County lawmakers say state budget cuts could stall County Executive Douglas M. Duncan's ambitious transportation agenda and make it even more difficult to win state money for school construction.

Gov. Robert L. Ehrlich Jr.'s $22.9 billion budget for the fiscal year that begins July 1 would pay for the Thornton Commission education plan and Medicaid, increase state aid to the county by $17 million and invest in a new $46 million research building at a University of Maryland biotechnology center in Rockville, all without raising sales or income taxes or laying off state employees.

But his budget reduces transportation aid to the county by $12.2 million, cuts aid to Montgomery College by $2.5 million -- half of that in this fiscal year -- and would borrow $300 million from the Transportation Trust Fund to plug a $1.8 billion budget hole.

Ehrlich (R) also plans to charge the county, which faces a $300 million deficit itself, a $2.4 million "local payment" to help cover the cost of administering property tax assessments, almost twice as much as any other jurisdiction. Baltimore city would be charged just $565,000.

"Unfortunately, everybody figures that Montgomery County can afford to do it," said Del. Gareth E. Murray (D-Dist. 20) of Silver Spring.

County officials charged that Ehrlich's increase in state aid -- which he said keeps his campaign promise not to cut local aid -- is really a reduction because it is half the increase they had expected under state budget formulas.

"Transportation, Program Open Space and, ironically, education are the big losers," said Council President Michael L. Subin (D-At large) of Gaithersburg.

And a furious Duncan (D), whose $10 billion Go Montgomery! transportation proposal relies heavily on state assistance, warned that raiding the $3 billion transportation fund could jeopardize projects such as the proposed Intercounty Connector and a Purple Line cross-county rail line.

"He [Ehrlich] said there would be no cuts in local aid, and there's cut after cut after cut," said Duncan, who is a potential Ehrlich challenger in 2006. "I mean, it's a lesson learned that you've got to watch very carefully everything he says."

Ehrlich spokesman Paul E. Schurick defended the plan to divert money from the Transportation Trust Fund and repay it later.

"Not one single project would be delayed or deferred, not one, even in the long term," Schurick said. "It will be fixed, it will be cured, quickly and easily."

John M. Kane, chairman of the Maryland Republican Party and a trucking company owner from Potomac, noted that the $12 million cut in transportation aid was a tiny piece of Go Montgomery!'s price tag.

"That is not going to thwart the overall direction of Go Montgomery," Kane said. "I think we need to keep things in perspective."

County lawmakers also are concerned about budget language that says Ehrlich would provide $102 million in state aid for school construction in his capital budget, which is due to be released Thursday. That is more than the $78.5 million envisioned in last year's budget, but $48 million less than the $150 million projected by his predecessor, former Gov. Parris N. Glendening (D), in August.

The state's Interagency Committee on School Construction already has recommended about $50 million worth of projects, including $4 million for Montgomery County. But Ehrlich's plan would leave only an extra $50 million available statewide, making it extremely difficult for the county to win the extra $14 million it is seeking for school projects.

"We have already slowed the pace of school construction to an exacerbated level, and this will reduce it further," said Councilman Thomas E. Perez (D-Dist. 5) of Takoma Park, who would rather see an income tax hike than cutting or delaying projects.

The cut in state aid to Montgomery College, part of an across-the-board cut to the state's community colleges, comes as the college already is planning to raise tuition a second year in a row -- by $5 a credit hour for county residents. Spokesman Steve Simon said college officials have not decided how to cope with the unexpected reduction in state aid but are reluctant to raise tuition any higher.

"This budget is a long-term disaster for Montgomery College, and it hurts those who are most in need of higher education," Subin said.

County lawmakers say an increase in the state gasoline tax would make up only partially for Ehrlich's reduction in transportation aid. A 5-cents-per-gallon increase -- the most likely option -- would generate just $3.6 million a year for the county.

Duncan also is pushing legislation that would allow the county to raise $24 million a year for transportation projects by imposing a local surcharge on vehicle registrations.

Several Democrats conceded that Ehrlich put together a decent budget, but they warned that it does not solve the budget shortfall in future years.

"It's not a bad budget," said Del. Richard S. Madaleno Jr. (D-Dist. 18) of Kensington. "But it's not a complete solution."

Staff Writers David Abrams and Eric Kelderman contributed to this report.