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An update to a previous question about the cost to the City of Decorah of the Menards application

Posted: Tue, Nov 27, 2018 4:18 PM

(This is a follow-up to our previous answer about the costs to the City of Decorah of the failed application by Menards to build a new store in the Freeport floodplain):

"Two weeks ago, we answered a reader's question about how much it cost the City of Decorah to handle the Menards application for a new store in Freeport (http://www.decorahnews.com/news-stories/2018/11/20869.html).  Since then we have learned new information.

On November 14th we wrote the City of Decorah had $22,225 in out-of-pocket expenses-- $11,650 in engineering consulting fees and $10,575 in legal consulting fees.  Since then we have learned city code allows for billing engineering fees to the person or company which submits a site plan application.  Section 17.36.080 reads, "In addition to the site plan filing fees, the person, persons or agent filing a site plan shall be responsible for just and reasonable costs incurred by the city during the course of review, interpretation and comment on the site plan application as deemed necessary by the city engineer to assure proper review and consultation with the zoning administrator and the planning and zoning commission and to ensure compliance with applicable standards and ordinances. Said costs shall not include initial consultative reviews or meetings with the zoning administrator.  Under no conditions shall the fee or any part thereof be refunded for failure of the site plan to be approved." (Our emphasis added)

In other words, Menards is responsible for paying back $11,650 to the City of Decorah for engineering consulting fees the city incurred.

And what about the $10,575 in legal consulting fees?  City Administrator Chad Bird says, "Attorney fees are just part of the general fund budget."  Because the City of Decorah contracts for the services of a city attorney as opposed to having one on staff, the city puts aside money in its budget to pay for legal consulting fees.  The $10,570 in legal consulting fees charged for answering questions about the Menards application will come out of the pocket of city taxpayers, but until the end of the fiscal year, it won't be known if that is within the budget which had already been set for legal consulting fees or if that will exceed it.