Ingham County Voters to Decide on $99.9M School Bond, Property Tax Hike on May 5
Voters in Michigan’s Ingham Intermediate School District (ISD) will decide the fate of a $99,960,000 bond proposal during a special election on May 5, 2026. If approved, the measure would fund the construction and renovation of special education facilities through an increase in local property taxes levied for up to 20 years.
The bond is aimed at addressing the needs of aging infrastructure that serves students with disabilities from 12 local school districts. The primary goals are to erect a new building to replace the Beekman Center in Lansing, which was built in 1968, and to extensively renovate the Heartwood School in Mason, constructed in 1978. According to Ingham ISD officials, neither facility has received significant upgrades beyond basic maintenance, such as a roof replacement at Beekman in 2014.
For small and mid-sized business owners in Ingham County, any proposed property tax increase warrants careful consideration, even one for a critical community need. A millage increase, such as the proposed 0.55 mills, directly impacts a company's bottom line. For businesses that own their commercial real estate, this is a straightforward increase in their annual tax liability. However, even companies that lease are not immune. Many commercial leases are structured as 'triple-net,' meaning tenants are responsible for property taxes, insurance, and maintenance costs, so landlords will pass this increase directly to them. This is not a one-time expense; it is a recurring cost for up to 20 years that must be factored into financial forecasts and budgets. In our experience, these seemingly small, incremental tax hikes can accumulate and significantly affect cash flow over the long term. Proactive financial planning is essential to absorb these changes without disrupting operations. Navigating the complexities of local and state tax obligations is a core part of our tax preparation and compliance services. To understand how this proposal could affect your specific business finances, contact C&S Finance Group LLC at csfinancegroup.com.
The proposed tax increase is estimated at 0.55 mills. A mill is a unit of property tax equal to one dollar for every $1,000 of a property’s taxable value. In Michigan, a property's taxable value is typically no more than half of its market value. Under this proposal, a commercial property with a taxable value of $500,000 would see an annual property tax increase of $275. A home with a market value of $200,000 and a taxable value of $100,000 would pay an additional $55 per year.
The funds would serve students with moderate and severe cognitive conditions and other needs across the ISD’s service area, which includes the school districts of Dansville, East Lansing, Haslett, Holt, Lansing, Leslie, Mason, Okemos, Stockbridge, Waverly, Webberville, and Williamston. All property owners within these districts would be subject to the tax increase if the bond passes.
Ingham ISD officials argue that the investment is necessary to continue providing a high standard of care and is more cost-effective than alternative solutions. Superintendent Jason Mellema has stated that if the ISD did not provide these centralized programs, each of the 12 local districts would have to establish its own comparable services, likely at a much higher aggregate cost to taxpayers. The Beekman Center, for instance, has been described as a pioneering facility and the first center-based special education building in the country when it opened, providing educational programming alongside physical therapy and medical interventions.
According to the official ballot language, the nearly $100 million raised would be designated for capital improvements only. The proceeds can be used for erecting, furnishing, and equipping a new school building; remodeling and adding to existing facilities; and acquiring instructional technology. The bond money is legally prohibited from being used for administrator or employee salaries or other general operating expenses.
The Ingham ISD bond is one of several tax issues facing voters in the region on May 5. In a separate proposal, Morrice Area Schools, which covers parts of Ingham, Shiawassee, and Livingston counties, is asking voters to approve an 18-mill levy to provide funds for operating purposes.
The outcome of the May 5 vote will determine the future of special education facilities in the county for the next two decades. If the bond is approved, the district will proceed with design and construction. If it fails, Ingham ISD and its partner districts will have to reassess how to address the challenges posed by their aging infrastructure.