A surgical sponge inventory rack includes a vertical mounting rod, a laterally extending sponge bag holder connected to the mounting rod, and a sponge bag supported on the sponge bag holder. The sponge bag includes a pocket configured to receive and display a surgical sponge. The sponge bag holder including a plurality of support members. The support members are shiftable relative to one another to transition the sponge bag holder between a collapsed configuration and an expanded configuration. At least one of the support members extends in the lateral direction past another of the support members when the sponge bag holder is in the expanded configuration. The support members collectively present a depth in a fore-and-aft direction that is transverse to the lateral direction and transverse to the vertical direction. The depth is at least substantially constant as the sponge bag holder transitions between the collapsed and expanded configurations.