Legislators Press DHS on MD THINK costs, certification and data reporting

A subcommittee of the Maryland House Appropriations Committee examined the Department of Human Services administration budget on Feb. 12, focusing on MD THINK, the state's cloud platform that now hosts eligibility, child welfare and child support systems. Department of Legislative Services budget analyst Natalie Andrade told the panel the DHS fiscal 2026 allowance rises $29.2 million, and that the MD THINK program is a major driver of the increase.

The budget analyst highlighted long‑running concerns about cost reporting and program management. DLS said MD THINK expenditures reported to the state differ from agency reports (for example, DLS cited a $116.6 million figure for fiscal 2024 while state budget documents indicate $206.5 million) and called for a committee narrative requiring a report on MD THINK’s cost, implementation, progress and sustainability. DLS also referenced a March 2024 Department of Information Technology audit that found the project's budget grew from $166.4 million in 2018 to $588.8 million in 2022 and reported delays in completion.

Why it matters: MD THINK supports eligibility and benefits used daily by large numbers of Marylanders. Lawmakers said they need clearer accounting of where taxpayer and federal funds are being spent, how much is for operations versus enhancements, and whether the platform's governance and certification processes are adequate.

DHS officials said the platform has evolved since it was originally envisioned. Karnitra White, principal deputy secretary for the Department of Human Services, said, “DHS serves nearly 1,000,000 Marylanders annually,” and described MD THINK as how many programs “operate.” Pat McLaughlin, MD THINK executive director, told the committee: “What MD THINK really has become is a dynamic enterprise‑wide digital services platform that’s aligned with modern technology best practices.” He said the platform now supports multiple agencies beyond DHS, including the Maryland Health Benefit Exchange and the Department of Health, which increases the platform’s scope and ongoing operating costs.

DHS provided numbers and context in response to DLS requests. The department said the fiscal 2026 MD THINK allowance is $157.6 million, of which $125.0 million is for DHS‑specific work and roughly $32.0 million reflects reimbursable work for partner agencies. DHS said about 47% of the DHS share is for design, development and enhancements and 53% is for maintenance and operations; it also said roughly 60% of MD THINK funding is federally matched, so budget adjustments are not 1:1 across fund sources.

Certification and functionality: DLS asked why the platform’s core applications had not completed all required federal certifications despite years in production. DHS answered that some certifications are complete and others are in process: the U.S. Department of Agriculture Food and Nutrition Service review for the eligibility and enrollment (ENE) system was complete, and the Centers for Medicare & Medicaid Services (CMS) review is underway; the child support management system (CSMS) pre‑certification phase has identified roughly 25 non‑compliant functions that the department is addressing; and CJAMS (child, juvenile and adult management system) was found in substantial compliance in November 2023.

Functional gaps, defects and program controls: DHS told the panel it shifted to a product development model in 2023, adopted road maps for each application and reported a roughly 60% reduction in defects identified over two years. The department said it had moved many legacy systems onto the platform and has begun modernizing them rather than leaving them in a “lift‑and‑shift” state.

Human services pilot, call center and financial issues: DLS raised several additional items in its analysis. The Human Services Careers pilot—scholarships and internships to address workforce shortages—has delivered 55 scholarship awards and will begin internship components in spring 2025 in Baltimore City, Baltimore County and Prince George’s County, DHS said. DHS also acknowledged a budget reporting error that labeled a $23 million alignment for home energy funds as a call‑center increase; DHS said it is working with the Department of Budget and Management to correct the reporting.

Separately, DHS reported an identified $100.2 million deficit in a non‑budgeted clearing account. Jessica Smith, acting chief financial officer, told the committee DHS expects to reconcile the account as part of the fiscal‑year 2025 closeout, and that the comptroller’s general accounting division had confirmed special funds are available to offset the deficit; the department said general funds should not be required to resolve it.

Data accuracy and child‑fatality reporting: Committee members asked about data integrity after media reports on child fatalities and the Department's admission that some reports were misclassified. DHS said it had reported hotline counts to federal systems without filtering to confirmed child‑abuse findings and that staff had manually reviewed cases to resubmit a corrected NCANDS (National Child Abuse and Neglect Data System) file. DHS said it will provide updated numbers to the committee in a follow‑up meeting.

Next steps and oversight: DLS recommended committee narrative requiring an MD THINK report; DHS concurred and requested a Dec. 1, 2025, due date to align state and federal reporting cycles. Lawmakers pressed for clarity on long‑term costs, governance and how responsibilities are shared among agencies now that the platform hosts multiple state programs.

Ending: Committee members signaled continued oversight. DHS committed to provide the requested MD THINK cost and implementation report, certification updates and reconciliations for the clearing account and scholarship program details in follow‑up filings.