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Friday, April 2, 2004

Spokane

At a glance: Anatomy of a decision

The decision: The beginning of court battles over the city's parking meter money.

  • Who made it: The Spokane City Council voted 4-3 against loaning money from the meter fund, saying there was no guarantee it could be repaid. The mall's developer sought a court order for the city to make the loan.
  • Why it became controversial: City officials who set up the loan ordinance thought it was unlikely to be used, and the ordinance had no requirements governing repayment. Unpaid bills from the garage continued to mount, so the amount needed to cover them grew. The parking meter money was put in an escrow account awaiting a court ruling on the loan and couldn't be used for city expenses such as street repair.
  • What went wrong: The city, which had previously defended the loan as legal when the concept was challenged, found itself arguing the opposite when the loan was refused.

    The mall's attorneys said they thought they were taking the simplest legal route to a solution, but were told by the state Supreme Court they were suing the wrong people. A final ruling in their favor took more than three years.

    In the meantime, further litigation followed, drawing in almost everyone connected with the project.

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