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HomeMy WebLinkAboutResolution No. R25-28RESOLUTION O. IZ25-28 A RESOLUTION OF THE CITY COUNCIL AUT1101UZING THE EXECUTION OF THE LEGAL SERVICES AGREEMENT RELATED TO THE AFFF PRODUCT LIABILITY LITIGATION. WHEREAS, the City of Laurel (the -City-) is committed to delivering clean drinking water to its customers; WHEREAS, the City is also committed to identifying parties responsible for increasing the costs of water treatment and system maintenance and taking reasonable steps to avoid passing on these costs to its consumers; WHEREAS, Edwards & Culver, Kovacich, Snipes, Johnson, P.C., Boone Karlberg, P.C., Stag Liuzza L.L.C., and Client First Legal P.L.L.0 (the "Firms") have put together a team of uniquely qualified and experienced attorneys who have joined together to assist public entities in Montana facing the challenges posed by potential per- and polyfluoroalkyl substances ("PFAS"); WHEREAS, the Firms are comprised of experienced attorneys in both in PFAS litigation and in the representation of public entities and water suppliers in cases involving cost recovery related to remediation of water contamination; WHEREAS, the City Attorney and City Staff has determined it to be in the City's best interest to enter into the Legal Services Agreement with the Firms and pursue any settlement and other legal damage claims it may have related to PFAS in the AFFF Product Liability Litigation; and WHEREAS, the City desires to authorize the execution of the Legal Services' Agreement attached as Exhibit "A." NOW THEREFORE BE IT RESOLVED by the City Council of the City of Laurel that the Mayor is hereby authorized to execute the Legal Services' Agreement with the Firms based upon the terms and conditions set forth herein" and, in a manner, substantially similar to the Agreement attached hereto as Exhibit "A." Introduced at a regular meeting of the City Council on the 22 d day of April 2025, by Council Member Sparks. PASSED and APPROVED by the City Council of the City of Laurel on the 22"d day of it 2025. APPROVED by the Mayor on the 22 nd day of April 2025. R25-28 Approve Legal Services Agreement Re PFAS Litigation I OF LAUREL Dave Waggoner, Mayor ATTEST: 6W/z d el y tr r, 'lerk-Treasurer APPROVED AS TO FORM: Michele L. Braukmann, Civil City Attorney ........... rrnis.`� z� t\y�s•�� °',ONE C00\\ ' R25-28 Approve Legal Services Agreement Re HAS Litigation CONTRACT FOR LEGAL SERVICES AFFF PFAS LITIGATION The CITY OF LAUREL (hereinafter the "Client") hereby retains, STAG LIUZZA, L.L.C., (through attorney Michael Stag, LLC), EDWARDS & CULVER (through attorney John Edwards), KOVACICH, SNIPES, JOHNSON, P.C., (through attorney Mark Kovacich), BOONE KARLBERG, P.C., (through attorney Scott Stearns), and CLIENT FIRST LEGAL P.L.L.C. (through attorney Tim Young) (hereinafter the "Attorneys") for the purpose of providing legal services related to the filing of a civil action and/or claims in the pending settlements for recovery of costs associated with damages to the public drinking water system and/or public wastewater system against Defendants who manufactured, marketed, distributed, and/or sold aqueous film - forming foam in the AFFF Product Liability Multi -District Litigation ("AFFF"), (hereinafter the "Client's Claims"). CLIENT DESIGNATES FOR COMMUNICATION PURPOSES THE FOLLOWING: Water Department: ►"Y,AW Name Telephone E-mail Business Matters:'( oyu_�Q I('myow yl�`Q-�2�= ta�j� 4 \ MMUJAR Name Telephone-e&. 1 E-mail Client acknowledges and understands that court ordered deadlines and documentation requirements exist for the pending DuPont and 3M settlements. Client agrees to provide the required documentation and assist in performing testing in a timely matter sufficient to allow Attorneys time to process and file the settlement claim within the court ordered deadlines. Any failure of Client to comply with the testing and documentation requirements of the settlement may result in forfeiture of the Client's right to recover money from DuPont, 3M, and future settlements. Documentation requirements and deadlines may further apply to settlements currently pending court approval or approved in the future. The Client specifically authorizes the Attorneys to undertake negotiations, file suit, file settlement claims, or institute legal proceedings necessary on the Client's behalf in the AFFF Product Liability Multi -District Litigation. The Client further authorizes the Attorneys to retain and employ the services of any experts, as well as the services of other outside contractors, as the Attorneys deem necessary or expedient in representing the interests of the Client. The Client understands and authorizes Attorneys to share attorney fees with any legal counsel Attorneys choose to associate to assist with providing the legal services contracted herein. Unless otherwise agreed in writing. by Client and Attorneys, Attorneys will not provide legal services with respect to defending any legal proceeding or claim against the Client. With Client's permission, however, Attorneys may elect to appear at such administrative or legal j proceedings to protect Client's rights. Client acknowledges that the Attorneys are not -tax, regulatory, or bankruptcy legal experts. If Client wishes to retain Attorneys to provide any legal services not provided under this Agreement for additional compensation, a separate written agreement between Attorneys and Client will be required. The Attorneys are not the attorneys for any officials, officers, agents, employees, attorneys, or consultants of the Client regarding this matter, and shall not become so unless the Attorneys specifically agree in the t1iture in writing to undertake such representation. The Attorneys will confer, as needed, with such persons to perform the services specified in this Agreement, but no attorney-clierit relationship shall be created with such persons merely because the Attorneys work with and/or request or receive information from any such persons during their representation of the Client. The Client has disclosed all potential adverse parties to the Attorneys, and neither the Attorneys nor the Client perceive any conflict of interest in the Attorneys undertaking this engagement on behalf of the Client. If either the Client or the Attorneys, during the course of the representation, receive information indicating that a potential conflict of interest may develop or exist, the Client and the Attorneys agree to bring such information to the immediate attention of the other, and the Attorneys shall proceed to take such steps as may be appropriate in the circumstances. 1. ATTORNEYS' FEES. As compensation for legal services, the Client agrees to pay the Attorneys for legal services rendered and to be rendered on account of the Client's Claims, the Client shall pay the Attorneys' fees (hereinafter "Attorneys' Fees"). The Attorneys' Fees shall be one-third (1 /3) of the Gross Amount Recovered if the Client's Claims. These Attorneys' Fees shall all be calculated before the deduction of costs and expenses, as set forth in Section 2 herein. "Gross amount recovered" herein means principal, interest, penalties, punitive damages, treble damages, attorney's fees, and all other amounts recovered, including the value of any structured settlement, future payments, or other relief achieved, whether by settlement, judgment or otherwise. "Constituent claims" herein means any one or more claims of the Client constituting less than the entirety of the Client's Claims, including a partial settlement or judgment with less than all defendants. The Client agrees to pay all costs and expenses, as set forth in Section 2 herein, which, in the event of a successful recovery, shall be deducted from the Client's share of that recovery. The Client acknowledges that multiple lawsuits have been filed relating to the same subject matter as Client's Claims. The Client acknowledges that these suits, including any suit for the Client's Claims, might be removed to a federal court as part of multi -district litigation. Further, the Client acknowledges that the court governing the multi -district litigation might appoint committees of attorneys to litigate common issues of law and fact to facilitate the resolution of those lawsuits for common benefit of all claimants, including the Client. As a result, the Client might be obliged to pay from any Gross Amount Recovered a share of its recovery to satisfy an assessment of common benefit fees, costs, and expenses in an amount as determined by the court. Neither the Attorneys nor the Client shall have the right, without the written consent of the other, to settle, compromise, release, discontinue, or otherwise dispose of the Client's Claims. Client shall only pay attorney fees contingent upon a recovery and shall not pay any attorney fees if there is no recovery. ­3 The Client agrees and acknowledges thattheAttorneys are prosecuting this case as part of a joint venture. Under the joint venture, the Attorneys shall equally divide the Attorneys' Fees for Client's Claims related to the 3M and Dupont Settlements. (20% to Stag Liuzza L.L.C., 20% to Edwards & Culver, 20% to Kovacich, Snipes, Johnson, P.C., 20% to Boone Karlberg P.C., and 20% to Client First Legal P.L.L.C.). As for all Attorneys' Foxes for Client's Clainrs that do not qualify for the 3M and Dupont Settlements, Attorneys' Fees shall be divided as follows: 25% to Stag Liuzza L.L.C., 25% to Client First Legal P.L.L.C., with the rernaining 50% split equally between Edwards & Culver, Kovacich, Snipes, Johnson, P.C., and Boone l�arlberg, P.C. 2. COSTS AND EXPENSES. In addition to paying Attorneys' Fees, in the event of a successful recovery, the Client agrees to reimburse all costs and expenses, as set forth herein only in the event of a recovery, which shall be deducted from the Client's share of that recovery. Attorneys shall advance all litigation expenses on behalf of Client, and Client shall not be responsible for incurring or reimbursing costs of the litigation even if the amount of recovery is less than the costs incurred. Client shall only reimburse litigation costs or expenses in the event of a recovery by settlement or judgment. If no recovery is made, Attorneys shall bear all unreimbursed costs and expenses incurred, and client shall not be liable for any such costs or expenses incurred by Attorneys. Further, if recovery is insufficient to fully reimburse litigation costs, Attorneys shall bear, and Client shall not be liable for, all costs in excess of the amount of recovery. Subject to the foregoing terms, the Client agrees to reimburse the Attorneys' litigation costs and expenses upon receipt of any settlement funds or collected judgment. The Attorneys shall have the right and authority, without prior approval of the Client, to incur such litigation costs and expenses as maybe necessary or advisable in furtherance of Client's Claims. Litigation costs and expenses may include (but are not limited to) the following: filing fees; deposition costs; expert witness fees; transcript costs; witness fees; subpoena costs; sheriff's and service of process fees; trial consultant fees; mock trial costs; shadow jury fees; mediation fees; court costs; trial exhibit costs; copy costs; photographic, electronic or digital evidence production or presentation; investigation fees; travel expenses; and any other case -specific expenses directly related to the representation undertaken. Additionally, the Client specifically authorizes the Attorneys to charge as recoverable costs such items such as: computer legal research charges (e.g. Westlaw and/or Lexis); long distance telephone expenses; postage charges; Federal Express, UPS, and other delivery service charges; internal photocopying at a rate of $ .30 per page; facsimile costs at a rate of $ .25 per page; and mileage and outside courier charges, all of which must be incurred solely for the purposes of the representation undertaken. Finally, the Client acknowledges that Client will not be charged costs and expenses for any overhead costs of the Attorneys' practice, including office rent; utility costs; charges for local telephone service; office supplies; fixed asset expenses; and ordinary secretarial and staff services. 3. NO GUARANTEE. The Client acknowledges that the Attorneys have made no promise or guarantee regarding the outcome of my legal matter. The Client acknowledges that the Client's Claims may be subject to defenses that could lead to dismissal before, at, or after trial, and no recovery. The Client further acknowledge that the Attorneys shall have the right to cancel this agreement and withdraw from this matter if, in the Attorneys' professional opinion, the matter does not have merit, the Client does not have a reasonably good possibility of recovery, the Client refuses to follow the recommendations of the Attorneys, the Client fails to abide by the terms of this agreement, the Client fails to provide requested information or to produce witnesses to appear for deposition or trial, if the Attorneys' continued representation would result in a violation of the Rules of Professional Conduct, or at any other time as permitted under the Rules of Professional Conduct, No guarantee or representation has been made to the Client as to what type or amount of recovery, if any, may be expected on the Client's Claims. 4. ELECTItONIC DATA COMMUNICATION AND STORAGE. In the interest of facilitating our services to the Client, the Attorneys may communicate by facsimile transmission, send data over the internet, store electronic data via computer software applications hosted remotely on the internet, or allow access to data through third -party vendors' secured portals or clouds. Electronic data that is confidential to the Client may be transmitted or stored using these methods. The Attorneys may use third -party service providers to store or transmit this data. In using these data communication and storage methods, the Attorneys employ measures designed to maintain data security. The Attorneys will use reasonable efforts to keep such communications and data access secure in accordance with the Attorneys' obligations under applicable laws and professional standards. The Attorneys also require all of the Attorneys' third -party vendors to do the same. However, the Client acknowledges that some information transmitted to the Attorneys will be public records, and the Client has no expectation that public records will be confidential. Client acknowledges that the Attorneys have no control over the unauthorized interception or breach of any communications or data once it has been sent or has been subject to unauthorized access, notwithstanding all reasonable security measures employed by us or our third -party vendors, and the Client consents to our use of these electronic devices and applications and submission of confidential client information to third -party service providers during this engagement. S. PRIVILEGE. The Client acknowledges that this contract is intended to and does hereby assign, transfer, set over, and deliver unto the Attorneys as its fee for representation of the Client in this matter an interest in the claim(s), the proceeds, or any recovery therefrom under the terms and conditions aforesaid, in accordance with the provisions any state law that applies to this contract. 6. MODIFICATION. It contains the entire and complete understanding between the parties and can only be modified by written amendment signed by all parties. 7. TERMINATION OF REPRESENTATION. The Client acknowledges that the Client has the right to terminate the representation upon written notice to that effect. The Client acknowledges that Client will be responsible for any attorneys' fees or costs incurred prior to the discharge or termination, based on all the facts and circumstances, including the risk taken by the Attorneys in accepting Client's legal representation on a contingency fee basis. The Client agrees to cooperate with Attorneys and to comply with all reasonable requests of Attorneys. The Client warrants and represents to the Attorneys that all information the Client has provided to, or will in the future provide to, the Attorneys regarding the Client's Claim is true and correct to the best of the Client's knowledge, information, and belief. The Attorneys have the right to withdraw from this representation after giving reasonable notice. If the Attorneys resign, are discharged, or are disqualified or otherwise cease to serve as the Client's legal counsel prior to a settlement or final - judgment, then -the withdrawing, discharged, or disqualified Attorneys shall receive " as compensation for services reasonable fees based on all of the facts and circumstances of its representation. At the conclusion of this matter, the Attorneys witt retain the Client's legal files for a period of five (5) years after the Attorneys close their files. At the expiration of the five-year period, the Attorneys may destroy these files unless the Client notifies the Attorneys in writing that the Client wishes to take possession of the files. The Attorneys reserve the right to charge administrative fees and costs associated with retrieving, copying, and delivering such files. 8. ENTIRE AGREEMENT. The undersigned Client Representative has read this agreement, a copy of which he has received, in its entirety and he agrees to and understands the terms and conditions set forth herein. The Client acknowledges that there are no other terms or oral agreements existing between the Attorneys and the Client. This agreement may not be amended or modified in any way without the prior written consent of the Attorneys and the Client. 9. AUTHORITY. The Client acknowledges having been advised to and given the full opportunity to obtain independent representation in the making of this agreement and voluntarily entering into this agreement after such opportunity. The Client representative signing below represents that the Client enters into this agreement with proper authorization and approval under state and local law, and that the Client representative is specifically authorized to execute this agreement. EFFECT OF SIGNING The Client understands that this is a binding legal document. The Client further understands that this Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall be deemed to be one and the same agreement. A signed copy of this Agreement delivered by facsimile, e-mail, or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement. Taw, lqt Date ° [SIGNER] Date Date IN11CHAEL S'rAG, LLC FOR STAG LIUZZA, L.L.C. JOHN EDWARDS FOR EDWARDS & C ULVER ate um Date MARK KOVACICH FOR KOVACICIII, SNIPES, JOHNSON, P.C. SC OTT TEARNS FOR BOONE KARLBERCam, P.C. TIM YOUNG FOR CLIENT FIRST LEGAL P.L.L.C. PFAS IN MONTANA WATER SUPPLIES How Your Community Can Take Action for Help STAG LIUZZA HISTORY OF Invented by 3M in the 1950s, per- and poly-fluoroalkyl substances (PFAS) are synthetic chemicals used in various products. `'A,� !►�.� They were a new class of chemicals at the time, and little was understood about their effect on humans and the environment. While multiple products have contained PFAS in the past, especially problematic is the Aqueous Firefighting Foam (AFFF), which contains a high level of PFAS. AFFF was created in 1969 and has been used extensively by military bases, airports, industrial locations, and firefighters to combat fires. Over time, this has resulted in massive groundwater contamination of water supplies which serve local communities. i �J In 2018, the EPA issued health guidelines stating that up to 70 parts per trillion of PFAS found in drinking water "did not have adverse health effects." However, in June 2022, the EPA replaced these guidelines and stated that some negative health effects might occur with concentrations at "near zero" or undetectable levels. The EPA is set to release its final regulations for PFAS this year. —in-December 20181-the United -State -Panel-onMultidistrict-Litigation consolidated -all — PFAS claims relating to AFFF contamination in a central Federal Court in South Carolina. II Stag Liuzza www.cleangroundwater.com (888) 513-7545 PEAS CAUSE CANCER AND OTHER HEALTH EFFECTS LIKE • Kidney Cancer • Thyroid Conditions • Liver Cancer • High Blood Pressure • Pregnancy Complications • Decrease in Vaccine Response Thyroid disease Increased cholesterol levels Developmental effects - -�•�_ affecting the unborn child ---�� ©reastcancer Delayed mammary gland development., ------- �y1 Reduced response to vaccines. Liver damage Lower birth vjeight---_-__ -____ 1+_ Kidney cancer Obesity ----------------...... Early puberty onset r - Inflarnrnalory Lowel dsease " (ulcerative colitis) Increased miscarriage risk �f (I.e. pregnancy, loss) - Testicular cancer - I osv sperm count and rnobiky Increased time Lo pregnancy Pregnancy induced hypertension/pre-eclar1ipsia (increased blood pressure) II Stag Liuzza www.cleangroundwaterxom (888) 513-7545 In December 2018, a central Federal Court was established to oversee claims against various responsible chemical companies for PFAS contamination of state water supplies from AFFF. WM =-en, nameruts iocai quTUrnmenis ave riMY—sult seeKing compensation anr- funding to remediate their water supplies from PFAS contamination (please see t following page for a detailed timeline). I This national suit focuses on PFAS contamination caused by firefighting foam (AFFF), which was extensively used nationwide. In September 2022, the Judge overseeing the cases denied the chemical manufacturers' motion to dismiss the claims. They cited Ws delay in disclosing critical information to the government: The record before the Court contains material factual disputes concerning whether 3M's delay for decades in disclosing its internal studies on the health and environmental effects of PFOS and related compounds retarded the government's knowledge and understanding of the danger PFOS posed to human health and the environment and resulted in a significant delay in the government discontinuance of the use of 3M's AFFF. One month later, in October 2022, the Judge appointed a professional national mediator to discuss possible claims resolution with the parties. A Stag Liuzza * www.cleangroundwater.com e (888) 513-7545 PFAS NATIONAL 1950's PFAS Chemical Created by 3M 1969 3M Creates AFFF using PFAS 2009 EPA Issues a Provisional Health Advisory for PFAS 2016 EPA Issues Lifetime Health zzz Advisory of 70 ppt PFAS 2015 PFAS/AFFF Claims Placed Into Single National Court September 2022 Judge Overseeing Consolidated Claims Rejects Chemical Defendants' Motion to Dismiss Claims June 2023 First Trial Scheduled in National Suit I /2016 Military Issues New Standards for Handling and Disposal of AFFF June 2022 EPA Issues an Updated Drinking Water Health Advisory stating ,some negative health effects may occur at 'near zero' level concentrations of PFAS Octubar 2022 Judge Overseeing National Claims Assigns National Mediator II Stag Liuzza c www.cleangroundwater.com (888) 513-7545 CURRENT PFAS ISSUES:0 In Montana, potential sources of PFAS contamination include industrial facilities, wastewater treatment plants, and airports. The Department of Environmental Quality (DEQ) conducted sampling at both high and low -risk sites in cities like Billings, Bozeman, Great Falls, and Helena. Notably, the site near Malmstrom Air Force Base in Great Falls exhibited PFAS levels surpassing 184 times the screening limit, while the site in Billings, located near the airport, was almost four times the threshold, though its exact contamination source still requires further investigation. Kalispell Havre Great Falls 00 Missoula M O N TA N A Helena ez Butte Billings Bozeman Beaverhead- Deerlodge National Forest Map source: Environmental Working Group Identified contaminated water system Identified contaminated military water system Other known sites J 3 PFAS Have Been Detected Across the State's Drinking Water Supplies Aqueous Firefighting Foam (AFFF)—which contains a high level of PFAS, has been used extensively by military bases, airports, industrial locations, and firefighters to combat fires. II Stag Liuzza www.cleangroundwater.com (888) 513-75,45 NATIONAL SUIT ADDRESSING PFAS REMEDIATION DAMAGES SETS ASIDE FUNDS FOR STATE AND LOCAL GOVERNMENTS A water system that adequately protects against harmful PFAS costs municipalities at least $5 million. Without signing up for the MDL, your municipality could be putting the bill on your taxpayers. Stag Liuzza is working with towns and cities across the country to put the cost of a new water treatment plant on the companies that polluted it. Join us. By filing a claim in this national suit, a state or local water supplier can seek damages for remediation of any PFAS contamination in their water supply. Such remediation will be especially critical if the United States EPA issues a zero -level regulation this year. Such a regulation would be consistent with the EPA's 2022 statement that adverse health risks can be experienced at near -zero levels of PFAS. 3M agrees to $10.3 billion settlement, Dupont agrees to $1.19 billion over water contamination. The companies will distribute the settlement funds to cities, counties, and other entities nationwide. These funds are earmarked for testing and remediation efforts to address the contamination of PFAS in public water systems. WHY FIB. Filing a claim in this nationwide lawsuit allows state or local water suppliers to seek damages for remediation of PFAS contamination in their water supply. This will be particularly vital if the U.S. EPA enacts a zero -level regulation this year, aligning with its 2022 declaration that near -zero levels of PFAS cap pose adverse health risks. In this intricate landscape, being proactive and well-informed is the key for municipalities to safeguard their interests and ensure the well-being of their residents. Stag Liuzza www.cleangroundwater.com (888) 513-7545 Understanding Phase 1 and Phase 2 Eligibility in the PFAS Settlement The Court has already identified thousands of water systems nationwide as 'Phase One' eligible entities. These systems face an imminent deadline to gather essential data, finalize claim documentation, and officially submit their claim. Phase One claimants could receive funding as early as July 2024. On the other hand, 'Phase Two' entities have a later timeline. They are required to perform tests on their systems and submit their claims by a later, undetermined date. Notably, even though their submission timeline differs, their compensation will be calculated based on a formula similar to that of the Phase One entities. This ensures equity in the settlement process for all affected entities. II • Stag Liuzza • www.cleangroundwater.com • (888) 513-7545 PHASED FILING FOR PFAS I �� �rt,:D 11110 E F�I F � !?�N D P tN,1n, �i I e 1V}�k„Mtn PHASE® FILING FOR MUNICIPALITIES: navigating the PFAS Settlement The recent $10.3 billion settlement with 3M over PFAS contamination has introduced a phased approach for municipalities seeking compensation for remediation efforts. Here's a guide to understanding and navigating the phases: The window to file for Phase 1 is rapidly narrowing. Municipalities that miss this initial phase risk delaying their access to critical PFAS remediation funds by up to 4 years. Beyond financial implications, this delay could significantly affect the health and well-being of local communities. To be eligible for Phase 1, municipalities roust file by the designated deadline in April. The opportunity to file within Phase One is running out. Neglecting to act promptly could lead to a significant setback, potentially deferring your municipality's acquisition of essential PFAS remediation funds by a staggering 4-5 years. MAPIPIMG OUT PHASE 1 SUBMISSION For municipalities aiming to be recognized within Phase 1, action by this forthcoming April is non-negotiable. The path to filing, though layered, stands as a bulwark to secure your community's health and future. Here's a distilled guide to your next steps: At the heart of the PFAS settlement is the need for proactive, informed decision -making. The path ahead is complex, but with the right guidance, your municipality can navigate this journey effectively, ensuring a safer, healthier future for itsidents.,.: THE POWER OF FILING NOW By actively participating in this nationwide lawsuit, state or local water providers stand to seek redress for any PFAS-related impurities afflicting their water sources. Taking such a step becomes even more pivotal as whispers grow louder about the U.S. EPA potentially introducing a stringent, zero -tolerance PFAS regulation this year. Such a directive would align seamlessly with the EPA's 2022 proclamation acknowledging the health hazards even at near -zero PFAS concentrations. IStag Liuzza www.cleangroundwater.com (888) 513-7545 CRITERIA FOR PHASE 1 ELIGIBILITY IN THE PFAS WATER PROVIDER SETTLEMENT0 : Establishing eligibility for this phase is crucial, as it sets the pace for subsequent steps in the legal redress process. If you're a municipality or water system aiming to secure essential funding for PFAS remediation, understanding the eligibility criteria for Phase One is the first step. Here's what you need to qualify: 01. ACTIVE PUBLIC WATER SYSTEM STATUS: The entity must be an operational Public Water System within the United States. 02. PRESENCE OF IMPACTED WATER SYSTEM: The entity should have one or more Impacted Water Systems as of the designated settlement date. 03. MANDATORY PFAS TESTING: The water provider must conduct PFAS testing on all of its water sources. 04. SUBMISSION OF DETAILED TEST RESULTS: The water system is required to procure all analytical results from the testing laboratory, including the precise numeric values. These. detailed PFAS test results must,be.presented to the Claims Administrator either by the water provider or the testing laboratory. 05. TIMELY SUBMISSION: The test results and other required documentation must be submitted by the dates specified by the settlement. Timeliness is crucial for Phase 1 eligibility, with an estimated filing of April 2024. I 1 0 Stag Liuzza 0 www.cleangroundwater.com • (888) 513-7545 KEY STEPS TO FILE FOR PHASE 1 NOW DECEMBER 14, 2023 FOR DUPONT AND FEBRUARY 2, 2024 FOR 3M MUNICIPALIT XITY MUST... 01. Identify Qualified Counsel to Retain 02. Pass Resolution to Retain Counsel 03. Obtain Flow Rate Data, Testing Data and Other Documents Necessary for Claim in Settlement 04. Review and Complete Detailed Claim Forms with Counsel and Counsel's Experts to Determine Claim Value 05. Consider if 'Opt Out' is the Best Course of Action for Municipality/City Fairness Hearing in Federal Court to Approve Settlement 60 DAYS AFTER JUDGE 41 APPROVES SETTLEMENT (ESTIMATED APRIL 2024) Deadline to File Claim for Settlement JULY 1, 2024 Initial Funding into Settlement Fund for Phase One Payments 9 11 11 e Stag Liuzza • www.cleangroundwater.com a (888) 513-7545 DETECTING PFAS IN YOUR WATER �4, SPURGE �J Accurate determination of the presence of PFAS in public drinking water supplies can only be done using accepted industry standard methods of testing. Liquid Chromatography with tandem mass spectrometry (LC-MS/MS) is the accepted industry standard method for detecting PFAS in a water supply, as established by the EPA . Failing to use industry standard testing methods makes it impossible to produce reliable results upon which to make important decisions about the safety of your town's drinking water supply or potential remediation measures. It's imperative to create a dialogue with the testing facility and understand the testing protocol and the equipment used. UNDERSTANDING TEST RESULTS Not all tests are created equal, and many municipalities who have tested for PFAS are unaware of the testing method used. Moreover, municipal decision -makers may be intimated by the potential cost of finding PFAS in their water public water systems. 1. https://www.epa.gov/water-research/pfas-analytical-methods-development-and-sampling-research, 2023 IStag Liuzza % www.cleangroundwater.com (888) 513-7545 ABOUT THE PUBLIC WATER SYSTEMS AFPF/ PFAS SETTLEMENT Michael Stag has been appointed to leadership for the AFFF litigation. Stag Liuzza is currently representing thousands of clients in the litigation and is helping municipalities file the necessary claims to receive compensation to remediate water systems. VIYMAT ARE PFAS AND WHY �S THERE A PROPOSED �� TIONAL SETTLEMENT? Since 2019, a nationwide lawsuit has been ongoing in South Carolina Federal Court concerning PFAS water contamination. PFAS are known as 'forever chemicals' because they resist degradation in the natural environment. One of several defendants agreed to a settlement fund of at least $10.5 billion to pay public water systems (PWS) who qualify. WHO IS PAYING THE SETTLEMENT? Currently, 3M has agreed to contribute at least $10.5 billion and up to $12.5 billion to the settlement fund to be made available to 'eligible' PWS. The Dupont -related companies agreed to contribute an additional $1.185 billion to fund a water district settlement fund. It is possible more than 20 other companies could add additional amounts into the fund at later dates as the case is continuing against these chemical manufacturers and distributors. The proposed settlement will now be submitted to the court for approval, with payments starting as early as 2024. After the Court approves the settlement, there is a 60-day deadline to submit claims. II Stag Liuzza www.cleangroundwater.com (888) 513-7545 Public Water Systems servicing at least 3,300 people may qualify. If your system has any detectable level of several PFAS chemicals in it, your system should qualify for a payment. SHOULD WE REALLY TEST FOR THIS CHEMICAL? Yes. The EPA has proposed an MCL of 4 parts per trillion (ppt) for PFAS in its current PFAS regulation. If this regulation is enforced as anticipated starting in 2024, your PWS will be legally required to test and show less than 4 ppt in your system. Testing ahead of any such regulation makes sense so you can obtain compensation in the settlement to remediate the system if necessary. A Court Appointed Settlement Administrator will consider many factors to allocate funds, including: Concentration of PFAS Adjusted flow rates with averaging for three highest rates in a 10-year period The goal is to calculate a 'Capital Costs Component' and an 'Operations and Maintenance Costs Component' for each settlement award. From there, your award may also qualify for a 4x multiplier if your PFAS test result reaches a certain level. Individual awards could be substantial, totaling millions of dollars for highly contaminated water systems. 1 .t II Stag Liuzza www.cleangroundwater.com (888) 513-7545 EXECUTIVE COMMITTEE FOR NATIONAL 2'.---AS LIT i GA'e 1 O N MEET EXECUTIVE COMdrwWiW'a'�L MEMBER, MIKE STAG Among a select group, Mike Stag is one of the attorneys in this nationwide case chosen by Judge Gergel for the Executive Committee overseeing the National PFAS litigation. Mike and his firm, Stag Liuzza, have fiercely advocated for cities and municipalities, notably in the recent national opioid cases. Currently, he's championing the cause for numerous cities and municipalities from multiple states in the PFAS national settlement. Stag Liuzza is deeply rooted in plaintiff -focused environmental and complex litigation. Beyond environmental pursuits, Stag Liuzza has expanded its expertise to maritime law, personal injury, toxic torts, mineral royalties, and litigation surrounding defective pharmaceuticals and medical devices. With over 30 years in environmental law, the firm has consistently advocated for cities and municinalities_ II • Stag Liuzza • www.cleangroundwater.com • (888) 513-75,45 S"T � G U,,UZZA'? WHY r�'� Stag Liuzza is a top national environmental law firm with decades of experience protecting the rights of communities against harmful toxins. 0,1. A LEADERSHIP ROLE IN THE PFAS NATIONAL CLAIMS. Stag Liuzza has been appointed to the leadership committee for the national suit governing PFAS from AFFF. 02. EXPERTISE AND EXPERIENCE Stag Liuzza has personally handled numerous water contamination cases and specializes in this niche area of law 03. MULTIPLE CLAIMANTS/MULTI-DISTRICT LITIGATION EXPERIENCE Stag Liuzza has handled cases on behalf of large communities and governmental bodies. They understand what it means to represent large significant parties in national suits. 04. EXPERIENCE REPRESENTING GOVERNMENTAL ENTITIES Representing a state or local entity differs from representing individuals and corporate clients. Stag Liuzza has represented governmental entities for years and understands the unique concerns and requirements of doing so. nE) I I • Stag Liuzza o www.cleangroundwater.com ® (888) 513-7545 BIG CHEM TAKES US SERIOUSLY Stag Muzzca is working with towns and cities across the country to put the cost of a new water treatment plan on the companies that polluted it. JOIN US'; (888) 513-7545 I,�u�sro u i .lstior•i �tl ion AMEN ICAN AV -PREEMINENT- ®® n•r[o nr L_ � '� �� /I I ASSOCIATION Y� `� II �•k:•,. ` USTICE SuperLa%yers — JUSTICE. F.� Stag Liuzza -,, www.cleangroundwater.com (888) 513-7545