Although a $1.8 million lawsuit filed against Athens by the U.S. Environmental Protection Agency was dropped, the city still must pay more than $400,000 in legal fees.

In the lawsuit filed in 1993, the U.S. EPA claimed the city violated the Resource Conservation and Recovery Act in several ways. First, the organization claimed the city was polluting areas near the West State Street fields but could not prove it. Then it discovered Athens had failed to file the proper paperwork - a mistake that could potentially have cost the city $22,500 per day of violation if the EPA had won the case.

The lawsuit stems from 1980 when the city developed a Volatile Organic Compound sampling program for city well fields, according to a prepared statement read by Athens City Law Director Garry Hunter at a press conference yesterday. Trace amounts of hazardous chemicals were found in a well field on West State Street, and the city reported this to the Ohio EPA.

Representatives from both sides worked from 1993 to 1997 to achieve an out-of-court settlement. The discussions ended when state officials made demands for clean-up that were unacceptable to Athens officials.

On Oct. 14, U.S. EPA Judge J.F. Greene issued a decision dropping the suit. In return the city will pay a $98,000 fine. She will issue the detailed findings and conclusions on Oct. 24.

Robert Shostak, legal representative for the city with Shostak Law Office in Athens, said the decision represents a major victory for the city because the fine was reduced.

But the city has compiled a bill about four times that amount in legal fees. Statistics from Athens City Auditor Jimmy Stewart's office show the city has spent $428,589 in legal fees. That amount does not include time city officials spent working on the case.

Athens Mayor Richard Abel said the city has absorbed what it could from the budget and borrowed $200,000 to pay for the costs. He said another $200,000 might have to be borrowed to pay for the fine and about $70,000 in future legal fees.

Abel said he will work with the city council to work out payment plans and a possible increase in water and sewer fees.

"I know other cities have done that when they get trapped like we have," he said.

Shostak said there is no question the city did not submit some papers.

The case involves the violation of a strict-liability statute, he said. Any person who does not comply with the statute can be fined up to $25,000 a day, hence the $22,500 fine imposed on the city.