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DiNapoli & Schneiderman Reach $10.75 Million Oil Spill Settlement With ExxonMobil

A picture shows the logo of US oil and gas giant ExxonMobil during the World Gas Conference exhibition in Paris on June 2, 2015. (ERIC PIERMONT/AFP/Getty Images)

State Comptroller Thomas P. DiNapoli and Attorney General Eric T. Schneiderman today announced a $10.75 million settlement with Exxon Mobil Corporation and ExxonMobil Oil Corporation, individually and as successors-in-interest to Mobil Oil Corporation and Mobil Corporation, to reimburse the New York Environmental Protection and Spill Compensation Fund (Oil Spill Fund) for oil spill cleanup and petroleum contamination removal costs at eight locations across the state. The settlement reimburses the Oil Spill Fund for all of its costs with interest for the eight sites.

As administrator of the Oil Spill Fund, DiNapoli is empowered under the state’s Oil Spill Law to recover all costs incurred by the Oil Spill Fund for the cleanup and removal of petroleum spills when the party responsible for the spill is unable or unwilling to do the cleanup. The Oil Spill Fund began paying for remediation of the oldest of the spill locations in 1989. Remediation efforts occurred under the supervision of the Department of Environmental Conservation.

“This settlement transfers the responsibility of eight oil spill cleanups from taxpayers to the spiller, where it belongs,” said DiNapoli. “The Oil Spill Fund is designed to help protect our families and our communities from the consequences of oil spills, because New Yorkers shouldn’t have to bear the burden of these costs. I thank Attorney General Schneiderman and his staff for their important work on behalf of the Oil Spill Fund.”

“Oil spills are costly and dangerous to our communities,” said Schneiderman. “This settlement ensures that the state will not be forced to foot the bill to clean up hazardous oil spills that must be cleaned up to keep our families safe.”

The spill sites were operated as gas stations, some of which were in operation as early as the 1930’s.

The eight sites included in the settlement are Hilltop Service Station in Mahopac (Putnam County); Joe’s Country Convenience Store in Campbell Hall (Orange County); Raceway Exxon in Monticello (Sullivan County); Courtney George Service Station in Albany (Albany County); Zanella’s Market Hill Service in Amsterdam (Montgomery County); Harry’s Service Station in Jordan (Onondaga County); Scio Mini Mart in Scio (Allegany County); and Boller’s Auto Sales in West Seneca (Erie County).

According to the agreement, ExxonMobil will also assume all future remediation activities at four of the eight sites where the cleanup efforts are ongoing or reimburse the Oil Spill Fund for any additional remediation expenses incurred.

About the Oil Spill Fund The Oil Spill Fund is responsible for protecting the environment and public health by ensuring the expeditious cleanup of petroleum spills. The fund is also used to compensate spill victims for their financial losses when the spiller will not and to seek reimbursement from spillers for oil spill cleanup costs. The fund was established in 1978 and is financed primarily by fees on industry on all barrels of petroleum imported into the state, as well as amounts collected from spillers in cost recovery. Learn about the Oil Spill Fund.

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