ANNAPOLIS, MD—Maryland Governor Wes Moore announced Friday that his administration’s government modernization initiative is projected to save taxpayers hundreds of millions of dollars over the long term through efficiencies in state operations.
The initiative is expected to save Maryland taxpayers up to $50 million in the upcoming fiscal year 2026 alone. Over the next five years, the state anticipates saving $250 million across procurement, information technology, and vehicle fleet management. Additionally, more than $326 million in real estate savings are projected over the next 20 to 25 years.
“While the federal government recklessly slashes budgets and lays off public servants, we are using data to save taxpayers money and modernize government in a targeted way,” Moore said in a statement. “This announcement is only the beginning of our efforts. Together, we will continue to prioritize fiscal discipline and ensure we deliver essential services to all Marylanders, efficiently and effectively.”
Moore launched the government modernization initiative by executive order in January. The program focuses on streamlining operations, reducing fragmentation, promoting best practices, and increasing accountability by reviewing agency operational spending.
The initiative team examined core government functions — including procurement, IT, fleet management, and real estate — working with state agencies to identify data-backed savings. After gathering extensive data and meeting with numerous government agencies, the team identified both near-term and long-term savings.
Among the long-term savings, $326 million is projected over 20-25 years by consolidating, relocating, or reconfiguring state facilities. The Department of General Services reviewed nine state-owned buildings in Baltimore City to identify optimal solutions for right-sizing the state’s real estate footprint.
Baltimore Mayor Brandon M. Scott welcomed the news, stating, “Baltimore is proud that so many State employees call Charm City home, and we’re grateful for the State’s investments to create safer, more efficient office spaces for them to work.”
For fiscal year 2026, the projected savings include:
- $14 million in procurement by improving awareness and use of statewide contracts with better rates. This includes standardizing shipping options and shifting spending to existing statewide shipping contracts.
- $30 million in IT spending outside of the Maryland Department of Information Technology, achieved by eliminating underutilized technology, streamlining purchasing, or extending the useful life of IT assets. Examples include terminating low-use mobile and legacy landlines, standardizing laptop specifications, and extending hardware refresh cycles.
- $16 million in IT savings identified by the Maryland Department of Information Technology through centralizing statewide solutions for identity and access management and consolidating cybersecurity tools. These savings will be reinvested in other IT priorities.
- $6 million through consolidation of the state’s vehicle fleet, leading to fewer vehicle purchases annually and reduced maintenance and fuel costs.
“Our data-driven approach to modernizing state government operations is saving taxpayer dollars,” said Chief Performance Officer Asma Mirza. “This is another way we’re improving the performance of state government to deliver results for Marylanders.”
The government modernization team plans to continue implementing necessary contractual measures and policy realignments to realize the identified savings and will work with agencies to find additional efficiencies.
Photo via Pixabay
