PANAMA CITY — Bay County has spent about $100,000 in outside legal fees in a dispute with Tyndall Air Force Base over how much the military installation should pay for water.
A federal judge ruled in Bay County’s favor in August, but there’s a chance Tyndall could appeal, so the County Commission will vote Tuesday to extend its contract with outside legal counsel. Moore, Hill & Westmoreland, a Pensacola firm, will represent the county at $250 an hour, according to the proposed agreement.
There is about $1 million in unpaid water bills in dispute. When the county raised the water rate in recent years, Tyndall refused to pay the higher price, saying it had a loophole in its contract.
Following the county’s victory in court this summer, there has been concern over an appeal.
“It looks to me like Tyndall Air Force Base is setting up to seek an appeal,” county attorney Terrell Arline told the board in September.
But Commissioner George Gainer, the board’s point man on this dispute, said it appears an agreement will be ironed out. He said there’s a “tentative agreement” for everything except the late fees.
He seemed unconcerned with continuing to pay outside lawyers while the two parties try to sort out the details. He said approving the lawyer’s contract Tuesday is a conservative measure — “just to have them in case we do need them.”
“For all practical purposes, I fee like we have it settled,” he said of the case.
Gainer said the dispute now centers on a 10 percent late charge and Tyndall argues the federal government doesn’t pay late charges.
“I think we’re going to get all the fees, but we’re not going to get the late charges,” he said.
The board approved the late fees after Tyndall already had amassed a hefty amount of unpaid water bills, Gainer said.
Despite the loose ends left untied, he thinks the county will be able to avoid an appeal.
“That’s what it looks like, but with the federal government you never know,” Gainer said.
Moving forward, Tyndall would agree to pay at the higher rate and at whatever rate the board would set in the future, Gainer said.
“That was a very important part of this,” he said.
Tyndall referred comment to the U.S. Attorney’s Office, which could not be reached for comment late Monday.