Communities across the country are grappling with the harmful effects of PFAS contamination in their water systems. As lawsuits and settlements arise, many are left wondering how much their water system could receive. 3M has agreed to fund up to $12.5 billion. DuPont agreed to pay $1.185 billion. These funds will cover approved claims, administration costs, court fees, and attorneys’ fees. After these expenses, the remaining funds will be distributed proportionally among class members who submit valid claims. The process for determining settlement awards is complex, but understanding the key factors can help provide clarity.
How Much Will My Water System Receive in Settlement?
The settlement created an “Estimated Allocation Range Table” to provide public water systems the ability to estimate their potential recovery. A table exists for both settlements. The 3M table ranges from $36,240 to $170 million. The DuPont table ranges from $3,477 to $16 million. The settlement administrator warns that the ranges provided are based on data publicly available at the time of the settlement, reasonable assumptions, and good faith estimates. The ranges presented in this Table are not the actual settlement awards that will be allocated to each Impacted Water Source because:
- certain data is not publicly available;
- the full extent of Impacted Water Sources is unknown; and
- the extent of participation in the settlement is unknown.
Key Factors That Determine Your Settlement Award
Several elements play a role in calculating settlement amounts. A Court Appointed Settlement Administrator will review primarily two factors:
- Concentration of PFAS: The higher the contamination level, the larger the potential award.
- Adjusted Flow Rates: This includes averaging the three highest flow rates over a 10-year period.
These details allow the administrator to determine the costs associated with restoring and maintaining your water system.
Understanding the ‘Capital Costs Component’
One major factor in the settlement is the Capital Costs Component. This refers to the funding needed to remove PFAS from your water system. It covers the expenses for installing treatment systems and upgrading infrastructure. For severely impacted systems, these costs can be significant.
The Role of ‘Operations and Maintenance Costs Component’
In addition to capital costs, settlements account for ongoing Operations and Maintenance (O&M) Costs. These cover the expenses of running and maintaining the system after treatment is installed. Regular testing, filter changes, and system upgrades are part of these ongoing costs.
What a 4x Multiplier Could Mean for You
If your water system shows extremely high levels of PFAS, you may qualify for a 4x multiplier on your award. This means your settlement amount could multiply up to four times the original calculation. This applies only to water systems with the highest PFAS concentrations. For water systems with severe PFAS contamination, individual settlement awards could be substantial. Many systems are eligible to receive millions of dollars to cover both capital and O&M costs. If your system meets the criteria for the 4x multiplier, your award could grow even larger.
Moving Forward with Your PFAS Claim
If your community is dealing with PFAS contamination, understanding your legal options is crucial. A law firm experienced in PFAS litigation can help you navigate the settlement process and ensure you receive the compensation you deserve. Leading lawyers who are intimately familiar with the settlement terms can help secure maximum compensation for your water system.