Howard County Council CIP and Operating Budget Work Session #1 – April 29, 2026

The Howard County Council held its first FY2027 operating and capital budget work session on April 29, 2026, from 10:00 a.m. to approximately 4:30 p.m. The session covered revenue overview, education funding for HCPSS, Howard Community College, and the Howard County Library System, as well as operating budgets for the State’s Attorney, Board of Elections, and the new Inspector General’s office. Discussions highlighted a proposed $1.6 billion general fund budget, a $67 million budget gap closed without tax increases, significant revenue volatility, and long-term sustainability concerns. No formal votes were taken; the session was informational and will continue on May 11 and May 15, 2026.

Revenue Overview

• County Administrator Dr. Holly Sun presented a $1.6 billion FY27 general fund budget, closing a $67 million gap using multiple strategies including a $3 million transfer from the fleet fund, updated income tax projections (11.6% growth over FY26 budget, but only 2.4% over current year estimate), and $41 million in reductions from other agencies.
• Key revenue drivers: property tax (slowing but positive), income tax (highly volatile, driven by capital gains and one-time factors), and interest income (declining with federal rate cuts).
• Risks include potential federal layoffs (over 11% of county residents are direct federal employees), state tax law changes, and uncertain economic outlook. The state’s March revenue forecast projects 0% growth in FY27.
• Use of pay-go (one-time funds) is $106 million, primarily for school capital projects. The county’s recurring revenue growth of $116 million is allocated 66% to schools, followed by public safety and community services.
• Councilmembers expressed concerns about structural deficits, the need for sustainable revenue growth, and the importance of diversifying the tax base through housing and commercial development.

Education – Howard County Public Schools (HCPSS)

• Superintendent Bill Barnes and Board Chair Antonia Watts presented the board’s FY27 operating and capital budget request. The county executive proposed funding 99.3% of the request, leaving a $6.2 million gap that the school system plans to close using fund balance ($9.2 million total one-time funds), reducing dependency on reserves from previous years.
• Discussion focused on the Blueprint for Maryland’s Future implementation, rising special education and multilingual learner costs, declining enrollment, and the need to redirect resources from non-Blueprint programs (e.g., GT, strings) to meet mandates.
• Councilmembers questioned the use of fund balance, long-term projections showing significant future funding gaps (e.g., $75 million increase needed in FY28), and the impact of Blueprint’s unfunded mandates. Superintendent Barnes emphasized that increased funding alone is not the solution; the system is undergoing strategic transformation.
• Capital budget: $98 million from the county, with a focus on deferred maintenance (growing $30-40 million annually), new Elementary School 43 (addressing overcrowding at a Title I school), and maximizing state Built to Learn funds before 2031 expiration. A sufficiency study will be completed in fall 2026 to inform future priorities.
• On block scheduling: Superintendent noted it was discussed but shelved after strong staff opposition; it remains a potential future conversation to improve student opportunity and manage class sizes.

Education – Howard Community College (HCC)

• President Dr. Daria Willis and team presented the FY27 request: $47.2 million operating (3% increase) and $3 million capital. Key initiatives include the workforce development and trade center (opening fall 2026), the mathematics and athletics complex (already hosting events), and expanded programs.
• State aid increased by $1 million, but future state funding caps are a concern. Enrollment has grown 8.2% over five years.
• Discussion covered contract with CampusWorks ($2.2 million annually, stepping down), a compensation study for full-time employees (excluding adjuncts, due October 2026), and a $3,500 one-time bonus for all employees in FY25.
• Councilmembers asked about administrative positions, legal spending, and the percentage of budget increases allocated to compensation (currently $2.3 million set aside for all employees, with negotiations ongoing for unionized faculty).

Education – Howard County Library System (HCLS)

• Library leadership presented the operating budget (county funding of $29.2 million, up 7%) supporting wage increases, negotiated agreements, and collection needs. Highlights include early childhood programs, teen engagement, and community connection initiatives.
• Capital project: New Central Library in downtown Columbia – updated budget of $129 million (down 10% from prior estimate), with 38% from external sources (state grants, federal funding, philanthropy). The project targets a fall 2029 construction start, with land purchase in spring 2027.
• Councilmembers questioned project cost realism, operational costs ($600,000 estimate for building maintenance, to be updated), parking arrangements, and the design-build approach for cost control. Director of General Services addressed safety concerns at Savage Branch, stating no hazardous chemical found after extensive testing; carbon monoxide detectors will be integrated into HVAC.

Legislative/Judicial/IG – State’s Attorney

• State’s Attorney Rich Gibson presented a $15.6 million budget for 95 employees. Priority initiatives include reclassifying five victim-witness assistants (funded), adding paralegals for body-worn camera review (half funded) and juvenile unit (not funded), and planning a mental health court for 2027.
• Body-worn camera unit currently has 12 staff and reviewed 11,456 hours of footage in FY25; workload pressures necessitate additional resources. The office handles approximately 11,000 cases annually.

Legislative/Judicial/IG – Board of Elections

• Director Guy Mickley (appearing virtually) reported on FY27 budget, which covers the gubernatorial general election. Key items: 56 polling places, 1,100 election judges, and planned replacement of all voting equipment by 2028 (paid in three installments starting FY27). Unfunded mandates from the state (equipment leasing) comprise about a quarter of the budget.

Legislative/Judicial/IG – Inspector General

• New Inspector General Missy Madigan presented her first budget, with 96% of expenses in salaries for four positions (reclassified administrative assistant to investigator). Total FY27 request is $601,869.
• She reported receiving 52 complaints in her first four months, developing policies, a website, and a case management system. She requested read-only access to county data systems and use of salary savings to purchase a $46,000 fleet vehicle.
• Councilmembers emphasized the importance of full and unrestricted access to records per the enabling legislation, expressing concern about delays in obtaining such access. The Office of Law indicated a data use agreement is nearly complete.

Key Outcomes

• No formal votes were taken. The work session was informational, with follow-up questions and additional discussion scheduled for May 11 and May 15, 2026.
• The council decided to defer remaining agenda items (Sheriff’s Office, County Council/Auditor, other judicial departments) to the May 15 spillover session.
• Councilmembers directed staff to investigate the Inspector General’s need for system access and to expedite agreements.
• The council expects updated revenue projections and more detailed capital project information from the county administration and school system before final budget adoption.