Sand Lake council discusses 2023 road-project overrun; state grant and accounting correction reduce shortfall

Village staff told the Sand Lake council Jan. 19 that a 2023 road project exceeded budget and the village is in the process of correcting prior accounting entries and working with state officials to finalize the adjustment.

Tyler, speaking to council during unfinished business, said the 2023 road project went roughly $63,000 over budget because material costs rose and the project costs had been allocated entirely to local streets instead of split between local and major streets. "In 2023 the road project went $63,000 over budget due to material costs," Tyler said.

To address the error, the village submitted a correction plan in February 2025 after being notified in September 2024. Tyler said the village received a $129,000 grant and moved $163,000 from the local-streets account to the major-streets account to correct prior allocations. He said the village will need to refile the correction again next year until the total adjustment is complete.

Context: The accounting fix and state grant reduce the immediate shortfall but require additional filings with the state and continued monitoring. Council did not take a separate vote on the deficit correction at the Jan. 19 meeting beyond accepting staff explanation; no additional budget motions were recorded.

Next step: Staff will continue to work with state officials to complete the reallocation and file required corrections in the coming year.