Officials in the city of Martin say the Floyd County fiscal court owes them nearly $60,000.
Floyd County officials say that is not true. Now the matter is going to court.
The issue surrounds the wastewater treatment plant. Martin city officials say the county used it for wastewater from the county landfill and did not pay part of the contract. County officials say they ended the contract and owe them nothing.
The contract shows the City of Martin and Floyd County Fiscal Court had an interlocal agreement for the city's wastewater plant to handle waste from the county landfill.
The contract expired at the beginning of 2010.
Martin City officials say then they increased the rate and claim the county refused to pay the higher rate.
The two sides worked out a new agreement in February 2011. A few months later, the county cancelled the agreement allegedly due to the higher rate and claimed the treatment plant was polluting Floyd County waterways.
"We said no more, we don't want to do business with you," said Floyd County Attorney Keith Bartley.
The city of Martin attorney says the fiscal court still owes them more than $57,089.55 in overdue bills for work before the agreement ended.
"We want what we are due and owed for services rendered," said Martin City Attorney Clyde Johnson.
"Because of their inoperable system and they were pumping sewage directly into the waterways of Floyd County, we are not obligated to pay them for services we were not receiving," said Bartley.
City officials say the violations issued by the State Division of Water were due to the plant being designed for "under flood level" and says the county knew about the problems, and it should not be an issue in the lawsuit.
"The city has done the best they can to maintain their system, to keep it working much as possible and they've done that without having the benefit of the county paying their fair share," said Johnson.
The County Attorney filed a counter suit claiming the City of Martin is withholding garbage collected money that belongs to the county. The Martin City Attorney says the money went towards part of the payments for the treatment plant's bills.
The dispute will be decided in court. The lawsuit is scheduled for a hearing on Friday.