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County will investigate solid waste fees before signing contract

Posted: 3/26/02

By Shannon McKinney
Argus News Reporter

The Houston County board still hasnít reached an agreement with La Crosse County on extending a contract for disposal of its solid waste.

The current contract runs through 2008. La Crosse County is looking to extend that contract an additional 15 years to help cover the costs of upgrades to one of its incinerators.

At its board meeting on Tuesday, March 19, county commissioners voted to contract with financial advisors Dan OíNeill and Kirk Rosenberger to investigate the financial records of La Crosse Countyís solid waste department. This service will cost the county $100 an hour with approximately 25 hours needed to deal with the issue.

The two financial advisors plan to track what La Crosse County has done with the tipping fee Houston County has paid it for the past 12 years. According to its current agreement, La Crosse County is to use part of Houston Countyís tipping fee for the La Crosse County Solid Waste system. Right now La Crosse County has a $9 million surplus and commissioners feel they should have a say in how that money is spent. They say some of that money can be used to pay for upgrades to the incinerator in La Crosse County. The upgrades cost $10.7 million.

La Crosse Countyís 15 year extension proposal asks Houston County to pay $240,000 either up front or during a 20 year installment plan.

Houston County Commissioner Kevin Kelleher said, ìMy contention is weíve already paid money (in tipping fees) that is supposed to be used for that. Iím not opposed to spending $2,500 to save $240,000.î

The county has contracted for the legal services of Dick Nowlin of Lindquist and Vennum, who is representing the contractual interests of Houston County.

The county has already paid Nowlin $8,100 for his services.

With the help of Nowlin, the county has drafted its own contract with La Crosse County, minus the $240,000 fee, and sent it to La Crosse.

La Crosse County has yet not responded to it.

There are a few dozen other subcontractors that La Crosse County is looking to extend their contracts with.

Only one, the city of Arcadia,WI, has signed an extension with La Crosse County. Some of the other contractors are meeting with Houston County to see what they are doing before they sign. Kelleher explained, ìThereís really not an organized thing out there to look at the legal aspect of it. They figure they can do what they did last time; sit and wait and hope everybody else does something.î

Twelve years ago when the original contract was signed, Houston County made the efforts to put together a contract, using Nowlinís services. That contract was subsequently used by the other contractors without any kind of financial reimbursement to Houston County.

Houston County Solid Waste Office Rick Frank explained to The Argus that some of the money that the county has spent on attorneys and financial advisors might be recouped if these other subcontractors wish to use information that Houston County has gained.

Other cities have expressed an interest to Houston County about discussing the legal aspects of the extension.

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