Maryland 2026 Regular Session

Maryland House Bill HB1369

Introduced
2/13/26  
Refer
2/13/26  
Report Pass
3/19/26  
Engrossed
3/20/26  
Refer
3/23/26  
Report Pass
4/6/26  

Caption

Department of Budget and Management - Audit and Finance Compliance Unit - Establishment

Summary

HB1369 establishes an Audit and Finance Compliance Unit within the Maryland Department of Budget and Management. The unit is tasked with monitoring Executive Branch agencies’ efforts to correct audit findings reported by the Office of Legislative Audits, helping agencies develop and implement corrective actions, and providing guidance, coordination, and technical assistance to strengthen internal controls and compliance practices. The bill also requires the Governor to maintain systems and processes to track audit-finding remediation across executive departmental units. The bill creates a more formal state-level structure for follow-up on audit findings, especially repeat or unresolved findings. It requires the unit to provide direct assistance to agencies with four or more repeat audit findings, or when requested by the Joint Audit and Evaluation Committee, and to establish a specialized team that may include state employees, contractual staff, and outside contractors. The unit must also maintain a public dashboard showing current and repeat audit findings and submit annual reports to the Joint Audit and Evaluation Committee. In addition, the bill expands access to unredacted cybersecurity findings for specified legislative and executive officials and for the new unit.

Impact

HB1369 amends the State Finance and Procurement Article by adding a new subtitle establishing the Audit and Finance Compliance Unit and defining its duties, reporting obligations, and authority to provide assistance to executive departmental units. It also amends the State Government Article to clarify the Governor’s monitoring responsibilities and to allow specified officials, including the new unit, to view unredacted cybersecurity findings in audit reports. The bill affects executive agencies subject to legislative audits, the Department of Budget and Management, and oversight bodies such as the Joint Audit and Evaluation Committee.

Sentiment

The bill appears to have broad bipartisan support and little visible opposition. It passed the House 126-0 and the Senate 46-0, and the committee report was favorable with amendments. The unanimous votes suggest general agreement that the state should strengthen oversight and follow-up on audit findings and improve transparency around unresolved issues.

Contention

The main policy questions raised by the bill are operational rather than ideological: how much authority and staffing the new unit should have, how aggressively it should intervene in agencies with repeat findings, and how to balance transparency with cybersecurity confidentiality. The bill’s provisions allowing unredacted cybersecurity findings to be viewed only by a limited set of legislative and executive officials, plus the new unit, indicate concern about protecting sensitive information while still enabling oversight. No specific objections are reflected in the available transcript materials.

Companion Bills

MD SB0858

Crossfiled Department of Budget and Management - Audit and Finance Compliance Unit - Establishment

Previously Filed As

MD HB1369

Department of Budget and Management - Audit and Finance Compliance Unit - Establishment

MD SB907

Cybersecurity - Standards, Compliance, and Audits - Alterations

MD HB352

Budget Reconciliation and Financing Act of 2025

MD SB230

Human Services - Local Departments of Social Services - Audits

MD SB1040

Department of Budget and Management - Expedited Hiring Program (FEDERAL Jobs Act of 2025)

MD SB321

Budget Reconciliation and Financing Act of 2025

MD HB251

Human Services – Local Departments of Social Services – Audits

MD HB0506

Economic Development - Transformational Project Financing Program - Establishment

MD HB0738

Real Property - Transfer-on-Death Deed - Establishment

MD HB1309

Commission to Review and Assess Racial Disparities in the State Criminal Justice System - Establishment

Similar Bills

No similar bills found.