With economic forecasters predicting a $1 billion deficit in Maryland, the state?s county administrators will have to work harder to ensure the imbalance doesn?t shift unfairly to local governments, officials said.
County budget security tops a list of proposed policy initiatives next year for the Maryland Association of Counties, an umbrella group that advocates for county governments to the state government, executive director David Bliden said Thursday.
Speaking to six county executives and Baltimore City Mayor-designate Sheila Dixon at a luncheon in Catonsville Tuesday, Bliden said he?s concerned the state could balance the budget by reducing local aid for health departments, public education, public safety and grant programs.
That, Bliden said, could force counties to increase local taxes to maintain service standards.
“That?s particularly true in this environment, when the major source of county funding is being undercut by the slowdown in the real estate market,” Bliden said.
Governor-elect Martin O?Malley ? who stopped by the luncheon that included leaders from the region?s seven largest municipalities ? joked about the deficit, calling the topic a sure sign campaign season is over. The deficit estimates coincide with a new study indicating state tax revenues could fall short.
Maryland is the only state where all major tax sources are underperforming, according to a report released by the National Conference of State Legislature Thursday.
“We?re working through and we?re facing some tough choices,”said O?Malley spokesman Rick Abbruzzese. “But being the mayor of Baltimore, [O?Malley] certainly understands how cuts to local jurisdictions affect services and municipalities.”
Bliden said county governments have already made significant contributions to the state?s fiscal problems. County executives and other regional officials at the event agreed to unify lobbying efforts for increased local aid despite the deficit.
“There are some areas where we may disagree as far as priority is concerned,” said Donald Fry, president of the Greater Baltimore Committee. “But if we can put more money into the pot, we all benefit.”