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Clackamas County has made an offer to Milwaukie to settle their long-running dispute over sewage treatment rates. Milwaukie has until 5 p.m. Thursday to accept the offer before the dispute goes to arbitration.

Both sides had agreed to attempt reaching agreement with help of a mediator during the month of March. If no settlement was in place by April 1, the framework called for the sides to submit their cases to an arbitration panel.

After an all-day mediation session March 30, the sides continued negotiations, said Kenny Asher, Milwuakie’s community development director. He would not comment on the points of agreement or remaining sticking points.

Both sides have started on the process of selecting arbitrators by the agreed-upon April 15 deadline, even while Clackamas County‘s offer is on the table. If Milwaukie accepts the offer, arbitration would be called off.

Clackamas County runs the Kellogg Creek sewage treatment plant in Milwaukie. When negotiations over sewer rates broke down last summer, the district canceled its contract with Milwaukie.

The sides have battled over outstanding costs, sewage treatment rates and other issues since then.