Maryland Department of General Services Leads Modernization Effort to Right-Size State Government and Deliver More Than $326 Million in Savings

Under Governor Wes Moore’s Government Modernization Initiative, the Maryland Department of General Services (DGS) has taken decisive steps to eliminate inefficiencies, and save Maryland taxpayers more than $326 million.

The Moore-Miller Administration inherited a state-owned facility portfolio that was suffering from decades of underinvestment and neglect, with many buildings requiring significant infrastructure investments. In response, DGS has been working to identify long term solutions, beginning with a review of nine state-owned buildings located in Baltimore City. The primary focus is to provide more modern and efficient environments, both for Maryland’s State workforce and for Marylanders receiving vital State services, while also providing a significant cost savings to the State.

In January 2025, Governor Moore signed an executive order launching a new Government Modernization Initiative for the State of Maryland. Under the leadership of Chief Performance Officer Asma Mirza and the new Director for Government Modernization Elisabeth Sachs, state agencies are reviewing operational data and identifying opportunities for the State to modernize government processes, save money and reduce waste.

DGS performed comprehensive cost-benefit analyses to vet various options for each of the state-owned Baltimore City buildings in order to identify the optimal solution moving forward that will be in the State's best interests. As a result, DGS identified significant cost savings through the consolidation, relocation, or reconfiguration of the facilities.

Baltimore City Facilities	DGS Actions	Estimated Savings
State Center Complex (201 W. Preston St., 300 W. Preston St., 301 W. Preston St., 100 N. Eutaw St.)	The decision to move forward with the prior administration’s plan to relocate agencies from State Center was made after careful analysis of the deferred maintenance of the site. The Moore-Miller Administration also successfully negotiated a long awaited settlement with the prior developers of State Center, freeing up the site for redevelopment.	$126,325,758
2100 Guilford Ave.	DGS canceled the planned comprehensive renovation of this building, and is instead relocating the DGS HQ to commercial leased space.	$38,873,529
William Donald Schaefer Tower (6 St. Paul)	DGS canceled a planned comprehensive renovation of the building, and is working to relocate all agencies to commercial leased space.	$21,052,288
310-311 W. Saratoga St.	Rather than perform a costly renovation to modernize this site for DHS, DGS determined that the relocation to commercial leased space would be the most cost effective option.	$18,426,024
MSDE Grasmick Building (200 W. Baltimore Street)	DGS canceled a comprehensive renovation of the building, and has determined that relocating MSDE and MHEC to commercial leased space would be the most cost effective option.	$37,684,314
201 St. Paul St.	As the Office of the Public Defender was experiencing growth, DGS analyzed several options to accommodate additional space and determined that relocating to commercial leased space was the most efficient option.	$3,979,143
MDH Capital Lease	After encountering challenges in the commercial real estate market, DGS evaluated multiple options for the MDH relocation. Of the available options, transitioning to a MEDCO intergovernmental / capital lease model proved to be the most cost-effective and time-efficient solution.	$80,000,000
Total		$326,341,056

“This is exactly the kind of forward-thinking, results-oriented effort the Governor called for,” said DGS Secretary Atif Chaudhry. “We’re not just identifying broken systems—we’re finding unique and creative solutions that will benefit generations of Marylanders. This critical work will save money, support our workforce, and create a more modern, more effective state government.”

DGS is working with key stakeholders to facilitate the disposition of the properties in a manner that best supports the needs of Baltimore City.

This initiative in Baltimore City is a cornerstone of the Moore-Miller Administration’s broader effort to modernize state government, right-sizing the state’s real estate footprint and aligning operations with today’s workforce needs.