For Immediate Release: Wednesday, May 22, 2024
The Montgomery County Council meets on Thursday, May 23 at 9:30 a.m. to take final votes on the County’s $7.1 billion FY25 Operating Budget and the $5.84 billion FY25-30 Capital Improvements Program (CIP).
Budget resolutions will be available on the Council's website by Thursday, May 23, 2024.
The Council is expected to take final votes on County’s $7.1 billion Fiscal Year (FY) 2025 Operating Budget and the $5.84 billion FY25-30 Capital Improvements Program (CIP) to fund school construction, infrastructure improvements and community projects. The FY25 Operating Budget represents a five percent increase compared to the FY24 Operating Budget.
The budget would provide funding to increase ongoing investments in education, public safety, health and human services and affordable housing. Resources are also included to combat climate change and boost economic growth. These priorities are funded while providing more competitive salaries for Montgomery County employees and nonprofit providers and honoring the County’s long-term commitments to retired employees with $59.1 million provided for Other Post Employment Benefits. The Council continues to reinforce the County’s financial stewardship by funding the County’s reserves at 10.8 percent.
The FY25 weighted tax rate would remain static at $1.0255 per $100 of assessed value and includes $0.0470 per $100 that is dedicated to Montgomery County Public Schools (MCPS). Additionally, homeowners would continue to receive a $692 property tax credit that includes a degree of progressivity since lower-valued properties will receive a greater reduction in property taxes.
The $5.94 billion in capital funding would address the County’s most urgent building needs including more than $1.85 billion for MCPS infrastructure. The Council made an unprecedented investment by adding $165 million in systemic projects to support critical infrastructure and extend the life of and improve conditions in schools. The CIP program for MCPS provides funding for 18 individual school projects and sets a schedule and sequence for school construction that can be maintained to avoid delays in the future.
The CIP provides $398.2 million for Montgomery College for capital projects including $60.5 million for the new East County Campus.
The capital budget also includes a significant increase for affordable housing programs, including $65 million in current revenue in FY25 for the Affordable Housing Acquisition and Preservation project and a $20 million increase in FY26-27 for the Affordable Housing Opportunity Fund. Additionally, there is a $50 million addition to the Nonprofit Preservation Fund, including $35 million in FY24 and $15 million in FY25. The capital budget also establishes a new project, Revitalization for Troubled and Distressed Common Ownership Communities, to provide $10 million of financial and technical support for homeowner and condominium associations.
The Council’s budget also includes funding to support MCPS, Montgomery College and essential educational and cultural services in Montgomery County. Funding $3.3 billion for MCPS comprises half of the County’s overall budget and is 99.2 percent of the Board of Education’s request. The local County contribution of $2.13 billion, funds the school system at approximately $158 million above the state mandated funding level.
Vote expected: The Council is scheduled to vote to approve resolutions for the FY25 Capital Budget and amendments to the FY25-30 Capital Improvements Program:
The Council is also scheduled to vote to approve the following resolutions for the FY25 Operating Budget:
In addition, the Council is scheduled to vote to approve the following resolutions:
The Council meeting schedule may change from time to time. View the current Council and Committee agendas, Council staff reports and additional information on items scheduled for Council review on the Council website. Council and committee meetings are streamed live on the Council’s web page via YouTube and on Facebook Live and can be watched on County Cable Montgomery on Xfinity/RCN 6 HD 996/1056, Fios 30, and on the CCM live stream.
Release ID: 24-201