Texas co. must pay for R.I. environmental projects

PROVIDENCE — A Texas gas company was ordered Tuesday to pay for several environmental programs in Rhode Island under a criminal sentence handed down by a judge who took the unusual step of asking the community for punishment ideas.

US District Judge Williams Smith was forced to resentence Southern Union Co. after the US Supreme Court struck down his penalty of $18 million.

In crafting the sentence, he adopted several of the ideas he received. Among them was establishing a fund to provide technical assistance to communities dealing with the fallout of environmental pollution and paying to sample freshwater fish for mercury contamination. He also ordered the company to serve two years of probation and undergo a comprehensive environmental audit.


Southern Union was convicted in 2008 of storing liquid mercury without a permit in containers such as glass jars and a plastic jug at a vacant and rundown building in a densely populated area of Pawtucket. Teenagers broke into the building and dumped mercury there and at a nearby apartment complex, which had to be evacuated. Many residents had high levels of mercury in their blood and showed other symptoms of mercury exposure, such as hair loss and rashes. About 90 of them settled a lawsuit over the spill for undisclosed terms.

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The jury was never asked to determine how many days the company broke the law, but prosecutors said it was 762 days. Smith relied in part on that number when he calculated the original sentence, finding the maximum fine was $38.1 million. He then imposed a $6 million fine and ordered the company to pay $12 million to various charities.

But the Supreme Court struck down the sentence, saying a jury should have determined the number of days the company broke the law. Smith then determined the maximum sentence he could legally impose was $500,000, a result he called an unsatisfactory one that would not deter others.

He asked for suggestions on how to sentence the company in a way that has ‘‘the broadest possible impact.’’ He received ideas from groups including the state Department of Environmental Management, environmental groups, the City of Pawtucket, and others.

Smith turned down prosecutors’ request that the company be forced to pay part of the penalty as a $100,000 fine, saying he wanted all $500,000 to be used to make the most direct impact on the people affected: Rhode Island residents.


The sentence includes $150,000 for freshwater fish sampling, $25,000 for Earth Day cleanups, and $25,000 for Pawtucket to purchase hazardous waste equipment.

Lawyers for the gas company did not comment.