Montgomery County Council Meets on May 9 to Review FY26 Operating Budgets
For Immediate Release: Thursday, May 8, 2025
Also on May 9: Council vote expected on a resolution to approve the memorandum of agreement between the County and the Montgomery County Volunteer Fire-Rescue Association
The Montgomery County Council will meet on Friday, May 9 at 1:30 p.m. continue review of Fiscal Year (FY) 2026 Operating Budgets and review a resolution to approve the memorandum of agreement (MOA) between the County and the Montgomery County Volunteer Fire-Rescue Association (MCVFRA).
More detail on each agenda item is provided below.
Vote expected: The Council is expected to vote on a resolution to approve appropriations to fund terms bargained by the County Executive and MCVFRA, as applicable to FY26. The current MOA with MCVFRA covers the term FY23 through FY26. For FY26, the terms of the MOA include an increase of length-of-service benefits in accordance with Bill 41-23 , a negotiated increase in the nominal fee payable to active volunteers and a negotiated increase in operational funds payable to MCVFRA.
FY26 Operating Budgets
The Council will review the following FY26 Operating Budget items:
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- Incubators Programs Non-Departmental Account (NDA): The County Executive recommends an increase of more than $2.1 million, or 88 percent, from the approved FY25 Operating Budget for the Incubator Programs NDA for programmatic and staffing enhancements. The recommendation includes $2 million in programmatic and staffing enhancements and a $152,136 increase for compensation adjustments and required operating expenses. The Economic Development (ECON) Committee voted to approve the programmatic increase which would enable the County Executive to hire a third-party contractor to transition management of the County’s innovation network. The ECON Committee also voted to transition one full-time equivalent (FTE) position from the Incubators NDA to the Business Center Team and recommended an enhancement for the Leases NDA to provide space for the new AI Innovation Center. More information is available on page 2 in the staff report.
- Small Business Support Services NDA: The County Executive recommends an increase of $69,087, or three percent, from the approved FY25 Operating Budget. The recommended increase includes $36,387 in funding for nonprofit service providers and a $32,700 increase for compensation adjustments. The ECON Committee recommendations can be found on page 2 with additional information in the staff report.
- Office of the County Executive: The County Executive recommends an increase of more than $988,677, or 14.2 percent, from the approved FY25 Operating Budget. The change is largely due to an increase in personnel costs. The Government Operations and Fiscal Policy (GO) Committee did not recommend any adjustments to the County Executive’s proposed FY26 Operating Budget.
- Leases NDA: The County Executive recommends a reduction of more than $1.5 million, or 8.34 percent, from the approved FY25 Operating Budget. The recommendation includes $1.76 million in reduced lease costs and the elimination of $314,835 in one-time enhancements. The GO Committee recommendations can be found on page 1 with additional information in the staff report.
- Office of Procurement: The County Executive recommends an increase of more than $1.1 million, or 20.5 percent, from the approved FY25 Operating Budget. The changes include increases of $445,303 for personnel costs and $710,365 for operating costs. The GO Committee requested additional information to present to the full Council for review with additional information available in the staff report.
- Alcohol Beverage Services (ABS): The County Executive recommends a total FY26 funding level of more than $77.9 million, which is an increase of more than $3.3 million, or 4.4 percent, from the approved FY25 Operating Budget. The increase represents compensation adjustments and other expenses to maintain the same-service levels. ABS expenditures are fully supported by revenue collections, estimated at more than $100 million. The committee voted unanimously to support the Executive’s recommendation for the ABS operating budget, as well as the Executive’s recommendation for two Capital Improvements Program (CIP) amendments.
- Worksource Montgomery NDA: The County Executive recommends an increase of $218,221, or 9.6 percent, from the approved FY25 Operating Budget. The recommendation includes $150,000 in programmatic and staffing enhancements and the three percent inflationary adjustment for nonprofit providers. The ECON Committee recommends supporting the County Executive’s proposed FY26 Operating Budget.
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: 25-155
Media Contact: Sonya Healy 240-777-7926, Benjamin Sky Brandt 240-777-7884
For updates and link to press release, see here: http://www2.montgomerycountymd.gov/mcgportalapps/Press_Detail.aspx?Item_ID=47024