Montgomery County Public Schools received an 8.5% spending increase in the budget. Under Maryland's maintenance-of-effort law, Montgomery County cannot reduce the amount of spending on MCPS next year, so we are now on the hook for at least that amount in FY-2025 without the means to pay for it. That will require either spending cuts or raising taxes next year. The MCPS funding boost is shoveling good money after bad, given that student performance seems to decline in proportion to the constant and mindless increase in funding for the school system. Something is seriously wrong at MCPS, but there is zero accountability or oversight by the Council.
The FY-2024 budget could best be described as the "deception budget." The Council violated Maryland's sunshine laws, casting votes on various line items in the budget secretly, outside of public Council sessions. This was noted by Councilmember Kristin Mink (D - District 5), who also took some of her colleagues to task last December, when decisions about Council and committee leadership were made behind closed doors. County Executive Marc Elrich (D) expanded on Mink's criticism of the shadow budget process in his remarks on the budget's passage yesterday.
County Council President Evan Glass, who directed the budget process from start to finish, made it clear he did not share Mink and Elrich's view. But his Trumpian "most transparent budget process ever!" declaration was only missing the Sean Spicer "Period." It was clear that the budget process was designed to avoid painful roll call votes that highlight councilmembers' positions on controversial, difficult or unpopular issues. Such as councilmembers who had promised to restore the Office of the People's Counsel opposing funding for the OPC in this budget!
Montgomery County continues to have a tax problem. It continues to have a spending problem. Its leaders can't seem to solve either one. They only know how to increase both.
Even as the tax burden increases on residents, the County is missing out on commercial and business tax revenue it could be raking in. If only it paid the same attention to attracting major corporate headquarters to the County, as it does to boosting government salaries and profits for the Council's developer sugar daddies.
In fact, after having once again raised taxes on residents, Glass will lead a Council effort to deliver another massive tax cut for developers. On June 13, the Council will hold a hearing on an expedited Bill 25-23, which will reduce impact taxes on developers. The move continues the disturbing and immoral pattern of the Council shifting the tax burden for its out-of-control spending from developers to residents.
It's no surprise we don't have money to expand or replace overcrowded and aging schools, when we keep cutting taxes on the developers who are filling them up with new students. Likewise, the laser focus on residential development expands the structural deficit, because the new costs generated by residential development exceed the amount of property tax revenue it generates. But the Council will continue to feign surprise that we are once again in the red next spring.
Montgomery County hasn't attracted a major corporate headquarters in over 25 years. It has lost some in the interim. Most are choosing Northern Virginia, whose jurisdictions were able to increase spending in their FY-2024 budgets without raising property tax rates - and in some cases, cutting taxes. Gee, I wonder why?
While there can often be hyperbolic discussion about "cutting waste" in budgets, the fact is that there is a lot of waste in the County budget. Nobody wants to look for it. Exhibit A, is the infamous $22,000 security camera system for the County's Supervised Visitation Center. Such a 4-camera surveillance system, with installation, would have available for about $1000 at the time the Council shelled out $22,000 of your money for it.
Such bloated expenditures going to well-connected businesses, contractors and non-profits who donate to councilmembers are a major source of fat in the County budget each year. If we have determined that County government should provide A, B or C to the public, streamline the operations and have the County provide them directly. Instead, we are making costly appropriations for a thousand individual organizations because this Councilmember's campaign donor, or that County official's wife, is on the board of such-and-such charity. Needless to say, this practice must be investigated, audited and eliminated.
The bottom line is that taxes will continue to increase until you, the taxpayer, make it politically painful for the people who are raising them. This hasn't happened yet. There was no taxpayer revolt. The only interruption of a Council session was by MCPS employees. They shut it down. Guess who got money in this budget.
Politicians generally aren't smarter than you. They're just more clever and devious, that's all. Like rodents in a laboratory maze, they quickly learn to favor the rooms with a piece of cheese over the ones where they receive an electric shock. Whether it's beating the Columbia Country Club with the Purple Line, or picking your pocket with another tax increase, the Council has yet to pay a price at the ballot box. It will continue to plunder until it does.
"I am relieved that the students will ultimately be fine, but in many ways, what happened today is frightening,” Montgomery County Police Chief Marcus Jones said in a statement. “I hope that it serves as a powerful motivator for parents to keep having the difficult conversations with their children about the dangers of taking or eating unknown substances." Detectives are continuing to investigate the source of the controlled substance the students said they found.
There's an even greater problem about the record $3.2 billion outlay for MCPS in Elrich's budget. Due to the disastrous Maintenance of Effort law, the amount spent on MCPS can never go down from one year to the next. So, even as Elrich himself declares "a mild recession could take place later this year," his budget would lock in a required expenditure of at least $3.2 billion for MCPS in the FY-2025 budget - even if a recession deals a severe blow to County revenue. And we're not even talking about the worrisome situation in the banking sector, which is persisting despite a federal bailout of wealthy billionaires at Silicon Valley Bank earlier this week.
What that would mean, is that savings and cuts would have to be found elsewhere in the budget: police, fire, libraries, road maintenance, etc. And the County Council is already cruising toward a rude fiscal awakening, as it has convinced itself, the local media, and enough voters that its rosy budgets of the last few pandemic years were due to councilmembers' overwhelming talent and skill, and not the overwhelming federal cash that poured into the County to cover COVID-19 losses. That money is now being cut off by Uncle Sam.
You wouldn't know it from reviewing the proposed budget. And from a steep tax hike being proposed, you wouldn't know that a majority of County residents are being hit hard by persistent inflation. Not to mention that, for many County residents - particularly the elderly and others on fixed incomes - the current property tax has become the equivalent of a second mortgage they must pay off on their home.
There are other fanciful ideas in the budget announcement, such as the recent canard pushed by the County political cartel that Montgomery County residents are somehow paying less property taxes than some other jurisdictions. This is false, because the assessments on houses are so much higher in Montgomery County than in those jurisdictions that MoCo residents actually pay more. In reality, Montgomery County has the highest real property tax payments, and the highest total tax and fee burden in the Washington, D.C. region. We pay massive income and piggyback income taxes, real estate transfer taxes, energy taxes, cell phone taxes, rain taxes, and more - many of these being taxes that don't even exist in counties around us.
Our current tax structure and burden are two of the major reasons for our moribund County economy. Montgomery County's economic growth and strength have been at or near rock bottom in the region for more than a decade, as measured by every relevant federal indicator. No major corporation has relocated its headquarters to Montgomery County in over a quarter century.
Taxes have also been the major cause for the flight of the rich out of Montgomery County, which caused the County's "Rodeo Drive" of Friendship Heights to crash, leaving behind vacant buildings and empty storefronts. Significantly increasing taxes and spending, as we've done and as is being proposed again here, is a reckless move in this context, and total insanity when you factor in the County's massive debt.
One positive thing Elrich's budget proposes? Providing the funding to restore the Office of the People's Counsel, a lawyer who can represent the people in land use matters. This is long overdue, but we don't need a $6.8 billion budget or a property tax hike to make that happen.
Detectives allege that Johnson and an accomplice entered the convenience store at the Summit Shell gas station at 15 South Summit Avenue at 9:52 AM on February 20, which was a school holiday. One of the two - police have not said which one - pulled a knife from his waistband. He allegedly ran behind the counter, threatened the cashier with the knife, and demanded he open the cash register.
The clerk opened the cash drawer, and the armed suspect grabbed an unspecified amount of cash. Both suspects then ran out of the store. The second suspect, also an African-American male, has not been publicly identified by police and remains at large. Given that the police statement does not ask for the public's help in finding him, it's likely detectives know who they are looking for.
Elrich said he is glad the school cases were resolved quickly, but that this "does not heal the pain that these schools are dealing with." He added that, rather than divide the community as intended, the incidents have only had the effect of "generating more support for our Jewish neighbors."
"We are united and are showing those who are pedaling (sic) hate that these antisemitic attempts at community disruption won't be tolerated," Elrich said. "Montgomery County is home to one of the most diverse areas in the nation. We are proud of that diversity and antisemitic activities do not reflect our community values. It’s not the Montgomery way."
