Attorney General Jeff Jackson and N.C. Department of Environmental Quality Secretary Reid Wilson on Thursday announced a $590 million deal between the state of North Carolina, 11 local governments and entities and DuPont and Chemours over PFAS contamination in North Carolina.

The $590 million consists of $455 million in guaranteed payments to the state and local governments and a separate $135 million reserve fund, according to a state news release.

The $455 million will be paid over the next 10 to 15 years. Of that amount, $75 million will go to the state, including roughly $55 million for an Emerging Contaminant Mitigation Fund recently created by the N.C. General Assembly. The remaining $380 million will be divided among the 11 local governments and entities.

Five Wilmington-area entities are among those: New Hanover and Brunswick counties, the town of Wrightsville Beach, the village of Bald Head Island and the Lower Cape Fear Water and Sewer Authority.

The $135 million reserve fund from DuPont and sister company Corteva is supposed to "guarantee the work that Chemours must continue to complete for decades into the future under the NC Department of Environmental Quality’s (NCDEQ) 2019 consent order,” according to the release.

Thursday's announcement of the most recent settlement over the contaminants (federal entities announced a separate deal in June that met with local opposition) has been years in the making. In late 2016, North Carolina researchers published a study detailing exceptionally high levels of PFAS in the Cape Fear River watershed, but officials said contamination began long before that.

“Chemours and DuPont devastated North Carolina’s water and natural resources for decades,” Jackson stated in the release. “This deal forces them to pay for the harm they caused the people of southeastern North Carolina and gives our local governments more resources to help ensure clean drinking water for families. It is a massive step forward in giving our state more dollars to help fund clean water programs. This settlement puts even more teeth behind the consent order with NCDEQ. Chemours made this mess, and we’re making sure Chemours cleans it up.”

Chemours issued its own news release Thursday about the settlement, stating that it "resolves litigations brought by the state and the settling local entities relating to PFAS and other historical discharges from Fayetteville Works ... The settlement also acknowledges the substantial progress made under the company's 2019 consent order with the state.

"Since 2019, Chemours has made substantial investments to significantly reduce PFAS emissions from Fayetteville Works and mitigate off-site impacts in the surrounding communities. The agreement recognizes that several consent order provisions have been completed and establishes procedures to address certain remaining obligations relating to off-site areas, including implementation of drinking water programs."

A lawsuit filed by Wilmington-based Cape Fear Public Utility Authority is still ongoing, with a trial date expected next year. CFPUA officials responded to Thursday’s announcement by issuing a statement, saying, “CFPUA is encouraged to learn that Chemours has resolved its cases with the town of Wrightsville Beach and other neighboring communities affected by PFAS pollution from Chemours and DuPont.

“We want to emphasize that this settlement does not impact CFPUA’s separate and ongoing lawsuit against Chemours and DuPont. Perhaps today’s events will motivate Chemours to take responsibility for its continued burden on CFPUA. Until then, CFPUA will continue to pursue our litigation against Chemours and DuPont for the decades of toxic PFAS releases into the Cape Fear River and the millions of dollars spent by CFPUA mitigating that contamination.”

According to the state’s news release, Chemours has spent nearly $1.2 billion to comply with a 2019 consent order to stop discharging contaminants from its Fayetteville Works facility into the Cape Fear River and air. The agreement announced Thursday, the news release stated, “secures Chemours’ obligations to provide clean drinking water and repair the damage done to southeastern North Carolina. “In all, state and local governments have recovered nearly $2 billion in value to North Carolina and its residents.” 

Wilson stated in the release, “These companies are finally paying for the damage they caused to North Carolina’s land and waters.  While no amount of money can fully compensate North Carolinians for all the harm these companies have done to public health and the environment, this settlement not only provides funds to address PFAS contamination but also strengthens DEQ’s 2019 Consent Order with Chemours. The Order will continue to be one of DEQ’s most powerful tools to hold the company accountable and ensure that southeastern North Carolina residents have access to clean water and land.”  

According to a state timeline, Chemours’ predecessor, DuPont, began operating the Fayetteville Works chemical plant in Bladen County in the early 1970s.

“Starting around 1980, the facility began using southeastern North Carolina as a dumping ground for its PFAS. For decades, the facility emitted GenX and other PFAS into the air and soil and discharged the chemicals into the Cape Fear River, which provides drinking water to 500,000 southeastern North Carolina residents,” the release stated. “PFAS contamination poses serious health risks. Known as ‘forever chemicals,’ PFAS don’t degrade but accumulate in the body through air, water and soil contamination. Exposure to these chemicals has been linked to kidney and testicular cancer, liver damage and birth defects."

The release also shared state officials’ frustration with the earlier federal settlement with Chemours, stating, “While the North Carolina Attorney General’s case was ongoing, the Environmental Protection Agency (EPA) – without consulting with North Carolina officials – reached a proposed deal with Chemours to settle claims under federal law regarding PFAS contamination from Chemours’ North Carolina, New Jersey and West Virginia facilities. Attorney General Jackson denounced the deal, which would do almost nothing to address the harm Chemours has done in the state. He was joined by Gov. Josh Stein and DEQ Secretary Reid Wilson in filing comments opposing the deal in court.”