Montgomery County Council

Budget Update

On March 14, 2025, the Council received the County Executive’s $7.7 billion Fiscal Year 2026 Recommended Operating Budget. The FY26 Recommended Operating Budget represents a 7.6 percent increase compared to the approved FY25 Operating Budget.

“Budgets are guiding documents that establish priorities, reflect community needs, and underscore core values,” said Council President Kate Stewart. “With our community values under attack by the Trump administration, budget cuts looming at the federal and state level, and the possibility that the state will require the County to pay a larger portion of cost-sharing items such as teacher pensions, the Council's upcoming budget deliberations will likely be some of the most challenging since the start of the Great Recession. 

“The two major challenges we face this year are the unpredictable impact of the erratic and damaging cuts to federal jobs and federal aid combined with the unknown scope and scale of state budget obligations that will likely be shifted to Montgomery County.

“As we make our way through these uncharted waters, we must carefully examine our resources and expenditures and plan for the unexpected, so that we are able to continue our unyielding commitment to support education, public safety, and our essential safety-net services. Our overarching goals will be to preserve the key services that our residents rely on every day while dealing with the constantly changing and challenging fiscal situation in an open and transparent way.

“This Council will continue its tradition of centering the needs of our residents while also maintaining the fiscal stewardship that has enabled Montgomery County to weather economic storms, the COVID crisis, and maintain our AAA bond rating which remains the hallmark of well-run governments across the nation. Holding tight to our established and fiscally sound economic principles will help us all navigate the challenges that lie ahead. 

“I encourage Montgomery County residents to provide their feedback to the Council, as we move through the budget process. Your views are instrumental in developing a final budget that will benefit community members by balancing the needs for essential and important county services with the financial demands facing our taxpayers.”

The Council’s public hearings on the operating budget are scheduled for April 7 and April 8 at 1:30 p.m. and 7 p.m. Those interested in testifying at the public hearings in person or virtually can  sign up or by calling 240-777-7802 (Budget Hotline) or 240-777-7803 (Testimony Line). 

Per the Montgomery County Charter, the Council must take final action on the County’s Operating Budget by June 1, 2025 for the fiscal year that begins July 1, 2025.