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Budget Year / Version:
FY 26
RECOMMENDED
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Program Description

  Payments to Municipalities

The Montgomery County Municipal Revenue Program, authorized by Chapter 30A of the Montgomery County Code, reimburses municipalities for those public services they provide that would otherwise be provided by the County. The current reimbursement policy goes beyond State law, Section 6-305 of the Tax-Property Article, which requires the County to provide to municipalities only the Property Tax-funded portion of those costs. The County Executive negotiated a new formula with the County's municipal partners over the course of 2021. Changes to the calculation formula were adopted by the County Council on March 1, 2022, with the enactment of Expedited Bill 2-22.

Expedited Bill 2-22 established that municipalities are to be reimbursed by the County based upon the County Executive's approximation of the costs that the County would incur if it were to provide the municipalities with transportation, police, crossing guards, and park maintenance services. Specifically, as the exact payment amount for a current year cannot be determined until County books are closed, reimbursements are based on the final audited cost of performing eligible services during the fiscal period two years prior to the budget year.

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Program Contacts

Contact Julie Knight of the Office of Management and Budget at 240-777-2760 for more information regarding the operating budget for the Non-Departmental Accounts.

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Program Budget Changes

FY26 Recommended ChangesExpendituresFTEs
FY25 Approved$21,700,0550
Increase Cost: FY26 Required Increase$1,393,6330
Increase Cost: One-Time Increase to Takoma Park for Crossing Guards$66,3210
Decrease Cost: One-Time Increases to Rockville and Gaithersburg for Police Services, and Garrett Park for Park Maintenance($734,010)0
FY26 Recommended$22,425,9990