Somerset County proposes its FY26 budget

PRINCESS ANNE, Md. — Somerset County officials are proposing to keep the real property tax rate steady next year, even as property assessments rise by nearly 12%, potentially leading to a significant increase in tax revenue.

Internal Auditor Sharon Muir said the proposed fiscal year 2026 budget assumes an 11.86% jump in property assessments. Despite no change in the tax rate, that increase would result in higher bills for property owners.

“The commissioners have proposed to retain the current real property tax rate,” Muir said. “The county expects an increase in real property tax revenue due to an estimated 11.86% increase in assessments.”

The proposed budget includes approximately $7 million in new operating and capital expenditures tied to the creation of a county-run Emergency Medical Services division. The division was formed after the county took over ambulance operations in Princess Anne earlier this year.

“The county has established an emergency medical services division to handle all aspects of the ambulance services operation,” Muir said.

Rising property values are also impacting the homestead tax credit, which caps annual increases in a homeowner’s property tax bill. With values climbing, the cap is being reached more often.

“So the bill cannot go up beyond the 10%,” Muir said. “That was anticipated to happen because of the increased assessed values.”

However, the budget does not include funding for road maintenance — a decision that has drawn concern from residents.

“We’re not doing any road service or maintenance this year,” one resident said. “It’s kind of like missing maintenance on your boat — what happens the second year? The problem gets worse and it will cost more to fix.”

County leaders say they’ve been assured the roads can go another year without major repairs.

“Mr. Barnes assured us that we are in good shape for one good year,” County Commissioner Charles Laird said, referring to Woody Barnes, director of roads. “Our road bid would not affect us in the following year.”

The FY26 budget proposal is still under review, and public input will play a role in final decisions in the weeks ahead.