ANNAPOLIS, Md. — A new legislative audit review says more than 40 Maryland government entities operating outside the state’s standard procurement rules have uneven safeguards over how they spend billions of dollars each year, with some lacking basic written policies or clear requirements for competition and public disclosure.
In a special review released Nov. 20, 2025, the Office of Legislative Audits identified 42 state units that are either fully or partially exempt from Division II of the State Finance and Procurement Article, which governs how most agencies bid, award and advertise contracts. Twenty-nine of those units are fully exempt from the law for all procurements, while 13 have exemptions for specific types of contracts or programs.
The exempt group ranges from higher education institutions and economic development authorities to the Maryland Health Benefit Exchange, Maryland Stadium Authority, Maryland Environmental Service and Developmental Disabilities Administration. Together, those units reported about $8.5 billion in non-payroll operating expenditures in fiscal 2024, according to the report…