A potential $1.7 million deficit is in sight for Isabella County as officials anticipate less state-shared revenue in the next fiscal year.

County Administrator Tim Dolehanty said the deficit could range anywhere from $450,000 to $1.7 million. The $450,000 shortfall is equivalent to 10 to 15 full-time positions, he said.

“That’s a best-case scenario. A lot of that revenue is dependent on state sources,” Dolehanty said. “We could see a number higher than 10 to 15.”

The information was presented to all Isabella County employees last week, said David Ling, chairman of the Isabella County Board of Commissioners. The county’s general fund is $16.8 million.

Payroll accounts for 55 percent of the county budget. While the county does not want to cut jobs, there are items in the budget mandated by the state constitution or by state law.

Mandated items can be trimmed to minimums set by the state, but discretionary programs, such as parks and recreation and public safety, are likely to see cuts first.

“The other funding is fairly limited, so I think we would be looking at revenue-generating activities and whether or not we can cut down expenses related to technology and materials,” Ling said.

Workload up already

The Isabella County Sheriff’s Department fears a cut of employees could hamper the services it provides, said Sheriff Leo Mioduszewski.

“It would be very difficult. The workload keeps going up, up, up,” he said. “We haven’t increased the number of deputies in a long time. When our deputies are working, they’re working all day.”

The county has already cut back on building permit workers’ hours. Ling said the work week could be shortened and employees could go on furloughs to save money.

With state revenues down an estimated 20 percent, Dolehanty said he thinks the county will not receive enough money to cover the shortfall.

“With that drop, will the state renew revenue sharing? I don’t think they have the money,” he said.

The state suspended revenue sharing in 2004, and ordered counties to take in an extra one-third in property taxes to compensate. The reinstatement of revenue sharing is staggered from county to county, and the county is due to receive theirs this year.

Isabella receives 9.4 percent of its budget from state funding, but that could be cut back.

The county commission will discuss where potential cuts can be made at its Wednesday meeting. It will reassess the budget March 31, the midpoint of the fiscal year. The true impact will not be felt until October, when the new fiscal year begins.

Job cuts have already started to cover the deficit. Three workers were recently laid off at the county recycling center.

E-mail the author: Ryan Czachorski