2008-3072008-307
Resolution Approving Settlement with Settling Defendents (MTBE)
At a regular meeting of the Town Board of the Town of Wappinger, Dutchess County,
New York, held at Town Hall, 20 Middlebush Road, Wappingers Falls, New York, on October
15, 2008.
The meeting was called to order by Christopher Colsey, Supervisor, and upon roll being
called, the following were present:
PRESENT: Supervisor
Councilmembers
ABSENT:
Christopher J. Colsey
William H. Beale
Vincent F. Bettina
Maureen McCarthy (arrived at 7:11 PM)
Joseph P. Paoloni (arrived at 7:07 PM)
The following Resolution was introduced by Councilman Paoloni and seconded by
Councilman Beale.
WHEREAS, traces of by methyl -tertiary butyl -ether (MTBE), tributyl alcohol (TBA)
and other contaminants have been found in certain wells in the public water supply serving the
United Wappinger Water District; and
WHEREAS, the Town Board, by resolution dated February 9, 2004, retained the legal
services of the firms of Weitz & Luxenberg, P.C. and Baron & Budd., P.C. (hereinafter "Special
Counsel"), to commence litigation on behalf of the Town of Wappinger and represent the Town
in a class action lawsuit for all damages sustained by the Town as a result of the loss of use of
groundwater because of contamination of MTBE, TBA and other contaminates in accordance;
and
WHEREAS, said litigation was commenced against numerous Defendants in the United
States District Court for the Southern District of New York under the caption In re Methyl
Tertiary Butyl Ether ("MTBE') Products Liability Litigation, Master File No. 1:00-1898 MDL
1358 (SAS), M21-88 (hereinafter the "Action"); and
WHEREAS, after substantial litigation, Special Counsel has negotiated proposed
settlement of the Action against the following Defendants:
Giant Industries Inc.; Western Refining, Inc.; Western Refining Yorktown,
Inc. f/k/a Giant Yorktown, Inc.; Western Refining Company, L.P.; Western
Refining Southwest, Inc. f/k/a Giant Industries Arizona, Inc.; Getty
Petroleum Marketing, Inc.; Irving Oil Corporation, Irving Oil Limited; and
Irving Oil Terminals, Inc. (hereinafter "SETTLING DEFENDANTS"); and
WHEREAS, the action continues against other Defendants, including Exxon/Mobil; and
WHEREAS, Special Counsel has provided the Town Board and the Attorney to the
Town a Settlement Agreements and a Release and Indemnity Agreement (the "Settlement
Documents") for their review and consideration, the terms of which are confidential until a final
settlement is reached; and
WHEREAS, Special Counsel and the Attorney to the Town advise and recommend that
the terms of the Settlement Documents are fair and reasonable and should be accepted; and
WHEREAS, the Attorney to the Town appeared at a duly called executive session on
this date and discussed the Settlement Documents with the Town Board; and
WHEREAS, the Town Board determines that it is in the best interest of the residents of
the Town of Wappinger to settle the Action against the SETTLING DEFENDANTS in
accordance with the terms of the Settlement Agreement.
NOW, THEREFORE, BE IT RESOLVED, as follows:
1. The recitations above set forth are incorporated in this Resolution as if fully set
forth and adopted herein.
2. The Town Board hereby confirms the actions it has taken in Executive Session
this evening and hereby determines that it is in the best interests of the Town to settle with the
above noted SETTLING DEFENDANTS and hereby authorizes the Supervisor, on behalf of the
Town of Wappinger, to execute the Settlement Documents that were negotiated by Special
Counsel, Weitz & Luxenberg, P.C. and Baron & Budd., P.C., a copy of which has been reviewed
and approved by the Town Board.
The foregoing was put to a vote which resulted as follows:
CHRISTOPHER COLSEY, SUPERVISOR
Voting:
AYE
WILLIAM H. BEALE, COUNCILMAN
Voting:
AYE
VINCENT F. BETTINA, COUNCILMAN
Voting:
AYE
MAUREEN McCARTHY, COUNCILWOMAN
Voting:
AYE
JOSEPH P. PAOLONI, COUNCILMAN
Voting:
AYE
Dated: Wappingers Falls, New York
10/15/2008
The Resolution is hereby duly declared adopted.
CJ
N C. M STERSON, TOWN CLERK