FY 27 Proposed Operating Budget

The committee had no preconceived intentions as to the findings or recommendations contained herein.

II. Methodology and Background

A. Methodology, Background and Data Studied

Since its inception in 1992, the committee has been reporting under the County's Executive

Order creating the committee. We were very fortunate that the composition of the committee consisted

of six returning members and one new member, who worked well together to complete this task with

a broad base of relevant experience. In addition, the County Treasury and Budget staff are familiar

with the c ommittee’s process and are able to provide relevant guidance. Therefore, we were able to

focus all our efforts on our primary charges.

Over the years of operation, the committee has formulated a methodology for adopting a

guideline of the percentage increase in spending affordability for the county. The committee again

decided to follow the traditional "budget based" estimate of spending affordability. That is, estimating

the level of revenue that will become available through the collection of taxes and fees, assuming no

increase in applicable rates not already enacted or announced. This approach contrasts methodologies

adopted by certain other jurisdictions which are typically defined as estimating spending levels tied to

citizens' ability to pay for additional services.

We also utilized information from the following sources:

· Income tax collections for Harford County, through February 2026, provided by the

Treasurer.

· Property tax collections, and estimates, for Harford County, through FY 2026 and FY

2027, provided by the Treasurer.

·

Additional input from the Treasurer as to the impact of the Maryland

General Assembly recent actions and any pertinent information or

estimates from the State Comptroller’s office.

· The county ’s Debt Management Policy dated April 13, 2010, and a debt burden

analysis for years 2025-2031, provided by the Treasurer’s office.

·

The county FY 2025 Annual Comprehensive Financial Report.

· The county provided access to the Directors of the Departments of Planning &

Zoning, License, Inspections & Permits, and Economic Development. These

individuals provided the committee with insight into future growth and

development of the county.

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