Butler County commissioners want to set a deadline for resolving a nearly $500,000 debt they say the city of Hamilton owes the county for maintenance and operational costs associated with the parking garage shared by the governments.

Two years ago, Commissioner Don Dixon pointed out Hamilton officials had not paid for the city’s share of repairs and operational costs since the four-story, 600-space garage connected to the Government Services Center opened in 1999. A report prepared by the county in April estimated the amount owed by Hamilton at $495,924.

The city and county have been meeting for months to resolve the matter, and Hamilton made a single payment of $25,000 when it received a bill from the county.

Dixon asked during Monday’s commission meeting when the county might get payment in full. County Administrator Charles Young told him the two sides were “still continuing those negotiations.”

Dixon said he would be in favor of setting a time limit for a resolution, after which they could look at other options if necessary.

One of those options, Young said, could be “pursuing other means of collection of a past due debt.”

“I would prefer not to do the latter,” Dixon said of turning the debt over to collections. “But we need the money in the budget. That’s a half million in debt we can pay off.”

Hamilton Deputy City Manager Hillary Stevenson said the city and the county are close to a resolution. She added she is hopeful the issue could be resolved by the end of the year.

Stevenson said the talks have taken some turns and both sides have explored options for the future operation of the garage. In addition, Hamilton City Council has authorized a payment of $175,000 for the past debt and the city may be increasing responsibility that will enhance the maintenance fund for upkeep in the future.

There is no specific maintenance agreement, but a lease agreement between the city and the county signed in February 1999 stated: “The city will be obligated to pay as additional rent the city’s proportionate share of the cost to operate, manage, maintain and repair the (Government Services Center) and the parking facility.”

County leaders admit the city was never billed for the maintenance costs for the portion of the garage. City administrators apparently never questioned why they didn’t receive a bill, according to Young and Dixon. Both the city and the county have changed financial systems and personnel since 2000.

The county is responsible for maintaining the first through third floors and half of the fourth, with the city responsible for the remainder. Since 2001, the county has paid millions in operations, maintenance and salaries for the four-story garage that opened in 2000.

“We should have had a plan (when the garage was built),” Dixon said. “Now we need to cure the situation and move on.”

Commissioner Cindy Carpenter said she supported setting a deadline for resolving the issue.

Young said he would report back with options at Thursday’s meeting.