Council President Stewart Announces Bill to Expand Tax Breaks for Child Care Providers
For Immediate Release: Tuesday, June 17, 2025
From the Office of Council President Kate Stewart
Bill 21-25 would expand eligibility and increase the property tax credit amount from $3,000 to $10,000
Montgomery County Council President Kate Stewart introduced legislation today that would provide broader and more generous property tax credits to Montgomery County child care businesses to help them stay in operation.
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“At a time when the need for child care services is increasing, we are seeing across the state of Maryland a decline in licensed providers and a decline in capacity,” Council President Stewart said. “We also know child care continues to get more expensive for both families and providers. I am proud to introduce this bill which will provide greater property tax credits to our child care providers, increasing affordability for our current providers and incentivizing new providers to build and operate in Montgomery County. Access to affordable, quality child care is not just a parenting issue but an economic issue as well. Supporting our day cares is essential to making sure our residents are able to live and work in our county and is key to our economic growth.”
During the 2025 Maryland legislative session, the General Assembly passed House Bill 389, enabling Maryland jurisdictions to expand the amount and eligibility of property tax credits to child care providers.
Under current County law, the tax credit covers registered family child care homes, licensed child care centers, licensed day care centers for the elderly, and licensed day care centers for adults. Following the update to the state law, Bill 21-25 would expand eligibility for the tax credit to include large family child care homes.
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Additionally, the legislation would increase the permitted amount of the tax credit from $3,000 to $10,000. The intent of the bill is to provide targeted tax breaks that will help existing, and new, child care providers stay in operation, while continuing to incentivize construction.
The bill would also update terminology in accordance with state law, among other measures. Councilmember Gabe Albornoz, Council Vice President Will Jawando, and Councilmembers Andrew Friedson, Sidney Katz, Evan Glass, and Laurie-Anne Sayles are cosponsors. A public hearing is tentatively scheduled for July 8.
Additional bill details can be found in the Council staff report .
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Release ID: 25-210
Media Contact: Cecily Thorne 301-910-0610
Categories: Kate Stewart
For updates and link to press release, see here: http://www2.montgomerycountymd.gov/mcgportalapps/Press_Detail.aspx?Item_ID=47228