City of New Brighton Approves Supplemental Litigation Settlement Agreement With Army for Continued Funding of City's Water Treatment Facility

NEW BRIGHTON, Minn., Jan. 30, 2015 /PRNewswire/ -- Today, the City of New Brighton announced that its settlement agreement with the Army was filed with the federal court in Minnesota.  Shortly thereafter, Judge Ann D. Montgomery issued an Order requiring the Army to pay New Brighton $59.4 million to cover the City's expected costs for the next 30 years for owning and operating its water treatment facility.  Judge Montgomery also incorporated the settlement agreement into her Order and retained jurisdiction to resolve any future disputes.

In 1988, the Army agreed to pay all of New Brighton's costs to construct, own, and operate a state-of-the-art water treatment plant to remove TCAAP contaminants from the public drinking water supply.  In 1992, the Army provided New Brighton funds sufficient to operate the water plant for a twenty-year period.  Negotiations for continued advance funding for a new term failed. 

As a result, on May 21, 2014, the City of New Brighton filed a motion in federal court in Minnesota asking the court to enforce the 1988 settlement agreement.  Judge Montgomery immediately ordered the parties to participate in settlement discussions before Magistrate Judge Janie S. Mayeron. 

Over the next five months, Judge Mayeron met with the parties in four settlement conferences, in an attempt to resolve the funding dispute.  Ultimately, the parties were able to reach a resolution.  "Fredrikson & Byron, P.A., and Barr Engineering were instrumental in helping New Brighton achieve an outstanding result," said Dean Lotter, City Manager of New Brighton.  "The supplemental settlement agreement continues and reinforces the 1988 settlement of the City's lawsuit against the Army."

On January 27, 2015, the New Brighton City Council unanimously approved the settlement agreement. 

After the settlement was approved, each Council Member expressed their deep appreciation to the City's legal team at Fredrikson & Byron and to Barr Engineering because the settlement assures that New Brighton will have the funds needed to continue to provide a safe and reliable water supply.  New Brighton also expressed its appreciation for Judge Mayeron's time and efforts in facilitating the settlement.  "Judge Mayeron's commitment and patience throughout the negotiations kept the parties focused and helped lead them to settlement," Lotter said.  "This agreement is a big victory for all of New Brighton's residents because it will provide funding for water treatment in New Brighton for generations to come."

For more information, go to: www.ci.new-brighton.mn.us.

SOURCE City of New Brighton

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