June 25, 2026 - AUDIT Committee Worksession

The Montgomery County Council Audit Committee held a worksession on June 25, 2026, focusing on two major audit reports related to county operations. The first report addressed the short-term residential rental program, revealing that over 85% of short-term rentals listed on platforms like Airbnb and Vrbo were operating without proper county licenses, resulting in significant uncollected taxes and penalties. The Department of Housing and Community Affairs (DHCA) has since taken over the program, implemented corrective actions including updated licensing systems, and reduced unlicensed properties from approximately 700 to 330. However, some recommendations remain open, particularly regarding enforcement procedures and tax reconciliation. The second report audited fiscal management within the Montgomery County Fire and Rescue Service, specifically examining the use of Emergency Medical Services Transport (EMST) funds, procurement practices, and purchasing card usage. The audit found inconsistent monitoring, incomplete documentation, and noncompliance with procurement policies among local volunteer fire and rescue departments (LFRDs). Several recommendations for improved policies, training, and oversight remain open. Fire and Rescue leadership acknowledged the findings and outlined ongoing efforts to enhance compliance and financial controls. The committee emphasized the importance of transparency, accountability, and adequate staffing for audits to ensure effective governance and fiscal stewardship.