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Council approves $5.2M inflationary increase for nonprofit providers in FY 26 budget

May 09, 2025 | Montgomery County, Maryland


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Council approves $5.2M inflationary increase for nonprofit providers in FY 26 budget
Montgomery County Council convened on May 8, 2025, to discuss critical budgetary matters, including the fiscal year 2026 operating budget and amendments to the capital improvement programs. A significant decision made during the session was the unanimous approval of the budget consent calendar, which included minor adjustments to various departmental budgets.

One of the key topics addressed was the proposed 3% inflationary increase for nonprofit providers, which is set to total approximately $5.25 million across multiple departments. This adjustment aims to support organizations that provide essential services, particularly in the Department of Health and Human Services, which will receive about 68% of the total increase. The council emphasized the importance of this funding, especially in light of the ongoing needs within the community.

Council members expressed their support for the inflationary adjustment, recognizing the vital role that nonprofits play in delivering services to residents, including those with developmental disabilities. The council noted that each 1% change in the inflationary adjustment equates to approximately $1.75 million, highlighting the financial implications of these decisions.

As the council continues to review the budget, the focus remains on ensuring that community needs are met through adequate funding for essential services. The discussions from this meeting reflect a commitment to supporting local nonprofits and addressing the challenges faced by residents in Montgomery County.

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Scribe from Workplace AI
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