Inflation is affecting local governments, and they're letting their legislators know

The impact of inflation on public agencies was a recurring theme as the Washington County Board of Education and the Washington County Commissioners met with state legislators Monday.

These annual meetings, conducted this year at Hagerstown Community College, allow local agencies to discuss issues they'd like Washington County's delegation to the Maryland General Assembly to pursue during the upcoming legislative session.

The General Assembly convenes for the 90-day 2024 session on Jan. 10 in Annapolis.

Sen. Paul Corderman, R-Washington/Frederick, warned the county commissioners that money could be tighter in the next few years, too.

"We went from a couple-hundred million (dollar) surplus to $100 million deficit just this year alone, projected out about a $1.8 billion deficit in about three or four years," he said. "They're gonna have to get a little leaner, or we're gonna have to borrow a boatload of money or somewhere in between."

What did Washington County Public Schools ask for?

School officials opened their talks with delegation members by highlighting their "core values," which include adequate local and state funding, local control and full funding for legislative mandates.

Tied up in all of that are requirements under the state's broad education policy, the Blueprint for Maryland's Future.

The school board asked the delegation to support state funding for implementing features the Blueprint mandates. School officials also are asking for more money from the state for school construction.

The board is currently looking at three elementary school construction projects: one that would combine Fountain Rock and Hickory elementary schools, one that would combine Potomac Heights and Fountain Rock elementary schools and one that would combine Old Forge and Fountaindale elementary schools.

Hearings already have been conducted for the closures of Fountain Rock and Hickory, and school officials anticipate closing those schools in June 2027 and opening a new school on Downsville Pike in August 2027.

The school board is also considering another high school/middle school complex, but no particular site has been designated as yet, Superintendent David Sovine said.

"We've looked at (the) Clear Spring model in terms of middle and high school" for an example of how to add another, he said. "Certainly Smithsburg is another model middle and high school. But we haven't gone any further than that.

"We believe that a middle school/high school complex from a cost savings standpoint, there's value in that. I know Cecil and Harford, similar counties in terms of conservative level of support, have executed secondary plans and saved taxpayer dollars."

School officials also asked the delegation to support a return of the "maintenance of effort escalator," which was a part of the state's previous "Bridge to Excellence" school policy but was eliminated in the Blueprint.

The maintenance of effort, which requires counties to fund school systems at the same amount per pupil as the previous year, is still required. But the escalator also took into account local wealth in determining how much county governments should contribute to their school systems.

"Really what we're getting at is that with that maintenance of effort, from year to year, each student receives the same amount of money as the previous year," said Ilissa Ramm, chief legal counsel for Washington County Public Schools. "But as we all know with inflation and requirements of Blueprint, and the costs are going up, really that same amount is providing less services to our students."

The Blueprint funding formulas were codified right at the onset of the pandemic, she noted, and since then there has been record inflation.

Local allocations to education should be reviewed and calculated annually, she said, to make sure they're adequate.

School officials also are looking for state money to pay for additional security staff and school resource officers. Those positions are not eligible for grant funding under the Safe to Learn Act approved in 2018 to oversee school safety policies.

Inflation is on the minds of the county commissioners, too

The Washington County Commissioners met later with the delegation, and also cited inflation in their requests. County Administrator Michelle Gordon said county officials project that costs for Blueprint requirements will begin to affect the county budget beginning in Fiscal Year 2030 as more of those costs shift from the state to local governments.

In the meantime, with the potential capital needs for the renovation or replacement of the Washington County Detention Center, the courthouse, schools and other infrastructure projects such as roads and bridges, the county is seeking authorization to issue up to $100 million in new bonds.

The county periodically requests authority from the General Assembly to issue bonds up to a certain limit, which is currently $70 million. The bonds are then issued incrementally over years. Of the $70 million last authorized in 2018, $29.3 million is left, Gordon said.

"The county's bond authorization limit is nearing exhaustion," she said. "Inflationary increases have been contributing to rising costs for construction for building schools, roads, bridges and other types of infrastructure projects."

The county's Capital Improvement Plan is expected to increase by $2 million to $4 million in each of the next five fiscal years, she added. If approved, she expects the new bond authorization to last for four to five years.

Additionally, the county is seeking authorization to purchase vehicles costing up to $100,000 without seeking competitive bids. The current threshold is $50,000.

"We have recently had difficulty purchasing vehicles, particularly heavy duty pickup trucks and equipment. Those typically cost in excess of $50,000. Inflation has eroded our purchasing power as vehicles have become more expensive."

They typically cost $70,000 to $90,000, she said.

And the county often loses the opportunity to buy them because private purchasers who aren't delayed by the bidding process often snap them up before the county can complete a purchase.

Suppliers often face inventory shortages, she said, which compounds the problem.

"We would like to be able to move on these purchases more quickly" to avoid losing them, she said.

What other requests were made of the Washington County delegation?

The county commissioners also are seeking enabling legislation to convert the office of county treasurer from an elected to an appointed position. Currently, Washington, Calvert and St. Marys counties have elected treasurers, as does the city of Baltimore. All the other counties have appointed treasurers.

If approved, the change would be effective at the end of the current term.

The county also is looking at security enhancements for local judges.

Noting that Washington County is the only county in the state that doesn't require its board of education members to live within the county, the school board also is seeking a local bill this year that would require board members to live and be registered to vote in Washington County.

And Sheriff Brian Albert is looking for an adjustment to restrictions on participation in pre-release programs from the detention center.

"One of the things that come up that limits us, if they've ever been convicted of a crime of violence, potential participant's aren't eligible," he said. "And it's forever; it doesn't have any term limits."

Albert is seeking legislation to allow the sheriff's office to consider participants if those crimes were committed outside a certain time period — perhaps five to 10 years before applying for the program, and not counting any time spent incarcerated.

Albert cited the example of a man convicted in an armed robbery in another state at age 18; he's now in his mid-40s, Albert said, has had no criminal record since but has an addiction issue and had drug possession charges.

He estimated there are 25 to 30 such cases a year.

This article originally appeared on The Herald-Mail: Washington County MD leaders seek state aid with inflated costs