Broward County Commission Regular Meeting
Director's Name: Andrew J. Meyers
Department: County Commission
Information
Requested Action
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MOTION TO AUTHORIZE County Administrator, in consultation with the County Attorney, to execute any necessary forms or other documents to enable the County to participate in the proposed drinking water system settlements with defendants Tyco Fire Products LP and Chemguard, Inc. (collectively, “Tyco”), and with defendant BASF Corporation (“BASF”) in the pending multidistrict litigation concerning per- and polyfluoroalkyl substances (“PFAS”), also referred to as “forever chemicals,” in the matter titled In Re: Aqueous Film-Forming Foams Products Liability Litigation, MDL Case No. 2:18-mn-2873-RMG (S.D. Car.).
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Why Action is Necessary
Required to provide the referenced authority.
What Action Accomplishes
Provides the referenced authority.
Goal Related Icon(s)
☐County Commission
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Previous Action Taken
Summary Explanation/Background
Thousands of lawsuits have been filed across the country against 12 companies that manufactured or distributed per- and polyfluoroalkyl substances (collectively, “PFAS”), including but not limited to perfluorooctanesulfonic acid (“PFOS”) and perfluorooctanoic acid (“PFOA”). The lawsuits allege that these substances contaminated groundwater, drinking water, wastewater, stormwater, sediment, soil, and more, in addition to causing personal injuries. These cases have been consolidated into a multidistrict litigation pending in the United States District Court in South Carolina (“MDL”).
The MDL court previously approved drinking water settlements against 3M Company (“3M”) and the E.I. DuPont companies (collectively, “DuPont”). The Board approved the County’s participation in those settlements on November 14, 2023 (Item No. 67), and the County timely filed claims in those two settlements.
Two additional drinking water settlements have been preliminarily approved by the MDL court: a $750 million settlement against Tyco Fire Products LP (“Tyco”) and Chemguard, Inc. (“Chemguard”) (collectively, “the Tyco Defendants”); and a $316.5 million settlement against BASF Corporation (“BASF”). The court is scheduled to consider final approval of the settlements on November 1, 2024, and class member claims would likely be due approximately 90 days after the MDL court grants final approval of the settlements. Unless the County “opts out” of these proposed settlements by September 23, 2024 (Tyco), or October 15, 2024 (BASF), the County’s claims against Tyco and BASF for PFAS contamination of the County’s drinking water systems will be resolved by the proposed settlements.
Similar to the DuPont and 3M settlements, the proposed settlements with Tyco and BASF contain releases that are fairly broad, but generally would resolve claims only regarding PFAS contamination of drinking water systems and would not generally release claims regarding soil, wastewater, real property claims, or personal injury claims. Experts retained by outside counsel have analyzed the County’s PFAS test results from its drinking water wells and have estimated the County’s gross recoveries (prior to deduction of contingency fees and costs) if the County participates in the Tyco and BASF drinking water system settlements. A confidential settlement memorandum regarding these proposed settlements will be provided to the Board in advance of individual briefings on this matter.
Source of Additional Information
René D. Harrod, Chief Deputy County Attorney, 954-357-7600
Fiscal Impact
Fiscal Impact/Cost Summary
No cost to the County; under the County’s agreement with counsel, any legal fees and costs are deducted from the County’s recovery, if any.