Washington County plans to sue the city of Oak Park Heights for $114,142 in alleged water and sewer overcharges at the county's Law Enforcement Center, which houses the county jail.
The county, in reviewing billing over the past five years, determined that the alleged overcharges occurred between July 2005 and June 2006.
The county twice requested a refund from Oak Park Heights but was denied.
County Attorney Doug Johnson told commissioners Tuesday that the case would fall under the area of "unjust enrichment," which prohibits one entity gaining from a mistake.
The mayor of Oak Park Heights, David Beaudet, said Wednesday that the city questions what really happened. County employees had read the meters inside the building and submitted data to the city for billing, he said.
"It's not clear whether the water was used or there were meter-reading errors," Beaudet said. "I'm saddened and disappointed that the county would go forward with a lawsuit."
In May, city finance Director Judy Holst asked in a letter that the county install updated meters that would allow the city to monitor sewer and water use remotely as it does with other customers. The county has installed such meters, accounting and finance Director Harley Will told commissioners this week.
A county review shows that $70,560 of the charges in dispute occurred in sewer billing. The remaining $43,581 was for water.