The Dickinson County Courthouse in Iron Mountain. (Betsy Bloom/Daily News, file)

IRON MOUNTAIN — A public hearing will take place tonight on Dickinson County’s proposed 2021 general fund budget totaling $9.9 million, up 1.5% from this year.

The hearing will be during a county board meeting that begins at 6 p.m. in the circuit courtroom of the courthouse. Instructions for electronic participation will be posted at www.dickinsoncountymi.gov.

The county expects no pandemic aid in 2021, although that remains a possibility, as does the potential for reduced state revenues.

In the 2020 budget, the county lists coronavirus relief grants of $266,899 and public safety payroll reimbursements of $109,753. That federal relief will help offset a decline of $276,656 in state shared revenues, and the expected loss of $426,000 in “swampland taxes” on nearly 200,000 acres of state land in the county.

Although no payments in lieu of taxes have been received from the state in 2020, the county will budget for a $435,000 “swampland” payment in 2021.

Despite state cuts, the county continues to receive sizable payments through the community stabilization program, which is part of Michigan’s personal property tax reform enacted in 2014.

Dickinson’s community stabilization share in 2020 was $1.1 million, or about $398,000 more than budgeted. The county will expect a $750,000 reimbursement from the state in 2021, said Brian Bousley, county controller.

Property taxes are the largest portion of general fund revenues at 57%, Bousley said in a memo to the county board. Those revenues are projected at $5.62 million in 2021, a 2.28% increase.

The operating levy remains at 6.1403 mills, or $6.14 per $1,000 of taxable value. For a house worth $85,000 and with a taxable value of $42,500, a levy of 6.1403 mills amounts to a property tax of $261.

The county’s general fund balance is $4.8 million, equaling 47% of planned spending in 2021. “This is a significant increase over the past several years,” Bousley said.

Last month, the board agreed to take $1.2 million out of the fund balance, with $659,547 set aside for public improvement or capital projects; $299,794 allocated for contingency or “rainy day” needs; and $239,835 going into a post-employment benefits fund for the Michigan Municipal Employees Retirement System.

In future years, the board plans to make similar moves — when possible — while maintaining a fund balance of at least 35%.

The general payment into MERS in 2021 is budgeted at $1.35 million, up from $1.28 million this year. As of 2019, the county’s MERS pension fund was 57% funded, with unfunded liabilities estimated at $17.1 million.

The additional $239,835 allocated in 2020 will help meet future MERS payments and reduce the unfunded liability, Bousley explained.

Wages for county employees account for 46% of the budget. Employees represented by bargaining units will be in the final year of a four-year agreement that provided 2% wage increases each year.

Fringe benefits, including retiree health insurance, represent 32.5% of the budget. Although health insurance rates as a whole have increased roughly 16% for 2021, the county has made a change involving retirees who are Medicare-eligible that will lessen the impact, Bousley said.

Under the change, each eligible retiree will receive a monthly stipend so they can purchase their own coverage. The county expects improved coverage, as well as substantial savings, but will continue to monitor the program. Employees hired after 1995 are not eligible for such retirement benefits.

The county is budgeting $524,500 for retiree health insurance in 2021, down from $780,000 this year.

As part of its collective bargaining, the county in recent years has purchased high-deductible health plans combined with Health Savings Accounts or Health Reimbursement Accounts. The approach has delivered favorable results, even considering the 2021 rate increase, Bousley said. Active county employees pay 20% of their insurance premiums.

Some other budget items:

— An added position will be shared between the airport, parks, and courthouse and grounds. Salary and benefits will be split between the three entities. “This position will allow the county to use in-house personnel for projects and maintenance, rather than using outside workforce at an increased cost,” Bousley said.

— County parks has been allocated $57,381. It remains the county’s intent to strive for a self-sufficient system, Bousley said. Parks spending in 2020 is listed at $92,500, as new electrical wiring and pedestals have been installed for the majority of camping sites. Water lines will be installed before the 2021 season. Much of the work at Lake Antoine, including the county’s $47,000 share for a new boat launch completed this year, is being paid through a public improvement fund.

— The Ford Airport budget is $221,996, providing funding for the county’s 5% match on grant-aided projects delayed from 2019. These include a new fire truck, taxiway rehabilitation and a terminal building study. In 2020, the county received a $1.09 million CARES Act grant that has been used to support operations and pay off a construction loan for a new hangar. A passenger facility charge re-instituted in June 2019 is projected to generate $65,000 in 2021.

— District Court Judge Julie LaCost’s request to increase a part-time department assistant to full-time was denied. Court revenues are down the past two years due to the legalization of marijuana and restrictions placed on court proceedings during the pandemic, Bousley noted.

— Also denied was a request from Prosecuting Attorney Lisa Richards for salary increases outside of the current pay scales for the chief assistant prosecutor and assistant prosecutor. Requests for on-call pay were turned down as well.

— The county’s appropriation for the indigent defense fund will be $70,164, with the state committing $465,593.

— The budget for the county medical examiner is $60,260, which includes $30,000 for autopsies and $25,000 for hospital fees.

— The 2016 voter-approved levy for the county veterans office of 0.1 mills, or 10 cents per $1,000 of taxable value, along with grant monies will fully fund a full-time veterans service officer at 40 hours per week, plus an additional part-time officer at 29 hours per week.

— After a year of high turnover in correctional center staff, additional security projects will be addressed in 2021 such as more cameras and keyless entries. Upgrades in 2020 included a security wall in the jail lobby and rehabilitation of the sally port.

— Planned capital projects at the courthouse over the next several years include tuckpointing, window replacement and interior upkeep.

— The position of administrative assistant in the controller’s office will have a pay increase, putting the salary at $45,496 for 2021. The position was created on a probationary basis in 2018 to replace the assistant controller, which had a significantly higher pay grade.

— General appropriations include $5,000 for the Almost Home Animal Shelter and $500 for the Upper Peninsula Research and Development Council.

— A total of $19,200 is allocated for county board salaries and $18,125 for county board per diems.