Citing "dangerous precedence," Minden Town Board members denied a request last week to refund $42,530 in water connection permits for the Copper Peak project.
Garry Leiss, one of the developers, said Copper Peak had been derailed by the economic downturn, but his partners planned to complete the 2-acre development on Highway 395 at the corner of Lucerne Street.
"We started the project with every intent not to just walk away," Leiss told the town board Dec. 2. "Our cash flow is very limited. We need the money to keep everything moving. We want to finish this."
Leiss said he terminated his building permit with Douglas County, claiming he was advised by Minden that step was necessary to get a water connection refund for the two parcels.
"In the 28 years I've been here, we've never refunded connection fees," said town board member Ross Chichester. "I'm concerned we're setting a dangerous precedent. If we do it for one, we have to do it for everyone."
Chichester added that the town didn't have $42,530 available in the budget for a refund.
Leiss said the property was paid in full, and on the market.
"We went to our bank and took out a half-million-dollar loan for the infrastructure. We got a hole in the ground, and the bank said, 'Hey. We can't give you any more money.' We have a half-million-dollar lien on the property and no place to go."
Town board member John Stephans said he sympathized, but couldn't justify a refund.
"I know it's hard economic times for all, but we just can't give it back. It's the cost of doing business," he said.
