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Council committee approves Rockville MOU and $6.82 million CIP amendment from impact taxes
Summary
The committee approved a memorandum of understanding with the City of Rockville to allow city projects to be eligible for development impact tax funding and approved a $6,816,000 CIP amendment funded by Rockville impact taxes to advance city transportation projects.
The Montgomery County Transportation and Environment Committee voted to approve a memorandum of understanding (MOU) with the City of Rockville and a companion amendment to the FY26 capital budget allocating $6,816,000 in impact-tax proceeds for Rockville transportation projects.
Chair Glass said the MOU follows a similar agreement the council recently approved with Gaithersburg. Jim Woods, acting director of public works for Rockville, told the committee the city supports the MOU and its draft revisions. Department staff said this Rockville CIP amendment creates a county-level project to receive impact tax revenues that, by law, must be spent on projects within the city that collected the fees.
Mr. Kenny explained these funds are impact tax revenues collected in the City of Rockville in prior years and can only be spent on projects inside Rockville. Mayor Ashton and Rockville staff said projects are "shovel ready" or long-term and thanked county and city staff for the partnership. The committee approved both the MOU and the supplemental appropriation by unanimous consent.
Next steps: County and city staff will proceed with project-level programming and scheduling; the funds remain subject to standard capital project reporting requirements.
