County Council approves $143M budget increase for MCPS; personnel cuts still possible
In 9-2 straw vote, council supported $7.9 B county operating budget with no property tax increase, progressive income tax structure
By
Ceoli Jacoby&
Ashlyn CampbellMay 15, 2026 12:00 p.m. | Updated: May 15, 2026 12:07 p.m.
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In an emotional straw vote Friday, the Montgomery County Council voted 9-2 to approve a $7.9 billion operating budget for next fiscal year — providing an additional $143 million in funding for Montgomery County Public Schools (MCPS) that is still $36 million less than what the district requested.
The decision, which is not binding but is unlikely to be changed, means hundreds of educator positions — including media assistants, social workers and English composition assistants — could still be on the line.
The Montgomery County Council hearing room in Rockville was packed with educators Friday morning, with many holding signs advocating to keep their positions and fully fund the school board’s budget request. As councilmembers discussed the reasoning behind their vote, many educators in the audience became emotional and wiped tears.
The $7.9 billion council-approved budget includes no property tax rate increase and a new progressive income tax structure that will increase the income tax rate for filers making over $150,001 annually and provide a tax break for everyone making less.
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Those who voted to approve the budget included Council President Natali Fani‑González (D-Dist. 6), Vice President Marilyn Balcombe (D-Dist. 2) and Councilmembers Sidney Katz (D-Dist. 3), Kate Stewart (D-Dist. 4), Kristin Mink (D-Dist. 5), Evan Glass, Shebra Evans, Will Jawando and Laurie-Anne Sayles (all D-At-large).
Councilmembers Andrew Friedson (D-Dist. 1) and Dawn Luedtke (D-Dist. 7) were opposed.
Jawando on Friday moved to reallocate $36 million in current revenues from the six-year capital improvements program to MCPS, funding two of the tranches proposed for reductions. That motion passed 7-4.
According to council documents, funding will be moved from systemic school projects such as HVAC, roof replacement and athletic infrastructure.
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The revenue the council plans to move from the CIP was generated by the council’s decision to eliminate the Income Tax Offset Credit (ITOC), a $692 credit against property tax bills for homeowners who claim their home as their principal residence.
The council narrowly voted to eliminate the ITOC to make up for revenues lost through the progressive income tax plan.
In March, to fund the school district’s requested budget, which represents $179 million increase over current spending, County Executive Marc Elrich (D) called for a 6% increase to the county property tax rate. Most councilmembers opposed that plan.
A few councilmembers signaled on Tuesday that they would be open to a modest property tax rate increase to fund more of the school district’s requested spending for fiscal year 2027, but Stewart on Friday said that proposal “did not move forward.”
In lieu of a property tax rate increase, the council considered reductions to the school district’s requested budget in tranches of 10% — amounting to about $17.9 million per tranche. The elimination of the first two tranches — a total of almost 448 positions — represents a total reduction to the school board request of $35.8 million.
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MCPS Superintendent Thomas Taylor this week warned that hundreds of educators may see their positions eliminated or their union-negotiated wages reduced if the council does not fully fund the school district’s requested spending increase for next fiscal year.
The council must take final action on the county’s fiscal year 2027 spending plan by June 1.
This is a developing story and will be updated.
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Originally published at Bethesdamagazine