EARL WATT
• Leader & Times
Seward County has been facing a legal challenge to the valuation of the Arkalon Ethanol plant, also known as Conestoga, and a recent Kansas Open Records request revealed just how much that has cost the taxpayers.
Seward County retained the legal services of Fleeson, Gooing, Coulson and Kitch, and from 2019 to 2025 have paid $521,886.83 in legal fees in the disputed value of the plant.
The valuation is used to determine the tax rate the plant will pay.
When Seward County faced a similar challenge in 2018, the commissioners sent Seward County Counsel Dan Diepenbrock to negotiate a settlement with DCP/National Helium LLC. The two sides reached a resolution that allowed the taxpayer to receive credits for taxes already paid while compromising on the valued amount of the plant, and Seward County was able to use those future credits instead of having to pay a large one-time payment.
But Seward County and Arkalon Ethanol made their case to the Kansas Board of Tax Appeals, and Arkalon appealed that ruling to District Court.
The case was moved to Sedgwick County District Court after, and no final determination has yet to be reached.
All that time, Seward County has been incurring legal fees which so far has totaled more than a half million dollars. It is likely that if either side does not support the court’s decision the case could be appealed again and possibly reach the Kansas Supreme Court.
A message was sent to Seward County Chair Commissioner Scott Car and Commissioner Tammy Sutherland-Abbott to see if any effort had been made by Seward County to discuss a settlement with Conestoga. Neither replied.
Commissioner Todd Stanton is serving his first year on the commission and replied that he was not aware of any effort to reach a settlement with Arkalon Ethanol.
The half-million spent on legal fees is equivalent to about 2 mills in taxable valuation county-wide.
