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Saturday, February 10, 2001

Tower owner sues Hamilton


City sues county over water purchase

By Janice Morse and Earnest Winston
The Cincinnati Enquirer

        HAMILTON — In the midst of a budget crunch and economic downturn, the city's legal fees are multiplying.

        One Renaissance Hamilton Inc., the landlord for the city's new $18 million office tower, on Thursday filed suit against the city, seeking back rent totaling more than $600,000 — plus legal fees.

        The lawsuit in Butler County Common Pleas Court alleges that the city delayed completion and occupancy of the structure, at High Street and Martin Luther King Jr. Boulevard, to avoid paying several months' rent.

        City Councilman Richard Holzberger said Hamilton has been at odds with its landlord for months; he blames the delays on One Renaissance.

        “I think they're trying to make another quick buck on us,” he said. “I think it's frivolous, and I think it will be resolved quickly.”

        In other legal action, the city on Friday made good on its threat and filed a $2 million-plus lawsuit against Butler County.

        Hamilton alleges the county's purchase of water from Cincinnati in 1999 breached the county's 1989 agreement to purchase most of its water from Hamilton until 2021. County leaders say they did nothing wrong because the agreement allows purchase from other sources in emergencies.

        The increased litigation comes at a time when Hamilton has been trying to cut expenses and increase revenues to make up for a proj ected $1.5 million shortfall. The city has lost payroll taxes and other revenue after hundreds of jobs were cut recently by two employers: Ohio Casualty Group and International Paper.

        The water lawsuit is the latest chapter in the three-year Hamilton-Butler dispute, litigation that has cost the city more than $1 million.

        In 1998, the county sued Hamilton, accusing the city of overcharging the county for water rates. A judge threw out the lawsuit in 1999; the county appealed.

        The 12th District Court of Appeals in Middletown had been scheduled to hear oral arguments Feb. 20, but the city asked for a two-month delay.

        Hamilton says it suffered lost revenue of more than $2 million plus interest; the lawsuit seeks additional damages of at least $25,000.

       



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