Contingency planning involves preparing responses to potential future events or circumstances that could disrupt normal operations or finances. Financial contingency planning identifies risks to municipal finances—economic downturns, grant reductions, infrastructure failures, emergencies—and develops response strategies. Operational contingency planning addresses how services would continue during disruptions like natural disasters, cyberattacks, or pandemics. Effective contingency plans identify triggers for action, assign responsibilities, and outline specific steps to take. The COVID-19 pandemic demonstrated the importance of contingency planning, as municipalities rapidly adapted operations to circumstances many had not anticipated. Regular review and updating keeps contingency plans relevant.