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Montgomery County Council adopts FY27 operating and capital budgets after block votes; recusal noted
Summary
The Montgomery County Council on May 21 adopted the FY27 operating and capital budgets and the FY27 capital improvement program after a series of consent-block votes. Councilmember Fritz recused herself from a noncompetitive contract with Bethesda Green; the president said funds freed from an eliminated tax credit will support programs including MCPS.
The Montgomery County Council voted May 21 to adopt the FY27 operating budget, the FY27 capital budget and the FY27 capital improvement program after a sequence of block votes.
Council President Natalie Fani Gonzales opened the session and framed the package as "very challenging" and "the most challenging since the Great Recession," saying the council worked to limit property tax increases and address revenue needs. "We decided to hold the line on the property tax increases," she said, adding that the body had also acted on a 3.3 income tax measure during the process.
The meeting proceeded by consent blocks. A motion to move items 1–9 as a block was made by Councilmember Kate Stewart and seconded by Marilyn Balcon; the president announced the motion passed unanimously. A subsequent motion to move items 10–15 and item 21 was moved by Council Vice President Balcom, seconded by Councilmember Sydney Katz, and carried by roll call with a tally the president announced as 9 in favor and 2 against. A third block covering items 16–20 and 22 was moved by Katz, seconded by a colleague, and approved unanimously.
Before the roll-call vote on the second block, Councilmember Fritz stated she serves on the board of Bethesda Green and "I'm recusing myself from considering or voting on Bethesda Green's contract," which appears under Section G of Resolution 10. The recusal was entered on the record prior to the vote.
President Gonzales said the council majority decided to eliminate the ITAC property tax credit and use those funds for other priorities. She explained that the ITAC is a tax credit "only available for owners of properties who live in that property," and that tenants do not receive that benefit; she noted funds are being redirected to programs "including, MCPS." The council did not detail line-item reallocations in the meeting record provided.
With the final block votes completed, the president announced that the FY27 operating and capital budgets and the FY27 capital improvement program were approved. The council then approved the consent calendar unanimously and adjourned.
What happens next: items moved as expedited or special project bills were introduced for separate public hearings, and some agenda items (including a tax-credit resolution moved on the agenda) were rescheduled per the clerk's announcement earlier in the session.
