Freedom Industries chemical leak: Where things stand

Here is a roundup of where things stand on various aspects of the Jan. 9, 2014, Freedom Industries chemical leak story:

| Water testing Despite a recommendation from his own expert team, Gov. Earl Ray Tomblin rejected a proposal for a broad program to test in homes across the region to determine if there is any MCHM still in the water supply. Citing its own sampling at distribution system locations, West Virginia American Water Co. has said there is no reason to think the chemical remains in the system.

| MCHM studies Federal scientists are continuing work on studies, trying to learn more about the effects of MCHM, to build on the very limited information that was available at the time of the 2014 leak. State officials are continuing work on a long-term medical study required by the Legislature. Peer-reviewed papers about the leak have been published by researchers at Purdue University, the U.S. Geological Survey and Virginia Tech.

| Public Service Commission investigation The PSCs investigation of West Virginia Americans response to the chemical leak has been delayed and partly derailed, as the parties argue over the scope of the probe and over what documents the water company must provide to the commission. PSC Chairman Michael Albert, a former water company lawyer, has recused himself from the case, and the three-member commission also has seen both other members resign in recent months. There is no new date set for formal hearings.

| SB 373 Lawmakers passed broad-reaching legislation that regulates above-ground chemical storage tanks and sets new requirements for drinking water utilities to protect source-water supplies. The West Virginia Department of Environmental Protection has issued proposed rules to implement the storage tank portions of SB 373 and the Bureau for Public Health has done likewise with drinking water protection standards. Lawmakers are expected to revisit the legislation during the 2015 session that starts next week, and a commission set up by the law has recommended some potential changes.

| Freedom Industries bankruptcy Some key matters in the bankruptcy case are basically on hold, pending completion of the cleanup of the Freedom site along the Elk River. The DEP has approved a new consent order with Freedom, and is waiting for Freedom to submit an application to enter the states voluntary-remediation program, a move that could lessen the companys cleanup standard. Freedom also is trying to win approval of a settlement with its insurance company.

| Civil lawsuits Lawsuits over the leak and its impact have been filed against Freedom Industries and some Freedom executives, as well as against West Virginia American Water and MCHM-maker Eastman Chemical. Some of those cases are on hold because of the bankruptcy case. A team of local lawyers has reached a tentative class-action deal with Freedom, but details of that deal remain unclear and it has not been finalized.

| Government investigations The U.S. Occupational Safety and Health Administration fined Freedom Industries $11,000 for workplace safety violations related to the leak. Freedom paid those fines without challenging the citations OSHA issued. The U.S. Chemical Safety Board has said it found serious problems at Freedom Industries and is continuing its investigation.

| Criminal probe Criminal charges have been filed against six former Freedom Industries officials and against the company. Most of the charges concern Clean Water Act violations, but former Freedom President Gary Southern also faces felony bankruptcy fraud charges for allegedly trying to hide his personal wealth from potential chemical leak litigation.

Reach Ken Ward Jr. at kward@wvgazette.com, 304-348-1702 or follow @kenwardjr on Twitter.

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Freedom Industries chemical leak: Where things stand

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