
110	115
111		-	WHEREAS, Designers, developers, and deployers of automated systems should take 9
112		-	proactive and continuous measures to protect individuals and communities from 10
113		-	algorithmic discrimination and to use and design systems in an equitable way; and 11
	116	+	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 15
	117	+	That the Laws of Maryland read as follows: 16
114	118
115		-	WHEREAS, Designers, developers, and deployers of automated systems should seek 12
116		-	permission and respect decisions regarding collection, use, access, transfer, and deletion of 13
117		-	data in appropriate ways and to the greatest extent possible; where not possible, alternative 14
118		-	privacy by design safeguards should be used; and 15
	119	+	Article – State Finance and Procurement 17
119	120
120		-	WHEREAS, Designers, developers, and deployers of automated systems should 16
121		-	provide generally accessible plain language documentation including clear descriptions of 17
122		-	the overall system functioning and the role automation plays, notice that such systems are 18
123		-	in use, the individual or organization responsible for the system, and explanations of 19
124		-	outcomes that are clear, timely, and accessible; and 20
	121	+	3.5–101. 18
125	122
126		-	WHEREAS, Designers, developers, and deployers of automated systems should 21
127		-	consider the specific types of actions for which a human alternative is appropriate, 22
128		-	commensurate with the magnitude of the action and risk of harm, along with the extent to 23
129		-	which a human alternative would be beneficial to individuals and the public interest; now, 24
130		-	therefore, 25
	123	+	(a) In this title the following words have the meanings indicated. 19
131	124
132		-	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 26
133		-	That the Laws of Maryland read as follows: 27
	125	+	(c) “Department” means the Department of Information Technology. 20
134	126
135		-	~~Article – State Finance and Procurement 28~~
	127	+	(d) “Secretary” means the Secretary of Information Technology. 21
136	128
137		-	3.5–101. 29
	129	+	(f) “Unit of State government” means an agency or unit of the Executive Branch 22
	130	+	of State government. 23
138	131
139		-	~~(a) In this title the following words have the meanings indicated~~. 30
	132	+	3.5–301. 24
140	133
141		-	(c) ~~“Department” means~~ the ~~Department of Information Technology~~. 31
	134	+	(a) In this subtitle the following words have the meanings indicated. 25
142	135
143		-	(d) “Secretary” means the Secretary of Information Technology. 32
	136	+	(B) “ARTIFICIAL INTELLIGEN CE” HAS THE MEANI NG STATED IN § 3.5–801 26
	137	+	OF THIS TITLE. 27
144	138
145		-	(f) “Unit of State government” means an agency or unit of the Executive Branch 33
146		-	of State government. 34 4 HOUSE BILL 1271
	139	+	[(b)] (C) “Cybersecurity” means processes or capabilities wherein systems, 28
	140	+	communications, and information are protected and defended against damage, 29
	141	+	unauthorized use or modification, and exploitation. 30
	142	+
	143	+	[(c)] (D) “Cybersecurity strategy” means a vision, a plan of action, or guiding 31
	144	+	principles. 32
	145	+	4 HOUSE BILL 1271
	146	+
	147	+
	148	+	[(d)] (E) (1) “Development” means all expenditures for a new information 1
	149	+	technology system or an enhancement to an existing system including system: 2
	150	+
	151	+	(i) planning; 3
	152	+
	153	+	(ii) creation; 4
	154	+
	155	+	(iii) installation; 5
	156	+
	157	+	(iv) testing; and 6
	158	+
	159	+	(v) initial training. 7
	160	+
	161	+	(2) “Development” does not include: 8
	162	+
	163	+	(i) ongoing operating costs, software or hardware maintenance, 9
	164	+	routine upgrades, or modifications that merely allow for a continuation of the existing level 10
	165	+	of functionality; or 11
	166	+
	167	+	(ii) expenditures made after a new or enhanced system has been 12
	168	+	legally accepted by the user and is being used for the business process for which it was 13
	169	+	intended. 14
	170	+
	171	+	[(e)] (F) “Fund” means the Major Information Technology Development Project 15
	172	+	Fund. 16
	173	+
	174	+	[(f)] (G) “Information technology” means all electronic information processing, 17
	175	+	including: 18
	176	+
	177	+	(1) maintenance; 19
	178	+
	179	+	(2) telecommunications; 20
	180	+
	181	+	(3) hardware; 21
	182	+
	183	+	(4) software; and 22
	184	+
	185	+	(5) associated services. 23
	186	+
	187	+	[(g)] (H) “Information technology services” means information provided by 24
	188	+	electronic means by or on behalf of a unit of State government. 25
	189	+
	190	+	[(h)] (I) “Major information technology development project” means any 26
	191	+	information technology development project that meets one or more of the following 27
	192	+	criteria: 28
	193	+
	194	+	(1) the estimated total cost of development equals or exceeds $1,000,000; 29 HOUSE BILL 1271 5
147	195
148	196
149	197
150		-	3.5–301. 1
	198	+	(2) the project is undertaken to support a critical business function 1
	199	+	associated with the public health, education, safety, or financial well–being of the citizens 2
	200	+	of Maryland; or 3
151	201
152		-	(a) In this subtitle the following words have the meanings indicated. 2
	202	+	(3) the Secretary determines that the project requires the special attention 4
	203	+	and consideration given to a major information technology development project due to: 5
153	204
154		-	(B) “ARTIFICIAL INTELLIGEN CE” HAS THE MEANING STAT ED IN § 3.5–801 3
155		-	OF THIS TITLE. 4
	205	+	(i) the significance of the project’s potential benefits or risks; 6
156	206
157		-	[(b)] (C) “Cybersecurity” means processes or capabilities wherein systems, 5
158		-	communications, and information are protected and defended against damage, 6
159		-	unauthorized use or modification, and exploitation. 7
	207	+	(ii) the impact of the project on the public or local governments; 7
160	208
161		-	[(c)] (D) “Cybersecurity strategy” means a vision, a plan of action, or guiding 8
162		-	principles. 9
	209	+	(iii) the public visibility of the project; or 8
163	210
164		-	[(d)] (E) (1) “Development” means all expenditures for a new information 10
165		-	technology system or an enhancement to an existing system including system: 11
	211	+	(iv) other reasons as determined by the Secretary. 9
166	212
167		-	(i) planning; 12
	213	+	[(i)] (J) “Master plan” means the statewide information technology master plan 10
	214	+	and statewide cybersecurity strategy. 11
168	215
169		-	(ii) creation; 13
	216	+	[(j)] (K) “Nonvisual access” means the ability, through keyboard control, 12
	217	+	synthesized speech, Braille, or other methods not requiring sight to receive, use, and 13
	218	+	manipulate information and operate controls necessary to access information technology in 14
	219	+	accordance with standards adopted under § 3.5–303(b) of this subtitle. 15
170	220
171		-	(iii) installation; 14
	221	+	[(k)] (L) “Resource sharing” means the utilization of a State resource by private 16
	222	+	industry in exchange for the provision to the State of a communication service or other 17
	223	+	consideration. 18
172	224
173		-	(iv) testing; and 15
	225	+	[(l)] (M) “Systems development life cycle plan” means a plan that defines all 19
	226	+	actions, functions, or activities to be performed by a unit of State government in the 20
	227	+	definition, planning, acquisition, development, testing, implementation, operation, 21
	228	+	enhancement, and modification of information technology systems. 22
174	229
175		-	~~(v) initial training~~. 16
	230	+	3.5–303. 23
176	231
177		-	(2) ~~“Development” does not include~~: 17
	232	+	(a) The Secretary is responsible for carrying out the following duties: 24
178	233
179		-	(i) ongoing operating costs, software or hardware maintenance, 18
180		-	routine upgrades, or modifications that merely allow for a continuation of the existing level 19
181		-	of functionality; or 20
	234	+	(1) developing, maintaining, revising, and enforcing information 25
	235	+	technology policies, procedures, and standards; 26
182	236
183		-	(ii) expenditures made after a new or enhanced system has been 21
184		-	legally accepted by the user and is being used for the business process for which it was 22
185		-	intended. 23
	237	+	(2) providing technical assistance, advice, and recommendations to the 27
	238	+	Governor and any unit of State government concerning information technology matters; 28
186	239
187		-	[(e)] (F) “Fund” means the Major Information Technology Development Project 24
188		-	Fund. 25
189		-
190		-	[(f)] (G) “Information technology” means all electronic information processing, 26
191		-	including: 27
192		-
193		-	(1) maintenance; 28
194		-	HOUSE BILL 1271 5
	240	+	(3) reviewing the annual project plan for each unit of State government to 29
	241	+	make information and services available to the public over the Internet; 30
	242	+	6 HOUSE BILL 1271
195	243
196	244
197		-	(2) telecommunications; 1
	245	+	(4) developing and maintaining a statewide information technology master 1
	246	+	plan that will: 2
198	247
199		-	(3) hardware; 2
	248	+	(i) centralize the management and direction of information 3
	249	+	technology policy within the Executive Branch of State government under the control of the 4
	250	+	Department; 5
200	251
201		-	(4) software; and 3
	252	+	(ii) include all aspects of State information technology including 6
	253	+	telecommunications, security, data processing, and information management; 7
202	254
203		-	(5) associated services. 4
	255	+	(iii) consider interstate transfers as a result of federal legislation and 8
	256	+	regulation; 9
204	257
205		-	[(g)] (H) “Information technology services” means information provided by 5
206		-	electronic means by or on behalf of a unit of State government. 6
	258	+	(iv) ensure that the State information technology plan and related 10
	259	+	policies and standards are consistent with State goals, objectives, and resources, and 11
	260	+	represent a long–range vision for using information technology to improve the overall 12
	261	+	effectiveness of State government; 13
207	262
208		-	[(h)] (I) “Major information technology development project” means any 7
209		-	information technology development project that meets one or more of the following 8
210		-	criteria: 9
	263	+	(v) include standards to assure nonvisual access to the information 14
	264	+	and services made available to the public over the Internet; and 15
211	265
212		-	(1) the estimated total cost of development equals or exceeds $1,000,000; 10
	266	+	(vi) allows a State agency to maintain the agency’s own information 16
	267	+	technology unit that provides for information technology services to support the mission of 17
	268	+	the agency; 18
213	269
214		-	(2) the project is undertaken to support a critical business function 11
215		-	associated with the public health, education, safety, or financial well–being of the citizens 12
216		-	of Maryland; or 13
	270	+	(5) developing and maintaining a statewide cybersecurity strategy that 19
	271	+	will: 20
217	272
218		-	(3) the Secretary determines that the project requires the special attention 14
219		-	and consideration given to a major information technology development project due to: 15
	273	+	(i) centralize the management and direction of cybersecurity 21
	274	+	strategy within the Executive Branch of State government under the control of the 22
	275	+	Department; and 23
220	276
221		-	(i) the significance of the project’s potential benefits or risks; 16
	277	+	(ii) serve as the basis for budget allocations for cybersecurity 24
	278	+	preparedness for the Executive Branch of State government; 25
222	279
223		-	(ii) the impact of the project on the public or local governments; 17
	280	+	(6) adopting by regulation and enforcing nonvisual access standards to be 26
	281	+	used in the procurement of information technology services by or on behalf of units of State 27
	282	+	government in accordance with subsection (c) of this section; 28
224	283
225		-	(iii) the public visibility of the project; or 18
	284	+	(7) in consultation with the Maryland Cybersecurity Coordinating Council, 29
	285	+	advising and overseeing a consistent cybersecurity strategy for units of State government, 30
	286	+	including institutions under the control of the governing boards of the public institutions 31
	287	+	of higher education; 32
226	288
227		-	(iv) other reasons as determined by the Secretary. 19
228		-
229		-	[(i)] (J) “Master plan” means the statewide information technology master plan 20
230		-	and statewide cybersecurity strategy. 21
231		-
232		-	[(j)] (K) “Nonvisual access” means the ability, through keyboard control, 22
233		-	synthesized speech, Braille, or other methods not requiring sight to receive, use, and 23
234		-	manipulate information and operate controls necessary to access information technology in 24
235		-	accordance with standards adopted under § 3.5–303(b) of this subtitle. 25
236		-
237		-	[(k)] (L) “Resource sharing” means the utilization of a State resource by private 26
238		-	industry in exchange for the provision to the State of a communication service or other 27
239		-	consideration. 28
240		-
241		-	[(l)] (M) “Systems development life cycle plan” means a plan that defines all 29
242		-	actions, functions, or activities to be performed by a unit of State government in the 30 6 HOUSE BILL 1271
	289	+	(8) advising and consulting with the Legislative and Judicial branches of 33
	290	+	State government regarding a cybersecurity strategy; 34
	291	+	HOUSE BILL 1271 7
243	292
244	293
245		-	definition, planning, acquisition, development, testing, implementation, operation, 1
246		-	enhancement, and modification of information technology systems. 2
	294	+	(9) in consultation with the Maryland Cybersecurity Coordinating Council, 1
	295	+	developing guidance on consistent cybersecurity strategies for counties, municipal 2
	296	+	corporations, school systems, and all other political subdivisions of the State; 3
247	297
248		-	3.5–303. 3
	298	+	(10) upgrading information technology and cybersecurity–related State 4
	299	+	government infrastructure; [and] 5
249	300
250		-	(a) ~~The Secretary is responsible for carrying out the following duties~~: 4
	301	+	(11) annually evaluating: 6
251	302
252		-	(1) developing, maintaining, revising, and enforcing information 5
253		-	technology policies, procedures, and standards; 6
	303	+	(i) the feasibility of units of State government providing public 7
	304	+	services using artificial intelligence, machine learning, commercial cloud computer 8
	305	+	services, device–as–a–service procurement models, and other emerging technologies; and 9
254	306
255		-	(2) ~~providing technical assistance,~~ ~~advice, and recommendations~~ to ~~the 7~~
256		-	~~Governor and any unit~~ of State government ~~concerning information technology matters~~; 8
	307	+	(ii) the development of data analytics capabilities to enable 10
	308	+	data–driven policymaking by units of State government; AND 11
257	309
258		-	(3) reviewing the annual project plan for each unit of State government to 9
259		-	make information and services available to the public over the Internet; 10
	310	+	(12) CONDUCTING INVENTORI ES AND ONGOING ASSES SMENTS OF 12
	311	+	SYSTEMS THAT EMPLOY ARTIFICIAL INTELLIGENC E THAT ARE USED BY A UNIT OF 13
	312	+	STATE GOVERNMENT AS R EQUIRED UNDER § 3.5–318 OF THIS SUBTITLE . 14
260	313
261		-	(4) developing and maintaining a statewide information technology master 11
262		-	plan that will: 12
	314	+	3.5–318. 15
263	315
264		-	(i) centralize the management and direction of information 13
265		-	technology policy within the Executive Branch of State government under the control of the 14
266		-	Department; 15
	316	+	(A) ON OR BEFORE DECEMBER 1, 2024, AND ANNUALLY THEREAF TER, 16
	317	+	EACH UNIT OF STATE GOVERNMENT SHAL L CONDUCT A DATA INV ENTORY THAT 17
	318	+	IDENTIFIES DATA THAT MEETS THE CRITERIA ESTABLI SHED BY THE CHIEF DATA 18
	319	+	OFFICER AND THAT IS : 19
267	320
268		-	(ii) include all aspects of State information technology including 16
269		-	telecommunications, security, data processing, and information management; 17
	321	+	(1) (I) NECESSARY FOR THE OP ERATION OF THE UNIT ; OR 20
270	322
271		-	(iii) consider interstate transfers as a result of federal legislation and 18
272		-	regulation; 19
	323	+	(II) OTHERWISE REQUIRED T O BE COLLECTED : 21
273	324
274		-	(iv) ensure that the State information technology plan and related 20
275		-	policies and standards are consistent with State goals, objectives, and resources, and 21
276		-	represent a long–range vision for using information technology to improve the overall 22
277		-	effectiveness of State government; 23
	325	+	1. AS A CONDITION TO RE CEIVE FEDERAL FUNDS ; OR 22
278	326
279		-	(v) include standards to assure nonvisual access to the information 24
280		-	and services made available to the public over the Internet; and 25
	327	+	2. BY FEDERAL OR STATE LAW; AND 23
281	328
282		-	(vi) allows a State agency to maintain the agency’s own information 26
283		-	technology unit that provides for information technology services to support the mission of 27
284		-	the agency; 28
	329	+	(2) IN A FORM PRESCRIBED BY THE CHIEF DATA OFFICER, 24
	330	+	INCLUDING WHEN THE D ATA IS USED IN ARTIF ICIAL INTELLIGENCE . 25
285	331
286		-	(5) ~~developing~~ and ~~maintaining a statewide cybersecurity strategy that 29~~
287		-	~~will: 30~~
	332	+	(B) THE DEPARTMENT SHALL DEVE LOP AND PUBLISH GUID ANCE ON THE 26
	333	+	POLICIES AND PROCEDU RES FOR THE INVENTOR Y. 27
288	334
289		-	~~(i) centralize the management and direction of cybersecurity 31~~
290		-	~~strategy within the Executive Branch of State government under the control of the 32~~
291		-	~~Department; and 33~~ HOUSE BILL 1271 7
	335	+	SUBTITLE 8. ARTIFICIAL INTELLIGENCE . 28
	336	+
	337	+	3.5–801. 29 8 HOUSE BILL 1271
292	338
293	339
294	340
295		-	(ii) ~~serve as~~ the ~~basis for budget allocations for cybersecurity~~ 1
296		-	~~preparedness for the Executive Branch of State government;~~ 2
	341	+	(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 1
	342	+	INDICATED. 2
297	343
298		-	(6) adopting by regulation and enforcing nonvisual access standards to be 3
299		-	used in the procurement of information technology services by or on behalf of units of State 4
300		-	government in accordance with subsection (c) of this section; 5
	344	+	(B) (1) “ALGORITHMIC DECISION SYSTEM” MEANS A COMPUTATIONA L 3
	345	+	PROCESS THAT FACILIT ATES DECISION MAKING . 4
301	346
302		-	(7) in consultation with the Maryland Cybersecurity Coordinating Council, 6
303		-	advising and overseeing a consistent cybersecurity strategy for units of State government, 7
304		-	including institutions under the control of the governing boards of the public institutions 8
305		-	of higher education; 9
	347	+	(2) “ALGORITHMIC DECISION SYSTEM” INCLUDES DECISIONS 5
	348	+	DERIVED FROM MACHINE S, STATISTICS, FACIAL RECOGNITION , AND DECISIONS ON 6
	349	+	PAPER. 7
306	350
307		-	(8) advising and consulting with the Legislative and Judicial branches of 10
308		-	State government regarding a cybersecurity strategy; 11
	351	+	(C) “ARTIFICIAL INTELLIGEN CE” MEANS A MACHINE –BASED SYSTEM THAT : 8
309	352
310		-	(9) ~~in consultation with the Maryland Cybersecurity Coordinating Council~~, 12
311		-	~~developing guidance on consistent cybersecurity strategies for counties~~, ~~municipal 13~~
312		-	~~corporations, school systems, and all other political subdivisions of the State~~; 14
	353	+	(1) CAN, FOR A GIVEN SET OF H UMAN–DEFINED OBJECTIVES , MAKE 9
	354	+	PREDICTIONS, RECOMMENDATIONS , OR DECISIONS INFLUENCING RE AL OR VIRTUAL 10
	355	+	ENVIRONMENTS ; 11
313	356
314		-	(10) upgrading information technology and cybersecurity–related State 15
315		-	government infrastructure; [and] 16
	357	+	(2) USES MACHINE AND HUM AN–BASED INPUTS TO PERC EIVE REAL 12
	358	+	AND VIRTUAL ENVIRONM ENTS AND ABSTRACTS T HOSE PERCEPTIONS INT O MODELS 13
	359	+	THROUGH ANALYSIS IN AN AUTOMATED MANNER ; AND 14
316	360
317		-	(11) annually evaluating: 17
	361	+	(3) USES MODEL INFERENCE TO FORMULATE OPTIONS FO R 15
	362	+	INFORMATION OR ACTIO N. 16
318	363
319		-	(i) the feasibility of units of State government providing public 18
320		-	services using artificial intelligence, machine learning, commercial cloud computer 19
321		-	services, device–as–a–service procurement models, and other emerging technologies; and 20
	364	+	(D) “HIGH–RISK” MEANS AN ACT THAT IS LIKELY TO: 17
322	365
323		-	(ii) the development of data analytics capabilities to enable 21
324		-	data–driven policymaking by units of State government; AND 22
	366	+	(1) RESULT IN ANY UNLAWF UL DISCRIMINATION ; 18
325	367
326		-	(12) CONDUCTING INVENTORI ES AND ONGOING ASSESSME NTS OF 23
327		-	SYSTEMS THAT EMPLOY ARTIFICIAL INTELLIGE NCE THAT ARE USED BY A UNIT OF 24
328		-	STATE GOVERNMENT AS R EQUIRED UNDER § 3.5–318 OF THIS SUBTITLE § 3.5–803 25
329		-	OF THIS TITLE. 26
	368	+	(2) HAVE AN UNLAWFUL DIS PARATE IMPACT ON ANY INDIVIDUAL OR 19
	369	+	GROUP OF INDIVIDUALS ON THE BASIS OF ANY ACTUAL OR PE RCEIVED 20
	370	+	CHARACTERISTIC ; OR 21
330	371
331		-	3.5–318. 27
	372	+	(3) HAVE A NEGATIVE IMPA CT ON THE HEALTH , SAFETY, OR 22
	373	+	WELL–BEING OF AN INDIVIDU AL. 23
332	374
333		-	(A) ON OR BEFORE DECEMBER 1, 2024, AND ANNUALLY THEREAF TER, 28
334		-	EACH UNIT OF STATE GOVERNMENT SHALL CON DUCT A DATA INVENTOR Y THAT 29
335		-	IDENTIFIES DATA THAT MEETS THE CRITERIA E STABLISHED BY THE CHIEF DATA 30
336		-	OFFICER AND THAT IS : 31
	375	+	(E) “IMPACT ASSESSMENT ” MEANS A DOCUMENTED R ISK–BASED 24
	376	+	EVALUATION OF A SYST EM THAT EMPLOYS ARTI FICIAL INTELLIGENCE . 25
337	377
338		-	(1) (I) NECESSARY FOR THE OP ERATION OF THE UNIT ; OR 32
339		-	8 HOUSE BILL 1271
	378	+	3.5–802. 26
340	379
341		-
342		-	(II) OTHERWISE REQUIRED T O BE COLLECTED : 1
343		-
344		-	1. AS A CONDITION TO RECEIVE FEDE RAL FUNDS; OR 2
345		-
346		-	2. BY FEDERAL OR STATE LAW; AND 3
347		-
348		-	(2) IN A FORM PRESCRIBED BY THE CHIEF DATA OFFICER, 4
349		-	INCLUDING WHEN THE D ATA IS USED IN ARTIF ICIAL INTELLIGENCE . 5
350		-
351		-	(B) THE DEPARTMENT SHALL DEVE LOP AND PUBLISH GUID ANCE ON THE 6
352		-	POLICIES AND PROCEDURES FOR THE INVENTORY . 7
353		-
354		-	SUBTITLE 8. ARTIFICIAL INTELLIGENCE . 8
355		-
356		-	3.5–801. 9
357		-
358		-	(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 10
359		-	INDICATED. 11
360		-
361		-	(B) (1) “ALGORITHMIC DECISION SYSTEM” MEANS A COMPUTATIONA L 12
362		-	PROCESS THAT FACILIT ATES DECISION MAKI NG. 13
363		-
364		-	(2) “ALGORITHMIC DECISION SYSTEM” INCLUDES DECISIONS 14
365		-	DERIVED FROM MACHINE S, STATISTICS, FACIAL RECOGNITION , AND DECISIONS ON 15
366		-	PAPER. 16
367		-
368		-	(C) “ARTIFICIAL INTELLIGEN CE” MEANS A MACHINE –BASED SYSTEM THAT : 17
369		-
370		-	(1) CAN, FOR A GIVEN SET OF H UMAN–DEFINED OBJECTIVES, MAKE 18
371		-	PREDICTIONS, RECOMMENDATIONS , OR DECISIONS INFLUEN CING REAL OR VIRTUAL 19
372		-	ENVIRONMENTS ; 20
373		-
374		-	(2) USES MACHINE AND HUM AN–BASED INPUTS TO PERC EIVE REAL 21
375		-	AND VIRTUAL ENVIRONM ENTS AND ABSTRACTS T HOSE PERCEPTIONS INT O MODELS 22
376		-	THROUGH ANALYSIS IN AN AUTOMATED MANNER ; AND 23
377		-
378		-	(3) USES MODEL INFERENCE TO FORMULATE OPTIONS FOR 24
379		-	INFORMATION OR ACTIO N. 25
380		-
381		-	(D) “HIGH–RISK” MEANS AN ACT THAT IS LIKELY TO: 26
382		-
383		-	(1) RESULT IN ANY UNLAWF UL DISCRIMINATION ; 27
384		-	HOUSE BILL 1271 9
385		-
386		-
387		-	(2) HAVE AN UNLAWFUL DIS PARATE IMPACT ON ANY INDIVIDUAL OR 1
388		-	GROUP OF INDIVIDUALS O N THE BASIS OF ANY A CTUAL OR PERCEIVED 2
389		-	CHARACTERISTIC ; OR 3
390		-
391		-	(3) HAVE A NEGATIVE IMPA CT ON THE HEALTH , SAFETY, OR 4
392		-	WELL–BEING OF AN INDIVIDU AL. 5
393		-
394		-	(E) “IMPACT ASSESSMENT ” MEANS A DOCUMENTED R ISK–BASED 6
395		-	EVALUATION OF A SYST EM THAT EMPLOYS ARTIFICIAL INTELLIGE NCE. 7
396		-
397		-	(D) (1) “HIGH–RISK ARTIFICIAL INTE LLIGENCE” MEANS ARTIFICIAL 8
398		-	INTELLIGENCE THAT IS A RISK TO INDIVIDUAL S OR COMMUNITIES , AS DEFINED 9
399		-	UNDER REGULATIONS AD OPTED BY THE DEPARTMENT IN CONSULT ATION WITH THE 10
400		-	GOVERNOR’S ARTIFICIAL INTELLIGENCE SUBCABINET. 11
401		-
402		-	(2) “HIGH–RISK ARTIFICIAL INTE LLIGENCE” INCLUDES 12
403		-	RIGHTS–IMPACTING ARTIFICIAL INTELLIGENCE AND SAF ETY–IMPACTING 13
404		-	ARTIFICIAL INTELLIGE NCE. 14
405		-
406		-	(E) “IMPACT ASSESSMENT ” MEANS AN ASSESSMENT OF ARTIFICIAL 15
407		-	INTELLIGENCE SYSTEMS MADE UNDER REGULATIO NS ADOPTED BY THE 16
408		-	DEPARTMENT IN CONSULT ATION WITH THE GOVERNOR’S ARTIFICIAL 17
409		-	INTELLIGENCE SUBCABINET AND REQUIR ED UNDER § 3.5–803 OF THIS SUBTITLE. 18
410		-
411		-	(F) “PUBLIC SENIOR HIGHER EDUCATION INSTITUTIO N” MEANS: 19
412		-
413		-	(1) THE CONSTITUENT INST ITUTIONS OF THE UNIVERSITY SYSTEM 20
414		-	OF MARYLAND AND THE UNIVERSITY OF MARYLAND CENTER FOR 21
415		-	ENVIRONMENTAL SCIENCE; 22
416		-
417		-	(2) MORGAN STATE UNIVERSITY; OR 23
418		-
419		-	(3) ST. MARY’S COLLEGE OF MARYLAND. 24
420		-
421		-	(G) “RIGHTS–IMPACTING ARTIFICIAL INTELLIGENCE ” MEANS ARTIFICIAL 25
422		-	INTELLIGENCE WHOSE O UTPUT SERVES AS A BA SIS FOR DECISION OR ACTION THAT 26
423		-	IS SIGNIFICANTLY LIK ELY TO AFFECT CIVIL RIGHTS, CIVIL LIBERTIES, EQUAL 27
424		-	OPPORTUNITIES , ACCESS TO CRITICAL R ESOURCES, OR PRIVACY. 28
425		-
426		-	(H) “SAFETY–IMPACTING ARTIFICIAL INTELLIGENCE” MEANS ARTIFICIAL 29
427		-	INTELLIGENCE THAT HA S THE POTENTIAL TO S IGNIFICANTLY IMPACT THE SAFETY 30
428		-	OF HUMAN LIFE , WELL–BEING, OR CRITICAL INFRASTR UCTURE. 31
429		-
430		-	3.5–802. 32 10 HOUSE BILL 1271
	380	+	(A) ON OR BEFORE DECEMBER 1, 2024, AND ANNUALLY THEREAF TER, 27
	381	+	EACH UNIT OF STATE GOVERNMENT SHAL L CONDUCT AN INVENTO RY OF SYSTEMS 28
	382	+	THAT EMPLOY ARTIFICI AL INTELLIGENCE . 29 HOUSE BILL 1271 9
431	383
432	384
433	385
434		-	(A) ~~(1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF~~ THIS ~~SUBSECTION ,~~ 1
435		-	~~THIS SUBTITLE DOES N OT APPLY TO~~: 2
	386	+	(B) FOR EACH SYSTEM , THE INVENTORY REQUIR ED BY THIS SECTION S HALL 1
	387	+	INCLUDE: 2
436	388
437		-	(I) THE ~~OFFICE~~ OF THE ~~ATTORNEY GENERAL~~; 3
	389	+	(1) THE NAME OF THE S YSTEM; 3
438	390
439		-	(II) THE ~~COMPTROLLER~~ ; OR 4
	391	+	(2) THE VENDOR THAT PROV IDED THE SYSTEM , IF APPLICABLE; 4
440	392
441		-	(~~III~~) THE ~~STATE TREASURER.~~ 5
	393	+	(3) A DESCRIPTION OF THE CAPABILITIES OF THE SYSTEM; 5
442	394
443		-	(2) ON OR BEFORE JUNE 1, 2025, EACH ENTITY LISTED U NDER 6
444		-	PARAGRAPH (1) OF THIS SUBSECTION S HALL ESTABLISH POLIC IES AND 7
445		-	PROCEDURES THAT ARE FUNCTIONALLY COMPATI BLE WITH THE POLICIE S AND 8
446		-	PROCEDURES ADOPTED U NDER § 3.5–804(A) OF THIS SUBTITLE FOR THE 9
447		-	DEVELOPMENT , PROCUREMENT , DEPLOYMENT , USE, AND ONGOING ASSESSME NT OF 10
448		-	SYSTEMS THAT EMPLOY HIGH–RISK ARTIFICIAL INTE LLIGENCE. 11
	395	+	(4) A STATEMENT OF THE P URPOSE AND THE INTEN DED USES OF THE 6
	396	+	SYSTEM; 7
449	397
450		-	(B) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 12
451		-	THIS SUBTITLE APPLIE S TO EACH PUBLIC SEN IOR HIGHER EDUCATION INSTITUTION 13
452		-	AND BALTIMORE CITY COMMUNITY COLLEGE. 14
	398	+	(5) WHETHER THE SYSTEM U NDERWENT AN IMPACT A SSESSMENT 8
	399	+	PRIOR TO BEING IMPLEMENTED ; 9
453	400
454		-	(2) THIS SUBTITLE DOES NO T APPLY TO ARTIFICIA L INTELLIGENCE 15
455		-	DEPLOYED BY A PUBLIC SENIOR HIGHER EDUCAT ION INSTITUTION OR BALTIMORE 16
456		-	CITY COMMUNITY COLLEGE THAT IS USED SOLELY FOR A RESEARC H OR ACADEMIC 17
457		-	PURPOSE, INCLUDING IN PARTNERSHIP WITH A UNIT OF STATE GOVERNMENT FOR 18
458		-	THE DEVELOPMENT , PROCUREMENT , DEPLOYMENT , OR USE OF ARTIFICIAL 19
459		-	INTELLIGENCE . 20
	401	+	(6) WHETHER THE SYSTEM I S USED TO INDEPENDEN TLY MAKE A 10
	402	+	DECISION OR JUDGMENT OR TO INFORM OR SUPP ORT A DECISION OR JU DGMENT 11
	403	+	DETERMINED BY THE DEPARTMENT TO INVOLVE A HIGH–RISK ACTION; AND 12
460	404
461		-	(3) ON OR BEFORE JUNE 1, 2025, EACH PUBLIC SENIOR H IGHER 21
462		-	EDUCATION INSTITUTIO N AND BALTIMORE CITY COMMUNITY COLLEGE SHALL 22
463		-	ESTABLISH POLICIES AND P ROCEDURES THAT ARE F UNCTIONALLY COMPATIB LE 23
464		-	WITH THE POLICIES AN D PROCEDURES ADOPTED UNDER § 3.5–804(A) OF THIS 24
465		-	SUBTITLE FOR THE DEV ELOPMENT, PROCUREMENT , DEPLOYMENT , USE, AND 25
466		-	ONGOING ASSESSMENT O F SYSTEMS THAT EMPLO Y HIGH–RISK ARTIFICIA L 26
467		-	INTELLIGENCE USED SO LELY FOR A RESEARCH OR ACADEMIC PURPOSE . 27
	405	+	(7) A DETERMINATION OF T HE RISK THAT USE OF A SYSTEM MAY BE 13
	406	+	HIGH–RISK. 14
468	407
469		-	(4) ON OR BEFORE SEPTEMBER 1, 2025, AND EACH YEAR 28
470		-	THEREAFTER , EACH PUBLIC SENIOR H IGHER EDUCATION INST ITUTION AND 29
471		-	BALTIMORE CITY COMMUNITY COLLEGE SHALL SUBMIT TO THE DEPARTMENT A 30
472		-	REPORT ON ALL HIGH–RISK ARTIFICIAL INTE LLIGENCE PROCURED AN D DEPLOYED 31
473		-	FOR A RESEARCH OR AC ADEMIC PURPOSE . 32
	408	+	(C) THE DEPARTMENT SHALL MAKE EACH INVENTORY REQUI RED BY THIS 15
	409	+	SECTION PUBLICLY AVA ILABLE ON ITS WEBSIT E. 16
474	410
475		-	3.5–803. 33
	411	+	(D) ON OR BEFORE FEBRUARY 1, 2025, EACH UNIT OF STATE GOVERNMENT 17
	412	+	SHALL CONDUCT AN IMP ACT ASSESSMENT OF A SYSTEM THA T INVOLVES A 18
	413	+	HIGH–RISK ACTION. 19
	414	+
	415	+	3.5–803. 20
	416	+
	417	+	(A) ON OR BEFORE DECEMBER 1, 2024, THE DEPARTMENT SHALL ADOP T 21
	418	+	POLICIES AND PROCEDU RES CONCERNING THE D EVELOPMENT , PROCUREMENT , 22
	419	+	IMPLEMENTATION , USE, AND ONGOING ASSESSME NT OF SYSTEMS THAT E MPLOY 23
	420	+	ARTIFICIAL INTELLIGENCE BY A UN IT OF STATE GOVERNMENT . 24
	421	+
	422	+	(B) THE POLICIES AND PROC EDURES REQUIRED BY T HIS SECTION SHALL : 25
	423	+
	424	+	(1) SUBJECT TO ANY OTHER APPLICABLE LAW , GOVERN THE 26
	425	+	PROCUREMENT , IMPLEMENTATION , AND ONGOING ASSESSME NT OF SYSTEMS THAT 27
	426	+	EMPLOY ARTIFICIAL IN TELLIGENCE BY A UNIT OF STATE GOVERNMENT ; 28
	427	+	10 HOUSE BILL 1271
	428	+
	429	+
	430	+	(2) BE SUFFICIENT TO ENS URE THAT THE USE OF ANY SYSTEM THAT 1
	431	+	EMPLOYS ARTIFICIAL I NTELLIGENCE BY ANY U NIT OF STATE GOVERNMENT IS N OT 2
	432	+	HIGH–RISK; 3
	433	+
	434	+	(3) REQUIRE EACH UNIT OF STATE GOVERNMENT TO A SSESS THE 4
	435	+	LIKELY IMPACT OF ANY SYSTEM THAT E MPLOYS ARTIFICIAL IN TELLIGENCE BEFORE 5
	436	+	IMPLEMENTING THE SYS TEM; 6
	437	+
	438	+	(4) REQUIRE THE DEPARTMENT TO : 7
	439	+
	440	+	(I) NOTIFY AN INDIVIDUAL OR A GROUP OF INDIVI DUALS 8
	441	+	DETERMINED TO HAVE B EEN NEGATIVELY IMPAC TED BY A SYSTEM THAT EMPLOYS 9
	442	+	ARTIFICIAL INTELLIGENCE; AND 10
	443	+
	444	+	(II) PROVIDE GUIDANCE TO AN INDIVIDUAL OR A G ROUP OF 11
	445	+	INDIVIDUALS DETERMIN ED TO HAVE BEEN NEGA TIVELY IMPACTED BY A SYSTEM 12
	446	+	THAT EMPLOYS ARTIFIC IAL INTELLIGENCE ON AVAILABLE OPTIONS TO OPT OUT OF 13
	447	+	THE SYSTEM; AND 14
	448	+
	449	+	(5) PROVIDE GUIDANCE TO UNITS OF STATE GOVERNMENT ON 15
	450	+	PROCUREMENT OF A SYS TEM THAT EMPLOYS ART IFICIAL INTELLIGENCE THAT 16
	451	+	ENSURES DATA PRIVACY AND COMPLIANCE WITH APPLICABLE STATUTES AND 17
	452	+	REGULATIONS . 18
	453	+
	454	+	(C) THE DEPARTMENT SHALL MAKE THE POLICIES AND PRO CEDURES 19
	455	+	REQUIRED BY THIS SEC TION PUBLICLY AVAILABLE ON ITS WEBSITE. 20
	456	+
	457	+	3.5–804. 21
	458	+
	459	+	BEGINNING JULY 1, 2025, A UNIT OF STATE GOVERNMENT MAY NOT PROCURE 22
	460	+	OR IMPLEMENT A SYSTE M THAT EMPLOYS ARTIF ICIAL INTELLIGENCE U NLESS THE 23
	461	+	SYSTEM COMPLIES WITH THE POLICIES AND PRO CEDURES ADOPTED UNDE R § 24
	462	+	3.5–803 OF THIS SUBTITLE . 25
	463	+
	464	+	3.5–805. 26
	465	+
	466	+	(A) THERE IS A GOVERNOR’S ARTIFICIAL INTELLIGENCE SUBCABINET OF 27
	467	+	THE GOVERNOR’S EXECUTIVE COUNCIL. 28
	468	+
	469	+	(B) THE PURPOSE OF THE SUBCABINET IS TO FACI LITATE AND ENHANCE 29
	470	+	COOPERATION AMONG UN ITS OF STATE GOVERNMENT , IN CONSULTATION WITH 30
	471	+	ACADEMIC INSTITUTION S AND INDUSTRIES UTI LIZING ARTIFICIAL IN TELLIGENCE. 31
476	472		HOUSE BILL 1271 11
477	473
478	474
479		-	(A) ON OR BEFORE DECEMBER 1, 2024 2025, AND ANNUALLY REGULARLY 1
480		-	THEREAFTER , EACH UNIT OF STATE GOVERNMENT SHAL L: 2
	475	+	(C) THE SUBCABINET CONSISTS O F THE FOLLOWING MEMB ERS: 1
481	476
482		-	(1) CONDUCT AN INVENTORY OF SYSTEMS THAT EMPL OY HIGH–RISK 3
483		-	ARTIFICIAL INTELLIGE NCE; AND 4
	477	+	(1) THE SECRETARY, OR THE SECRETARY’S DESIGNEE; 2
484	478
485		-	(2) ~~PROVIDE~~ THE ~~INVENTOR Y TO THE DEPARTMENT IN A FORMA T 5~~
486		-	~~REQUIRED BY THE DEPARTMENT . 6~~
	479	+	(2) THE SECRETARY OF BUDGET AND MANAGEMENT , OR THE 3
	480	+	SECRETARY’S DESIGNEE; 4
487	481
488		-	(B) ~~FOR EACH SYSTEM ,~~ THE ~~INVENTORY REQUIR ED BY THIS SECTION~~ S ~~HALL 7~~
489		-	~~INCLUDE: 8~~
	482	+	(3) THE SECRETARY OF GENERAL SERVICES, OR THE SECRETARY’S 5
	483	+	DESIGNEE; 6
490	484
491		-	(1) THE ~~NAME~~ OF THE ~~SYST EM~~; 9
	485	+	(4) THE SECRETARY OF LABOR, OR THE SECRETARY’S DESIGNEE; 7
492	486
493		-	(2) THE VENDOR THAT PROV IDED THE SYSTEM , IF APPLICABLE; 10
	487	+	(5) THE SECRETARY OF COMMERCE, OR THE SECRETARY’S 8
	488	+	DESIGNEE; 9
494	489
495		-	(3) A DESCRIPTION OF THE CAPABILITIES OF THE SYSTEM; 11
	490	+	(6) THE DIRECTOR OF THE GOVERNOR’S OFFICE OF HOMELAND 10
	491	+	SECURITY, OR THE DIRECTOR’S DESIGNEE; 11
496	492
497		-	(4) ~~A STATEMENT OF~~ THE ~~P URPOSE AND~~ THE ~~INTEN DED USES OF THE~~ 12
498		-	~~SYSTEM~~; 13
	493	+	(7) THE CHIEF PRIVACY OFFICER, OR THE CHIEF PRIVACY 12
	494	+	OFFICER’S DESIGNEE; 13
499	495
500		-	(5) ~~WHETHER~~ THE ~~SYSTEM U NDERWENT AN IMPACT ASSESSMENT~~ 14
501		-	~~PRIOR TO BEING IMPLEMENTED DEPLOYED~~; 15
	496	+	(8) THE CHIEF DATA OFFICER, OR THE CHIEF DATA OFFICER’S 14
	497	+	DESIGNEE; 15
502	498
503		-	(6) WHETHER THE SYSTEM I S USED TO INDEPENDEN TLY MAKE A 16
504		-	DECISION OR JUDGMENT OR TO INFORM OR SUPP ORT A DECISION OR JU DGMENT 17
505		-	DETERMINED BY THE DEPARTMENT TO INVOLVE A HIGH–RISK ACTION HIGH–RISK 18
506		-	ARTIFICIAL INTELLIGENCE ; AND 19
	499	+	(9) THE CHIEF INFORMATION SECURITY OFFICER, OR THE CHIEF 16
	500	+	INFORMATION SECURITY OFFICER’S DESIGNEE; 17
507	501
508		-	(7) ~~A DETERMINATION OF~~ THE ~~RISK THAT USE OF A~~ S ~~YSTEM MAY BE 20~~
509		-	~~HIGH–RISK SUMMARY OF~~ THE ~~RESUL TS OF THE MOST RECEN T IMPACT ASSESSMENT . 21~~
	502	+	(10) THE GOVERNOR’S SENIOR ADVISOR FOR RESPONSIBLE 18
	503	+	ARTIFICIAL INTELLIGENCE , OR THE SENIOR ADVISOR’S DESIGNEE; AND 19
510	504
511		-	(C) THE DEPARTMENT SHALL MAKE EACH INVENTORY REQUI RED BY THIS 22
512		-	SECTION AN AGGREGATED STATEW IDE INVENTORY PUBLICLY AVAILABLE O N ITS 23
513		-	WEBSITE. 24
	505	+	(11) ANY OTHER MEMBER OF THE GOVERNOR’S EXECUTIVE COUNCIL, 20
	506	+	APPOINTED BY THE GOVERNOR. 21
514	507
515		-	(D) (1) THE DEPARTMENT MAY NOT MA KE PUBLICLY AVAILABL E ON THE 25
516		-	DEPARTMENT ’S WEBSITE INFORMATIO N FROM THE INVENTORI ES REQUIRED BY 26
517		-	THIS SECTION THAT RE LATE TO THE SAFETY A ND SECURITY OF STATE SYSTEMS IF 27
518		-	THE PUBLICATION O F THE INFORMATION IS LIKELY TO COMPROMISE THE SECURITY 28
519		-	OR INTEGRITY OF THE SYSTEM. 29
	508	+	(D) THE SECRETARY SHALL CHAIR THE SUBCABINET. 22
	509	+
	510	+	(E) THE SUBCABINET SHALL : 23
	511	+
	512	+	(1) DEVELOP STRATEGY , POLICY, AND MONITORING PROCE SSES FOR 24
	513	+	RESPONSIBLE AND PROD UCTIVE USE OF ARTIFI CIAL INTELLIGENCE AN D 25
	514	+	ASSOCIATED DATA BY U NITS OF STATE GOVERNMENT ; 26
	515	+
	516	+	(2) OVERSEE THE STATE’S IMPLEMENTATION OF : 27
520	517		12 HOUSE BILL 1271
521	518
522	519
523		-	(2) ON REQUEST , THE DEPARTMENT SHALL PROV IDE TO THE 1
524		-	GOVERNOR, MEMBERS OF THE GENERAL ASSEMBLY, AND LAW ENFORCEMENT THE 2
525		-	INFORMATION DESCRIBE D IN PARAGRAPH (1) OF THIS SUBSECTION. 3
	520	+	(I) ARTIFICIAL INTELLIGE NCE INVENTORY ; 1
526	521
527		-	(E) (1) ON OR BEFORE FEBRUARY 1, 2025, DECEMBER 31, 2026, EACH 4
528		-	UNIT OF STATE GOVERNMENT SHAL L CONDUCT AN IMPACT ASSESSMENT OF A 5
529		-	SYSTEM PROCURED ON OR AFTER FEBRUARY 1, 2026, THAT INVOLVES A HIGH–RISK 6
530		-	ACTION HIGH–RISK ARTIFICIAL INTE LLIGENCE. 7
	522	+	(II) DATA INVENTORY ; 2
531	523
532		-	(2) ON OR BEFORE JULY 1, 2027, EACH UNIT OF STATE GOVERNMENT 8
533		-	SHALL CONDUCT AN IMP ACT ASSESSMENT OF A SYSTEM PROCURED BEFO RE 9
534		-	FEBRUARY 1, 2026, THAT INVOLVES HIGH –RISK ARTIFICIAL INTE LLIGENCE. 10
	524	+	(III) ARTIFICIAL INTELLIGE NCE IMPACT ASSESSMEN TS; 3
535	525
536		-	3.5–803. 3.5–804. 11
	526	+	(IV) MONITORING OF ARTIFI CIAL INTELLIGENCE IN VOLVING A 4
	527	+	HIGH–RISK ACTION; AND 5
537	528
538		-	(A) ON OR BEFORE DECEMBER 1, 2024, THE DEPARTMENT, IN 12
539		-	CONSULTATION WITH TH E GOVERNOR’S ARTIFICIAL INTELLIGENCE SUBCABINET, 13
540		-	SHALL ADOPT POLICIES AND PROCEDURES CONCE RNING THE DEVELOPMEN T, 14
541		-	PROCUREMENT , IMPLEMENTATION DEPLOYMENT , USE, AND ONGOING ASSESSME NT 15
542		-	OF SYSTEMS THAT EMPL OY HIGH–RISK ARTIFICIAL INTELLIGENCE BY A UN IT OF 16
543		-	STATE GOVERNMENT . 17
	529	+	(V) COMPLIANCE WITH STATE POLICIES AND PR OCEDURES; 6
544	530
545		-	(B) ~~THE POLICIES~~ AND ~~PROC EDURES REQUIRED BY SUBSECTION (A) OF 18~~
546		-	~~THIS SECTION SHALL~~ : 19
	531	+	(3) SUPPORT ARTIFICIAL I NTELLIGENCE AND DATA INNOVATION 7
	532	+	ACROSS UNITS OF STATE GOVERNMENT AND IN PRIVATE SECTOR EN TERPRISE BY: 8
547	533
548		-	(1) SUBJECT TO ANY OTHER APPLICABLE LAW , GOVERN THE 20
549		-	PROCUREMENT , IMPLEMENTATION DEPLOYMENT , AND ONGOING ASSESSME NT OF 21
550		-	SYSTEMS THAT EMPLOY HIGH–RISK ARTIFICIAL INTELLIGE NCE BY A UNIT OF STATE 22
551		-	GOVERNMENT ; 23
	534	+	(I) IDENTIFYING AND PRIO RITIZING BEST USES O F ARTIFICIAL 9
	535	+	INTELLIGENCE IN EACH UNIT OF STATE GOVERNMENT AND IN PR IVATE SECTOR 10
	536	+	ENTERPRISE; 11
552	537
553		-	(2) BE SUFFICIENT TO ENS URE THAT THE USE OF ANY SYSTEM THAT 24
554		-	EMPLOYS ARTIFICIAL I NTELLIGENCE BY ANY U NIT OF STATE GOVERNMENT IS N OT 25
555		-	HIGH–RISK; 26
	538	+	(II) TESTING PROOFS OF CO NCEPT OF PRIORITY AR TIFICIAL 12
	539	+	INTELLIGENCE USE IN PROTOTYPING ; 13
556	540
557		-	(3) REQUIRE EACH UNIT OF STATE GOVERNMENT TO A SSESS THE 27
558		-	LIKELY IMPACT OF ANY SYSTEM THAT EMPLOYS ARTIFICIAL INTELLIGE NCE BEFORE 28
559		-	IMPLEMENTING THE SYS TEM; 29
	541	+	(III) REDUCING BARRIERS TO THE RESPONSIBLE USE OF 14
	542	+	ARTIFICIAL INTELLIGE NCE AND STATE DATA; 15
560	543
561		-	(2) ~~DEFINE THE CRITERIA FOR AN INVENTORY OF SYSTEMS THAT 30~~
562		-	~~EMPLOY HIGH –RISK~~ ~~ARTIFICIAL INTELLIGENCE~~ ; 31
	544	+	(IV) DEVELOPING SUCCESSFUL ARTIFICIA L INTELLIGENCE 16
	545	+	PILOTS INTO PRODUCTI ON; AND 17
563	546
564		-	(3) BE SUFFICIENT TO ENS URE THAT THE USE OF ANY SYSTEM THAT 32
565		-	EMPLOYS ARTIFICIAL I NTELLIGENCE BY A UNI T OF STATE GOVERNMENT IS 33 HOUSE BILL 1271 13
	547	+	(V) TRAINING AND WORKFOR CE DEVELOPMENT ; 18
	548	+
	549	+	(4) DEVELOP AND IMPLEMEN T A COMPREHENSIVE AC TION PLAN FOR 19
	550	+	RESPONSIBLE AND PROD UCTIVE USE OF ARTIFI CIAL INTELLIGENCE AN D 20
	551	+	ASSOCIATED DATA BY U NITS OF STATE GOVERNMENT ; 21
	552	+
	553	+	(5) ESTABLISH PARTNERSHI PS, MEMORANDA OF UNDERST ANDING, 22
	554	+	AND CONTRACTS TO SUP PORT THE AIMS OF THI S SECTION; 23
	555	+
	556	+	(6) PROMOTE ARTIFICIAL I NTELLIGENCE KNOWLEDG E, SKILLS, AND 24
	557	+	TALENT IN STATE GOVERNMENT BY : 25
	558	+
	559	+	(I) IDENTIFYING AND OFFE RING TRAINING PROGRAMS FO R 26
	560	+	STATE WORKERS ON THE USE OF ARTIFICIAL IN TELLIGENCE AND PARTI CULARLY 27
	561	+	GENERATIVE ARTIFICIA L INTELLIGENCE ; AND 28
	562	+	HOUSE BILL 1271 13
566	563
567	564
568		-	GOVERNED BY ADEQUATE GUARDRAILS TO PROTEC T INDIVIDUALS AND 1
569		-	COMMUNITIES ; 2
	565	+	(II) EXPLORING WAYS TO PR OVIDE EXTERNAL ARTIF ICIAL 1
	566	+	INTELLIGENCE TALENT AN OPPORTUNITY TO SE RVE THE STATE AND UNITS OF 2
	567	+	STATE GOVERNMENT IN TAR GETED, SHORT–TERM PROJECTS , INCLUDING BY 3
	568	+	LEVERAGING INSTITUTI ONS OF HIGHER EDUCAT ION OR INDUSTRY ; AND 4
570	569
571		-	(4) IF THE DEPARTMENT IS NOTIFIE D THAT AN INDIVIDUAL OR 3
572		-	GROUP OF INDIVIDUALS MAY HAVE BEEN NEGATI VELY IMPACTED BY A S YSTEM THAT 4
573		-	EMPLOYS HIGH –RISK ARTIFICIAL INTE LLIGENCE, REQUIRE THE DEPARTMENT TO : 5
	570	+	(7) IDENTIFY ARTIFICIAL INTELLIGENCE USE CAS ES AND BUILD 5
	571	+	FOUNDATIONAL INFRAST RUCTURE BY REQUIRING : 6
574	572
575		-	(I) ~~NOTIFY AN INDIVIDUAL OR A GROUP OF INDIVI DUALS 6~~
576		-	~~DETERMINED~~ TO ~~HAVE B EEN NEGATIVELY IMPAC TED BY A SYSTEM THAT EMP LOYS 7~~
577		-	~~ARTIFICIAL INTELLIGE NCE;~~ AND 8
	573	+	(I) THE DEPARTMENT TO EVALUA TE RELEVANT 7
	574	+	INFRASTRUCTURE TO SA FELY, SECURELY, AND EFFICIENTLY TEST ARTIFICIAL 8
	575	+	INTELLIGENCE PROOFS OF CONCEPT AND PILOT S; 9
578	576
579		-	(II) ~~PROVIDE GUIDANCE TO AN INDIVIDUAL OR A G ROUP~~ OF 9
580		-	~~INDIVIDUALS DETERMIN ED~~ TO ~~HAVE BEEN NEGA TIVELY IMPACTE D BY~~ A ~~SYSTEM 10~~
581		-	~~THAT EMPLOYS~~ ARTIFIC IAL INTELLIGENCE ~~ON AVAILABLE OPTIONS TO OPT OUT~~ OF 11
582		-	~~THE SYSTEM~~; AND 12
	577	+	(II) THE DEPARTMENT OF GENERAL SERVICES, IN 10
	578	+	CONSULTATION WITH TH E DEPARTMENT , TO CREATE A MODEL FO R RUNNING AND 11
	579	+	PROCURING ARTIFIC IAL INTELLIGENCE PRO OFS OF CONCEPT AND P ILOTS, IN 12
	580	+	ACCORDANCE WITH STATE LAWS, REGULATIONS , AND POLICIES; AND 13
583	581
584		-	(5) ~~PROVIDE GUIDANCE TO UNITS OF STATE GOVERNMENT ON 13~~
585		-	~~PROCUREMENT OF~~ A ~~SYS TEM THAT EMPLOYS HIGH–RISK ARTIFICIAL INTELLIGE NCE 14~~
586		-	~~THAT ENSURES DATA PR IVACY~~ AND ~~COMPLIANCE WITH APPLICABLE STATUTES~~ AND 15
587		-	~~REGULATIONS~~ . 16
	582	+	(III) THE DEPARTMENT , IN CONSULTATION WITH THE 14
	583	+	SUBCABINET, TO COORDINATE WITH A GENCIES TO PROVIDE S UPPORT IN 15
	584	+	IDENTIFYING AND PRIO RITIZING USE CASES AND EXECUTING P ROOFS OF CONCEPT 16
	585	+	AND PILOTS ALIGNED W ITH THE GOVERNOR’S PRIORITIES. 17
588	586
589		-	(C) THE DEPARTMENT SHALL MAKE THE POLICIES AND PRO CEDURES 17
590		-	REQUIRED BY SUBSECTION (A) OF THIS SECTION PUBLICL Y AVAILABLE ON ITS 18
591		-	WEBSITE WITHIN 45 DAYS AFTER THE POLIC IES AND PROCEDURES A RE ADOPTED. 19
	587	+	(F) THE GOVERNOR SHALL PROVID E THE SUBCABINET WITH SUFFI CIENT 18
	588	+	RESOURCES TO PERFORM THE FUNCTIONS OF THI S SECTION. 19
592	589
593		-	3.5–804. 3.5–805. 20
	590	+	(G) FOR EACH FISCAL YEAR , THE GOVERNOR MAY INCLUDE IN THE ANNUAL 20
	591	+	BUDGET BILL AN APPRO PRIATION OF UP TO $3,000,000 FOR PARTNERSHIPS AND 21
	592	+	CONTRACTS TO SUPPORT THE FUNCTIONS REQUIR ED IN THIS SECTION. 22
594	593
595		-	(A) BEGINNING JULY 1, 2025, A UNIT OF STATE GOVERNMENT MAY NOT 21
596		-	PROCURE OR IMPLEMENT A DEPLOY A NEW SYSTEM THAT EMPLOYS ARTIFICIAL 22
597		-	INTELLIGENCE UNLESS THE SYSTEM COMPLIES WITH THE POLICIES AN D 23
598		-	PROCEDURES ADOPTED U NDER § 3.5–803 3.5–804 OF THIS SUBTITLE. 24
	594	+	12–101. 23
599	595
600		-	(B) A UNIT OF STATE GOVERNMENT THAT EMPLOYS HIGH –RISK ARTIFICIAL 25
601		-	INTELLIGENCE SHALL C ONDUCT REGULAR IMPAC T ASSESSMENTS , AS DETERMINED 26
602		-	BY THE GOVERNOR’S ARTIFICIAL INTELLIGENCE SUBCABINET OF THE 27
603		-	GOVERNOR’S EXECUTIVE COUNCIL. 28
	596	+	(a) This section does not apply to: 24
604	597
605		-	3.5–805. 3.5–806. 29
	598	+	(1) capital expenditures by the Department of Transportation or the 25
	599	+	Maryland Transportation Authority, in connection with State roads, bridges, or highways, 26
	600	+	as provided in § 12–202 of this title; [or] 27
606	601
607		-	(A) THERE IS A GOVERNOR’S ARTIFICIAL INTELLIGENCE SUBCABINET OF 30
608		-	THE GOVERNOR’S EXECUTIVE COUNCIL. 31
609		-	14 HOUSE BILL 1271
	602	+	(2) procurements by the Department of General Services AND THE 28
	603	+	DEPARTMENT OF INFORMATION TECHNOLOGY for the purpose of modernizing 29
	604	+	INFORMATION TECHNOLO GY AND cybersecurity infrastructure for the State valued 30
	605	+	below $1,000,000; OR 31
610	606
611		-
612		-	(B) THE PURPOSE OF THE SUBCABINET IS TO FACI LITATE AND ENHANCE 1
613		-	COOPERATION AMONG UN ITS OF STATE GOVERNMENT , IN CONSULTATION WITH 2
614		-	ACADEMIC INSTITU TIONS AND INDUSTRIES UTILIZING ARTIFICIAL INTELLIGENCE . 3
615		-
616		-	(C) THE SUBCABINET CONSISTS O F THE FOLLOWING MEMB ERS: 4
617		-
618		-	(1) THE SECRETARY, OR THE SECRETARY’S DESIGNEE; 5
619		-
620		-	(2) THE SECRETARY OF BUDGET AND MANAGEMENT , OR THE 6
621		-	SECRETARY’S DESIGNEE; 7
622		-
623		-	(3) THE SECRETARY OF GENERAL SERVICES, OR THE SECRETARY’S 8
624		-	DESIGNEE; 9
625		-
626		-	(4) THE SECRETARY OF LABOR, OR THE SECRETARY’S DESIGNEE; 10
627		-
628		-	(5) THE SECRETARY OF COMMERCE, OR THE SECRETARY’S 11
629		-	DESIGNEE; 12
630		-
631		-	(6) THE DIRECTOR OF THE GOVERNOR’S OFFICE OF HOMELAND 13
632		-	SECURITY, OR THE DIRECTOR’S DESIGNEE; 14
633		-
634		-	(7) THE CHIEF PRIVACY OFFICER, OR THE CHIEF PRIVACY 15
635		-	OFFICER’S DESIGNEE; 16
636		-
637		-	(8) THE CHIEF DATA OFFICER, OR THE CHIEF DATA OFFICER’S 17
638		-	DESIGNEE; 18
639		-
640		-	(9) THE CHIEF INFORMATION SECURITY OFFICER, OR THE CHIEF 19
641		-	INFORMATION SECURITY OFFICER’S DESIGNEE; 20
642		-
643		-	(10) THE GOVERNOR’S SENIOR ADVISOR FOR RESPONSIBLE 21
644		-	ARTIFICIAL INTELLIGENCE , OR THE SENIOR ADVISOR’S DESIGNEE; AND 22
645		-
646		-	(11) ANY OTHER MEMBER OF THE GOVERNOR’S EXECUTIVE COUNCIL, 23
647		-	APPOINTED BY THE GOVERNOR. 24
648		-
649		-	(D) THE SECRETARY SHALL CHAI R THE SUBCABINET. 25
650		-
651		-	(E) THE SUBCABINET SHALL : 26
652		-
653		-	(1) DEVELOP STRATEGY , POLICY, AND MONITORING PROCE SSES FOR 27
654		-	RESPONSIBLE AND PROD UCTIVE USE OF ARTIFI CIAL INTELLIGENCE AN D 28
655		-	ASSOCIATED DATA BY U NITS OF STATE GOVERNMENT ; 29
656		-	HOUSE BILL 1271 15
657		-
658		-
659		-	(2) OVERSEE THE STATE’S IMPLEMENTATIO N OF: 1
660		-
661		-	(I) ARTIFICIAL INTELLIGE NCE INVENTORY ; 2
662		-
663		-	(II) DATA INVENTORY ; 3
664		-
665		-	(III) ARTIFICIAL INTELLIGE NCE IMPACT ASSESSMEN TS; 4
666		-
667		-	(IV) MONITORING OF ARTIFI CIAL INTELLIGENCE IN VOLVING A 5
668		-	HIGH–RISK ACTION; AND 6
669		-
670		-	(III) MONITORING OF HIGH –RISK ARTIFICIAL INTELLIGENCE ; 7
671		-	AND 8
672		-
673		-	(V) (IV) COMPLIANCE WITH STATE POLICIES AND 9
674		-	PROCEDURES ; 10
675		-
676		-	(3) SUPPORT ARTIFICIAL I NTELLIGENCE AND DATA INNOVATION 11
677		-	ACROSS UNITS OF STATE GOVERNMENT AND IN PRIVATE SECTO R ENTERPRISE BY :; 12
678		-
679		-	(I) IDENTIFYING AND PRIO RITIZING BEST USES OF ARTIFICIAL 13
680		-	INTELLIGENCE IN EACH UNIT OF STATE GOVERNMENT AND IN PRIVATE SECTOR 14
681		-	ENTERPRISE; 15
682		-
683		-	(II) TESTING PROOFS OF CO NCEPT OF PRIORITY AR TIFICIAL 16
684		-	INTELLIGENCE USE IN PROTOTYPING ; 17
685		-
686		-	(III) REDUCING BARRIERS TO THE RESPONSIBLE USE OF 18
687		-	ARTIFICIAL INTEL LIGENCE AND STATE DATA; 19
688		-
689		-	(IV) DEVELOPING SUCCESSFU L ARTIFICIAL INTELLI GENCE 20
690		-	PILOTS INTO PRODUCTI ON; AND 21
691		-
692		-	(V) TRAINING AND WORKFOR CE DEVELOPMENT ; 22
693		-
694		-	(4) DEVELOP AND IMPLEMEN T A COMPREHENSIVE AC TION PLAN FOR 23
695		-	RESPONSIBLE AND PROD UCTIVE USE OF ARTIFI CIAL INTELLIGENCE AND 24
696		-	ASSOCIATED DATA BY U NITS OF STATE GOVERNMENT ; 25
697		-
698		-	(5) ESTABLISH PARTNERSHI PS, MEMORANDA OF UNDERST ANDING, 26
699		-	AND CONTRACTS TO SUP PORT THE AIMS OF THI S SECTION; 27
700		-
701		-	(6) PROMOTE ARTIFICIAL I NTELLIGENCE KNOWLEDG E, SKILLS, AND 28
702		-	TALENT IN STATE GOVERNMENT BY: 29
703		-	16 HOUSE BILL 1271
704		-
705		-
706		-	(I) IDENTIFYING AND OFFE RING TRAINING PROGRA MS FOR 1
707		-	STATE WORKERS ON THE USE OF ARTIFICIAL IN TELLIGENCE AND PARTI CULARLY 2
708		-	GENERATIVE ARTIFICIA L INTELLIGENCE ; AND 3
709		-
710		-	(II) EXPLORING WAYS TO PR OVIDE EXTERNAL ARTIF ICIAL 4
711		-	INTELLIGENCE TALENT AN OPPORTUNITY TO SE RVE THE STATE AND UNITS OF 5
712		-	STATE GOVERNMENT IN T ARGETED, SHORT–TERM PROJECTS , INCLUDING BY 6
713		-	LEVERAGING INSTITUTI ONS OF HIGHER EDUCAT ION OR INDUSTRY ; AND 7
714		-
715		-	(7) IDENTIFY ARTIFICIAL INTELLIGE NCE USE CASES AND BU ILD 8
716		-	FOUNDATIONAL INFRAST RUCTURE BY REQUIRING : 9
717		-
718		-	(I) THE DEPARTMENT TO EVALUAT E RELEVANT 10
719		-	INFRASTRUCTURE TO SA FELY, SECURELY, AND EFFICIENTLY TEST ARTIFICIAL 11
720		-	INTELLIGENCE PROOFS OF CONCEPT AND PILOT S; 12
721		-
722		-	(II) THE DEPARTMENT OF GENERAL SERVICES, IN 13
723		-	CONSULTATION WITH TH E DEPARTMENT , TO CREATE A MODEL FO R RUNNING AND 14
724		-	PROCURING ARTIFICIAL INTELLIGENCE PROOFS OF CONCEPT AND PILOT S, IN 15
725		-	ACCORDANCE WITH STATE LAWS, REGULATIONS , AND POLICIES; AND 16
726		-
727		-	(III) THE DEPARTMENT , IN CONSULTATION WITH TH E 17
728		-	SUBCABINET, TO COORDINATE WITH A GENCIES TO PROVIDE S UPPORT IN 18
729		-	IDENTIFYING AND PRIO RITIZING USE CASES A ND EXECUTING PROOFS OF CONCEPT 19
730		-	AND PILOTS ALIGNED W ITH THE GOVERNOR’S PRIORITIES. 20
731		-
732		-	(F) THE GOVERNOR SHALL PROVID E THE SUBCABINET W ITH SUFFICIENT 21
733		-	RESOURCES TO PERFORM THE FUNCTIONS OF THI S SECTION. 22
734		-
735		-	(G) FOR EACH FISCAL YEAR , THE GOVERNOR MAY INCLUDE IN THE ANNUAL 23
736		-	BUDGET BILL AN APPRO PRIATION OF UP TO $3,000,000 FOR PARTNERSHIPS AND 24
737		-	CONTRACTS TO SUPPORT THE FUNCTIONS REQUIR ED IN THIS SECTION. 25
738		-
739		-	12–101. 26
740		-
741		-	(a) This section does not apply to: 27
742		-
743		-	(1) capital expenditures by the Department of Transportation or the 28
744		-	Maryland Transportation Authority, in connection with State roads, bridges, or highways, 29
745		-	as provided in § 12–202 of this title; [or] 30
746		-
747		-	(2) procurements by the Department of General Services AND THE 31
748		-	DEPARTMENT OF INFORMATION TECHNOLOGY for the purpose of modernizing 32 HOUSE BILL 1271 17
749		-
750		-
751		-	INFORMATION TECHNOLO GY AND cybersecurity infrastructure for the State valued 1
752		-	below $1,000,000; OR 2
753		-
754		-	(3) COMPETITIVE P ROOF OF CONCEPT PROC UREMENTS VALUED 3
755		-	BELOW $1,000,000 MADE UNDER § 13–116 OF THIS ARTICLE . 4
756		-
757		-	(b) (1) The Board may control procurement by units. 5
758		-
759		-	(2) To implement the provisions of this Division II, the Board may: 6
760		-
761		-	(i) set policy; 7
762		-
763		-	(ii) adopt regulations, in accordance with Title 10, Subtitle 1 of the 8
764		-	State Government Article; and 9
765		-
766		-	(iii) establish internal operational procedures consistent with this 10
767		-	Division II. 11
768		-
769		-	(3) The Board shall ensure that the regulations of the primary 12
770		-	procurement units provide for procedures that are consistent with this Division II and Title 13
771		-	13, Subtitle 4 of the State Personnel and Pensions Article and, to the extent the 14
772		-	circumstances of a particular type of procurement or a particular unit do not require 15
773		-	otherwise, are substantially the same. 16
774		-
775		-	(4) The Board may delegate any of its authority that it determines to be 17
776		-	appropriate for delegation and may require prior Board approval for specified procurement 18
777		-	actions. 19
778		-
779		-	(5) Except as limited by the Maryland Constitution, the Board may 20
780		-	exercise any control authority conferred on a primary procurement unit by this Division II 21
781		-	and, to the extent that its action conflicts with the action of the primary procurement unit, 22
782		-	the action of the Board shall prevail. 23
783		-
784		-	(c) On or before December 1 each year, the Department of General Services shall 24
785		-	submit a report to the Board on procurements made under subsection (a)(2) of this section 25
786		-	that shall include for each procurement: 26
787		-
788		-	(1) the purpose of the procurement; 27
789		-
790		-	(2) the name of the contractor; 28
791		-
792		-	(3) the contract amount; 29
793		-
794		-	(4) the method of procurement utilized; 30
795		-
796		-	(5) the number of bidders who bid on the procurement; and 31
797		-	18 HOUSE BILL 1271
798		-
799		-
800		-	(6) the contract term. 1
801		-
802		-	(D) ON OR BEFORE DECEMBER 1 EACH YEAR, THE DEPARTMENT OF 2
803		-	GENERAL SERVICES SHALL SUBMIT A REPORT TO T HE BOARD ON PROCUREMENTS 3
804		-	MADE UNDER SUBSECTIO N (A)(3) OF THIS SECTION THAT SHALL INCLUDE FOR EA CH 4
805		-	PROCUREMENT : 5
806		-
807		-	(1) THE PURPOSE OF THE P ROCUREMENT ; 6
808		-
809		-	(2) THE NAME OF THE CONT RACTOR; 7
810		-
811		-	(3) THE CONTRACT AMOUNT ; 8
812		-
813		-	(4) THE NUMBER OF P ROPOSALS RECEIVED ON THE PROCUREMENT ; 9
814		-	AND 10
815		-
816		-	(5) THE CONTRACT TERM . 11
817		-
818		-	13–116. 12
819		-
820		-	(A) IN THIS SECTION, “PROOF OF CONCEPT ” MEANS A TEST, EVALUATION, 13
821		-	DEMONSTRATION , OR PILOT PROJECT OF A GOOD OR SERVICE GOOD, SERVICE, OR 14
822		-	TECHNOLOGY IN A REAL–WORLD ENVIRONMENT TO EVALUATE WHETHER THE GOOD 15
823		-	OR SERVICE GOOD, SERVICE, OR TECHNOLOGY CAN BE SUCCESSFULLY DEPLOYED 16
824		-	AND IS BENEFICIAL TO THE STATE. 17
825		-
826		-	(B) (1) A COMPETITIVE PROOF OF CONCEPT PROCUREMENT IS A FORMAL 18
827		-	COMPETITIVE PROCUREM ENT METHOD TH AT MAY BE USED TO SO LICIT PROPOSALS 19
828		-	FOR THE CONDUCT OF A PROOF OF CONCEPT PRI OR TO FULL IMPLEMENT ATION 20
829		-	WHEN THE HEAD OF A U NIT DETERMINES THE P ROCESS TO BE APPROPR IATE AND IN 21
830		-	THE BEST INTERESTS O F THE UNIT, INCLUDING: 22
831		-
832		-	(I) TESTING SOFTWARE –AS–A–SERVICE OR OFF–THE–SHELF 23
833		-	SOFTWARE; 24
834		-
835		-	(II) TESTING NEW, INNOVATIVE PRODUCTS OR SERVICES; OR 25
836		-
837		-	(III) TESTING A PRODUCT OR SERVICE CONCEPTUALIZ ED OR 26
838		-	CONCEIVED OF BY A UN IT OF STATE GOVERNMENT . 27
839		-
840		-	(2) (I) AFTER OBTAINING THE A PPROVAL OF THE HEAD OF THE 28
841		-	UNIT AND BEFORE COND UCTING A COMPETITIVE PROOF OF CONCEPT 29
842		-	PROCUREMENT , THE UNIT SHALL OBTAI N APPROVAL FROM THE SECRETARY OF 30
843		-	INFORMATION TECHNOLOGY , OR THE SECRETARY’S DESIGNEE. 31 HOUSE BILL 1271 19
	607	+	(3) COMPETITIVE PROOF OF CONCEPT PROCUREMENTS VALUED 32
	608	+	BELOW $1,000,000 MADE UNDER § 13–116 OF THIS ARTICLE . 33 14 HOUSE BILL 1271
844	609
845	610
846	611
847		-	(II) THE SECRETARY OF INFORMATION TECHNOLOGY MAY 1
848		-	GRANT APPROVAL FOR A COMPETITIVE PROOF OF CONCEPT PROCUREMENT IF THE 2
849		-	UNIT: 3
	612	+	(b) (1) The Board may control procurement by units. 1
850	613
851		-	1. HAS SUFFICIENT INTER NAL RESOURCES TO MAN AGE 4
852		-	THE PROOF OF CONCEPT , INCLUDING HUMAN CAPI TAL, SUBJECT MATTER 5
853		-	EXPERTISE, AND TECHNOLOGICAL IN FRASTRUCTURE , OR HAS THE MEANS TO 6
854		-	OBTAIN THESE RESOURC ES; AND 7
	614	+	(2) To implement the provisions of this Division II, the Board may: 2
855	615
856		-	2. ENTERS INTO A MEMORA NDUM OF UNDERSTANDIN G 8
857		-	WITH THE DEPARTMENT OF INFORMATION TECHNOLOGY THAT REQUI RES 9
858		-	REGULAR STATUS UPDAT ES, VENDOR CAPACITY , AND ANY OTHER INFORM ATION 10
859		-	NECESSARY FOR THE DEPARTMENT OF INFORMATION TECHNOLOGY TO EVALUAT E 11
860		-	WHETHER THE PROOF OF CONCEPT CAN BE SUCCE SSFULLY DEPLOYED AND IS 12
861		-	BENEFICIAL TO THE STATE. 13
	616	+	(i) set policy; 3
862	617
863		-	(C) (1) A COMPETITIVE PROOF OF CONCEPT PROCUREMENT MAY BE 14
864		-	CONDUCTED THROUGH TH E ISSUANCE OF A SOLI CITATION BY ANY METH OD OF 15
865		-	PROCUREMENT AUTHORIZE D UNDER THIS DIVISION II. 16
	618	+	(ii) adopt regulations, in accordance with Title 10, Subtitle 1 of the 4
	619	+	State Government Article; and 5
866	620
867		-	(2) ~~A COMPETITIVE PROOF OF CONCEPT PROCUREMENT 17~~
868		-	~~SOLICITATION SHALL I NCLUDE A STATEMENT O F: 18~~
	621	+	(iii) establish internal operational procedures consistent with this 6
	622	+	Division II. 7
869	623
870		-	(I) THE SCOPE OF WORK OR PROJECT DESCRIPTION , 19
871		-	INCLUDING THE INTEND ED USE, QUANTITY, ESTIMATED TIME FRAME FOR THE 20
872		-	PROOF OF CONCEPT , AND ANTICIPATED NUMB ER OF PROOF OF CONCE PT AWARDS 21
873		-	THAT WILL BE MADE ; AND 22
	624	+	(3) The Board shall ensure that the regulations of the primary 8
	625	+	procurement units provide for procedures that are consistent with this Division II and Title 9
	626	+	13, Subtitle 4 of the State Personnel and Pensions Article and, to the extent the 10
	627	+	circumstances of a particular type of procurement or a particular unit do not require 11
	628	+	otherwise, are substantially the same. 12
874	629
875		-	(II) THE FACTORS , INCLUDING PRICE , THAT WILL BE USED IN 23
876		-	EVALUATING PROPOSALS AND THE RELATIVE IMP ORTANCE OF EACH . 24
	630	+	(4) The Board may delegate any of its authority that it determines to be 13
	631	+	appropriate for delegation and may require prior Board approval for specified procurement 14
	632	+	actions. 15
877	633
878		-	(3) A SOLICITATION MAY BE DISTRIBUTED TO VE NDORS KNOWN TO 25
879		-	OFFER GOODS OR SERVI CES WITHIN THE SCOPE OF THE PROOF OF CONC EPT AND 26
880		-	SHALL, EXCEPT FOR PROCUREME NTS UNDER $15,000 NOT OTHERWISE REQUIR ED 27
881		-	BY LAW TO BE POSTED , BE POSTED ON EMARYLAND MARKETPLACE ADVANTAGE, IN 28
882		-	ACCORDANCE WITH THE POLICIES AND P ROCEDURES UNDER SUBS ECTION (G) OF 29
883		-	THIS SECTION. 30
	634	+	(5) Except as limited by the Maryland Constitution, the Board may 16
	635	+	exercise any control authority conferred on a primary procurement unit by this Division II 17
	636	+	and, to the extent that its action conflicts with the action of the primary procurement unit, 18
	637	+	the action of the Board shall prevail. 19
884	638
885		-	(D) AFTER RECEIPT OF PROP OSALS BUT BEFORE AWA RD OF A 31
886		-	PROCUREMENT CONTRACT , A UNIT MAY: 32
	639	+	(c) On or before December 1 each year, the Department of General Services shall 20
	640	+	submit a report to the Board on procurements made under subsection (a)(2) of this section 21
	641	+	that shall include for each procurement: 22
887	642
888		-	(1) CONDUCT DISCUSSIONS WITH AN OFFEROR TO E NSURE FULL 33
889		-	UNDERSTANDING OF : 34 20 HOUSE BILL 1271
	643	+	(1) the purpose of the procurement; 23
	644	+
	645	+	(2) the name of the contractor; 24
	646	+
	647	+	(3) the contract amount; 25
	648	+
	649	+	(4) the method of procurement utilized; 26
	650	+
	651	+	(5) the number of bidders who bid on the procurement; and 27
	652	+
	653	+	(6) the contract term. 28
	654	+
	655	+	(D) ON OR BEFORE DECEMBER 1 EACH YEAR, THE DEPARTMENT OF 29
	656	+	GENERAL SERVICES SHALL SUBMIT A REPORT TO THE BOARD ON PROCUREMENTS 30 HOUSE BILL 1271 15
	657	+
	658	+
	659	+	MADE UNDER SUBSECTION (A)(3) OF THIS SECTION THAT SHALL INCLUDE FOR EA CH 1
	660	+	PROCUREMENT : 2
	661	+
	662	+	(1) THE PURPOSE OF THE P ROCUREMENT ; 3
	663	+
	664	+	(2) THE NAME OF THE CONT RACTOR; 4
	665	+
	666	+	(3) THE CONTRACT AMOUNT ; 5
	667	+
	668	+	(4) THE NUMBER OF PROPOS ALS RECEIVED ON THE PROCUREMENT ; 6
	669	+	AND 7
	670	+
	671	+	(5) THE CONTRACT TERM. 8
	672	+
	673	+	13–116. 9
	674	+
	675	+	(A) IN THIS SECTION, “PROOF OF CONCEPT ” MEANS A TEST, EVALUATION, 10
	676	+	OR PILOT PROJECT OF A GOOD OR SERVICE IN A REAL–WORLD ENVIRONMENT TO 11
	677	+	EVALUATE WHETHER THE GOOD OR SERVICE CAN BE SUCCESSFULLY DEPL OYED 12
	678	+	AND IS BENEFICIAL TO THE STATE. 13
	679	+
	680	+	(B) (1) A COMPETITIVE PROOF OF CONCEPT PROCUREMENT IS A FORMAL 14
	681	+	COMPETITIVE PROCUREM ENT METHOD THAT MAY BE USED TO SOLICIT P ROPOSALS 15
	682	+	FOR THE CONDUCT OF A PROOF OF CONCEPT PRI OR TO FULL IMPLEMENT ATION 16
	683	+	WHEN THE HEAD OF A U NIT DETERMINES THE P ROCESS TO BE APP ROPRIATE AND IN 17
	684	+	THE BEST INTERESTS O F THE UNIT, INCLUDING: 18
	685	+
	686	+	(I) TESTING SOFTWARE –AS–A–SERVICE OR OFF –THE–SHELF 19
	687	+	SOFTWARE; 20
	688	+
	689	+	(II) TESTING NEW, INNOVATIVE PRODUCTS OR SERVICES; OR 21
	690	+
	691	+	(III) TESTING A PRODUCT OR SERVICE CONCEPTUALIZ ED OR 22
	692	+	CONCEIVED OF BY A UNIT OF STATE GOVERNMENT . 23
	693	+
	694	+	(2) AFTER OBTAINING THE A PPROVAL OF THE HEAD OF THE UNIT 24
	695	+	AND BEFORE CONDUCTIN G A COMPETITIVE PROO F OF CONCEPT PROCURE MENT, 25
	696	+	THE UNIT SHALL OBTAI N APPROVAL FROM THE SECRETARY OF INFORMATION 26
	697	+	TECHNOLOGY , OR THE SECRETARY’S DESIGNEE. 27
	698	+
	699	+	(C) (1) A COMPETITIVE PROOF OF CONCEPT PROCUREMENT MAY BE 28
	700	+	CONDUCTED THROUGH TH E ISSUANCE OF A SOLI CITATION BY ANY METH OD OF 29
	701	+	PROCUREMENT AUTHORIZ ED UNDER THIS DIVISION II. 30 16 HOUSE BILL 1271
890	702
891	703
892	704
893		-	(I) ~~THE REQUIREMENTS~~ OF ~~THE UNIT, AS SET FORTH IN THE~~ 1
894		-	~~REQUEST FOR PROPOSAL S;~~ ~~AND~~ 2
	705	+	(2) A COMPETITIVE PROOF OF CONCEPT PROCUREMENT 1
	706	+	SOLICITATION SHALL I NCLUDE A STATEMENT OF : 2
895	707
896		-	(II) THE PROPOSAL SUBMITT ED BY THE OFFEROR ; AND 3
	708	+	(I) THE SCOPE OF WORK OR PROJECT DESCRIPTION , 3
	709	+	INCLUDING THE INTEND ED USE, QUANTITY, ESTIMATED TIME FRAME FOR THE 4
	710	+	PROOF OF CONCEPT , AND ANTICIPATED NUMB ER OF PROOF OF CONCE PT AWARDS 5
	711	+	THAT WILL BE MADE ; AND 6
897	712
898		-	(2) REQUEST PRODUCT SAMP LES FOR TESTING BY T HE UNIT OR A 4
899		-	DEMONSTRATION OF A P RODUCT OR SERVICE AN D USE THESE SAMPLES OR 5
900		-	DEMONSTRATIONS IN IT S EVALUATION PROCESS. 6
	713	+	(II) THE FACTORS , INCLUDING PRICE, THAT WILL BE USED IN 7
	714	+	EVALUATING PROPOSALS AND THE RELATIVE IMP ORTANCE OF EACH . 8
901	715
902		-	(E) A REQUEST FOR PRODUCT SAMPLES FOR TESTING OR DEMONSTRATION 7
903		-	MADE UNDER SUBSECTIO N (D)(2) OF THIS SECTION SHAL L BE ISSUED TO ALL 8
904		-	OFFERORS DEEMED REAS ONABLE AT THE TIME O F THE REQUEST . 9
	716	+	(3) A SOLICITATION MAY BE DISTRIBUTED TO VENDO RS KNOWN TO 9
	717	+	OFFER GOODS OR SERVI CES WITHIN THE SCOPE OF THE PROOF OF CONC EPT AND 10
	718	+	SHALL, EXCEPT FOR PROCUREME NTS UNDER $15,000 NOT OTHERWISE REQUIR ED 11
	719	+	BY LAW TO BE POSTED , BE POSTED ON EMARYLAND MARKETPLACE ADVANTAGE, IN 12
	720	+	ACCORDANCE WITH THE POLICIES AND PROCEDU RES UNDER SUBSECTION (G) OF 13
	721	+	THIS SECTION. 14
905	722
906		-	(F) A UNIT MAY: 10
	723	+	(D) AFTER RECEIPT OF PROP OSALS BUT BEFORE AWA RD OF A 15
	724	+	PROCUREMENT CONTRACT , A UNIT MAY: 16
907	725
908		-	(1) ~~AWARD ONE OR MORE OF THE PROPOSAL S A CONTRACT FOR THE 11~~
909		-	~~PROOF~~ OF ~~CONCEPT ; AND 12~~
	726	+	(1) CONDUCT DISCUSSIONS WITH AN OFFEROR TO E NSURE FULL 17
	727	+	UNDERSTANDING OF : 18
910	728
911		-	(2) ~~PROVIDE AN OPTION FO R~~ THE ~~STATE TO PROCEED WITH A FULL 13~~
912		-	~~IMPLEMENTATION OF AN AWARDED~~ PROPOSAL ~~. 14~~
	729	+	(I) THE REQUIREMENTS OF THE UNIT, AS SET FORTH IN THE 19
	730	+	REQUEST FOR PROPOSAL S; AND 20
913	731
914		-	(G) A VENDOR AWARDED A PRO OF OF CONCEPT PROCUR EMENT SHALL BE 15
915		-	ELIGIBLE TO BID ON A PROCUREMENT TO IMPLE MENT A PROPOSAL RELATED TO 16
916		-	THE PROOF OF CONCEPT PROCUREMENT . 17
	732	+	(II) THE PROPOSAL SUBMITT ED BY THE OFFEROR ; AND 21
917	733
918		-	(H) THE DEPARTMENT OF GENERAL SERVICES, IN CONSULTATION WITH 18
919		-	THE DEPARTMENT OF INFORMATION TECHNOLOGY , SHALL ADOPT POLICIES AND 19
920		-	PROCEDURES FOR THE D EVELOPMENT AND IMPLE MENTATION OF COMPETI TIVE 20
921		-	PROOF OF CONCEPT PROCUREMEN TS. 21
	734	+	(2) REQUEST PRODUCT SAMPLES FOR TESTING BY THE UNIT OR A 22
	735	+	DEMONSTRATION OF A P RODUCT OR SERVICE AN D USE THESE SAMPLES OR 23
	736	+	DEMONSTRATIONS IN IT S EVALUATION PROCESS . 24
922	737
923		-	SECTION 2. AND BE IT FURTHER ENACTED, That, on or before December 1, 22
924		-	2024, the Governor’s Artificial Intelligence Subcabinet of the Governor’s Executive Council, 23
925		-	in consultation with the appropriate stakeholders, shall submit an interim report and 24
926		-	recommendations to the Governor and, in accordance with § 2 –1257 of the State 25
927		-	Government Article, the General Assembly on the risks and opportunities and associated 26
928		-	recommendations related to: 27
	738	+	(E) A REQUEST FOR PRODUCT SAMPLES FOR TESTING OR DEMONSTRATION 25
	739	+	MADE UNDER SUBSECTIO N (D)(2) OF THIS SECTION SHAL L BE ISSUED TO ALL 26
	740	+	OFFERORS DEEMED REAS ONABLE AT THE TIME O F THE REQUEST . 27
929	741
930		-	(1) use of artificial intelligence to support job and business creation and 28
931		-	growth in the State; 29
	742	+	(F) A UNIT MAY: 28
932	743
933		-	(2) in collaboration with the Maryland Department of Labor and, as 30
934		-	appropriate, external experts, workers, labor unions, businesses, and civil society, use of 31
935		-	artificial intelligence by the State workforce, including opportunities to upskill the 32
936		-	workforce; 33 HOUSE BILL 1271 21
	744	+	(1) AWARD ONE OR MORE OF THE PROPOSALS A CONT RACT FOR THE 29
	745	+	PROOF OF CONCEPT ; AND 30
	746	+	HOUSE BILL 1271 17
937	747
938	748
	749	+	(2) PROVIDE AN OPTION FO R THE STATE TO PROCEED WITH A FULL 1
	750	+	IMPLEMENTATION OF AN AWARDED PROPOSAL . 2
939	751
940		-	(3) in consultation with the Maryland Department of Emergency 1
941		-	Management, the Public Service Commission, the Department of the Environment, and the 2
942		-	Department of Transportation, use of artificial intelligence in critical infrastructure and 3
943		-	guidelines for owners and operators to incorporate risk management into critical 4
944		-	infrastructure, including mapping emergent cyber and physical security and resiliency 5
945		-	risks to the State infrastructure and residents stemming from artificial intelligence; 6
	752	+	(G) THE DEPARTMENT OF GENERAL SERVICES, IN CONSULTATION WITH 3
	753	+	THE DEPARTMENT OF INFORMATION TECHNOLOGY , SHALL ADOPT POLICIES AND 4
	754	+	PROCEDURES FOR THE D EVELOPMENT AND IMPLE MENTATION OF COMPETI TIVE 5
	755	+	PROOF OF CONCEPT PRO CUREMENTS . 6
946	756
947		-	(4) in consultation with the Maryland Department of Health, the U.S. 7
948		-	Department of Veterans Affairs, and the U.S. Department of Homeland Security, use of 8
949		-	systems that employ artificial intelligence in health care delivery and human services; 9
	757	+	SECTION 2. AND BE IT FURTHER ENACTED, That, on or before December 1, 7
	758	+	2024, the Governor’s Artificial Intelligence Subcabinet of the Governor’s Executive Council, 8
	759	+	in consultation with the appropriate stakeholders, shall submit an interim report and 9
	760	+	recommendations to the Governor and, in accordance with § 2–1257 of the State 10
	761	+	Government Article, the General Assembly on the risks and opportunities and associated 11
	762	+	recommendations related to: 12
950	763
951		-	(5) in consultation with the Department of Information Technology Office 10
952		-	of Security Management and the Chief Privacy Officer, use of artificial intelligence in the 11
953		-	discovery and remediation of vulnerabilities in cybersecurity and data management across 12
954		-	State and local government, including school systems; 13
	764	+	(1) use of artificial intelligence to support job and business creation and 13
	765	+	growth in the State; 14
955	766
956		-	(6) in consultation with the State Chief Privacy Officer and an independent 14
957		-	contractor identified by the Subcabinet, data privacy, specifically regarding the potential 15
958		-	to train systems that employ artificial intelligence; 16
	767	+	(2) in collaboration with the Maryland Department of Labor and, as 15
	768	+	appropriate, external experts, workers, labor unions, businesses, and civil society, use of 16
	769	+	artificial intelligence by the State workforce, including opportunities to upskill the 17
	770	+	workforce; 18
959	771
960		-	(7) in consultation with the Maryland Department of Labor, the 17
961		-	Department of Commerce, and the Governor’s Office of Small, Minority, and Women 18
962		-	Business Affairs, use of artificial intelligence in workforce training and hiring of talent with 19
963		-	expertise in artificial intelligence, employment practices, and workforce development 20
964		-	implications; 21
	772	+	(3) in consultation with the Maryland Department of Emergency 19
	773	+	Management, the Public Service Commission, the Department of the Environment, and the 20
	774	+	Department of Transportation, use of artificial intelligence in critical infrastructure and 21
	775	+	guidelines for owners and operators to incorporate risk management into critical 22
	776	+	infrastructure, including mapping emergent cyber and physical security and resiliency 23
	777	+	risks to the State infrastructure and residents stemming from artificial intelligence; 24
965	778
966		-	(8) in consultation with the ~~Office~~ of ~~the Attorney General and~~ the ~~Judicial 22~~
967		-	~~Branch~~, use of ~~artificial intelligence in the criminal justice system, including whether and 23~~
968		-	~~how such technology should be used,~~ in ~~what contexts,~~ and ~~with what safeguards~~; 24
	779	+	(4) in consultation with the Maryland Department of Health, the U.S. 25
	780	+	Department of Veterans Affairs, and the U.S. Department of Homeland Security, use of 26
	781	+	systems that employ artificial intelligence in health care delivery and human services; 27
969	782
970		-	(9) the procurement of systems that employ artificial intelligence, 25
971		-	including efforts to increase competition and assurance that contracts retain sufficient data 26
972		-	privacy protection against vendor lock–in; 27
	783	+	(5) in consultation with the Department of Information Technology Office 28
	784	+	of Security Management and the Chief Privacy Officer, use of artificial intelligence in the 29
	785	+	discovery and remediation of vulnerabilities in cybersecurity and data management across 30
	786	+	State and local government, including school systems; 31
973	787
974		-	(10) use of artificial intelligence by occupations licensed and certified by the 28
975		-	State, in consultation with the boards, identifying ways for the regulatory board to identify 29
976		-	and manage the risks of opportunities of artificial intelligence and determine appropriate 30
977		-	permitted use and supervision by licensees; and 31
	788	+	(6) in consultation with the State Chief Privacy Officer and an independent 32
	789	+	contractor identified by the Subcabinet, data privacy, specifically regarding the potential 33
	790	+	to train systems that employ artificial intelligence; 34
978	791
979		-	(11) use of artificial intelligence in local school systems, including 32
980		-	recommendations to the State on the responsible and productive use of artificial 33
981		-	intelligence based on a review of the federal Department of Education Office of Educational 34
982		-	Technology’s report entitled “Artificial Intelligence and the Future of Teaching and 35
983		-	Learning: Insights and Recommendations”, in collaboration with the State Department of 36
984		-	Education. 37
985		-	22 HOUSE BILL 1271
	792	+	(7) in consultation with the Maryland Department of Labor, the 35
	793	+	Department of Commerce, and the Governor’s Office of Small, Minority, and Women 36
	794	+	Business Affairs, use of artificial intelligence in workforce training and hiring of talent with 37 18 HOUSE BILL 1271
986	795
987	796
988		-	SECTION 2. AND BE IT FURTHER ENACTED, That: 1
	797	+	expertise in artificial intelligence, employment practices, and workforce development 1
	798	+	implications; 2
989	799
990		-	(a) The Governor’s Artificial Intelligence Subcabinet of the Governor’s Executive 2
991		-	Council, in consultation with the appropriate units of State government, shall: 3
	800	+	(8) in consultation with the Office of the Attorney General and the Judicial 3
	801	+	Branch, use of artificial intelligence in the criminal justice system, including whether and 4
	802	+	how such technology should be used, in what contexts, and with what safeguards; 5
992	803
993		-	(1) develop a roadmap to review the risks and opportunities associated 4
994		-	with the use of artificial intelligence in State services; and 5
	804	+	(9) the procurement of systems that employ artificial intelligence, 6
	805	+	including efforts to increase competition and assurance that contracts retain sufficient data 7
	806	+	privacy protection against vendor lock–in; 8
995	807
996		-	(2) on or before December 1, 2024, submit the roadmap to the Governor 6
997		-	and, in accordance with § 2–1257 of the State Government Article, the General Assembly. 7
	808	+	(10) use of artificial intelligence by occupations licensed and certified by the 9
	809	+	State, in consultation with the boards, identifying ways for the regulatory board to identify 10
	810	+	and manage the risks of opportunities of artificial intelligence and determine appropriate 11
	811	+	permitted use and supervision by licensees; and 12
998	812
999		-	(b) The roadmap developed under subsection (a) of this section shall include: 8
	813	+	(11) use of artificial intelligence in local school systems, including 13
	814	+	recommendations to the State on the responsible and product ive use of artificial 14
	815	+	intelligence based on a review of the federal Department of Education Office of Educational 15
	816	+	Technology’s report entitled “Artificial Intelligence and the Future of Teaching and 16
	817	+	Learning: Insights and Recommendations”, in collaboration with the State Department of 17
	818	+	Education. 18
1000	819
1001		-	(1) a plan to study the use of artificial intelligence: 9
	820	+	SECTION 3. AND BE IT FURTHER ENACTED, That, on or before December 1, 19
	821	+	2025, the Governor’s Artificial Intelligence Subcabinet of the Governor’s Executive Council 20
	822	+	shall submit a report and recommendations to the Governor and, in accordance with § 21
	823	+	2–1257 of the State Government Article, the General Assembly on the sufficiency of the 22
	824	+	Subcabinet to accomplish the artificial intelligence goals of the State and the efficacy of the 23
	825	+	potential transition of the Subcabinet to a department or independent unit of State 24
	826	+	government. 25
1002	827
1003		-	(i) to support job and business creation and growth in the State; 10
1004		-
1005		-	(ii) by the State workforce, including opportunities to upskill the 11
1006		-	workforce; 12
1007		-
1008		-	(iii) in critical infrastructure, including guidelines for owners and 13
1009		-	operators to incorporate risk management into critical infrastructure; 14
1010		-
1011		-	(iv) in health care delivery and human services; 15
1012		-
1013		-	(v) in the discovery and remediation of vulnerabilities in 16
1014		-	cybersecurity and data management across State and local government, including school 17
1015		-	systems; 18
1016		-
1017		-	(vi) in data privacy, specifically regarding the ability to train systems 19
1018		-	that employ artificial intelligence; 20
1019		-
1020		-	(vii) in workforce training; 21
1021		-
1022		-	(viii) in the criminal justice system and for public safety purposes, 22
1023		-	including whether and how such technology should be used, in what contexts, and with 23
1024		-	what safeguards; 24
1025		-
1026		-	(ix) by occupations licensed and certified by the State, including 25
1027		-	identifying ways for State regulatory boards to identify and manage the risks and 26
1028		-	opportunities of artificial intelligence and determine appropriate permitted use and 27
1029		-	supervision of licensees; 28
1030		-
1031		-	(x) in local school systems, including recommendations to the State 29
1032		-	on the responsible and productive use of artificial intelligence; 30
1033		-	HOUSE BILL 1271 23
1034		-
1035		-
1036		-	(xi) in the conduct of elections, including reducing or eliminating the 1
1037		-	spread of misinformation; and 2
1038		-
1039		-	(xii) any other State service identified by the Subcabinet; 3
1040		-
1041		-	(2) a plan to study: 4
1042		-
1043		-	(i) the hiring of talent with expertise in artificial intelligence, 5
1044		-	employment practices, and workforce development implications; 6
1045		-
1046		-	(ii) methods to ensure that there is diversity in contract awards and 7
1047		-	training programs related to artificial intelligence in the State, including racial diversity; 8
1048		-	and 9
1049		-
1050		-	(iii) the procurement of systems that employ artificial intelligence, 10
1051		-	including efforts to increase competition and assurance that contracts retain sufficient data 11
1052		-	privacy protection against vendor lock–in; 12
1053		-
1054		-	(3) a prioritization of the study topics listed under this subsection, 13
1055		-	including the methodology for the prioritization; 14
1056		-
1057		-	(4) a list of appropriate stakeholders identified to participate in each study 15
1058		-	topic; and 16
1059		-
1060		-	(5) the projected timeline to complete each study topic. 17
1061		-
1062		-	SECTION 3. AND BE IT FURTHER ENACTED, That, on or before December 1, 18
1063		-	2025, the Governor’s Artificial Intelligence Subcabinet of the Governor’s Executive Council 19
1064		-	shall submit a report and recommendations to the Governor and, in accordance with § 20
1065		-	2–1257 of the State Government Article, the General Assembly on the sufficiency of the 21
1066		-	Subcabinet to accomplish the artificial intelligence goals of the State and the efficacy of the 22
1067		-	potential transition of the Subcabinet to a department or independent unit of State 23
1068		-	government. 24
1069		-
1070		-	SECTION 4. AND BE IT FURTHER ENACTED, That it is the intent of the 25
1071		-	Maryland General Assembly, contingent on the passage of Chapter __ (S.B. 955/H.B. 1174) 26
1072		-	of the Acts of the General Assembly of 2024 by both Houses of the General Assembly, that 27
1073		-	the Governor’s Artificial Intelligence Subcabinet consult with the Technology Advisory 28
1074		-	Commission established under Chapter __ (S.B. 955/H.B. 1174) of the Acts of the General 29
1075		-	Assembly of 2024 in the performance of its duties under Sections 1 and 2 of this Act. 30
1076		-
1077		-	SECTION 4. 5. AND BE IT FURTHER ENACTED, That this Act shall take effect 31
1078		-	July 1, 2024. 32
1079		-
	828	+	SECTION 4. AND BE IT FURTHER ENACTED, That this Act shall take effect July 26
	829	+	1, 2024. 27