2015.01.27 Council Meeting Minutes

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Jonual)' 27, 2015 Page 4 of7 1. Consi deration and Approval of a Suppl emental Litigation Agreement between 1. Consideration and the City of New Brighton and United States Army and the Unites States ��;�e':��a� Department of Justice. Litigation Agreement City Manager Lotter provided the Counc il a histo ry of the litigation process that has been underway fo r a number of years between the City and the Un ited States Anny and the Unites States Department of Justice. He explained that in July of 1981, the Minnesota Department of Health notified New Brighton that the grolUldwater it was extracting from wells in the Prairie du Chi en/Jo rdan aqu ifer was poisoned by TCE, a known carcinogen, and by other harmful solvents. The City immediately took steps to avert a major heal th crisis by securi ng an alternative water supply for its residents (a lbeit a limited supply). The Anny and the federa l govemment offered no assistance to the City in that effort. Ins tead, they denied respoo ibiLity fo r poisoning New Brighton's water. City Manager Lotter commented that after rece iving no assistance from the Anny or the fed eral go vernment, the City was forced to commence a lawsuit in 1984. The lawsuit sought to recover the City's costs and to secure additiona l safe drinking water supplies. The Anny and the fed eral govenuuent responded to the lawsuit by again refusing to offer any federal assistance, and by again denying all responsibility. The answer to the City's lawsuit all eged that the Anny and United States "owed no du ty" to the residents of New Brighton to not pollute thei r drinking water, that the Anny and United States were "not negligent", and that the pollut ion was cause by someone else. That, however, was all untrue. City Manager Lotter provided further history on the case and reported that in May of 20 14, the City filed an enforcement action in Federal Court. The purpose of this action was to ask a Federal Court to compel the U.S. Anny to live up to the pro mises they had made wh en it settled the litigation from the late 1980's. Ultimately, the parties entered into mediated sessions during the latter part of 2014 with Fede ral Judge, Janie Mayeron. The result of the med iated sessions is a supplemental settlement agreement before the Council fo r consideration. The Supplemental Litigatio n Agreement ess entially preserves the rel atio nship between the City and the U.S. Anny that the City fought fo r more than 25 years ago . The City will retain its autonomy over its water supply and system, will continue to comply with Minnesota State re gulations, and will receive advanced funding. City Manager Lotter thanked the team of staff, co nsul tants and attorneys that assisted with the litigation. He introduced the members of Team Litsagia to the Council. He proudly announced that the City's water treatment system would be renamed the Drawz Kiel Water Treatment System. A round of applause was offered by all in attendance. John Draw z, Fredrickson and Byron, commended the efforts of Greg Kiel from Barr Engi neering fo r the important wOlk he completed on the design of the City's water system. Rick Snyder , Fredrickson and Byron , was pleased with the results that were achieved for the City. Tim O'Shea, Fredrickson and Byron, stated it was an honor to work with the City on this case and he app reciated the Counci l's sup port. Greg Kiel , Barr Engineelmg, appreciated the City's confidence on this matter. Lotter was pleased to report that the City woul d not be responsible for any of the litigation ex penses, as these woul d be assumed by the Federal Government. He comm ended Judge Ann D. Montgomery fo r her efforts 1 and recommended the Council approve the Supplemental utigation Settlement Agreement, Release and 'Stipulation for Entry of Order fo r Supplemental Judgment J Motion by Councilmember Jacobsen, seconded by Councilmember Burg to approve the SuppLemental Litigation Settlement Agreement, Release and Stipulation for Entry of Order fo r Supplemental Judgment. between the City of New Brig hton and United States Anny and the Unites States Department of Justice.