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County executive outlines budget pressures, revenue‑cap effects on schools and services
Summary
Wicomico County Executive Julie Giordano and Administrator Bunkie Luffman told the Board of Education about state funding shifts, pension and assessment changes, forward funding for Fruitland Primary and the local revenue cap’s effect on county priorities.
Wicomico County Executive Julie Giordano and County Administrator Bunkie Luffman briefed the Wicomico County Board of Education on county finances, warning of new state cost shifts for fiscal 2026 and outlining how the county’s revenue‑cap constraints affect funding for schools, public safety and roads.
Giordano told the board the state’s proposed budget shifts roughly $143 million of costs onto counties and specifically pointed to reductions in a pension supplement that will reduce county revenue by about $784,000 and another state action that will raise the county’s pension obligations by about $1.7 million, yielding a roughly $2.9 million shift in county costs, she said. Giordano also described forward‑funding needs tied to Fruitland Primary: the county may have to forward $27 million this year and about $8.7 million the following year to match state timing for capital support, she said.
Giordano defended the county’s overall fiscal practices and noted capital investment in schools: she said the county has provided about $122 million in capital to the Board of Education since 2010, compared with roughly $95 million for other departments. She highlighted an approximately $1,100,000 grant for broadband to cover costly driveway connections and described revenue‑cap effects: property tax revenue increases are limited to 2% annually under local law, she said, which raises a tension between taxpayer protections and funding needs for services. Giordano said the county could apply the revenue cap exception for education, but council support would be required.
Board members pressed on details including the mechanism and timing of forward funding, the county’s rainy‑day balance and impact fees. Giordano said the county maintains robust reserves to preserve bond ratings and that forward‑funded state reimbursements typically return over multiple years—but are not guaranteed. Giordano also said the county’s largest revenue source is now income tax, which can be more volatile than property tax. The presentation closed with board members thanking the county leadership and saying they would continue quarterly coordination between the county and the school board.
