Baker City $2.15M lawsuit over unusable sewer lagoon slated for March trial

Baker County Circuit Court has set a March 29, 2027 trial date in Baker City’s $2.15 million civil lawsuit over a sewer lagoon that has been unusable since its construction in 2021. Judge Matt Shirtcliff scheduled the trial during a short hearing on Monday, Jan. 26, 2026, after city attorneys asked the court to lock in dates while mediation remains on the calendar.

City attorneys told the court that a mediation is scheduled for April 27, 2026, but asked for trial dates to be set now. The court also set Aug. 1, 2026 as the deadline for filing motions. Those deadlines frame the next phase of litigation that centers on alleged design and installation problems tied to the lagoon’s failing liner.

Baker City’s amended complaint, filed in May 2025, seeks $2,157,546 for “additional design and construction costs” the city says flowed from the liner failure. The lagoon is part of a roughly $5.7 million wastewater project built on a 51-acre parcel east of Baker City near the airport. City officials discovered liner leaks beginning in 2022. Repairs made in fall 2023 did not resolve the problem, and the lagoon remains unusable until the liner is replaced.

The amended complaint names La Grande engineering firm Anderson Perry and liner installer Northwest Linings among other parties. Anderson Perry has filed a third-party complaint that shifts some liability to contractors and liner manufacturers. The pleadings and counterclaims allege a mix of design flaws, liner installation issues, and related quality control problems that the city says forced extra work and expense.

For local residents, the case carries practical implications. The lagoon’s unusable status has delayed full use of the wastewater project east of town, and the outcome of the suit could affect who pays for repairs - ratepayers, the city, or contractors and manufacturers found liable. The litigation timeline also means the project will likely remain offline for at least another year while parties pursue mediation and pretrial motions.

City finances and future sewer rates are likely to be focal points if the case moves to trial. A favorable outcome for Baker City could shift repair costs away from the municipal budget; an unfavorable result or a prolonged settlement could put pressure on the city’s capital plan. Residents who follow city council budget talks, public works updates, and court filings will get the clearest picture of any downstream impacts.

Next steps include the April 27, 2026 mediation, the Aug. 1, 2026 motions deadline, and the March 29, 2027 trial. Baker City officials, contractors, and property owners near the airport will be watching these dates closely as the community waits to learn who will cover the cost to get the lagoon operational.