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WASHINGTON (January 25, 1999) – Following a two-day mediated settlement conference, Sutherland Asbill & Brennan LLP negotiated a $24 million settlement for its client The Milwaukee Metropolitan Sewerage District (MMSD) from the engineering firm of CH2M Hill.
The settlement is believed to be among the largest ever obtained by a governmental unit against a consulting engineer. It resolves all such claims filed by the District as part of a civil lawsuit pending in United States District Court. The lawsuit arose out of massive cost overruns on Milwaukee's North Shore Deep Tunnel project, caused by subsurface water conditions and rock support problems.
The engineering firm was hired by the District as the program and design manager for Milwaukee's $1.6 billion Water Pollution Abatement Program. The North Shore Deep Tunnel project was one of three primary wastewater storage tunnels built for the program - a 5.2 mile tunnel, 32 feet in diameter which was bored 300 feet under the city of Milwaukee.