An agreement totaling $125 million has been reached in a civil case against GKN Aerospace, stemming from a Memorial Day weekend hazmat incident that necessitated the evacuation of 50,000 residents in West Garden Grove and adjacent areas, including parts of Stanton and Westminster.
The Orange County District Attorney Todd Spitzer's office announced the agreement Monday evening. It awaits approval by an Orange County Superior Court judge to become effective.
The incident began on May 21 when a leak of a potentially volatile MMA chemical at GKN's factory on Western Avenue in Garden Grove triggered a five-day crisis. This emergency led to widespread mandatory evacuations and the cancellation of Garden Grove's traditional Strawberry Festival parade, among other disruptions. Although concerns arose about a potential explosion or major breach in a damaged holding tank, neither scenario materialized. No injuries were officially reported, though some individuals have claimed health impacts.
Key components of the $125 million agreement include a claims program of up to $100 million. This program will be managed by an independent third party to provide reimbursement for lost wages, hotel expenses, lost business income, and per diem compensation for meals and transportation for those affected by the evacuation.
Public agencies that responded to the emergency, such as the Orange County Fire Authority and the Garden Grove Police Department, along with others involved in abating the incident, are set to be reimbursed $8,471,385.50 for their expenses.
Additionally, the agreement includes a seven-year injunction. This injunction mandates a comprehensive safety and monitoring plan, which will be overseen by an outside expert to ensure GKN Aerospace's compliance with all applicable laws and regulations. The cost for this oversight, amounting to $1.4 million, will be paid by GKN.
Another $15 million will be paid in civil penalties. These funds are designated for use by the District Attorney’s office for the enforcement of consumer protection laws.
The District Attorney's office also announced an October 27 date for a long-anticipated Town Hall meeting. This forum will provide residents an opportunity to voice their opinions and ask questions regarding the agreement and its impact on affected individuals. The specific location and start time for the Town Hall were not immediately available.
GKN Aerospace, located in Garden Grove, manufactures plastic canopies and windows for aircraft and employs approximately 500 people.
