Impact tax estimates for the FY21-26 biennial Capital Improvements Program have been reduced by $51.5 million to reflect provisions of the 2020-2024 Growth and Infrastructure Policy (Subdivision Staging Policy) which the County Council adopted on November 16, 2020. Similarly, recordation tax estimates have been updated to reflect the economic impacts of the COVID pandemic (-$41.7 million). As a result of these revenue reductions and extreme COVID-related operating budget pressures, all agencies have been required to defer and/or reduce funding for previously approved projects.

The County Executive has not stipulated how the reductions should be made to allow Montgomery County Public Schools (MCPS) maximum flexibility in developing their capital program. The County Executive asks that the MCPS factor racial equity considerations into their analysis.