Dunn County executive committee backs $3 million highway borrowing, orders fund-balance policy change as budget gap looms

The Dunn County Executive Committee on Wednesday voted to authorize the sale of up to $3,000,000 in general obligation promissory notes to fund highway projects and approved removing the county's existing fund-balance ordinance in favor of a board-approved policy, county leaders said.

County Manager Dan told the committee the borrowing would fund this year's highway work and is timed as late in the year as feasible; he said the county maintained a AA stable credit rating. The committee later moved, seconded and approved the resolution authorizing the issuance and sale of not-to-exceed $3,000,000 general obligation promissory notes, series 2025A.

The votes came amid an extended budget workshop during which Dan and supervisors discussed proposed changes to the pay plan, a projected 18% rise in health insurance premiums, proposed new positions and program reviews intended to find savings. Dan presented a draft budget showing roughly $1.1 million of salary-and-fringe cost increases (about $429,000 from a 2.75% pay adjustment and about $692,000 from the insurer's 18% premium increase). He said a 1% wage-variance equals about $245,000 and that the county had adjusted an earlier $245,000 projection for performance-based increases down to $145,000.

Why it matters: Committee members said they want a balanced 2026 budget but acknowledged the county faces a structural gap that requires a mix of options: limited borrowing for capital, potential program cuts, adjustments to the pay plan, and reviewing how administrative (indirect) costs are charged to enterprise funds. The committee set October meetings to review program-cut proposals and asked staff for more detail on potential savings.

Most important facts - The committee approved a resolution authorizing not-to-exceed $3,000,000 in promissory notes for highway projects; the motion passed unanimously. - The committee voted to repeal the current Chapter 7 fund-balance language and replace it with a board-approved fund-balance policy (staff to prepare the policy); that motion passed. - Dan reported Dunn County's audited 2024 fund…