OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

Montgomery County Council FY27 Budget Worksession - May 6, 2026

County Council & Committees — Wednesday, May 6, 2026
BodyMontgomery County, Maryland
SessionCounty Council & Committees
DateWednesday, May 6, 2026
StatusFILED
Video Record
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0:00

Good morning, everyone.

0:03

Today's Wednesday, May 6.

0:07

The Council is meeting again today to continue to the review of the FY27 operating budget and capital improvements program.

0:15

Madam Clerk, would you please chair today's agendas?

0:19

Good morning.

0:20

Today's agenda has been revised to reflect that consent budget items 1D, device client management, nondepartmental account, and item one R, Department of Permitting Services has been removed from the agenda.

0:33

And both items have been rescheduled for work sessions on Friday, May 8th.

0:37

Also, Councilmember Sales is attending today's meeting virtually.

0:41

Thank you.

0:42

Noted.

0:44

Thank you.

0:45

So we are gonna the first item on today's agenda is the consent calendar for FY27 operating budget and FY27-32 capital improvements program.

0:58

Is there a motion to approve the budget consent calendar?

1:01

So move to move second.

1:03

No.

1:03

Move by Councilmember Sydney Katz.

1:06

Second by Councilmember Don Luki.

1:09

Those in favor, please raise your hand any passes unanimously unanimously with those present.

1:18

We don't have Councilmember Make yet.

1:20

We're gonna move on to the first item.

1:26

Now we're we're gonna discuss in the real department budgets.

1:29

We're gonna start with the Department of Housing and Community Affairs.

1:32

If you're from the department, please move forward.

1:34

I see the director here.

1:37

And I'm gonna turn it to the chair of the PHP committee to kick us off.

1:41

Thank you, Madam President.

1:43

Uh welcoming up the Department of Housing Community Affairs.

1:47

Uh Council staff is there.

1:49

Uh the county executive recommends a total of uh FY27 funding level of 77 million seven hundred twenty-nine thousand one hundred ten dollars.

1:59

That is a decrease of 7.1 percent over the FY26 operating budget.

2:03

Expenditures are partially supported by revenue collections estimated at uh almost $62 million, which is actually a slight increase over the FY26 amount.

2:15

Um the PHP committee voted three to nothing to recommend approval of the FY27 operating budget for DHCA as recommended, including placing the following items on the reconciliation list.

2:27

The position to implement eviction notification, Bill 3125, uh that's 125,180.

2:34

Position for implementation of Bill 225E, that's 121320.

2:41

Uh those are both uh two additional FTEs.

2:45

Compensation for grant funded positions that exceed the grant award and the amount of 277,497, backfill of federal funding reduction to continue supporting fair housing testing in the amount of 25,000.

2:59

The PHP committee also voted three to nothing to recommend approval on the following CIP projects that were transmitted by the executive as part of his March CIP amendments, countywide facade that include an additional six hundred thousand of state aid, uh which we appreciate and thank our state partners for their work.

3:17

White Oak commercial area improvements and revitalization CIP.

3:21

That program is an additional 75,000 of state aid in FY27 compared to what was anticipated from the January transmittal.

3:29

Affordable Housing Opportunity Fund, the AHAF CIP.

3:32

This defers $5 million in loan repayment proceeds from FY28 instead to FY29 as compared to the January transmittal and revitalization for troubled and distressed common ownership communities.

3:45

Uh that programs an additional $3.63 million in loan repayment proceeds over the six-year CIP.

3:55

The PHP committee also voted three to nothing to approve and amend the Affordable Housing Acquisition and Preservation CIP, uh approved the county executive's March CIP amendment, which programs $239.9 million for affordable housing loans, including a total of $86 million in new appropriations for FY27.

4:14

In addition, the committee voted uh originally to program $4 million above the executive's March CIP and taxable HIF bonds in FY27, but part of the recommendation was to ask staff uh to analyze and determine resources needed so that we could equalize the new FY27 appropriations to the appropriations in FY26 to ensure level funding for our primary affordable housing program.

4:43

That was the clear uh committee intent.

4:46

We heard back from council staff, DHCA and OMB staff uh who reviewed the FY26 appropriations and came up with a different number.

4:56

Uh and so that is the official committee recommendation is confirmed by colleagues uh that will be before the body.

5:02

And just to explain it, uh they looked at the 10.1 million of loan repayment proceeds received in the project in mid uh mid-year of this year.

5:11

And the council would then need an additional five point nine million, not four million, but five point nine million above the executive's recommendation uh to the CIP in order to ensure level uh funding.

5:23

Uh just to note uh very clearly uh that recommendation is 5.9 million.

5:28

That's the committee recommendation before the body.

5:30

Uh but did just want to make sure and confirm uh to colleagues uh that would result in additional uh about 550,000 uh in debt service transfers uh within the HIF operating budget uh in FY28, but this does have no impact on the SAG or on CIP reconciliation uh and has no operating budget impact uh as well.

5:53

So uh I just want to note that it's money within the HIF that is being programmed uh in the HIF, uh but it would ensure that we are uh at minimum at level funding in our affordable housing commitments, which was a shared uh intent uh and goal that we had, and I appreciate uh just to note OMB staff, council staff, DHCA staff working together to make sure that we got that right and that the number is the appropriate number.

6:19

So uh that that I don't think we do uh because the the committee recommendation was clear that four was the placeholder number pending the staff analysis.

6:27

So I think that is the uh if it uh pleases the president, uh I believe that is the committee recommendation.

6:33

You're pleased, um please appreciate my colleagues for for talking through that and and agreeing uh on that, which we all uh were we're happy to do.

6:41

So uh with that, um it's uh you know that that's the one kind of complicated uh factor here, but I think we were able to simplify it with a lot of work done by staff offline, which we appreciate it.

6:53

Uh and with that, I'll yield back to you and you can yield uh to uh anybody else needed.

6:58

Thank you so much for that excellent uh report.

7:02

Great job by the committee members.

Discussion Breakdown — Share of Meeting
Transportation Safety█████████████████████████████████33%
Waste Management██████████████14%
Public Engagement████████████12%
Budget Equity Analysis████████8%
Fiscal Sustainability███████7%
Community Engagement████4%
Engineering And Infrastructure████4%
Public Safety███3%
Affordable Housing██2%
Summary of Proceedings

Montgomery County Council FY27 Budget Worksession - May 6, 2026

The Montgomery County Council held a full-day worksession on Wednesday, May 6, 2026, to review the FY27 Operating Budget and FY27-32 Capital Improvements Program (CIP). The meeting ran from 9:32 a.m. to 3:18 p.m., with a recess from 11:14 a.m. to 1:32 p.m. Councilmembers present included President Fani-González, Vice President Balcombe, and members Evans, Friedson, Glass, Jawando, Katz, Luedtke, Mink, Sayles (virtual), and Stewart. The Council approved a consent calendar and voted on multiple departmental budgets, often with amendments.

Consent Calendar

  • Approved unanimously (10-0 with Mink temporarily absent) the Budget Consent Calendar items: Office of Agriculture, BioHub Maryland, Office of Consumer Protection, Future Federal/State/Other Grants, Grants to Municipalities in Lieu of Shares Tax, Office of Human Resources, Independent Audit, Inauguration and Transition, Office of Inspector General, Interagency Technology Policy Coordinating Committee, Office of Labor Relations, Labor Management Relations Committee, Legislative Branch Communications and Outreach, Merit System Protection Board, Office of Legislative Oversight, Office of the People’s Counsel, Prisoner Medical Services, Office of Public Information, Risk Management, State Property Tax Services, and UM3 - Institute for Health Computing.
  • Items D (Device Client Management) and R (Department of Permitting Services) were removed from the agenda and rescheduled for worksessions on May 8, 2026.

Public Comments & Testimony

  • No separate public comment period was held; the meeting was a worksession with departmental presentations and Council deliberation.

Discussion Items

  • Department of Housing and Community Affairs (DHCA): Councilmember Friedson (PHP Committee Chair) reported a recommended FY27 budget of $77.7 million (7.1% decrease). The committee supported reconciliation items: 2 FTEs for eviction notification (Bill 31-25) and Bill 22-25E, backfill for fair housing testing ($25,000), and compensation for grant-funded positions. For CIP, the committee recommended increasing State Aid for the Countywide Façade Easement Program from $600,000 to $1.25 million (moved and carried). The Council also approved a $5.9 million increase in taxable Housing Initiative Fund (HIF) bonds to maintain level affordable housing funding, adding ~$550,000 debt service in FY28.
  • Housing Initiative Fund (HIF): Approved as recommended by the PHP Committee; 12.6% reduction in operating budget due to debt service for taxable bonds.
  • Department of Transportation - General Fund: Chair Glass (TE Committee) reported the committee placed $596,166 on the reconciliation list, including $305,000 for traffic signals/street lights, $250,000 for civilian parking enforcement (new program), $27,009 for subdivision road maintenance, and $13,266 for uninterruptible power system maintenance. Councilmember Jawando’s motion to remove the $250,000 civilian parking enforcement was defeated (4-7), with opponents citing quality-of-life benefits and reducing police burden. Councilmember Friedson’s motion for technical corrections to the Bradley Boulevard project PDF was approved. The budget was approved as amended.
  • Department of Transportation - Mass Transit: Chair Glass reported the committee recommended $913,796 for Flex service expansion to Poolesville and Damascus (10 drivers, 5 buses) and $243,775 for all-day Burtonsville Flash service. CIP changes included deferring $25.5M in bus replacements, adding state funds for Flash bus refurbishment, and updated language for BRT US29 Phase 2: “Alongside final design for a two-way busway, alternative technical concepts for one or zero dedicated transit lanes through Four Corners will be evaluated.” Councilmember Mink’s motion to add language evaluating the previously considered managed lane concept was defeated (2-9). The budget was approved as amended.
  • Parking Lot Districts: Approved as recommended. TE committee placed $191,998 on reconciliation list (new compliance inspector and fleet vehicle maintenance). The committee also eliminated $90,000 in Silver Spring PLD funding and added $400,000 for Wheaton elevator renovations. Elimination of ~$2M urban district transfers from PLDs was accepted.
  • Vision Zero Non-Departmental Account: Approved as recommended; $30,000 for Safe Streets for All program on reconciliation list.
  • Transportation Fees, Charges, and Fares: Approved as recommended.
  • Community Use of Public Facilities (CUPF): EC Committee (Chair Jawando) recommended a 7.5% flat fee increase for MCPS facilities and Silver Spring Civic Building (unanimous committee vote). Council President Fani-González expressed dissatisfaction with CUPF customer service and requested an Office of Legislative Oversight (OLO) review. The budget was approved (10-1, Friedson opposed).
  • Urban Districts: ECON Committee (Chair Fani-Gonález) recommended approval. $149,335 on reconciliation list for Bethesda Urban Partnership compensation. Councilmember Friedson noted unfunded requests from Friendship Heights Alliance ($35,000 security cameras, $100,000 clean/safe) and stressed cross-jurisdictional partnership challenges. Vice President Balcombe supported revisiting the funding model. Approved unanimously.
  • Community Engagement Cluster: GO Committee (Chair Stewart) reported a $152,000 reduction in operating expenses affecting outreach. Two reconciliation items: realigning half an FTE from grant to general fund, and $25,000 for Wheaton Library mural. Approved unanimously.
  • Department of General Services (DGS): Chair Stewart reported. CIP amendments included new projects (Glen Echo Spanish Ballroom, Northwest HS improvements) and state aid for roof replacement at Strathmore, PLR at bus depots, and MCPS playgrounds. Councilmember Balcombe’s motion to move $125,000 for BlackRock Center for the Arts from reconciliation list into base budget passed unanimously. Discussion on apprenticeship program (6 new FTEs) and $360,000 for Executive Office Building maintenance upgrades. Approved as amended.
  • DGS - Fleet: Chair Glass reported $742,000 on reconciliation list for hydrogen fueling for Ride On buses. Director Dise explained hydrogen buses arriving and need for fueling to avoid becoming “expensive paperweights.” Approved unanimously.
  • Motor Pool Non-Departmental Account: Approved; $61,000 for school bus depot lease and $45,500 for utilities on reconciliation list.
  • Utilities Non-Departmental Account: Approved unanimously. Noted obligations for resiliency hub microgrid lease and school bus depot lease.
  • Department of Environmental Protection (DEP) - Recycling and Resource Management & Solid Waste Service Charges: The key debate centered on the Resource Recovery Facility (RRF/incinerator). TE committee split on disposal fund. Councilmember Luedtke moved to approve the “current operations” budget for the RRF disposal fund (3.1% increase) and commensurate solid waste charges, and to add budget resolution language requiring council approval before changing contracts. The motion passed (8-2-1: Jawando and Glass opposed, Sayles abstained). Director Macedonia noted delays would increase costs (long-haul trucking bids expire August 2026, food scraps processing expansion tied to RRF closure). Council President Fani-González committed to scheduling worksessions soon.

Key Outcomes

  • Consent Calendar: Approved 10-0 (Mink absent). Items D and R moved to May 8 worksession.
  • DHCA: Approved as amended (10-0 with Mink absent). Increased State Aid for Façade Easement to $1.25M. Approved $5.9M in additional HIF taxable bonds.
  • HIF: Approved as recommended (10-0 with Mink absent).
  • DOT General Fund: Approved as amended (11-0). Defeated motion to remove $250,000 civilian parking enforcement (4-7). Approved Friedson’s technical Bradley Boulevard PDF changes.
  • DOT Mass Transit: Approved as amended (11-0). Defeated Mink’s motion to include managed lane analysis (2-9).
  • Parking Lot Districts: Approved as recommended (11-0).
  • Vision Zero: Approved as recommended (11-0).
  • Transportation Fees: Approved as recommended (11-0).
  • CUPF: Approved with 7.5% fee increase (10-1, Friedson opposed).
  • Urban Districts: Approved as recommended (11-0).
  • Community Engagement Cluster: Approved as recommended (11-0).
  • DGS: Approved as amended (11-0). BlackRock $125,000 moved to base budget.
  • DGS Fleet: Approved as recommended (11-0).
  • Motor Pool: Approved as recommended (11-0).
  • Utilities: Approved as recommended (11-0).
  • DEP Recycling & Solid Waste: Approved Luedtke’s motion (8-2-1). Budget resolution requires council approval before altering solid waste contracts. Worksession on RRF closure to be scheduled soon.
  • Next Steps: Final budget adoption actions, including reconciliation list decisions, will occur in subsequent meetings. Council will hold separate worksessions on the RRF and urban district funding models in the fall.

Meeting Transcript

Good morning, everyone. Today's Wednesday, May 6. The Council is meeting again today to continue to the review of the FY27 operating budget and capital improvements program. Madam Clerk, would you please chair today's agendas? Good morning. Today's agenda has been revised to reflect that consent budget items 1D, device client management, nondepartmental account, and item one R, Department of Permitting Services has been removed from the agenda. And both items have been rescheduled for work sessions on Friday, May 8th. Also, Councilmember Sales is attending today's meeting virtually. Thank you. Noted. Thank you. So we are gonna the first item on today's agenda is the consent calendar for FY27 operating budget and FY27-32 capital improvements program. Is there a motion to approve the budget consent calendar? So move to move second. No. Move by Councilmember Sydney Katz. Second by Councilmember Don Luki. Those in favor, please raise your hand any passes unanimously unanimously with those present. We don't have Councilmember Make yet. We're gonna move on to the first item. Now we're we're gonna discuss in the real department budgets. We're gonna start with the Department of Housing and Community Affairs. If you're from the department, please move forward. I see the director here. And I'm gonna turn it to the chair of the PHP committee to kick us off. Thank you, Madam President. Uh welcoming up the Department of Housing Community Affairs. Uh Council staff is there. Uh the county executive recommends a total of uh FY27 funding level of 77 million seven hundred twenty-nine thousand one hundred ten dollars. That is a decrease of 7.1 percent over the FY26 operating budget. Expenditures are partially supported by revenue collections estimated at uh almost $62 million, which is actually a slight increase over the FY26 amount. Um the PHP committee voted three to nothing to recommend approval of the FY27 operating budget for DHCA as recommended, including placing the following items on the reconciliation list. The position to implement eviction notification, Bill 3125, uh that's 125,180. Position for implementation of Bill 225E, that's 121320. Uh those are both uh two additional FTEs. Compensation for grant funded positions that exceed the grant award and the amount of 277,497, backfill of federal funding reduction to continue supporting fair housing testing in the amount of 25,000. The PHP committee also voted three to nothing to recommend approval on the following CIP projects that were transmitted by the executive as part of his March CIP amendments, countywide facade that include an additional six hundred thousand of state aid, uh which we appreciate and thank our state partners for their work. White Oak commercial area improvements and revitalization CIP. That program is an additional 75,000 of state aid in FY27 compared to what was anticipated from the January transmittal. Affordable Housing Opportunity Fund, the AHAF CIP. This defers $5 million in loan repayment proceeds from FY28 instead to FY29 as compared to the January transmittal and revitalization for troubled and distressed common ownership communities. Uh that programs an additional $3.63 million in loan repayment proceeds over the six-year CIP. The PHP committee also voted three to nothing to approve and amend the Affordable Housing Acquisition and Preservation CIP, uh approved the county executive's March CIP amendment, which programs $239.9 million for affordable housing loans, including a total of $86 million in new appropriations for FY27. In addition, the committee voted uh originally to program $4 million above the executive's March CIP and taxable HIF bonds in FY27, but part of the recommendation was to ask staff uh to analyze and determine resources needed so that we could equalize the new FY27 appropriations to the appropriations in FY26 to ensure level funding for our primary affordable housing program. That was the clear uh committee intent. We heard back from council staff, DHCA and OMB staff uh who reviewed the FY26 appropriations and came up with a different number. Uh and so that is the official committee recommendation is confirmed by colleagues uh that will be before the body. And just to explain it, uh they looked at the 10.1 million of loan repayment proceeds received in the project in mid uh mid-year of this year. And the council would then need an additional five point nine million, not four million, but five point nine million above the executive's recommendation uh to the CIP in order to ensure level uh funding. Uh just to note uh very clearly uh that recommendation is 5.9 million.

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