Council hears state legislative briefing; budget shortfall and solar preemption singled out

Montgomery County Council members received an overview of key state legislative items and the status of the budget at a session to review state legislation, county staff said.

Intergovernmental Relations lead Kathleen Boucher told the council that a new revenue projection by the state’s Board of Revenue Estimates reduced expected receipts by about $347,000,000, complicating a supplemental budget that had been expected to leave roughly a $100 million surplus for fiscal 2026. She said committee schedules and subcommittee budget decisions were behind the normal pace and that capital budget decisions are being held until the operating budget is resolved.

The budget outlook frames discussion of several county priorities, staff said. On developmental disabilities funding, staff reported that the governor restored roughly 95% of proposed cuts for the current fiscal year and about $150,000,000 for the next fiscal year but that approximately $300,000,000 in cost-containment proposals remain. Staff noted that changing the geographic rate differential used by county providers would require a waiver from the Centers for Medicare & Medicaid Services before the state could eliminate that payment.

On housing, staff said the governor’s Housing for Jobs Act has not moved and that the county (which has been an active participant in discussions) continues to oppose the…