ESCANABA — The Delta County Administrator Ashleigh Young presented the highlights of the county’s 2025 fiscal year budget Thursday — a budget that county commissioners said was a significant improvement over initial numbers.

“For those that weren’t aware, it started at about a $370,000 deficit,” Commissioner Matt Jensen told the audience following the presentation.

The budget approved by the commissioners following Tuesday’s presentation included the addition of $126,609 to fund balance across the county’s funds. While the fund balance grew, the budget still represented a much tighter financial picture, with the entire operating budget being $3,972,496 smaller than the 2024 fiscal year budget.

There are a number of reasons for the difference, including the end of American Rescue Plan Act (ARPA) monies made available because of the COVID-19 pandemic, the end of multi-year projects, and the hire of additional county employees.

Across the county’s major funds — the general fund, road patrol fund and airport fund, which combined represent the bulk of county spending — 41% of costs are tied to employee salaries, wages and overtime. Another 27% of spending is tied to employee benefits like insurance and county pension contributions.

At the individual level, the average county employee earns $63,634 a year. If that employee opts in to health insurance and are part of the county’s pension system, the county must pay an additional $48,698. This translates to an additional 80 cents per dollar of salary for benefits and payroll taxes.

Commissioners have repeatedly stated that payroll is an area that must be increased for the county to be competitive and attract qualified and competent personnel. It was noted Tuesday that a raise freeze has been in place for the past six years for employees that are not part of collective bargaining agreements with mandatory cost of living adjustments.

While staffing-related costs are something the commissioners have suggested may take time to correct, other funds are expecting near instantaneous changes under the new budget.

For example, the county’s election fund budget will be cut in 2025 by $46,423. While the cut may seem deep on paper, it is primarily due to a $43,356 drop in anticipated printing costs as well as a reduction in necessary election staffing. Unlike 2024, 2025 is not a presidential election year and no large-scale special elections are anticipated.

“We’re expecting less elections next year,” said Young, eliciting a slight chuckle from the board, three-fifths of which was seated as a result of a special recall election in May.

The Sheriff’s Department corrections fund, which is responsible for funding the Delta County Jail, had its budget bolstered by $378,650 for the next fiscal year. Of that costs, $65,000 was added for inmate medical expenses, which are paid by the county while individuals are incarcerated. Commissioners have repeatedly said medical expenses at the jail have continued to climb largely due to substance abuse and mental health concerns in the inmate population.

Another $60,000 was added to the corrections fund for the purchase of a new transport vehicle. The rest of the increases were for cost of living adjustments to wages ($162,574), pension contributions ($103,609), employee health and dental insurance ($54,630), and uniform maintenance ($19,995).

Two major cuts were made to the jail budget: a $20,000 reduction in funding for the Board of Prisoners and food service, and a $63,026 reduction in training expenses.

Unlike the jail, the county’s road patrol budget saw a significant reduction in funding, largely due to program eliminations and ending ARPA projects, changes in tax and workers compensation calculations, fewer planned vehicle replacements than in 2024, and a $17,000 reduction in uniform maintenance.

Notably, the road patrol fund also saw a $91,987 decrease in funding for UPSET, the Upper Peninsula Substance Enforcement Team. The county has agreed to contribute to the regional law enforcement group using income from reimbursements received from the state for marijuana tax revenue rather than other county income sources. That money is dependent on how many retail marijuana establishments operate within the county, but in 2024, the county received $177,259.05, based on $59,086.35 per store in 2023.

Other funds, like the airport and parks and recreation fund show significant cuts which are mostly tied to the conditions in 2024 raising the fund’s budgetary needs.

For the parks, the budget will shrink by $227,675, mostly as a result of a reduction in approved projects and a decrease in the salaries budget that was higher in 2024 due to it being the first year the county managed the parks. There will also be a reduction in budgeted forest equipment purchases, as those purchases were made in 2024.

On paper, the airport budget is shrinking by $582,133, down to $2,848,791. The reductions are largely due to changes in grant funding and the completion of project reimbursements. However, fuel revenue and airline marketing reimbursements are also expected to be lower in 2025.

The 2026 fiscal year budget process could be significantly different than the process used to develop the 2025 budget. At the Sept. 3 meet, when the public hearing on the budget was held, residents raised concerns that they were unaware as to what the budget contained and were therefore unable to comment.

Multiple commissioners indicated at that meeting that they planned to change the budget development process to be more like the city of Escanaba’s, where multiple public budget sessions are held with individual departments. Escanaba also holds multiple public hearings on the budget prior to its final adoption, allowing residents to express their concerns and priorities while the document is still being finalized.