Baucus cinches deal to cover asbestos victims

Federal legislation aimed at compensating the nation's asbestos victims will include special provisions for Libby residents who were sickened by exposure from the former W.R. Grace vermiculite mine.

Sen. Max Baucus, D-Mont., got word Tuesday that his provision for Libby residents will be included in an asbestos reform bill when it goes before the Senate Judiciary Committee for review.

Sponsored by judiciary committee chairman Arlen Specter, R-Penn., the bill is aimed at reforming how asbestos cases are handled across the country. Baucus has been working with Specter for months to include language for Libby residents that takes into account the unique health problems associated with exposure to the tremolite asbestos linked to the Libby mine.

Specifically, the amendment guarantees that Libby residents who are sick from asbestos fibers will get at least $400,000 in compensation.

"This is very good news for Libby," said Kalispell attorney Roger Sullivan, whose firm is handling a majority of the victim lawsuits against Grace. "While we haven't seen the specific language that has been added to the bill, it sounds like the linchpin has been added that will guarantee fair compensation for Libby victims."

Baucus has been withholding his support for the legislation until he received assurances Libby victims would get the financial compensation they're due. He said passing balanced asbestos legislation with a good "Libby fix" is essential because Grace is in bankruptcy proceedings that would likely jeopardize compensation for Libby victims.

In addition to establishing a $400,000 floor of compensation for Libby residents, other provisions take into account Libby's special circumstances, including:

. Exempting Libby residents from strict medical and asbestos exposure criteria to qualify for compensation;

. Allowing family members and other Libby residents to qualify for compensation in addition to former mine workers;

. Allowing people to be compensated from the Asbestos Trust Fund as well as other sources such as Medicaid and Medicare; and . Allowing Baucus to advance his proposal establishing a new Libby Health Care Fund.

The $400,000 compensation award would go to victims diagnosed with severe asbestosis. Those with disabling asbestosis would get $850,000, and patients with mesothelioma, a tumorous cancer, would be entitled to $1.1 million under the new provisions. Victims suffering from lung cancer and asbestosis would be entitled to $600,000 for smokers and $1.1 million for nonsmokers.