Who pays when the drain isn’t needed? Hagar Township asks Treasury to audit $895,000 in drain borrowing as property owners seek to abandon and vacate two drainage projects
Hagar Township is asking the Michigan Department of Treasury to conduct a forensic audit of the Berrien County Drain Commissioner’s Office after property owners were assessed for two drainage projects backed by $895,000 in private borrowing.
At the same time, residents are seeking to have the Koranda and Perry & Beach drains abandoned and vacated, arguing the projects are no longer necessary and that assessments are placing a significant financial burden on more than 340 property owners.
In an Aug. 31, 2026, letter, Hagar Township Supervisor Izzy DiMaggio requested an audit covering 2017 through 2025, with particular attention to Koranda Drain No. 282 and Perry & Beach Drain No. 399.
The township wants Treasury to determine how the borrowed money was spent, why Perry & Beach borrowed substantially more than its estimated project cost and whether the drainage districts’ annual financial reports accurately identify their debts.
