Montgomery’s Proposed Budget for 2026

On Tuesday, Montgomery Mayor Stephen L. Reid presented a proposed budget for the General Fund Management and Debt Services for 2026 to the City Council. This budget, totaling $353.2 million, marks a 6.5% increase from the last year. Reid emphasized that the budget reflects the city’s growth and the values it upholds.

“Budgets are, in a way, a concrete representation of our priorities,” Reid noted. “This plan aims to balance responsibility and cater to all neighborhoods while supporting Montgomery’s development.”

The budget is structured around three guiding principles: fiscal responsibility, strategic investments, and comprehensive economic growth. Montgomery’s promising financial future is underpinned by significant corporate projects such as:

• Amazon: A $100 million investment for a 650,000 square foot cross-dock facility, anticipating 500 new jobs.
• Mana Capital Partners: A $600 million beverage production complex spanning 1.7 million square feet, expected to create 280 jobs.
• Diageo North America: A $415 million facility for manufacturing and warehousing, employing 100 full-time workers.
• Montgomery Inland Port Facilities: An investment of $94 million for an intermodal transfer hub, supporting over $33 billion in related investments.

“These projects are interconnected. They signify a revitalized era for Montgomery’s industrial sector and community prospects,” Reid remarked.

Significant Investments for 2026

The budget aims to allocate funds toward vital urban services and long-term stability, including:

• Updating the outdated communication system at the Montgomery Police Station.
• Repairing city buildings, roofs, and elevators, along with installing new cameras around the city.
• Purchasing new equipment for sanitation and landfill services to replace aging vehicles.
• Enhancing wayfinding signage throughout town.
• Increasing fundraising efforts to ensure competitive salaries and improve retention of city employees.

The budget also seeks to bolster the city’s reserve fund to ensure financial stability and preparedness for emergencies.

Labor Investment

Reid highlighted that all city employees would see an increase in benefits in 2026, including those at the upper end of their pay scales. The administration has approved additional pay measures to enhance employee retention and institutional knowledge.

“This is beneficial for both Montgomery and its employees,” Reid stated. “Workers gain financially, and our city benefits from continuity and expertise.”

Financial Stability

Montgomery continues to operate without short-term debt, with its overall long-term debt amounting to $25.5 million. The anticipated increases in business license revenues, along with stable sales, property, and sanitation tax revenues, will allow for this proposed increase without raising the tax rate.

Closing Commitment

Reid expressed his appreciation for the finance department, cabinet members, and city staff for their efforts in developing a balanced budget using a zero-based approach.

“Our administration is committed to improving Montgomery for all residents, enabling them to live, learn, and thrive,” Reid added.

The City Council is set to review and approve the proposed budget for 2026.