Posted on 04/23/2008 4:09:17 PM PDT by kiriath_jearim
PROVIDENCE, R.I. -- An energy company has agreed to pay residents of a polluted waterfront neighborhood and to clean up the massive contamination that turned the soil under their homes blue, lawyers for the neighbors said Wednesday, though the company said a deal had not been reached.
Attorneys Robert McConnell and Mark Roberts, who represent nearly 100 property owners, told The Associated Press they reached a tentative settlement with Southern Union Co., but said the terms were sealed so they would not discuss details.
Jonathan Gasthalter, a spokesman for Houston-based Southern Union, said the case had not been resolved. The company has denied wrongdoing.
Jury selection was to have begun Wednesday.
Roberts said the neighbors had approved the settlement; many contacted Wednesday said they had been advised by their attorneys not to comment.
"We've met with our clients and Southern Union, and we're all optimistic that this is going to be resolved," Roberts said.
The contamination was discovered in 2002 when a work crew digging a sewer line struck blue soil. Tests revealed the ground contained arsenic, cyanide, lead and other potentially toxic substances.
Investigators at the state Department of Environmental Management believe the Fall River Gas Co. - now owned by Southern Union - dumped industrial waste as late as the early 1970s while converting coal into gas.
Residents complained the contamination essentially left them trapped, unable to sell their properties or get home-equity loans. People who live in the neighborhood can't dig in their yards and they were advised to vacuum their homes each day to keep down exposure to the soil. Some have put tiles over their land to protect children.
The homeowners sued Southern Union's local affiliate, New England Gas.
The agency found Southern Union responsible for contaminating the land, but the company has appealed the decision.
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Associated Press writer Ray Henry contributed to this report.
(This version corrects the name of the company that owns Fall River to Southern Union instead of Southern Union Gas.)
Blue dirt in a blue state, what is the problem?
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