Title
Approval of Professional Services Agreement No. AGR26-836 with Stag Liuzza, LLC for Legal Services Related to the Filing of a Civil Action and/or Claims in the Pending Settlements for Recovery of Costs Associated with Damages to the Public Drinking Water System and/or Public Wastewater System Against Defendants who Manufactured, Marketed, Distributed, and/or Sold Aqueous Film-Forming Foam
Recommended Action
I move that Council approve Contract Agreement No. AGR26-836 with Stag Liuzza, LLC, for legal services related to the filing of a civil action and/or claims in the pending settlements for recovery of costs associated with damages to the public drinking water system and/or public wastewater system against defendants who manufactured, marketed, distributed, and/or sold aqueous film-forming foam and authorize the County Manager to sign an agreement in substantially the same form as Attachment A and any resulting settlement documents that have been approved to form by the County Attorney.
County Manager's Recommendation
The County Manager and the Utilities Manager recommend that Council approve this Contract as requested.
Body
This agreement authorizes Stag Liuzza, LLC to represent and assist the County in filing a settlement claim in a nationwide lawsuit as a public water supplier to recover damages for remediation of Per- and poly-fluoroalkyl substances (PFAS) contamination in the County’s water supply. This litigation offers access to over $12 billion in settlement funds for public water suppliers to recover damages and remediate PFAS contamination. PFAS are synthetic chemicals used in various products. In recent investigations, concerning levels of toxic man-made chemicals known as PFAS have been identified in groundwater, surface water, and wildlife across New Mexico.
Los Alamos' municipal water system is eligible for Phase 2 recovery, and based on population and current estimates, the County may be eligible for approximately $1.9 million.Time is of the essence because the County’s application for its share of the settlement proceeds is due on or before January 1, 2026. The County will need to conduct specific PFAs testing and submit the results of the tests to the Claims Administrator. All of this, the test results, flow rates, and other required documentation must be submitted before January 1, 2026.
The contract for legal services covers the filing of all necessary documents, costs and fees for the County to submit a claim in the PFAS litigation. The contract provides for different fee arrangements for Stag Liuzza, LLC’s services based upon the different possible methods and amounts of recovery.
Alternatives
Council may choose not to approve Agreement No. AGR26-836.
Fiscal and Staff Impact/Unplanned Item
Given estimates, the amount of potential recovery could be significant.
Attachments
A - AGR26-836 Stag Liuzza, LLC