Asbestos cleanup could top $200 million
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The Associated Press - Published: November 23, 2008
COLCHESTER — It could cost more than $200 million to clean up hazardous waste from an asbestos mine in northern Vermont, state and federal officials says.
The state is hoping to recover the costs of the cleanup from two owners of the closed mine, which is in Lowell and Eden. One of the owners is G-1 Holdings, a successor to the GAF Corp., which is trying to reorganize in bankruptcy court. GAF owned the mine until 1975.
GAF then sold the mine to the Vermont Asbestos Group. The principal shareholder of the Vermont company is Lamoille County businessman Howard Manosh.
The state is suing the Vermont Asbestos Group.
"The total cost estimates, which are preliminary, put the range in the $210 to $250 million category. We're not optimistic that we're going to get 100 percent recovery, but we're going to attempt to get as much as we can out of the bankruptcy and out of the state court proceeding," said Vermont Assistant Attorney General John Beling.
The asbestos mine operated for almost a century. All that's left now are piles of waste rock, some of which contain asbestos, which, the federal government says, can cause cancer.
Last year, the federal Environmental Protection Agency spent almost $2 million to stop the waste material from damaging nearby streams and wetlands.
Beling says the Vermont Asbestos Group is liable for the contamination at the property.
But Vermont Asbestos lawyer Ed French says the company has little money.
"It's only asset is a warehouse in Morrisville that it rents out for a minimal amount each month. So very minimal assets and extensive liabilities at this point in time," French said.
State and federal agencies have also filed a claim in bankruptcy court outlining G-1's potential liability. The government is listed as an unsecured creditor, which means it may have to stand in line behind banks or other creditors.
A study by the Vermont Health Department found that people who live near the mine have higher rates of lung cancer and asbestosis.
Meanwhile, the EPA is trying to decide if the asbestos mine should be on the government's Superfund list, which make federal money available for a cleanup.
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