WILL DOUG GANSLER CONDONE WICOMICO COUNTY’S SHELL GAME?

Here’s the letter from the County’s school system asking Maryland’s Attorney General to rubber stamp the scheme hatched after the State Board of Education rejected the County’s request for waiver of the “maintenance of effort” required under State law in order to receive funding. As pointed out, the County budget for FY 2010 prepared by Rick Pollitt and adopted by the County Council would be Two Million Dollars short if the scheme is not allowed by the State to satisfy the requirement.

The letter describes how money in the Board’s “School Construction Savings Plan” – established to pay for work on schools – would be “used for payment on debt service on school construction projects” by the County.” Somehow, so goes the scheme, that would “fully fund Maintenance of Effort,” apparently because it would allow the County to use an equivalent amount that it would otherwise need to appropriate to pay that debt to instead increase the appropriation to the school system.

Obviously it’s a circular flow of the money – first from the Board to the County, then vice-versa, with no net increase in County funding of the system. The money being flowed out and back represents funding previously appropriated by the County in past budgets that is now being “returned” so it can be send back. It’s difficult if not impossible to treat it as the additional funding of the system that’s required for maintenance of effort.

What say you, Mr. Gansler?