No county furloughs, yet

Baltimore County government appears to be the one calm spot in a storm of state and local government deficits.

SmithSeveral counties and Baltimore City are combating projected deficits with furloughs and hiring freezes. But County Executive Jim Smith says such moves will not be necessary for this budget year or for the next which begins July 1.

“I have been going around to our employees and telling them that because they have been reading about what’s going on every place else,” Smith said. “They have been reading about what is going on in . … I want them concentrating on the good work that they do for Baltimore County.”

Here’s a little of what county employees have been seeing:

  • Last month, Prince George’s County Executive Jack Johnson, a Democrat, and the County Council approved a plan requiring that every county employee be furloughed for 80 hours before the end of the fiscal year in June. The county has a projected deficit of nearly $57 million.
  • In Baltimore City, police and fire department overtime was cut this week to offset a nearly $37 million projected deficit.
  • Anne Arundel County John Leopold, a Republican, instituted a hiring freeze that is expected to save about $2.5 million because of a projected $21 million deficit. It’s the third hiring freeze of his administration. Short-term employee furloughs are considered a last resort, according to Audra Harrison, a county spokeswoman.
  • In Montgomery County, Democratic County Executive Ike Legget has proposed two-day furloughs for 10,000 non-public safety employees because of a projected $250 million deficit.

Despite the tough economic times, Baltimore County is projecting a budget surplus of about $15 million for the current budget year, which ends in June. Smith credited the surplus to the county’s history of being very conservative when it comes to estimating revenues and to being frugal.

“We don’t have fat in our county budget,” Smith said.

At the state level, Gov. Martin O’Malley and the Board of Public Works trimmed $350 million from the budget in an attempt to balance the state’s budget. The Nov. 4 slots referendum is also part of that equation.

Smith says he is concerned that if slots are rejected the state will transfer the $635 million cost of the teacher pension plan to local jurisdictions. Baltimore County’s share would be about $75 million a year.

Peter Franchot, the state comptroller, said that even with slots the state will have “billion-dollar deficits as far as the eye can see.

Smith said he is “concerned about the state getting its house in order” but remains optimistic.

“I am not anticipating that even going into the 2011 budget year that Baltimore County will be dealing with furloughs or layoffs,” Smith said. “Two years is a lifetime in budgeting, so, although I can say right now it doesn’t look like that will be the case, I’m hoping that will hold but two years is a long time.”