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Legislative analysts and DHS spar over MD THINK costs and certification as subcommittee hears fiscal 2026 request
Summary
Department of Human Services officials defended the MD THINK integrated IT platform and other budget items before the Health and Social Services Subcommittee, while the Department of Legislative Services pressed for more transparency about cost growth, certification status and a DLS-requested report on the project’s long‑term sustainability.
The Department of Human Services defended a $344.7 million fiscal 2026 administration allowance and sought to reassure lawmakers that MD THINK — the state’s cloud-based health and human services platform — is improving, while legislative analysts pressed DHS to explain cost escalations and delayed certifications.
Natalie Andrade, the Department of Legislative Services budget analyst, told the subcommittee the fiscal 2026 DHS administration allowance rises by $29.2 million, or 9.3%, to $344,700,000. "The increase is primarily driven by MD THINK related expenses for operations and maintenance as well as salary adjustment and associated fringe benefits," Andrade said during her presentation.
Why it matters: MD THINK consolidates multiple legacy systems for eligibility, case management and child support and now supports other state agencies, which means cost and management questions carry broad fiscal and operational implications. A March 2024 audit by the Department of Information Technology found the project’s budget and schedule had grown significantly, and DLS asked the committee to request a report on MD THINK’s costs, implementation and long‑term sustainability.
DHS officials described steps taken to address functionality and certification gaps and to change program management. Principal Deputy Secretary Karnitra White said DHS serves nearly 1 million Marylanders and that core applications migrated to MD THINK are used daily. "These systems are how we operate," White said, adding DHS has moved from a "lift and shift" approach to a product development model to reduce defects and improve deployments.
Pat McLaughlin, MD THINK executive director, described the platform as a statewide, evolving digital services environment and said that as other agencies joined the platform so did the system’s scope and ongoing operating costs. "What MD THINK really has become is a dynamic enterprise-wide digital services platform that's aligned with modern technology best practices," McLaughlin told the panel.
DLS flagged a multi-year pattern of cost growth and reporting gaps. MD THINK expenditures reported in briefings differed from state budget figures: DLS noted $116.6 million reported for federal fiscal 2024 by MD THINK but $206.5 million shown in state budget documents for the same period, and it said $92.2 million of the project’s fiscal 2026 allocation did not appear to be tied to a specific IT project account.
DHS staff said some differences reflect that the MD THINK appropriation consolidates several applications and platform services — and that $32 million in the fiscal 2026 MD THINK line is work reimbursed by partner agencies. DHS acting CFO Jessica Smith told the committee that a large change in one line labeled as a call center increase was a mislabeling in the budget submission system and that the funds were actually federal fuel assistance allocations, not a single contract overrun.
Certification and functionality: DHS told the subcommittee that several MD THINK components have completed or are progressing through required federal certifications. DHS said the eligibility and enrollment system (ENE) has one certification complete and a second (CMS) in process; child support (CSMS) is in pre-certification with around 25 identified non‑compliant functions being addressed; and CJAMS (child, juvenile and adult management system) was found in substantial compliance in November 2023. DHS also said it has reduced defects roughly 60% over two years after shifting to a product development approach.
Audits and oversight: DLS recapped a March 2024 DOIT audit that documented major cost growth and multi‑year delays and recommended the committee ask for a report on MD THINK’s cost, implementation, progress and sustainability. DHS concurred with the report request and said it would provide the requested report but asked for a December 1, 2025 due date so it can align with federal fiscal year reporting.
Other DHS budget items: DLS also pressed DHS on the human services careers pilot (scholarship and internship components), noting 111 scholarship applications with 55 awards in a first round; on delays and vacancies — DHS reported 63 vacancies as of Dec. 31, 2024, with nine open more than a year; and on a $100.2 million deficit DLS found in a non‑budgeted clearing account that DHS said it expects to reconcile through journal entries and special fund balances without general fund relief.
What DHS pledged: DHS said it will provide the DLS‑requested MD THINK report, clarify spending and reimbursements for the platform, and produce follow-up data on the human services careers pilot and the clearing‑account reconciliation timetable. DHS asked that the MD THINK report be due Dec. 1, 2025 to align with federal reporting timelines.
Ending: The subcommittee did not vote on any budget line during the DHS administration hearing, but the session closed with DHS agreeing to supply the committee with the requested documentation and schedule updates on MD THINK and related financial issues.
