Libby councilman wants $2 million from EPA for demolition

Dec 22, 2009

DC Orr, a city councilman from Libby, Montana, stated that the Environmental Protection Agency (EPA) owes his community $2 million for the demolition of some asbestos-contaminated buildings. A public health emergency was declared in Libby in June due to the prevalence of asbestos-related diseases like mesothelioma in residents who worked at and lived near the W.R. Grace vermiculite mine. The EPA placed Libby on its Superfund list for environmental cleanup several years ago.

The asbestos-contaminated buildings that were torn down were owned by the city. W.R. Grace had them demolished per the EPA’s instructions. A civil suit that was settled against W.R. Grace last year for $250 million specified that the EPA had to repay Libby the $2 million with which W.R. Grace had offered to buy back the demolished building sites back in 2000.

Orr stated he was going to file a formal complaint with the Office of Inspector General for the EPA, alleging fraud that has deprived Libby residents of the rightful restoration of city-owned property. A spokesman for the EPA stated that the building demolition was ancient history, and that the agency considered the matter closed.

A spokesman from W.R. Grace stated that the company isn’t involved in the property dispute with the city, as its settlement with the EPA in 2008 covered all cleanup costs, past and future, and protected it from third-party lawsuits.

The mayor of Libby isn’t sure that the EPA owes the town anything for the demolished buildings, stating that the previous council had accepted some water lines in their stead.

For the full story, go to Insurance Journal.

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