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Richfield Airport Noise Settlement

 
SUMMARY OF CONSENT DECREE

Total Homes to be Mitigated

  • Estimated 9,561 homes eligible using block intersect method

 

Mitigation for Single Family Homes in 2007 DNL 63 and 64 Contours

 

  • MAC will install Five Decibel Reduction Package
  • Program includes homes that opted out of the original Sound Insulation Program, but had a new owner by September 1, 2007
  • Construction will begin by November 1, 2008, and all homes shall be completed by December 31, 2009; MAC must finish 250 homes by July 1, 2009, and 320 homes by September 1, 2009

Mitigation for Single Family Homes in 2007 DNL 60, 61 and 62 Contours

  • MAC will install one of the following options, as chosen by the homeowner:
    • If the home has no central air conditioning:  installation of central air conditioning and $4,000 mitigation from Mitigation Menu
    • If central air conditioning exists or homeowner without central air conditioning chooses not to receive central air: installation of $14,000 of mitigation from Mitigation Menu
  • The Mitigation Menu shall include a similar range of mitigation products as the Five-Decibel Reduction Package, but will not include air conditioning
  • Program includes homes that opted out of the original Sound Insulation Program, but had a new owner by September 1, 2007
  • Construction will begin by December 1, 2008, and be complete by December 1, 2012

Mitigation for Multi-Family Homes in 2007 DNL 60-64 Contours

  • MAC will install through-the-wall air conditioning and acoustic air conditioner cover for each unit
  • Construction will begin by December 1, 2008, and be complete by December 1, 2010

 

Reimbursement for New Mitigation for Single Family Homes Between 2007 and 2005 DNL 60 contours

  • MAC will make $7 million available for (1) homes that opted out of 1996 program and had new owners on September 1, 2007, and (2) reimbursement for new noise mitigation undertaken by homeowners
  • The amount of mitigation reimbursement will be capped based on how much of the $7 million remains after mitigating the opt-in homes.  Preliminary estimates of the reimbursement funds are about $3,000 per home, but will be calculated at the end of 2009.
  • Work done between the Court’s entry of the settlement and July 31, 2014, is eligible for reimbursement – prior work is not eligible
  • All work must be for products and services on a MAC-published Noise Mitigation Reimbursement List
  • All work must be done by licensed contractor
  • Reimbursement to start on March 1, 2010, and be complete by September 1, 2014

Inflation Protection

  • Inflation protection based on 2007 dollars for all programs

Attorneys Fees

  • MAC will pay Plaintiffs $2.25 million for attorneys’ fees and costs
  • MAC will pay $2 million for attorneys’ fees and costs as part of the proposed Wiencke settlement

Reimbursement to MAC

  • Owners of single family homes who sell their homes within two years of receiving relief under this settlement shall reimburse MAC for 25% of the cost of providing relief to their home, to a maximum of $3,500.  The following categories of owners shall be exempt from this reimbursement requirement:
    • Owners who purchased their homes prior to September 1, 2007.
    • Owners who used their homes as their primary residence.
    • Owners conveying their interests in their homes due to death, divorce, loss of job, job relocation, medical conditions, transfer to family member, birth, or adoption
    • Owners whose sale price for their home was lower than the price for which they purchased their homes.

 

Conditions that Must Be Met for Decree to Become Effective

  • Court must enter consent decree
  • Court must approve settlement in Wiencke class action case within 90 days of court approval of decree
  • FAA must approve consent decree by November 30, 2007
  • Consent decree would be null and void if these conditions are not met

Relationship to FAA

  • MAC agrees that the elements of the settlement are an appropriate use of airport revenue and consistent with its other obligations to FAA
  • MAC will use its best efforts to defend against any claims to the contrary, including taking all appeals.  MAC agrees to support City intervention in any challenge.
  • If any court, after all appeals, finds that MAC cannot use any revenue on this program, Consent Decree becomes null and void

Jurisdiction of the Court and Dispute Resolution

  • Court retains jurisdiction to enforce Decree and consider disputes that are not designated for arbitration
  • Disputes regarding schedule, DNL 63-64 program, reimbursement program and individual homes go to arbitration
  • All disputes must first go to three-member Technical Advisory Committee

Obligations to Propose Zoning Ordinances

  • By September 1, 2008, each City staff will propose to each City Council a draft ordinance requiring (1) attenuation and air conditioning or ventilation for new homes in the DNL 63-64 and higher contours; (2) noise attenuation for additions to homes in the DNL 63-64; and (3) air conditioning or ventilation for new homes in the DNL 60-62
  • Cities will encourage persons renovating or remodeling to insulate to high level

Releases of Liability

  • Cities agree to release liability for current or past claims for liability based on noise, unless MAC builds a new runway or noise increases by 2 decibels
  • MAC may require homeowners to sign releases comparable to the ones it required them to sign in 1996 noise mitigation program

Estimated Value of Relief in 2007 Dollars

  • $127,650,000