A report released Tuesday by Montgomery County’s Office of Legislative Oversight recommends a variety of dramatic cost-saving measures, including slashing salaries, retirement benefits and health care coverage, that county officials say are necessary to avoid the suburb’s repeated budget gaps.

For example, the report shows that just a 1 percent reduction in salaries would save the county $23 million next fiscal year, and covering 70 percent of health care costs for employees — schools pay up to 95 cents for every dollar of health care costs — would save $35 million. Also, $10 million would be saved for every 110 employees laid off.