LSI 2010 NRD Santa Fe final conference binder 072110.pdf

Angus Macbeth of Sidley Austin LLP Speaker 24b: 10
proceeds from general liability insurance claims estimated to be worth $20 to 30 million,
recoveries from preferred shares of stock in Velsicol’s parent corporation, and proceeds from
defendants’ cost overrun insurance policies. Illinois, Michigan, New Jersey, and Tennessee were
also parties to the settlement.
4. 2003 18
a. OPA
Patuxent River: Potomac Electric Power Co. (PEPCO) and ST Services entered into a consent
decree relating to a 140,000 gallon oil spill from a ruptured pipeline into a tributary of
Maryland’s Patuxent River, which affected environmentally sensitive areas including wetlands
and habitat for fish and resident and migratory birds and prompted emergency responses from
federal and state agencies. The consent decree recovers $2.7 million for damages to natural
resources and the payment of a $2 million penalty to the State of Maryland, in addition to a
previously issued emergency order requiring PEPCO to conduct oil recovery operations at an
estimated cost of $71 million.
b. CERCLA
Koch Pipeline Company: The United States obtained the largest ever civil environmental
penalty in Iowa when it settled with Koch Pipeline Company for damages caused by a ruptured
pipeline that released about 312,800 pounds of anhydrous ammonia in liquid and gas forms. As
part of the settlement, Koch agreed to pay a $1 million penalty to the United States and $450,000
to the State of Iowa for penalties and natural resource damages.
5. 2004 19
a. OPA
East Walker River Spill: Advanced Fuel Filtration Systems agreed to pay $350,000 to the DOI
NRDAR fund to be used to restore, rehabilitate or acquire the equivalent of resources injured by
the December 30, 2000 spill of approximately 6100 gallons of fuel oil into the East Walker
River, and to compensate the public for lost recreational opportunities. In addition, Advanced
Fuel agreed to reimburse the California Department of Fish and Game $68,000 for past
assessment costs, and reimburse the DOI $50,000 for assessment costs. 20
18 United States Department of Justice, Environment and Natural Resources Division, Fiscal Year 2003 Summary
of Litigation Accomplishments, available at
http://www.usdoj.gov/enrd/Electronic_Reading_Room/lit_Accomplish 2003.html.
19 United States Department of Justice, Environment and Natural Resources Division, Fiscal Year 2004 Summary
of Litigation Accomplishments, available at
http://www.usdoj.gov/enrd/Electronic Reading Room/lit Accomplish 2004.html.
20 69 Fed.Reg. 3390 (1/23/04).
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Law Seminars International | Natural Resource Damages | 07/16/10 in Santa Fe, NM