Kathy Klausmeier Faces Tough Budget Decisions as New Baltimore County Executive

BALTIMORE COUNTY, MD — One month into her term, Kathy Klausmeier stated she does not intend to be a mere placeholder as Baltimore County‘s Executive. In her first formal interview since taking office, Klausmeier discussed the challenges ahead, particularly a difficult budget year, with WYPR’s John Lee.

The Baltimore County Public Schools (BCPS) are requesting an almost 11 percent increase in funding for the upcoming fiscal year. However, Klausmeier firmly rejected the request, saying, “I go way back with the school system and we just have to say no.” School Superintendent Myriam Rogers has argued that the increase is critical for funding special education, Pre-K expansion, and staff benefits.

Klausmeier contended that the county has various pressing needs, stating, “We have the police. We have the fire. We have the EMS. It’s not that I want to be stingy. But we just don’t have the money.”

This upcoming fiscal year, which begins in July, will see Baltimore County receive approximately $127 million in new funding. Nevertheless, nearly half of that amount will go toward mandatory expenses, including employee health insurance and debt repayments. “County agencies and the school system can expect increases of around three percent,” said Kevin Reed, Baltimore County’s director of budget and finance.

The Maryland state government is grappling with a $3 billion budget shortfall, which complicates the fiscal landscape for local jurisdictions. This year, the state has passed along $17 million in traditional costs to the county, intensifying the budget stress. Klausmeier has appealed to state officials, saying, “My ask to the state is please don’t take anything else away from us at this point.”

The fate of around $400 million in federal aid also looms over the county’s budget discussions, as the potential for cuts looms under the current administration. Reed mentioned that a quarter of this federal funding goes toward housing vouchers for families in need. “These are services that we provide and get funded for,” Reed said. He added that approximately 600 county employees are also dependent on this federal aid.

With rising inflation impacting construction and maintenance costs, dwindling COVID relief funds, and maxed-out borrowing capabilities, Klausmeier emphasized that tax increases are not being considered at this time. “It’s not on the menu right now, that’s for sure,” she noted.

Klausmeier was appointed by the County Council to fill the remaining two years of Johnny Olszewski’s term after he secured a seat in Congress. As Baltimore County’s first female executive, Klausmeier stated, “I have to say I’m enjoying myself, and I’m thinking I said I’d only do it for two years, but that was my word. My bond is my word.”

Despite her commitment not to run in the upcoming 2026 election, Klausmeier expressed the importance of leaving a positive legacy. “It’s important to look into the future because that’s where my grandchildren are, that’s where my family is, and I may not be here, but I want to leave them in a good world,” she said.

Klausmeier will unveil her first budget proposal to the County Council in April, setting the stage for her administration’s fiscal priorities.