Keeping up with Kate - Budget highlights

Dear friends,

Today the Montgomery County Council voted to pass the County’s $7.6 billion Fiscal Year (FY) 2026 Operating Budget and the $6 billion amended FY25-30 Capital Improvements Program (CIP).

We faced a number of challenges with the budget this year. To meet these challenges, we put in place a process that was inclusive, transparent, and collaborative, and in the end, we were able to deliver for residents and businesses without increasing taxes. 

Simply put, the multiplicity of needs in our community are growing, and the decisions we had to make were tough. Not even five months into the Trump presidency, Montgomery County, the state of Maryland, and the entire region are facing the most uncertainty we’ve seen in decades. Federal cuts are and will touch all our lives and impact every public service that our residents rely on. 

But, here in Montgomery County we continue to live by our values of being a welcoming and inclusive community with a thriving economy and the best education system to prepare our young people and families for the future. 

And our FY26 budget reflects that. Here are a few highlights I’m proud to share:

Education

• Montgomery County Public Schools funding at a record $3.6 billion, which comprises half of the County’s overall budget and covers 99.8% of the MCPS budget request.

• Montgomery College funding of $345 million, which allows them to maintain current tuition levels.

Public Safety

• $352 million in funding for the Montgomery County Police Department, including funding to expand the successful Drone as First Responder Program to Germantown.

• Increased funding for the Office of Emergency Management and Homeland Security to provide continuity in emergency planning, training, and outreach, despite reductions and eliminations of federal grant funding.

• $1.2 million for the Nonprofit Security Grant Program to protect our nonprofit and faith organizations and houses of worship.

Health and Human Services

• Nearly $14 million for the Office of Food Systems Resilience to provide critical food resources. 

• $62 million for Services to End and Prevent Homelessness to address rising rates of homelessness in Montgomery County.

• $140 million in services to support children, youth and families, and $78 million in services to support older adults and people with disabilities.  

• $66 million for Behavioral Health and Crisis Services, promoting mental health services, treatment and recovery services, and culturally competent care for people of all ages with behavioral health needs.

• I am proud of our public health department for stepping in and filling the void for essential reproductive and sexual health services, including free HIV/STI testing services, as we see more and more cuts from the federal government. 

Economic Development

• The Council approved economic development initiatives focused on job creation and business attraction and development, including $5.3 million for the Montgomery County Economic Development Corporation (MCEDC), which is the County’s lead economic development organization.

• $3.2 million for WorkSource Montgomery, which is standing up a specialized office to assist federal workers now looking for jobs.

Transportation, Parks, and the Environment

• This year, we are making Ride On free for all residents in alignment with our transit equity and climate goals and to encourage ridership growth. 

• We also rejected proposed cuts for our Parks, one of the most valued and defining assets of our community, and increased funding for Montgomery Recreation, including increased funding for the new Silver Spring Recreation and Aquatic Center.

• We restored funding for the Green Bank totaling nearly $17 million to ensure we continue our work on climate change.

Housing

• $81.4 million for the Department of Housing and Community Affairs (DHCA) to preserve and increase the supply of affordable housing.

• $58 million for Housing Initiative Fund resources to increase funding for rental assistance as well as finance, construct, and preserve affordable housing in the County.

• Funding totaling nearly $9 million for the Housing Opportunities Commission, which provides affordable and supportive services with the mission of enhancing the lives of individuals and families with low to moderate incomes.

We did all this while increasing our commitment to invest in our hardworking County employees, and without raising tax rates. 

Thank you again to the more than 300 residents who testified live during our budget hearings and the thousands more who emailed, called, and met with us throughout the budget season.

Sincerely,

Kate Stewart

Council President

Kate in the Community

Asian American, Native Hawaiian, and Pacific Islander (AANHPI) Heritage Month

Montgomery County proudly celebrates the month of May as Asian American, Native Hawaiian, and Pacific Islander (AANHPI) Heritage Month. The Council recognized AANHPI Heritage Month with a proclamation and special video presentation highlighting this year’s theme, “A Legacy for Leadership and Resilience.” The theme honors the hard work of AANHPI leaders who have established a foundation for future generations to thrive and adapt to change and adversity.

Watch the Council’s video honoring AANHPI Heritage Month.