Tacoma Agrees to Oil Over Power Settlement

The town of Tacoma can pay U.S. Oil and Refining Co. $2 million to settle all damages induced throughout an influence outage that shut down the corporate operations in 2016. The lawsuit, which was filed by U.S. Oil in Pierce County Superior Court in 2018, claimed the misplaced corporate hundreds of thousands on account of a technician error and was not made conscious by Tacoma Energy of upkeep occurring at a substation that precipitated the outage.

Within the settlement, the town didn’t admit legal responsibility, however, determined it was in the most effective curiosity of town to settle to “keep away from the prices of litigation and the uncertainty of a trial,” stated metropolis legal professional Invoice Fosbre.

Tacoma City Council will vote Tuesday to authorize a full and ultimate settlement of all damages claimed towards Tacoma Power within the quantity of $2,040,000. Tacoma Public Utilities Board authorized the settlement at a Nov. 13 assembly. U.S. Oil initially sought damages of greater than $9 million. That modified because the events spent months figuring out what occurred on April 28, 2016. U.S. Oil couldn’t be reached for remark as of Tuesday.

A type of adjustment is to make sure another path for energy within the occasion of a deliberate outage. Previous to 2000, U.S. Oil skilled a number of surprising disruptions of energy and shutdowns of the refinery, in line with the lawsuit filed in 2018. In 2000, a settlement was established to make use of the Lincoln substation as a devoted supply of electrical energy to the refinery.

A part of that settlement included notifying U.S. Oil of upkeep on the substation. U.S. Oil mentioned it was not knowledgeable previous to the upkeep that occurred in April 2016 and resulted in an influence outage. U.S. Oil is one in all five refineries within the state of Washington, producing a wide range of refined petroleum tasks, together with gasoline(s), ultra-low sulfur diesel, jet fuel, marine fuels, and asphalt merchandise, in keeping with the lawsuit. It’s operated a refinery on the Tideflats since 1957. In November 2018, Par Pacific Holdings, Inc. acquired U.S. Oil for $358 million.