What happened to corporate citizenship, to taking
responsibility? Representatives of Olin Corp., which owned the
now-closed road flare factory in Morgan Hill that
’s responsible for a perchlorate plume that’s poisoning South
Valley groundwater, at first mouthed all the right words about
taking care of the contamination.
What happened to corporate citizenship, to taking responsibility? Representatives of Olin Corp., which owned the now-closed road flare factory in Morgan Hill that’s responsible for a perchlorate plume that’s poisoning South Valley groundwater, at first mouthed all the right words about taking care of the contamination.
They gave every indication that they would do the right thing. But then, when the pollution cleanup hit the company’s pocketbook, disturbing signs began to appear.
Olin officials took an inexcusably long to time respond to Morgan Hill’s explanation of costs for a new well the cityh had to drill after a municipal well adjacent to the former factory tested at high levels for perchlorate.
Then, when they finally did respond, they sent a check for partial payment of the city’s cost – which Morgan Hill officials rightly and promptly returned – they’re holding out for complete reimbursement of all of the city’s well-drilling-related expenses, including legal fees and staff time.
Now, Olin is balking at paying for a treatment plant aimed at reducing perchlorate levels at that municipal well. Now that three more Morgan Hill municipal wells have tested positive for actionable levels of perchlorate, this system is sorely needed – especially during the summer months that feature high water demand. But Olin apparently claims that the system will interfere with its groundwater cleanup efforts.
That claim is dubious at best, and beside the point. Even if it does make Olin’s job more difficult (and we’re not conceding that point), that’s too bad. South Valley residents can’t sit around waiting for safe, usable water while Olin drags its feet, fighting every request made by city officials and water board administrators.
Unfortunately, that’s the pattern that’s beginning to emerge.
With the release of a scathing report by Steven Hoch, a Los Angeles-based attorney representing Morgan Hill’s interests in the perchlorate cleanup, we’re left to wonder if Olin knows the meaning of responsibility. It’s definitely beginning to look like they understand how to duck it. The report details several ways in which the company is allegedly failing to meet its obligations.
Despite the poor showing on Olin’s part, we’re still advising perchlorate-affected residents to resist the impulse to sue the company.
But that doesn’t mean we think Olin should be able to avoid shouldering its responsibility in this case. It just means we’d hate to see a huge chunk of any settlement end up lining the pockets of trial lawyers, who typically charge contingency fees of 40 percent, plus bill customers for their expenses.
We think it’s time for mediation, not litigation. Mediation will leave a much larger chunk of any settlement available for cleanup and for compensation to affected well owners.
Let’s make sure Olin is held accountable for the perchlorate mess it has acknowledged is its responsibility. Let’s just do it in a way that benefits South Valley residents the most, not a few slick trial lawyers.
