Health insurance increase negates pay increase for Isabella County employees
County employees, land owners at Stevenson Lake and other residents gathered at the Isabella County Board of Commissioners meeting on Sept. 1, 2026. Extra tables and chairs were set out for citizens so they could address conens to the commissioners.
There was public discourse about health insurance increases and the approval of the special assessment at Stevenson Lake at the Isabella County Board of Commissioners meeting on Sept. 1.
Twelve members of the public spoke during public comments about these agenda topics. County employees said they can’t afford the health insurance increase on their paychecks and Stevenson Lake residents said there hasn’t been transparency to know what they're paying for.
Health Insurance Increase:
The commissioners started the meeting with an open public hearing on the proposed FY 2027 budget. Four county employees said that their pay increase next year does not matter because of the health insurance cost inflation.
The county covers the annual premium for employee health insurance and employees have an annual cost share. The cost share is the amount taken out of 26 of the employees' pay checks to help alleviate county costs for the insurance.
According to data on the health insurance plans from the FY26 and FY27 budget, if a family is on the A-plan for health insurance, the cost in this year's plan is $186 and is expected to go up to $301 in 2027. Out of the six plans, vision and dental is the only plan completely covered for employees in 2027.
This is especially taxing on employees who have family insurance, Ray Johnson, a 13-year county employee, said. There are lots of expenses to pay and some families can't take a lost in benefits.
“How are you going to attract and retain high-quality employees here at Isabella County when the county budget is a balance on the backs of employees?” Johnson asked the commissioners.
Johnson said the benefits are a large reason why people come to work for the county. He said employees will ask themselves if they should stay or not based on whether the commission adjusts the budget or not.
Dorthy Marshall, nine-year employee of the prosecutor’s office, said that she will have a $90 check decrease if the county goes through with the proposal.
“It isn't fair for you to balance the budget and use us to do that,” Marshall said. “You have other things available to you. You have other decisions that you can make.”
Employees asked the board to reconsider the proposed budget, such as moving some of the costs elsewhere.
Stevenson Lake:
The $95,000 special assessment on Stevenson Lake was approved. The lake's level control structure is nearing the end of its life. Maintenance is needed to repair the dam to stop leaks and maintain lake level during dry periods.
The special assessment will cover costs and fund the operation, maintenance repairs and inspections to maintain the required lake level from the state, the drain commissioner’s legal counselor Amanda Knutson from Fahey Schultz Burzych Rhodes PLC said.
These operations include inspections every three years, maintaining the dam’s infrastructure to keep the lake at the appropriate level and to pay for the legal work through the circuit court back in March 2026 that established the new legal lake level, Knutson said.
The assessment had to be approved by the commissioners for the Drain Commission to have authority to maintain the legal lake level.
Property owners will see the special assessment costs on their winter tax bill, Knutson said. They can either pay it all at once to avoid interest or over the five year period.
The amount residents and property owners will pay is based on the parcels of land they own, which range from $269 to $16,878, according to the staff report. The cost is primarily allocated based on how much lake access each parcel of land has.
Eight residents from Stevenson Lake spoke during public comments about the special assessment. One resident, Karen Russon, said there is a $20,000 discrepancy in the budget.
She said, according to their invoices since the beginning of 2024 , the development of district boundaries and preparation of assessment methodology should cost $37,000 instead of $58,000.
Russon said that her and other land owners have not been well-informed where their money is going and what these costs are for.
“We ask that … if you (commissioners) would please update the assessment roll with changes that you find based on these discrepancies, so that there could be a revised computation of costs,” Russon said.
There was also concerns about how the funds will be used to resolve flooding that causes property damage, the cost and burden given to land owners.
“Our office, and I believe the drain commissioner as well, has reviewed every objection that we've received,” Knutson said.
Knutson said some of the issues, such as flooding is caused by sediment build up and a separate project for dredging would be needed. She said property owners do have the right to appeal if they want.
Other items approved:
- The Commission on Aging will receive $154,860 to update the building management system and HVAC controls
- $1,500 for the Vanguard cloud based subscription which is effective Jan. 1, 2027 for the Register of Deeds Office to help track and search legal documents
- The service agreement between Isabella County and Middle Michigan Development Corporation (MMDC) from 2027 through 2029
- The state tax commission form for the tax rate request confirming each county approved millage rate
