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CFO warns legislative changes could cut FY26 state aid by millions; county share of some costs may rise
Summary
Howard County Public School System staff told the Board of Education on Jan. 23 that preliminary state aid projections increased total state aid but that pending legislation and changing guidance could reduce that gain by several million dollars while shifting new costs to counties and school districts.
Howard County Public School System staff told the Board of Education on Jan. 23 that preliminary state aid projections raised the system’s baseline state funding but that proposed legislative changes and updated guidance could reduce that gain or shift new costs to counties.
Chief Financial Officer Brian Hall and the budget team said staff’s December estimates initially projected about $24.8 million in increased state aid for FY26 (a projection that moved the system from $351.8 million to roughly $376.6 million in state aid). But the figures presented to the board after Maryland State Department of Education (MSDE) projections were delivered produced a net change that staff described as roughly $720,000 lower than their preliminary internal estimate. Hall emphasized the estimates are preliminary and depend on the legislative process.
Why the numbers shifted: MSDE guidance and enrollment counts Hall…
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