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Michigan Reaches $600 Million Settlement Over Flint Water Crisis

Published

3 years ago

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  • A $600 million settlement was reached between the lawyers of Flint, Michigan residents and state officials over civil cases pertaining to the Flint water crisis.
  • 80% of this settlement will go to those who were children at the time. Another 18% will go to adults, and the rest will go to property damage, business economic loss, and programmatic relief settlements.
  • It is currently unclear exactly how much money each person will get. Those details are expected to be announced in the near future.
  • Leaders in Michigan believe that this is a start to bringing justice to the residents of Flint, who have been dealing with the water crisis since 2014.

Settlement Reached

A $600 million settlement was reached Thursday between the lawyers of Flint, Michigan residents, the office of Governor Gretchen Whitmer, and the office of Attorney General Dana Nessel regarding the Flint water crisis. 

According to a summary of the preliminary settlement, roughly 80% of the funds will go to those who were under the age of 18 when the crisis began. This will break down to 64.5% for those who were six and under at first exposure, 10% for those who were between seven and 11, and 5% for those aged between 12 and 17. 

Another 18% will go to adults, and the remaining will go to property damage, business economic loss, and programmatic relief settlements. This settlement is the result of 18 months of negotiations and is meant to resolve all of the civil Flint water cases against the state and its related groups and individuals. The $600 million sum is larger than every lawsuit the state has paid out in the last 10 years combined, per a count from Michigan Live. 

Details about how many recipients there are and what their exact payouts will be are unclear. There were between 18,000 and 20,000 kids in Flint during the exposure period. The population of the city is roughly 100,000. Those eligible to receive funds include those who lived in a residence or owned a business that received Flint water at the time of the crisis, those who came into contact with Flint water for a certain period of time during the crisis, and those who were exposed to the water and were diagnosed with Legionnaires disease, as certain outbreaks were tied to the city’s water. 

The summary states that the state of Michigan, its agencies, as well as current and former employees will be released from any liability to those who receive payment from this fund with respect to civil claims per this settlement. However, Attorney General Nessel went to Twitter to explain this does not mean battles in this case are over. 

“General Hammoud and Pros. Worthy continue their investigation into criminal actions by state actors and the quest for justice and accountability is not over,” she wrote. 

Background on the Flint Water Crisis

In an effort to save the city money, Flint changed its water source in 2014 from the Detroit-treated Lake Huron water to the Flint River. Once it did so, citizens complained that the water had a poor smell, taste, and color, but city officials told them it was safe. It was later confirmed that officials did not ensure corrosion control treatments were added to the water, leading to contamination. 

In 2015, researchers found that lead was leaching into the water and children had elevated levels of lead in their blood since the water source changed. The percentage of infants and children in the city with above average levels nearly doubled citywide, and even nearly tripled in high risk areas. By the end of 2015, the water source was switched to the Detroit water system.

Still, many in Flint still do not trust the water they receive or the local government that allowed this to happen. While the city has checked pipes and replaced many, Michigan Live says that 2,500 have still not been checked yet. Former Governor Rick Snyder admitted that this was the result of mass government failure and the water crisis is widely considered one of the most devastating cases of environmental injustice. 

Responses from Leaders in Flint

“Flint residents have endured more than most, and to draw out the legal back-and-forth even longer would have achieved nothing but continued hardship. This settlement focuses on the children and the future of Flint,” Nessel wrote in a Thursday morning statement about the settlement. 

“Ultimately, by reaching this agreement, I hope we can begin the process of closing one of the most difficult chapters in our State’s history and writing a new one that starts with a government that works on behalf of all of its people,” she added. 

Governor Whitmer also spoke about the settlement Thursday morning. She said that in addition to this payout, the state will be allocating resources to Flint to provide lead service line replacement, nutrition programs, child health care services, early childhood programs, lead prevention and abatement, school aid and more in the future. 

“What happened in Flint should never have happened and financial compensation with this settlement is just one of many ways we can and will continue to show our support for the city of Flint and its families,” Whitmer said. 

Marc Edwards, a Virginia Tech professor and water expert who helped expose the lead contamination spoke to The Detroit News about the settlement. 

“If money is how government expresses sorrow for its crimes — this is a big apology,” he said. 

However, some were slightly more critical about the settlement considering what has happened to the city of Flint. 

“There will never be a number that adequately recognizes the harm done to Flint families,” Rep. Dan Kildee wrote, while still acknowledging his support for the settlement.

See what others are saying: (Michigan Live) (Detroit Free Press) (The Guardian)

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White Supremacist Propaganda Reached Record High in 2022, ADL Finds

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2 weeks ago

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March 9, 2023

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 “We cannot sit idly by as these extremists pollute our communities with their hateful trash,” ADL CEO Jonathan Greenblatt said.

White supremacist propaganda in the U.S. reached record levels in 2022, according to a report published Wednesday by the Anti-Defamation League’s Center of Extremism.

The ADL found over 6,700 cases of white supremacist propaganda in 2022, which marks a 38% jump from the nearly 4,900 cases the group found in 2021. It also represents the highest number of incidents ever recorded by the ADL. 

The propaganda tallied by the anti-hate organization includes the distribution of racist, antisemitic, and homophobic flyers, banners, graffiti, and more. This propaganda has spread substantially since 2018, when the ADL found just over 1,200 incidents. 

“There’s no question that white supremacists and antisemites are trying to terrorize and harass Americans with their propaganda,” ADL CEO Jonathan Greenblatt said in a statement. “We cannot sit idly by as these extremists pollute our communities with their hateful trash.” 

The report found that there were at least 50 white supremacist groups behind the spread of propaganda in 2022, but 93% of it came from just three groups. One of those groups was also responsible for 43% of the white supremacist events that took place last year. 

White supremacist events saw a startling uptick of their own, with the ADL documenting at least 167, a 55% jump from 2021. 

Propaganda was found in every U.S. state except for Hawaii, and events were documented in 33 states, most heavily in Massachusetts, California, Ohio, and Florida.

“The sheer volume of white supremacist propaganda distributions we are documenting around the country is alarming and dangerous,” Oren Segal, Vice President of the ADL’s Center on Extremism said in a statement. “Hardly a day goes by without communities being targeted by these coordinated, hateful actions, which are designed to sow anxiety and create fear.”

“We need a whole-of-society approach to combat this activity, including elected officials, community leaders, and people of good faith coming together and condemning this activity forcefully,” Segal continued. 

See what others are saying: (Axios) (The Hill) (The New York Times)

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Adidas Financial Woes Continue, Company on Track for First Annual Loss in Decades

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2 weeks ago

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March 8, 2023

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Adidas has labeled 2023 a “transition year” for the company. 

Yeezy Surplus 

Adidas’ split with musician Kanye West has left the company with financial problems due to surplus Yeezy products, putting the sportswear giant in the position to potentially suffer its first annual loss in over 30 years. 

Adidas dropped West last year after he made a series of antisemitic remarks on social media and other broadcasts. His Yeezy line was a staple for Adidas, and the surplus product is due, in part, to the brand’s own decision to continue production during the split.

According to CEO Bjorn Gulden, Adidas continued production of only the items already in the pipeline to prevent thousands of people from losing their jobs. However, that has led to the unfortunate overabundance of Yeezy sneakers and clothes. 

On Wednesday, Gulden said that selling the shoes and donating the proceeds makes more sense than giving them away due to the Yeezy resale market — which has reportedly shot up 30% since October.

“If we sell it, I promise that the people who have been hurt by this will also get something good out of this,” Gulden said in a statement to the press. 

However, Gulden also said that West is entitled to a portion of the proceeds of the sale of Yeezys per his royalty agreement.

The Numbers 

Adidas announced in February that, following its divergence from West, it is facing potential sales losses totaling around $1.2 billion and profit losses of around $500 million. 

If it decides to not sell any more Yeezy products, Adidas is facing a projected annual loss of over $700 million.

Outside of West, Adidas has taken several heavy profit blows recently. Its operating profit reportedly fell by 66% last year, a total of more than $700 million. It also pulled out of Russia after the country’s invasion of Ukraine last year, which cost Adidas nearly $60 million dollars. Additionally, China’s “Zero Covid” lockdowns last year caused in part a 36% drop in revenue for Adidas compared to years prior.

As a step towards a solution, Gulden announced that the company is slashing its dividends from 3.30 euros to 0.70 euro cents per share pending shareholder approval. 

Adidas has labeled 2023 a “transition year” for the company. 

“Adidas has all the ingredients to be successful. But we need to put our focus back on our core: product, consumers, retail partners, and athletes,” Gulden said. “I am convinced that over time we will make Adidas shine again. But we need some time.”

See what others are saying: (The Washington Post) (The New York Times) (CNN)

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Immigration Could Be A Solution to Nursing Home Labor Shortages

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2 weeks ago

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March 7, 2023

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98% of nursing homes in the United States are experiencing difficulty hiring staff. 

The Labor Crisis 

A recent National Bureau of Economic Research paper has offered up a solution to the nursing home labor shortage: immigration. 

According to a 2022 American Health Care Association survey, six in ten nursing homes are limiting new patients due to staffing issues. The survey also says that 87% of nursing homes have staffing shortages and 98% are experiencing difficulty hiring. 

The National Bureau of Economic Research (NBER) outlined in their paper that increased immigration could help solve the labor shortage in nursing homes. Immigrants make up 19% of nursing home workers.

With every 10% increase in female immigration, nursing assistant hours go up by 0.7% and registered nursing hours go up by 1.1% And with that same immigration increase, short-term hospitalizations of nursing home residents go down by 0.6%.

The Solution 

Additionally, the State Department issued 145% more EB-3 documents, which are employment-based visas, for healthcare workers in the 2022 fiscal year than in 2019, suggesting that more people are coming to the U.S. to work in health care. 

However, according to Skilled Nursing News, in August of 2022, the approval process from beginning to end for an RN can take between seven to nine months. 

Displeasure about immigration has exploded since Pres. Joe Biden took office in 2021. According to a Gallup study published in February, around 40% of American adults want to see immigration decrease. That is a steep jump from 19% in 2021, and it is the highest the figure has been since 2016.

However, more than half of Democrats still are satisfied with immigration and want to see it increased. But with a divided Congress, the likelihood of any substantial immigration change happening is pretty slim. 

See what others are saying: (Axios) (KHN) (Skilled Nursing News)

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