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Lake Elmo agrees to settle lawsuit with 3M for $2.7M, 180 acres of land

May 21, 2019 10:39 PM

The City of Lake Elmo and 3M Company, Inc. have agreed to settle a pending federal lawsuit over the company's past chemical disposals.

Lake Elmo will get $2.7 million and ownership of about 180 acres of land, as part of the settlement, in exchange for dismissing its lawsuit against 3M.

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RELATED: 3M settles with state for $850M in PFC lawsuit

In a news release, Lake Elmo said the $2.7 million will be credited to the city's water account, which funds the construction, maintenance and operation of the city's water system. The 180 acres of land will be evaluated to determine its best use, the release said.

Lake Elmo City Council member, Justin Bloyer, told 5 EYEWITNESS NEWS the "assessed value of the land is over $3 million" and will offer the city many alternatives.

"We will not be able to use it as a water well site," said Bloyer. "But, it could be a city park, baseball fields, or even a new location for city hall, but we have to discuss it as a council long before anything is decided."

Bloyer said the settlement also gives the city, and its residents, the opportunity to move on with improving its water supply and its quality for years to come.

"This allows us to move forward and move on and ensure our residents have good, clean water and not worry," said Bloyer.

As part of the joint news release, 3M shared similar goals.

"We are committed to working with communities to protect our natural resources," said John Banovetz, senior vice president of 3M Research & Development and 3M chief technology officer. "With this agreement, Lake Elmo and 3M will help support clean drinking water for city residents."

The Lake Elmo City Council approved the settlement agreement at its Tuesday meeting.

Last year, 3M agreed to pay the state of Minnesota $850 million as part of a settlement agreement reached in a seven-year chemical disposal lawsuit. 

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