By JOE MURCHISON

Laurel Mayor Keith Sydnor has proposed a $46.2 million budget for fiscal year 2026, which begins on July 1. His proposed budget is 7% greater than this year’s budget but would keep city tax rates the same. 

The mayor and city council began work sessions on the budget on May 1. Michele Saylor, the city’s budget director, said that the council could pass the budget as soon as May 28.

Sydnor’s proposal anticipates $30 million in property tax revenue, an increase of $2.6 million, or 9.5%, over what was budgeted this year. Property taxes are the city’s main revenue source. 

Saylor noted that the increase will come from the phase in of higher property assessments and $32 million in new home construction at Patuxent Greens, off Route 197, and the Westside neighborhood around Van Dusen Road and Konterra Drive.  

On the spending side, the biggest single increase would be just over $1 million added to the police department’s budget. Almost all of the total is for raises that were negotiated two years ago with the Fraternal Order of Police union. The proposed budget anticipates keeping the number of police officers steady at 70.

Saylor said that city police would receive 7% salary increases, with other city employees receiving 5%. 

Laurel properties will be reassessed during the coming year, a process that happens every three years. Given the dramatic rise in real estate prices in recent years, that could produce an even higher bump in the city’s property tax revenue in two years.  

But Saylor cautioned that an economic downturn, as many economists are predicting, could wipe out that appreciation. “A lot can happen before they do those assessments,” she said. 

At the May 1 council meeting, Mayor Sydnor noted that the “The budget is balanced. This is a good balanced budget.”

Upcoming meetings about the budget:

May 7, 6 p.m., virtual, continuation of budget work 

May 12, 6 p.m., virtual, mayor and city council regular meeting, with budget public hearing as an agenda item

May 28, 6 p.m., mayor and city council regular meeting with possible adoption of the proposed budget