Ashland Victorious in 4-Year Legal Battle vs Xcel Energy

Federal Judge Rules City Has Zero Liability in Ashland Lakefront SuperFund Lawsuit

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The four–year legal battle between the city of Ashland and Xcel Energy/Northern States Power has come to an end.

Friday, a federal court in Madison ruled that the city owes nothing for an environmental cleanup project that is estimated to cost upwards of $100 million.

While the decision came down Friday, the relief and excitement was still so fresh Monday for Ashland city leaders, as they knew the future of the entire city was riding on this decision.

The sounds of celebration…

“I had tears in my eyes, I guess I didn’t realize how much stress that it was putting me under, the staff under, the community,” said Ashland City Administrator Mary Garness.

And a collective sigh of relief heard across Ashland.

“It was the best possible outcome, you know, it was just like wow, wow,” smiled Ashland Mayor Deb Lewis.

One looming question has finally been answered.

“How can we do anything as a city when we have this hanging over our head? We don’t know what our liability’s going to be, we don’t know if we’re going to exist,” Lewis admitted.

U.S. District Court Judge Barbara Crabb ruled Friday the city of Ashland has zero liability in a multi–million dollar lawsuit filed by Xcel Energy–Northern States Power.

“They didn’t prove the case that they needed to,” Lewis stated. “The facts weren’t there.”

The legal battle began four years ago over who was responsible for the cleanup of harmful by–products from a century-old gas plant on the Chequamegon Bay.

Mayor Lewis knows her city escaped an expensive project.

“It could be $100 million, I’ve heard estimates up to $200 million,” she said.

But since the trial wrapped up in April, covering that expense was a legitimate fear.

“We would have been required to put that liability on tax rolls, which would have probably made us into a ghost town,” Lewis admitted.

“If I were levied the amount that was asked for, I wouldn’t be able to afford it,” said Garness.

For Garness, the extensive pre–trial process consumed her nine–plus years with the city.

“We had to read through minutes from the early 1900s going forward,” she explained.

On top of lost time and money, a cloud of uncertainty hung over Ashland’s future.

“Not just residents wanting to move here, but also businesses that would like to potentially invest here,” Lewis told FOX 21.

Mayor Lewis says the news couldn’t have come at a better time.

“On Friday we were together at a community forum that was organized to plan the future of Ashland,” she smiled.

And while the wait was not fun…

“The more time that went on, the more uncertainty it felt,” Lewis described.

It was well worth it.

“Better late than never, especially when it’s good news,” laughed Lewis. 

In a statement issued Friday, Xcel/NSP said, ‘We are disappointed in the judge’s decision, despite evidence in this case which we believe demonstrated the responsibility of other parties. We are currently reviewing the decision and will evaluate our next steps based on the ruling.” 

Xcel/NSP can appeal the decision. Mayor Lewis believes success in such an appeal is unlikely.