Following Montgomery County staff’s summary presentation of Executive Marc Elrich’s Fiscal Year 2027 operating budget Tuesday, most of the councilmembers blasted all the proposed increases and vowed to review it closely.
With the federal government layoffs and financial cutbacks as well as mounting costs for gas and groceries, this is not a time to increase income and property taxes, declared Councilmember Laurie-Anne Sayles. “We are all feeling the squeeze.”
Elrich Budget Asks
Elrich’s proposed $8 billion budget is 5.1% higher than the approved FY26 budget. It includes a 6.3 cent property tax increase and a jump from 3.1 to 3.2 percent income tax increase.
It also includes multiple fees for water quality, 911 and solid waste disposal as well as full funding for public schools.
Elrich also proposed new funding, like a special taxing district on all commercial properties within one-half mile of a planned Bus Rapid Transit corridor. However, Council President Natali Fani Gonzalez declared that dead on arrival.
That request, instead, will be considered and a report issued in June, after the county budget is adopted.
If adopted as is, the average homeowner would see their property taxes doubled, according to Craig Howard, council’s executive director.
The proposed budget takes money out of the county reserve fund, leaving 10.6% in reserves.
Council Objections
“We are all aware of the intense needs,” said Councilmember Dawn Luedtke. However, she said, “Just dipping into the reserves. That’s insane.” The county should not withdraw money from the reserves “for ongoing expenses and continue to grow the deficit.”
Luedtke added, “The first step is to stop digging yourself out. Our county executive is asking us to buy a bigger shovel and asking our taxpayers to bear the burden of that bigger shovel.” She stressed, “We have to live within our means, and that does mean we can’t do everything.”
Councilman Andrew Friedson said that with all of Elrich’s proposed increases, “It doesn’t buy us out of anything.” To continue to increase taxes and the deficit, “That is crazy,” he said.
Councilmember Evan Glass also criticized the proposed budget. “We should not be adding to the economic anxiety that thousands of our residents are facing.”
And Councilmember Sidney Katz declared, “This one is absolutely the worst budget I’ve ever seen.”
Councilmember Will Jawando pushed for a progressive tax on high-income residents. “To say that we can’t step up or won’t step us is something I’m not willing to do.” He noted employee compensation was a big part of the budget as is the cost of providing a security net for needy residents.
Withdrawing from the reserves fund is something that should be saved for an emergency, but that now is the time to do it, he said. “I think right now what we are in is an emergency.”
Public Hearings This Week
The council will now pour through Elrich’s proposed budget and listen to public comments. Public hearings on the operating budget are scheduled for April 7 and April 8 at 1:30 p.m. and 7 p.m. and April 9 at 1:30 p.m.
