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Committee hears increase to municipal reimbursements tied to police assessment formula

Government Operations & Fiscal Policy Committee, Montgomery County Council · April 23, 2026
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Summary

Staff told the committee the payments to municipalities NDA would increase by about $3.7 million to $26.12 million for FY27, driven largely by a recent quadrennial police assessment that changed officer counts in the reimbursement formula; staff recommended forwarding the NDA to full council without placing it on the reconciliation list.

Council staff presented the payments to municipalities non‑departmental account (NDA), which the County Executive recommends increasing to $26,123,633 for FY27, a rise of roughly $3.7 million (16.5%). Staff explained the reimbursement calculation now uses all revenues in the formula (not only property tax) and identified the quadrennial police assessment as a principal driver of this year's increase because it revised the number of municipal officers used in the formula.

Staff noted recent legislative and administrative changes dating back to 2021 and said municipality reimbursements were phased in to reach the current amounts. Members emphasized the long history of addressing tax duplication and municipal reimbursement and voiced strong support for continuing the partnership with municipalities. Staff recommended forwarding the NDA to full council for final action and did not identify reconciliation items for the NDA in the committee packet.

The committee agreed to forward the payments to municipalities NDA to full council for consideration.

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