EXPLANATION: CAPITALS INDICATE MATTER ADDE D TO EXISTING 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. *sb0705* SENATE BILL 705 S1 5lr2986 CF HB 738 By: Senator Hester Senators Hester and Hershey Introduced and read first time: January 27, 2025 Assigned to: Budget and Taxation Committee Report: Favorable with amendments Senate action: Adopted with floor amendments Read second time: March 20, 2025 CHAPTER ______ AN ACT concerning 1 Department of Information Technology – Reporting Guidelines Major 2 Information Technology Development Projects – Oversight 3 FOR the purpose of altering the content of certain reports by the Department of 4 Information Technology relating to the Information Technology Investment Fund; 5 requiring the reports to be written and structured in a certain manner and made 6 publicly available on the Department’s website; and generally relating to reporting 7 by the Department of Information Technology providing that a unit of State 8 government may not purchase, lease, contract for, or rent an information technology 9 service or product under certain circumstances; providing that the Secretary of 10 Information Technology is responsible for overseeing the implementation of major 11 information technology development projects in the State; authorizing the Secretary 12 of Information Technology and the Secretary of Budget and Management to withhold 13 or reallocate major information technology development project funds under certain 14 circumstances; altering the reporting requirements for allocations from the 15 Information Technology Investment Fund; requiring the Department of Information 16 Technology to publish a public dashboard with certain information about major 17 information technology projects using the Information Technology Investment Fund; 18 requiring Chief Information Officers for a unit of State government with a planned 19 or ongoing major information technology development project to meet with the 20 Secretary of Information Technology on a certain basis to discuss certain aspects of 21 the projects; establishing the Maryland Office of Digital Experience within the 22 Department to provide oversight, leadership, intervention, and strategic 23 modernization for major information technology development projects; authorizing 24 the Office to require units to provide certain reimbursement for services under 25 2 SENATE BILL 705 certain circumstances; establishing the Maryland Digital Service Unit within the 1 Maryland Office of Digital Experience to collaborate with units of State government 2 to improve digital services; establishing the Major Information Technology 3 Development Project Oversight Division to standardize, monitor, and support the 4 implementation of major information technology development projects and expedited 5 projects in the State; establishing the Information Technology Advisory Board to 6 advise the Legislative Policy Committee; repealing a requirement that the Joint 7 Audit and Evaluation Committee conduct a certain study and report certain 8 recommendations to certain committees of the General Assembly; repealing the 9 Modernize Maryland Commission; and generally relating to major information 10 technology development projects and the Department of Information Technology. 11 BY repealing and reenacting, without amendments, 12 Article – State Finance and Procurement 13 Section 3.5–309(a) 14 Annotated Code of Maryland 15 (2021 Replacement Volume and 2024 Supplement) 16 BY repealing and reenacting, with amendments, 17 Article – State Finance and Procurement 18 Section 3.5–309(n) and (o) 3.5–101, 3.5–307(a) and (d)(1), 3.5–308, and 3.5–309(o) 19 and (p) 20 Annotated Code of Maryland 21 (2021 Replacement Volume and 2024 Supplement) 22 BY repealing and reenacting, without amendments, 23 Article – State Finance and Procurement 24 Section 3.5–309(a) 25 Annotated Code of Maryland 26 (2021 Replacement Volume and 2024 Supplement) 27 BY repealing 28 Article – State Finance and Procurement 29 Section 3.5–309(n) and 3.5–316 30 Annotated Code of Maryland 31 (2021 Replacement Volume and 2024 Supplement) 32 BY adding to 33 Article – State Finance and Procurement 34 Section 3.5–309(o), (p), and (r); and 3.5–901 through 3.5–907 to be under the new 35 subtitle “Subtitle 9. Maryland Office of Digital Experience” 36 Annotated Code of Maryland 37 (2021 Replacement Volume and 2024 Supplement) 38 BY adding to 39 Article – State Government 40 Section 2–411 41 SENATE BILL 705 3 Annotated Code of Maryland 1 (2021 Replacement Volume and 2024 Supplement) 2 BY repealing 3 Chapter 497 of the Acts of the General Assembly of 2024 4 Section 4 5 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6 That the Laws of Maryland read as follows: 7 Article – State Finance and Procurement 8 3.5–101. 9 (a) In this title the following words have the meanings indicated. 10 (b) “Cloud computing” means a service that enables on–demand self–service 11 network access to a shared pool of configurable computer resources, including data storage, 12 analytics, commerce, streaming, e–mail, document sharing, and document editing. 13 (c) “Department” means the Department of Information Technology. 14 (D) (1) “OVERSIGHT OF IMPLEMEN TATION” MEANS MANAGEMENT OF 15 THE PROCESS TO IMPLE MENT A NEW TECHNOLOG Y, SYSTEM, OR PRODUCT INTO 16 PRACTICE AND USE BY A UNIT. 17 (2) “OVERSIGHT OF IMPLEMEN TATION” INCLUDES: 18 (I) PLANNING A ND PREPARATION TO IM PLEMENT THE 19 PRODUCT OR PRACTICE ; AND 20 (II) ONGOING MONITORING A ND SUPPORT OF THE 21 IMPLEMENTATION TEAM TO ENSURE SUCCESSFUL EXECUTION AND THAT T HE 22 PROJECT GOALS ARE ME T. 23 (3) “OVERSIGHT OF IMPLEMEN TATION” DOES NOT INCLUDE : 24 (I) RESPONSIBILITY FOR D AY–TO–DAY MANAGEMENT OF AN Y 25 INDIVIDUAL PROJECTS OR PRODUCTS ; OR 26 (II) RESPONSIBILITY FOR I MPLEMENTING INDIVIDU AL–LEVEL 27 PROCESS REQUIREMENTS FOR A PROJECT OR PRO DUCT. 28 [(d)] (E) “Secretary” means the Secretary of Information Technology. 29 4 SENATE BILL 705 [(e)] (F) “Telecommunication” means the transmission of information, images, 1 pictures, voice, or data by radio, video, or other electronic or impulse means. 2 [(f)] (G) “Unit of State government” means an agency or unit of the Executive 3 Branch of State government. 4 3.5–307. 5 (a) (1) A unit of State government may not purchase, lease, CONTRACT FOR , 6 or rent AN information technology SERVICE OR PRODUCT unless consistent with the 7 master plan, as determined by the Secretary. 8 (2) A unit of State government other than a public institution of higher 9 education may not make expenditures for major information technology development 10 projects or cybersecurity projects except as provided in § 3.5–308 of this subtitle. 11 (d) (1) The Department [of General Services], in consultation with the 12 Department OF GENERAL SERVICES, shall [hire a consultant to] assess the procurement 13 process for information technology projects involving modernization and make 14 recommendations to increase the State’s ability to proceed with a modernization project in 15 a rapid and responsive manner. 16 3.5–308. 17 (a) This section does not apply to a public institution of higher education. 18 (b) Before submitting its information technology project requests, a unit of State 19 government shall submit information in support of the request required by the Secretary 20 for review and determination consistent with § 3.5–301(k) of this subtitle. 21 (c) In reviewing information technology project requests, the Secretary may 22 change a unit’s designation of a major information technology development project. 23 (d) The Secretary shall review and, with the advice of the Secretary of Budget and 24 Management, approve major information technology development projects and 25 specifications for consistency with all statewide plans, policies, and standards, including a 26 systems development life cycle plan. 27 (e) (1) [The] SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE 28 Secretary shall be responsible for overseeing the implementation of major information 29 technology development projects, regardless of fund source. 30 (2) AS PART OF THE SECRETARY’S RESPONSIBILITIES U NDER THIS 31 SECTION, THE SECRETARY SHALL ENSUR E THAT NO FUNDING IS PROVIDED FOR THE 32 IMPLEMENTATION OF A MAJOR INFORMATION TE CHNOLOGY DEVELOPMENT 33 PROJECT UNLESS : 34 SENATE BILL 705 5 (I) THE SECRETARY DETERMINES THAT THE UNIT HAS TH E 1 INTERNAL CAPACITY TO ADEQUATELY SUPPORT T HE PROJECT , PROGRAM 2 MANAGEMENT , AND RESPONSIBILITY O VER PROGRAM AC TIVITIES, INCLUDING: 3 1. HUMAN CAPITAL ; 4 2. SUBJECT MATTER EXPER TISE; AND 5 3. TECHNICAL INFRASTRUC TURE; 6 (II) WITHIN 30 DAYS OF AWARDING A C ONTRACT, THE 7 MANAGING UNIT SENDS TO THE BOARD OF PUBLIC WORKS AND THE LEGISLATIVE 8 POLICY COMMITTEE, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT 9 ARTICLE, NOTICE THAT: 10 1. IDENTIFIES THE PROJE CT MANAGEMENT TEAM ; 11 2. AFFIRMS THAT THE DEPARTMENT HAS REVIEW ED 12 AND APPROVED THE CON TRACT; AND 13 3. IS SIGNED BY THE HEA D OF THE UNIT 14 ACKNOWLEDGIN G AND ACCEPTING THE ACCOUNTABILITY FOR T HE 15 IMPLEMENTATION OF TH E INFORMATION TECHNO LOGY PROJECT OR PROD UCT; AND 16 (III) WHILE A UNIT IS MANA GING AN ACTIVE PROJE CT OR 17 PRODUCT, THE UNIT AGREES TO R EPORT TO THE DEPARTMENT EVERY 3 MONTHS 18 ON THE PROJECT STATU S IN A MANNER REQUES TED BY THE DEPARTMENT . 19 (f) (1) With the advice of the Secretary of Budget and Management, 20 expenditures for major information technology development projects shall be subject to the 21 approval of the Secretary who shall approve expenditures only when those projects are 22 consistent with statewide plans, policies, and standards. 23 (2) (I) The Secretary shall make a recommendation to the Secretary of 24 Budget and Management [that] TO WITHHOLD project funds, regardless of fund source, 25 [be withheld] if: 26 [(i)] 1. a unit of State government is not consistently reporting on 27 the status of a project or projects to the Department in the form and manner required by 28 the Department; or 29 [(ii)] 2. the Department determines that project implementation 30 issues exist, including project timeline delays, significant cost increases, vendor 31 6 SENATE BILL 705 nonperformance, decreased agency capacity, or other issues that indicate issues of concern 1 that could jeopardize successful implementation. 2 (II) NOTWITHSTANDING ANY O THER PROVISION OF LA W, AND 3 EXCEPT AS PROVIDED I N SUBPARAGRAPH (III) OF THIS PARAGRAPH , THE 4 SECRETARY OF BUDGET AND MANAGEMENT SHALL WITH HOLD ANY UNEXPENDED 5 FUNDS APPROPRIATED I N A FISCAL YEAR FOR A MAJOR INFORMATION TECHNOLOGY 6 DEVELOPM ENT PROJECT AT THE SECRETARY’S RECOMMENDATION ISS UED UNDER 7 SUBPARAGRAPH (I) OF THIS PARAGRAPH . 8 (III) THE SECRETARY OF BUDGET AND MANAGEMENT MAY 9 RELEASE FUNDS WITHHE LD UNDER THIS PARAGR APH AT THE DIRECTION OF THE 10 SECRETARY IF THE SECRETARY DETERMINES THAT THE ISSUE LEADING TO THE 11 INITIAL WITHHOLDING OF FUNDS HAS BEEN AD DRESSED. 12 (3) WITHIN 30 DAYS AFTER FUNDING I S WITHHELD IN ACCORD ANCE 13 WITH THIS SUBSECTION , THE DEPARTMENT SHALL REPO RT ON THE PURPOSE OF 14 THE WITHHOLDING : 15 (I) TO THE GOVERNOR; AND 16 (II) SUBJECT TO § 2–1257 OF THE STATE GOVERNMENT 17 ARTICLE, TO: 18 1. THE SENATE BUDGET AND TAXATION COMMITTEE; 19 2. THE SENATE COMMITTEE ON EDUCATION, ENERGY, 20 AND THE ENVIRONMENT ; 21 3. THE HOUSE APPROPRIATIONS COMMITTEE; 22 4. THE HOUSE HEALTH AND GOVERNMENT 23 OPERATIONS COMMITTEE; AND 24 5. THE JOINT COMMITTEE ON CYBERSECURITY , 25 INFORMATION TECHNOLOGY , AND BIOTECHNOLOGY . 26 (4) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH : 27 1. THE SECRETARY MAY RECOMME ND TO THE 28 SECRETARY OF BUDGET AND MANAGEMENT THAT FUNDI NG WITHHELD UNDER TH IS 29 SECTION BE REALLOCAT ED TO OTHER EXPENSES OF THE INFORMATION 30 TECHNOLOGY INVESTMENT FUND UNDER § 3.5–309 OF THIS SUBTITLE; AND 31 SENATE BILL 705 7 2. THE SECRETARY OF BUDGET AND MANAGEMENT 1 MAY, AT THEIR DISCRETION , FOLLOW THE SECRETARY’S RECOMMENDATION TO 2 REALLOCATE FUNDS . 3 (II) IF THE REALLOCATED FU NDS EXCEED $500,000, THE 4 SECRETARY, IN CONSULTATION WITH THE SECRETARY OF BUDGET AND 5 MANAGEMENT , SHALL SUBMIT A PROPO SAL TO THE LEGISLATIVE POLICY 6 COMMITTEE FOR A 60–DAY REVIEW AND COMMENT PERIOD . 7 (g) (1) The Secretary shall approve funding for major information technology 8 development projects, expedited projects, and other expenditures from the Fund only when: 9 (i) the major information technology development projects or the 10 expedited projects are in compliance with statewide plans, policies, and standards, as 11 determined by the Secretary; and 12 (ii) the major information technology development projects are 13 supported by an approved systems development life cycle plan. 14 (2) An approved systems development life cycle plan shall include 15 submission of: 16 (i) a project planning request that details initial planning for the 17 project, including: 18 1. the project title, appropriation code, and summary; 19 2. a description of: 20 A. the business and technology outcomes to be achieved by 21 the project; 22 B. the features available to the end user on completion, 23 including user acceptance testing and accessibility plans; 24 C. the potential risks associated with the project; 25 D. possible alternatives; and 26 E. the scope and complexity of the project; and 27 3. an estimate of: 28 A. the total costs required to complete through planning; and 29 B. the fund sources available to support planning costs; and 30 8 SENATE BILL 705 (ii) a project implementation request to begin full design, 1 development, and implementation of the project after the completion of planning, including: 2 1. the project title, appropriation code, and summary; 3 2. a description of: 4 A. the business and technology outcomes to be achieved by 5 the project and the metrics by which the success of those outcomes will be measured; 6 B. the features available to the end user on completion, 7 including user acceptance testing and accessibility plans; 8 C. the potential risks associated with the project; 9 D. possible alternatives; 10 E. the scope and complexity of the project; and 11 F. how the project meets the goals of the statewide master 12 plan; and 13 3. an estimate of: 14 A. the total project cost, by phase; and 15 B. the fund sources to be utilized. 16 (3) The Secretary may approve funding incrementally, consistent with the 17 systems development life cycle plan. 18 (h) [The Department, in consultation with the Modernize Maryland Commission 19 established under § 3.5–316 of this subtitle,] ON OR BEFORE JULY 1, 2026, THE 20 DEPARTMENT shall: 21 (1) develop standards for units of State government to assist in identifying 22 legacy systems that require modernization projects appropriate to be financed as an 23 expedited project through the Fund; 24 (2) adopt an Information Technology Investment Maturity Model that 25 includes: 26 (i) criteria to inform and prioritize investment decisions; 27 (ii) processes to develop the information required to evaluate 28 investment proposals against the criteria under item (i) of this item; and 29 SENATE BILL 705 9 (iii) management processes to monitor the implementation of 1 approved modernization projects; and 2 (3) develop a State Modernization Plan. 3 3.5–309. 4 (a) There is an Information Technology Investment Fund. 5 [(n) (1) On or before November 1 of each year, the Secretary shall report to the 6 Governor and the Secretary of Budget and Management and, in accordance with § 2–1257 7 of the State Government Article, to the Senate Budget and Taxation Committee, the Senate 8 Committee on Education, Energy, and the Environment, the House Appropriations 9 Committee, the House Health and Government Operations Committee, and the Joint 10 Committee on Cybersecurity, Information Technology, and Biotechnology. 11 (2) The report shall include: 12 (i) the financial status of the Fund and a summary of its operations 13 for the preceding fiscal year; 14 (ii) an accounting for the preceding fiscal year of all money from each 15 of the revenue sources specified in subsection (e) of this section, including any expenditures 16 made from the Fund; and 17 (iii) for each project receiving money from the Fund in the preceding 18 fiscal year and for each major information technology development project or expedited 19 project receiving funding from any source other than the Fund in the preceding fiscal year: 20 1. the status of the project and project funding decisions; 21 2. a comparison of estimated and actual costs of the project; 22 3. any known or anticipated changes in scope or costs of the 23 project; 24 4. an evaluation of whether the project is using best 25 practices; and 26 5. a summary of any monitoring and oversight of the project 27 from outside the agency in which the project is being developed, including a description of 28 any problems identified by any external review and any corrective actions taken.] 29 [(o)] (N) (1) On or before January 15 of each year, for each major information 30 technology development project or expedited project currently in development or for which 31 operations and maintenance funding is being provided in accordance with subsection (i)(3) 32 10 SENATE BILL 705 of this section, subject to § 2–1257 of the State Government Article, the Secretary shall 1 provide a summary report to the Department of Legislative Services with the most 2 up–to–date project information including: 3 [(1)] (I) project funding decisions and project status, INCLUDING: 4 1. ESTIMATED PROJECT OR PRODUCT COSTS ; 5 2. FUNDING SOURCES ; AND 6 3. ONGOING OPERATING CO STS AFTER THE PROJEC T IS 7 NO LONGER A MAJOR DE VELOPMENT PROJECT OR EXPEDITED PROJECT , 8 INCLUDING: 9 A. COSTS ASSOCIATED WIT H PROCURING AN D 10 MAINTAINING LICENSES ; AND 11 B. SUPPORT TO CONTINUOU SLY MAINTAIN AND 12 IMPROVE THE PROJECT OR PRODUCT ; 13 [(2)] (II) any schedule, cost, and scope changes since the last annual 14 report; 15 [(3)] (III) a risk assessment [including any problems identified by any 16 internal or external review and any corrective actions taken; and] PROVIDED BY EITHER 17 THE DEPARTMENT OR THE DES IGNATED UNIT OF STATE GOVERNMENT THAT 18 DETAILS THE IDENTIFI ED PROJECT OR PRODUC T RISK, INCLUDING: 19 1. A DESCRIPTION OF THE TYPE OF RISK, INCLUDING: 20 A. GOVERNANCE ; 21 B. RESOURCE AVAILABILIT Y OR CAPABILITY; 22 C. FUNDING; 23 D. INTERDEPENDENCIES WI TH OTHER SYSTEMS ; 24 E. TECHNICAL ISSUES ; 25 F. ORGANIZATIONAL CULTU RE; OR 26 G. ABILITY TO SUPPORT I N THE LONG TERM ; 27 2. THE RISK LIKELIHOOD ; 28 SENATE BILL 705 11 3. THE RISK PRIORITY ; 1 4. THE RISK OWNER ; 2 5. PLANNED RISK MITIGAT ION STRATEGY; AND 3 6. THE RISK STATUS AS O F THE REPORT DATE ; 4 (IV) PROJECT TRACKING MET RICS, INCLUDING: 5 1. DESCRIBING THE FUNCT IONALITY AND FEATURES 6 THAT HAVE BEEN DELIV ERED AS OF THE REPOR T DATE; AND 7 2. QUALITATIVE AND QUAN TITATIVE DATA SHOWIN G 8 PROGRESS TOWARDS PRO JECT GOALS; AND 9 [(4)] (V) any change in the monitoring or oversight status. 10 (2) THE REPORT SUBMITTED UNDER THIS SUBSECT ION: 11 (I) IS CONFIDENTIAL AND NOT SUBJECT TO DISCL OSURE 12 UNDER TITLE 4 OF THE GENERAL PROVISIONS ARTICLE; 13 (II) SHALL COMMUNICATE TH E REQUISITE INFORMAT ION IN A 14 CLEAR AND CONCISE MA NNER THAT, TO THE GREATEST EXTE NT POSSIBLE, AVOIDS 15 THE USE OF TECHNICA L LANGUAGE OR RELIAN CE ON EXISTING INDUS TRY 16 KNOWLEDGE ; AND 17 (III) SHALL INCLUDE AN EXE CUTIVE SUMMARY OF KE Y 18 INFORMATION , INCLUDING: 19 1. THE TOTAL VALUE OF T HE PORTFOLIO , INCLUDING: 20 A. ANNUAL DEVELOPMENT C OSTS; 21 B. FUNDING SOURCES ; AND 22 C. PROJECTED ONGOING OP ERATING COSTS OVER T HE 23 NEXT 5 YEARS; AND 24 2. A SUMMARY OF NEW PRO JECTS INCLUDING : 25 A. THE ADVANTAGES OF TH E NEW PROJECTS ; AND 26 12 SENATE BILL 705 B. ANY NEW OR INNOVATIV E ASPECTS OF DEVELOP MENT 1 PROCESSES. 2 (O) (1) THE DEPARTMENT SHALL PUBLISH AND MAINTAIN A PUBLICLY 3 AVAILABLE PROJECT AN D PORTFOLIO DASHBOAR D ON THE DEPARTMENT ’S 4 WEBSITE. 5 (2) THE DASHBOARD SHALL I NCLUDE ALL MAJOR INF ORMATION 6 TECHNOLOGY DEVELOPME NT PROJECTS AND EXPE DITED PROJECTS , ORGANIZED 7 BY THE ACCOUNTABLE U NIT OF STATE GOVERNMENT . 8 (3) FOR EACH PROJECT , THE DASHBOARD SHALL : 9 (I) SPECIFY THE SCHEDULE MANAGEMENT FOR THE P ROJECT, 10 INCLUDING: 11 1. THE PROJECT START DA TE; 12 2. ESTIMATED LENGTH OF THE PROJECT, BY PHASE; 13 3. PLANNED MILESTONES W ITH ESTIMATED 14 COMPLETION DATES ; AND 15 4. COMPLETED MILESTONES WITH COMPLETION DATE S; 16 (II) LIST THE ESTIMATED P ROJECT COST; 17 (III) LIST THE TOTAL AMOUN T APPROPRIATED FOR T HE 18 CURRENT FISCAL YEAR ; 19 (IV) LIST THE TOTAL AMOUN T SPENT DURING THE P RIOR FISCAL 20 YEAR, CATEGORIZED BY : 21 1. VENDOR COSTS ; 22 2. AGENCY LABOR ; 23 3. SOFTWARE LICENSES , SUBSCRIPTIONS , AND OTHER 24 COSTS; 25 4. OTHER EXPENSES ; AND 26 5. TOTAL EXPENDITURES ; 27 (V) FOR PROJECTS IN DEVE LOPMENT: 28 SENATE BILL 705 13 1. THE PRIOR FISCAL YEA R FORECAST ACCOMPANIED 1 BY ACTUAL DATA AND T HE RESULTING VARIANC E; AND 2 2. THE CURRENT YEAR FOR ECAST; AND 3 (VI) SUBJECT TO SUBSECTIO N (P) OF THIS SECTION , IDENTIFY 4 MAJOR PROJECT OR PRO DUCT RISKS, INCLUDING: 5 1. RISK DESCRIPTION ; 6 2. RISK IMPACT; 7 3. RISK LIKELIHOOD ; 8 4. MITIGATION STRATEGY ; AND 9 5. RISK STATUS. 10 (P) (1) THE DEPARTMENT MAY REDACT SPECIFIC RISKS IDENT IFIED 11 UNDER SUBSECTION (O)(3)(VI) OF THIS SECTION FROM THE PUBLIC DASHBOARD IF 12 THE DEPARTMENT DETERMINES THAT PUBLIC SHARING OF THE INFORMATION 13 COULD POSE A RISK TO THE PROJECT. 14 (2) IF A RISK IS REDACTED FROM THE DASHBOARD , THE 15 INFORMATION SHALL BE SHARED WITH THE LEGISLATIVE POLICY COMMITTEE. 16 (3) A RISK REDACTED FROM T HE DASHBOARD IS CONF IDENTIAL AND 17 NOT SUBJECT TO DISCL OSURE UNDER TITLE 4 OF THE GENERAL PROVISIONS 18 ARTICLE. 19 [(p)] (Q) (1) The Secretary may adopt regulations necessary to carry out this 20 section. 21 (2) The Secretary shall adopt regulations necessary to establish a process 22 for units of State government to request and receive funding for an expedited project 23 aligned with the State Modernization Plan that shall: 24 (i) allow units of State government to apply for project funding 25 biannually; 26 (ii) be consistent with the goals and preferences established under 27 Title 14 of this article and encourage small and minority business enterprise vendors; and 28 14 SENATE BILL 705 (iii) provide measures that ensure compliance with this subtitle and 1 the Department’s regulations by both vendors and units of State government. 2 (R) THE CHIEF INFORMATION OFFICER FOR A UNIT OF STATE 3 GOVERNMENT WITH A PL ANNED OR ONGOING MAJ OR INFORMATION TECHN OLOGY 4 DEVELOPMENT PROJECT SHALL MEET WITH THE SECRETARY ON A QUARTE RLY 5 BASIS TO REPORT ON A ND DISCUSS THE ONGOI NG INFORMATION TECHN OLOGY 6 DEVELOPMENT PRO JECTS, INCLUDING: 7 (1) PROJECT BUDGET ; 8 (2) PROJECT VENDOR PERFO RMANCE OR NONPERFORM ANCE; 9 (3) PROJECT SCOPE ; 10 (4) PROJECT SCHEDULE ; 11 (5) THE CAPACITY OF THE UNIT TO IMPLEMENT TH E PROJECT; AND 12 (6) ANY OTHER ITEMS THE SECRETARY DEEMS RELEV ANT TO THE 13 SUCCESSFUL IMPLEMENT ATION OF THE PROJECT . 14 SUBTITLE 9. MARYLAND OFFICE OF DIGITAL EXPERIENCE. 15 3.5–901. 16 (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 17 INDICATED. 18 (B) “DIVISION” MEANS THE MAJOR INFORMATION TECHNOLOGY 19 DEVELOPMENT PROJECT OVERSIGHT DIVISION. 20 (C) “OFFICE” MEANS THE MARYLAND OFFICE OF DIGITAL EXPERIENCE. 21 (D) “SERVICE” MEANS THE MARYLAND DIGITAL SERVICE UNIT. 22 3.5–902. 23 (A) THERE IS A MARYLAND OFFICE OF DIGITAL EXPERIENCE. 24 (B) THE PURPOSE OF THE OFFICE IS TO: 25 (1) PROVIDE OVERSIGHT , LEADERSHIP, INTERVENTION , AND 26 STRATEGIC MODERNIZAT ION FOR MAJOR INFORM ATION TECHNOLOGY 27 DEVELOPMENT PROJECTS , INCLUDING LARGE –SCALE, HIGH IMPACT , 28 SENATE BILL 705 15 MULTI–AGENCY PROJECTS , IN A TRANSPARENT MANNER T HAT ENSURES A POSITI VE 1 RETURN ON INVESTMENT ; AND 2 (2) DIRECT THE DEVELOPME NT OF MODERNIZED SYS TEMS IN A 3 MANNER THAT : 4 (I) WHEN APPROPRIATE , PRIORITIZES A PRODUC T–BASED 5 APPROACH TO THE DEVE LOPMENT OF MODERNIZE D SYSTEMS OVER A 6 PROJECT–BASED APPROACH ; 7 (II) IS COST–EFFECTIVE; 8 (III) LOWERS RISKS; 9 (IV) DELIVERS VALUE FASTE R; AND 10 (V) OTHERWISE IMPROVES T HE DELIVERY OF SERVI CES FOR 11 RESIDENTS OF THE STATE. 12 3.5–903. 13 THE SECRETARY SHALL APPOI NT A CHIEF DIGITAL EXPERIENCE OFFICER TO 14 SERVE AS THE HEAD OF THE OFFICE. 15 3.5–904. 16 (A) (1) THE OFFICE MAY EMPLOY OR RETAIN REGULAR OR 17 CONTRACTUAL EMPLOYEE S AT THE DISCRETION OF THE CHIEF DIGITAL SERVICES 18 OFFICER AND CHIEF OF THE DIVISION AS NECESSARY TO MEET THE 19 REQUIREMENTS OF T HE OFFICE. 20 (2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , THE 21 CHIEF DIGITAL SERVICES OFFICER AND CHIEF OF THE DIVISION MAY SET THE 22 COMPENSATION FOR OFFICE EMPLOYEES . 23 (II) THE SECRETARY OF BUDGET AND MANAGEMENT SHALL 24 APPROVE ANY COMPENSA TION PROPOSED UNDER THIS SUBSECTION. 25 (B) THE OFFICE MAY USE A SHOR T–TERM CONTRACT OR CON TRACTUAL 26 HIRING TO SUPPORT HU MAN RESOURCE NEEDS T O SUPPORT THE RAPID HIRING OF 27 OFFICE EMPLOYEES AND CONTRACTORS . 28 (C) TO MEET THE REQUIREME NTS OF THIS SUBTITLE , THE OFFICE MAY 29 REQUIRE A UNIT TO PR OVIDE REIMBURSEMENT FOR SERVICES PROVIDE D BY THE 30 16 SENATE BILL 705 OFFICE FROM FUNDS PRO VIDED TO THE UNIT FR OM THE INFORMATION 1 TECHNOLOGY INVESTMENT FUND OR OTHER FUNDS A LLOCATED TO THE UNIT FOR 2 AN INFORMATION TECHNO LOGY PROJECT OR PROD UCT. 3 3.5–905. 4 (A) THERE IS A MARYLAND DIGITAL SERVICE UNIT IN THE OFFICE. 5 (B) THE SERVICE SHALL COLLABO RATE WITH UNITS OF STATE 6 GOVERNMENT TO SUPPOR T IMPROVED SERVICE D ELIVERY TO STATE RESIDENTS 7 AND AGENCY STAF F TO IMPLEMENT : 8 (1) USER–CENTERED DESIGN ; 9 (2) SOFTWARE DEVELOPMENT ; AND 10 (3) PROJECT MANAGEMENT B EST PRACTICES. 11 (C) THE SERVICE IS RESPONSIBL E FOR: 12 (1) ASSISTING UNITS OF STATE GOVERNMENT TO P RIORITIZE THE 13 DEVELOPMENT AND PROC UREMENT OF USER –FRIENDLY, ACCESSIBLE, AND 14 MULTILINGUAL DIGITAL PLATFORMS TO ENSURE THAT ALL STATE RESIDENTS , 15 INCLUDING THOSE WITH DISABILITIES, CAN EASILY ACCESS AN D USE GOVERNMENT 16 SERVICES AND INFORMA TION; 17 (2) WORKING COLLABORATIV ELY WITH UNITS OF STATE 18 GOVERNMENT TO : 19 (I) CONSOLIDATE AND STRE AMLINE STATE WEBSITES AND 20 DIGITAL APPLICATIONS TO REDUCE REDUNDANCY , COMPLEXITY, AND 21 MAINTENANCE COSTS ; AND 22 (II) PRIORITIZE PROJECTS THAT ARE FINANCIALLY EFFICIENT 23 AND DRIVE POSITIVE O UTCOMES FOR STATE RESIDENTS ; AND 24 (3) OVERSEEING THE IMPLE MENTATION OF USER –CENTERED DESIGN 25 PRINCIPLES, ACCESSIBILITY STANDA RDS, AND BEST PRACTICES A CROSS UNITS OF 26 STATE GOVERNMENT . 27 (D) UNITS OF STATE GOVERNMENT SHAL L COLLABORATE WITH T HE 28 SERVICE TO ENSURE THA T THE ALIGNMENT AND FUNDING OF A DIGITAL INITIATIVE 29 IS CONSISTENT WITH : 30 SENATE BILL 705 17 (1) THE OVERALL GOALS AN D PRIORITIES OF THE STATE; AND 1 (2) THE STATEWIDE INFORMATION TECHNOLOGY MASTER PLAN. 2 3.5–906. 3 (A) THERE IS A MAJOR INFORMATION TECHNOLOGY DEVELOPMENT 4 PROJECT OVERSIGHT DIVISION IN THE OFFICE. 5 (B) THE DIVISION, IN CONSULTATION WITH THE DEPARTMENT , SHALL: 6 (1) ADOPT NEW STANDARDS BY WHICH MAJOR INFOR MATION 7 TECHNOLOGY DEVELOPME NT PROJECTS AND EXPE DITED PROJECTS ARE R EQUIRED 8 TO COMPLY, IN ALIGNMENT WITH TH E STATE SYSTEM DEVELOPMENT LIFE CYCLE; 9 (2) MONITOR THE PERFORMA NCE OF PROJECT MANAG EMENT TEAMS 10 FOR MAJOR INFORMATIO N TECHNOLOGY DEVELOP MENT PROJECTS AND 11 EXPEDITED PROJECTS A ND ENSURE THE TEAMS HAVE THE APPROPRIATE TALENT 12 AND EXPERTISE NECESS ARY TO DELIVER THE I NTENDED PROJECT VALU E; AND 13 (3) PROVIDE EXPERTISE , SUPPORT, AND INTERVENTION AS 14 NECESSARY FOR THE PR OJECT MANAGEMENT TEA M TO SUCCESSFULLY IM PLEMENT 15 A PROJECT IN A MANNE R CONSISTENT WITH ST ANDARDS ADOPTED UNDE R ITEM (1) 16 OF THIS SUBSECTION . 17 (C) THE DIVISION SHALL ESTABL ISH AND STAFF A DISCOVERY TEAM TO 18 DEPLOY TEAM MEMBERS TO HELP UNITS OF STATE GOVERNMENT ASSI ST THE UNIT 19 IN IDENTIFYING: 20 (1) WHAT PROBLEM THE USE OF AN INFORMATION TE CHNOLOGY 21 PROJECT OR PRODUCT I S SOLVING; 22 (2) WHO THE USERS OF THE PROJECT OR PRODUCT W ILL BE; 23 (3) WHAT A SUCCESSFUL SO LUTION WOULD LOOK LI KE; AND 24 (4) OTHER ISSUES TO ENSU RE SUCCESSFUL IMPLEM ENTATION OF 25 THE PROJECT OR PRODU CT. 26 (D) NOTWITHSTANDING ANY O THER PROVISION OF LA W, THE SECRETARY 27 MAY DELEGATE ANY MAJ OR INFORMATION TECHN OLOGY DEVELOPMENT PROJECT 28 TO THE DIVISION THAT THE SECRETARY DETERMINES IS APPROPRIATE TO SE RVE 29 AS A PILOT PROJECT F OR THE DIVISION TO PROVIDE T HE SERVICES DESCRIBE D IN 30 THIS SECTION. 31 18 SENATE BILL 705 3.5–907. 1 BEGINNING DECEMBER 31, 2025, AND EACH JULY 1 AND DECEMBER 31 2 THEREAFTER , THE DEPARTMENT OF GENERAL SERVICES, IN CONSULTATION WITH 3 THE DEPARTMENT , SHALL REPORT TO THE SENATE BUDGET AND TAXATION 4 COMMITTEE AND THE HOUSE HEALTH AND GOVERNMENT OPERATIONS 5 COMMITTEE, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT 6 ARTICLE, ON ANY PROJECTS OVER $1,000,000 UNDERTAKEN BY A UNIT OF STATE 7 GOVERNMENT UNDER A M ASTER CONTRACT FOR STATEWIDE AGILE RESOURCES 8 AND TEAMS CONTRACT OR WOR K ORDER APPROVED BY THE BOARD OF PUBLIC 9 WORKS IN FISCAL YEAR 2025, INCLUDING: 10 (1) THE CONTRACT O R WORK ORDER AMOUNT AND TOTAL ESTIMATED 11 PROJECT COST ; 12 (2) WHETHER THE SECRETARY OF GENERAL SERVICES AND THE 13 SECRETARY HAVE DETERM INED THAT THE UNIT H AS THE INTERNAL CAPA CITY TO 14 ADEQUATELY SUPPORT T HE PROJECT AND PROGR AM MANAGEMENT 15 RESPONSIBILITIES , INCLUDING ADEQUATE : 16 (I) HUMAN CAPITAL ; 17 (II) SUBJECT MATTER EXPER TISE; AND 18 (III) TECHNICAL INFRASTRUC TURE; 19 (3) WHETHER THE HEAD OF THE UNIT ACCEPTED AC COUNTABILITY 20 FOR THE OVERSIGHT AN D IMPLEMENTATION OF THE PROJECT; 21 (4) THE MEMBERS OF THE P ROJECT MANAGEMENT TEAM ; AND 22 (5) AFFIRMATIVE AGREEMEN TS THAT, AS PART OF THE CONTR ACT OR 23 WORK ORDER APPROVAL , THE UNIT OF STATE GOVERNMENT SUBM ITS A REPORT 24 REGARDING PROJECT ST ATUS TO THE DEPARTMENT EVERY 3 MONTHS. 25 Article – State Government 26 2–411. 27 (A) IN THIS SECTION, “BOARD” MEANS THE INFORMATION TECHNOLOGY 28 ADVISORY BOARD. 29 SENATE BILL 705 19 (B) THERE IS AN INFORMATION TECHNOLOGY ADVISORY BOARD TO 1 ADVISE THE LEGISLATIVE POLICY COMMITTEE. 2 (C) (1) THE BOARD CONSISTS OF EIG HT MEMBERS OF THE PU BLIC WITH 3 EXPERTISE IN: 4 (I) ENTERPRISE INFORMATI ON TECHNOLOGY MANAGE MENT 5 EXPERIENCE; AND 6 (II) SPECIFIC TECHNOLOGY EXPERIENCE, INCLUDING 7 EXPERIENCE WITH ARTI FICIAL INTELLIGENCE AND CYBERSECURITY . 8 (2) (I) THE PRESIDENT OF THE SENATE SHALL APPOINT FOUR OF 9 THE BOARD MEMBERS . 10 (II) THE SPEAKER OF THE HOUSE SHALL APPOINT F OUR OF 11 THE BOARD MEMBERS . 12 (3) THE PRESIDENT AND THE SPEAKER SHALL JOINTLY DESIGNATE 13 A MEMBER TO SERVE AS CHAIR OF THE BOARD. 14 (D) A MEMBER OF THE BOARD: 15 (1) (I) MAY NOT RECEIVE COMP ENSATION AS A MEM BER OF THE 16 BOARD; BUT 17 (II) IS ENTITLED TO REIMB URSEMENT FOR EXPENSE S UNDER 18 THE STANDARD STATE TRAVEL REGULATIONS, AS PROVIDED IN THE STATE 19 BUDGET; 20 (2) IS SUBJECT TO THE PUBLIC ETHICS LAW; AND 21 (3) SHALL DISCLOSE TO TH E STATE ETHICS COMMISSION IF THE 22 MEMBER: 23 (I) IS EMPLOYED BY AN EN TITY THAT CURRENTLY DOES 24 BUSINESS WITH THE STATE THAT IS RELATED TO THE MATTERS BEFOR E THE 25 BOARD; OR 26 (II) HAS A FINANCIAL INTE REST IN AN ENTITY TH AT CURRENTLY 27 DOES BUSINESS WITH T HE STATE THAT IS RELATED TO THE MATTERS BEFORE THE 28 BOARD. 29 20 SENATE BILL 705 (E) THE BOARD SHALL BE STAFFE D BY THE DEPARTMENT OF LEGISLATIVE 1 SERVICES. 2 (F) THE BOARD SHALL: 3 (1) SERVE AS AN EXPERT A DVISORY ENTITY TO TH E GENERAL 4 ASSEMBLY; AND 5 (2) REVIEW ANY STATE REPORTS OR OTHE R AVAILABLE 6 INFORMATI ON REGARDING EXISTIN G MAJOR INFORMATION TECHNOLOGY 7 DEVELOPMENT PROJECTS , INCLUDING: 8 (I) PROJECT MANAGEMENT A ND OVERSIGHT REPORTS 9 PROVIDED CONFIDENTIA LLY TO THE DEPARTMENT OF LEGISLATIVE SERVICES; 10 (II) ANY CONFIDENTIAL INF ORMATION REGARDING P ROJECT 11 RISKS SUBMITTED TO T HE LEGISLATIVE POLICY COMMITTEE; 12 (III) THE STATE MODERNIZATION P LAN; 13 (IV) LEGACY SYSTEM STANDA RDS, INVENTORY, AND FUNDING 14 PROJECTIONS ; 15 (V) STATE USE OF THE INFO RMATION TECHNOLOGY 16 INVESTMENT MATURITY MODEL; 17 (VI) THE STATE CENTRALIZATION STRAT EGIES FOR: 18 1. INFORMATION TECHNOLO GY MANAGEMENT ; AND 19 2. CYBERSECURITY ; AND 20 (VII) THE STATE ARTIFICIAL INTE LLIGENCE ROADMAP 21 DEVELOPED BY THE GOVERNOR’S ARTIFICIAL INTELLI GENCE SUBCABINET . 22 (G) ON OR BEFORE DECEMBER 15 EACH YEAR, THE BOARD SHALL SUBMIT 23 TO THE LEGISLATIVE POLICY COMMITTEE AND THE JOINT COMMITTEE ON 24 CYBERSECURITY , INFORMATION TECHNOLOGY , AND BIOTECHNOLOGY , IN 25 ACCORDANCE WITH § 2–1257 OF THIS TITLE, A REPORT THAT : 26 (1) INTERPRETS AND SUMMA RIZES THE REPORT S AND OTHER 27 INFORMATION REVIEWED UNDER SUBSECTION (F)(2) OF THIS SECTION; 28 SENATE BILL 705 21 (2) PROVIDES ADVICE TO T HE STATE BASED ON THE RE PORTS AND 1 OTHER INFORMATION RE VIEWED; AND 2 (3) COMMUNICATES THE REQ UISITE INFORMATION I N A CLEAR AND 3 CONCISE MANNER THAT , TO THE GREATEST EXTENT POSS IBLE, AVOIDS THE USE OF 4 TECHNICAL LANGUAGE O R RELIANCE ON EXISTI NG INDUSTRY KNOWLEDG E. 5 Chapter 497 of the Acts of 2024 6 [SECTION 4. AND BE IT FURTHER ENACTED, That, on or before December 1, 7 2024, the Joint Audit and Evaluation Committee, in consultation with the Joint Committee 8 on Cybersecurity, Information Technology, and Biotechnology, shall study and make 9 recommendations for any statutory and operational changes necessary to address the 10 findings of the audit issued on April 2, 2024, by the Office of Legislative Audits in the 11 Department of Legislative Services and shall report on any recommendations for statutory 12 changes to the Governor and, in accordance with § 2–1257 of the State Government Article, 13 the General Assembly, including the Senate Budget and Taxation Committee, the Senate 14 Committee on Education, Energy, and the Environment, the House Appropriations 15 Committee, and the House Health and Government Operations Committee.] 16 3.5–309. 17 (a) There is an Information Technology Investment Fund. 18 (n) (1) On or before [November] OCTOBER 1 of each year, the Secretary shall 19 report to the Governor and the Secretary of Budget and Management and, in accordance 20 with § 2–1257 of the State Government Article, to the Senate Budget and Taxation 21 Committee, the Senate Committee on Education, Energy, and the Environment, the House 22 Appropriations Committee, the House Health and Government Operations Committee, and 23 the Joint Committee on Cybersecurity, Information Technology, and Biotechnology. 24 (2) The report shall include: 25 (i) the financial status of the Fund and a summary of its operations 26 for the preceding fiscal year; 27 (ii) an accounting for the preceding fiscal year of all money from each 28 of the revenue sources specified in subsection (e) of this section, including any expenditures 29 made from the Fund; and 30 (iii) for each project receiving money from the Fund in the preceding 31 fiscal year and for each major information technology development project or expedited 32 project receiving funding from any source other than the Fund in the preceding fiscal year: 33 1. A BRIEF DESCRIPTION OF THE PROJECT , INCLUDING 34 MAJOR CUSTOMERS AND INTERDEPENDENCIES WI TH OTHER SYSTEMS ; 35 22 SENATE BILL 705 2. AN ANALYSIS OF HOW T HE PROJECT GOALS PRO VIDE 1 AN ADVANTAGE OVER CU RRENT AGENCY OPERATI ONS, INCLUDING A DESCRIPT ION 2 OF KEY PROJECT GOALS , CRITICAL SUCCESS FAC TORS, HOW THE PROJECT 3 SUPPORTS THE BUSINES S PROCESS, AND WHETHER THE SUCC ESSFUL PROJECT 4 WILL PROVIDE A BASIS FOR A FUTURE PROJECT AT THE SAME OR ANY O THER UNIT 5 OF STATE GOVERNMENT ; 6 3. A DESCRIPTION OF TEC HNOLOGIES EMPLOYED IN 7 THE PROJECT; 8 4. AN ASSESSMENT OF THE VENDOR POOL OF LIKEL Y 9 BIDDERS OR OFFERORS ; 10 5. A DESCRIPTION OF THE PROCESS USED TO DEVE LOP 11 THE PROJECT; 12 6. AN OVERVIEW OF THE P ROJECT SCHEDULE , 13 INCLUDING ANY INTERM EDIATE PROJECT DEADL INES; 14 [1.] 7. the status of the project and project funding 15 decisions; 16 [2.] 8. a comparison of estimated and actual costs of the 17 project; 18 [3.] 9. any known or anticipated changes in scope or costs 19 of the project; 20 10. A DESCRIPTION OF ANY ONGOING OPERATING 21 EXPENSES AS A RESULT OF THE PROJECT AND A TIMELINE OF WHEN THO SE COSTS 22 WILL BE INCURRED ; 23 [4.] 11. an evaluation of whether the project is using best 24 practices; and 25 [5.] 12. a summary of any monitoring and oversight of the 26 project from outside the agency in which the project is being developed, including a 27 description of any problems identified by any external review and any corrective actions 28 taken. 29 (3) THE REPORT SUBMITTED UNDER THIS SUBSECTIO N SHALL BE: 30 (I) WRITTEN, AS PRACTICABLE , IN A MANNER THAT IS CLEAR, 31 CONCISE, AND WELL–ORGANIZED AND AVOIDS TECHNICAL JARGON ; 32 SENATE BILL 705 23 (II) STRUCTURED TO INCLUD E AN EXECUTIVE SUMMA RY OF KEY 1 INFORMATION THAT HIG HLIGHTS ACTION ITEMS AND DECISION POINTS , 2 INCLUDING: 3 1. THE TOTAL VALUE OF THE PORTFOLIO , INCLUDING 4 ANNUAL DEVELOPMENT C OSTS, FUNDING SOURCES , AND PREDICTED ONGOIN G 5 OPERATING COSTS OVER THE NEXT 5 YEARS; 6 2. A SUMMARY OF NEW PRO JECTS, THE ADVANTAGES OF 7 THE PROJECTS , AND ANY NEW OR INNOV ATIVE ASPECTS OF THE DEVELOPMENT 8 PROCESSES; 9 3. AN ASSESSMENT OF THE NEW TECHNOLOGIES AND 10 BEST PRACTICES EMPLO YED ACROSS THE PORTF OLIO, INCLUDING HOW THOSE 11 TECHNOLOGIES ALIGN T O THE STATE MASTER PLAN ; 12 4. A DASHBOARD GRAPHIC TO DEPICT THE BASIC 13 STATUS OF ALL PROJEC TS IN THE PORTFOL IO, INCLUDING THE STATUS AS IT 14 RELATES TO MILESTONE S AND FINANCIAL INVE STMENT; AND 15 5. AN ASSESSMENT OF ANY RISKS IDENTIFIED , BY TYPE 16 AND AGENCY; AND 17 (III) MADE PUBLICLY AVAILA BLE ON THE DEPARTMENT ’S 18 WEBSITE. 19 (o) (1) On or before January 15 of each year, for each major information 20 technology development project or expedited project currently in development or for which 21 operations and maintenance funding is being provided in accordance with subsection (i)(3) 22 of this section, subject to § 2–1257 of the State Government Article, the Secretary shall 23 provide a summary report to THE SENATE BUDGET AND TAXATION COMMITTEE, THE 24 SENATE COMMITTEE ON EDUCATION, ENERGY, AND THE ENVIRONMENT , THE 25 HOUSE APPROPRIATIONS COMMITTEE, THE HOUSE HEALTH AND GOVERNMENT 26 OPERATIONS COMMITTEE, THE JOINT COMMITTEE ON CYBERSECURITY , 27 INFORMATION TECHNOLOGY , AND BIOTECHNOLOGY , AND the Department of 28 Legislative Services with the most up–to–date project information including: 29 [(1)] (I) project funding decisions and project status, INCLUDING: 30 1. ANNUAL DEVELOPMENT C OSTS; 31 2. FUNDING SOURCES ; AND 32 24 SENATE BILL 705 3. ONGOING OPERATING CO STS, INCLUDING LICENSES 1 AND SUPPORT TO MAINT AIN AND UPDATE THE S YSTEM; 2 [(2)] (II) any schedule, cost, and scope changes since the [last annual] 3 report REQUIRED UNDER SUBSE CTION (N) OF THIS SECTION WAS SUBMITTED; 4 [(3)] (III) a risk assessment THAT GIVES A DETAILE D DESCRIPTION OF 5 THE RISK IDENTIFIED , including: 6 1. TYPE OF RISK ID ENTIFIED, INCLUDING AGENCY 7 GOVERNANCE , STAFF RESOURCE AVAIL ABILITY OR TRAINING , FUNDING, 8 INTERDEPENDENCIES WI TH OTHER SYSTEMS , TECHNICAL ISSUES , 9 ORGANIZATIONAL CULTU RE, OR LONG–TERM SUPPORTABILITY ; AND 10 2. any problems identified by any internal or external review 11 and any corrective actions taken; [and] 12 (IV) PROJECT TRACKING MET RICS, INCLUDING: 13 1. PROJECT DEADLINES AN D ASSOCIATED 14 DELIVERABLES ; AND 15 2. A DESCRIPTION OF ANY CHANGES IN SCOPE , 16 TIMELINE, AND COSTS; AND 17 [(4)] (V) any change in the monitoring or oversight status. 18 (2) THE REPORT SUBMITTED UNDER THIS SUBSECTIO N SHALL BE: 19 (I) WRITTEN, AS PRACTICABLE , IN A MANNER THAT IS CLEAR, 20 CONCISE, AND WELL–ORGANIZED AND AVOIDS TECHNICAL JARGON ; 21 (II) STRUCTURED TO INCLUD E AN EXECUTIVE SUMMARY OF KEY 22 INFORMATION THAT HIG HLIGHTS ACTION ITEMS AND DECISION POINTS , 23 INCLUDING: 24 1. THE TOTAL VALUE OF T HE PORTFOLIO , INCLUDING 25 ANNUAL DEVELOPMENT C OSTS, FUNDING SOURCES , AND PREDICTED ONGOIN G 26 OPERATING COSTS OVER THE NEXT 5 YEARS; 27 2. A SUMMARY OF NEW PRO JECTS, THE ADVANTAGES OF 28 THE PROJECTS , AND ANY NEW OR INNOV ATIVE ASPECTS OF THE DEVELOPMENT 29 PROCESSES; 30 SENATE BILL 705 25 3. AN ASSESSMENT OF THE NEW TECHNOLOGIES AND 1 BEST PRACTICES EMPLO YED ACROSS THE PORTF OLIO, INCLUDING HOW THOSE 2 TECHNOLOGIES ALIGN TO THE STATE MASTER PLAN ; 3 4. A DASHBOARD GRAPHIC TO DEPICT THE BASIC 4 STATUS OF ALL PROJEC TS IN THE PORTFOLIO , INCLUDING THE STATUS AS IT 5 RELATES TO MILESTONE S AND FINANCIAL INVE STMENT; 6 5. AN ASSESSMENT OF ANY RISKS IDENTIFIED UND ER 7 PARAGRAPH (1)(III) OF THIS SUBSECTION , BY TYPE AND AGENCY ; AND 8 6. FOR THE ENTIRE PORTF OLIO, AN ASSESSMENT OF 9 PROJECT MANAGEMENT A ND OVERSIGHT , DELINEATED BY AGENCY –LED PROJECTS 10 AND DEPARTMENT –LED PROJECTS , INCLUDING ALL ANTICI PATED CHANGES IN 11 SCOPE OR COSTS AND PROJECT TR ACKING METRICS ; AND 12 (III) MADE PUBLICLY AVAILA BLE ON THE DEPARTMENT ’S 13 WEBSITE. 14 SECTION 2. AND BE IT FURTHER ENACTED, That Section(s) 3.5 –316 of 15 Article – State Finance and Procurement of the Annotated Code of Maryland be repealed. 16 SECTION 3. AND BE IT FURTHER ENACTED, That, notwithstanding any other 17 provision of law, on or before June 30, 2026, the Secretary of Budget and Management, 18 with the approval of the Governor, to meet the requirements of this Act, may transfer by 19 budget amendment to the Maryland Office of Digital Experience, as enacted by Section 1 20 of this Act, the following appropriations included in the fiscal year 2026 operating budget, 21 as enacted by Chapter _ (H.B. 350) of the Acts of the General Assembly of 2025: 22 (1) up to $4,300,000 in staff augmentation funds; and 23 (2) up to 20% of the remaining appropriation to the Information 24 Technology Investment Fund under § 3.5–309 of the State Finance and Procurement 25 Article. 26 SECTION 4. AND BE IT FURTHER ENACTED , That, notwithstanding any other 27 provision of law: 28 (1) on or before June 30, 2026, the Governor may transfer to the Maryland 29 Office of Digital Experience, as enacted by Section 1 of this Act, up to 50 positions, vacant 30 or filled, along with the associated funds and unexpended appropriations that were 31 included in the fiscal year 2026 operating budget, as enacted by Chapter (H.B. 350) of 32 the Acts of the General Assembly of 2025; and 33 (2) an individual who is a permanent or contractual staff member in a 34 budgeted position in the Department of Information Technology or a unit of the State 35 26 SENATE BILL 705 executive branch whose position is transferred to the Maryland Office of Digital Experience 1 shall be transferred without any decrease to or loss of the individual’s rights, pay, status, 2 working conditions, benefits, or retirement benefit status. 3 SECTION 5. AND BE IT FURTHER ENACTED, That, in fiscal year 2026, the 4 Department of Information Technology: 5 (1) shall work with units of State government to find economies of scale 6 through use of one statewide productivity suite under one State license but may provide for 7 specific exceptions as necessary to meet specific unit needs; 8 (2) shall identify any other technology licensing or costs that could be 9 reduced with a statewide contract for licensing or services; and 10 (3) provide that any savings identified through the provisions of this 11 section shall accrue to the Information Technology Investment Fund to assist in 12 implementing the provisions of this Act. 13 SECTION 6. AND BE IT FURTHER ENACTED, That in fiscal year 2026, except for 14 funds transferred under Sections 3 and 4 of this Act, no additional general funds beyond 15 those appropriated for the Department of Information Technology in the fiscal year 2026 16 operating budget, as enacted by Chapter (H.B. 350) of the Acts of the General Assembly 17 of 2025, may be used to implement this Act. 18 SECTION 7. AND BE IT FURTHER ENACTED, That the Senate Budget and 19 Taxation Committee and the House Health and Government Operations Committee shall 20 convene a workgroup to evaluate the provisions of this Act, including: 21 (1) the duties and responsibilities that should be assigned to the 22 Department of Information Technology, the Maryland Office of Digital Experience, the 23 Major Information Technology Development Project Oversight Division, the Maryland 24 Digital Service Unit, or other offices in the Department; 25 (2) what, if any, additional actions should be taken to ensure adequate 26 resolution of the findings made by the Office of Legislative Audits in 2024; 27 (3) whether it would be efficient and effective to have a Department of 28 Information Technology employee embedded on–site in units of State government with a 29 major information technology development project to assist in project management, to 30 provide expertise, and to serve as a liaison between the unit and the Department; 31 (4) whether additional or independent procurement authority should be 32 given to the Department of Information Technology; and 33 (5) whether there are more efficient and effective ways or mechanisms, 34 including establishment of an independent information technology project management 35 authority to provide project and program management and implementation. 36 SENATE BILL 705 27 SECTION 2. 8. AND BE IT FURTHER ENACTED, That this Act sh all take effect 1 June 1, 2025. 2 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.