IROQUOIS, STATE MOVE TO END DISPUTE

Iroquois Gas Transmission System and New York state's Department of Public Service agreed in principle May 1 to a settlement that could avert a lengthy costly legal action over alleged Environmental violations during the pipeline's construction last year (OGJ, Sept. 2, 1991, p. 33). If the two sides reach final agreement by June 20, all pending litigation would be dropped and Iroquois, possibly along with some of its contractors, could pay $2 million in settlement. The amount would be

May 18, 1992

2 min read

If the two sides reach final agreement by June 20, all pending litigation would be dropped and Iroquois, possibly along with some of its contractors, could pay $2 million in settlement.

The amount would be divided four ways, according to the preliminary agreement.

Iroquois would deposit $300,000 in an escrow account to ensure completion of right-of-way restoration and remediation and spend another $500,000 on remediation steps.

The company would spend an additional $500,000 in New York as dictated by the Iroquois Land Preservation and Enhancement Program. And Iroquois would pay a final $500,000 to New York state to compensate for effects of incidents during construction as specified by the final settlement.

The agreement does not preclude Iroquois from attempting to recover some or all of the final sum from its contractors.

Iroquois has been embroiled in an often acrimonious controversy with state agencies since July 1991. In one incident, New York state environmental officers arrested an Iroquois employee and five contractor personnel at a stream crossing (OGJ, Oct. 21, 1991, p. 38).