According to an April 1, 2024, Bloomberg Law report, on March 29, 2024, a federal court in South Carolina approved 3M Corporation’s offer of at least $10 billion to settle claims related to per- and polyfluoroalkyl substances (PFAS) by public water systems across the United States.
The settlement aims to assist water utilities in covering the costs associated with the removal of PFAS, often referred to as “forever chemicals”, from their drinking water. This approval coincides with the Environmental Protection Agency (EPA) nearing the promulgation of national PFAS standards, anticipated at a limit of 4 parts per trillion (ppt) for six of these chemical compounds. Although the $10 billion settlement falls short of covering the nationwide costs for PFAS removal from drinking water, it does provide financial assistance to water utilities facing compliance with EPA’s pending maximum contamination limits for PFAS. Furthermore, it avoids the lengthy litigation process that individual utilities would otherwise undergo to reach a settlement agreement.
The settlement terms outline two categories of eligible public water systems that qualify for funding. Phase One Recipients are those that have detected PFAS in their water systems as of June 22, 2023, while Phase Two Recipients are utilities mandated by EPA’s unregulated contaminant monitoring rule 5 (UCMR-5) to monitor their water for 29 PFAS compounds; and who will qualify for funding if they detect PFAS by 2025.
Phase One Recipients are required to file their claim applications within 60 days of the court order, with payments slated to commence in the third quarter of 2024 (contingent to the final order approval not being appealed). Phase Two recipients have until January 1, 2026, to file their claim applications.
A report from the United States Securities and Exchange Commission referenced in the Bloomberg Law article provides an overview of the settlement, including exhibits listing Phase One and Phase Two Eligible Claimants by state, the claims application form, payment schedules, sample release letter, and additional pertinent information. Each water utility is advised to seek legal counsel to determine whether applying for these funds aligns with their best interests.
For water utilities intending to apply for these settlement funds, Wright-Pierce is ready to assist with the application process as well as necessary engineering for a PFAS removal system. Our team is also capable of conducting essential PFAS removal pilot testing required to develop design criteria. Contact us today to learn more.