President Reagan announced yesterday that he will renominate Donald J. Devine, controversial director of the Office of Personnel Management, for a second four-year term as head of the government's central personnel agency.

Devine's term, one of the few top federal posts with a statutory time limit, expires this month.

The former University of Maryland political science professor has been the principal architect of administration attempts to cut the domestic side of the federal bureaucracy and to revamp rules determining how employes are paid, promoted and fired.

During the first three years of the Reagan administration, nearly 12,000 federal employes -- including about 3,000 here -- were fired to cut costs. Major personnel cuts in nondefense agencies were largely offset by increases in the civilian payroll at the Defense Department.

Devine, who will be 48 next month, is considered one of the most politically conservative members of the administration. His efforts to cut costs and benefits in the federal health program, to exclude "political" groups from federal fund-raising efforts, and his sometimes abrasive style have made him one of the most controversial stewards of the Civil Service agency. He is expected to be reconfirmed by the Republican-controlled Senate.

During his first term, several federal unions and management groups urged Reagan to fire Devine.

In a prepared statement, Devine said: "I look forward to serving four more years with the greatest president in American history. We've made great progress during the past four years . . . achieving significant management reforms to make the government work better. I am confident that we will continue that progress . . . ."