State health department and analysts dispute local health department funding mechanics and matching rules

Department of Legislative Services analysts and Maryland Department of Health officials debated the fiscal 2026 public health administration budget at a Feb. 12 subcommittee hearing, focusing on how the state budgets core funding for local health departments and how salary adjustments affect local match requirements.

DLS presentation and recommendations: Naomi Kimura of the Department of Legislative Services told the subcommittee the PHA fiscal 2026 allowance totals about $320.6 million and that core public health services funding is governed by state statute and a formula that, by design, sets minimums in the near term ($70 million in fiscal 2025 and $80 million in fiscal 2026 per the statute referenced in the analysis). DLS identified a $9.7 million increase in the fiscal 2026 allowance that was not clearly explained by COLAs and salary adjustments and recommended cutting $2.3 million of unexplained funding. DLS also recommended that…