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Thursday, May 15
The Baltimore WatchdogThe Baltimore Watchdog
Home»Business

Howard County contributes $10 million to cover school system’s deficits

April 16, 2021 Business No Comments
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By Jordyn Jones
Baltimore Watchdog Staff Writer

Howard County Executive Calvin Ball on Thursday announced a plan to pay down the Public School System’s Health and Dental Fund with a one-time $10 million contribution.

Photo by Howard County Government

Ball said the contribution will put the county ahead of the FY2024 target for eliminating the deficit and could potentially allow for the elimination of the deficit by the end of the year.

This goal was set when Ball took office and noticed a $39.2 million deficit in the HCPSS Health and Dental Fund as of June 30, 2019.

Prior to COVID-19, the deficit was on track to being eliminated by the year 2024, however, the financial uncertainty of the coronavirus posed a threat to the goal. The only way to stay on track was to take immediate action, Ball explained.

“Today we are taking the next big step toward meeting this fiscal challenge head on, contributing an additional $10 million in my proposed FY2022 Operating Budget, and putting us on track toward eliminating this deficit once and for all,” Ball said.

An agreement Ball had reached with Superintendent Michael J. Martirano proposed a multi-year plan to resolve the Health and Dental Fund Deficit by the end of FY2024. The multi-year plan proposed to pay down the deficit incrementally using HCPSS unassigned fund balance, year-end savings from HCPSS, and one-time contributions from Howard County Government.  

“The deficit has long undermined the school system’s financial footing and has limited our ability to fund instructional priorities and student supports,” Martirano said. “Since becoming superintendent nearly four years ago, eliminating the deficit and fully funding our health care obligations have been amongst my highest priorities and I am grateful for the partnership and support of the County Executive.

Colleen Morris, president of the Howard County Education Association, said the 7,000 employees represented by the association benefit from Ball’s action.

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