For years, Bay County was providing solid waste recycling for Panama City.
When the county shut down the recycling site, officials gave the city a $372,000 credit.
Now the county wants the city to pay it back, plus interest, so it can keep the solid waste system running
The county claims the city owes over $1.7 million.
Monday the two commissions held a mediation session at Panama City Hall. The city disputed some of the terms and doesn't want to pay the money back.
City officials cite some of the things they've done for the county without asking for a credit, such as funding roads.
Both the city and county managers will meet to discuss the facts and figures, present them to their commissions and meet again by July 1 to try and resolve the situation.